20th percentile real income up 1.8% p.a. last 5 years?

I refer to the article “Redundancies rise amid economic slowdown; unemployment remains low: latest MOM stats” (Straits Times, Mar 15).

Real incomes up?

It states that “With workers in high demand due to the tight labour market, full-time employed Singaporeans saw their real median income, including employer CPF contributions, rise 7 per cent over the year. This is more than the 1.4 per cent rise in 2014.”

20th percentile real income up 1.8% p.a. last 5 years?

According to the MOM report – the real increase in the gross monthly income from work (excluding employer CPF contribution) of full-time employed Singapore citizens at the 20th percentile grew by only 1.8 per cent per annum, from 2010 to 2015.

From $1,000 to $1,093 in 5 years?

To put this into perspective – a worker earning $1,000 five years ago only had a real increase of $93 to $1,093 now.

Security guards – $700 in 2000?

Actually, it may be even worse for some groups of workers. For example, the median basic pay of security guards was $700 in 2000.

Security guards – $857 in 2015?

It is now $857 – an increase of only 22 per cent in the last 15 years..

-11% real increase in 15 years?

Since inflation was about 33 per cent from 2000 to 2015 – does it mean that the real increase was -11 per cent (33 – 22)?

Leong Sze Hian

About the Author

Leong
Leong Sze Hian has served as the president of 4 professional bodies, honorary consul of 2 countries, an alumnus of Harvard University, authored 4 books, quoted over 1500 times in the media , has been a radio talkshow host, a newspaper daily columnist, Wharton Fellow, SEACeM Fellow, columnist for theonlinecitizen and Malaysiakini, executive producer of Ilo Ilo (40 international awards), Hotel Mumbai (associate producer), invited to speak more than 200 times in about 40 countries, CIFA advisory board member, founding advisor to the Financial Planning Associations of 2 countries. He has 3 Masters, 2 Bachelors degrees and 13 professional  qualifications.