Civil servants in Singapore are set to receive a 0.4-month mid-year bonus, with junior grade officers receiving an additional one-time payment of up to S$400 (US$312), according to the Public Service Division (PSD).

Employees in grades equivalent to MX13(I) and MX14 will get a one-time payment of S$250, while those in grades equivalent to MX15 and MX16, as well as those in the Operations Support Scheme, will receive a higher one-time payment of S$400.

The mid-year bonus reflects Singapore's economic performance in the first quarter of 2025 and the "subdued economic outlook" for the year, as stated by PSD.

The government and public sector unions will closely monitor the economic situation and adjust year-end payments based on the country's GDP growth and economic risks.

Last year, civil servants received a mid-year bonus of 0.45 months and a year-end bonus of 1.05 months, while the mid-year bonus for 2023 was 0.3 months.

Economic and Labour Market Outlook

Singapore's economy grew by 3.9% year-on-year in the first quarter of 2025, with the Ministry of Trade and Industry maintaining a GDP growth forecast of 0% to 2% for the year, considering global economic uncertainties.

Labour market indicators show a moderation in demand, with slower employment growth and slightly higher unemployment rates, leading to the decision to pay all civil servants an AVC of 0.4 months in consultation with public sector unions.

NTUC deputy secretary-general Cham Hui Fong emphasized the need for companies to collaborate with unions and workers to navigate challenges, ensuring workforce resilience and adaptability during uncertain times.

AUPE general secretary Sanjeev Kumar Tiwari welcomed the mid-year AVC payment and additional lump sum payments, providing relief to officers in challenging times and supporting their upskilling efforts.

Source: CNA