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Deputy Prime Minister Heng Swee Keat has announced a third round of measures to support businesses, workers and households through the Covid-19 outbreak on Monday (Apr 6).

The new "Solidarity Budget" follows the Unity Budget announced on Feb 18 and the Resilience Budget on Mar 26.

Heng, who is also the Finance Minister, said in a Facebook post on Apr. 4:

"We must remain steadfast in the face of crisis, and stand in solidarity with one another during these difficult times. I am therefore naming this set of measures to tide us through the 'circuit breaker' the Solidarity Budget.

Unity, Resilience, Solidarity — these values will come to define who we are as a people."

Earlier on Apr. 3, Prime Minister Lee Hsien Loong said in his speech that additional support for households and businesses would be announced in Parliament.

Solidarity Budget: Enhance Jobs Support Scheme

Heng said that the primary aim of this Solidarity Budget is to take further steps to save jobs and protect the livelihoods of Singaporeans during the temporary period of heightened "circuit breaker" measures to pre-empt escalating measures.

Heng said that he will enhance the Jobs Support Scheme (JSS) for the month of April.

Previously, the JSS subsidised 25 per cent of the first S$4,600 of gross monthly wages for all local employees, with higher levels of wage subsidies for the food services sector (50 per cent) and the aviation and tourism sectors (75 per cent).

In this Budget, he will raise the wage subsidy for all firms to 75 per cent of gross monthly wages, for the first S$4,600 of wages paid in April 2020, for each local employee.

Heng clarified that the wage cap of S$4,600 does not mean that workers earning more than S$4,600 do not qualify.

The wage subsidy applies to every one of Singapore's over 1.9 million local employees.

But the maximum subsidy to the firms will be 75 per cent of S$4,600 per person, which is S$3,450, regardless of how much they earn.

Heng said that the aim of this strong support is to directly reduce firms’ wage costs, to help them retain their workers.

Heng added that firms on GIRO and PayNow will start receiving the first Jobs Support Scheme payout next week.

Top photo from Heng Swee Keat Facebook.