How to Implement the Progressive Wage Model in Your Business: A Step-by-Step Guide

How to Implement the Progressive Wage Model in Your Business A Step-by-Step Guide

Introduction: Creating a Fair & Skilled Workforce in Singapore

Fair pay and skills growth mean more than just catchy phrases in Singapore—they form part of a nationwide push. Since its launch, the Progressive Wage Model (PWM) has changed how businesses set up pay by connecting wage increases to skill improvements and output. 
 
But many small and medium enterprises (SMEs) find it tricky to implement PWM across departments—now that the Occupational Progressive Wages (OPW) framework covers more job roles. 
 
If you’re unsure how to begin, follow the rules, and turn PWM into a business plus, don’t worry. This guide will take you through each step — with real-world examples and tools you can use right away. 

What Is the Progressive Wage Model (PWM)?

The Progressive Wage Model created by Singapore’s Ministry of Manpower (MOM) with Workforce Singapore (WSG) and tripartite partners, links pay raises to an employee’s skill growth, output, and job duties. 
 
PWM first applied to cleaning, security, and landscaping industries. It has grown to cover retail, food services, and waste management sectors (2023–2024). 
 
From 2025, the Occupational Progressive Wages (OPW) plan now includes administrative staff and drivers — one of the biggest PWM expansions since it began. To get a more comprehensive overview of the PWM guidelines, you can look into the  official GoBusiness PWM resource.  

Quick Take: PWM isn’t just about following rules. It’s an approach that boosts productivity, values skills, inspires growth, and improves workplace standards. 

Step 1: Find Jobs Affected by PWM

First, figure out which positions in your company are covered by PWM or OPW. This tells you if your business needs to meet wage minimums and required training set by MOM. 
 
Jobs Often Covered by PWM: 

  • Cleaners, security guards, and landscape workers 
  • Shop and restaurant staff 
  • Office helpers and delivery drivers (OPW will cover them from 2025) 

If your workforce includes any of these roles, PWM compliance is a must. 

You can check the complete list through the official GoBusiness PWM resource. 

To spot PWM-affected roles, see if your staff work in sectors or jobs listed under MOM’s PWM or OPW rules. If they do, you need to comply. 

Step 2: Match Wages To Sector Standards

After you confirm PWM-relevant roles, look at and tweak pay structures based on the official MOM wage charts for your sector. Each sector has unique pay ranges that depend on the employees’ rank, skills, and job duties. 
 
Here’s How To Begin: 

  • Get the newest PWM wage standards from MOM or GoBusiness websites. 
  • Check your existing payroll against these standards. 
  • Find and fix differences to follow both pay and CPF contribution rules. 

Hint:

Checking payroll by hand takes a lot of time and can lead to mistakes. With Info-Tech’s Payroll Software, you can make wage comparison reports, line up with PWM , and spot any issues. This helps you pass audits and follow all the rules without using manual spreadsheets. 

Step 3: Back Required WSQ Training and Job Growth

The core of PWM goes beyond just wages — it focuses on mastering skills. Every PWM or OPW-covered position requires specific training under the Workforce Skills Qualifications (WSQ) system. 
 
WSQ Training Aims: 

  • Give employees job-specific skills 
  • Boost productivity and effectiveness 
  • Help employees qualify for career and pay growth 

Companies must help with and keep records of completed training to meet MOM’s rules. 

How PWM Works 

  • Matching and tracking skills 
  • Keeping records for compliance 
  • Getting employees involved in growth 

This course gives HR teams the skills to lead PWM rollout with confidence and impact.

Step 4: Move Your HR & Payroll Systems to Digital for Better Compliance

As PWM covers more jobs, keeping compliance records by hand just won’t work. MOM might ask to see proof like pay changes, CPF payments training files, and promotion schedules during checks. 
 
Why Going Digital Matters 

  • Gets rid of paper mess 
  • Makes sure you can trace compliance docs 
  • Lets you track how employees are doing in real time 

With Info-Tech’s All-in-One HR Software, You Can: 

  • Update salaries based on PWM benchmarks 
  • Track WSQ training completion for individuals or roles 
  • Create MOM-compliant PWM reports 
  • Integrate payroll, CPF, and training data 

This digital approach makes compliance easier, boosts accuracy, increases productivity, and prepares you for audits.

Step 5: Communicate and Track Internally

To put PWM into action , HR, operations, and management need to work together. Talking within the company makes sure everyone — from employers to employees — gets why PWM matters and how it helps. 
 
Things That Work Well: 

  • Hold regular meetings about pay increases and training updates 
  • Set up ways for employees to ask questions 
  • Honor achievements when employees get skill certificates 
  • Make clear schedules for pay reviews and job evaluations 

When staff see clear paths to advance and feel appreciated for learning new skills, PWM becomes more than just a rule—it turns into something that boosts spirits, builds trust, and keeps people around.

Step 6: Keep It Going, Check, and Make Better

PWM isn’t a “do once and leave it” plan. Pay standards, training rules, and job duties change often to match Singapore’s workforce plans. 
 
To Stay On Top: 

  • Check PWM rules at least once a year 
  • Monitor MOM’s pay changes 
  • Evaluate internal processes with HR data 
  • Keep training managers through Info-Tech Academy’s company courses 
  • Taking action ensures long-term compliance and continuous workforce growth. 

Final Thoughts: Making PWM a Strategic Edge

Putting the Progressive Wage Model into practice is more than ticking a box — it’s a chance to gain an edge. Companies that put money into fair pay and training see clear benefits: 

  • Better employee involvement and retention 
  • Higher output from skilled employees 
  • Stronger employer image and trust 
  • Lower compliance risks and fines 

With proper training and digital systems, SMEs can gain a lasting competitive advantage through PWM. 

Want To Move Forward? 

  • Sign Up for Info-Tech Academy’s WSQ OPW to become skilled at PWM implementation. 
  • Make Compliance Digital With Info-Tech’s HRMS and Payroll Software — making audits, wage updates, and training tracking easy. 

Frequently Asked Questions

What does the Progressive Wage Model (PWM) mean?

PWM is Singapore’s pay structure that connects salary growth to an employee’s abilities and output making sure employees get fair pay and grow in their careers.

PWM affects workers in areas like cleaning, security, retail, food services, landscaping, and starting in 2025, office and driving jobs under OPW.

Yes. Companies that hire workers in PWM or OPW-listed jobs must follow MOM’s rules on minimum pay and training.

By using Info-Tech’s HRMS and Payroll Software small businesses can line up wages, keep track of training, and create reports that follow MOM’s rules.

Workers need to finish WSQ courses for their specific field to meet the skill and output standards for higher pay.