SINGAPORE, May 31 — More employees in Singapore enjoyed a pay rise last year than in 2017, and better still, that increase was bigger, thanks to stronger economic and labour market conditions.

Workers in the financial and insurance services sector took home the biggest pay rise — 6.3 per cent — while pay rises for construction and retail workers were only 2.8 per cent and 3 per cent respectively.

Across the private sector workforce, even when cost of living rises — inflation of 0.4 per cent — are stripped out, employees still notched up a 4.2 per cent increase in real wages on average, markedly better than the 3.2 per cent rise in 2017.

This pace of wage increases had slowed from 5.4 per cent in 2015 to 3.6 per cent in 2016.

The findings were published by the Ministry of Manpower (MOM) in its Report on Wage Practices 2018, which was released on Wednesday (May 29).

Key findings from the Survey on Annual Wage Changes 2018. — Infographic courtesy of Singapore Ministry of Manpower

In its report, the ministry said that the higher total wage growth stemmed from a higher basic wage increase of 4 per cent, and an increase in bonuses from two months of basic wage in 2017 to 2.06 months in 2018.

What led to employees receiving better pay

The MOM said that 2018 saw: