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Progressive Wage Model for the retail sector

Companies must meet the Progressive Wage Model wage and training requirements for retail workers who are Singapore citizens or permanent residents.

What is it

The Progressive Wage Model (PWM) for retail workers was developed by the Tripartite Cluster for Retail Industry (TCR).

From 1 September 2022, employers must meet the PWM requirements in order to renew existing work passes or apply for new work passes.

Who it covers

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

  • Full-time or part-time employees in 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.
The retail PWM will cover the following retail job roles:

Cashier

Responsibilities:

  • Assist customers in the in-store checkout process
  • Attend to customers’ queries at the cashier counter
  • Implement current promotional events during the checkout process
Retail assistant

Responsibilities:

  • Sell and explain the functions and qualities of products
  • Assist customers by pointing out or demonstrating features and merits of products
  • Manage and maintain store display standards and arrangement of products
  • Stock-take and replenish stock according to company’s Standard Operating Procedures
Senior cashier

Responsibilities:

  • Mentor and guide the work execution of other cashiers
  • Plan resources to support smooth operation in the checkout department
  • Conduct on-job-training for new cashiers
  • Perform responsibilities of a cashier
Senior retail assistant

Responsibilities:

  • Mentor and guide the work execution of other retail assistants
  • Handle customer enquiries on promotions and leading customer to products
  • Conduct on-job-training for new retail assistants
  • Perform responsibilities of a retail assistant
Assistant retail supervisor

Responsibilities:

  • Assist the retail supervisor to oversee the daily store operations
  • Achieve store’s sales target and maximise profitability
  • Prepare monthly roster of the sales team
  • Supervise, coach, counsel and coordinate the activities of retail assistants, cashiers and third-party staff
Retail supervisor

Responsibilities:

  • Ensure operational demands are catered for
  • Possess strong product and customer service knowledge
  • Conduct trainings for roles in the store
  • Perform responsibilities of an assistant retail supervisor
Retail manager

Responsibilities:

  • Oversee end-to-end operations
  • Ensure Standard Operating Procedures are followed
  • Make decisions on customers’ issues and service recovery
  • Drive, analyse, improve and achieve sales and service performance

Find out more on the coverage of retail job roles and description of duties and responsibilities.

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.

Job level Monthly gross wage requirements (excluding overtime payments) for full-time retail workers (35-44 hours per week)
From 1 September 2022 From 1 September 2023 From 1 September 2024

Retail manager

Up

Retail supervisor

Left to market forces

Up

Assistant retail supervisor

≥ $2,240 ≥ $2,395 ≥ $2,635

Up

Senior cashier / Senior retail assistant

≥ $2,035 ≥ $2,175 ≥ $2,395

Up

Retail assistant* / Cashier
*Companies may adopt different job titles. For example, Shop / Sales Assistant / Associate.

≥ $1,850 ≥ $1,975 ≥ $2,175

Total monthly gross wage (for full-time work of 35-44 hours per week) refers to the sum of:

  • basic wage,
  • allowances, e.g. travel, food, housing, and
  • productivity incentive payments.

It excludes:

  • bonuses, e.g. Annual Wage Supplement,
  • stock options,
  • reimbursement of special expenses incurred in the course of employment,
  • payments-in-kind, and
  • employer CPF contributions.

Additional PWM gross wage requirements for overtime

For full-time workers who work more than 44 hours a week and are covered by the Employment Act’s Part 4, employers would need to adhere to additional PWM gross wage requirements for overtime. Overtime pay can be part of the gross wage used to meet these additional requirements.

In addition to meeting the PWM requirements for overtime, employers need to ensure that they adhere to the Employment Act’s Part 4 requirements for overtime, where the overtime rate of pay must be at least 1.5 times of the basic rate of pay.

Job level Hourly gross wage requirements for part-time retail workers
From 1 September 2022 From 1 September 2023 From 1 September 2024

Retail manager

Up

Retail supervisor

Left to market forces

Up

Assistant retail supervisor

≥ $11.75 ≥ $12.56 ≥ $13.82

Up

Senior cashier / Senior retail assistant

≥ $10.67 ≥ $11.41 ≥ $12.56

Up

Retail assistant* / Cashier
*Companies may adopt different job titles. For example, Shop / Sales Assistant / Associate.

≥ $9.70 ≥ $10.36 ≥ $11.41

Employees can check their salary information, job details, and if employers are paying them the correct wages using the Progressive Wage Portal (PW Portal).

Averaging of gross wages

Given that the retail sector sees seasonal fluctuations in sales revenue throughout the year, the TCR has agreed for the averaging of the wage requirements for retail employees covered by the retail PWM over a 3-month period.

To qualify and meet retail PWM requirements for each retail employee in a specific month, employers must fulfil either one of these conditions:

  • Gross wage paid for a month is equal to or higher than that month’s wage requirements (inclusive of OT pay, if any), OR
  • The past 3 months’ average gross wage is equal to or higher than the average of past 3 month’s wage requirements (inclusive of OT pay, if any).

For more details, refer to the worked examples on the averaging arrangement in Annex D of the TCR's report.

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.

More details on training requirements are found in Annex C of the TCR’s report.

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.

Find out more

For more information: