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Written Answer to PQ on Inclusivity Dependency Ratio Ceiling (DRC) Bonus for Firms

NOTICE PAPER NO. 2156 OF 2023 FOR THE SITTING ON 18 SEPTEMBER
QUESTION NO. 5026 FOR ORAL ANSWER
 
MP: Mr Mark Lee
 
To ask the Minister for Manpower whether the Ministry will consider introducing an 'inclusivity' quota whereby companies that employ either seniors, individuals with special needs or Persons with Disabilities, and which individuals form a certain percentage of their total workforce, will be granted a Dependency Ratio Ceiling (DRC) bonus, in recognition of their commitment to fostering a balanced and sustainable workforce.
 
Answer:
 
1. We do not think foreign worker quota is a suitable lever to incentivise firms to employ seniors and persons with disabilities as there could be unintended consequences.
 
2. Firstly, firms may hire these employees purely for gaining additional foreign worker quotas, without providing them with meaningful employment.
 
3. Secondly, land-scarce Singapore cannot support an unconstrained expansion of the foreign workforce. Keeping our foreign workforce size sustainable will better ensure that all Singaporeans, including senior workers and persons with disabilities, continue to be able to access good jobs and opportunities.
 
4. The Government will continue to support inclusive employment through recognising progressive employers with the Enabling Mark and through financial incentives such as the Senior Employment Credit and the Enabling Employment Credit. However, ultimately employers should see it in their interest, as employers of choice, to create inclusive workplaces for all workers.