S'pore civil servants to get 0.4-month mid-year bonus for 2025

The Singapore government will be paying all civil servants a mid-year bonus of 0.4 months.

Specifically, those in grades equivalent to MX13(I) and MX14 will receive an additional one-time payment of S$250, announced the Public Service Division (PSD) in a Jun. 16 media release.

Those in grades equivalent to MX15 and MX16 and those in the Operations Support Scheme (OSS) will receive a higher one-time payment of S$400.

According to PSD, the mid-year Annual Variable Component (AVC) was calculated "in close consultation with public unions".

The amount also takes into consideration Singapore's economic performance in the first quarter of 2025 and the "subdued economic outlook" for the year.

"Given the forecast of weaker gross domestic product (GDP) 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," said PSD.

In 2024, civil servants in Singapore received a mid-year bonus of 0.45 months and a year-end bonus of 1.05 months.

Uncertainty looms over economic & labour market

Elaborating on its considerations, PSD said in the media release that 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 (MTI) has maintained the GDP growth forecast of 0.0 per cent to 2.0 per cent for 2025.

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

Similarly, advance estimates from the Ministry of Manpower (MOM) showed "signs of moderating labour demand" in Singapore's labour market.

Although the labour market continued to expand in the first quarter of 2025, the pace of employment growth has slowed compared to previous quarters, according to PSD.

Concurrently, unemployment rates have edged up slightly from December 2024.

Going forward, MOM also expects the labour market to soften "given the greater uncertainties weighing on business sentiments," said PSD.

'Progressive approach' to mid-year payments

PSD added that the government decided to take "a progressive approach" to the mid-year payments to civil servants.

The one-time payment of S$400 for civil servants in junior grades equivalent to MX15 and MX16, as well as those in OSS, will serve as "additional support" for the officers.

"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 AVC payments," said PSD.

Top image by Winnie Li/Mothership