Singapore steps up push to uplift lower-wage workers, strengthen safety and support migrant workforce

Singapore is doubling down on efforts to uplift lower-wage workers, improve workplace safety and enhance support for migrant workers as it builds a more inclusive labour market, Minister of State for Manpower Dinesh Vasu Dash said in Parliament on Monday.

Speaking during the Ministry of Manpower’s Committee of Supply debate, Dash said the government’s labour policies are anchored in a “We First” approach that ensures economic progress benefits every worker.

“As we build the economy of tomorrow, our commitment is that each and every worker will be supported — and that no worker will be left behind,” he said.

Dash highlighted Singapore’s long-running tripartite approach—bringing together government, unions and employers—to raise wages and career prospects for lower-income workers.

Central to this effort is the Progressive Wage Model, which sets sector-specific wage ladders tied to productivity and skills development.

“We have uplifted wages for lower-wage workers without putting their jobs at risk,” Dash said. “Wage increments are sustainable for employers because they go hand in hand with productivity growth.”

The model now benefits about 150,000 workers, more than five times the number covered in 2020. Workers outside the model are supported by the Local Qualifying Salary, which requires firms employing foreign workers to pay local employees at least a minimum threshold. That requirement will be raised from S$1,600 to S$1,800 per month from July 1, 2026, the minister said.

“This ensures locals are employed meaningfully, rather than in token jobs just so firms can access foreign workers,” he added.

Lower-wage workers also receive income supplements through the Workfare Income Supplement scheme, which has paid S$12.7 billion to more than 1.1 million workers since its launch in 2007.

The government raised the scheme’s qualifying wage ceiling to S$3,000 last year and increased annual payouts to up to S$4,900, Dash said, adding that the programme will continue to be reviewed regularly.

The government is also extending financial support to employers to help them manage rising labour costs while improving productivity. The Progressive Wage Credit Scheme, introduced in 2022, will be extended until 2028.

Under the scheme, the government co-funds wage increases for lower-income workers while businesses upgrade operations and redesign jobs.

“For wage increases between 2022 and 2024, the government supported about S$3.6 billion for more than 110,000 employers,” Dash said. “Across over 710,000 workers, the median monthly increase supported was about S$250.”

The state will co-fund up to 30% of wage increases in 2026, higher than the previously planned 20%, before tapering to 30% in 2027 and 20% in 2028.

Dash said companies that invest in innovation are already seeing benefits. Cleaning services provider ISS Facility Services Singapore, for example, has deployed more than 130 autonomous cleaning robots, boosting productivity and enabling staff to move into more specialised roles.

One worker, healthcare cleaner Arthur Lim, upgraded his skills to operate UV disinfection equipment and manage infection-control procedures.

“He shared that learning these new skills has given him a renewed sense of purpose and contribution to his workplace,” Dash said.

Recognising that lower-income workers often face financial barriers to training, the government is enhancing the Workfare Skills Support scheme. 

From the fourth quarter of this year, long-form qualifications such as diplomas, Nitec courses and Workforce Skills Qualifications will be eligible for higher training allowances under a new Level-Up initiative.

The hourly training allowance for shorter courses will also rise from S$6 to S$10.50 from July 2026.

“Lower-wage workers will not have to choose between earning an income today and equipping themselves with skills for tomorrow,” Dash said.

Workplace safety reaches record low fatality rate

Singapore’s workplace safety record has also improved, with the fatal injury rate falling to 0.96 per 100,000 workers in 2025, the lowest on record outside the pandemic years.

Still, Dash warned against complacency. “Every workplace death is a tragedy,” he said. “We must continue to stay vigilant in uplifting our workplace safety standards.”

To address emerging risks such as ageing workers and changing job demands, the government will launch the Alliance for Action on Safety and Health for Employment Longevity in the second half of 2026.

The initiative will focus on injury prevention, helping workers return to work after health setbacks, and redesigning jobs to accommodate a more diverse workforce.

Continued improvements for migrant workers

Dash also outlined plans to improve living conditions and wellbeing for migrant workers, who form a significant part of Singapore’s workforce.

According to the 2024 Migrant Worker Experience Survey, more than 90% of migrant workers said they were satisfied with living and working in the country, the highest level since the survey began in 2011.

Housing remains a key priority, with the government introducing a Dormitory Transition Scheme Grant to help operators upgrade facilities to meet new standards by 2030.

The recently opened NESST Tukang Dormitory, Singapore’s first government-built migrant worker dormitory, features design improvements such as better room layouts and facilities shaped by worker feedback.

“Migrant workers have built our homes, and it is our responsibility to ensure they too have a conducive place to rest after a hard day’s work,” Dash said.

Singapore will also redevelop the Soon Lee Recreation Centre into a larger recreation hub by 2030, offering expanded social and community facilities for migrant workers.

‘Walking alongside every worker’

Dash concluded by urging businesses, workers and consumers to play their part in building an inclusive labour market.

“Employers must press on with wage increases and job redesign, workers should embrace opportunities for upskilling, and consumers can support businesses that pay progressive wages,” he said.

“Our promise to lower-wage workers is this: we are united with you, and we are here to support you in every way that we can.”