News: Singapore: Ministry of Health prescribes pay raise for healthcare workers

Compensation & Benefits

Singapore: Ministry of Health prescribes pay raise for healthcare workers

Will Singapore’s latest healthcare salary hike be enough to stop the talent drain, or is the industry still in critical condition?
Singapore: Ministry of Health prescribes pay raise for healthcare workers

SINGAPORE – In a bid to attract and retain talent in the healthcare sector, the Ministry of Health is working to raise the salaries of a total of 37,000 public healthcare workers.

The group benefitting from the pay raise includes allied health professionals, pharmacists, and administrative, ancillary and support staff members – most of whom have not seen any upward pay adjustments since 2021.

Some 26,000 public healthcare nurses also stand to benefit from an incremental raise, based on provisions under the Award for Nurses’ Grace, Excellence and Loyalty (Angel) scheme that began last year.

MOH said details of the plan are still being ironed out with help from other ministries and workers’ unions but that it would be implemented from mid-2025.

“In a new year, people have all kinds of hopes. They hope for health and happiness. They, of course, also hope for salary increases and big bonuses,” Health Minister Ong Ye Kung said when he announced the increase during the Chinese New Year celebration.

Also Read: Singapore: Slower employment growth, fewer layoffs in 2024

Public healthcare workers' pay raise overdue

MOH hopes the pay raise will enable the public healthcare sector to hire and retain high-calibre talent.

Ong said the pay raise was overdue for this segment of the workforce. He also pointed to the need to care for healthcare workers specifically in the country’s public sector given the competition from overseas institutions and the private sector.

The Angel scheme, meanwhile, aims to nurture and retain nursing talent by awarding long-serving staff a total of $100,000 across 20 years.

“People are joining, but I think they deserve something better, something more competitive, so that we also get good talent who want to join the sector,” said Mr Ong.

Talent shortage in Singapore's public healthcare sector

Singapore’s public healthcare sector is in the midst of a talent crunch, struggling to keep pace with rising demand while grappling with a shrinking supply of critical professionals.

Some of the most crucial healthcare positions, such as radiographers, pharmacists, and nurses, are in short supply. The COVID-19 pandemic exacerbated the issue, leaving the system playing catch-up as an ageing population and expanding medical infrastructure push demand higher.

Also Read: Singaporeans want higher pay, meaningful careers in 2025

Although Singapore has boosted its allied health workforce by 25% between 2019 and 2023, many professionals are leaving almost as quickly as they are recruited. The attrition rate has climbed from 8.9% in 2018 to 11.6% in 2022, for example, suggesting that working conditions, career growth, or salaries may not be enough to keep talent anchored.

Singapore’s ageing population is also driving a surge in complex healthcare needs. Elderly patients require specialised care in areas such as family medicine and geriatrics, placing added strain on an already overburdened system.

In response to these challenges, MOH has been working to expand the healthcare workforce, increasing it from around 100,000 to over 120,000 in recent years. Various schemes aim to entice more Singaporeans into healthcare careers, though filling the gap remains an uphill battle.

Since local recruitment alone isn’t enough, Singapore has also turned to foreign healthcare professionals, particularly for support roles. This strategy ensures hospitals and clinics remain functional, but also raises questions about long-term sustainability and workforce integration.

With eight new hospitals already up and running and more on the way, the demand for skilled healthcare professionals is only set to increase.

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Topics: Compensation & Benefits, Talent Acquisition, Talent Management

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