Oral Answer

Definition and Measurable Indicators for "Good Jobs" under Economic Strategy Review

Speakers

Summary

This question concerns the Ministry of Manpower's definition and tracking indicators for "good jobs" under the Economic Strategy Review, as raised by Mr Kenneth Tiong Boon Kiat. Senior Minister of State for Manpower Dr Koh Poh Koon replied that wages serve as the primary objective indicator for job quality, alongside dimensions like career development, workplace safety, and fairness. The Ministry monitors labour market participation, underutilisation, and earnings, noting that median real gross monthly income grew by 7.4% between 2021 and 2025. Senior Minister of State for Manpower Dr Koh Poh Koon stated that the Government tracks multiple dimensions aligned with international frameworks and will consider wage share of GDP as a relevant metric. Finally, he noted that benchmarks for transforming skilled roles remain under deliberation and will be detailed in the Economic Strategy Review’s final report.

Transcript

7 Mr Kenneth Tiong Boon Kiat asked the Minister for Manpower (a) what is the Ministry's operational definition of a "good job" as used in the Economic Strategy Review; (b) what measurable indicators will the Ministry use to track whether the strategy is creating such jobs; and (c) whether the Ministry will adopt a multi-dimensional job quality framework comparable to that published by the Organisation for Economic Cooperation and Development.

The Senior Minister of State for Manpower (Dr Koh Poh Koon) (for the Minister for Manpower): Mr Speaker, we use wages as a key operational measure to track if proposed investments create good jobs, since this is the most objective indicator of job quality. This enables comparisons across sectors, firms, occupations and workers.

Having said that, the notion of a "good job" varies across individuals, shaped by their circumstances and aspirations. It often includes factors such as wage growth, opportunities for career development, fair and safe workplaces, personal fulfilment, and what gives someone highest utility, among many others.

There are multiple dimensions to good jobs, and no single, universally accepted framework for measuring job quality. The perception of what constitutes good jobs also has a time dimension to it and may change with age.

Hence, we chose to measure a range of more objectively measurable labour market indicators and regularly benchmark our labour market performance internationally across key dimensions that cover job creation and job quality, such as: one, labour market participation; two, labour underutilisation; and three, earnings.

These are broadly aligned with the Organisation for Economic Cooperation and Development (OECD) framework and across these domains, Singapore generally ranks favourably relative to OECD economies.

Local workers have experienced sustained and inclusive wage growth. From 2021 to 2025, real gross monthly income at the median grew by 7.4%. At the 20th percentile, income grew even faster, by 10.1% over the same period.

Two-thirds of private sector establishments provided structured training to employees, demonstrating that employers continue to invest in their workers.

Fewer employees experienced discrimination at work, with the proportion decreasing from 8.5% in 2021, to 6% in 2023.

We have also enacted the Workplace Fairness Act to promote fair employment practices and protect employees from workplace discrimination.

Our Workplace Safety and Health performance also ranked amongst the top performing countries, with a five-year average workplace fatality rate of 1.1 per 100,000 workers in 2024.

We will continue working to ensure that our economic strategies translate economic growth into good jobs for Singaporeans.

Mr Speaker: Mr Tiong.

Mr Kenneth Tiong Boon Kiat (Aljunied): Thank you, Speaker. I have three supplementary questions.

The Economic Strategy Review (ESR) mid-term update factsheet uses the phrase "good jobs" six times without defining it. My first supplementary question is, what is the issue with creating a job quality framework like the OECD has done?

Second is, I thank the Senior Minister of State for mentioning the different factors that he tracks. Our wage share of gross domestic product (GDP) remains lower than many OECD countries – I believe it is in the mid-40s, where OECD countries are in the 50s. So, will the Government track this, to define this as part of their definition of a "good job"?

My last supplementary question, the ESR also says it will uplift and transform roles like electricians and care workers. But a commitment that cannot be proven true or false, is not really an accountable commitment. So, would the Ministry set clear benchmarks in terms of pay, progression and working conditions, so that Parliament can actually determine if uplift has occurred?

Dr Koh Poh Koon: Sir, on Member's first supplementary question on job quality, I have already explained in my main reply that we do track multiple parameters and dimensions across our workforce and the labour market. But I guess, fundamentally, the workers are interested in whether their pay goes up. For them, as I have said, a good job need not just be pay, but many other dimensions around it. But fundamentally, workers want to see their wages go up from year to year. And in fact, as they get more seniority, they want to be recognised for their talent as well.

So, we do take reference from the wage distribution of our workforce. In general, well-paying jobs are those that pay above the median wage of the resident workforce. And by creating more of such jobs and helping more Singaporeans to upskill to take them on, we will grow the median wage of our workforce over time. This is a useful indication of broad-based wage growth that also shows that with the measures that are put in, the median wage of individual workers goes up over time and as a workforce, it also rises.

The Member's second question of looking at wage share, well, I think there are, like I said, there are multiple dimensions to track and we will continue to measure multiple dimensions of job quality, that could include looking at wage share over time. In doing so, we will consider relevant dimensions that are included in other international frameworks of job quality, including the one that the Member has mentioned – the OECD's job quality framework.

The Member's third question on what the ESR is doing with regard to trade and skilled roles, this is an area still under deliberation by the ESR, so I would not jump the gun and make any pronouncements here. In time to come, when the ESR releases its final report, there will be a better treatment of the questions that the Member asked regarding trades and skilled roles.