Former Manpower Ministry Permanent Secretary Loh Khum Yean talks about helping low-wage workers, and shares his views on how we can still make the best out of this current COVID-19 situation.
Tripartism is an invaluable asset that Singapore has managed to establish over many decades of nation building, and a key to our continued survival and success. It is a strong bond that holds us together (unions/workers, employers, Government) as a society, in both challenging times (such as the three parties working closely together to place displaced workers in jobs during the COVID-19 pandemic) and good times. It confers a competitive advantage which many other countries envy. It is a mutually reinforcing relationship among the tripartite partners, built upon trust and strengthened through common challenges that we have overcome together over the years; and something we must continue to constantly nurture and strengthen.
Working with each segment of our workforce was a rich learning experience for me and my fellow colleagues. There were different perspectives and different concerns, which helped us in our understanding and subsequent design of the supporting policies. But across all groups, there was a common passion and desire to do better for themselves, their families and children/grandchildren, and to contribute to the community and to Singapore.
The Progressive Wage Model (PWM) is a tripartite effort. It was NTUC’s brainchild and brought to fruition with employer and Government support. It has benefitted over 78,000 low-wage workers (LWW) in the cleaning, security and landscaping sectors, boosting their wages and providing clear paths for job progression.
Between 2013 and 2018, the real median monthly gross wages of full-time cleaners, security officers and landscape workers grew cumulatively by at least 30 per cent, higher than the 16 per cent for median full-time resident workers.
The vision of progressive wages is a far-reaching one where each sector has clear ladders that workers can move up for better occupations, skills, and wages. Therefore, apart from a mandatory approach, PWM can be introduced as a broader movement, where the community plays a part as responsible consumers. Consumers can support companies that voluntarily pay progressive wages and provide job progression pathways to their LWWs. This spurs companies to be progressive and workers to become more productive.
During my time in MOM and even thereafter, the Government continues to provide additional income and retirement support to our LWWs by enhancing the Workfare Income Supplement (WIS) regularly. This is a pillar of our social support for LWWs to contribute significantly to their cost of living concerns, healthcare and retirement adequacy, while maintaining their incentive to work. MOM expects to pay out close to $1 billion of Workfare to over 440,000 LWWs this year.
We must continue to provide even more support to our LWWs in undergoing training. I am happy to see that the Workfare Training Support scheme has significantly improved the employment outcomes of LWWs who complete training leading to full qualifications under the Singapore Workforce Skills Qualifications and Academic CET Qualifications systems.
The COVID-19 pandemic has highlighted the importance of the work and contributions of our LWWs. Many are at the frontline tackling the pandemic. We should accord them our respect and show our appreciation, even through simple gestures such as by thanking them for their services.
The COVID-19 pandemic has taken a toll on our economy, businesses and jobs. To support Singaporeans amidst this grim employment climate, the Government has introduced a number of initiatives, including actively creating career opportunities for jobseekers and workers affected by the current COVID-19 situation. Workers should take advantage of the Government’s initiatives – tap on government-funded training schemes to pick up new skills to stay relevant and employable as their role evolves. Most importantly, workers have to be resilient, have an open mindset and be willing to stretch out beyond their comfort zone.
The post COVID-19 journey will be long and challenging. The Government will be behind every worker to support them and walk this journey together. Don’t be afraid of failures. Bounce back up and try again. With a collective mindset of resilience and growth, we will emerge stronger.
