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What is Progressive Wage Model (PWM) ?

The Retail sector Progressive Wage Model (PWM) affects Singapore Citizens and Permanent Residents who are full-time or part-time employees in retail establishments.

From 1 September 2022, employers must ensure that all retail services workers that are Singapore Citizens and Singapore Permanent Residents (PR) meet the retail sector PWM training requirements of attaining at least (1) Workforce Skills Qualification (WSQ) Statement of Attainment, out of the list of approved WSQ training modules in order to renew existing work passes or apply for new work passes.

Source: Ministry of Manpower (MOM)
Who it covers?

The PWM requirements cover Singapore citizens and permanent residents who are:

  • Full-time or part-time food services employees on a contract of service, working in a premise that has a Singapore Food Agency (SFA) retail job roles on a contract of service, and
  • Employed by firms which hire foreign workers, regardless of whether the firm is classified under the Retail Trade Singapore Standard Industrial Classification (SSIC) or another SSIC.
Source: Ministry of Manpower (MOM)
Wage requirements

The retail PWM is a five-level career progression model. It features:

  • Specific training requirements that tap on the Skills Framework for Retail. This ensures that retail workers are equipped with the skills needed to carry out their job functions.
  • Progressive wages set at each level to ensure that retail workers are paid wages that commensurate with their skills and productivity.

The wage requirements recommended in the TCR’s report will take effect from 1 September 2022.

Wage requirements for part-time workers are pro-rated on a 44-hours basis.

The TCR will undertake a review of the wage schedule in 2024.

Source: Ministry of Manpower (MOM)

All resident retail workers covered under the Retail PWM are required to attain at
least one (1) WSQ training module based on their job role.
The TCR may review the list of WSQ training modules periodically to ensure relevancy.

ALS Singapore offer courses which will enable food service companies and their staff to meet the mandatory requirements

Apologize, no courses available in ALS Singapore for this Job role.

Apologize, no courses available in ALS Singapore for this Job role.

Retail sector PWM

COMPLIANCE OF RETAIL PWM WAGES AND ENFORCEMENT BY
MINISTRY OF MANPOWER (MOM)

Run-in Period of 6 months from 1 September 2022 to 28 February 2023
During this period, MOM will focus on helping and allowing employers of retail workers
to understand and adhere to the PWM requirements without enforcing upon employers
(i.e. suspension of Work Pass privileges such that employers will not be able to apply for
new or renew existing Work Passes).
However, if employers underpay the mandated Retail PWM wages, they should make up
for the shortfall. They should also make the corresponding Employee’s Central Provident
Fund (CPF) deduction and Employer’s CPF contributions in accordance with the CPF
Act.

After Run-In Period, i.e. from 1 March 2023 onwards
Should there be any non-compliance with Retail PWM requirements, MOM will advise
employers on the appropriate rectification actions to take within a reasonable timeframe,
failing which enforcement measures (i.e. suspension of Work Pass privileges such that
employers will not be able to apply for new or renew existing Work Passes) may be
imposed.

Training requirements

Employers must ensure that their Singapore citizen and PR retail workers meet the retail PWM training requirements of attaining at least 1 Workforce Skills Qualification (WSQ) Statement of Attainment, out of the list of approved WSQ training modules.

Alternatively, if employers have in-house WSQ training modules that have the prefix “RET” in the accompanying Technical Skills & Competencies (TSC) code, these training modules can be used to meet the training requirement as well.

Employers will be given a grace period to comply with the retail PWM training requirements:

  • For new hires: six months from the new hire’s date of employment.
  • For existing employees: till 31 August 2023 (one year from the retail PWM implementation on 1 September 2022).

Through proper training, retail workers will be able to increase their productivity and offer good retail experiences to customers.

Phased implementation of retail PWM

For the first six months from September 2022 to February 2023, MOM will give employers time to adjust and comply with the Progressive Wage requirements.

Instead of enforcement, MOM will focus on educating employers on the various Progressive Wage requirements. Employers who do not comply with the requirements during this transitional period will not have their work pass privileges suspended.

PROGRESSIVE WAGE MARK

ABOUT PROGRESSIVE WAGE MARK

The Progressive Wage (PW) Mark is an accreditation scheme to recognise eligible firms that pay progressive wages to lower-wage workers. It is administered by the Singapore Business Federation on behalf of the Tripartite Partners.

The Tripartite Partners, comprising the Ministry of Manpower (MOM), National Trades Union Congress (NTUC) and Singapore National Employers Federation (SNEF), initiated the PW Mark as part of a national effort to uplift the wages and well-being of lower-wage workers.

The PW Mark accreditation scheme was one of the key recommendations put forward in the Tripartite Workgroup on Lower-Wage Workers Report which was published and endorsed by the Government in August 2021.

to know more

For the first six months from September 2022 to February 2023, MOM will give employers time to adjust and comply with the Progressive Wage requirements..

Source: Ministry of Manpower (MOM)

Yes, The PWM requirements cover Singapore citizens and permanent residents who are full-time or part-time retail services employees on a contract of service, working in a premise in a retail.