Economy & business — Topics

3 Nov 2020

More Flexibility in Employment of Foreigners as Chefs for Specific and Unique Cuisines

Christopher de Souza asked for more flexibility in employing foreign chefs for specific and unique cuisines.
Mrs Josephine Teo explained there are no country source restrictions on S Pass or Employment Pass workers, allowing such chefs to be brought in.
She encouraged food service companies to seek sustainable manpower solutions, train locals, and explore job redesign.
Businesses can tap on the Lean Enterprise Development Scheme for transitional support, and MOM considers requests for manpower flexibility on a case-by-case basis.

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3 Nov 2020

Success Rate of Applications for Temporary Bridging Loans

The success rate for Temporary Bridging Loan applications is high at over 90%, with more than 20,000 loans approved by Participating Financial Institutions.
Common reasons for rejection include companies being loss-making or having weak cash flow pre-COVID, prior loan default records, or being over-leveraged or in receivership.
Applications are subject to credit approval by financial institutions to ensure prudent use of public funds, with the government bearing 70% of the risk share to support the programme.

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3 Nov 2020

Implementing Structured, Comprehensive Strategies to Reduce Mental Healthcare Costs in Public and Private Sectors

Miss Cheng Li Hui asked about structured strategies to reduce mental healthcare costs, review of MediShield and MediSave limits, and collaboration with social welfare organisations to meet increased demand.
The COVID-19 Mental Wellness Taskforce is addressing psychosocial impacts and identifying gaps, while MediSave usage for mental health conditions is increasing from $500 to $700 annually, with additional Flexi-MediSave for older adults.
MediShield Life is being reviewed to raise psychiatric claim limits from $100 to $160 per day with extended coverage days, and MOH is working with community partners to expand mental health services and resources.

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3 Nov 2020

Breakdown of Amount Disbursed from COVID-19 Support Schemes to Singapore Residents by Household Income

Leon Perera requested a percentage breakdown of the $5.9 billion in COVID-19 household transfers by income level and the average amount received per household member in each group.
Heng Swee Keat explained that $0.2 billion in grants to self-help groups and CDCs were indirect transfers excluded from the breakdown, leaving $5.7 billion in direct household transfers.
Of the $5.7 billion, 26% went to the bottom 20% of households by per capita income, with an average of about $2,000 per household member.
The middle 20% of households received 20% of the transfers, averaging about $1,500 per member, while the top 20% received 12%, averaging about $900 per member.
These transfers were supplementary to other measures like the Jobs Support Scheme, Self-Employed Person Income Relief Scheme, and existing subsidies in education, healthcare, and housing.

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3 Nov 2020

Merchants and Hawkers under Community Development Council Voucher Scheme and Rate of Redemption

Dennis Tan Lip Fong asked the Prime Minister for the number of merchants and hawkers who signed up for the CDC Voucher Scheme and the redemption rate.
The CDC Voucher Scheme, launched in June, aims to help lower-income households and support local heartland businesses.
Approximately 8,000 merchants and hawkers have joined the scheme.
As of mid-October, close to 55% of the total vouchers issued have been redeemed.

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3 Nov 2020

Progress of Rare Disease Fund

The Rare Disease Fund, established in 2019 by the Ministry of Health and SingHealth Fund, provides long-term financial support for Singapore Citizens with rare genetic diseases, funded by public donations matched 3-to-1 by the government and fully supported administratively by the government.
As of end-September, the fund has raised $21 million in donations, reaching a total of $93 million with government seed funding and matching, and is invested in an endowment to sustainably support patients over their lifetimes.
Six medicines for four rare disease conditions are currently supported, with six beneficiaries receiving about $2 million in support so far, and the fund encourages more donations to assist additional patients and medicines.

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3 Nov 2020

Mandate of Statutory Boards' Investment Funds

Miss Cheryl Chan asked the Minister for Trade and Industry about the investment mandate, number and stages of investments, and economic value contributed by EDBI's portfolio companies.
She also inquired whether other statutory boards besides EDB and ESG have plans to launch their own venture capital funds and the rationale for doing so.
Chan Chun Sing explained that various government agencies use venture capital-type funds to support different economic objectives, with EDBI focusing on globally competitive startups and having about 100 investments mostly in the growth stage.
He stated that while no new venture capital-type funds are currently planned, the government will monitor the landscape and assess if further action is needed.

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3 Nov 2020

Recent Demand for Landed and Private Properties in Singapore

The recent demand for landed and private properties is driven by pent-up demand following the reopening of sales galleries and viewings, supported by an accommodative interest rate environment.
Banks scrutinise loan applicants under the current economic climate by maintaining sound credit underwriting standards, considering income uncertainty, and adhering to prudential measures like the Total Debt Servicing Ratio and loan-to-value limits.
The government has implemented cooling measures and macroprudential policies to moderate property cycles and protect households, and it continues to monitor the market to adjust policies as needed to prevent a property bubble.

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3 Nov 2020

Workfare Special Payment and Workfare Income Supplement for Those Holding Multiple Jobs

Miss Cheryl Chan inquired if workers with multiple jobs, each earning under $2,000, could be eligible for the Workfare Special Payment 2020 and future Workfare Income Supplement.
The Deputy Prime Minister clarified that Workfare schemes are targeted at lower-wage workers in the bottom 20%, with eligibility assessed based on total income from all employment sources to ensure fair distribution of support.
He noted that during this challenging period, additional support is provided through one-off payments, and those needing further help can approach MSF Social Service Offices.

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3 Nov 2020

Insolvency, Restructuring and Dissolution (Amendment) Bill

The Second Minister for Law moved the second reading of the Insolvency, Restructuring and Dissolution (Amendment) Bill, linking it to a previous COVID-19 related bill and noting prior debate and responses.
The House agreed to the motion, committed the bill to a Committee of the whole House, and immediately resolved into committee to consider it.
The bill was considered in committee, reported without amendment, read a third time, and passed by the Parliament.

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3 Nov 2020

COVID-19 (Temporary Measures) (Amendment No 3) Bill

The Minister explained that the amendments aim to support economic rejuvenation by providing a fair framework for renegotiating contracts, rather than just extending moratoriums, and emphasized that these measures complement existing schemes like rental relief and the Simplified Insolvency Programme.
The Bill introduces a six-week negotiation period with an automatic moratorium on legal actions, sets eligibility thresholds targeting micro and small businesses, and relies on Assessors to ensure fair outcomes without allowing legal representation to maintain balance between parties.
To assist stakeholders, the Ministry will offer pro bono legal clinics, mediator support, and model clauses, while also dedicating full-time Assessors to handle applications efficiently within the tight timeline.

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3 Nov 2020

COVID-19 (Temporary Measures) (Amendment No 3) Bill

The Bill introduces a universal four-month Extension of Time (EOT) for construction projects to cover delays during the Circuit Breaker and dormitory clearance period, applying to both main contractors and sub-contractors.
Contractors seeking EOT beyond four months must negotiate with counterparties or use existing relief mechanisms, with Section 6 of the Act providing defense against liquidated damages for COVID-19-related delays.
Part 8B mandates 50% co-sharing of non-manpower-related costs due to delays, capped at 0.2% monthly and 1.8% total of the contract sum, aligning with public sector approaches.
The government has provided separate financial support to construction firms for compliance costs related to COVID-Safe restart criteria.

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3 Nov 2020

COVID-19 (Temporary Measures) (Amendment No 3) Bill

The COVID-19 (Temporary Measures) (Amendment No 3) Bill introduces a Re-Align Framework to allow severely impacted small businesses to renegotiate contracts like leases and supply agreements, with a no-fault termination option if talks fail, to help them adapt to the changed economic reality.
The Insolvency, Restructuring and Dissolution (Amendment) Bill creates a Simplified Insolvency Programme for micro and small companies, offering faster and cheaper processes for debt restructuring or orderly winding up, making it easier for viable firms to survive and for non-viable ones to exit efficiently.
For the built environment sector, the Bill provides a universal four-month extension of time for construction projects and a cost-sharing mechanism for delays, while also allowing developers to seek relief on property delivery dates to balance the needs of contractors, developers, and home buyers.

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3 Nov 2020

Goods and Services Tax (Amendment) Bill

The Bill introduces measures to counter Missing Trader Fraud by allowing the Comptroller of GST to deny input tax claims, impose a 10% surcharge, and set conditions for GST registration, with these powers applying to businesses that knew or should have known of fraudulent arrangements.
It enhances IRAS’s investigative powers, including the ability to seize goods linked to tax offences and disclose information to IRAS officials for administering public schemes, while also clarifying rules on tax avoidance, refunds for overpaid GST, and electronic refund processes.
MPs raised concerns about the compliance burden on SMEs, sought clearer guidelines on due diligence requirements, and suggested exploring e-commerce taxes to address tax leakage, with the Minister assuring support through guidance, outreach, and ongoing reviews.

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3 Nov 2020

Income Tax (Amendment) Bill

The Bill introduces a 25% corporate income tax rebate for YA2020, extends tax deduction schemes for internationalisation and mergers and acquisitions until 2025, and exempts payouts from COVID-19 support schemes from income tax to aid cash flow.
To strengthen anti-avoidance measures, a 50% surcharge on additional tax payable due to tax avoidance arrangements is introduced, and the Comptroller must now act on such arrangements instead of having discretion.
Digital tax refunds for companies will be allowed via subsidiary legislation, and technical amendments clarify the application of the section 37B adjustment factor to ensure consistent tax savings on losses offset against income at different rates.

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3 Nov 2020

Data on Jobs Support Scheme Beneficiaries

Assoc Prof Jamus Jerome Lim asked for statistics on Jobs Support Scheme (JSS) beneficiaries by income, race, education, and gender, but the government replied that it does not track such detailed breakdowns and that beneficiary profiles likely mirror the local workforce.
Gerald Giam requested data on total JSS funds disbursed and workers helped, broken down by industry; the Second Minister for Finance provided figures showing about $16.5 billion disbursed across tiers, benefiting around 2.24 million employees, with Tier 1 (e.g., aviation, tourism) receiving $2.2 billion for 223,000 workers, Tier 2 (e.g., retail, food services) $1.9 billion for 317,000 workers, and other sectors $12.4 billion for 1.7 million workers.
Giam criticized the lack of means-testing for companies receiving JSS, suggesting redirecting funds to individuals in need, but the minister defended the scheme as broad-based wage support crucial for retaining jobs and indicated ongoing reviews for more targeted approaches.

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3 Nov 2020

Impact of National Wages Council 's 2020 Wage Cut Advisory on Salaries

The Minister for Manpower emphasized that the National Wages Council's guidelines are principles-based to allow flexibility, as overly prescriptive rules could be unsuitable given varying impacts across sectors and firms, and highlighted six key principles for wage adjustments, including management taking deeper cuts and restoring wages when possible.
Foo Mee Har expressed concerns that the guidelines are too broad and could lead to widespread or unfair wage cuts, urging the government to consider transparent indicators for wage adjustments and a Workfare special payment to cushion the impact on lower-wage workers.
The Minister responded that the NWC deliberately avoided sector-specific guidelines due to intra-sector variations and that the principles already incorporate factors like company performance and government support, while assuring that the government will continue to support lower-wage workers through measures like Workfare in future budgets.

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3 Nov 2020

Singaporeans Earning $1,300 or Less a Month on Take-home Basis

The Ministry of Manpower reported that about 30,000 full-time Singaporean employees and 22,000 self-employed persons earn less than $1,300 per month, with the figure including CPF and Workfare contributions in line with international Labour Organization definitions.
Workfare Income Supplement (WIS) has supported nearly 890,000 low-wage workers since 2007, with payouts averaging $1,560 annually and maximums up to $3,600, targeting older and lower-skilled workers to encourage employment and CPF savings.
Debates highlighted differing views on the $1,300 benchmark, with the Workers’ Party clarifying their proposed minimum wage is a gross figure (including CPF), while the government emphasized holistic support through WIS, Skills Support, and other schemes for low-income households.
Questions were raised about extending WIS eligibility to younger sole breadwinners and increasing payout amounts, with the government noting current age criteria focus on older workers and highlighting complementary social support schemes.

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3 Nov 2020

Digital Distribution of Government's Tourism Vouchers to Singaporeans including the Elderly and Extension of Use of Vouchers to Arts-related Activities

Members of Parliament raised concerns about the digital distribution of tourism vouchers, the need to assist seniors unfamiliar with SingPass, fraud prevention, and expanding voucher use to arts-related activities.
The Minister of State outlined that vouchers can be redeemed via SingPass with physical touchpoints at community centres and booking platforms to help seniors, while safeguards include SingPass authentication, audits, and public advisories against scams.
Arts-related activities are not directly eligible, but museums and galleries can qualify as tourist attractions, and arts organisations can bundle offerings with eligible merchants; the government supports the arts sector through other schemes like the Jobs Support Scheme and Arts and Culture Resilience Package.
The Ministry plans to collaborate with social service organizations and community centres to create senior-friendly tours and off-peak sessions, while exploring additional physical touchpoints and managing attraction capacity safely across the voucher validity period.

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3 Nov 2020

President's Opinion on Third Supplementary Supply and Budget Adjustments (FY 2020) Bill

The Speaker announced the President's opinion on the Third Supplementary Supply and Budget Adjustments (FY 2020) Bill, confirming assent based on the Council of Presidential Advisers' recommendation.
The President's assent was given under Article 58 of the Constitution, citing the Third Supplementary Estimates and Revised Revenue Estimates for FY 2020/2021.
The opinion notes that the bill would lead to a drawing on reserves not accumulated during the current government's term, as per Article 148A(1) of the Constitution.

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