The Progressive Wage Model (PWM) is Singapore’s sector-specific framework for setting minimum wages and training requirements tied to skills progression. Unlike a universal minimum wage, the PWM operates on a sector-by-sector basis, prescribing minimum monthly salaries for different job roles alongside requirements for skills development and career progression pathways.

For Singapore employers in covered sectors, PWM compliance is not optional — it is a legal requirement. Non-compliant employers cannot renew Work Permits or S Passes, and may lose eligibility for government contracts and grants. This guide explains which sectors are covered, what the PWM requires of employers in 2026, and how to ensure your company stays compliant.

What Is the Progressive Wage Model?

The PWM was introduced by the Singapore Government as a collaborative approach between the Government, unions (under the National Trades Union Congress, NTUC), and employers to raise wages at the lower end of the income spectrum while linking pay increases to genuine productivity improvements.

The model works by setting out a wage ladder for specific job roles within a sector. Each rung of the ladder corresponds to a defined skill level, and employers must pay at least the minimum wage for the rung on which their employee sits. As employees gain new skills (typically through training and certification), they move up the ladder and their wages must rise accordingly.

The PWM differs from a flat minimum wage in that it creates structured career pathways — it is not just about setting a floor, but about connecting wage growth to skill development.

Which Sectors Are Covered by the PWM in 2026?

The PWM has expanded significantly since its introduction. The following sectors are covered by mandatory PWM requirements as at 2026:

  • Cleaning — Mandatory PWM since 2014
  • Security — Mandatory PWM since 2016
  • Landscape — Mandatory PWM since 2016
  • Lift and Escalator — Mandatory PWM since 2019
  • Retail — Mandatory PWM since September 2022
  • Food Services — Mandatory PWM since September 2022
  • Waste Management — Mandatory PWM since September 2022
  • In-house Cleaning and In-house Security — Mandatory PWM (covers in-house cleaners and security officers employed directly by companies outside the dedicated cleaning/security sector)
  • Administrative Support — Mandatory PWM from 1 July 2023

The Government has committed to expanding the PWM to more sectors progressively. Employers in adjacent industries should monitor MOM’s Progressive Wage Model page for announcements on sector expansion.

What Employers in Covered Sectors Must Do

1. Pay the Prescribed Minimum Wages

Each PWM sector has its own wage schedule, specifying minimum gross monthly wages for each job role and skill tier. Employers must ensure that every employee in a covered role is paid at least the minimum for their tier.

The wage schedules are typically updated periodically (often every 1–3 years) through tripartite agreements. For the exact minimum wage figures applicable to your sector, refer to the relevant PWM schedule published by MOM or the relevant tripartite cluster.

2. Provide Required Training

PWM wage increments are conditional on employees completing specified skills training and achieving the relevant qualifications. Employers in covered sectors are required to send employees for the stipulated training programmes.

Training is typically delivered through approved WSQ (Workforce Skills Qualifications) programmes. Employers can use the SkillsFuture Enterprise Credit (SFEC) and other government subsidies to offset training costs.

3. Work Pass Compliance

For employers in covered sectors who rely on foreign workers (S Pass or Work Permit holders), PWM compliance is a precondition for renewing or obtaining new work passes. MOM will not process work pass renewals for employers who fail to comply with PWM requirements for their local (SC/PR) employees.

This means PWM compliance directly affects your ability to maintain your foreign workforce quota.

4. Government Contracts and Grants

Companies that are non-compliant with the PWM are ineligible for government contracts and government-related grants. This affects companies in covered sectors that bid for public sector tenders or rely on grants such as the PSG, EDG, or SFEC.

Progressive Wage Mark (PW Mark)

Employers who comply with all applicable PWM requirements — including paying at least the prescribed minimum wages and providing the required training — are eligible to display the Progressive Wage Mark. The PW Mark is a government-backed accreditation that signals to customers, business partners, and employees that the company treats its lower-wage workers fairly.

Displaying the PW Mark can be a competitive advantage in B2B procurement contexts, where government agencies and larger companies increasingly require suppliers to hold the PW Mark as a condition of tender qualification.

The PW Mark can be applied for through the MOM website.

Local Qualifying Salary and PWM: The Connection

The PWM minimum wages interact with the Local Qualifying Salary (LQS) — the threshold a local employee must earn to count as one headcount in the foreign worker quota calculation. From 1 July 2026, the LQS increased to S$1,800 per month (up from S$1,600).

For employers in PWM sectors, the PWM minimum wages for most roles are now above the LQS threshold. This means that paying PWM-compliant wages will generally ensure your local employees meet the LQS for quota purposes — but it is important to verify this for each specific role and tier in your sector’s wage schedule.

For assistance with [Employment Pass applications](https://singaporeemploymentagency.com/employment-pass/) and ensuring work pass compliance, our associated licensed employment agency handles the full submission process with MOM.

Penalties for PWM Non-Compliance

Employers who fail to comply with the PWM face significant consequences:

  • Work pass restrictions: MOM will withhold work pass renewals and new applications until compliance is established.
  • Debarment from government contracts: Non-compliant employers are excluded from tendering for government projects.
  • Grant ineligibility: Government grants including SFEC, PSG, and EDG become inaccessible.
  • Reputational risk: MOM may publish the names of employers found to be non-compliant.

See the Singapore company compliance calendar for related employment law deadlines.

For the latest Singapore business news and employment law updates, directors and HR managers can find useful resources online. Sound financial planning and management are as important as regulatory compliance for sustainable business growth in Singapore.

If you need legal advice on PWM enforcement or employment disputes, we can point you in the right direction.

How Raffles Corporate Services Can Help

Keeping track of PWM requirements, wage schedule updates, and work pass compliance in covered sectors is an ongoing responsibility. Raffles Corporate Services helps Singapore employers in covered sectors understand their PWM obligations, structure their payroll compliantly, and maintain work pass eligibility.

Our team can also advise on the interaction between PWM compliance and your company’s government grant eligibility, helping you build a coherent workforce development strategy.

To speak with the team at Raffles Corporate Services, you can email [email protected] or call, SMS, or WhatsApp +65 8501 7133. We are happy to assist with any queries.

— The Editorial Team, Raffles Corporate Services