MPs suggest ways to see workers through Covid-19 crisis and longer-term challenges

SINGAPORE — Of late, workers have been hit by a double whammy of the fallout from the Covid-19 epidemic and an earlier general slowdown in the economy. Lawmakers on Wednesday (Feb 26) offered a raft of suggestions to give workers — from tourist guides to taxi drivers — a leg-up, both for the immediate and longer term.

These include bringing back a “surrogate employer” scheme where the labour movement takes in workers hit by the downturn. While on the programme, workers upgrade their skills and receive an allowance.

Other Members of Parliament (MPs) suggested rolling out a scheme promoting sustainable wage increases to more industries as well as closing the gender pay gap.

They were speaking in Parliament on the first day of debate on the Budget statement, which Deputy Prime Minister and Finance Minister Heng Swee Keat unveiled last week.

Here is a quick look at the MPs’ suggestions:

SURROGATE EMPLOYERS

Mr Patrick Tay, MP for West Coast Group Representation Constituency (GRC), recalled that during the outbreak of the severe acute respiratory syndrome in 2003, he supervised a surrogate employer scheme at the National Trades Union Congress (NTUC).

Mr Tay, who is now NTUC’s assistant secretary-general, wants the scheme revived as Singapore grapples with the Covid-19 disease.

“I see a good opportunity for us to revisit and reintroduce this scheme to support workers who may fall through the cracks or those not covered under current schemes, such as our freelancers and self-employed Singaporeans.”

In 2003, NTUC acted as a surrogate employer, helping affected workers such as tourist guides and airline cabin crew members on unpaid leave to undergo training and upgrading. These workers received a training allowance.

“These efforts resulted in a win-win-win for all, in that when the Singapore economy rebounded months later, affected workers who had the training allowance as stipend could… return to their jobs and assignments quickly, to the delight of their employers and customers,” Mr Tay said.

And the workers did not return empty-handed. They received qualifications including diplomas, he added.

EXTEND PROGRESSIVE WAGE MODEL TO MORE INDUSTRIES

The Government’s Progressive Wage Model, which applies to the cleaning, security and landscape sectors, helps to raise the wages of workers, while improving their skills and raising productivity.

Mr Zainal Sapari, MP for Pasir Ris-Punggol GRC, urged the Government to extend the scheme to industries such as waste collection and strata management, which are keen to have a mandatory wage model.

Mr Zainal said that there are workers providing essential services who are susceptible to low and stagnating wages as well as poor working conditions because of the nature of the industries in which they work.

MP Lim Swee Say (East Coast GRC), who was Manpower Minister from 2015 to 2018, also urged the Government to widen the Progressive Wage Model to cover more jobs in other sectors.

“The success of a country is not judged by how well the people at the top are doing, but by how well the people at the bottom are helped by the Government and treated by the general public,” he said.

EXPAND SCOPE OF SKILLSFUTURE CREDIT FOR MID-CAREER WORKERS

Mr Melvin Yong, MP for Tanjong Pagar GRC, wants the extra S$500 SkillsFuture credit top-up that will be given to Singaporeans aged 40 to 60 this year to be expanded to all courses under the Workforce Skills Qualifications continuing education and training system.

Recipients should also be able to use the extra credits to enrol in programmes that help them acquire deep skills, he said.

Right now, the top-up may be used only for 200 or so career transition programmes.

Mr Yong also called for the top-up to be extended to Singaporeans beyond age 60, given the ageing workforce and rising retirement and re-employment ages.

“Just as we should support those who wish to continue working beyond 60, we should also support them in their pursuit of lifelong learning,” he said.

In addition to the extra S$500 top-up announced in the Budget statement, all Singaporeans aged 25 and older this year will receive a one-off SkillsFuture credit top-up of S$500, which they can use from Oct 1. They expire at the end of 2025.

Mr Yong wants this schedule to be brought forward, so that workers can undergo training during this economic lull and equip themselves with skills when the economy rebounds.

CLOSING THE GENDER PAY GAP

In 2018, women in Singapore earned 16.3 per cent less than men (or 6 per cent after adjusting for factors such as occupational differences), the Ministry of Manpower said.

Mr Desmond Choo, MP for Tampines GRC, pointed to the benefits of narrowing the gender wage gap: It will boost growth and productivity, and create a more equal and inclusive society.

He touched on several structural issues that are obstacles for women to advance in the workforce:

• Women away on paid maternity leave may be graded on their performance over the same 12-month period as their colleagues. As a result, they are disadvantaged by work output.

• There is a persistent lack of women in top leadership roles.

• Some women leave the workforce owing to the absence of supportive measures in the workplace, such as flexible work arrangements.

• Women are still often expected to take on a primary role at home, such as in the areas of caregiving and housework.

Here are his proposed solutions:

• First, women should be given the right to tap flexible work arrangements after maternity leave. This will help them strike a balance between their careers and responsibilities at home.

• Second, companies should grade women who have been away on maternity leave on an eight-month basis rather than over a full year.

• Third, monitor key leadership positions in listed companies to ensure that women are not grossly under-represented.

HELPING RELIEF TAXI DRIVERS

The Government announced this month that about 40,000 drivers of taxis and private-hire cars, whose earnings have been hit by the Covid-19 outbreak, will receive up to S$20 a vehicle each day for three months. This payout will come from a S$73 million special relief fund.

This sum is contributed equally by the Government and operators, which will each provide S$10 a day for every eligible driver.

Mr Gan Thiam Poh, MP for Ang Mo Kio GRC, noted that taxi hirers qualify for the payout, but their relief drivers do not.

He wondered if the Ministry of Transport could consider extending this scheme to relief drivers.