SINGAPORE - Civil servants will be paid a mid-year Annual Variable Component (AVC) of half a month, the Government announced in a statement released today, after taking into account Singapore's economy growth of 4.9 per cent in the first quarter of 2014.
The Government also declared its support of the National Wages Council's (NWC) recommendation to grant a built-in wage increase to raise the wages of low-wage workers.
In addition to their annual increment in 2014, 3,500 Division IV and 5,500 Division III civil servants will receive built-in wage increases of $70 and $30 respectively in their monthly salaries.
The wage increase signals the Government's continued commitment to help raise the salaries of lower-wage civil servants, in line with productivity growth and private sector salary benchmarks.
The mid-year AVC and the built-in wage increase for Division IV and III civil servants, decided in consultation with the public sector unions, will be paid in July 2014.
The Government will decide on the year-end AVC payment for civil servants after considering Singapore's economic performance in the second half of 2014.