Question 1

Table1showsthemediangrossmonthlyincomefromwork(includingemployerCPFcontributions)offull-timeemployedresidentsfor2011-2021.

Table1-1:Mediangrossmonthlyincomefromworkoffull-timeemployedresidents

	Mediangross monthlyincome($)
2011	3,249
2012	3,480
2013	3,705
2014	3,770
2015	3,949
2016	4,056
2017	4,232
2018	4,437
2019	4,563
2020	4,534
2021	4,680

Source:MinistryofManpower,Singapore.

a) Calculatetheaverageannualchangeinmediangrossmonthlyincomefortheperiod2011-2016and2016-2021,respectively.

b) Calculate the cumulative change in median gross monthly income for the period2011-2016and2016-2021,respectively.

c)Discussyourobservationsontheincometrendsinthepastdecade,basedonyouranswerstopart(a)and(b),aswellassomegraphicrepresentation.

d) In November 2021, the government accepted the progressive wage proposal forthe security sector which sets the monthly gross salaries of entry-level securityofficers to a minimum of S$3,530 by 2028. The current minimum monthly grosssalary of entry-level security officers is $1,400 in 2021. Compare the expectedchange of minimummonthly salary of entry-level security officers to the incometrends discussed above. Comment on the progressive wage model (hint: the prosandconcernsrelated totheprogressivemodel).