Nearly half of Singapore employees feel underpaid: ADP survey

Nearly half of Singaporean employees feel underpaid in their current roles, according to new findings from ADP's People at Work 2024: A Global Workforce View report. The annual survey revealed that 48% of respondents in Singapore reported feeling dissatisfied with their salaries, the highest percentage among the Asia-Pacific (APAC) countries surveyed. In comparison, 41% of employees in India, 42% in Australia, 36% in Japan, and 31% in China felt similarly underpaid.

Employees in Singapore's Arts and Culture sector expressed the highest levels of dissatisfaction, with 67% reporting that they feel underpaid. This figure is followed by 55% of workers in the Professional Services industry and 50% in the Architecture, Engineering, and Building industries.

Yvonne Teo, Vice President of HR APAC at ADP, commented on the findings. "Given the high importance employees place on salary in a job, an alarmingly high percentage of workers feel unsatisfied with their salary. Unhappy employees can result in a less engaged workforce and high turnover, negatively impacting business performances," Teo said.

The survey highlighted that 71% of Singaporean respondents now consider salary to be the most important factor in a job, an increase from last year's 69%. This is the highest percentage recorded globally in the study.

Teo stressed the necessity for employers to address these concerns: "Employers need to manage their employees' changing, sometimes lofty, expectations. Employers must clearly communicate corporate initiatives and how they will address the issues that are most important to employees."

"It is essential to provide clarity on organisational objectives, the criteria for measuring success, and the ways employees contribute to achieving these goals. This is crucial for keeping employees engaged and motivated," she explained.

The survey disclosed that workers would accept other forms of compensation in lieu of salary increases. Specifically, 44% of respondents indicated that a one-off bonus, such as a holiday or merit bonus, would suffice. Additionally, 38% of employees favoured additional days of annual leave or paid time off, while 34% preferred a one-off payment to help with the cost of living. Shorter work weeks were an alternative welcomed by 33% of those surveyed, and 31% would be content with grocery or shopping vouchers.

The survey also noted that the majority, 81%, of Singaporean respondents have only one income stream, the highest percentage among the surveyed APAC countries. In contrast, respondents from India showed a significantly higher tendency to have multiple sources of income, with 41% reporting two or more income streams.