In a year marked by global uncertainty and regional economic adjustments, Singapore’s salary trends continue to draw attention from economists, employees, and business leaders alike. Has the average salary truly kept rising in 2024 — and what does that really mean?
Median salary growth still on the rise
The numbers are clear: the median gross monthly salary for full-time employed residents in Singapore hit S$5,500 in 2024. That’s a 5.8% increase from 2023’s S$5,197, according to data from the Ministry of Manpower (mom.gov.sg).
Nominal wage growth — unadjusted for inflation — rose by 5.6%, slightly above 2023’s 5.2%. Once inflation, which eased to 2.4% in 2024, is accounted for, real wages rose by 3.2%, significantly higher than the modest 0.4% gain in 2023. That marks the strongest real wage growth since before the pandemic.
The long-term picture offers further context. Over the past decade, median salaries in Singapore have risen cumulatively by 45.9%, averaging an annual growth rate of around 3.8% (SmartWealth.sg).
Deepening disparities by occupation
Despite the overall increase, the gap between occupational categories is as stark as ever. Managers and administrators had the highest median monthly salary at S$10,820, while cleaners and manual laborers earned just S$2,070 — more than five times less.
| Occupation Group | Median Monthly Salary (SGD) |
|---|---|
| Managers & Administrators | S$10,820 |
| Professionals | S$8,363 |
| Technicians & Associates | S$4,735 |
| Cleaners & Labourers | S$2,070 |
“My pay has gone up each year, technically, but it doesn’t feel like it buys more,” says Jeremy Tan, a 36-year-old claims officer. “Every time my salary bumps up, rent, groceries, and even school fees rise with it. It’s like chasing a moving target.”
Household incomes: a slower climb
On the household level, median income rose to S$11,297 — a 1.4% increase in real terms, according to Singapore Department of Statistics (singstat.gov.sg). Per household member, that figure came in at S$3,615, reflecting a more modest 0.8% real gain.
These figures suggest that while individual salaries are rising faster, overall household prosperity might be advancing at a slower pace, weighed down by cost of living pressures and stagnant growth in dual-income or multi-generational setups.
Employer response and 2025 outlook
The wage bump in 2024 was partly driven by a tight labor market and increased competition for skilled talent. According to Mercer’s Total Remuneration Survey (Mercer), 80% of companies awarded salary increments in 2024, up from 65.6% in 2023. The average salary increment across industries was 4.2%.
Some sectors led the pack:
- Aerospace: +4.5%
- Banking and Finance: +4.4%
- Technology: +4.1%
However, economic headwinds loom. Analysts from Channel News Asia and others suggest wage growth may moderate in 2025, citing geopolitical tensions, supply chain volatility, and a cautious business outlook as variables.
Cost of living vs. wage gains
One crucial caveat continues to temper the optimism: cost-of-living increases have outpaced salary growth in some years, leading to concern about wage compression. Between 2019 and 2023, inflation outstripped real wage growth, eroding household purchasing power. While 2024 reversed that trend somewhat, the gap remains a focus of debate.
What factors are driving the increase in average salaries in Singapore?
The rise in salaries stems from persistent labor shortages in skilled sectors, heightened competition for talent, state-backed upskilling programs, and sustained economic recovery post-COVID. Government initiatives like SkillsFuture and Progressive Wage Models also contributed to wage support, particularly in lower-income segments.
How does the average salary in Singapore compare to other countries in the region?
Singapore remains one of the top-paying countries in Asia. Compared to regional peers like Malaysia or Indonesia, its average salaries are significantly higher. However, when measured against high-cost cities like Hong Kong or Tokyo, Singapore sits in the mid-to-high range, with a relatively balanced tax regime and quality of life.
What are the projected salary trends for different industries in Singapore?
Projections vary by sector. In 2025, industries like aerospace, tech, and life sciences are expected to maintain steady increments due to global demand. Meanwhile, retail and hospitality may experience flatter wage growth due to automation and cautious consumer spending patterns.
How does the cost of living in Singapore affect salary expectations?
High housing costs, healthcare, and education expenses significantly influence salary expectations. Workers increasingly assess compensation not just by nominal figures, but by what those figures afford — a metric increasingly outpaced by the cost of essentials in the city-state.
What are the main challenges facing employees in Singapore regarding salary increments?
Aside from inflation, challenges include automation threats in mid-skilled jobs, competition from foreign professionals, and limited upward mobility in certain sectors. Moreover, salary negotiations remain opaque in many firms, leaving workers reliant on annual reviews without strong leverage.
