Retail staff to get bigger pay packets from Sep 1, with expansion of Progressive Wage Model

You can find more than 29, 500 retail enterprises in Singapore spanning convenience stores, department stores, grocery stores and shops promoting fashion, sporting, electronics, furniture and home goods among others. Some of the retail workers can also be in firms within the wholesale sector.

Pointing to a manpower crunch in the retail sector, the particular Singapore Retailers Association’s honorary secretary Helen Khoo said she hopes that income increments and structured career pathways can help retailers retain employees and attract more people to join the.  

Mister Chou Cheng Ngok, a TCR co-chair and representative for the Singapore National Employers Federation, said that the PWM recommendations with the TCR considered opinions from the retail market, such as seasonal fluctuations in sales plus performance incentives.

This would help employers with implementation from the new requirements, stated Mr Chou, who might be also group ceo and executive director of Popular Holdings.  

“With the Singapore economy emerging from the COVID-19 pandemic, I strongly urge retail companies to leverage technologies to transform their own business, redesign their own jobs and upskill their employees to stay relevant and be a lot more productive, ” this individual added.  

The Ministry of Manpower (MOM) can enforce the implementation of Retail PWM requirements through employers’ eligibility for function passes.  

Employers will need to comply with the stipulated Retail PWM requirements, plus any other applicable PWM and Local Being qualified Salary requirements, in order to apply for or restore work passes which includes work permits, S Passes and Work Passes.

Out of this year to 2026, the Government will co-fund PWM wage increases under the Progressive Income Credit Scheme, as announced during Spending budget 2022.

Provided recent significant inflationary pressures, the Government stated in June that its co-funding talk about in 2022 increases from 50 % to 75 percent for resident employees with gross monthly wages of up to S$2, 500.

It will go up from thirty per cent to forty five per cent for employees with gross month-to-month wages of above S$2, 500 or more to S$3, 000.