Since its introduction, the Progressive Wage Model (PWM) has redefined how businesses in Singapore structure right wage rates. Rather than meeting the basic regulatory requirements—it’s focused on fostering a sustainable, skilled, and fairly compensated workforce.
For SMEs getting to know about PWM for the first time or planning to expand their application across multiple departments, this blog will provide a detailed step-by-step approach to implementation. Aligning your business with Singapore’s fair wage policies can be simpler than you think with the right tools and training
What Is the Progressive Wage Model (PWM)?
The Progressive Wage Model is a structured wage framework that links salary progression to a respective employee’s skills and productivity. It was originally applied to sectors like cleaning, security, and landscaping, PWM has since diversified to count in sectors like retail, food services, and waste management in 2023 and 2024.
Starting from 2025, the model will extend further to cover administrative and drivers’ roles under the Occupational Progressive Wages (OPW) scheme. This means that more businesses than ever must now ensure compliance with PWM requirements—and the time to prepare is now.
To get a more comprehensive overview of the PWM guidelines, you can look into the official GoBusiness PWM resource.
Step 1: Identify PWM-Affected Job Roles
The first step is understanding whether your business employs individuals in roles covered by PWM or OPW. If so, you’re required to comply with minimum wage benchmarks and training requirements set by the Ministry of Manpower (MOM).
Common Roles Under PWM Include:
- Cleaners, security officers, and landscaping workers
- Retail assistants and food service staff
- Administrative staff and drivers (covered under OPW starting 2025)
These roles are especially prevalent in SMEs within the service and operational sectors. If any of these are part of your workforce, PWM implementation applies to you.
Step 2: Align Wages to Sector Benchmarks
Once the applicable roles are identified, the following crucial step is to align your current salary structure with MOM’s prescribed wage rates. These rates differ by sector and job level, where it is also revised periodically by considering the factors like the changing cost of living and industry requirements.
Here’s How You Can Start:
- Review MOM’s PWM wage schedules specific to your sector.
- Conduct an internal wage audit to compare current salaries with PWM benchmarks.
💡 Tip: Info-Tech’s Payroll Software allows you to automate this audit, ensuring accurate comparison and easy identification of non-compliance risks. By digitising payroll reviews, SMEs can streamline salary updates and avoid manual errors.
Step 3: Support Mandatory Training and Career Progression
PWM is fundamentally introduced for skill upgrading rather than just focusing on offering fair compensation. Businesses must ensure that employees in PWM-covered roles complete the required WSQ (Workforce Skills Qualifications) training.
This Training is Designed To:
- Enhance job-specific competencies
- Increase and improve productivity level
- Prepare workers for wage progression
Managers and HR professionals have to know how to schedule, document, and report that training to regulatory agencies.
Go Further: Info-Tech’s Occupational Progressive Wages (OPW) Course is specifically tailored for HR managers, supervisors, and line managers. It equips your staff to confidently lead PWM implementation by ranging from training requirements to compliance documentation.
Step 4: Digitise Your HR Systems for Ongoing Compliance
MOM may request an evidence that your business is aligned with PWM. This includes wage adjustments, CPF contributions, training history, and promotion timelines. Manual tracking can gradually become a difficult task—especially as the scope of PWM expands.
To stay organised and audit-ready, digital systems are essential.
➜ Solution Spotlight: With Info-Tech’s HR Software, you can:
- Record and manage salary updates
- Track training completion by role and individual
- Generate PWM compliance reports with a few clicks
- Integrate seamlessly with Payroll and CPF records
Digitising HR and payroll processes also helps ensure your records are consistent, accessible, and secure—a major advantage during MOM audits.
Step 5: Communicate and Track Internally
One of the most overlooked, aspects of successful PWM implementation lies in internal communication. To really make that work, your HR, operations, and line managers must be informed right in detailed to work in sync. That demands for having a clear timeline for reassessing wages, training completion, and communication with affected employees.
It’s also important to:
- Help employees understand how PWM benefits them
- Clarify their responsibilities in the progression process
- Provide feedback channels and regular check-ins
PWM isn’t just a compliance exercise—it’s a morale booster when implemented thoughtfully. Transparency in communication can foster stronger retention and trust within your workforce.
Final Thoughts: PWM Is a Strategic Advantage
Adopting the Progressive Wage Model goes beyond meeting government standards—it signals your business’s commitment to fair and inclusive employment. When implemented well, PWM:
- Boosts employee morale and reduces turnover
- Enhances productivity through upskilling
- Strengthens your reputation as a responsible employer
- Minimises compliance risks and penalties
With the right mix of digital tools and training, SMEs can transform PWM into a competitive advantage. You don’t have to navigate this alone.
Ready to Take the Next Step?
Empower your team with the knowledge and tools they need.
👉 Enrol in Info-Tech’s OPW Course – Designed for HR and line managers, this WSQ-certified course provides hands-on training for PWM implementation and compliance.
👉 Automate your compliance with Info-Tech’s HRMS and Payroll Software – Stay on top of wage audits, training records, and CPF reporting effortlessly.
Progress is a journey. Let’s take the next step together!
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