Understanding the Progressive Wage Model (PWM) and the PW Mark in Singapore

In Singapore, fair and sustainable wage growth for lower-wage workers is no longer optional — it’s the law. Under the Progressive Wage Model (PWM), employers are required to pay progressive wages and provide skills training. Meanwhile, the Progressive Wage (PW) Mark recognizes employers that comply with these requirements and uphold fair employment practices.

Both are part of Singapore’s national effort to uplift lower-wage workers, strengthen social fairness, and reward responsible employers.

What Is the Progressive Wage Model (PWM)?

The Progressive Wage Model (PWM), introduced by the Ministry of Manpower (MOM), is a structured wage and skills framework that links pay to skill level and productivity.

It sets out clear wage ladders for lower-wage workers in covered sectors and occupations, ensuring that workers who upskill can progress both in their roles and pay.

Under the PWM, employers must:

• Pay at least the PWM-prescribed wages for each job level.

• Fulfil the training requirements for eligible workers.

The PWM applies to Singapore citizens and permanent residents in sectors such as cleaning, security, landscape maintenance, lift & escalator, retail, food services, and waste management, as well as occupations like administrators and drivers.

Progressive Wage Is Now Actively Enforced

Although PWM was introduced several years ago, enforcement has intensified in recent years. Previously, many firms viewed PWM as a guideline — today, it is a mandatory legal requirement.

From March 2023, the government has strengthened enforcement and integrated PW compliance into key regulatory systems. Companies must now comply with PWM and Local Qualifying Salary (LQS) requirements to:

• Maintain work pass hiring entitlement (eligibility to employ or renew foreign workers), and

• Qualify for government tenders that require the PW Mark.

The Progressive Wage (PW) Mark

The PW Mark is an accreditation administered by the Singapore Business Federation (SBF) on behalf of MOM, NTUC, and SNEF. It serves as a formal recognition for companies that comply with the PWM and fair wage practices.

There are two levels:

1. PW Mark – For companies that meet all PWM and LQS requirements.

2. PW Mark Plus – For companies that go further by adopting the Tripartite Standard on Advancing Well-Being of Lower-Wage Workers (TS-LWW), which encourages progressive workplace practices like training, rest areas, safety, and welfare.

While PWM is the law, the PW Mark is the recognition that your company complies with it — and it’s now essential for participation in most public-sector tenders.

The Key Differences — PWM vs PW Mark

In short:

Why PW Compliance Matters

1. Maintain Your Work Pass Hiring Entitlement

To continue hiring or renewing foreign workers, companies must be PW-compliant. Failure to meet PWM or LQS requirements for local staff can result in suspension or loss of work pass privileges.

2. Participate in Government Tenders

From 1 March 2023, most government agencies require suppliers and their subcontractors to hold a valid PW Mark before they can tender. Compliance has therefore become both a legal and business necessity.

Key Benefits for Firms

• Stay Compliant: Maintain your work pass and tender eligibility.

• Build Trust: The PW Mark signals your company values fairness and inclusivity.

• Retain Talent: Structured wage progression improves motivation and loyalty.

• Enhance Reputation: Align your HR policies with national standards for responsible growth.

How to Stay Compliant

1. Check Coverage: Identify whether your sector or roles fall under PWM.

2. Meet Wage Levels: Ensure salaries meet or exceed PWM-prescribed rates.

3. Fulfil Training Requirements: Provide the required skills training for covered workers.

4. Pay All Locals at Least LQS: Even non-PWM roles must meet this baseline.

5. Apply for PW Mark: Once you meet the above, apply via the GoBusiness portal for certification.

How CR Consultancy Can Support Your PWM Compliance

At CR Consultancy, we work closely with employers to ensure ongoing compliance with Singapore’s wage and manpower regulations. PWM and PW Mark obligations are not one-off tasks — they form part of your company’s annual compliance cycle. Wage levels, job scopes, and employee data should be reviewed yearly to remain aligned with the latest MOM-prescribed rates and training standards.

By integrating PWM compliance into your yearly HR and payroll checks, you not only avoid penalties — you also strengthen your company’s credibility and long-term sustainability.

At CR Consultancy, we believe compliance should be proactive, not reactive. Our role is to help you manage these evolving requirements smoothly, so your business remains compliant, competitive, and trusted. If you’d like guidance on your PWM or PW Mark obligations, speak with our consultants today.

Disclaimer: This article is intended for general informational purposes only and should not be taken as legal or regulatory advice. While every effort has been made to ensure accuracy at the time of publication, readers are encouraged to refer directly to the Ministry of Manpower (MOM) for the latest official requirements or consult a qualified advisor for specific compliance guidance.