Income growth slows in Singapore; median salary now above S$4,500: MOM report

SINGAPORE: Workers in Singapore received a bump of 2.2 per cent in their income in 2019, according to the Labour Force in Singapore Advance Release report released on Thursday (Nov 28).

The nominal median income of Singapore residents on full-time employment increased this year to S$4,563 from the S$4,437 recorded in 2018, the Ministry of Manpower (MOM) report said.

This year's 2.2 per cent real income growth is lower than the growth of 4.4 per cent in 2018.

image: https://www.channelnewsasia.com/image/12133400/0x0/1242/736/c48cf9c7b5b75002a6600c3ddf40937e/pi/mom-employment.jpg

Resident employment rate by age (in per cent).

From 2014 to 2019, real median income increased by 3.8 per cent annually - "significantly higher" than the 1.9 per cent annual growth in the preceding five years.

The findings were based on the Comprehensive Labour Force Survey conducted in mid-2019 by the ministry's research and statistics department.

Advertisement

Low-wage workers - those at the 20th percentile -  experienced 4.4 per cent annual growth in median income from 2014 to 2019, higher than the 3.8 per cent growth for those at the 50th percentile and significantly higher than in the preceding five years.

READ: More support for manufacturing firms looking to train PMETs as sector transforms

EMPLOYMENT RATE FOR RESIDENTS INCHES UP

The employment rate for residents aged 25 to 64 inched up to 80.8 per cent in June 2019 from 80.3 per cent in June 2018.

Among those aged 65 and above, employment rate "rose firmly" to 27.6 per cent from 26.8 per cent last year.

image: https://www.channelnewsasia.com/image/12133400/0x0/1242/736/c48cf9c7b5b75002a6600c3ddf40937e/pi/mom-employment.jpg

Resident employment rate by age (in per cent).

Resident employment continued to grow this year despite "increasing economic headwinds", said MOM.

"However, the unemployment situation is uneven, affecting non-PMETs more than PMETs," it added.

image: https://www.channelnewsasia.com/image/12133462/0x0/1248/742/44c88428455250e958b7606b83556e7e/ns/mom-pmet-v-non-pmet.jpg

Unemployment rate of resident PMETs and non-PMETs. (Graphics: MOM)

​​​​​​​

UNEMPLOYMENT RATE FOR NON-PMETS RISES

Unemployment among non-PMETs increased to 4.7 in June 2019 from 4.0 per cent a year prior, due to cyclical effects such as the US-China trade conflict which affected manufacturing output and retail trade.

But the increase in their long-term unemployment rate was "slight" - from 0.7 per cent to 0.8 per cent.

READ: Overall unemployment rate in Singapore inches up to 2.3% in Q3 - MOM

READ: Better job matching requires flexibility from jobseekers and employers: Josephine Teo

The proportion of resident workers on fixed-term contracts continued to increase to 7.6 per cent from 7.2 per cent last year, indicating that employers are more cautious on hiring amid uncertainty.

Permanent employees continued to form the vast majority among resident employees, even though their share dipped slightly from from 89.4 per cent to 89.3 per cent.

The ministry said it is closely monitoring the labour market with Workforce Singapore, and will support Singaporeans' employment through the Adapt and Grow initiative.

"We also encourage jobseekers to be open to opportunities in other sectors and occupations beyond what they are familiar with," it added.

Commenting on the labour report, Manpower Minister Josephine Teo said that the current outlook can be described as "persistent showers but with pockets of sunshine". 

Mrs Teo said that in spite of economic headwinds, companies were still hiring and local employment continued to grow.

Even in sectors hit by the trade tensions like manufacturing, there were about 6,000 manufacturing job vacancies in June this year. 

"That will remain our focus: Help people enter into jobs where there is potential for growth, where there's potential for advancement," she said. 

Source: CNA/jt(rw)
Read more at https://www.channelnewsasia.com/news/singapore/singapore-income-wages-labour-market-report-mom-12133236

Singapore household incomes grew in 2018, income inequality stable

Read? Singapore household incomes grew in 2018, income inequality stable


CW8888: How much is enough to retire comfortably in Singapore for a couple without housing loans and children all independence?

When you NO need to save for your retirement anymore and also debt free; $4,000 to $6,000 is enough???

Among households headed by a Singapore citizen or permanent resident which had at least one working person, the median monthly income last year grew by 3 per cent in nominal terms to S$9,293, up from $9,023 in 2017.

First HDB Blocks In Singapore

Today. SundayTimes got this news and old photo.

Yesterday, Uncle8888 happened to be there . Ha ha!

Super lucky generation. Landed Properties at HDB price!

Some Not High Income Jobs

Median Gross Monthly Income From Employment And Median Household Income in 2017

In 2017
Median gross monthly income from work : $4,232
Median resident employed households : $9,023

Singapore's household income grew in 2017, income inequality unchanged: Singstat

But slower household income growth, especially for the bottom 50 per cent of households, raise some concerns, economists say.

Read more at https://www.channelnewsasia.com/news/singapore/singapore-s-household-income-grew-in-2017-income-inequality-9939710

SINGAPORE: Resident households saw earnings from work increase in 2017, while income inequality in Singapore held near the lowest level in a decade, according to official data released on Thursday (Feb 8).

Among households headed by a Singapore citizen or permanent resident which had at least one working person, the median monthly income grew 2 per cent in nominal terms to S$9,023 last year, from S$8,846 in 2016.

Factoring in inflation, the increase was 1.5 per cent in real terms, the Key Household Income Trends report from the Singapore Department of Statistics showed.

After accounting for household size, the median monthly income per household member rose 4.5 per cent in nominal terms, or 3.9 per cent in real terms, to S$2,699 in 2017. 

The annual report also noted that households across all income groups enjoyed real growth in average work earnings per member last year.

Households in the 51st to 90th percentile income group saw the quickest growth rates, with income from work for each family member rising 3.7 to 4.5 per cent after taking into account inflation.


That income grew by 2.6 per cent in real terms for households in the top 10 per cent, while the lowest-earning households in the bottom 50 per cent recorded real income growth of 2.1 to 3.6 per cent.

For 2017, Singapore’s Gini coefficient – a measure of income inequality from 0 to 1, with 0 representing total income equality – held near 2016 levels.

It stood at 0.459 before taking into account Government transfers and taxes – little changed from 2016’s 0.458 and remained among the lowest in a decade.

After including Government transfers and taxes, the Gini coefficient for 2017 was reduced to 0.401, unchanged from the year before.

Families staying in one-room and two-room HDB flats received more government transfers than those in other housing types, the report showed.

On average, resident households in one-room and two-room HDB flats received S$10,245 per household member from various Government schemes last year. This was more than double the average of S$4,433 received per household member across all housing types.

WORRYING SIGNS

However, experts that Channel NewsAsia spoke to noted some areas of concern within the annual report.

For one, the increase in the median monthly household income was the slowest since 2009 when households registered a decrease in earnings from work. Then, the median monthly household income fell 1.5 per cent in nominal terms and 2.4 per cent in real terms.

The slowdown in income growth rate came despite a pick-up in Singapore’s gross domestic product (GDP) over the course of 2017, propelled by a stellar run in the manufacturing sector.

Maybank economist Chua Hak Bin said this boils down to the “weak and slow” recovery in the job market, which is still playing catch-up with the brighter prospects in the broader economy.

Nomura economist Brian Tan agreed, noting that the boost in GDP growth last year was levered on certain segments, namely the semiconductor sector, with limited spill-over effects on the rest of the economy.

“The labour market, and in turn wage growth, has not experienced as good a year as the headline GDP number suggested,” he told Channel NewsAsia. “Bearing in mind how weak the labour market was, it is not surprising that it has translated into a slowdown in the household incomes.”

Moving forward, overall job prospects will likely improve amid a broadening economic recovery, but wage growth in 2018 could be muted.

“The fourth quarter’s unemployment rate seems to be coming down further, which gives you some hope that the labour market is recovering,” said Mr Tan. “There is a possibility in wage growth going up but the rate of improvement won’t be as large as we hope.”

Meanwhile, the slower pace of income growth for the bottom 50 per cent households hinted at a “widening” gap between the poor and the rich, said Mr Leonard Lim from the Institute of Policy Studies.

“It is a point of concern because it shows that the income gap is widening between certain groups – the bottom half versus the 50th to 90th percentile – and it shows the increasing importance of the role of Government transfers to mitigate this,” the research associate added, referring to how the Gini coefficient in 2017 remained unchanged from the year before after including Government transfers.

In the longer run, more efforts should be directed to up-skilling and retraining low-wage workers for them to move on to higher-paying jobs, said Dr Chua.

Source: CNA/ms
Read more at https://www.channelnewsasia.com/news/singapore/singapore-s-household-income-grew-in-2017-income-inequality-9939710

Number Of Millionaires In Singapore?

Singapore dividends to drop: study

Read? Singapore dividends to drop: study

2017 total will fall 3.6% as stalwarts such as StarHub, SPH and Keppel disappoint

Clubs still milking millions from jackpot cash cows

Read? Clubs still milking millions from jackpot cash cows


The jackpot operations of social clubs have been in the news lately after it was reported that the Tiong Bahru Football Clubhouse, at the basement of People's Park Centre in Chinatown, generated an eye-popping S$36.8 million in revenue from its 29 slot machines in the last financial year.

That works out to roughly S$1.27 million for each machine, or just over S$100,000 per machine each month. The club paid out about S$23 million to punters in 2016, according to its annual report submitted to the Football Association of Singapore.

(CW: 36.8 - 23 = $13.8M)

Driving Porsche And Ferrari To Work!!!

Uncle8888's close encounter with two young guys just few years out from their university study. 

One drove Porsche. The other one drove Ferari!

The Porsche was his vendor.

Ferrari was his Product Manager.


Can you image that guy parking his Ferrari beside his bosses when they went out for meeting together?

That Porche guy was saying that the System which he has sold to Uncle8888's company was cheaper than his Porche and you guys were still asking for more discount for maintenance support fee! 

Argh!!!


Financial Independence is at its best when they have just started working!

Singapore's wealth per adult rises 1.4% in 2016, continuing trend of slower growth rates: Credit Suisse report

Read? Singapore's wealth per adult rises 1.4% in 2016, continuing trend of slower growth rates

SINGAPORE - Singapore is now tenth in the world in terms of household wealth per adult, down from eighth last year, but still top in Asia, says a report released on Tuesday (Nov 22) by the Credit Suisse Research Institute.

Wealth per adult rose 1.4 per cent to US$277,000 (S$394,000) in 2016. This compares to the annual growth rate of 6 per cent from 2000 to 2016 caused by high savings, asset price increases and the rising Singapore dollar from 2005 to 2012.

Note that "wealth" in this study includes the price or value of one's home. It also includes the value of financial assets like bank savings, shares and bonds.

Wealth per adult here is forecast to rise 2.2 per cent a year to US$309,000 in 2021, said Credit Suisse in its seventh annual Global Wealth Report.

Singapore's total household wealth grew 2.9 per cent in 2016 to reach US$1.1 trillion, reversing a 5.8 per cent drop to US$1 trillion last year.

But household wealth here will accelerate at a rate of 3.5 per year in the next five years to reach US$1.4 trillion in 2021, Credit Suisse projected.

The report found wealth distribution in Singapore "moderately unequal", with 18 per cent of adults having wealth below US$10,000, compared with 73 per cent globally.

Singaporeans have also progressed rapidly up the wealth pyramid, with now 50 per cent of adults having a net worth above US$100,000, compared to 21 per cent in 2000, while those with wealth below US$100,000 have declined from 79 per cent to 50 per cent of adult population.

The number of millionaires grew 2 per cent to 150,000 in 2016, who together have US$541 billion in wealth.

The super-rich, or ultra-high-net-worth individuals with more than US$50 million each, grew even faster at 14.2 per cent to 885.

The number of millionaires is forecast to grow 4.2 per cent per annum to 185,000 in 2021.

Financial assets make up 54 per cent of gross household wealth in Singapore, a ratio similar to that of Switzerland and the United Kingdom.

The average debt of US$54,800 per adult here is moderate for a high-wealth country, representing 17 per cent of total assets, said Credit Suisse.

Median household income from work in Singapore up 2.6% in real terms in 2016

Read? Median household income from work in Singapore up 2.6% in real terms in 2016

THE median household income from work among resident employed households in Singapore rose to S$8,846 in 2016 from S$8,666 in 2015, up 2.6 per cent in real terms, Singapore's Department of Statistics (DOS) said on Thursday.

This is a drop from the 4.9 per cent increase in real median household income from work in 2015, said DOS's latest paper, Key Household Income Trends, 2016.

After factoring in household size, the median monthly household income from work per household member rose 3.8 per cent in real terms, lower than l2015's 5.4 per cent growth in real terms.

While households experienced real growth in average household income from work per household member in 2016, the growth has slowed down across the board.

In 2016, the top 10 per cent of households saw the slowest growth with a marginal 0.2 per cent real growth in average household income from work per household member, while it grew 7.2 per cent in 2015.

The bottom 10 per cent of households saw a growth of 1.4 per cent in 2016, when the average household income from work per household member grew 10.7 per cent in real terms in 2015, attributable to the shrinking household size and thus fewer working persons per household, said DOS.

The Gini coefficient, a measure of income inequality, fell to 0.458 in 2016 from 0.463 in 2015. After taking into account the redistributive effect of government transfers, the Gini coefficient fell to 0.402 in 2016 from 0.409 in 2015.

Many Of Us In Singapore Are Earning This Much

How much do people earn?

Re-employment age raised to 67 on Jul 1, 2017

CW8888: Good news for those like to work longer.

SINGAPORE: The re-employment age of older workers will be raised from 65 to 67 on Jul 1, 2017, Minister of State for Manpower Sam Tan announced in Parliament on Friday (Apr 8) as part of the Committee of Supply debate.


He added that the additional wage offset of 3 per cent for employers who re-employ workers above the age of 65, which is currently in place, will continue to Jul 1, 2017, as previously announced.

EXPANDED RE-EMPLOYMENT OPTIONS

Mr Tan also announced new re-employment options for employees. Noting that employers can sometimes help workers secure re-employment in a related or subsidiary company, the Minister of State said that the law will be amended to allow a new employer to take on the re-employment obligations of the the original employer.

This will be subject to the employee's agreement, and will take effect Jul 1. 

And in the situation where re-employment in not possible, the Employment Assistance Payment amounts and age coverage will be increased accordingly, said Mr Tan.

To help employers and workers be prepared for the upcoming changes, the Tripartite Guidelines on the Re-employment of Older Employees has been updated, and will be released over the next few weeks, the Minister of State said.

WAGE CUT PROVISION REMOVED

Mr Tan also announced that the wage cut provision - which allowed employers to reduce wages of workers turning 60 by up to 10 per cent - will be removed from Jul 1, 2017.

He noted that the provision was no longer relevant, as more than 98 per cent of companies no longer reduce wages at 60.

"Going forward, pay should be reflective of workers' job scope and value, rather than their age," said Mr Tan.
 

- CNA/av

Bloggers taken by surprise by IRAS letter on taxable income

Read? Bloggers taken by surprise by IRAS letter on taxable income


For IRAS to plug this revenue loophole, these bloggers must be making tons of money to attract Taxman attention.

Median household income at S$8,666

SINGAPORE: Households across all income groups earned more last year, with those in the lowest 30 per cent and top 10 per cent seeing the fastest real income growth, according to official data released on Friday (Feb 26).

Based on the Department of Statistics' annual Key Household Income Trends survey, the median household income from work rose to S$8,666 last year, up S$374 from S$8,292 in 2014. This is an increase of 4.5 per cent in nominal terms, or an increase of 4.9 per cent in real terms, after accounting for inflation.

Household income from work includes employer Central Provident Fund contributions.
From 2010 to 2015, the median monthly household income from work of resident employed households rose by 20.4 per cent cumulatively, or 3.8 per cent per annum in real terms, Singstat said in a press release on Friday (Feb 26).

Median monthly household income from work over the last five years. (Infographic: Singapore Department of Statistics)

Taking household size into account, median monthly household income from work per household member rose 5 per cent in nominal terms, or 5.4 per cent in real terms.

This increase came about amid a tight labour market, as well as an increase in the employer CPF contribution rates in 2015.

Speaking to Channel News Asia, Standard Chartered Singapore economist Jeff Ng said it was "positive" that household income growth outperformed GDP growth, which came in at 2 per cent for 2015.
Noting that household income growth was also boosted by government measures, such as the pioneer generation package, Mr Ng said: "Going forward I think further household income growth will rely on productivity growth."

CIMB Private Banking economist Song Seng Wun said that while Singapore's income growth will slow in tandem with a slowing global economy, it is likely to "continue growing at levels above annual GDP growth".


CW8888: How much do we need to retire at present passive income level in Singapore to live like the next person on our left or right?


It is about $2,500 per retiree in our household and about $5K for Uncle8888 and his spouse.

Poly grads earn more, but take longer to find jobs: Survey

SINGAPORE: Polytechnic graduates who found permanent full-time jobs earned higher salaries in 2015 than the previous year, but they also took longer to find jobs.


Results from the 2015 Graduate Employment Survey, jointly conducted by the five polytechnics, released on Friday (Jan 8) revealed that the the median gross monthly salary was S$2,100, up 5 per cent from S$2,000 in 2014.










Those from the Health Sciences and Built Environment, Engineering and Maritime course categories earned more than their peers. Health Sciences polytechnic graduates who have completed National Service earn the highest median monthly gross salary of S$2,610, the findings showed.

Singapore advertising rules to come for social media marketing and bloggers

SINGAPORE - There are currently no rules in Singapore for advertising online or on social media tools, such as blogs.

Now, the Advertising Standards Authority of Singapore (ASAS) has drafted guidelines for this sector and is seeking public input.

The new guidelines, called the Digital and Social Media Advertising Guidelines, stipulate that online and social media advertisers must comply with the Singapore Code of Advertising Practice (SCAP) that print advertisements must follow. This includes rules for honesty and decency.


The new guidelines also establish levels of disclosure required of sponsored messages that appear on blogs and social media channels such as Facebook, Instagram and Twitter. Marketers will be required to make sponsored messages distinguishable from personal opinion and editorial content in their posts, and disclose any commercial relationships.

Marketers also need to be transparent about fees.

"After an extensive study and some inputs from various industry players, ASAS has drawn up the draft Digital and Social Media Advertising Guidelines, in order to address the challenges created by such advertisements," said a statement from ASAS released on Monday (Dec 7). The guidelines draw reference from similar codes of conduct already established in places such as Australia and Britain.

The period of consultation is from now to Jan 8, 2016. Interested parties can submit written comments on the guidelines to asas@case.org.sg no later than 5pm on Jan 8.

Submissions can also be sent in by post to ASAS at 170 Ghim Moh Road, Ulu Pandan Community Building, #05-01, Singapore 279621.


CW8888:  Blogger like Uncle8888 earns nothing from blogging so not affected. No commercial ads. LOL!

 

Real incomes rise in Singapore amid tight labour market: MOM report

SINGAPORE: Incomes rose strongly in Singapore this year amid a tight labour market, data released by the Ministry of Manpower (MOM) showed on Monday (Nov 30).

The median monthly income of full-time employed residents, including employer Central Provident Fund (CPF) contributions, rose by 4.7 per cent to S$3,949 as of June 2015. After taking into account negative inflation, real median income growth for residents was 5.4 per cent.
 
Low-wage workers also saw an increase in their income. There was a “sustained increase” in income at the median and 20th percentile over the last five years, helped by initiatives to boost the income of low-wage workers, MOM said. After accounting for inflation, real income growth was 3.1 per cent at the median and 2.1 per cent at the 20th percentile.

MORE WOMAN, ELDERLY JOINED WORKFORCE

The labour force participation rate rose for the fourth consecutive year, increasing from 67 per cent last year to 68.3 per cent in June 2015, the report showed. 

More women and older residents joined the workforce amid the greater availability of flexible work arrangements and efforts to improve the employability of older workers, the ministry said.

The employment rate for residents aged 25 to 64 rose further to 80.5 per cent in June 2015, up from 79.7 per cent a year ago, helped by strong employment gains in the second half of last year, MOM said.

Unemployment fell for those aged 25 to 29 and in their 30s and 40s, according to the report. However, unemployment rose for older workers aged 50 and above, as well as for non-degree holders.

“For the rest of this decade, we expect employment to grow at a slower pace than in the last five years, amid a more gradual rise in the resident labour force and continued restructuring of the economy,” MOM said.

- CNA/cy