Data on Hawkers on Hawkers Claiming Workfare Income Supplement and Efforts to Supplement Incomes of Hawkers

Mr Leong Mun Wai asked the Minister for Manpower (a) what are the number and percentage of hawkers currently claiming the Workfare Income Supplement; (b) what efforts are being made to reach out to hawkers and other self-employed persons who may be eligible but are not claiming the Workfare Income Supplement; and (c) what more can the Government do to supplement the incomes of hawkers so that they do not need to raise prices to cover lost incomes amidst rising costs.

The Workfare Income Supplement scheme encourages lower-income Singaporean workers, including Self-Employed Persons (SEPs) like hawkers, to work and build up their retirement savings. SEPs can receive up to $2,800 in Workfare payments each year to supplement their incomes as well as MediSave savings. Workfare is not meant to offset business cost increases for SEPs.

All SEPs, including hawkers who meet the eligibility criteria, will receive Workfare payments automatically without needing to apply. About 50% of stallholders in markets and hawker centres received Workfare for work done in 2020.1 The majority of the remaining stallholders did not receive Workfare because they were not eligible, for example, they earned more than the prevailing income threshold or did not meet the age criterion, while a minority did not make the required MediSave contributions in order to receive Workfare.

The requirement to contribute to MediSave ensures that SEPs take personal responsibility in saving for their healthcare needs, especially in retirement, while receiving support through Workfare. The CPF Board gives SEPs the flexibility to contribute to their MediSave within two years after the end of the work year.

CPF Board regularly engages lower-income SEPs about Workfare. Letters are sent in all four languages to remind SEPs who are eligible for Workfare to make the required MediSave contributions. Workfare is also publicised through the Ministry of Manpower and CPF Board's websites as well as social media campaigns.

To sustain our hawker trade, all stakeholders can play a part. Besides Workfare, the Government supports stallholders by providing a conducive business environment, such as keeping our rentals low. Support is also provided directly to households under the Assurance Package, where they can use the Community Development Council vouchers to offset their purchase of cooked food.