Real Median Wage Growth Against Productivity Growth and Measures to Sustain Singapore's Strong 2026 Economic Performance

Mr Melvin Yong Yik Chye asked the Acting Minister for Manpower in light of Singapore's stronger-than-expected economic growth in 2026 (a) whether real median wage growth is expected to keep pace with productivity growth; and (b) how will the Government ensure that economic and productivity gains translate into sustained real wage growth for workers.

The Government and our tripartite partners have taken the long-standing principle that real wage growth should be in line with productivity growth. From 2015 to 2025, real median income of full-time employed residents grew by 2.1% per annum while labour productivity grew by 2.3% per annum. While Singapore's macroeconomic growth in 2026 has been stronger than expected, it is uneven across sectors and firms.

The National Wages Council, which has been convened in August 2026 to formulate wage guidelines for the upcoming 2026/2027 cycle, will take into account recent economic performance, the prevailing economic outlook and other relevant factors in its deliberations.