Structured Training for Staff in Singapore – The Way for More Growth and Productivity
Employers in Singapore are being urged by the National Wages Council (NWC) to provide more structured training for their staff. NWC believes that structured training for staff in Singapore is the way forward if an employer wants to see more growth and productivity. With uncertainty on the rise in 2019, sustaining the wage hikes for employees needs to be accompanied by a boost in productivity, and the NWC emphasised that all employers must develop a structured training plan that will meet both the current and future requirements of their business.
The recommendations made by NWC were based on the country’s prospects for economic growth, and the trends for productivity and workforce training. These recommendations were accepted by the Singapore Government. NWC pointed out that in 2018, wages in Singapore grew faster than productivity with an increase of 2.4%. Moreover, the proportion of Singapore employees who received structured training hasn’t improved in the last decade.
Develop New Skills for Better Wages
NWC expects firms in Singapore to improve on productivity from last year so employees can be given a one-off payment. It is also urging employers to raise the monthly wages for low-wage employees, with the recommended increase hovering between $50 to $70. The threshold of employees earning a basic wage of $1,400 monthly has been raised this year from 2018’s $1,300. This move is expected to benefit approximately 22,000 Singapore employees. The higher threshold is also expected to include 154,000 full-time resident employees.
NWC believes that jobs can be redesigned and that workers could be trained to develop these new skills in working towards better skills and wages through the structured training for staff in Singapore. Additionally, NWC is urging employers to tap into the available government schemes like the Enterprise Development Grant, even more so with the growth outlook being less than optimistic this year. Companies must reward their employees based on performance. Wage increases could be carried out in moderation, or done through variable payments, even for companies who were not performing as well.
Businesses in Singapore who are able to incorporate the NWC’s recommendations will be successful in terms of building both trust and loyalty among their employees. This will be a tremendous asset to the business during times of uncertainty. As Singapore braces itself for what might a challenging year in 2019, these recommendations come at a good time. With flexibility and the decision to make the necessary changes in their hands, it is up to employers to make the next move.