EDITORIAL: The Straits Times says- An assurance of continued support

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Hence the measures outlined yesterday. Among them are the extension of the JSS, which will help firms retain local workers, and the Covid-19 Support Grant for Singaporeans who are unemployed or have suffered significant income loss. At the moment, the JSS covers the wages of employed workers up to this month. It will be extended by up to seven months, covering wages paid up to next March. However, the scheme cannot be sustained at current levels, both because it draws heavily on Singapore’s reserves and because it could keep workers in businesses that are not sustainable any more. Also, some sectors are recovering faster than others. Fiscal prudence requires the Government to therefore allocate funds in targeted ways that benefit viable businesses and their employees, and to avoid waste. Sadly, many jobs will go in spite of the array of help schemes, particularly those in the most vulnerable segments of badly hit sectors. However, following the cruel but inescapable logic of creative destruction, these job losses will free up workers who could move into the sustainable economy with proper retraining and reskilling.

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Looking out over an admittedly dismal horizon, a new scheme – the $1 billion Jobs Growth Incentive programme – will be launched to support growth sectors such as biomedical sciences, healthcare and finance. Reassuringly, Singapore began its economic transformation five years ago, when it developed Industry Transformation Maps for 23 sectors. The coronavirus pandemic did not create structural shifts, but it has accelerated many of them. Businesses, labour and the Government must continue to act in concert so that the economic upturn, when it comes, will see Singaporeans being better prepared to take advantage of opportunities in the post-Covid-19 world. Yesterday’s measures are a step in that direction.