PM Lee: Companies hiring foreigners must pay all S'porean workers at least S$1,400

Support for lower wage workers.

Zhangxin Zheng | August 29, 2021, 10:33 PM

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At the National Day Rally, Prime Minister Lee Hsien Loong announced measures to help improve lower wage workers' income in the longer term and to ensure fair treatment at workplaces to address anxieties that Singaporeans face over work pass holders.

One of the measures is to mandate all companies who hire foreign workers to pay all local employees at least a Local Qualifying Salary of S$1,400.

The Local Qualifying Salary will also be adjusted from time to time, he added.

Currently, companies are already paying the Local Qualifying Salary to some of their local employees, depending on how many foreigners they hire.

According to PM Lee, the extended Progressive Wages and tighter Local Qualifying Salary will cover eight in 10 lower wage workers.

Almost all lower wage workers can look forward to higher incomes within the next two years with the inclusion of Workfare Income Supplement scheme, he said.

Expanding progressive wages to more sectors, introducing PW mark

Other measures to support lower wage workers include expanding progressive wages (PW) to more sectors and occupations, as well as introducing a PW Mark to differentiate companies which pay progressive wages from those which do not.

PM Lee also reminded Singaporeans in his speech that foreigners who are working in Singapore are here to strengthen our team.

They are "our colleagues, our neighours and friends", he said.

To ensure fair treatment at workplace, a new tribunal will also be created to deal with disputes over workplace discrimination.

This should further protect employees from discrimination based on nationality, age, race and religion, and disability. Women will be better protected too.

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Top image by EM Services Pte Ltd.