SINGAPORE - Suggestions on improving the employability of those who belong to a range of vulnerable groups came to the fore on the second day of the debate on the Budget on Feb 27.
MPs on both sides of the House sought assurances that steps would be taken to ensure Singaporeans who took up training measures introduced or beefed up in Budget 2024 would be prepared for good jobs.
Workers’ Party MP Jamus Lim (Sengkang GRC) said the growing use of artificial intelligence (AI) will change the sorts of skills that are in demand.
“Those who have hitherto been able to distinguish themselves perhaps because of their talent or industry may now find their edge blunted,” he said.
Even as the focus on helping workers acquire these skills ramps up, it must not devalue learning beyond the classroom, he said.
He suggested that the scope of SkillsFuture Credit be expanded to cover alternative learning models such as apprenticeship programmes. For example, approved companies could be allowed to offer apprenticeships that trainees apply for using SkillsFuture Credit, which defrays the costs of taking them up.
Associate Professor Lim added that a minimum post-apprenticeship employment duration could be stipulated, to prevent companies from abusing the system.
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Meanwhile, Mr Desmond Tan, who is Minister of State in the Prime Minister’s Office, hailed the Budget’s wide-ranging support for both mature and young workers, particularly those earning lower wages.
But he noted that about two-thirds of respondents to a recent survey by NTUC said that their income had not kept up with living costs, with seniors especially affected.
“We will have to brace (ourselves) for tougher times, and seize opportunities for change and transformation,” he said.
Mr Tan, who is also deputy secretary-general of the National Trades Union Congress, also announced that NTUC’s Employment and Employability Institute will take over designated career centres and Jobs and Skills Centres from Workforce Singapore, expanding its role in providing personalised job placements.
He said more details on this will be given later, and also called on employers to do their part to better support mid-career workers, such as through paying them fairly based on their skill sets and experiences and providing protected time off for training.
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Mr Don Wee (Chua Chu Kang GRC) called for the cap for tax relief on course fees for personal development, which has not changed in more than a decade, to be increased from the current $5,500 per year.
Deputy Prime Minister Heng Swee Keat also spoke for almost 40 minutes on the impact of Singapore’s research and innovation ecosystem on creating jobs and economic growth here during the eight-hour debate.
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Here are six other suggestions and concerns raised by MPs:
1. Senior workers
Senior workers remain a valuable resource even as they age, as their productive lifespan increases with growing life expectancy, said Workers’ Party MP Sylvia Lim (Aljunied GRC).
She noted that there was no maximum age to qualify for the new SkillsFuture Level-Up Programme, which she lauded for implying a worker could remain potentially employable regardless of age.
Still, she sought clarification on whether those eligible to take a second subsidised full-time diploma could do so for enrichment purposes, rather than to prepare for a job.
“It could also allow them to become effective volunteers in our (non-governmental organisations) and charities, even if they’re not earning a salary.”
Ms Lim also asked which full-time courses would qualify individuals for the SkillsFuture Mid-Career Training Allowance aimed at those who need substantive reskilling, and whether employment outcomes will be tied to receiving the allowance.
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Mr Chong Kee Hiong (Bishan-Toa Payoh GRC) asked if the Government would consider designing a structured framework to match older professionals returning from abroad with small and medium-sized enterprises (SMEs).
He cited the difficulty one resident in his constituency had finding a new job after returning to Singapore so his son could serve national service.
Senior Minister of State for Defence Heng Chee How, who is also NTUC deputy secretary-general, called for caregiving services to be expanded, so people will not have to quit their jobs to become caregivers for their family members.
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Mr Mohd Fahmi Aliman (Marine Parade GRC) said benefits should not be reset for lower-wage workers upon re-employment.
“Recognising the length of service at the workplace is crucial, ensuring that employees, including re-employed staff performing the same job, receive fair and consistent treatment in terms of wages and benefits,” said Mr Fahmi, who is also director of NTUC’s operations and mobilisation division.
2. Freelancers
Nominated MP Jean See, who is director of NTUC’s freelancers and self-employed unit, spoke on sources of precarity for gig workers, and proposed five measures in response.
Ms See said that freelancers, particularly those in the creative, media and coaching sectors, are often hired by smaller firms that are sub-contractors for a main contractor.
These small firms may run into cash flow problems for projects in progress, particularly if main contractors opt to pay after project completion, causing freelancers to be paid late or not at all, she said.
She proposed that the Government request its main contractors and their sub-contractors for creative, media or coaching work to adhere to tripartite standards for contracting with freelancers.
“By taking deliberate steps to reinforce fair norms, the Government can take the lead to curb freelancer precariousness arising from prevalent post-pandemic sub-contracting,” she said.
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She also suggested that the Government engage associations that represent freelancers, such as the National Instructors and Coaches Association, to set guidelines and principles on fair remuneration for contractors to follow.
Other suggestions touched on retirement adequacy, recourse against unfair contractual terms and targeted training support.
Labour MP Yeo Wan Ling (Pasir Ris-Punggol GRC) called for additional protections and representation for platform workers in the areas of earnings, benefits and welfare.
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3. Cost of living
To help people suss out the best deals on daily essentials, groceries and cooked food, Mr Melvin Yong (Radin Mas), who is president of the Consumers Association of Singapore, told Parliament the association will recruit 2,000 volunteers from the People’s Association to be Price Kaki Champions.
The volunteers, who will be recruited over 18 months, will be trained to use the Price Kaki app to search for products and compare prices. They will also promote the app to residents in their neighbourhoods and encourage them to share tips or deals that will benefit others.
Ms Ng Ling Ling (Ang Mo Kio GRC) said on Feb 26 that more needs to be done to alleviate the fear of having children due to the high cost of living in Singapore.
She cited a 2018 study by National University of Singapore economists which showed that it would cost a median income working mother about $560,000 to raise her first child, while the total tax savings and subsidies enjoyed over the child-rearing period would offset about 9 per cent of the total cost of raising a child.
Ms Ng urged the Government to place more importance on implementing comprehensive strategies like creating a social support ecosystem to reduce the financial anxieties associated with raising children in Singapore.
4. People with disabilities
Training programmes should be made more accessible to people with disabilities, said Nominated MP Ong Hua Han and Ms Rachel Ong (West Coast GRC). They pointed out that implementing reasonable accommodations for this group is not currently mandatory.
These accommodations refer to measures that enable those with disabilities to participate in training on an equal basis.
Among other things, Ms Ong suggested that SkillsFuture Singapore and the Enabling Academy can work with training providers and industry partners to determine what constitutes reasonable accommodation in the Singapore context. This includes discussions on which courses to prioritise and the provision of technical assistance for adaptations.
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Accessible recourse should also be available for those with disabilities when they encounter difficulties, said Ms Ong. She added that training providers should provide course information and accommodations available to learners in an accessible format before enrolment.
Mr Ong on Feb 26 raised several other areas in which improvements can be made to increase inclusivity and help people with disabilities. These include education, transport, sports, housing and employment.
For transport, Mr Ong asked if the Ministry of Transport could study ways to better the visibility and understanding of the yellow invisible medical condition card. This followed feedback from those with such disabilities that they were not offered a seat on the MRT, even when they had the card displayed.
Senior Parliamentary Secretary for Culture, Community and Youth and Social and Family Development Eric Chua said policies and programmes are not enough to empower people of all abilities.
He said that in many areas, such as inclusive employment and providing independent living options, the Government can and will take the lead. But individuals, community organisations and social service agencies can play a role in shifting mindsets and making everyday accommodations.
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5. Support for SMEs
Mr Chong said it is getting harder for SMEs to participate in government projects, as projects are becoming larger in scale and have higher financial and tender requirements. He recommended a more inclusive approach in the Government’s tender process.
It is also not easy for SMEs to conduct research and development and incorporate AI development on their own due to their resource constraints, Mr Chong said, adding that SMEs need government support for funding and to facilitate collaboration with researchers, universities and other companies.
He called on the Government to earmark for SMEs, or collaborations involving SMEs, a share of both the extra $3 billion committed to the Research, Innovation and Enterprise 2025 Plan and the $1 billion to be invested in AI compute, talent and industry development over the next five years.
Mr Wee proposed that more targeted funding support be provided to SMEs to manage their emissions, such as through investing in carbon pricing and modelling solutions, as well as in value-chain emissions management and decarbonisation.
Meanwhile, Mr Edward Chia (Holland-Bukit Timah GRC) said that while the Progressive Wage Credit Scheme is a boon for SMEs, cash flow remains a significant concern. The scheme offsets some of the wage increases firms give lower-wage workers on a reimbursement basis. Mr Chia proposed that the Government consider shortening the reimbursement period to alleviate pressure on enterprises’ cash flow.
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6. Overseas exposure for young workers
Younger workers face job disruptions from AI and the green transition, said Labour MP Desmond Choo (Tampines GRC), noting that overseas work exposure can equip Singapore’s youth with invaluable skills and opportunities to help them adapt.
Mr Choo, who is assistant secretary-general of NTUC, acknowledged existing initiatives such as the Singapore-Shanghai lawyers exchange programmes, as well as local and overseas internships under the Global Ready Talent Programme that enable local firms to train young talent.
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He proposed that the Government look into expanding the reach of the internship programme to more host companies based either in Singapore or overseas, and suggested expanding the programme to include multinational companies, by removing the requirement that participating companies must have 30 per cent local shareholders.
“We need to help our young workers understand the new economy’s impact on their livelihoods and strengthen their career paths. In doing so, we can forge a path towards a more just, equitable and sustainable future,” he said.
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Budget 2024: MPs debate measures to uplift vulnerable groups of workers
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