​No difference in WP formula for salary structure for Ministers: DPM Teo
PUBLISHED ON 01 Oct 2018
Deputy Prime Minister Teo Chee Hean emphasised that Ministerial salary structures are transparent, with no hidden costs.

Mr Teo reminded that the 2012 White Paper on government salaries recommended an entry-level Minister (MR4 Minister) to receive $1.1 million as the total salary. This amount is pegged to a 40 per cent discount based off market reference, reflecting the ethos of public service.

He reiterated, “All the bonus components form part of, and are not in addition to, the $1.1 million salary norm.”

Furthermore, Mr Teo noted that the Prime Minister’s salary which is pegged at twice the MR4 Minister’s salary does not include a performance bonus. In addition, bonuses that ministers receive are dependent on the actual performance of individuals, as well as Singapore’s national outcomes each year which includes – real median growth rate, real growth rate of the lowest 20th percentile income of Singaporeans, unemployment rate and real GDP growth rate.

Comparing the current salary structure to the formula presented by the Worker’s Party, Mr Teo said, “The Workers’ Party formula would have had a higher fixed component (of 81 per cent) compared to the White Paper’s proposal, and a smaller variable component (of 19 per cent)… This would have made the link between salary and performance weaker.”

Mr Teo added, “Indeed if, if there were a WP government in power today, by their own formula, a WP minister would be paid essentially the same as what a minister today is paid.” The WP agreed with DPM Teo and accepted his clarification.

Screengrab from ChannelNews Asia