Singapore salaries are expected to increase by 4% in 2025

According to multiple human resources surveys, salaries across industries in Singapore are set to rise by 2-5% in 2025. Sectors like real estate, consumer goods, retail and banking and finance are expected to lead the increases. These industries are projected to offer salary increments ranging from 4% to 4.5%.

Other sectors, including aerospace, construction, logistics, technology, life sciences, chemicals and energy, are expected to see more moderate salary growth of between 3.9% and 4.2%. Meanwhile, healthcare and education salaries are anticipated to align with market averages, with increments of 3.6% to 4%.

Despite global economic challenges, employment prospects in Singapore remain positive, with 17.5% of organizations planning to expand their workforce in 2025. However, firms are adopting a cautious approach to compensation, prioritizing performance-based rewards and strategic allocation of salary budgets.

Singapore is expected to maintain its competitiveness in salary growth in the region. While the city-state’s projected 4.1% increase aligns with its steady economic outlook, it trails markets like Vietnam, which anticipates salary hikes of up to 6.7%.

In certain roles, salary increments are expected to outpace national averages. For example, employees in the technology and healthcare sectors, driven by demand for digital transformation and specialized healthcare expertise, could see stronger real wage growth. Non-executive roles, such as sales promoters and warehouse workers, also reported significant gains in 2024, suggesting a continuation of upward trends in 2025.

Bonuses are also rising, with more employers planning payouts exceeding one month’s salary. Sectors such as energy and utilities are currently leading in bonus distribution.