This just adds to the rising cost of living in Singapore
Source: Advance Best Maid
With Singapore clocking the longest working hours in recent years, it’s no surprise that many households require additional assistance from domestic workers. Singapore has about 240,000 domestic workers, who hail from countries like Malaysia, Thailand, India, Sri Lanka, Myanmar, Indonesia and the Philippines.
Source: Home Maid
For most families, these workers help with cooking and cleaning, as well as taking care of children, the elderly or disabled persons in the household. Last year, the Indonesian Embassy raised the minimum salary for its maids, and now, the Philippine Embassy has followed suit.
Source: Eden Grace Maid Agency
The minimum salary for Filipino helpers will increase from 550 SGD to 570 SGD. While a $20 increase may seem insignificant, it comes on top of agency fees, work permit application fees, Foreign Domestic Workers (FWD) levy and security deposit, just to name a few. Several sources have estimated that the total upfront payment for hiring a domestic worker in Singapore ranges from $500 to $2600, depending on the agency and eligible concessions.
President of the Association of Employment Agencies Singapore, K. Jayaprema, describes the revision of minimum salary as a “natural progression” resulting from the fluctuating USD. While the minimum salary of a Filipino maid is still pegged at US400, the increase in exchange rate demands a revision of the pay structure.
Source: United Channel
While the higher cost puts a toll on employers, some maid agencies adopt a positive take, suggesting that the revised salary could help attract a larger volume of capable maids to Singapore. Currently, the market for domestic workers is facing competition from the Middle East and Hong Kong, with the latter offering a minimum pay of SGD 770 equivalent. Hence, the revised salary could increase supply of FDWs, in particular attract high-caliber FDW to Singapore.
Will the revised minimum salary be a boon or bane for Singapore employees? Share your take in the comments section below!