In the wage report published by the Ministry of Manpower (MOM) today (May 30), Singapore’s income inequality continued to worsen with maximum-to-minimum income ratio hitting up to 76. For the lowest-paid worker in the Administrative and Support Services industry, the boss would earn 76.4 times more.
The other industry that reports the highest income-gap is the Accommodation and Food Services, where the lowest-paid worker earns only 1/75 fraction of the boss’s earning.
Screenshot from report
Singapore’s income inequality is one of the worst in the world, with a GINI coefficient of 0.458 as of 2017. This is the second-worst income inequality when compared with other comparable nations in the OECD.
The MOM report also found that more companies are making losses in 2017, with only 74.9% posting profits.
For annual bonuses, employees in the Accommodation and Food Services sector reported the lowest bonuses at 0.08 month. For a cleaner earning S$1,000, he received S$80 for bonus on average, excluding the 13th month wage component.
Screenshot from report
The report also revealed that most companies, at 51.7%, are reluctant to give a pay raise of at least S$45 to the workers earning below S$1,200 salary.
You may read the rest of the MOM report here.