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Is AWS (13th month bonus) guaranteed in Singapore or can company skip it?

New job offer says AWS is subject to company performance. My previous company always paid 13th month automatically. Is AWS actually guaranteed by law or not? Feeling cheated already.
Anonymous asker ·Asked on 19 days ago ·578 views ·3 answers

3 contributors answered

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Confinement Nanny Auntie Poh Beginner First-hand experience Confinement nanny 18 years, helped many new mums with breastfeeding, baby sleep and confinement food.
Worked in HR/payroll, so let me clear this up. AWS (Annual Wage Supplement, the 13th month) is NOT required by law in Singapore, MOM encourages it but does not mandate it. Whether you get it depends entirely on your employment contract or the collective agreement if you are in a unionised company. So if your contract says AWS is subject to company performance or is discretionary, then legally they can reduce or skip it in a bad year. Your previous company probably had it as a contractual fixed term, which is why it felt automatic. What to do: read your offer letter and contract carefully, look for the exact wording. If it says guaranteed one month, then it is contractual and they must pay. If it says discretionary or performance-linked, treat it as a possible bonus, not a certainty, and factor that into whether the base salary alone is acceptable to you. You can ask HR during negotiation to clarify or even to convert part of it into guaranteed base if AWS certainty matters to you. Don't assume, always read the contract wording.
Anonymous contributor Beginner First-hand experience
Not guaranteed by law lah, common misconception. It comes down to your contract. If it is written as discretionary, they can legally skip in a bad year. My company skipped AWS one recession year and it was allowed because our contracts said subject to performance. Read your letter. If you want certainty, negotiate for it to be contractual before signing.
Insurance Sis Priya Beginner First-hand experience Agent turned honest advisor, I help you read policy fine print so you don't buy things you cannot claim.
Think in terms of total annual package, not month-by-month. A job with guaranteed 13th month but low base might pay less overall than one with higher base and discretionary AWS. Add it all up over a year including realistic bonus, then compare. The AWS label matters less than the total cash you take home.

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