Oral Answer by Minister for Manpower Dr Tan See Leng to PQs on Measures to Address Manpower Shortages
NOTICE PAPER NO. 1095 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2818 FOR ORAL ANSWER
MP: Dr Wan Rizal
To ask the Minister for Manpower in light of the easing of safe management measures, what are the plans to assist Safe Distancing Ambassadors to transit to new jobs and channelling them to sunrise industries.
NOTICE PAPER NO. 1117 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2829 FOR ORAL ANSWER
MP: Mr Yip Hon Weng
To ask the Minister for Manpower in light of the revised safe management measures that came into effect on 29 March 2022 and the recovery of the economy (a) what are the efforts to promote more local employment; (b) how is the Ministry helping sectors that are facing a shortage of local workers; and (c) whether the Ministry will relax foreign labour policies should the manpower crunch continue.
NOTICE PAPER NO. 1124 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2842 FOR ORAL ANSWER
MP: Ms Poh Li San
To ask the Minister for Manpower with regard to the reopening of our economy (a) which are the sectors facing a severe shortage of manpower especially foreign workers; and (b) what are the measures taken by the Ministry to help these industries and companies to ride out the labour shortage so as not to hamper the recovery of our economy.
NOTICE PAPER NO. 1125 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2847 FOR ORAL ANSWER
MP: Ms Joan Pereira
To ask the Minister for Manpower whether the Ministry will consider permitting cleaning companies to recruit cleaning workers from a wider range of countries to reduce the risk of labour shortages
NOTICE PAPER NO. 1135 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2890 FOR ORAL ANSWER
MP: Mr Leong Mun Wai
To ask the Minister for Manpower for each year in the past five years (a) what is the number of local part-time food and beverage workers; and (b) of these workers, how many are students.
NOTICE PAPER NO. 1135 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2893 FOR ORAL ANSWER
MP: Ms Yeo Wan Ling
To ask the Minister for Manpower in view of the easing of safe management measures, whether the Ministry will be working on measures to encourage and divert manpower resources from positions no longer needed such as safe distancing ambassadors to industries that are facing manpower shortages such as food services and retail.
NOTICE PAPER NO. 1135 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2898 FOR ORAL ANSWER
MP: Mr Liang Eng Hwa
To ask the Minister for Manpower (a) what is the number of temporary workers who are currently working on COVID-19 related jobs such as safe distancing ambassadors or SafeEntry checkers; (b) what are the other employment opportunities available to these workers as the safe management measures are being stepped down; and (c) how can such workers be assisted in seeking new and longer-term employment.
NOTICE PAPER NO. 1135 OF 2022 FOR THE SITTING ON 9 MAY 2022
QUESTION NO. 2904 FOR ORAL ANSWER
MP: Ms Nadia Ahmad Samdin
To ask the Minister for Manpower (a) whether there are planned measures to support businesses, particularly in the food and beverage and catering sectors, who are having difficulty in hiring staff amidst the reopening; and (b) if so, what are these measures.
NOTICE PAPER NO. 1135 OF 2022 FOR THE SITTING ON OR AFTER 10 MAY 2022
QUESTION NO. 2934 FOR ORAL ANSWER
MP: Mr Sharael Taha
To ask the Minister for Manpower following the easing of safe management measures from 26 April 2022 and gradual cessation of vaccination centre operations (a) how many safe distancing ambassadors and vaccination centre workers will be affected; (b) how will the affected workers be re-deployed; and (c) whether there are plans to upskill or re-train the workers to take on roles in industries with high demand for manpower.
NOTICE PAPER NO. 1135 OF 2022 FOR THE SITTING ON ON AFTER 10 MAY 2022
QUESTION NO. 2935 FOR ORAL ANSWER
MP: Mr Sharael Taha
To ask the Minister for Manpower in light of the forecasted recovery of Singapore’s aviation and tourism industries (a) whether there is sufficient manpower in these industries to meet the expected needs; and (b) whether the Ministry will consider redeploying safe distancing ambassadors and vaccination centre workers to these industries.
Answer:
1. As economic recovery gains momentum, we recognise that some segments of the economy may find it challenging to fill job vacancies amidst the tight labour market. In my reply, I will be addressing the questions that Members of this House have asked about these manpower shortages, as well as the longer-term job opportunities of workers employed in short-term COVID-19 roles. To Ms Poh Li San’s question, the Construction, Marine Shipyard and Process (CMP) sectors are the hardest hit as they rely most heavily on migrant workers. As Ms Joan Pereira, Ms Yeo Wan Ling, Mr Sharael Taha and Ms Nadia Ahmad Samdin have pointed out, industries such as food services, cleaning, retail, tourism and aviation that were affected by safe management measures and international travel restrictions are also facing a manpower crunch now as they rebuild their manpower with the reopening. There also continue to be many vacancies in outward-oriented industries such as Information & Communications and Financial Services.
2. A significant part of the manpower crunch that we are experiencing today is in large part due to the impact of COVID-19. The balance, albeit a smaller part, isdue to cyclical reasons. In the last two years, our non-resident workforce declined sharply as businesses were battered by the pandemic. However, while demand is recovering, border restrictions had dampened the regular inflow of foreign manpower. The Government has taken steps to resume the inflow of foreign workers to ease the manpower crunch and we have progressively lifted border restrictions from late last year. Since then, non-resident employment growth increased in the fourth quarter of 2021 for the first time in two years, and picked up pace in the first quarter of 2022. Most recently, we announced the removal of entry approval requirements for all pass types, including Work Permit Holders (WPHs) in the CMP sectors. The number of CMP WPHs in Singapore reached a two-year low in October 2021, but has since grown strongly by more than 40,000 to reach over 90% of pre-pandemic numbers. Our businesses now have fuller confidence to bring their work pass holders into Singapore, and the recent reopening of the Singapore-Malaysia land border should also further ease the labour market tightness in the months to come.
Support for workers and businesses
3. Mr Yip Hon Weng, Ms Poh Li San, Mr Sharael Taha and Ms Nadia Ahmad Samdin asked what the Government is doing to enable Singapore to reopen our economy and reconnect with the world. MOM is working with MOT, MTI, STB and CAAS closely to provide targeted support for the tourism and aviation industries with additional foreign worker quotas on a time-limited basis to ensure that they can quickly rebound and capture the opportunities.
4. Mr Yip Hon Weng also asked about efforts to promote local employment. Government agencies are also working closely with industry and unions to promote good jobs and ramp up local hiring. For example, STB partnered NTUC, NTUC’s Employment and Employability Institute (NTUC’s e2i), WSG and key Trade Associations and Chambers (TACs) to launch the Tourism Careers Hub in January 2022. This Hub facilitates job matching of local candidates with the tourism sector, supports the upskilling of workers to meet evolving demands, and drives business transformation efforts. CAAS is working with aviation firms to recall former employees and expand hiring. Both CAAS and STB have lined-up recruitment activities such as career fairs in the next few months.
5. We will also continue to support our businesses to transform and improve job quality to attract and retain local workers. For example, MTI recently announced the $70 million Food Services & Retail Business Revitalisation Package. MOM and MTI will work closely with TACs to study further ways to support both the retail and F&B sectors' manpower needs in the immediate term.In the cleaning sector, NEA has also been working with cleaning companies to adopt technologies such as autonomous floor cleaning scrubbers and robotic solutions to free up workers to meet the added demand for disinfection work.
6. We will nudge and support our businesses to hire locals. We have extended the Jobs Growth Incentive to September 2022 to support hiring of mature local workers aged 40 and over who are not in work for at least six months, persons with disabilities and ex-offenders. Employers can receive up to $21,600 per eligible hire over a 12-month period. There are also other pathways in which employers can tap, such as the SGUnited Mid-Career Pathways Programme. Attachments under this programme allow employers to provide mature candidates with on-the-job training and evaluate their job-fit. The Government will also be disbursing the Small Business Recovery Grant from June this year. This provides $1,000 per local employee, and up to $10,000 per firm.
Opportunities to hire more local workers
7. Our efforts are paying off. I am encouraged to see that many businesses have been able to build up their local workforce to meet their manpower needs. Overall, resident employment grew by 71,300 in 2021, and the resident unemployment rate has recovered to pre-COVID levels. There continues to be opportunities to hire more local workers.
8. First, employers should look to hire workers who were employed in short-term COVID-19 roles, such as Safe Distancing Ambassadors and vaccination centre workers, the same group Dr Wan Rizal, Ms Yeo Wan Ling, Mr Liang Eng Hwa, and Mr Sharael Taha have asked about. Around 6,400 such workers were employed as at April 2022 by the public sector, government-funded institutions or private sector medical service providers. Around 1,200 of these workers will be re-deployed into longer-term roles, but the other 5,200 will be looking for new jobs when their contracts end over the coming months. WSG and NTUC’s e2i will be providing employment facilitation support. Employers who are interested to consider these workers can reach out to WSG and NTUC’s e2i. Many of these workers came from the F&B and Retail sectors, and would thus possess the relevant skillsets and experience.
9. Second, employers can also consider hiring trainees who have gone through various attachment and training programmes under the SGUnited Jobs and Skills Package. There are 9,800 trainees who are still undergoing their programmes as at end February 2022, and they too will be looking for jobs in the near future. The Jobs Taskforce, which I chair, is working with sector agencies to place these trainees into suitable roles which make use of the industry-relevant skills and experience gained through the programmes.
10. Third, employers can also tap on a larger pool of local manpower by providing flexible work arrangements, including flexi-time, flexi-place and part-time work. Mr Leong Mun Wai asked about the number of local part-time workers in F&B services for the last five years, and the proportion who were students. The number of local part-time workers in F&B services remained stable at around 35,000 on average over the last five years, of which about 15% were students1. Part-time work can benefit both employers who need the manpower, and workers who will not only earn an income, but can also gain work experience for the future.
Conclusion
11. In conclusion, we expect labour market tightness to ease in the coming months as non-resident employment rebounds following significant relaxation of border restrictions. However, COVID-19 has underscored the importance of building resilient businesses. This is all the more important given the uncertainties in the global geo-political and economic environment. Over-reliance on foreign workers will leave businesses open to and vulnerable to disruptions. Therefore, I strongly encourage employers facing manpower shortages to utilise all the available support to press on with efforts to transform and become more manpower-lean, while tapping on available sources of local workers that still exist, to build up their local manpower core.