Tan See Leng
Singapore
“We are aware of the Singapore Workplace Report 2026, produced by the Singapore Institute of Directors and Gallup, and we are studying its findings.”
“The Taskforce for Responsible Retrenchment and Employment Facilitation (Taskforce) actively reaches out to all retrenched local employees. In 2025, 77% of Mandatory Retrenchment Notifications (MRNs) were submitted at least seven days ahead of the employee's last working day and 73% of MRNs were submitted at least two weeks ahead.”
“From 2022 to 2025, vacancy rates for technical maintenance roles in the real estate services sector, which includes facilities management, have been lower than the overall job vacancy rate, except in 2025 (see Table 1).”
“The Skills and Workforce Development Agency (SWDA) works with sector agencies to determine the courses which are required by the respective industries. The SWDA currently funds more than 100 courses, spanning a wide range of mental health-related fields.”
“In the first quarter of 2026, the profile of retrenched residents aged 50 to 59 was broadly similar to the profile of all retrenched residents, predominantly comprising professionals, managers, executives and technicians (PMETs) and were mainly from wholesale and retail trade, manufacturing, financial and insurance services and profession…”
“In 2025, around 4,200 resident professionals, managers, executives and technicians (PMETs) aged 45 to 59 were retrenched, higher than 3,200 in 2024 and 3,500 in 2023. Their six-month re-entry rate remained stable at 48.5% in 2025, compared with 48.9% in 2024 and 50.1% in 2023.”
The complete record
Every one of 2,238 lines we hold for Tan See Leng, in date order, each linked to its source. Free to read, in full, without an account. Page 32 of 45.
“The Jobs Taskforce was formed in September 2021 against the backdrop of elevated resident unemployment and long-term unemployment rates, which stood at 3.5% and 1.2% respectively. The Taskforce thus focused on the immediate task of facilitating placements of locals into jobs in key sectors. With the reopening of borders and recovery of the economy, the resident unemployment and long-term unemployment rates have since improved to the pre-COVID-19 levels of 2.8% and 0.7% respectively as at June 2022. As of May 2022, the targeted efforts of the eight Ministries and agencies in the Jobs Taskforce have helped nearly 9,000 local workers enter new jobs. The agencies' efforts involved working with employers in industries such as Information and Communications, Financial Services, Manufacturing and Logistics to hire mid-career jobseekers through Workforce Singapore's Career Conversion Programmes and sectoral job matching programmes, reskill existing workers for new or expanded job scopes as these sectors undergo transformation and adopt progressive human capital practices.”
“The Overseas Networks & Expertise Pass is a personalised pass for top talent earning a fixed monthly salary of at least $30,000. It is open to talent from all sectors, including the healthcare sector. The Ministry of Manpower (MOM) appreciates the importance of speed and certainty in processing applications for work passes and dependant passes. As stated on MOM's website, dependants of Employment Pass and S Pass holders can expect to obtain an outcome for their Dependant's Pass (DP) application within three weeks for most cases. This includes applications from the healthcare sector. Most DP applications in the healthcare sector are processed within three weeks and the average processing time is well within our service standard. Applicants should take into account the processing time needed and submit their applications early.”
“Similar to Employment Pass (EP) holders who meet the salary criterion for sponsoring dependants, Overseas Networks & Expertise Pass holders will be able to bring in their unmarried children under 21 years old and parents as dependants, with no limit placed on the total number of eligible dependants. This notwithstanding, less than half of EP holders actually bring in dependants and those that do, typically bring in an average of two.”
“The current configuration of public holidays in Singapore has been in place since 1968. At the time, faced with the British withdrawal and the need to compete in global markets, the Government decided to reduce the number of public holidays. The Government conducted consultations with the various religious groups and reached a consensus on which religious festival should be gazetted as a public holiday. Difficult compromises were made as religious groups had to give up observing some of their significant festivals as public holidays. Muslims chose to give up Prophet Muhammad's Birthday as well as an extra day for Hari Raya Puasa. Christians chose to give up the Saturday after Good Friday and Easter Monday. Hindus had to choose between Thaipusam and Deepavali, and chose the latter. Buddhists, who comprised the largest faith and had only one public holiday to begin with, Vesak Day, were not asked to give it up. Our calendar of public holidays thus reflects the outcome of these consultations with religious groups. Maintaining this balance has served us well and it continues to be the sensible approach.”
“Based on the Monetary Authority of Singapore (MAS)'s estimates, there are about 700 Single Family Offices (SFOs) in Singapore as at end-2021. Employment Pass (EP) applications from SFOs are handled in the same way as other EP applications. EP applications from SFOs are also rejected for reasons similar to other EP applications. These include the inability to meet the salary criteria as well as the inability to pass the Ministry of Manpower (MOM)'s verification checks on the profile of the applicant and hiring company. The Overseas Networks & Expertise (ONE) Pass is open to top talent across all sectors. Applicants will need to earn a fixed monthly salary of at least S$30,000 within the last year or with their future employer based in Singapore. In addition to meeting the salary criteria, overseas candidates will also need to demonstrate that they have been working for an established company overseas for at least one year or will be working for an established company in Singapore. For a company to be considered established, it must have a market capitalisation of at least US$500 million or an annual revenue of US$200 million. Applicants from SFOs can apply for ONE Pass if they are able to meet the above criteria. If not, they can continue to apply for other work passes.”
“The scope of workplace safety and health (WSH) audits required by the Ministry of Manpower (MOM) is based on established industry standards and reviewed whenever the occupational safety and health management standards are revised. The WSH audit standards was last revised in 2018. The audit scope comprehensively covers all the important components of safety and health management systems including worker participation, leadership commitment, organisational roles and responsibilities, planning and actions to address WSH hazards, competency and communications. MOM will review the audit requirements after the new Code of Practice (COP) for Chief Executives' and Board of Directors' Workplace Safety and Health Duties is gazetted and implemented.”
“We will share the recommendations with the public when ready.”
“The Open Door Programme (ODP) and Enabling Employment Credit (EEC) provide employment-related support to persons with disabilities. Under the Enabling Masterplans, persons with disabilities refer to those with physical, sensory, intellectual and developmental impairments. This includes persons with intellectual disability and persons with autism. The ODP, which is administered by SG Enable with support from Workforce Singapore, provides job placement and job support services for these individuals and their employers. The EEC provides employers with wage offsets of up to 30% for each Singaporean with disability earning below $4,000 per month that they hire. Jobseekers and employees with mental health conditions beyond intellectual disability and autism can tap on pre-employment training, job matching and post-placement support provided by agencies including the Institute of Mental Health, Singapore Association for Mental Health, and Singapore Anglican Community Services. There is a wide spectrum of mental health conditions. With proper treatment and care, some people with mental health conditions can function normally at work. However, others may require special support and work arrangements, and the needs could vary over time for each case. The support is thus customised to address the specific needs and challenges of such individuals. The Interagency Taskforce on Mental Health and Well-being has been set up to look at how the Government, our partners and society can strengthen support for persons with mental health conditions. This includes reducing stigma on persons with mental health conditions, raising their access to counselling and treatment, as well as improving employment and employability of those who are deemed job-ready. The proposals are being discussed.”
“We are currently reviewing which international rankings we should use to determine the list of the top 100 universities under the top-tier category in the Complementarity Assessment Framework. Details of the international rankings referenced for the top 100 universities, as well as the full list of educational institutions that are considered top-tier will be published on the Ministry of Manpower (MOM)'s website in March 2023.”
“The Government will continue to monitor the situation and will provide additional targeted help for lower-income and vulnerable groups if the situation worsens.”
“The Workfare Income Supplement Scheme encourages lower-income Singaporeans to work and build up their CPF savings, by supplementing their income through cash payments and CPF contributions if they have a job and are working. The Government reviews Workfare regularly. As announced at Budget 2022, Workfare will be enhanced from 2023 and the maximum annual Workfare payout will be raised for all age bands. For example, eligible lower-wage workers aged 35 to 44 currently receive up to $1,700 in Workfare payouts per year, of which up to $680 will be provided in cash. From 2023, they can receive up to $3,000 in Workfare payouts per year, of which up to $1,200 will be provided in cash. This will provide a significant boost for lower-income workers. As we enhance Workfare, we are also taking significant steps to raise the wages of lower-income workers. In the past five years (2016 to 2021), real1 income2 growth at the 20th percentile of full-time employed residents was 2.7% per annum, higher than the median income growth of 2.1% per annum. We are in the midst of expanding Progressive Wages to new sectors and occupations, and have also implemented the new Local Qualifying Salary requirement. These efforts will cover up to nine in 10 full-time lower-income workers by 2023. The National Wages Council will also continue to recommend wage increases for lower-income workers annually. The Government also supports Singaporeans with other measures, especially for the lower-income groups. In particular, the $1.5 billion support package, announced by MOF in June 2022, has provided immediate and quick relief, with more support for lower-income and vulnerable groups.”
“I thank Ms Mariam Jaafar for her question. Members of the House and Ms Mariam Jaafar would appreciate the wide diaspora of jobs and skillsets that are needed to fulfil the roles. There will be very, very clear cut roles, which would require say, understanding of arithmetic, or even physics. Because safety of certain work process is needed. I recently dealt with an appeal, filed by a Member here, appealing for a particular resident to be given an exemption from having to pass certain tests. But because this pertains to workplace safety where a basic understanding of the calculation of the weight-bearing nature of certain platforms and tensile strength of the rope is necessary. So, a basic understanding of physics is therefore needed. That could not be substituted by just experience or some other alternative qualifications. In that kind of setting, MOM will come in to work with the individual to see whether we can help the person pass these basic requirements. And if not, try to find an alternative role to place the person in. So, I guess the very long answer to the Member's question is that it is very difficult for us to be able to substitute away every single skill by an alternative qualification. I beg her indulgence; I hope she understands.”
“I thank Ms Poa for her question. Today, MOM works very closely with the Institute for HR Professionals (IHRP), as well as our tripartite partners and employees to professionalise the HR workforce and to strengthen HR practices and capabilities. One key effort is the IHRP certification, which recognises the level of skills and experience of HR professionals. Incumbent within the process certification, it assesses the knowledge and the understanding of our employment legislation and regulations, including FCF well as the soon to be implemented COMPASS. I do not want to go too much into the details of that training. All certified HR professionals must comply with the IHRP's code of professional conduct. If the HR professional has been found to have breached manpower rules and regulations, IHRP may subject the HR professional to corrective actions, such as counselling by senior certified professionals. They can also suspend the certification or permanently bar the individual from being certified, depending on the severity of the breach. In addition, MOM can also prosecute errant employers or key personnel who make false declarations that they have considered all candidates fairly. Employers who are convicted of false declaration under the Employment of Foreign Manpower Act will face imprisonment of up to two years or fine of up to $20,000, or both.”
“I thank Mr Louis Chua for his question. MOM would rely on multiple data points to allow us to triangulate. This will vary across the different sectors that we are dealing with. One key point that we will consider, obviously, is how acutely short, in terms of the talent that is needed for one particular sector, whether it is in deep tech. And given the shortage, that is one data point that we would use to consider in terms of our data analytics. There is no one-size-fits-all. So, today, if you look at the outcome, which is a very low long-term unemployment rate, for us to ensure that in a tight labour market, companies can continue to do well, to be able to have access to the manpower that they need to run the operations, we work very closely with them. In the process of working with them, we also identify certain characteristics and behaviour that allow us to develop these analytics. I hope that gives Members a broad perspective of what we are doing.”
“I thank the Leader of the Opposition for that question. COMPASS will come into implementation on 1 September 2023. Within COMPASS, there are four criteria. As I have said earlier on, two of the criteria relate to the individual and two of the criteria relate to the firm. Because it is almost a set of interlocking gear, whatever you move in one criterion will affect the rest. Our sense today is that, in the run-up to implementing COMPASS and as we engaged more firms, we get feedback that this is a good framework which helps to differentiate our workforce. It also allows us to review from time to time, how we can be more responsive to the type of jobs and the type of talent our country and our economy needs. So, directionally, COMPASS is a move in the right direction because it allows us a very differentiated strategy.”
“I thank Mr Yip for his two supplementary questions. As I have shared earlier on, MOM today has various tools, including data analytics to look into firms, which hire in bad faith. I would not be able to share at length or in-depth what some of these predictive analytics are, because by sharing them, we then got to keep inventing newer and better AI tools to identify them. Today, the vast majority of the firms under the FCF watchlist, when we work with them to improve some of their hiring practices and policies, the majority of them end up exiting the watchlist. From the data of such policies that are available today, do not seem to indicate that this is a pervasive problem. There will always be outliers but because the core of what we do is to improve and level up opportunities for our local Singaporean Core, we will continue to nuance our approach to these films.”
“I thank Mr Giam for his two questions. First, on the Employment Pass, we have earlier on said that there is no fixed-term EP. In fact, the EP holders for these companies, they do not enjoy an automatic renewal for these EP holders. There is a certain validity and some of them are on a two-year term, some are on a one-year term and subject to companies renewing them, subject to other criteria, these EPs are not automatically renewed. I think these are important points to take note of. As far as the COMPASS framework is concerned, we are starting from 1 September 2023. We are reviewing and getting feedback still from the industry. I am looking at some of the criteria to see how we can nuance it to make sure that not only is it business-friendly, but that they can continue to help us achieve our desired end game of levelling up the opportunities for our Singaporeans. Today, we are in a very tight labour market. Any introduction of any new policy to nuance this framework would be viewed as further tightening. So, I hope the Member understands the delicate situation and the fine balance that we are in. We have today, very clear foundational criteria. Two of the characteristics pertain to the individual characteristics; and two, relate to the firm. I think it is sufficient for now to move ahead with this framework and let it run.”
“It was a two-day event featuring insights from industry leaders on key growth areas and career opportunities in Singapore's financial centre. The people who attended felt that it was a very good forum for them to communicate and also for them to consider relocating back home and included fireside chat with industry leaders on their overseas experiences and relocation journeys as well. Other agencies, like the National Research Foundation (NRF), also runs the Returning Singaporean Scientist Scheme (RSSS). This seeks to attract outstanding overseas based Singaporean research leaders back to Singapore to take up leadership positions in our universities and our research institutions. NRF has been engaging our Institutes of Higher Learning (IHLs) as well as the Agency for Science, Technology and Research (A*STAR) to identify some of these suitable candidates. These are just some examples.”
“I thank Ms Jessica Tan for her supplementary questions. On the leadership roles, we do not have the data available at hand today. Perhaps, if Ms Tan could file a Parliamentary Question (PQ), we will try and get some of those data. But, if you look at the proxy, if we use the $30,000 salary criteria of the ONE Pass mentioned at the last Parliamentary Sitting and given the fact that if you use the proportion of about 7,000 to 8,000 current EP holders who are at that level or above, a significant majority who have gone above that level are our Singaporeans. So, perhaps, that would give you some form of a broad macro indicator, if you take that as a proxy. But, like I said, it may not necessarily be an accurate proxy. For the top talent in many of these key sectors that we talked about, we have a significant number of initiatives that we have put in place to try to bring them back. While I agree with Ms Jessica Tan that returning top Singaporean talent can make significant contributions to our economy back home, where they are in today, in many of the tier one cities all over the world, they can also serve as valuable connectors and advocates in many of these overseas markets while they continue to gain the networks, the expertise and the industry relevant experiences abroad. Many of them actually chose to carry on staying for longer periods because they have got other ties, work commitments, maybe friends and schools. The initiatives that we have started, I could give you a few examples. One, is the Singapore Financial Forum (SGFF). It is co-organised by the Institute of Banking and Finance (IBF), SGN and the Monetary Authority of Singapore (MAS). We held the inaugural forum in May 2022.”
“The responsibility placed on employers as well as decision makers to uphold workplace fairness is also being discussed by the Tripartite Committee, which is deliberating the scope and design of workplace fairness legislation. Beyond enforcement, we must also enable and equip HR professionals to better support their companies.”
“We do not require companies to do so, just like how they also do not need to do so for other job portals. We are conscious of the fact that we should not add administrative burden and make it onerous for employers to use MCF. While the number of cases of discriminatory practices is small, MOM will continue to remain vigilant. Besides investigating complaints lodged with TAFEP, we will also use data analytics to identify suspicious cases for further investigation. And where employers are found to be discriminatory, MOM will not hesitate to take action against such employers. In response to Mr Louis Chua and Mr Yip Hon Weng's questions, from 2017 to 2021, MOM took enforcement actions against approximately 300 companies. The regulatory actions included issuance of warning and being barred from hiring or renewing foreign workers. Ms Hazel Poa also asked whether MOM intends to impose personal responsibility on human resource (HR) professionals in Singapore to comply with all manpower rules and regulations. I would like to remind Ms Poa that hiring decisions are not made by HR professionals alone. Senior management as well as line managers are also involved in these hiring decisions. Today, MOM can take action against culpable individuals and decision-makers for non-compliance of MOM's rules and regulations. This includes HR professionals as well as business leaders. Employers, business leaders and HR professionals all play an important role in ensuring that their companies' employment practices are fair and that they comply with regulations and the Tripartite Guidelines. All employers in Singapore must comply with not just the letter but with the spirit of our laws and regulations on fair hiring, and adopt good HR practices.”
“For returning Singaporeans, SGN and other agencies offer a variety of online resources to facilitate a smooth transition, including information on education, working and living, as well as relocating back home to Singapore. For example, the Ministry of Education (MOE)'s website contains information about school admissions for returning Singaporean children. Lastly, on fair consideration. There is no place for discrimination in Singapore. MOM does not and will not tolerate unfair hiring practices and employers who do not give locals a fair chance will face stiff penalties. The Fair Consideration Framework (FCF) sets out requirements for all employers to consider local workers fairly for job opportunities. Work is now underway to enshrine this in legislation. Mr Yip Hon Weng asked about the number of companies placed on the FCF watchlist. Firms are placed on the FCF watchlist if they have an exceptionally high share of foreign PMETs compared to their industry peers, or a high concentration of a single foreign nationality source. But, Members of the House, let me reiterate this. Firms placed on the FCF watchlist have not flouted any rules. Instead, what the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) does is to engage these companies to help them improve their workforce profiles. Since 2016, MOM has engaged a total of more than 1,700 employers under FCF. One other limb of FCF is the job advertising requirement. Employers must first advertise on MyCareersFuture (MCF) and fairly consider all candidates, before submitting an EP or S Pass application. Mr Louis Chua asked whether companies need to notify MOM on the outcome of a job posting when it is subsequently delisted or when the role is filled.”
“For some CCPs, academic requirements are put in place to ensure that the trainee is able to cope with the training, particularly where the training is very technical in nature. Applicants who do not meet the academic requirements may still be accepted into the programme if they have relevant alternative qualifications or work experience. Ms Jessica Tan also asked about our initiatives to bring back top overseas Singaporean talent. Overseas Singaporeans, who have developed the ability to thrive in a global environment or who have gained industry-relevant experience and built extensive networks, can make significant contributions to our economy and pass on their knowledge to other Singaporean talent. Fundamentally, strengthening Singapore’s position as a global hub for talent which is brimming with exciting opportunities is self-reinforcing – it will help to bring back overseas Singaporeans who are keen to contribute and to be a part of this ecosystem. The Government actively engages overseas Singaporeans to keep them connected to home, so that they can make an informed decision about whether and when to return to Singapore. The Singapore Global Network (SGN) within the Economic Development Board (EDB) plays a key role in broadening and deepening our overseas Singaporean network through digital engagement, as well as partnerships with private, public and community organisations to deliver engagement initiatives, such as networking and community events. These engagements also allow overseas Singaporeans to serve as our valuable connectors and ambassadors in overseas markets, helping to spread Singapore's good reputation.”
“When it comes to foreign workforce policies, the way to advance is to strike a very careful and delicate balance. Next, on developing our local talent pool and workforce. Local talent development already happens organically in tandem with economic growth. As businesses expand their investments here, they will need to find manpower to fill various roles and invest in training and upgrading their workers. By working in leading firms and alongside global talent, our local workers will also gain exposure to new ideas and best practices from around the world. The Government and tripartite partners help to catalyse this process. We work with industry stakeholders to chart out transformation plans across 23 sectors through the Industry Transformation Maps (ITMs), which include strategies to prepare our workers for higher value-added jobs in each sector. We have also put in place a whole eco-system of programmes and schemes which businesses can tap on to prepare their workers for jobs of the future. For instance, we recommend that companies work with NTUC to set up Company Training Committees (CTCs) to help drive business transformation and training plans – the Government has set aside a $70 million budget for the NTUC CTC grant. Employers can also tap on subsidised industry-relevant training courses and reskilling programmes for mid-career workers. This includes Workforce Singapore (WSG)’s Career Conversion Programmes (CCPs). Ms Mariam Jaafar1 filed a question for a later Sitting on how work experience and other certifications are considered aside from formal academic qualifications in eligibility requirements for CCPs.”
“The growth of the Information and Communications sector has also resulted in creation of more jobs for our locals – in the same timeframe, we saw strong growth in the number of local PMETs by 34,400. Median local wages in the sector also continue to increase. Therefore, we can see quite clearly that it is not a zero-sum game. At the macro level, the data is also encouraging. There are more locals in higher-skilled PMET jobs. The proportion of resident workers in PMET jobs increased from 55% in 2016 to 62% in 2021. Across the board, local workers have experienced sustained wage growth. The median income of full-time employed residents has grown from $4,100 to $4,700 over the same period, an increase of 2.1% per annum in real terms. We have also seen improved job quality and better wages at the lower end, with the income of full-time employed residents at the 20th percentile increasing 2.7% per annum in real terms over the same period. Mr Leong Mun Wai also filed a question in a subsequent Sitting specifically on local postgraduates, a group that is very likely to be taking up or even creating these high-quality roles. Their average unemployment rate has remained lower than that of all locals over the past five years. We have managed to create good employment outcomes because we continue to be an attractive place for companies to do business. By combining and complementing local and foreign expertise, we can attract more investments and create many more good job and career choices for Singaporeans. Conversely, if companies do not have access to the complementary foreign manpower that they need, they may exit Singapore and take the jobs they create for Singaporeans with them.”
“First, to benchmark the EP qualifying salary to the top one-third of our local Professionals, Managers, Executives and Technicians (PMETs) workforce. And second, to introduce a new points-based Complementarity Assessment Framework (COMPASS) from 1 September 2023 to holistically evaluate EP applications for complementarity. Companies whose candidates cannot meet the EP qualifying salary or pass COMPASS will have to apply for an S Pass instead, where they will be subject to a quota. This is a neater solution than what Mr Giam is suggesting. Compared to his suggestion where some EP holders are subjected to a quota while others are not, our current approach has the merit of keeping the positioning and criteria of each pass type clear, and overall work pass framework simpler for businesses. Being open and connected and bringing in complementary global talent have helped to grow the overall pie for Singapore and more good job opportunities for locals. Ms Jessica Tan asked if there is data to show that Singaporeans are succeeding in getting quality jobs in key sectors. At the same time, Mr Liang Eng Hwa asked about the number of EP holders in the Information and Communications sector, compared to other sectors. The Information and Communications sector has been a fast-growing one and is a sector that is facing talent shortages worldwide. In Singapore and elsewhere, employers have had to tap into the global marketplace for skills in shortages. In 2021, the ICT sector accounts for one-fifth of our EP stock. This has increased from one-sixth in 2016, thus reflecting the growing digital needs of our economy.”
“Members of the House, I delivered a Ministerial Statement last month on “Strengthening Singapore’s Position as a Global Hub for Talent”. In the Statement, I outlined how we intend to strengthen Singapore’s position as a global hub for talent and addressed questions around the enhancement of our work pass framework, including the introduction of the Overseas Networks & Expertise (ONE) Pass. Members have subsequently filed a number of Parliamentary Questions on three related issues. First, on how we ensure a complementary foreign workforce. Second, on our concurrent efforts to develop our local talent pipeline. And last but not least, on our efforts to safeguard fair consideration. I am taking them together, so that we can address the issues more holistically. I will address questions which are more technical in nature on specific policies separately. First and foremost, ensuring a complementary foreign workforce. Members in this House generally acknowledge the need to attract top talent, as per the intent of the ONE Pass. Some Members have, however, raised questions on our broader foreign workforce policy. At the Employment Pass (EP) level, we focus on ensuring that the EP holders are of good quality. And we do not impose quotas. To answer Mr Gerald Giam’s question on whether there are plans to review the EP framework to introduce a quota for the bottom half of income earners among EP holders, we have explained our rationale before – doing so will restrict our ability to compete and hold our companies back. Our emphasis on quality was reinforced when the Ministry of Manpower (MOM) announced significant adjustments to our EP framework at this year’s Committee of Supply debate.”
“Mr Speaker, Sir. May I have your permission to take Question Nos 1 to 8 in today's Order Paper together?”
“The commercial banks' lending rates take into account factors that include the possibility that the loans may go bad and not be repaid. Therefore, the OA interest rate is not comparable to banks' lending rates because the OA principal and interest are guaranteed by the Government. In response to rising inflationary pressures, the Monetary Authority of Singapore (MAS) has tightened its monetary policy four times since October 2021. The stronger exchange rate has helped to dampen imported inflationary pressures. To help Singaporeans cope with rising inflation, MOF has also announced a $1.5 billion support package in June 2022. Instead of a one-off adjustment to CPF OA interest rate, the package provides more targeted and immediate relief, especially for the lower-income and vulnerable groups who are disproportionately impacted by the effects of higher prices. Even though the OA pegged rate remains at around 0.09%, the Government is paying up to 3.5% on the OA balances due to the 1% extra interest and the statutory minimum of 2.5%. Members can also transfer their OA monies to the Special or Retirement Account to earn up to 6% for members aged 55 and above, or up to 5% for members below 55. That said, our policies are not static. We are watching the interest rate environment closely to ensure that the OA interest rate peg remains relevant in the prevailing operating environment whilst taking into consideration the longer-term outlook.”
“In March 2020 with the onset of COVID-19, MOM introduced a temporary requirement for employers with 10 or more employees to notify MOM if they implement any cost-saving measures that affected employees' monthly salaries. This would encourage responsible implementation of such measures and allow MOM to monitor the scope and scale of the measures. This would also enable the tripartite partners to step in to provide the appropriate support to both employers and employees when needed. As the economy progressively recovered, the number of cost-saving notifications received fell from a monthly peak of 1,937 in April 2020 to a monthly average of nine between January and July 2022. Given the fall in the number of notifications received to a very low level and that it has been sustained at that level for several months as we emerged from the pandemic, the tripartite partners did not see a need to continue to impose the requirement on employers. We have no plans to reinstate the requirement at the moment. Notwithstanding the above, the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment (TAMEM) remains in place to guide employers on the implementation of cost-saving measures to preserve jobs. Employers should consult their unions and employees to discuss and reach an agreement before implementing wage cuts. Employers who need clarification on TAMEM can approach the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) for advice. Employees who feel that cost-saving measures have not been implemented fairly can also approach the Tripartite Alliance for Dispute Management (TADM) for assistance.”
“The Workforce Vaccination Measures which came into effect from 1 January 2022 were lifted on 26 April 2022. Of the 52,000 unvaccinated employees identified in December 2021, 32,000 were local employees. Of the 32,000, we estimate that 5,000 (16%) were unemployed or were placed on no-pay leave at some point this year based on their CPF records. As of June 2022, CPF records showed that about 1,000 of the 5,000 local employees have regained employment. Individuals who need employment assistance may tap on the existing career matching services offered by Workforce Singapore (WSG) and NTUC's Employment and Employability Institute (e2i).”
“This has been addressed in the Ministerial Statement on 12 September 2022. [Please refer to “Strengthening Singapore’s Position as a Global Hub for Talent”, Official Report, 12 September 2022, Vol 95, Issue No 67, Ministerial Statement section.] MOM will continue to ensure that our work pass framework is relevant and updated, so that businesses can have access to the complementary foreigner manpower they need, while maintaining a level playing field for our locals.”
“On the whole, we believe that the set of six COMPASS criteria meaningfully recognises key aspects of complementarity of EP candidates and their hiring companies.”
“In designing the points-based COMPASS framework for Employment Pass (EP) applicants, MOM selected a set of criteria that would be most impactful in achieving our objectives of selecting complementary foreign professionals, while incentivising employers to improve workforce diversity and build a strong Singaporean core. We had considered but did not include a criterion on the EP candidate’s years of relevant industry experience, as this is susceptible to inaccuracies, including possibly fraud, especially if the bulk of the work was done overseas. To prevent such inaccuracies, MOM would need to individually evaluate and verify the quality and relevance of a candidate’s experience. This would significantly increase the time taken to process and respond to applications and still contain an element of risk. Instead, COMPASS assesses the salary that the company is willing to pay the candidate since it reflects the candidate’s market worth and would correlate with their work experience. COMPASS also includes other measures of an individual’s complementarity beyond salary. The qualifications criterion offers a standardised as well as a more verifiable measure of a candidate’s calibre. The Shortage Occupation List recognises candidates filling skills in shortage with bonus points. To holistically evaluate an EP application, COMPASS also places emphasis on other firm-related attributes, such as the diversity of a firm’s workforce and their support for local PMET employment. In developing COMPASS, MOM was mindful not to include too many criteria, as doing so would dilute the impact of each criterion and increase administrative complexity for businesses.”
“MOM regularly reviews the EP qualifying salary to keep pace with local PMET1 wages. This ensures that EP holders are of good calibre and are not hired simply because they are cheaper than locals. Consequently, the monthly salaries of EP holders at every decile have increased over the last ten years. From December 2011 to December 2021, the median monthly salary of EP holders increased from $4,700 to $9,000. The number of Employment Pass (EP) holders per decile increased from 17,500 in December 2011 to 19,200 in December 2016, but decreased to 16,200 in December 2021 in part due to disruptions caused by COVID-19. Table 1 summarises the key data for December 2011, 2016 and 2021, which broadly represent the trends in EP median salaries and numbers over the ten-year period.”
“MOM takes a serious view of MDWs and other work pass holders borrowing from unlicensed moneylenders. If an MDW is found to have borrowed from unlicensed moneylenders, she is liable to have her work permit revoked. She will also be barred from future employment in Singapore. To avoid such a situation, it is important to address the issue upstream by educating MDWs on good money management practices and highlighting the risks of borrowing from unlicensed moneylenders. This is done through channels such as the mandatory Settling-In-Programme (SIP) and the regular newsletters put out by the Singapore Police Force and MOM.”
“There are currently 53,200 locals who are working in two or more jobs. About half of them are paid less than $1,500 per month at each job on average. This includes locals who may be working on a part-time basis in two or more jobs. We recognise that some locals may work in more than one job across different companies. To avoid disincentivising firms from hiring these locals, we allow locals to count towards the foreign worker quota of up to two companies. Locals will count as one employee towards each employer’s foreign worker quota if they are paid at least the Local Qualifying Salary (LQS) of $1,400 a month. Locals will count as half an employee if they are paid at least half the LQS (i.e. $700 a month), such as in the case of a part-time worker. The use of the LQS ensures that employers do not hire locals on token salaries just to increase their foreign worker quota. To uplift lower-wage workers, MOM will continue to work with tripartite partners through the Progressive Wage Model. The new Progressive Wage moves implemented on 1 September 2022 also include the new LQS requirement, which requires firms to pay all their full-time local workers at least the LQS, and not only those counting towards the quota, in order to be eligible to hire foreign workers. This move will secure fairer wage outcomes for a larger group of lower-wage workers. We will continue our efforts to ensure that our lower-wage workers are uplifted alongside the rest of Singapore.”
“From 2010 to 2012, there were about six employers a year prosecuted for inflating a firm's foreign worker quota by making CPF contributions to locals not working for the firm. Penalties included imprisonment terms of up to one year 10 months and fines of up to $35,000. In November 2012, the EFMA was amended to make inflating a firm's foreign worker quota an administrative infringement and not a criminal offence. This allowed MOM to take swifter action against such employers and impose high financial penalties that are commensurate with the infringement. Enforcement since November 2012 is therefore by administrative financial penalties and not prosecution in the court. From 2013 to 2021, financial penalties were issued against about nine employers per year, with the penalty up to $200,000.”
“The scheme will allow businesses in the Services and Manufacturing sectors to hire Work Permit Holders from NTS for select occupations from September 2023.”
“We are cognisant that some firms continue to feel a degree of manpower tightness, as they catch up on the backlogs accumulated over the last two years whilst receiving new orders as the economy reopens. Factors such as having their experienced workers go on home leave, whilst their newer workers train to familiarise themselves with the firms' operations, add to this sense of manpower tightness. This is despite how at the macro-level, total employment has rebounded to 99.5% of the pre-COVID level in 2019 by June 2022. In fact, the resident workforce has surpassed the pre-COVID level, while non-resident workforce has reached more than 90% of the pre-COVID level following significant relaxation of border restrictions from April 2022. We expect non-resident employment to continue to recover in the quarters ahead, which will provide more relief to the labour market tightness. Some sub-sectors such as Aviation and Tourism are also constrained by labour shortages. The relevant government agencies have hence supported these sub-sectors with time-limited support to cope with the short-term manpower crunch so they can quickly rebound and capture the opportunities as the economy re-opens. Key firms have been provided with access to additional foreign worker quotas and Work Permit Holders from Non-Traditional Sources (NTS). We have also supported essential services like healthcare and the cleaning of public housing estates to access more labour. Instead of adjusting the Dependency Ratio Ceiling across the entire Services sector, this focused approach is a more targeted and effective way to address the unique business needs of different sub-sectors. On migrant workers from NTS, MOM announced the NTS Occupation List at MOM's Committee of Supply 2022.”
“To ensure that employers do not hire locals on token salaries just to increase their foreign worker quota, locals have to be paid at least the Local Qualifying Salary (LQS) to count toward calculations for the firm’s foreign worker quota. To uplift lower-wage workers, the Tripartite Workgroup on Lower-Wage Workers recommended in 2021 that firms be required to pay all their full-time local workers at least the LQS, and not only those counting towards the quota, in order to be eligible to hire foreign workers. The Ministry of Manpower (MOM) adopted this recommendation and implemented the new requirement on 1 September 2022. This move will secure fairer wage outcomes for a larger group of lower-wage workers, who can be assured that their salaries will not fall below the LQS of $1,400. Our focus now is to ensure a smooth implementation of the new LQS requirement and to give firms time to adjust to this change. The Ministry regularly reviews the LQS by taking into consideration the prevailing wage and economic conditions. In fact, we have raised the LQS four times since 2017, with the latest increase to $1,400 taking place in 2020. Hence, the member can be assured that the Government will continue to monitor the wage outcomes of locals and the economic climate, and adjust the LQS accordingly to ensure that our lower-wage workers continue to be uplifted alongside the rest of Singapore.”
“To help lower-income households and vulnerable groups with inflation and cost of living concerns, the Government has announced several support measures, including the $1.5 billion Support Package announced in June 2022. We stand prepared to provide more targeted help for lower-income and vulnerable groups if the situation worsens.”
“For example, we have tightened the Dependency Ratio Ceiling (DRC) and S Pass sub-DRC to nudge employers to reduce over-reliance on lower-skilled foreign workers so that they would press on with productivity improvements and strengthen their Singaporean core. The new Progressive Wage moves implemented on 1 September 2022 also include the new Local Qualifying Salary (LQS) requirement, which ensures that locals are employed meaningfully, rather than be given token salaries for firms to access foreign workers. Given the labour market we have today, where employment is back at pre-COVID levels and vacancies significantly outnumber jobseekers, employers who do not provide fair and sustainable wage increments will risk losing their workers. To provide guidance to employers, the National Wages Council (NWC) will issue its annual wage guidelines to employers and employees later this year. The NWC, represented by employer, employee and government groups, recently convened on 1 September 2022 to formulate the new set of annual wage guidelines that will take effect from 1 December 2022. The NWC will set out wage recommendations taking into account both the economic recovery over the past year, and the uncertain global economic outlook going forward, including the impact of inflation on employees. Lower-wage workers have experienced good wage growth over the last five years. From 2016 to 2021, real1 income at the 20th percentile has risen 2.7% per annum, faster than at the median2. This has put lower-wage workers in a better position to cope with inflation. The Government and tripartite partners will continue to uplift our lower-wage workers through the Progressive Wage Model. Nevertheless, we recognise that the impact of inflation hits lower-wage workers harder.”
“When inflation goes up and prices rise for employees, costs similarly rise for employers. Employers themselves fundamentally need to make their companies more productive to be able to pay more to employees and cope with inflation. Employers, employees and the Government therefore work together as tripartite partners to press on with economic transformation, raise productivity and turn our current challenges into longer-term opportunities. This is what we have been doing through the 23 Industry Transformation Maps (ITMs). The ITMs seek to sharpen the competitiveness of companies and industries to enable our workers to deepen their skills and increase their productivity. These improvements translate into better wages for our workers. The Government is supporting employers to restructure their businesses and upskill their employees. For example, Workforce Singapore has rolled out Job Redesign and Reskilling Programmes to support employers to upskill their employees to take on enhanced job roles. Other schemes such as the Enterprise Development Grant and the Productivity Solutions Grant, are also available to help businesses strengthen their capabilities. The Economic Development Board also works to attract investments in a wide range of sectors. The profile of investments has increasingly moved towards higher value-added and innovation-focussed activities that generate higher-paying jobs with good wage growth prospects which need to be filled by Singaporeans. Our foreign workforce policies encourage employers to embark on productivity-led, manpower-lean growth.”
“On the Member's suggestion to regulate the incentives and algorithms of platform companies, these are complex and we need to be cautious about regulating them. As I have described, we have set in motion various tripartite processes and should allow the tripartite partners to work through these safety issues rather than jump to regulation and risk over-regulation.”
“While platform companies may want to incentivise platform workers to complete more jobs within a limited time span, this must not be at the expense of safety and health, especially given the inherent risks of being on the road. The Workplace Safety and Health (WSH) Council is currently working with delivery platforms and companies to review work processes to enhance the safety of delivery platform workers and employees on the road to prevent accidents. More details will be shared when ready. This builds on existing efforts by the WSH Council to guide industry road safety practices for companies, such as through circulars to emphasise their safety duties. At the same time, the Advisory Committee on Platform Workers is looking to strengthen protections for platform workers, including financial compensation in case of work injury. Work is ongoing and is expected to be completed before the end of 2022. Arising from the Committee’s work, a Tripartite Workgroup has also been formed to propose a framework that allows platform workers to be formally represented, and that balances the interests of platform workers and platform companies. Stronger representation will also provide another avenue for issues such as safety to be tackled by tripartite partners more effectively. The Workgroup is led by the tripartite partners as well as representatives from platform companies and platform worker associations. The Workgroup targets to complete its work in 2023. MOM will assess and review the collective impact of these efforts on the safety and health of platform workers when they are implemented, and consider further measures if necessary.”
“Following the spate of workplace fatalities, the Ministry of Manpower (MOM) had announced in June 2022 that the Approved Code of Practice (ACOP) on Chief Executives’ and Board of Directors’ Workplace Safety and Health (WSH) duties would be expedited from Q1 2023 to Q4 2022. MOM and WSH Council have just concluded the public consultation and industry engagements on 8 September 2022. We are reviewing the feedback received and will gazette and bring into effect the finalised document by October 2022. In the interim, top management can refer to the public consultation document on the WSH Council’s website, on the key principles and recommended measures to maintain oversight and uphold good WSH standards. In addition to the ACOP, as part of the new "heightened safety" measures from 1 September 2022 to 28 February 2023 to address the spate of workplace fatalities, if MOM finds serious WSH lapses such as unsafe workplace conditions or poor risk controls following serious or fatal workplace accidents, MOM will require Chief Executives to personally account to MOM and take responsibility for rectifications.”
“I thank Mr Desmond Choo for the question. We do not have a target country that we are competing with. The Golden Visa, I presume Mr Desmond Choo is referring to, pertains to UAE. Their aspirations and our aspirations are actually quite different because of the fact that they have different levels of constraints just like we have our own constraints. We are starting from the position of strength. We look at potential new enterprises that we see ourselves getting our first mover and our competitive advantage in. Then, we are going after those sectors where we are going to be able to create new cheese for ourselves and with that new cheese, provide significant economic opportunities to benefit our entire ecosystem of the SMEs and raising up our Singapore Core. So, to that end, that is what we are focused on today. To go beyond identifying different sectors and so on, would also compromise our ability to ramp up and to upscale. And as I have shared in my interview with Bloomberg, I do not want to start a bidding war. I hope that addresses Mr Desmond Choo's points. 3.41 pm”
“I thank Mr Leong for his exposé and also his two questions. To his first point, 20 years ago, if I may just use one example and that is the example that the Prime Minister delivered in the National Day Rally when he talked about the entire biomedical industry; and he also mentioned Mr Philip Yeo, who went out there, brought the whales in to Singapore and developed our own biomedical enterprise. I think that Mr Leong himself would have benefited from the PCR testing. At some stage, he may have used the Fortitude test kits. That came out of a homegrown enterprise, a company called MiRXES. It was a spin-off from the entire biomedical industry that Prime Minister talked about during the National Day Rally. So, I do not think I need to dwell on that. I can go on with multiple examples to showcase to him that indeed, from where we have started to where we are today, we have certainly benefited from the global talent coming here with the transfers of skillsets, capabilities, knowledge and so on and so forth. To his second point in terms of succession planning and so on, I think we are now at the stage where we are not only looking at skillsets, expertise alone, more so than the proxy of the $30,000-mark, we are looking at creating a significantly different ecosystem, one that will hopefully ensure our continued prosperity and progress for the next five or 10 decades and beyond. I am very optimistic that in subsequent Parliamentary Sittings, there will be opportunity for the Member to continue to raise this type of questions. But let us leave it as that.”
“These are five very big initiatives aimed at exposing Singaporeans to leadership positions, to thought processes, thought leaders, all over the world. Because the depth, the size of our market is Singapore alone cannot give our fellow Singaporeans that necessary runway, that necessary depth to acquire the deep expertise and experience that is required. So, we constantly do that. And if there are more programmes that Members of this House do have, feel free to suggest those to us and we are prepared to consider them. So, I want to reassure all Members of the House that this is the core of what we do. It is for our Singaporeans, our fellow Singaporeans for our future. Because 50 years later, I think many of you would still be around. You want to continue to see Singapore to still be brimming with opportunities, optimism and hope. I am certain I would not be around but I am sure many of you will still be around. I hope that that gives you that reassurance.”