What would constitute a fair wage increase, in the light of the National Wages Council's guidelines? How can companies reward their workers while ensuring their business remains competitive?

THE most important thing is to align workers' interests with their company's. So long as a company continues to do well, it should reward its workers accordingly. The best way to do this is year-end variable bonuses rather than monthly fixed salaries.

However, with the very strong economy, there will definitely be more pressure on companies to increase fixed salaries. In a buoyant economy, companies have to strike a balance between salary pressure and staying competitive.

Wee Piew
CEO
HG Metal Manufacturing Ltd