On November 27, the Public Service Division (PSD) announced that Singapore’s civil servants will receive a 0.6-month year-end bonus for 2023. This decision reflects the economic conditions, with Singapore’s gross domestic product (GDP) growth projected at around 1% for the year.

In total, civil servants will receive a 0.9-month bonus, known as the annual variable component (AVC), this year. Officers in grades equivalent to MX13(I) and MX14 will receive an additional lump sum of S$400, while those in MX15 and MX16, along with personnel under the Operations Support Scheme, will get a higher lump sum of S$800.

The year-end bonus follows a mid-year payment of 0.3 months, made in June, along with a one-time payment of up to S$400 for junior grade officers. The government continues to provide a non-pensionable annual allowance equivalent to a month’s salary, commonly referred to as the 13th-month bonus.

The decision for this year’s bonus was influenced by the current economic landscape, which includes subdued external demand and potential risks from geopolitical tensions. These factors led the Ministry of Trade and Industry to revise its GDP growth forecast for 2023, narrowing it to a range of 0.5% to 1.5%, ultimately landing on approximately 1%.

Deputy Secretary-General of the National Trades Union Congress, Cham Hui Fong, noted that the negotiations surrounding the year-end bonus took into account the ongoing challenges faced by civil servants and were concluded with goodwill to acknowledge their efforts.

Sanjeev Kumar Tiwari, General Secretary of the Amalgamated Union of Public Employees (AUPE), expressed that the bonus and lump sums would help alleviate rising living costs for public officers. He emphasized the importance of ongoing collaboration with the government to ensure that civil servants are adequately recognized for their contributions.

In 2022, civil servants received a total of 1.45 months in full-year AVC.