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05-06-2013, 11:20 AM
An honorable member of the Coffee Shop Has Just Posted the Following:
SINGAPORE — The Ministry of Manpower’s Research and Statistics Department said today (June 5) that while workers’ wages continued to rise last year, real total wages fell 0.4 per cent after taking inflation into account.
The department noted in its “Report on Wage Practices, 2012” report released today that the tight labour market has continued to boost workers’ wages, although the increase moderated last year amid weaker economic conditions.
A large majority of employees were also under some form of flexible wage system, the report added.
Reflecting the weaker economic conditions last year, total wages (including employer CPF contributions) in the private sector rose by 4.2 per cent, lower than the growth of 6.1 per cent registered the year before.
After adjusting for inflation using the Consumer Price Index (CPI) for all items, real total wages (including employer CPF contributions) declined by 0.4 per cent in 2012, after rising by 0.9 per cent the year before.
When adjusted using CPI less imputed rentals on owner-occupied accommodation (OOA), which relates more directly to the actual cash expenditures of households, real total wages (including employer CPF contributions) rose by 0.5 per cent in 2012, after increasing by 1.9 per cent in 2011.
The report also said that real wage increases have been supported by productivity growth over the long term.
Labour productivity grew on average by 1.6 per cent per annum, exceeding the growth in real total wages (including employer CPF contributions) of 1.2 per cent per annum over the decade from 2002 to 2012.
In the immediate post-SARS years, labour productivity grew strongly on the back of robust GDP growth. However, in the last five years, labour productivity shrank by 0.4 per cent per annum as economic growth was driven primarily by employment.
FLEXI-WAGE SYSTEMS
A large majority of employees in the private sector were under some form of flexible wage system, following a general uptrend in the implementation of flexible wage measures recommended by the tripartite partners representing employers, workers and the government in 2004, the report said.
In December 2012, 87 per cent of private sector employees were working in establishments which had at least one of the flexible wage components recommended by the tripartite partners. This was comparable to the 86 per cent in December 2011 and notably higher than the 76 per cent in June 2004.
Having a narrow maximum-minimum salary ratio was the most common wage recommendation adopted, with 65 per cent of private sector employees working in establishments with this flexible wage component.
This was followed by linking variable bonus to Key Performance Indicators (49 per cent) and having the Monthly Variable Component (34 per cent) in the wage structure.
Click here to view the whole thread at www.sammyboy.com (http://sammyboy.com/showthread.php?153734-Real-wages-declined-by-0-4-in-2012&goto=newpost).
SINGAPORE — The Ministry of Manpower’s Research and Statistics Department said today (June 5) that while workers’ wages continued to rise last year, real total wages fell 0.4 per cent after taking inflation into account.
The department noted in its “Report on Wage Practices, 2012” report released today that the tight labour market has continued to boost workers’ wages, although the increase moderated last year amid weaker economic conditions.
A large majority of employees were also under some form of flexible wage system, the report added.
Reflecting the weaker economic conditions last year, total wages (including employer CPF contributions) in the private sector rose by 4.2 per cent, lower than the growth of 6.1 per cent registered the year before.
After adjusting for inflation using the Consumer Price Index (CPI) for all items, real total wages (including employer CPF contributions) declined by 0.4 per cent in 2012, after rising by 0.9 per cent the year before.
When adjusted using CPI less imputed rentals on owner-occupied accommodation (OOA), which relates more directly to the actual cash expenditures of households, real total wages (including employer CPF contributions) rose by 0.5 per cent in 2012, after increasing by 1.9 per cent in 2011.
The report also said that real wage increases have been supported by productivity growth over the long term.
Labour productivity grew on average by 1.6 per cent per annum, exceeding the growth in real total wages (including employer CPF contributions) of 1.2 per cent per annum over the decade from 2002 to 2012.
In the immediate post-SARS years, labour productivity grew strongly on the back of robust GDP growth. However, in the last five years, labour productivity shrank by 0.4 per cent per annum as economic growth was driven primarily by employment.
FLEXI-WAGE SYSTEMS
A large majority of employees in the private sector were under some form of flexible wage system, following a general uptrend in the implementation of flexible wage measures recommended by the tripartite partners representing employers, workers and the government in 2004, the report said.
In December 2012, 87 per cent of private sector employees were working in establishments which had at least one of the flexible wage components recommended by the tripartite partners. This was comparable to the 86 per cent in December 2011 and notably higher than the 76 per cent in June 2004.
Having a narrow maximum-minimum salary ratio was the most common wage recommendation adopted, with 65 per cent of private sector employees working in establishments with this flexible wage component.
This was followed by linking variable bonus to Key Performance Indicators (49 per cent) and having the Monthly Variable Component (34 per cent) in the wage structure.
Click here to view the whole thread at www.sammyboy.com (http://sammyboy.com/showthread.php?153734-Real-wages-declined-by-0-4-in-2012&goto=newpost).