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6 in 10 Singapore workers live paycheck to paycheck: Report

According to results from a Global Workforce Survey by ADP Research, more than half of workers worldwide live paycheck to paycheck, and this financial pressure is especially prominent in Singapore.

Despite global employment reaching a record high in 2024, the report revealed that many working adults are still struggling financially, partly due to high cost of living.

More workers in Singapore experiencing financial strain

The study by ADP, which surveyed nearly 38,000 working adults across 38 markets, highlighted a shocking 60% of workers in Singapore that reported living from paycheck to paycheck.

This figure is notably higher than the island nation’s APAC counterparts, such as South Korea with a rate of 18% and China with a rate of 31%, shedding light on the increasing financial strain on the local workforce.

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The study also suggested that the absence of financial security is not limited to workers with a single income stream.

Among people with a single job, 54% reported that they were living paycheck to paycheck.

However, even among those who take on extra work, 59% and 61% of respondents with two and three or more jobs respectively struggled to pay the bills.

This indicates that having more than one job does not necessarily translate to greater financial security, although a greater proportion of multiple job holders said they could afford the things they want.

The root cause of financial insecurity

The report highlights that the issue of living from paycheck to paycheck is not simply about the number of jobs a worker takes up.

In some parts of Asia, as well as Africa and Latin America, the large proportion of informal or cash economies make it common for workers to make a living off a combination of part-time and gig work.

However, the unregulated nature of these economies often results in reduced job stability and fewer worker protections.

Ultimately, the study concludes that an economy should be able to increase wages while keeping inflation in check, in order to offer greater financial stability for its workers.

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Initiatives to support workers

To combat workers’ financial challenges in Singapore, the Government has been actively instating new solutions and improving existing ones.

In his National Day Rally speech on 17 Aug, Prime Minister (PM) Lawrence Wong affirmed that helping Singaporeans secure good jobs would remain the Government’s “number one priority”, ensuring that no one is left behind in the rapidly-changing, AI-driven economy.

PM Wong announced several key initiatives aimed at strengthening job opportunities and supporting workers. These are:

New government-funded traineeship programme for students and graduates from ITE, polytechnics, and universities

Enhanced job matching services to help workers secure their preferred choice of employment

Improving the SkillsFuture Level-Up Programme for workers 40 and above

Redesigning of jobs to offer safer and higher-paying careers for workers

Also read: S’pore ranked most expensive city for the rich in global wealth report

S’pore ranked most expensive city for the rich in global wealth report

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