The Singapore government announced it will raise salaries for public bus drivers starting January 2027 without increasing fares for commuters. The wage increases for new Singaporean and permanent resident bus drivers will be funded by the government, excluding driver salaries from the public transport fare adjustment formula, the Land Transport Authority (LTA) said. "This set of salary adjustments for bus captains is not part of the fare adjustment formula," the LTA confirmed [1].
New drivers will receive a $450 monthly salary increase and a $2,000 sign-on bonus. This will raise their total average monthly pay, including overtime and allowances, from about $3,600 to over $4,000 [1, 2, 3]. Existing bus drivers will get a one-time pay increase between $150 and $250, funded by their respective bus operators [1, 2, 3].
The government plans to continue the salary subsidies until each public bus package is re-tendered or renewed. Bus operators are expected to factor the higher starting pay into future bids [1, 2, 3].
Current government subsidies for the public bus sector exceed $1 billion. The public transport fare adjustment formula incorporates national average wage changes and core inflation but excludes bus driver salaries specifically, allowing the wage increase to proceed without fare hikes [1, 2, 3].
The government aims to attract more local bus drivers amid an aging workforce and ongoing recruitment challenges in the sector [1, 2, 3]. Experts caution, however, that pay increases alone are insufficient; improvements to working conditions, career progression, and driver recognition are needed to retain drivers [1, 2, 3].
The salary adjustments were announced in June 2026 and take effect in January 2027 [1, 2, 3].
