New childcare leave scheme will take some time to implement, at least several months: Indranee

SINGAPORE – Implementing the new childcare leave provisions for parents announced at the National Day Rally (NDR) will take at least several months, as the Government works through operational details and makes the necessary legislative and system changes.

Minister in the Prime Minister’s Office Indranee Rajah said on Sept 2 that there is no start date yet for the revamped scheme, which gives each working parent up to 12 days of childcare leave a year.

The Government will also reimburse employers for the full duration of all child-related leave schemes, such as maternity leave and childcare leave, up to a limit.

“I know that everybody would like to start, like, yesterday, but remember that when it was announced at NDR, PM said this is a sneak preview, right?” she said on Sept 2 during an interview with CNA938.

Before implementation, the Government has to work out operational issues with tripartite partners like employers, unions and parents to make sure all the details are tied down.

Legislation also needs to be amended because childcare leave is currently provided for as part of the Child Development Co-Savings Act, Indranee said.

Information technology systems must also be looked at – the Government has to track who uses childcare leave to make sure they are paid, and that their employers are reimbursed the correct amount to pay workers covering the duties of the parents.

“So I think that will take some time. It’s going to take at least several months. I can’t give you a date as to when it will start. I can say that these are the things that have to take place first, and we will announce the start date as soon as we can,” Indranee said.

Prime Minister Lawrence Wong had said at the NDR on Aug 23 that the new scheme will give a working parent with one child aged 12 and below eight days of childcare leave a year. Those with two children aged 12 and below will get 10 days, while parents with three or more will get 12 days.

This means that a couple who are both working and have three or more eligible children will have up to 24 days between them.

Currently, each working parent gets six days of childcare leave a year when their youngest child is aged six and below, regardless of how many children they have. The entitlement falls to two days of extended childcare leave when the youngest child is aged seven to 12.

During his NDR speech, PM Wong also announced a new Child Support Package that will provide almost $70,000 in government support for Singaporean children from birth throughout their growing years.

When asked how the Government arrived at that figure, Indranee explained that the figure comprises the new SG Child Support Package, worth up to $62,000, as well as existing benefits such as the $5,000 MediSave Grant for Newborns and Edusave contributions during primary and secondary school.

The new package includes a $10,000 Baby Gift, $32,000 in Child Credits, a $5,000 Child Development Account First Step Grant, up to $5,000 in government co-matching and a $10,000 Post-Secondary Education Account top-up.

She said the Government looked at essential expenses families typically face as children grow, including food, utilities, healthcare, pre-school and education.

The intention is not to cover every expense of raising a child, she said, but to provide enough help to defray essential costs while keeping the support fiscally sustainable.

She added that the $2,000 annual Child Credits for each child were introduced because feedback showed that the cost of raising children did not end after their early years, with families facing different expenses as children entered primary and secondary school.