Written Answer

Review of Jobseeker Support Scheme's Income Ceiling to Match Current 75th Percentile Gross Monthly Income Levels

Speakers

Summary

This question concerns MP Patrick Tay Teck Guan's proposal to raise the Jobseeker Support (JS) scheme's $5,000 income ceiling to the 75th percentile of gross monthly income. Minister for Manpower Dr Tan See Leng clarified that the 2024 75th percentile is approximately $8,100 excluding employer CPF, while the current threshold targets workers earning up to the median income level. He explained that the JS scheme is designed for lower- to middle-income individuals who are more vulnerable to financial pressure when involuntarily unemployed. The Minister noted that the $5,000 limit currently exceeds the $4,900 median income for full-time residents. The Ministry of Manpower will review the scheme's outcomes before considering whether to extend support to those in higher-income brackets.

Transcript

48 Mr Patrick Tay Teck Guan asked the Minister for Manpower (a) what is the current 75th percentile gross monthly income from employment of full-time employed residents (i) including employer CPF contributions and (ii) excluding employer CPF contributions, respectively; and (b) whether the Ministry will consider raising the Jobseeker Support Scheme's $5000 qualifying income ceiling to the current 75th percentile gross monthly income excluding employer CPF contributions to support more Singaporeans involuntarily unemployed.

Dr Tan See Leng: In 2024, the 75th percentile gross monthly income from employment of full-time employed residents is about $8,100 excluding employer Central Provident Fund (CPF) contributions and about $9,300 including employer CPF contributions. Employer CPF contributions are excluded when determining the income threshold for the SkillsFuture Jobseeker Support (JS) scheme.

The JS scheme targets lower- to middle-income workers who are more likely to face financial constraints that may lead them to settle quickly for ill-fitting jobs after becoming involuntarily unemployed. The scheme therefore covers involuntarily unemployed jobseekers who previously earned an average gross monthly income of up to $5,000, excluding employer CPF, in the past 12 months. This threshold slightly exceeds the median income of full-time employed residents in 2024, which is about $4,900, excluding employer CPF.

Since the JS scheme is still in its early days, the Ministry of Manpower will review the effectiveness of the scheme in helping workers re-enter employment and find good jobs. We will also assess the case for extending the scheme to higher-earning individuals.