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(a) Maternity Leave: Some working mothers have
indicated that the existing eight weeks of paid statutory
maternity leave is inadequate for them to recover, care for and
bond with their new-born babies. They feel that a longer period of
maternity leave will be appropriate. The Government will look into
this, taking into account the costs on employers.
(b) Work-Life Balance: Countries that have
reversed their falling birthrates
tend to have family-friendly practices in the
workplace. The Government, in close consultation with employers
and employee representatives, will examine the scope for part-time
and other flexible work arrangements that will allow parents to
spend more time with their children. A one-size-fits-all approach
may not be feasible. Different approaches may be necessary for
different sectors.
(c) Child Care and Infant Care: Access to good and
affordable child care arrangements is important to parents. The
Government already provides a reasonable subsidy for centre-based
child care, but infant care is expensive. The Government will
therefore look into increasing subsidies for such care, which
should also result in more places at infant care centres, and
exploring more home-based, family day care options.
(d) Financial Support: Marriage and parenthood are
ultimately personal decisions, but financial measures such as
grants and tax measures do help. The Government will consider how
best to simplify and enhance the existing tax measures, such as
allowing certain measures to be claimed by husbands as well as by
wives, and aligning the conditions for tax rebates with
childbearing patterns. The Government will also consider
introducing more flexibility in the use of the Baby Bonus.
6. Mr Lim said that the new package of measures
will target the birth of Singapore citizen babies. "No matter
how globalised we become, Singapore needs a core of Singapore
citizens. This is important not only to maintain the resilience of
our economy and society, but also to preserve our identity as a
nation based on Singaporean values", said Mr Lim.
7. Increasing the number of births is one way to
ensure the future generation of Singaporeans. A supplementary
strategy is to attract immigrants who can contribute to the
well-being of Singapore. The Government will help these foreigners
settle down, integrate with the rest of Singapore society, become
Permanent Residents, and eventually take up citizenship.
8. The public are invited to give their feedback
and ideas on how the Government can set up a total environment of
financial and non-financial measures to support parenthood and
ensure a future generation of core Singaporeans. The public may
email their views on Building the Next Generation by logging on to
the Feedback Unit's Consultation Portal, www.feedback.gov.sg
under the heading "Next Generation". The
public can also call the hotline at 1800-2 5858 12 to register
their feedback.
[Please see Annex A for the
list of current measures]
ANNEX A - CURRENT
MEASURES TO ENCOURAGE MARRIAGE AND SUPPORT PARENTHOOD
I. Financial Measures
S/N Financial Measure
Details
1 Qualifying Child
Relief (QCR)
Aim: Token relief for
the first four children in a family.
Quantum and
conditions:
For 1st to 4th child:
Tax relief of $2,000 per child
Qualifying Child
Relief can be claimed by either parent.
Child relief is
allowable if you maintained an unmarried child who in the
preceding year was:
a. below 16 years of
age; or
b. receiving fulltime
education at a college, school or other
educational
establishment; and
c. not in receipt of
income in his own right (excluding scholarships and similar
allowances) which exceeds the Qualifying Child Relief.
Aim: Given in addition
to the Qualifying Child Relief, to recognise
and assist the efforts of working mothers.
Quantum and
conditions:
Child <12 years
Child > 12 years
1st child 5% of earned
income 5% of earned income
2nd child 15% of
earned income 10% of earned income
3rd child 20% of
earned income 15% of earned income
4th child 25% of
earned income 15% of earned income
2 Enhanced Child
Relief (ECR)
Enhanced Child Relief
is a tax relief that can be claimed by working mothers with at
least 3 GCE "O" level passes.
S/N Financial Measure
Details
3 Special Tax Rebate
(STR)
Aim: To encourage
married couples to have more children early.
Quantum and
conditions:
For 2nd Singaporean
child:
- If mother <28
years: $20,000
- If mother <29
years: $15,000
- If mother <30
years: $10,000
- If mother <31
years: $5,000
For 3rd or 4th
Singaporean child: $20,000
The Special Tax Rebate
can be offset against either or both parents’ income tax
liabilities.
The Special Tax Rebate
for each qualifying child can be used within a period of 9 years
from the Year of Assessment following the year of birth of the
qualifying child. Any unutilised
rebate is not refundable. The rebates for the 2nd, 3rd and 4th
child may be claimed within a cumulative period of 27 years.
4 Further Tax Rebate
(FTR)
Aim: Introduced in
lieu of maternity leave for the third and fourth child in 1987.
Since it is in lieu of maternity leave, the Further Tax Rebate is
targeted at working mothers.
Quantum and
conditions:
For 3rd Singaporean
child : 15% of mother’s earned income capped at $20,000
For 4th Singaporean
child : 15% of mother’s earned income
capped at $40,000
The Further Tax Rebate
can only be used to offset the wife's income tax, and the rebate
for each qualifying child must be used within a period of 9 years.
The rebates may be claimed consecutively within a cumulative
period of 18 years.
S/N Financial Measure
Details
5 Relief for delivery
and hospitalisation expenses for 4th child
Aim: To help alleviate
some of the delivery and hospitalisation
costs for the 4th child, since these costs may be paid from
Medisave for the 1st to 3rd child.
Quantum and
conditions:
For 4th child: Parents
can claim relief for actual delivery and hospitalisation
expenses of up to $3,000 against their earned income for their 4th
legitimate child born to them in the previous year.
For 1st - 3rd child:
The delivery and hospital charges, in both government and private
hospitals, incurred for the first, second and third child may be
paid from the parents’ Medisave
accounts.
6 Relief for Foreign
Maid Levy (FMLR)
Aim: To help married
working women cope with domestic responsibilities.
Quantum and
conditions:
Tax relief of two
times the amount of the annual levy for one maid (currently about
$4,000). The relief may offset up to 40% of the Foreign Maid Levy.
Foreign Maid Levy can
only be offset against the woman’s income. The amount of relief
is capped at $8,280 per year.
7 Exempting employer
subsidised child care benefits from tax
Aim: To allow
employees to enjoy the maximum benefits of employer’s subsidies.
Quantum and
conditions: Employees who receive subsidised child care benefits
from their employers will not be taxed on these benefits in kind.
8 HDB Staggered
Downpayment
Scheme (SDS)
Aim: To help young
couples settle down early.
Quantum and
conditions: Young couples (where either the husband/fiancé or the
wife/fiancée is between 21 and 30 years of age at the point of
application) who are first-time applicants of a new 4-room HDB
flat are allowed to pay the 20% downpayment for new HDB flats in
two stages
– 10% when the
couple signs the Agreement for Lease
– Remaining 10% at
the time of taking possession of the flat, about 2 to 3 years
later
S/N Financial Measure
Details
9 HDB Third Child
Priority Scheme
Aim: To encourage
couples to have at least 3 children.
Quantum and
conditions: Priority is given to families with a third child born
on or after 1 Jan 1987 wishing to upgrade to bigger HDB flats.
10 Children
Development Co-Savings
Scheme
(otherwise known as
the Baby Bonus)
Aim: To assist
families by encouraging married women to have 2 or more children;
and provide financial assistance for the development of the
children.
Quantum and
conditions: The Children Development Co-Savings Scheme or Baby
Bonus is a two-tiered grant.
In the first tier, the
government provides a cash gift of $500
and $1,000 per year for 6 years for
second and third order births respectively.
The second tier is an
annual co-payment scheme. The Government matches parents’
contribution dollar-for-dollar up to $1,000 and $2,000 per year
for 6 years respectively for the second and third child. The
second tier co-savings are placed in a Children Development
Account (CDA), and may be used for pre-school educational and
developmental needs for any of the children in the family (not
just the second and third child).
For 2nd Singaporean
child: Maximum of $ 9,000
For 3rd Singaporean
child: Maximum of $ 18,000
11 Third Child Paid
Maternity Leave Scheme (3CML)
Aim: To align
maternity leave with the 1st and 2nd child and thereby encourage
couples to have at least 3 children.
Quantum and
conditions:
For 3rd Singaporean
child: 8 weeks of paid maternity leave for
the mother. The cost of leave is borne
by the Government, subject to a cap of $20,000.
Financial Measure
Details
12 Government Child
Care Subsidy (GCCS)
Aim: To help alleviate
the cost of centre-based child care.
Quantum and
conditions: A monthly subsidy is given to children aged below
seven (and not attending primary school) if they are placed in a
licensed child care centre.
For 1st - 4th child:
- Working mothers and
single fathers are eligible for a subsidy of $150 and $75 per
month for full-day and half-day care respectively.
- Non-working mothers
receive a $75 subsidy.
- A pro-rated subsidy
is given to mothers who place their children in flexible child
care programmes. The quantum of subsidy depended on the number of
hours in which the child is enrolled in a child care centre
programme.
13 Incentives to
operate infant care and child care centres
Aim: To encourage
employers to set up infant care and child care centres at the
workplace.
Quantum and
conditions: The government offers various grants including funding
for capital conversion, furnishing and equipment, cyclical
maintenance.
Child care centres at
HDB void decks also benefit from subsidised rental.
Voluntary welfare
organisations (VWOs), other non-profit organisations and
co-operative societies also benefit from the government grants.
II. Non-Financial
Measures
Promoting Marriages
The Social Development
Unit (SDU) was formed in 1984 to change the cultural and social
mindsets that continue to stand in the way of graduates getting
married. The Social Development Service (SDS)1 was formed in 1985
to promote marriage and family formation by promoting social
interaction among non-graduate singles.
Providing Good Infant
Care and Child Care Support Centre-Based Care Services
Child care centres
provide full-day and half-day care programmes to children below
the age of 7 years. Most centres admit children from 18 months
onwards, while some also provide infant care services to children
aged 2 to 18 months.
MCDS licenses child
care centres which meet acceptable standards and also monitors the
demand and supply to ensure that there are adequate child care
facilities to meet the needs of families. In order to keep fees
affordable, subsidies are given to eligible mothers who enrol
their children in child care centres. Voluntary welfare
organisations (VWOs) which want to set up child care centres are
also given grants for conversion of premises, furnishing and
equipment and cyclical maintenance.
In order to meet the infant care needs
of parents, MCDS has been encouraging more child care operators to
offer infant care services either in their current child care
centres or through setting up new infant care centres. The major
VWOs that were approached have shown an interest. Capital grants
will be provided to help these VWOs defray the set up costs.
Family Day Care
Services
Family Day Care
Services provide working parents with alternative child care
options. It is especially suitable for children aged 2 to 18
months.
MCDS recognises that
child care centres are well-placed to share their expertise and
resources to family day caregivers, parents and their children.
MCDS has offered Family Day Care Early Bird Bonus to selected
child care centres for coordinating matching of parents with
trained caregivers. Parents can opt for home-based child care
services through these child care centres with effect from 1 March
2004.
The long-term plan is
for FDCS to become a viable business model that is affordable and
easily accessible to working parents.
Promoting Work-Life
Harmony
The Work-Life Unit (WLU)
was set up in the Ministry of Community Development and Sports in
Sep 2000 to promote a work-life friendly culture in Singapore with
the aim of helping Singaporeans achieve work-life harmony in our
24/7 fast-paced, knowledge-based economy. The work-life portfolio
is a new area of strategic focus, going beyond merely promotional
efforts to actually conducting research on work-life strategy,
building local expertise and facilitating funding for consultancy
and training where available.
Through the Tripartite
Committee on Work-Life Strategy, WLU collaborates with the
Ministry of Manpower, the National Trades Union Congress and the
Singapore National Employers Federation to raise awareness on
work-life issues and promote work-life strategies through events
such as the biennial Singapore Family Friendly Employer Award.
Public Education
Family Matters!
Singapore is a people-movement aimed at promoting the importance
of marriage, having children and strong families. It comprises
representatives from the people, private and public sectors that
maps out a set of public education strategies and initiatives
aimed at promoting positive attitudes among Singaporeans towards
the family.
The committee, chaired
by Mr Chan Soo Sen, Minister of State, Education and Community
Development and Sports, recommends initiatives to promote
marriage, having children and strong families as well as drive
relevant programmes through the people-sector. For example, FM!S
is involved in the Romancing Singapore Festival, International
Year of the Family,
Grand parenting and Intergenerational
Bonding. It also takes on a consultative and advisory role to
provide feedback and inputs with the emphasis to bring family
education initiatives to the people.
III. Civil Service
Pro-Family Measures
Various schemes have
been introduced to allow employees in the Civil Service to have a
balanced work-life environment. These include:
a. No-pay leave for
child care up to a maximum of four years for each child below four
years old, for married female civil servants;
b. Part-time
employment up to three years, regardless of the age of the child.
For married female civil servants;
c. Full pay unrecorded
leave of five days per year to look after a sick child below
twelve years old, up to a maximum of 15 days per year for three or
more children below twelve years old, for married female and male
civil servants;
d. Three days of paid
marriage leave for the first marriage;
e. Three days of
paternity leave for male civil servants for their first three
children;
f. Allow teleworking,
where practical, as an alternative working arrangement,
particularly for parents with young children;
g. Allow individual
ministries and departments to implement flexi-time, as long as
there is no loss of productivity and lapse in service standards to
the public.
Ministry of Finance
Press Release 2 Mar 2004
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Previous FrontPage Edition 3 Mar 2004
