SINGAPORE – A lack of public respect, stagnant or slow wage growth amid climbing living costs, and a lack of awareness about or opportunity to pursue training and career progression are three key issues weighing heavily on lower-wage workers here.
Even though half of the 400 lower-wage workers polled by the National Trades Union Congress (NTUC) as part of a year-long engagement exercise felt proud of their jobs, a quarter still felt they were not respected as much as professionals, managers and executives.
This was among the insights found in a wide-ranging report released by the NTUC on Friday on the concerns and aspirations of workers.
There were 130 engagements involving over 42,000 of them undertaken by the labour movement, which pledged on Friday to continue improving workers’ well-being amid new technologies, job roles and social norms.
The report featured 10 recommendations and various policy proposals to realise them, spanning five worker segments: youth, mid-career workers, caregivers, older workers and vulnerable workers.
It found that young employees were most concerned about upskilling, while caregiving was the top worry of mid-career staff. Older workers, meanwhile, were especially worried about retirement savings.
NTUC also highlighted the vulnerability of lower-wage workers, as well as the self-employed, due to unfavourable working conditions, limited job security and inadequate work protections.
Only 45 per cent of workers in the bottom 20th percentile for wages had a clear understanding of the promotion opportunities and requirements for job advancement, compared with 63 per cent for those in the 20th to 50th percentile.
Moreover, only one in four lower-wage workers – defined as those earning up to the 20th percentile income level for full-timers, or $2,492 a month as at 2022 – attended training in the last year.
Time constraint was the top reason cited by those who did not attend training in that period.
Lower-wage workers also found it harder to find jobs with flexible arrangements.
Seven in 10 of those with caregiving responsibilities who earn under $2,500 a month cited this as a challenge, compared with half for those in higher income brackets.
“The irony is that many of these low-wage workers are also (providing) essential services,” Ms Shirley Loo, NTUC director of economic policy, said in a briefing on the report’s findings on Thursday.
“We believe that for an advanced economy like Singapore, no worker should be left behind in the nation’s progress,” she added.
To help even the playing field for these workers, the NTUC proposed that elements of the Progressive Wage Model (PWM) be expanded to more lower-wage roles, such as machine operators and those in social services.
The PWM is a wage ladder with pay rises pegged to training and productivity.
The NTUC also called for the skilled trades to be professionalised, adding that it is working with the Ministry of Manpower to develop a Career Progression Model with specific career and accreditation pathways to this end.
The report also provided more details on other proposals it has released in recent months, including a call from labour chief Ng Chee Meng on Sept 21 for the Government to pay a training allowance so mid-career individuals can focus on developing deep skills through intensive training.
Such an allowance could be tied to a percentage of their last-drawn salary, as is done in Finland, where the allowance is provided for 15 months at most, the report found.
When asked whether the training allowance should be paid on top of planned unemployment support for retrenched workers from the Government, Mr Ng said at Thursday’s briefing that it is for the Government to decide the best way to implement recommendations they agree with.
NTUC also found that almost half of older workers aged 55 and above believed they lack adequate retirement savings across their Central Provident Fund accounts and personal savings.
It suggested in the report that CPF contribution data be used “to proactively identify and assist” groups who would likely not meet their Basic Retirement Sum.
Apart from those who are vulnerable, older or mid-career workers, the report also touched on the challenges and aspirations for youth and caregivers.
NTUC suggested the eligibility age for SkillsFuture Credit be lowered to 23, from 25 now.
It said in the report: “A growing number of youth have opted to undertake a gap semester or year to navigate their career interests.
“Nevertheless, as it stands, these youth may be unable to tap SkillsFuture funding to deepen their skill sets or develop workplace soft skills.”
Even though the proportion of employers offering paid family care leave doubled from 15 per cent in 2012 to 30 per cent in 2022, according to Manpower Ministry data, paid caregiving leave is still not statutorily mandated, NTUC noted.
It suggested that all workers be ultimately provided a baseline of paid statutory caregiving leave to support their care for elderly, ill or disabled family members.
“The definition of family members should be broad enough to cover relations by blood, marriage or adoption,” added NTUC.
Deputy Prime Minister Lawrence Wong said on Friday that the ideas broached by the labour movement in its report are broadly aligned with the Government’s thinking on recommendations to be presented after the Forward Singapore engagement exercise.
“We will incorporate as much of them as possible,” Mr Wong said, in a panel discussion held by NTUC.
Still, there will be some proposals from NTUC with tradeoffs that prevent their immediate adoption, he added.
The 10 recommendations in the #EveryWorkerMatters Conversations report
Youth
- A more comprehensive support system for youth
- Workplaces that adapt to diverse career aspirations and needs
Mid-career workers
- Equip workers to transition to more resilient career pathways
- Develop a training ecosystem that supports the acquisition of deep skills throughout life
Caregivers
- Give caregivers access to more flexible work arrangements
- More support to manage work and caregiving, especially for those with elderly family members
Older workers
- Fair employment and training opportunities in a multi-generational workforce for older workers
- Provide basic retirement adequacy for those who have consistently been in employment
Vulnerable workers
- Recognise, respect and reward essential, lower-wage workers
- Stronger representation and better protection for self-employed people
Correction note: This article has been edited for accuracy.
