No time to read lengthy newspaper articles? Keep up with important news related to the economy and employment issues on JobsCentral Community!
Singapore's economy expanded by 18.8% on-year in Q2. This figure falls short of the growth estimate of 19.3%. Economists suggest that this moderation in the economy's growth signals a slower second half this year. The government has kept its forecast for the economy to grow between 13% and 15% cent in 2010.
Labour MP Halimah Yacob has called for the growth bonus to be restored in public sector paychecks. Introduced in 2007, the growth bonus is tied to Singapore's GDP performance and was initially given to top performers in the civil service. There was no such bonus in 2008 and 2009 due to the economy's poor performance. Madam Halimah stressed that the growth bonus is for all public sector employees, and should be restored this year due to the economic rebound.
Manpower Minister Gan Kim Yong urges companies to up the Monthly Variable Component (MVC). Under the current recommended wage structure, 70% of monthly basic wages is made up of basic wage, 10% MVC and 20% Annual Variable Component (AVC). Mr Gan says that increasing the MVC will give companies a stronger buffer against future economic shocks.