Profile of Jobs and Industries on Fair Consideration Framework Watchlist

30 Mr Chong Kee Hiong asked the Minister for Manpower with regard to the Fair Consideration Framework (FCF) (a) which are the top five sectors and industries on the FCF Watchlist; (b) what are the most common job categories and their salary ranges on the Watchlist; and (c) what measures will be implemented to facilitate senior job opportunities for Singapore Citizens in critical sectors.

The Minister for Manpower (Mrs Josephine Teo): Mr Speaker, the Fair Consideration Framework (FCF) Watchlist targets employers that are suspected to have discriminatory hiring practices. Currently, about 350 firms are on the FCF Watchlist.

Administrative and Support Services, Construction, Education, Infocomm and Professional Services are among the top five sectors which firms on the FCF Watchlist belong to. These firms employ a range of occupations, such as architects and engineers, business professionals, information technology (IT) professionals and managers with many being paid between $3,000 and $10,000. Firms on the FCF Watchlist will have their Employment Pass applications scrutinised and, consequently, experience longer processing times. The Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) also engages these firms to offer assistance to improve their hiring practices. To date, over 2,000 Singaporean professionals, managers, executives and technicians (PMETs) have been hired by firms on the FCF Watchlist.

At the other end of the spectrum, we recognise employers with exemplary human resource (HR) practices as our Human Capital Partners (HCPartners). HCPartners actively groom Singaporeans for senior positions, through initiatives, such as management trainee programmes, overseas assignments and postings, as well as job rotations, across different business functions. As a result, HCPartners have a healthy local workforce share at all levels, including at senior levels.

Additionally, the SkillsFuture Leadership Development Initiative (LDI) supports employers in developing the next generation of Singaporean leaders. Through the programme, Singaporeans will acquire leadership competencies and critical experiences to take on senior positions.

Mr Speaker: Mr Patrick Tay.

Mr Patrick Tay Teck Guan (West Coast): I thank the Minister for the reply. I just want to ask the Minister since the update during the Committee of Supply (COS) on the number of companies that are on the FCF Watchlist, which is 350, has there been an increase or a decrease? Likewise, because of the new broadened coverage of the FCF with effect from 1 July this year, what is the Ministry of Manpower (MOM) seeing? Has there been an increase or a decrease in the number of Watchlist companies?

Mrs Josephine Teo: Mr Speaker, the number of companies on the Watchlist is largely stable. We continue to work with each one of them to improve their hiring practices. As and when we are told of companies that have practices that are suspected to be discriminatory, TAFEP will engage the companies. Our intent is really to help them improve their practices in order to be fairer and more progressive towards Singaporeans. So, the number that we work with is not a fixed target, but it does give an indication of the intensity of the effort that we are applying.

The question which the Member asked relates to the advertising requirement under FCF. We have expanded the requirement so that more companies that employ Employment Pass holders have to make known the jobs that they are seeking candidates for. It used to be that for jobs that pay up to $12,000, you have to advertise; we have expanded it. Up to $15,000, you have to advertise.

We have also requested more companies to be covered under FCF. It used to be that you have to hire more than 25 persons. Now, as long as you hire 10 or more persons, you are covered.

So, as it stands right now, the advertising requirement would already cover the large majority of jobs at the PMET level. We will continue to monitor and make sure that FCF remains credible.

Mr Speaker: Ms Thanaletchimi.

Ms K Thanaletchimi (Nominated Member): I would like to ask the Minister a follow-up question on those companies on the FCF Watchlist. Are they still eligible for Government funding, such as Adapt and Grow and all the others, to improve their businesses? Are they still eligible to apply for those kinds of fundings?

Mrs Josephine Teo: Mr Speaker, if I remember correctly, the Member had a question some months back whether one of the conditions for eligibility to apply for various Government schemes, including those that are administered by MOM, ought to include their support for FCF, and perhaps some other schemes as well.

I think we try not to conflate the two. Whilst these firms may be on the Watchlist, and we are working with them to improve their hiring practices, in the meantime, they are still employers of Singaporeans, and we do not want to unfairly penalise their Singaporean employees whilst they are going through this process. If the scheme is beneficial to the companies, if the scheme can benefit our citizens, I do not see why we should prevent them from doing so.

Having said that, generally speaking, if the firms are on the Watchlist, I think they have multiple issues, and it is not quite likely that they are at the same time looking at application to the other schemes to support various human resource initiatives.