SINGAPORE - From short-term unemployment support to part-time work options for middle-aged and older workers, members of the House – including several labour MPs – made some suggestions to improve the lives of workers here, as they continued to debate the Budget in Parliament on Thursday.

1. Short-term support for displaced workers

Mr Patrick Tay (Pioneer), who is also assistant secretary-general of the National Trades Union Congress (NTUC), reiterated his call for the Government to introduce a permanent scheme to provide short-term unemployment support for workers who are displaced, including professionals, managers and executives.

Beneficiaries under the proposed scheme would have to prove that they are actively applying for jobs.

He argued that the scheme will provide targeted support, upskilling and job matching which NTUC can support, to help workers rebound and re-enter employment.

Mr Tay also suggested customised career counselling or training for job seekers to take on jobs in growth areas or redesigned job roles. To help them with career matching, schemes such as the Career Conversion Programmes and structured on-the-job training can be tapped in the transition to the new role.

Workers’ Party MP Jamus Lim (Sengkang GRC) suggested a six-month redundancy insurance for displaced workers. He proposed a payout of 40 per cent of a worker’s last-drawn salary, which he said is around the average, but on the low side, for advanced economies.

“We were deliberately conservative here, to ensure financial sustainability; however, we leave open the door for increases, based on consultation and social consensus,” he said.

2. Penalties for companies with discriminatory practices

Mr Tay said that for the small proportion of egregious companies with discriminatory practices, there should be a penalty framework in place to take them to task.

He expressed hope that the upcoming workplace fairness legislation would balance protecting the local workforce and managing business needs.

Singapore is expected to pass into law a workplace fairness Bill by the end of 2024.

3. Support for self-employed workers and women returning to the workforce

To help self-employed people improve their productivity and mitigate their costs, Ms Yeo Wan Ling (Pasir Ris–Punggol GRC) suggested expanding the training allowance for self-funded trainees to include these self-employed people so that they can afford a few days off to upskill.

Ms Yeo also called for a review of the 60 per cent Fixed Expense Deduction Ratio to better reflect the thinning margins experienced by drivers in the gig economy. The scheme allows qualifying taxpayers to deduct an amount of expense based on a prescribed percentage of the gross income earned.

She proposed providing goods and services tax (GST) rebates for self-employed people who are not GST-registered to buffer against their increase in costs. For taxi and private-hire drivers specifically, she urged the Government to consider letting them co-share the GST rebate with their operators.

She also argued that there should be better transition support for women who wish to return to work, and family-friendly flexible work arrangements.

4. Expanding the Progressive Wage Model

Mr Gan Thiam Poh (Ang Mo Kio GRC) appealed for the Progressive Wage Model (PWM) to be extended to skilled tradesmen like plumbers, electricians and air-con technicians. 

He noted that many local skilled tradesmen are graduates of Singapore’s Institute of Technical Education or polytechnics, and that they should be recognised and valued for their expertise and experience. The extension would also ensure a sustainable supply of locals in these trades to meet national needs.  

5. Greater support for middle-aged and older workers

Mr Heng Chee How (Jalan Besar GRC) suggested having part-time work options so that more middle-aged or older Singaporeans who may have had to leave work can instead stay or return.

Mr Heng, who is NTUC deputy secretary-general, argued that companies will then be able to retain more good workers and have a bigger local workforce to meet their needs.

He also suggested the tripartite partners proactively ensure that senior workers are given consideration and opportunity for training and skills-building.

6. Expanding support for workers changing careers

Mr Desmond Tan (Pasir Ris-Punggol GRC) called on SkillsFuture SG to progressively expand the SkillsFuture Career Transition Programme (SCTP) to more sectors, so that more workers can benefit.

The SCTP supports mid-career individuals in acquiring industry-relevant skills to improve their employability and pivot to new sectors or job roles. It is a train-and-place programme that is available in a part-time or full-time format.

Mr Tan asked that the Government consider protected training leave for employees and review training funds and allowances, to alleviate workers’ concerns about opportunity costs when attending training.

He also suggested the Government consider introducing a training allowance for trainees under the SCTP.