From 2016 to 2025, performance bonus for political office holders ranged from 2.5 to 6 months

SINGAPORE - The individual performance bonus awarded to political office holders ranged between 2.5 and 6 months of salary over the period from 2016 and 2025, said Coordinating Minister for Public Services Chan Chun Sing.

During the same period, the National Bonus ranged from 0.75 to 5.63 months, he said in response to WP MP He Ting Ru (Sengkang GRC), who sought details of the the annual remuneration of political office holders.

Her question comes after Parliament debated increases to political salaries in September, with the variable portions of ministerial pay among the topics of discussion.

In his reply on Oct 6, Chan noted that the annual remuneration of all political appointment holders comprises the fixed monthly pay, the 13th month non-pensionable annual allowance, the annual variable component, the national bonus and the individual performance bonus.

He said the amount of performance bonus awarded depends on the Prime Minister’s assessment of each office holder’s performance.

On the National Bonus, Chan said this is determined by national socio-economic outcomes and ranges from zero to six months.

The National Bonus is linked to four national indicators: unemployment rate, real income growth for the 20th-percentile Singaporean earner and for the median Singapore citizen, as well as real gross domestic product growth. 

During the September debate, Chan said the Government will tighten the targets for the three socioeconomic indicators.

On Oct 6, he noted that the non-pensionable annual allowance is one month of salary, while the annual variable component is typically about one month and follows the amount received by the general civil service.

The Public Service Division announces the annual variable component twice a year.

Chan said that between 2016 and 2025, the reference monthly salary for a minister at the entry-level MR4 grade was $55,000. The minimum and maximum salary points was set at 85 and 110 per cent of this monthly salary in accordance with the salary framework.

The minimum and maximum monthly salary of office holders at other grades can similarly be derived from the 2012 white paper on political salaries, he added.

Taken together, Chan said the various components provide a clear indication of the remuneration levels and ranges of political appointment holders.

“Going forward, the Government will consider how best to disclose more information on the remuneration of political appointment holders,” said Chan.

WP chief Pritam Singh had asked during the September debate for the actual total remuneration received by ministers at the entry-level MR4 grade, including the maximum bonus allowed under the salary framework.

Prime Minister Lawrence Wong said then that he intends to look at how to provide more information on the distribution of salaries and performance bonuses among ministers, given the interest in the topic.

For the October sitting, Singh asked for data related to newly-appointed political office holders over the years, including information on their change in their salary before and after their appointment.

Replying, Chan said the Government does not systematically collect or maintain the statistics requested.

He added that where a new office holder is placed within the relevant salary range will take into account factors such as the individual’s experience, responsibilities and previous remuneration.

“The Government does not seek to attract individuals into politics by offering them higher salaries than they were previously earning,” Chan said.

“Where an individual is suitable for political office, our general approach is to appoint them to a role appropriate to their experience and capabilities, and emplace them at a salary point broadly comparable to, or even below, their previous remuneration. Quite a few have taken pay reductions upon entering political office.”