Second Supplementary Estimates of Expenditure for the Financial Year 1 April 2020 to 31 March 2021

Order read for consideration in Committee of Supply [Allotted Day].

[Mr Speaker in the Chair]

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The Chairman: Second Supplementary Estimates of Expenditure for the financial year 1 April 2020 to 31 March 2021, contained in Paper Cmd 28 of 2020.

I shall deal first with the Heads of Expenditure in respect of which amendments stand on the Order Paper Supplement. Head M, Ministry of Finance.

Head M – Ministry of Finance

The Chairman: Ms Anthea Ong.

Transnational Families and Migrant Spouses

Ms Anthea Ong (Nominated Member): Mr Chairman, I beg to move, "That the total sum to be allocated for Head M of the Estimates be reduced by $100".

Low-income transnational families have been particularly hard-hit by COVID-19 and circuit breaker measures. According to an AWARE survey with migrant spouses of Singaporean citizens in May, 99% of 36 respondents have either lost their jobs or seen a drastic decrease in income since the onset of COVID-19. Close to half were not earning any income from work because their jobs did not allow them to work from home.

Migrant spouses are particularly vulnerable in times of economic crisis as they are often the first to be let go, especially since COVID-19 related job support schemes do not provide incentives for employers to retain non-citizen workers. Can the Ministry consider funding an online platform to facilitate job-matching for these workers at a national level so that employers looking to hire overseas workers could be encouraged to hire from this pool, which includes migrant spouses, first?

This widespread loss in income is making it difficult for many migrant spouses and their families to meet basic needs. They can receive a $300 one-off Solidarity payment but only if they are on LTVP+. Even so, this amount may be insufficient. According to AWARE's survey, more than half of the respondents reported that, in addition to their current household income, which mostly falls below $2,000, they still need more than $300 a month to meet their basic needs. To cope, some have cut down on food-related expenses; a few said they were unable to pay rent.

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Can the Government consider relaxing the citizenship criteria for COVID-19 related financial assistance and make them available for all migrant spouses with a Singaporean in their household? Only when we include those who have chosen to make Singapore home and help raise our children can we truly say we are “SG United”.

Question proposed.

The Chairman: Minister Indranee.

The Second Minister for Finance (Ms Indranee Rajah): Mr Chairman, if I may now address Ms Ong’s questions on support for transnational families and migrant spouses.

The support schemes announced at the various Budgets aim to provide support to Singaporean households, including those with non-citizen members, who may be concerned over household expenses during this period. These include household-based benefits like GST Voucher – U-Save rebates and Service and Conservancy Charges Rebate under the Care and Support Package, and the Solidarity Utilities Credit. Transnational families would already be receiving support through the $600 Solidarity Payment to the citizen member, and $300 Solidarity Payment to the PR or LTVP+ spouse. This was explained by the Deputy Prime Minister during the round-up of the Solidarity Budget and in response to a Parliamentary Question from Mr Murali Pillai last month.

If they or their Singaporean family need further financial support during this challenging period, they may seek help through the MSF Social Service Offices (SSOs), which provide assistance to those who fall into financial hardship. MSF has exercised more flexibility when considering ComCare applications during this period, to ensure affected Singaporean families, including those with non-citizen members, can get help. SSOs will also work closely with other agencies and partners to address the family’s needs, including employment concerns. There are also many Social Service Agencies and those in the community providing support to families in need. These include Social Service Agencies funded by MSF to support transnational families.

Migrant spouses who are allowed to work can access work opportunities through many channels, including job advertisements, referrals, recruitment agencies and various online platforms.

The Chairman: Would Ms Anthea Ong like to withdraw the amendment?

Ms Anthea Ong: Mr Chairman, I beg leave to withdraw the amendment.

Amendment, by leave, withdrawn.

The sum of $3,650,000,000 for Head M ordered to stand part of the Second Supplementary Main Estimates.

Head O – Ministry of Health

The Chairman: Head O, Ministry of Health. Ms Anthea Ong.

Emerging Stronger Mentally

Ms Anthea Ong: Chairman, I beg to move, "That the total sum to be allocated for Head O of the Estimates be reduced by $100.”

As Singapore extends safe distancing measures to protect lives, we must remain aware of how doing so leads to not only “costs” for our economy and businesses, but real and significant detriments to our mental health. The World Health Organization (WHO) has confirmed “widespread psychological distress” in COVID-19 affected populations, with mental distress being reported in 35% of the population surveyed in China and 45% in the United States.

A similar picture of a “mental health pandemic” is being observed in Singapore. In an Ipsos survey of 1,000 Singaporeans between late April and early May, one in four respondents said they were not in good mental health. Our national suicide prevention hotline, operated by the Samaritans of Singapore (SOS), received 23% more calls in April from March. Caregivers Alliance Limited (CAL) has shared with me that their caseloads have significantly increased in the last three months, with many care-givers reporting increases in mental health relapses and crisis incidents experienced by their care recipients, four of them have even lost their loved ones to suicide just in the last six weeks.

To deal with the psychological fallout from COVID-19, countries like New Zealand and Scotland have relied heavily on mental health experts in their COVID-19 response. The extended safe distancing measures for Phase One of exiting the circuit breaker is likely to prolong mental distress, as we continue to deal with social isolation, the lack of personal space, and disruption to routines. Would the Ministry consider appointing mental health experts for the Multi-Ministry COVID-19 Task Force, to advise on mental health implications as we extend the stringent safe distancing measures to re-open cautiously?

Singapore’s economic woes are likely to continue for the long term, as GDP growth forecasts have been downgraded from -4% to -7%. As the resident unemployment rate climbed to a 10-year high of 3.3% in March, a survey by Profile Asia indicated that many employees are facing increased levels of stress dealing with uncertainty over future pay cuts and their jobs.

Deputy Prime Minister Heng talked about seeking out “opportunities in adversity” during his Fortitude Budget Statement. The COVID-19 crisis also offers us an unprecedented opportunity in equipping businesses and workers for the rebound through improving workplace wellness. A recent report has linked business recovery from COVID-19 to a sustained focus on employee well-being. Would the Ministry consider appointing at least one mental health expert on the Emerging Stronger Task Force to advise on well-being policy interventions to strengthen our recovery from this crisis?

Question proposed.

The Chairman: Senior Minister of State Dr Amy Khor.

The Senior Minister of State for Health (Dr Amy Khor Lean Suan): The mental health of our nation is important, and the Government is committed to taking care of the mental well-being of Singaporeans, especially during this COVID-19 crisis. The pandemic has resulted in increased stressors that impact our mental well-being, given the changes in daily routines, social isolation and economic uncertainty.

Hence, more support needs to be put in place to address the mental stress that the COVID-19 pandemic and circuit breaker measures have brought about. The Multi-Ministry Task Force (MTF) recognises this and has been tapping on mental health professionals from MSF, MOH and MOE to give inputs on the psychological aspects of COVID, and in the enhancement and development of mental health initiatives.

Our public healthcare institutions (PHIs) continued to provide essential mental health services during the circuit breaker period. Some of our community mental health partners continued to conduct urgent home visits for vulnerable clients and those at risk of self-harm, harm to others, or at-risk of deterioration. Tele-consultations were also adopted by PHIs and community service providers so that they remain connected with their clients to ensure their mental health needs are supported.

A specific initiative developed is the new 24-hour National CARE Hotline (NCH). The NCH, which came into operation in April 2020, is manned by volunteers comprising trained psychologists, counsellors, social workers and other professionals, and provides support to the larger community on mental health concerns, such as anxiety and adjustment issues related to COVID-19.

For employees, MOM, along with other agencies, such as MSF, AIC and NCSS, issued an Inter-Agency Advisory with practical steps to support employees’ mental well-being and provided counselling resources for employers and workers to tap on.

For students, school counsellors continue to support those in need through face-to-face and online sessions. Vulnerable students were actively identified for further support and invited to return to school during the CB period. MOE also provided students with Holiday Care Packs containing resources and helplines on mental well-being and cyber wellness.

For the elderly, the Silver Generation Office reached out to some 47,000 vulnerable seniors to refer them to assistance as required, including befriending and mental health services. As we gradually ease movement restrictions, we have also paid special attention to addressing the well-being of seniors. The decision to allow children to visit their parents or grandparents is one example.

The Emerging Stronger Task Force (EST) was set up primarily to develop recommendations on how Singapore should refresh, reimagine or reset its economic strategies, to stay economically resilient and build new sources of dynamism in the post-COVID-19 world. Hence, besides the two co-chairs, the remaining members are industry representatives. Nonetheless, the EST has committed to consult multiple stakeholders to draw on insights beyond its membership.

MOH, together with the relevant partners and agencies, will continue to ensure that mental health support and services are accessible to persons in need. We will take into consideration the impact of COVID-19 on mental health as we undertake a whole-of-Government review of our mental health strategy and study ways to further strengthen our community mental health services to support new vulnerable groups that may emerge due to COVID-19.

The Chairman: Any clarifications?

Ms Anthea Ong: Thank you, Mr Speaker. I thank the Senior Minister of State for the response. Could I then ask if MOH has the intention to increase funding for these community health organisations? Many of them have actually shared with me that, well, we know that there is a long tail to the mental health impact and they are also sharing that increased funding would really help them in terms of increasing their capacity.

Dr Amy Khor Lean Suan: In this Fortitude Budget, MOH has an increased budget to implement many of the COVID-19 management measures. I have no doubt that even as we undertake a whole-of-Government review of our mental health strategies to strengthen mental health services, where there is a need to access additional funding, that could be put into the next Budget, if necessary.

The Chairman: Would Ms Ong like to withdraw the amendment, please?

Ms Anthea Ong: Chairman, I beg leave to withdraw the amendment.

Amendment, by leave, withdrawn.

The sum of $7,000,900,000 for Head O ordered to stand part of the Second Supplementary Main Estimates.

Head V – Ministry of Trade and Industry

The Chairman: Head V, Ministry of Trade and Industry. Ms Anthea Ong.

Identifying "Promising" Start-ups

Ms Anthea Ong: Chairman, I beg to move, "That the total sum to be allocated for Head V of the Estimates be reduced by $100."

I would like to declare my interest as an impact investor and also founder of social enterprise Hush TeaBar and A Good Space Co-operative. Both are start-ups.

The Deputy Prime Minister announced that $285 million will be set aside to support “promising start-ups”. I appreciate that this is a longer term view to maintain our attractiveness and robustness as one of the top start-up eco-systems in the world. However, start-ups are inherently risky and identification of "promising start-ups" is often a hit-and-miss endeavour. I know this as an investor and an entrepreneur. Economic downturns often sift the wheat from the chaff, leaving the most resilient ones behind. By intervening in the sifting process, is there a danger of the Government artificially propping up ailing start-ups and distorting market forces? Moreover, an inability to adapt to the changing economic landscape by continuing to rely on Government financing seems to go against the spirit of start-ups.

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What was the reason behind dedicating $285 million to support "promising start-ups", which can also tap into the many support schemes for SMEs, over other areas of spending, such as extending greater support to struggling households like public rental waivers? Which immediate concerns or areas of national priority will the $285 million be used to address, for example, climate change? What are the checks and balances in place to ensure that the $285 million will be effectively utilised?

Question proposed.

The Chairman: Senior Minister of State Dr Koh Poh Koon.

The Senior Minister of State for Trade and Industry (Dr Koh Poh Koon): Mr Chairman, start-ups play an important role in our economy. They contribute to the development of new technologies and the rejuvenation of traditional industries. We have set aside $285 million in the Fortitude Budget to provide financing support for promising start-ups. Ms Anthea Ong asked why our start-ups need more help and how we intend to identify the promising ones. In fact, the answer is in her question. The keyword here is "promising".

Start-ups, especially those that work on cutting-edge technologies, need to be nurtured with long-term patient capital. COVID-19, unfortunately, has sharply curtailed the availability of such capital. The Special Situation Fund for Startups is intended to fill this gap. Other countries like the UK and France have introduced similar measures.

Without help from the Government, many high potential start-ups will likely scale back their innovation activities or even cease prematurely. That will be a loss to Singapore and will certainly have a detrimental impact on Singapore's innovation eco-system, which we have painstakingly built up over the years. By helping promising start-ups sustain their growth momentum, we want to maintain the vibrancy of our eco-system and maximise the value of our innovation-related investments.

To impose market discipline, the scheme will operate on a co-investment basis with private sector investors that have expertise in assessing the value and viability of start-ups. This will also help crowd in more private capital. These co-investors can also offer industry insights, networks and even mentorships to help our start-ups to succeed better.

Mr Chairman, the COVID-19 pandemic presents many immediate challenges. But even as we address the immediate ones, we must not forget to put in place plans for our future, so that Singapore, our companies and Singaporeans can emerge stronger post-COVID-19. Start-ups are a critical part of these plans.

The Chairman: Any clarifications?

Ms Anthea Ong: Thank you, Mr Chairman. I thank the Senior Minister of State for the response. I am very happy to hear that we will be co-investing in these start-ups. Could I ask the Senior Minister of State if there is a plan in this co-investing to take equity or is that in the form of grants? And if, once the start-ups are on their way to growth, would we then ask for a clawback of the initial investment or grant?

The Chairman: You have eight seconds.

Dr Koh Poh Koon: Mr Chairman, I thank the Member for the question. Under this scheme, the Government will co-invest in the selected start-ups, together with the private sector, on a one-to-one basis via convertible bonds. A convertible bond is of one of the most expedient instruments to invest into a company in this current COVID-19 situation as discussions on equity valuation can be deferred to the next funding round, hopefully, when the economic situation is better.

The Chairman: Would Ms Ong like to withdraw the amendment?

Ms Anthea Ong: Mr Chairman, I beg leave to withdraw the amendment.

Amendment, by leave, withdrawn.

The sum of $1,851,670,000 for Head V ordered to stand part of the Second Supplementary Main Estimates.

The sum of $1,710,800,000 for Head V ordered to stand part of the Second Supplementary Development Estimates.

Head S – Ministry of Manpower

The Chairman: Head S, Ministry of Manpower. Assoc Prof Walter Theseira.

Worker Classification and Income Support

Assoc Prof Walter Theseira (Nominated Member): Mr Chairman, I beg to move, "That the total sum to be allocated for Head S of the Estimates be reduced by $100."

Sir, many Singaporean workers who have lost income due to COVID-19 have benefited from the Government's income support schemes. These help schemes are differentiated between employees, who are eligible for the COVID-19 Support Grant, and the self-employed, who are eligible for the Self-employed Person Income Relief Scheme (SIRS).

I believe the Government has sought to address the different needs of each group in designing these schemes. However, the maximum cash assistance quantum at $9,000 is higher for the SIRS than for the Support Grant at $2,400. Inclusion in SIRS is also automatic for qualifying Singaporeans, whereas the Support Grant must be applied for.

This difference in benefits has caused some concern among workers who believe that their employment classification – as an employee or as a self-employed person – does not accurately reflect how they work, their control over their income, and their COVID-19 income risks. There are also workers who are not sure which group they belong to.

I will give two examples. Our Universities engage adjunct instructors to teach. They are paid on a piece rate per course. This was previously considered self-employment. The Universities were informed this treatment was incorrect. Therefore, the Universities switched to using contracts of service, which made them employees. But the adjuncts are actually still paid on a per-course basis. Nothing has changed about their work. They still lack the income security of full-time or even part-time employees, although they now do get CPF contributions.

Another example is that of workers who are unsure of their status. I was told that a hair stylist needed to apply for a COVID-19 income support grant. Is the hair stylist an employee or self-employed? It turns out that this person operates under a reverse commission model. The stylist works in a hair salon, she pays the salon owner a percentage of the revenue she brings in. This sounds like self-employment. But then, the salon owner may believe that the stylist works for them and may impose conditions on how and when they work. These cases often have no formal contract or they have a contract which is poorly drafted. An appeal was made demonstrating self-employment and I believe the stylist got their SIRS payment. But the point is that these work arrangements are not always easy to classify sometimes.

Sir, a worker who faces income risks due to COVID-19 needs help, regardless of how they are classified. Can we do more to ensure that help is calibrated to the workers' actual income risks and income level, rather than their classification status? For example, if a part-time or contract employee faces substantial income risks, because they are hired on a case-by-case basis, could they be considered for SIRS benefits instead? We should also review the legal status of different work arrangements. Other countries are exploring an intermediate classification between employment and self-employment for gig-economy workers and those whose work is under the partial control of another. So, really, to cope with the severe shocks induced by COVID-19, we should aim for benefits tailored to income risks, rather than tailored to the classification of the worker.

Question proposed.

The Chairman: Ms Anthea Ong, you can take your two cuts together.

Workplace Adjustments for Mental Health

Ms Anthea Ong: Yes, Mr Chairman. Businesses have been hard-hit by COVID-19. Not referenced in the Fortitude Budget is the impact of the pandemic on the mental well-being of employees. I have mentioned earlier that in a survey of business leaders and HR professionals, nearly one in two Singaporeans has had their mental health adversely affected by COVID-19.

A recent survey also found that employees without managers attuned to their well-being are 61% more likely to say they have been less productive. Hence, establishing workplace adjustments for mental health must be an urgent priority for business and overall economic recovery. The inter-agency advisory for employers to support employee well-being, which Senior Minister of State Amy Khor alluded to earlier, is a step in the right direction.

Protecting jobs is as important as protecting employability, which includes mental well-being. Can the Ministry integrate the inter-agency advisory into the Job Support Scheme (JSS) such that beneficiary employers must demonstrate effort to introduce workplace adjustments to support their employees? I propose that businesses should adopt Employee Assistance Programmes (EAPs), mental health insurance coverage for employees and/or other well-being programmes to qualify for JSS payouts in July and October.

Also, will the Ministry consider encouraging these progressive well-being practices with further incentives? I propose that the Ministry expands the scope of the Enhanced Work-Life Grant beyond flexible working arrangements (FWAs), for funding EAPs and/or other well-being programmes.

Jobs Support Scheme – Mitigating Failure of Trickle-down Economics

Next cut. The Government has signalled that the COVID-19 Support Grant is an important—sorry, that is the wrong one.

The Chairman: It is okay, the clock is ticking.

Ms Anthea Ong: Yes, I know. Sorry. I missed that.

The intention behind the Jobs Support Scheme (JSS) to protect jobs and salary is welcome. However, abuse has been ongoing. MOM has received complaints about companies taking JSS monies and not using them to support their employees. It appears that workers have been threatened with dismissal if they complain about their employer's errant behaviour. IRAS announced on 3 June 2020 that employers who abuse the JSS may be charged under the Penal Code and face imprisonment and a fine. I applaud this strong stand against abuse of the scheme. However, I also note that IRAS continues to encourage individuals to report malpractices and abuses of JSS. Despite IRAS' promise that whistle-blowers' identities will be kept strictly confidential, I foresee many cases in which this will pose little obstacles to the employer discovering the identity of the whistle-blower. Some complaints may never make it to the authorities because the employees do not know of the avenues for complaint or are afraid of souring their relationships with their employers. This is particularly true for elderly or lower income employees who will be most affected by the loss of their jobs and are consequently more vulnerable to exploitation.

To empower employees to make complaints against errant employers and protect the most vulnerable in our workforce, will the Government consider a strong whistle-blowing protection law similar to the protected disclosures regime in the UK's employment Rights Act 1996 that is adequately communicated to all workers so that they are aware of the channels and feel safe exercising their right to whistle-blow. Further, instead of relying on goodwill, should there be a mechanism to make companies that are unaffected by or even profiting from the crisis return their JSS payouts?

The Chairman: Ms Low Yen Ling.

The Senior Parliamentary Secretary to the Minister for Manpower (Ms Low Yen Ling): Mr Chairman, as we go through these challenging times, the Government is committed to protecting livelihoods and sustaining businesses. The support provided through the Unity, Resilience, Solidarity and Fortitude Budgets is targeted to help keep businesses viable and workers employed, so that they can tide over this crisis and recover quickly as the economy restarts.

MOM, with the support of the four Budgets, seeks to achieve this in three ways, namely: one, ensuring fair support for all workers – both for the employees and self-employed persons (SEPs); two, championing fair employment practices; and three, promoting mental well-being in our workplaces.

Firstly, ensuring fair support for all workers. The Jobs Support Scheme (JSS) has cushioned the impact of the COVID-19 outbreak on the labour market by helping employers to hold on to their employees and continue paying their salaries, even during the Circuit Breaker period.

We introduced the SEP Income Relief Scheme (SIRS) to help Singaporean SEPs with less means and family support tide over this difficult period. Although SIRS is means-tested, the Government has taken into consideration that these are unprecedented times. For comparison, usually, about 50,000 SEPs receive Workfare each year. In other words, they are assessed to need more help. SIRS has now benefited over 120,000 SEPs – more than double the usual number of Workfare recipients.

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We understand that many SEPs may have seen their incomes fall. Nonetheless, the income criterion serves as a proxy for their ability to save and, therefore, the likelihood of their ability to tide through periods of less earnings.

It should also be noted that about 80% of the personal income taxpayers earn incomes below the SIRS criterion of $100,000 a year or about $9,000 a month. In other words, one would have to be in the top 20% taxpayers' bracket to exceed the SIRS criterion.

As for the Annual Value (AV) of property criterion, it serves as a proxy for wealth and family support. The Government has similarly sought to cover more people under SIRS. The AV criterion of $21,000 covers about nine in 10 owner-occupied residential public and private properties.

We understand that some of the SEPs who exceed the AV criterion may not themselves own these higher-end properties. Rest assured they can still appeal to be considered for SIRS. We will work with NTUC to assess the circumstances on a case-by-case basis and ensure that the scheme helps SEPs who most need it. Even if an appellant is not eligible for SIRS, we will certainly connect him or her with other relevant agencies like the Social Service Offices (SSOs) to offer other forms of assistance.

Mr Chairman, in administering schemes and programmes, such as SIRS, the Government has always partnered various like-minded organisations to better serve Singaporeans and our businesses. This is a key feature of tripartism and has served our Singaporean workers very well.

For instance, we work with the Singapore National Employers Federation (SNEF), NTUC's Employment and Employability Institute (e2i) and Singapore Manufacturing Federation (SMF) to administer the Work-Life Grant (WLG). Likewise, the Singapore Business Federation (SBF) is our appointed programme manager for SGUnited Traineeships, working with host companies to review and approve the scope and development plans of the proposed traineeships.

Other Government agencies, such as Enterprise Singapore (ESG), have also partnered with Trade Associations and Chambers (TACs) to administer schemes for companies. In governing these schemes, the responsible Ministries and agencies determine the policy parameters, including the eligibility criteria. The Ministries set clear boundaries within which our partners must operate, and any exceptions would require the Ministry’s approval.

Mr Chairman, over the past few years, several Members of Parliament and members of the public have raised concern that some employees could be misclassified as SEPs and, as a result, not received CPF contributions from their employers and other employee benefits, such as leave entitlement. Assoc Prof Walter Theseira also raised this question earlier in his cut.

In determining whether an individual is an employee or SEP, the Singapore Courts consider factors, such as the degree of control exerted by the company and its ability to decide on the hours of work. However, given the wide variety of work arrangements today, each case must be evaluated based on the specific circumstances. The Government applies a similar approach to the Courts when assessing the employment status of an individual.

To ensure that the employees are not misclassified as SEPs and denied their statutory employment benefits, MOM follows up on complaints – every one of them that we received – and ensures that the employers make rectifications where needed. For example, arising from feedback from adjunct teaching associates a few years ago, MOM worked with our Autonomous Universities to ensure that the CPF contributions and leave entitlements were provided to those working as employees.

I understand that during the circuit breaker period, adjunct teaching associates have continued to receive full salaries from their Universities which are supported by the JSS payouts.

Secondly, championing Fair Employment practices. The Government has provided substantial support through the Jobs Support Scheme (JSS) to help our employers retain and pay local workers. Deputy Prime Minister Heng recapped and shared with us that the JSS amounted to $23.5 billion, protecting 1.9 million jobs for Singaporeans. Employers should act responsibly and fairly, and make sure that they are ensuring that their local workers are given wages even if they are unable to work.

I want to assure Ms Anthea Ong that the Government takes a very serious view of irresponsible, unfair or fraudulent employment practices, including false reporting of workers' CPF payments by employers to obtain higher JSS payouts. We take a whole-of-Government approach to identify such fraudulent cases. As highlighted in the media release by IRAS on Wednesday this week, there are severe penalties for any attempt to abuse the JSS.

I want to assure Ms Ong that workers need not be afraid to come forward to report any infringement of employment laws, because the Employment Act protects them from wrongful dismissal by employers, especially those who seek to punish workers for exercising their rights.

Employers who wrongfully dismiss their workers may be ordered to pay compensation or to reinstate workers to their former jobs. Errant employers may also see a withdrawal of Government-paid employment support or suspension of their Work Pass privileges. MOM takes all feedback on employment law infringements very seriously.

During this difficult period, workers and employers have to work even more closely together than ever before and strive to maintain open channels of communication. As Mr Louis Ng pointed out, employees may need greater work flexibility to deal with the disruptions that arise due to COVID-19. Likewise, Mr Desmond Choo and Ms Sylvia Lim raised points regarding the challenges of workers, in particular, women, face and how Flexible Work Arrangements (FWAs) can benefit employers, employees and the society in the long run.

FWAs help workers better prepare and better balance their commitments at home and at work, and enable women to remain in the workforce, gain work experience, earn higher wages and assume leadership positions. MOM has been working with the tripartite partners to improve workers' access to FWAs, such as by providing support via the Work Life Grant (WLG) and recognising progressive employers through the Tripartite Standard on FWAs.

As a result of COVID-19, many more companies are working from home now and are benefiting from FWAs. We will seize the opportunity to continue this momentum and ensure that work-from-home arrangements are sustained beyond the COVID-19 period. This will not only strengthen business resilience; it will better support work-life harmony for all workers.

Thirdly, ensuring workers' mental well-being. As more businesses gradually resume operations, workers will take some time to adjust to the new normal as well as different working arrangements. Since the start of COVID-19, there has been many changes and adjustments. We understand that workers may face additional stress, and some may have mental health challenges. I agree with Ms Anthea Ong that we must look into our workers' mental health as we also seek to protect as many jobs as possible during this challenging period.

Ms Ong had suggested that we consider introducing additional requirements to qualify for JSS payouts. However, the intent of JSS is, as I have mentioned earlier, to help the companies retain and pay for local workers. It is to help as many companies stay afloat and keep jobs for Singaporeans. So, really, the JSS is a temporary scheme designed to help companies save jobs for Singaporeans during this period of economic uncertainty. Adding too many conditions would only make it more difficult for the employers to benefit from JSS or, inadvertently, cause a delay in employers getting the urgent help they need. Jobs may be lost if the employers do not get timely help.

Instead, we have been working on other ways to encourage our employers to implement progressive practices and workplace adjustments to take care of our workers' mental health needs in the workplace.

During the Committee of Supply (COS) in March, Ms Ong will remember that MOM announced that we will formulate a Tripartite Advisory on Mental Well-being to educate our employers on basic mental health knowledge and make available the resources to help them. We will work with the tripartite partners to evaluate the possibility of including an Employee Assistance Programme as well as insurance coverage for mental health as part of the upcoming Tripartite Advisory, which will be finalised in the second half of this year.

We are also working closely with the various Government agencies and the Labour Movement to provide our employers with resources that can support their workers' mental well-being.

Mr Chairman, what I have just shared are ways in which we are supporting our workers and employers to overcome the challenges arising from COVID-19. During the circuit breaker, we have all come across many heart-warming and heartening stories of how businesses, workers and Singaporeans are rallying behind one another as one community. As we slowly reopen the economy and transit to a new normal, I am confident that the unity and the fortitude of our workers and the employers will see us through this crisis and help us emerge stronger together.

The Chairman: Clarifications. Ms Anthea Ong.

Ms Anthea Ong: Mr Chairman, I thank Senior Parliamentary Secretary Low for her response. I would like to ask if the Senior Parliamentary Secretary could answer my question. Should there be a mechanism to make companies that are unaffected by or even profiting from the crisis return their JSS payouts? That is one. Secondly, I am very heartened that the Senior Parliamentary Secretary is reiterating that employees should come forward because they are protected under the Employment Act, if they have errant employers.

How are we actually making sure that this is made known, particularly to the more vulnerable employees, that they have this right? Many of them are sharing with me that they are so afraid to come forward because, first of all, they do not know they have this right and, secondly, they are worried about employers actually making life harder for them.

The Chairman: The longer the question, the shorter the answer.

Ms Anthea Ong: I will just keep it to two then, Mr Chairman, on your cue.

The Chairman: You have 20 seconds.

Ms Low Yen Ling: Thank you. I want to thank the Member, Ms Anthea Ong, for her supplementary question. On the first one about whether there are companies profiteering from the crisis. Earlier on, I mentioned that the JSS is targeted to help companies retain and pay their local workers. In designing the JSS, MOF as well as MOM and the various Ministries sought to achieve a balance between targeted assistance and also administrative efficiency, because this is really a crisis period. You want to make sure that the help reach the intended target audience as expeditiously as possible and make sure that we save every job. So, we strike a good balance between targeted assistance and administrative efficiency in designing the JSS.

I would like to inform Ms Ong that a large percentage of our firms and local employees, as the Deputy Prime Minister has mentioned, will be severely impacted. And earlier on, when he reminded us that the JSS amounted to $23.5 billion protecting 1.9 million jobs, two-thirds of our SMEs benefit from this. It is really important to provide the support to them. So, the question the Member asked —

The Chairman: Kindly wrap up, Ms Low.

Ms Low Yen Ling: So, to identify and exclude individual employers from this scheme will certainly need another level or, in fact, a few levels of administrative operations to sift through, especially when the eventual economic impact to them remains uncertain. It may not be administratively efficient to do so. So, I just want to share the balance between providing the help in an efficient way to the target audience vis-a-vis operational complexity. Now, I also want to reassure Ms Ong —

The Chairman: Ms Low, can you just wrap up quickly?

Ms Low Yen Ling: Yes. I want to assure Ms Ong that any irresponsible or unfair, fraudulent employment practises, including a false reporting of CPF contributions and so on will be dealt with severely and we will not hesitate to take actions accordingly. And we really urge the workers to report such errant employers. The Member will be familiar with our various programmes like Work Right and so on. We do have MOM officers going out not just to big companies, but also to small ones to share with them the rights of our workers, what are their rights under the Employment Act and how they would be protected. So, they need not fear because the Employment Act protects them, especially those who have been wrongfully dismissed.

The Chairman: Thank you. Would Ms Ong like to withdraw your amendment, please?

6.30 pm

Assoc Prof Walter Theseira: Chairman, it is myself who is withdrawing the amendment.

The Chairman: That is right. Assoc Prof Walter Theseira.

Assoc Prof Walter Theseira: Chairman, I wish to thank the Senior Parliamentary Secretary for her kind replies. May I beg leave to withdraw my amendment.

Amendment, by leave, withdrawn.

The sum of $3,122,917,400 for Head S ordered to stand part of the Second Supplementary Main Estimates.

The sum of $59,711,200 for Head S ordered to stand part of the Second Supplementary Development Estimates.

Head I – Ministry of Social and Family Development

The Chairman: Head I, Ministry of Social and Family Development. Ms Anthea Ong.

Gaps in COVID-19 Support Grant

Ms Anthea Ong (Nominated Member): Mr Chairman, I beg to move, "That the total sum to be allocated for Head I of the Estimates be reduced by $100".

The Government has signalled that the COVID-19 Support Grant (CSG) is an important piece in the array of COVID-19 welfare schemes by pumping in $800 million as part of the Fortitude Budget. However, I would like to bring attention to several aspects of the scheme that obstruct it from fully meeting the needs of those who need it most.

First, its overly strict eligibility criteria. Applicants have to first show that they have lost or will lose income over three months. For those whose initial conditions of no pay leave or reduced income do not reflect at least three months, they will have to wait to become eligible for CSG. This will be the case for most employees, especially lower wage workers, many of whom who do not even have a document from their employers spelling out conditions of leave. It would be inconceivable to expect employers who lay off employees to provide a confirmation that the employee will have three months of income lost, nor is it logical to expect individuals to show loss of future income of at least three months now.

From May 2020, there is no interim support scheme that can help to tide such individuals over. Further, the amount and duration of support provided under CSG is ungenerous, especially when compared to the Self-employed Persons Income Relief Scheme (SIRS). Crucially, members of society in precarious positions are excluded from CSG, such as individuals with no bank account or daily-rated workers.

Hence, I recommend that the Government reduce the required period for involuntary no pay leave or duration of income loss from three consecutive months to one month and allow individuals with no bank account and daily-rated or ad hoc workers to be eligible for CSG. The duration of support should also be extended from three months to nine months or when applicants are able to secure a job, whichever is earlier.

If the Ministry disagrees, individuals who have been financially affected by COVID-19 will be forced to apply for ComCare financial assistance in the interim or after they have exhausted their full CSG payout. Given the almost five-fold difference in income eligibility criteria of CSG versus ComCare, will the Ministry consider enhancements to ComCare such as: (a) increasing the income eligibility caps for ComCare and (b) increasing the flexibility with regard to supporting documents required? For instance, instead of strictly requiring bank statements, one could be allowed to produce documents that show job or income loss.

Question proposed.

The Chairman: Senior Parliamentary Secretary Muhammad Faishal Ibrahim.

The Senior Parliamentary Secretary to the Minister for Social and Family Development (Assoc Prof Dr Muhammad Faishal Ibrahim): Mr Chairman, the COVID-19 Support Grant (CSG) supports lower to middle income Singaporeans or Permanent Residents who, as a result of the economic impact of COVID-19, are presently (a) involuntarily unemployed due to retrenchment or contract termination; (b) placed on involuntary no-pay leave (NPL) for at least three consecutive months; or (c) experiencing reduced monthly salary of at least 30% for at least three consecutive months.

While MSF provides support for affected employees through CSG, employees are also supported through the Jobs Support Scheme. Self-employed persons (SEPs) are mainly supported through the Self-employed Persons Income Relief Scheme or SIRS.

Employees who have lost their jobs can apply for CSG immediately without waiting for three months.

Employees who are placed on involuntary NPL or experiencing reduced monthly salary need not wait till they are affected for three consecutive months to apply. They are eligible for CSG if their NPL or salary loss has already started and they provide supporting documents, such as a letter from their employer, showing that the involuntary NPL or salary reduction will be for at least three consecutive months. The "three or more consecutive months" requirement for involuntary NPL and salary loss scenarios is to ensure that help is channelled to those who have greater needs.

Daily-rated and ad hoc workers may qualify for CSG if they meet the eligibility criteria. Workers who do not have employment contracts due to the nature of their work may approach their nearest Social Service Offices or SSOs to make a self declaration on their employment status. This includes daily-rated and ad hoc workers. SSOs will undertake further checks against applicants' past CPF records and facilitate their CSG application if they qualify. Individuals eligible for CSG and without bank accounts can approach SSOs for assistance.

Those who are ineligible for CSG and are in financial need can apply for ComCare, which provides financial assistance for basic living expenses and other support such as household bill expenses and medical expenses. In general, those who are newly placed on ComCare will receive at least six months of assistance, which provides them with a longer runway to regain stability.

For those with urgent financial needs, SSOs, grassroots organisations and Family Service Centres can provide them with ComCare Interim Assistance.

ComCare Short-to-Medium-Term Assistance (SMTA) and Interim Assistance have income eligibility criteria of a monthly household income of $1,900 and below or per capita household income of $650 and below.

The Chairman: Senior Parliamentary Secretary Muhammad Faishal Ibrahim, please wrap up.

Assoc Prof Dr Muhammad Faishal Ibrahim: These are not hard thresholds and each case is considered on its own merit. Supporting documents including bank statements and payslips enable SSOs to accurately assess the applicants' circumstances, savings and needs. SSOs exercise flexibility as needed to provide the necessary financial assistance and social support. SSOs can conduct their interviews and assessments electronically and applicants can submit their supporting documents via email.

While CSG is open for applications from May 2020 till September 2020, the Government will continue to review our support schemes for those who need help, taking into account how the COVID-19 situation evolves.

The Chairman: Ms Ong, would you like to withdraw the amendment, please?

Ms Anthea Ong: Thank you, Senior Parliamentary Secretary, for your response. Mr Chairman, I beg leave to withdraw the amendment.

Amendment, by leave, withdrawn.

The sum of $1,063,442,000 for Head I ordered to stand part of the Second Supplementary Main Estimates.

The Chairman: I shall now deal with the remaining heads of expenditure in respect of which no amendment stands on the Order Paper Supplement. In respect of the Second Supplementary Main Estimates, they are Heads K, Q, T, U, X and Z. I propose to take those Heads of Expenditure en bloc.

Question, "That the sums stated for the Heads K, Q, T, U, X and Z as shown on page 7 of Paper Cmd 28 of 2020 stand part of the Second Supplementary Main Estimates", put and agreed to.

The Chairman: In the respect of the Second Supplementary Development Estimates, it is Head T.

Question, "That the sum of $500,000,000 for Head T stand part of the Second Supplementary Development Estimates", put and agreed to.

Question, "That the sum of $41,042,104,400 shall be supplied to the Government under the Heads of Expenditure for the public services shown in the Second Supplementary Main Estimates of Expenditure for the financial year 1 April 2020 to 31 March 2021 contained in Paper Cmd 28 of 2020", put and agreed to.

Question, "That the sum of $2,270,511,200 shall be supplied to the Government under the Heads of Expenditure for the public services shown in the Second Supplementary Development Estimates of Expenditure for the financial year 1 April 2020 to 31 March 2021 contained in Paper Cmd 28 of 2020", put and agreed to.

Resolutions to be report.

Thereupon Mr Speaker left the Chair of the Committee and took the Chair of the House.

Mr Speaker: Minister Indranee Rajah.

The Second Minister for Finance (Ms Indranee Rajah): Mr Speaker, I beg to report that the Committee of Supply has come to certain resolutions.

First resolution to be reported,

"That the sum of $41,042,104,400 shall be supplied to the Government under the Heads of Expenditure for the public services shown in the Second Supplementary Main Estimates of Expenditure for the financial year 1 April 2020 to 31 March 2021 contained in Paper Cmd 28 of 2020."

Second resolution to be reported,

"That the sum of $2,270,511,200 shall be supplied to the Government under the Heads of Expenditure for the public services shown in the Second Supplementary Development Estimates of Expenditure for the financial year 1 April 2020 to 31 March 2021 contained in Paper Cmd 28 of 2020."

Ms Indranee Rajah: Mr Speaker, I beg to move, "That Parliament doth agree with the Committee on the said resolutions."

Question put, and agreed to.

Resolutions accordingly agreed to.