Some Members of Parliament (MPs) recently spoke up with some important ideas on how to help our lower-income workers and other vulnerable people in Singapore.
Proposals for Workers’ Wages
MP Wan Rizal had a few suggestions about how to improve things for lower-wage workers. He thinks the Progressive Wage Credit Scheme (PWCS), which helps companies pay for wage increases, should not end as planned in 2026. He also believes the salary cap of S$3,000 for this scheme should be raised.
This program has been very effective so far, giving out over S$2.7 billion in 2022 and 2023 and helping more than 520,000 employees. Dr Wan Rizal wants to see this support continue until the lowest-earning workers are making at least two-thirds of the median wage, a goal set by an international organization.
He also brought up a major concern: some workers are afraid to accept a pay raise because they might lose eligibility for important financial aid programs like the Workfare Income Supplement or ComCare. Dr Wan Rizal emphasized that “no one is forced to choose between a higher salary and essential aid.” This shows how important it is to make sure our systems work together smoothly.
Finally, he suggested that training in artificial intelligence (AI) should be made available to lower-wage workers. He mentioned that even people in administrative roles can use AI to improve their work and believes everyone should get a chance to benefit from new technology.
Suggestions for Retirement Savings
Other MPs also had ideas, focusing on the Central Provident Fund (CPF) system and retirement security.
MP Saktiandi Supaat proposed some changes to the CPF:
- He wants a clear, long-term plan (10-15 years) for increases to the Basic Retirement Sum. This would help families plan their future with more confidence.
- He also suggested expanding the Matched Retirement Savings Scheme to include more people, like part-time workers and caregivers.
- He even proposed an option for CPF Life payouts to be linked to inflation, so that the money people receive in retirement keeps up with the rising cost of living.
MP Denise Phua also called for a thorough review of the Silver Support Scheme. She thinks the payouts should be checked to ensure they are still enough for seniors to live on, especially since people are living longer and prices are increasing.
