Solidarity Budget: MPs suggest more help for freelancers, extra childcare leave to help Singaporeans through circuit breaker

SINGAPORE — Food delivery companies such as GrabFood, Foodpanda and Deliveroo could review their commission charges for food retailers, the Self-Employed Person Income Relief Scheme (Sirs) criteria can be further broadened and more childcare leave should be given to parents.

These are some of the suggestions raised by Members of Parliament (MPs) on the second day of a debate on the Government's two supplementary Budgets to bolster support for people and businesses affected by the Covid-19 pandemic.

The MPs largely welcomed the raft of support measures announced by Deputy Prime Minister Heng Swee Keat in the Solidarity Budget delivered on Monday (April 7) as well as the Resilience Budget announced on March 26, but they also raised a variety of concerns and gaps in aid given.

A total of 14 MPs and political office holders spoke over three hours on Tuesday (April 8). The debate concluded with Mr Heng, who is also Finance Minister, giving a round-up speech.

TODAY summarises the various views and suggestions raised by MPs on Tuesday.

BUSINESSES SHOULD HELP PARTNERS

Ms Foo Mee Har, MP for West Coast Group Representation Constituency (GRC), said that in the spirit of solidarity, companies who enjoy “disproportionately greater benefits” should share these benefits with their business partners, employees and the wider ecosystem.

She gave the example of food delivery firms such as GrabFood, Foodpanda and Deliveroo which charge 30 to 35 per cent in commission fees. She hopes that their commission model can be reviewed since deliveries may be the main source of revenue for food outlets during this period.

From April 7 to May 4, food outlets here will only be allowed to do deliveries or offer takeaways for customers.

“The new business model should result in more equitable sharing of costs and benefits among business ‘partners’, which are the food outlets owners, the delivery companies and the riders.

“Delivery companies should adjust their commission rates, so that food outlets may have a fighting chance to survive.”

“As for delivery riders who brave the streets, we as consumers can play our part,” Ms Foo said, adding that customers should tip the riders 5 per cent to 10 per cent of the food receipt.

WORKERS ON UNPAID LEAVE

Mr Louis Ng, MP for Nee Soon GRC, said that more considerations need to be made for those who remain employed but have been forced to take pay cuts or go on unpaid leave, or for workers who are paid hourly shifts and have had their shifts and hours cut.

The only new support scheme applicable to this group is the Temporary Relief Fund which provides a one-time cash aid of S$500, he said.

He suggested that the Covid-19 Support Grant can be extended to supplement the monthly income of these workers for up to S$800 for three months or when they are back to full employment.

The grant supports individuals who have lost their jobs as a result of the pandemic, by providing them with financial assistance while they find a new job or attend training.

GIVING PARENTS MORE CHILDCARE LEAVE

Mr Ng also said that parents should receive more childcare leave during this period since home-based learning will take place for the next four weeks and some children in preschools and kindergartens are also required to stay home.

He explained that these parents might not have the option to work from home and have had to resort to taking unpaid leave, which has left them with worries of losing their jobs.

“I hope we can introduce a government-paid childcare leave for parents who are working in essential services or key economic sectors and whose young children are affected by Covid-related stay-home requirements,” he said.

EXPANDING THE SELF-EMPLOYED PERSON INCOME RELIEF SCHEME 

Mr Dennis Tan, a Workers' Party non-constituency MP, had concerns about the criteria of the Self-Employed Person Income Relief Scheme, which offers cash support to eligible self-employed people.

Sirs was first announced as part of the Resilience Budget and enhanced in the Solidarity Budget. Under the scheme, all eligible self-employed persons will receive direct cash assistance through three quarterly cash payouts of S$3,000 each, or S$9,000 in total.

Mr Heng announced on Monday that Sirs will now include freelancers who also earn a small income from employment work. The property annual value threshold has also been raised from S$13,000 to S$21,000 to include those who live in some condominiums and other private properties.

But Mr Tan argued that the property that one lives in, owns or co-owns may not be relevant to their current income earning capacity and their sudden financial problems due to the Covid-19 crisis.

“If they own such property, is the Government expecting such self-employed people to sell their property quickly? If so, is it really fair or realistic to expect such persons to sell their homes immediately in such a market condition?” Mr Tan asked.

In his speech during the debate, Mr Zaqy Mohamad, the Minister of State for Manpower, acknowledged that self-employed people who do not automatically qualify for the scheme are worried and hope to be considered, including those whose spouses earn a high income but have many people at home to support. 

“My colleagues and I will try our best to consider the applications of those who did not automatically qualify, particularly those aged 21 to 36 in 2020 but otherwise meet the criteria. We will also seriously consider the appeals of those who narrowly missed the eligibility criteria,” he said.

He added that the Ministry of Manpower will work with the National Trades Union Congress (NTUC) to provide details on how to apply for Sirs, and how those who do not meet the criteria can soon appeal.