Debated in Parliament on 15 Oct 2025.
Mr Patrick Tay Teck Guan asked the Minister for Manpower based on the OECD's definition of low-pay incidence (the share of workers earning less than two-thirds of median earnings) (a) what is the incidence of low pay in Singapore; and (b) how does this compare with the average incidence across OECD countries.
Singapore's proportion of full-time employed residents earning less than two-thirds of median wage was about 30% in 2024. This is higher than the average of 13% across Organization for Economic Cooperation and Development (OECD) countries based on the latest available 2023 data. While these countries may have a lower share of workers earning less than two-thirds of median wage in comparison to Singapore, many of them also have higher unemployment and lower labour force participation rates. Furthermore, lower-wage workers in Singapore can benefit from Government transfers, such as income top-ups through Workfare and other forms of support, which are not accounted for in the OECD's definition.
Singapore has made headway in improving wage outcomes for lower-wage workers. From 2021 to 2024, real gross monthly income at the 20th percentile rose by 6.3% cumulatively compared to real median wages which rose by 3.2%.
Tripartite partners will press on with efforts to uplift lower-wage workers in the coming years, including through meaningful and sustainable wage increases through the Progressive Wage Model. The National Wages Council also recommends higher wage growth for lower-wage workers annually to narrow the wage gap between lower-wage and median-wage workers. Through these efforts, we will continue to support strong wage growth for lower-wage workers in line with the tripartite ambition to uplift lower-wage workers and support their well-being.