International Business & Economy Introduce redundancy insurance to better protect workers, Sylvia Lim

Introduce redundancy insurance to better protect workers, Sylvia Lim




- Advertisement -

In her Speech in Parliament yesterday, the Workers’ Party chairman, Sylvia Lim, suggested that a redundancy insurance should be introduced by the government to better protect workers whose job may become redundant.
In her speech she said:

In this economic transition, there are hardworking Singaporeans and their families being pushed into limbo. As a society, we should devise some safety nets to give them some peace of mind.

To this end, the government should look into the feasibility of introducing redundancy insurance. One model could involve requiring workers resident in Singapore and their employers, to each contribute a very small % of the employee’s monthly salaries towards a fund. The fund should be geared towards helping workers who undergo involuntary unemployment, meaning those who were made redundant including those terminated with notice.

The fund could gear towards giving a 6-month payout at a fraction of the worker’s last drawn salary (say 40%), subject to a cap, say based on the median wage. Such a modest scheme, of limited payouts which end after six months, will send a clear signal that only a temporary buffer is being provided, incentivising the worker to actively prepare to earn his own income again.

Such redundancy insurance has benefits for both the individual and society. For the individual, he will seamlessly have recourse to this buffer which he contributed to; he may not need to queue up at a social assistance agency and tap on public monies.

He also need not grab the first job opportunity that comes along, but be able to take a bit of time to hold out for a suitable job, enabling a better employee to job fit and sustainability.

Read her full speech here: us on Social Media

Send in your scoops to 

- Advertisement -

Nearly 10,000 take umbrage at Ng Yat Chung and sign petition calling for his dismissal

Singapore -- Almost 10,000 people have taken umbrage at SPH CEO Ng Yat Chung’s “boorish behaviour” and have signed a petition calling for his dismissal. Singapore Press Holdings (SPH) Chief Executive Officer (CEO) Ng Yat Chung took “umbrage” at a reporter's questions...

K Shanmugam: Ng Yat Chung’s reaction, and the way he answered the question was very unfortunate

Singapore – Home Affairs and Law Minister K Shanmugam took to social media to point out his views on the Singapore Press Holdings (SPH) restructuring, and added that SPH Ceo Ng Yat Chung's reaction to a reporter was "very unfortunate". Speaking at...

‘I will never wear a mask,’ says foreigner in MRT after being told to wear one

Singapore – A video of a man explaining to passengers why "he will never wear a mask" while inside the MRT has been circulating online, garnering responses from the online community to put him to task. "Another sovereign who refused to wear...
Follow us on Social Media

Send in your scoops to