Singapore-based OCBC has offered multi-million dollar support to its junior employees to cope with the rising cost of living.
OCBC has announced financial support to junior employees globally to cope with the rising cost of living, according to a statement. The one-off support totals close to S$9 million ($6.7 million) and will help nearly 14,000 employees or more than 40 percent of the group’s overall headcount in its 19 markets. This also covers OCBC subsidiaries including Bank of Singapore, OCBC Securities and Great Eastern Holdings.
Within Singapore, S$1,000 will be offered to each of the city-state’s 4,600 workers, including new entrants and unionized employees. Outside Singapore, the one-off support takes into consideration the respective conditions of local markets.
Other Singapore banks have also made similar efforts. DBS was the first lender in the city-state to do so with an aggregate one-time payment of S$15 million offered to junior employees or half of the group’s total headcount.
Public Recommendation
In October 2023, Singapore’s National Wages Council recommended that companies help employees cope with rising costs beyond support from the government. One-off assistance payment with a focus on lower to middle-income employees was one of the recommendations accepted by the local government.
«The amount, for each of the 14,000 who will benefit, may not be large. However, we hope that this can help colleagues defray concerns on the rising cost of living,» said OCBC head of group human resources Lee Hwee Boon.
Long-Term Solution
According to Lee, the long-term solution is to «empower colleagues to take charge of their own financial well-being» through planning. The bank highlighted a range of relevant resources such as articles, tools, virtual talks and regular workshops.
In 2023, Singapore recorded headline inflation of 4.8 percent, according to official data, down from 6.1 percent in 2022.
