Employment & labour — Topics

23 Feb 2023

Employers' Declarations on Modifications to Salary Terms for Work Permit Holders

From 2019 to 2022, an average of 3% of non-domestic work permit holders were affected by salary reductions reported to MOM, while an average of 27 employers per year were fined for not properly notifying or obtaining consent for such changes.
Employers can reduce salaries only with the worker's written agreement and prior notification to MOM, and they must provide documented evidence in case of disputes; otherwise, the original salary must be upheld and any shortfall made good.
MOM is enhancing transparency by allowing workers to check salary declarations via the MyMOM portal and plans push notifications for salary changes, though it does not support capping salary reductions due to the need for flexibility in genuine cases like economic downturns or underperformance.

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23 Feb 2023

Approval for Undischarged Bankrupts to File Employment Dispute with Tripartite Alliance for Disputes Management

Undischarged bankrupts can file employment claims with the Tripartite Alliance for Disputes Management (TADM) without prior approval from the Ministry of Law or the Insolvency and Public Trustee’s Office.
If mediation fails and the bankrupt wishes to escalate the claim to the Employment Claims Tribunals, they must apply for sanction from the Official Assignee or a private trustee to protect the bankruptcy estate from unnecessary costs.
Patrick Tay highlighted that undischarged bankrupts, who are working to repay debts, face challenges in pursuing unpaid salary claims due to this sanction requirement, calling for a review to make the process more seamless.
The Ministry of Law acknowledged the issue and will consider facilitating the process better while ensuring safeguards for creditors.

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23 Feb 2023

Proposed Job-Matching System for Workers in Cleaning and Waste Management Industry

Louis Ng proposed a job-matching system similar to the Foreign Construction Worker Directory for the cleaning and waste management industry to improve job matching and reduce power imbalances where migrant workers fear reporting kickbacks.
The Senior Minister of State replied that job-matching initiatives should be industry-led and MOM would support such a proposal if the sector deems it necessary.
Louis Ng argued that a directory could help workers find alternative jobs within the same salary range, addressing both worker vulnerability and employer concerns about job-hopping.
The Senior Minister of State disagreed that job facilitation would address power imbalances, stating workers should report kickbacks to MOM for investigation instead.

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22 Feb 2023

Data on CPF Members Who Are Unable to Set Aside CPF Full Retirement Sum in Retirement Account

About 33% of active CPF members who turned 55 in 2022, approximately 13,400 individuals, did not set aside the Full Retirement Sum, with 6,100 being male and 7,300 being female.
The lower savings among older female members are attributed to historically lower labor force participation and median income for females compared to males.
Improved employment outcomes for both genders are expected to reduce the proportion of members unable to set aside the FRS from about 33% to about 24% over the next five years.
The forecast indicates the number of such members will decrease from around 13,400 to about 11,500 in five years.

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22 Feb 2023

Raising CPF Ordinary Wage Ceilings

Leong Mun Wai asked whether the CPF Ordinary Wage (OW) ceiling would be raised from $6,000 and suggested pegging it to the 80th percentile of income, noting it had not been updated for seven years.
The Minister for Manpower announced that the CPF OW ceiling will be increased to $8,000 by 2026, implemented in four phases to allow adjustment by employers and employees.
The government stated that CPF salary ceilings will continue to be reviewed and adjusted as needed to cover the broad majority of resident workers.

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22 Feb 2023

Proportion of Public Service Agencies that Provide Unpaid Leave for Parents with Multiple or Pre-term Babies

The Prime Minister's Office confirmed that all Ministries and Statutory Boards provide up to four weeks of unpaid leave per year for parents with pre-term or multiple-birth babies before the child turns two.
Over the past five years, an average of 25 Civil Service officers utilized this unpaid leave provision annually.
The Prime Minister's Office did not address whether it will begin collecting data on the take-up rate for such leave.

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22 Feb 2023

Size of Job Market for Information and Communications Sector

Gerald Giam asked if the Information & Communications (I&C) sector's job market is shrinking and if the Ministry of Manpower (MOM) has reduced Employment Pass (EP) and S Pass issuances accordingly.
Minister Tan See Leng stated that I&C employment grew by 13,700 in early 2022 and job vacancies were higher than the previous year, though near-term hiring may slow; the Ministry remains cautiously optimistic about the sector's long-term prospects.
The Minister explained that MOM does not adjust foreign pass quotas in response to business fluctuations, as this would create uncertainty and undermine Singapore's reputation as an open economy.
Instead, MOM has policies like pegging EP and S Pass criteria to local wage benchmarks, the upcoming COMPASS framework, and S Pass sub-Dependency Ratio Ceilings to ensure firms prioritize local hiring and avoid cheap foreign labor.
Additional measures, including the Fair Consideration Framework and Tripartite Advisory on Managing Excess Manpower, are in place to safeguard local employment outcomes during economic downturns.

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22 Feb 2023

Debate on Annual Budget Statement

The debate highlighted Singapore's need to strengthen its social compact and address inequality, with concerns over a potential "two Singapores" split and calls for progressive policies to support lower- and middle-income groups, while ensuring economic growth remains robust.
Specific budget measures, such as raising the CPF income ceiling, increasing HDB grants, and introducing Jobs-Skills Integrators, were discussed, with questions raised about their impact on retirement adequacy, housing affordability, and job matching effectiveness.
Members emphasized the importance of fiscal prudence, sustainable growth, and resilience against global uncertainties, including proposals to enhance tripartism, support businesses, and manage long-term challenges like aging population and climate transition.

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22 Feb 2023

Help for Firms to Boost Productivity with Progressive Wage Model's Approach to Wage Increases

The Progressive Wage Model (PWM) requires wages to grow with productivity, supported by government and tripartite initiatives such as upskilling, Industry Transformation Maps, and grants like the Productivity Solutions Grant and NTUC CTC Grant.
To ease cost pressures during the transition, the government provides schemes like the Progressive Wage Credit Scheme (PWCS), which co-funds wage increases for lower-wage workers, and the Workfare Skills Support Scheme, which offers training support and absentee payroll funding.
All PWM sectors have potential for productivity improvements, with each supported by their respective Industry Transformation Maps; the approach emphasizes simultaneous transformation of workers, businesses, and industries to achieve sustainable wage growth and efficiency.

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14 Feb 2023

Number of Caregivers who Stopped Work due to Care Responsibilities and Subsequently Returned to Work

Dr Tan Wu Meng asked if studies have been conducted over the past five years on the number of workers who stopped work to care for elderly or ailing parents and how many later returned to work.
The Minister for Manpower stated that data has been collected since 2021 via labour force surveys, showing about 12,000 people per year are not in the labour force due to caring for parents.
The Minister clarified that because the surveys are cross-sectional and not longitudinal, there is no data on individuals who left the labour force and subsequently returned.

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14 Feb 2023

Tracking Number of Students in Lift and Escalator-related Courses

Mr Gan Thiam Poh asked if BCA will track the number and percentage of students from lift and escalator-related courses who join the industry after graduation.
The Minister for National Development responded that BCA plans to track this for the Nitec in Built Environment (Vertical Transportation) course.
BCA will also study the feasibility of extending similar tracking to other relevant mechanical and electrical engineering courses.

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14 Feb 2023

Number of Resident Life and Escalator Workers in Progressive Wage Model Job Roles

Gan Thiam Poh asked for a breakdown of resident lift and escalator (L&E) workers in Progressive Wage Model (PWM) roles over the last two years and the compliance rate of L&E firms with PWM wages effective 1 July 2022.
Desmond Lee provided a tabulated breakdown of local L&E technicians by PWM job level for the past two years.
More than 40 L&E firms, covering about 95% of Singapore's L&E, have adopted the L&E PWM.
The Building and Construction Authority mandated L&E PWM as a registration requirement for all L&E maintenance firms from December 2022, with a compliance deadline of 8 June 2023.

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14 Feb 2023

Extension of Inclusive Business Programme to Industrial Properties Operated by JTC

Mr Murali Pillai suggested extending the Inclusive Business Programme (IBP) from HDB to JTC-operated industrial properties, especially those near HDB estates, to help persons with disabilities (PwDs) find employment.
The Ministry for Social and Family Development (MSF) will work with the Ministry of Trade and Industry (MTI) and JTC to explore this extension as part of efforts to raise PwD employment rates.
Mr Pillai further proposed considering rental rebates for small- and medium-sized enterprises (SMEs) that employ PwDs, and the Senior Parliamentary Secretary confirmed this suggestion would be considered in the review.

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14 Feb 2023

Enhancing Employability of Caregivers who Experienced Career Interruption

Dr Tan Wu Meng proposed a study to raise employer awareness of the positive character traits demonstrated by caregivers who interrupt their careers to care for elderly or ailing parents, but the Ministry of Manpower (MOM) currently has no plans for such a study and prefers individual fair assessment of each candidate.
MOM and tripartite partners support caregivers' return to work by promoting flexible work arrangements, providing implementation resources, and introducing tripartite guidelines by 2024, alongside employment facilitation programmes like Career Conversion Programmes with training and salary support.
Dr Tan Wu Meng highlighted that caregivers face discrimination due to career gaps on their CVs and asked what is being done to work with HR practitioners to promote inclusive practices, to which MOM stated it collaborates with HR bodies and employers to emphasize fair employment and is advancing workplace fairness legislation to protect caregivers from discrimination.

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14 Feb 2023

Cases where Older Workers in PWM Sectors Suffer Demotion and Salary Cuts for Failing to Pass Required Tests due to Language Literacy Gaps

The Ministry of Manpower noted that the Progressive Wage Model provides career and wage progression based on skills, with employers required to pay wages corresponding to the job performed, not just training completion.
To address language or literacy barriers, training can be supplemented with visual aids or assessment-only pathways, and tripartite partners aim to prevent disadvantaging workers through training requirements.
No feedback has been received by the Ministry or sector agencies about demotions or salary cuts due to failing training tests, and workers facing issues can seek assistance from unions, MOM, or SkillsFuture Singapore.

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14 Feb 2023

Tax Benefits Enjoyed by Family Offices in Singapore and Spin-offs for the Economy

The government explained that tax incentives for family offices are designed to provide certainty and attract them to Singapore, with recent enhancements to hiring and local investment requirements, while emphasizing job creation through ancillary services and sectoral initiatives.
MAS oversees family offices through robust banking controls and international tax cooperation to prevent tax evasion and fraud, but it does not mandate hiring Singaporeans, allowing families discretion in recruitment based on merit and global needs.
To support local job creation, MAS partners with training institutions to develop skills maps and co-fund programmes for Singaporeans, aiming to equip them with capabilities relevant to the family office sector.

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7 Feb 2023

Number of Singaporeans above Age 65 in Employment, Their Salary Range and Industries

Around 207,000 Singaporeans aged 65 and above were employed in 2022, accounting for a 31% employment rate, which is high compared to OECD countries and reflects Singapore's high life expectancy.
Of these older workers, 42% of those earning less than $2,500 per month were part-time employees, with part-time work often linked to lower earnings due to fewer hours and job nature.
The top five industries employing residents aged 65 and over are wholesale and retail trade, administrative and support services, transportation and storage, accommodation and food services, and manufacturing.

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7 Feb 2023

Update on Improving Living Conditions in Migrant Worker Dormitories

The Ministry of Manpower has implemented new standards for dormitories approved from September 2021, including larger living spaces, in-room Wi-Fi, en-suite toilets, and enhanced public health features, with six Quick Build Dormitories currently meeting these requirements.
MOM is developing a transition plan to upgrade existing dormitories while considering infrastructure constraints and potential bed supply disruptions, and plans to build and own two new Purpose-Built Dormitories with enhanced standards and public health innovations.
MOM proactively monitors and supports dormitories through regular inspections by Forward Assurance and Support Teams and has introduced the Primary Care Plan to provide migrant workers with accessible and affordable primary healthcare services.

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7 Feb 2023

Sufficiency of Manpower and Specialised Skills in Government Hospitals and Measures to Attract Quality Professionals

The Ministry of Health projects a need to grow healthcare manpower by approximately 3,000 nurses, allied health professionals, and support staff, along with 700 junior doctors annually to meet rising demand from an ageing population.
Ongoing initiatives include nurturing healthcare workers through education institutions, training and developing staff within public healthcare institutions, and offering mid-career conversion programmes.
The Ministry continues to redesign care models and job responsibilities, actively recruit foreign healthcare workers to complement the local workforce, and regularly review salaries to ensure competitiveness.

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7 Feb 2023

Reasons for Widening Salary Gap Between University and Non-university Graduates

The Minister for Education explained that the widening salary gap between university and non-university graduates is driven by factors like differing demand and supply of manpower, productivity variations across sectors, and the accelerated growth of high-wage industries like ICT, which attract more degree holders.
The government emphasizes the need to ensure wage differences do not widen significantly over individuals’ lifetimes and is working with stakeholders to help non-university graduates gain recognition, quality internships, and better career progression.
Initiatives like the TechSkills Accelerator for ITE and Polytechnics Alliance and the APT(M) grant are designed to shift hiring towards skills-based practices and provide structured pathways for graduates in tech and manufacturing sectors.
The success of these efforts relies on companies investing in upskilling, fair compensation based on skills, and enterprise transformation, while consumers may need to support higher wages through their spending.

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