Civil servants to receive 0.4-month mid-year bonus; one-time payment for junior grade officers

SINGAPORE: Civil servants in Singapore will receive a 0.4-month mid-year bonus, with junior grade officers getting an additional one-time payment of up to S$400 (US$312), the Public Service Division (PSD) said on Monday (Jun 16). 

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

PSD said the mid-year payment takes into consideration Singapore’s economic performance in the first quarter of 2025, and the “subdued economic outlook for this year”.

“Given the forecast of weaker gross domestic product growth and the downside economic risks, the public sector unions and the government will jointly monitor the economic performance for the rest of the year, and will calibrate the year-end payments accordingly,” it said.

PSD added that the government and the unions will continue to jointly monitor the economic situation closely, and take into consideration the National Wages Council guidelines, which will be released later in the year, in deciding the year-end annual variable component (AVC) payments.

Last year, civil servants received a mid-year bonus of 0.45 months and a year-end bonus of 1.05 months. 

The mid-year civil servant bonus for 2023 was 0.3 months. 

ECONOMIC, LABOUR MARKET OUTLOOK

The Singapore economy grew by 3.9 per cent on a year-on-year basis in the first quarter of 2025. 

The Ministry of Trade and Industry has maintained the GDP growth forecast of 0 per cent to 2 per cent for the year. 

“The assessment takes into consideration that the global economic environment remains clouded by significant uncertainty, with the risks tilted to the downside,” said PSD. 

On the labour market front, PSD said advance estimates from the Ministry of Manpower showed signs of moderating labour demand. 

Although the labour market continued to expand in the first quarter of 2025, the pace of employment growth has slowed compared to previous quarters, and unemployment rates have edged up slightly from December 2024, with the ministry expecting the labour market to soften going forward, given the greater uncertainties weighing on business sentiments.

The decision to pay all civil servants an AVC of 0.4 months was made against this backdrop, in close consultation with the public sector unions, said PSD. 

National Trades Union Congress (NTUC) deputy secretary-general Cham Hui Fong said the Civil Service unions negotiated with the PSD on the mid-year AVC payment.

“We took into account that Singapore businesses and workforce are facing headwinds like the global trade tensions and slowing global growth. 
 
“The mid-year AVC payment of 0.4 month for the civil service is thus moderated and balanced as we are navigating a complex environment with lots of uncertainties. The additional one-time lump sum payments give (a) boost to civil servants who may need more assistance during this period,” she said, also extending her thanks to civil servants for their hard work in serving Singaporeans. 

Ms Cham also urged companies across all sectors to work closely with unions and workers to prepare for the challenges ahead, such as by having open and proactive communications to share their business challenges, strategic shifts and technological adoption. 

“NTUC stands ready to help prepare the workforce for these changes, ensuring no one is left behind, especially our older workers who need additional support during transitions,” she added.

“Together with employers, we must work hand-in-hand to build resilience and adaptability in our workforce while navigating these uncertain times.”
 
Amalgamated Union of Public Employees (AUPE) general secretary Sanjeev Kumar Tiwari said the union is pleased that the government accepted its proposal for the mid-year AVC payment and additional lump sum payments amid the “turbulent global environment”. 

“We appreciate these lump sum payments, which provide some relief for our officers in these grades during challenging times and demonstrate the government’s continued commitment to supporting our officers,” he said.

“As we navigate these uncertain conditions, AUPE encourages all public officers to continue to remain adaptable and seize opportunities to upskill themselves. We will continue to monitor the economic situation closely with the government as we work toward determining the year-end AVC.”