SINGAPORE: Amid uncertainties in the global economy and the cost pressures faced by businesses, employers who have done well but face uncertain business prospects may moderate built-in wage increases for workers, the National Wages Council (NWC) said on Tuesday (Nov 11).
However, they should still reward employees with variable payments like bonuses and one-off payments, the tripartite body said in its wage guidelines for December 2025 to November 2026.
Conversely, employers who have not done well may exercise wage restraint “with management leading by example”, the council recommended. If business prospects appear positive, they should consider setting out future bonuses linked to “appropriate business indicators”.
“Wage growth should be in line with productivity growth,” said the council, adding that employers are encouraged to reward employees with wage increases that are “fair and sustainable” and to share the profits and gains from labour productivity improvements.
