Singapore raises civil servants pay by up to 17%
Saturday, October 27, 2007
THE Singapore government is raising the pay of 13,700 civil servants by as much as 17 per cent amid rising salaries in the city-state's tight labour market.
Singapore's Public Service Division said in a statement that the pay hike was necessary for the government to attract and retain talented workers.
Singapore's labour ministry warned last month that wage costs were rising after wages rose 7.5 per cent in the second quarter following adjustments for inflation the highest since 2000.
Inflation in the city-state rose a lower-than-expected 2.7 per cent in September from a year ago, easing from a 12-year high in August that led to worries over the city-state's competitiveness.
The central bank, which steers monetary policy through the currency instead of interest rates, moved this month to keep inflation in check by allowing the Singapore dollar to climb.
The booming Singapore economy, which is expected to grow between seven-eight per cent this year, created 64,400 jobs in the second quarter, a record high for a single quarter.
Some of the civil servants who would receive the pay hike currently earn between S$1,580 ($1,086) and S$1,650 ($1,134), the Division said.
The government sparked a public uproar in April when it raised the salaries of government ministers, already among the highest paid in the world, by about 60 per cent to an average S$1.9 million. Reuters
Singapore's Public Service Division said in a statement that the pay hike was necessary for the government to attract and retain talented workers.
Singapore's labour ministry warned last month that wage costs were rising after wages rose 7.5 per cent in the second quarter following adjustments for inflation the highest since 2000.
Inflation in the city-state rose a lower-than-expected 2.7 per cent in September from a year ago, easing from a 12-year high in August that led to worries over the city-state's competitiveness.
The central bank, which steers monetary policy through the currency instead of interest rates, moved this month to keep inflation in check by allowing the Singapore dollar to climb.
The booming Singapore economy, which is expected to grow between seven-eight per cent this year, created 64,400 jobs in the second quarter, a record high for a single quarter.
Some of the civil servants who would receive the pay hike currently earn between S$1,580 ($1,086) and S$1,650 ($1,134), the Division said.
The government sparked a public uproar in April when it raised the salaries of government ministers, already among the highest paid in the world, by about 60 per cent to an average S$1.9 million. Reuters
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