Oral Answer

Reviewing Migrant Domestic Worker Employment Model to Reduce Excessive Employer Liability and Strengthen Employment Agency Accountability

Speakers

Summary

This question concerns whether the Ministry of Manpower (MOM) will review the Migrant Domestic Worker (MDW) employment model to reduce employer liability, strengthen employment agency accountability, and enhance worker safeguards, as asked by Ms Jessica Tan Soon Neo. In response, Senior Parliamentary Secretary Shawn Huang Wei Zhong stated that MOM regularly reviews policies to balance household needs, MDW well-being, and employer liabilities. He noted that to protect employers from high medical bills, the minimum annual claim limit for MDW medical insurance was raised from $15,000 to $60,000 in 2023. Safeguards for MDWs have also been enhanced, including the requirement of at least one rest day per month that cannot be compensated away. Additionally, employment agencies must refund employers at least 50% of service fees paid if an MDW's contract is terminated within the first six months without a suitable replacement.

Transcript

The following question stood in the name of Ms Jessica Tan Soon Neo –

17 To ask the Acting Minister for Manpower whether the Ministry will review the Migrant Domestic Worker (MDW) employment model to reduce excessive employer liability, strengthen employment agency accountability and address agencies' operational challenges, while enhancing safeguards for MDWs so that responsibilities and risks are more fairly shared across all parties.

The Senior Parliamentary Secretary to the Minister for Manpower (Mr Shawn Huang Wei Zhong) (for the Acting Minister for Manpower): The Ministry of Manpower (MOM) regularly reviews our policies to ensure that the migrant domestic worker (MDW) employment model supports households' needs while safeguarding the well-being of MDWs.

We balance the well-being of MDWs and liabilities of employers. Employers are responsible for the basic upkeep and medical treatment of MDWs.

MOM supports employers in meeting these responsibilities. For example, the minimum annual claim limit for MDW medical insurance was raised from $15,000 to $60,000 in 2023, which will protect employers from high medical bills. We have also strengthened safeguards for MDWs over time, such as having at least one rest day per month that cannot be compensated away.

MOM also works with stakeholders, such as employment agencies and non-governmental organisations, to build an ecosystem that supports the hiring, retention and well-being of MDWs. To ensure that employment agencies are incentivised to facilitate a good match between MDWs and employers, we require employment agencies to refund employers at least 50% of the service fees paid if the MDW's contract is terminated within the first six months of employment and there is no suitable replacement.