7 Jan 2012

Govt pay cuts in Singapore

7:45 am on 7 January 2012

Cabinet ministers in Singapore face massive pay cuts, following a recommendation by a government salary committee.

The prime minister's salary is to be reduced by 36% and the president's by 51%.

The salary committee was set up after parliamentary elections last year in which the ruling party secured its lowest overall vote since 1965.

The government intends to accept the recommendations.

Even with the 36% pay cut, Prime Minister Lee Hsien Loong will still be paid $S2.2 million ($US1.7 million) per year. President Tony Tan will still earn $S1.5 million.

Members of parliament and political appointees are also included in the cuts. The BBC reports the recommendations will be debated in parliament this month.