Singapore's government announced it will raise the annual salaries of its ministers and other office holders, including Prime Minister Lawrence Wong, who is currently the highest paid political leader in the world. Wong's salary will increase by 1.4 million Singapore dollars (approximately $1.1 million) to S$3.6 million ($2.8 million). He has stated he will donate this pay increase to charity over the next five years.
Wong indicated that raising the pay of ministers is necessary to attract better talent, arguing that high salaries deter corruption. However, this decision has faced criticism amid concerns about job security and the rising cost of living in Singapore.
Before the pay raise, Wong's annual salary was S$2.2 million. Following the increase, he will still be the highest paid leader globally, with Hong Kong's chief executive John Lee earning about $719,000 and Switzerland's president Guy Parmelin earning $606,000. The US president, Donald Trump, earns $400,000, while British Prime Minister Andy Burnham receives $230,000.
Wong acknowledged the scrutiny over the salaries of Singapore's ministers, noting that they are significantly higher than the median monthly income of S$5,775 in the country. He mentioned challenges in convincing business leaders and top civil servants to enter politics, stating that the government aims to keep financial barriers reasonable for those considering public office.
The base pay package for ministers will rise from about S$1.1 million to around S$1.2 million, with expectations that many will earn approximately S$1.35 million by the end of the current government term, as salaries will be performance-based. Part of their compensation is linked to national targets for unemployment, income growth, and GDP growth.
The issue of high ministerial salaries has long been contentious in Singapore, particularly for the ruling People's Action Party (PAP), which has been in power since the country's independence. In the 2011 general election, the PAP experienced its lowest vote share in decades, partly due to public dissatisfaction with ministerial pay and immigration policies, leading to a salary reduction the following year.
Wong's predecessor, Lee Hsien Loong, also pledged to donate his salary increase to charity in 2007. The government has consistently cited Singapore's low corruption levels, as reflected in its high ranking on Transparency International's Corruption Perceptions Index, as evidence that the ministerial pay system is effective in reducing bribery temptations.
Despite this, the disparity between ministerial salaries and average incomes continues to provoke public discontent, with many online comments describing the pay raise as "tone deaf" in light of rising unemployment and inflation. Recent government figures indicate that retrenchments in Singapore reached their highest level in over five years in the last quarter. However, some individuals support the salary increase, arguing that it is essential to have capable leaders managing the country.