SINGAPORE — The Singapore government will be further extending the waivers on foreign worker levies (FWLs) and giving out more rebates to support firms in the construction, marine shipyard and process sectors.
To help the firms in the three sectors, it will extend the FWL waiver until December, as well as the existing $375 FWL rebate to September.
In a media statement on Saturday (1 August), the Ministry of Manpower (MOM) said that it has set aside $320 million to extend the FWL rebates. This is in addition to the $1.36 billion Construction Support Package announced earlier on 27 June.
“The government has received feedback from the Singapore Contractors Association Limited, Association of Singapore Marine Industries and the Association of Process Industry that the majority of an estimated 15,000 firms in the construction, marine shipyard and process sectors continue to face financial difficulties as they are unable to resume work due to COVID-19 measures,” the ministry said in the statement.
“This situation is likely to persist until the foreign worker dormitories are fully cleared in August and their workers are progressively allowed to resume work thereafter.”
Further FWL waiver from July to September
All firms in the construction, marine shipyard and process sectors received a 100 per cent FWL waiver for levies due in June, and a 50 per cent FWL waiver for levies due in July.
MOM will provide a further FWL waiver for levies due in July, bringing it to 100 per cent. Employers who have paid the 50 per cent levies originally due in July will have the amount refunded to them.
The ministry will also provide a full FWL waiver for levies due in August and September. Subsequently, the FWL waiver will be stepped down to 75 per cent for levies due in October, followed by 50 per cent in November and 25 per cent in December.
$375 rebate extended for two months
In addition to the FWL waiver, firms in the construction, marine shipyard and process sectors will also receive a $750 FWL rebate per S Pass and Work Permit holder for June, and a $375 FWL rebate per S Pass and Work Permit holder for July, as part of the Fortitude Budget.
Under the new measure, the $375 rebate will be extended for another two months, to August and September.
The new $375 rebate will replace the existing $90 rebate for each Work Permit holder for August and September, which was announced by the government on 27 June to help firms adjust to more stringent Safe Management Measures.
These firms will continue to receive a $90 FWL rebate monthly from October to December.
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