, Singapore

Whopping 200% wage hike to shock hotel workers

Some 3000 employees may have 30%-200% salary increase with the new wage model.

In a release by National Trades Union Congress, its Hospitality and Consumer Business Cluster unveiled the Integrated Progressive Wage model that will help 3,000 rank and file workers and executives in the hotel sector earn higher wages and have multiple career paths.  

Here's more from NTUC:

Under the new Progressive Wage model, the most junior-level rank and file workers such as room attendants who are now earning $1,000 can rise up the rungs to become room associates through deep-skilling and job re-design. This helps to raise their wages to more than $1,300. Subsequently, through continual training, they will be further equipped with more skills to Flow Up the wage ladder to command $1,600 as a supervisor, more than $2,000 as an assistant manager and more than $3,000 as a manager. 

Since August 2010, the Inclusive Growth Programme has helped 38 hotels or 1,600 Singapore workers, of which 1,200 are low-wage workers. The Cluster will continue to improve the lot of low-wage workers and help them earn better wages via a new Progressive Wage model unique to selective sectors within the Cluster.

Today, those in rank and file positions are in rooms, and food and beverage (F&B) departments and are mostly low-wage workers whose wage progression has been slow. Meanwhile, the supervisory level shows a slow Flow In of new entrants, especially Singaporeans, hence fewer Singaporeans Flow Up to fill supervisory positions.

The model will help 3,000 rank and file workers and executives in the sector achieve progressive wages. It has worked with hoteliers to devise an integrated hotel-specific Progressive Wage model that meets the Cluster’s objectives through two strategies: 1) raise wages progressively through productivity; and 2) build a Singaporean Core of managers and supervisors in the hotel sector.

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