An insurance programme will be developed to help employers manage unexpectedly large medical expenses of migrant workers, Manpower Minister Josephine Teo said yesterday.
The Ministry of Manpower will also carefully consider the cost-sharing model for higher standards in migrant worker dormitories, even as a stronger system of medical support for the workers is built, she added.
"As important as it is to safeguard the health and wellness of our workers, we must also ensure the higher costs are sustainable," she said in her ministry's Addendum to the President's Address.
These efforts are part of the ministry's greater focus on the well-being of Singapore's workforce, as Covid-19 has caused considerable stress to individuals, she noted.
Currently, the Work Injury Compensation Act (Wica) requires employers to buy work injury compensation insurance for all manual employees and non-manual employees earning up to $2,100 a month. The compensation limits under Wica were raised this year and cover medical expenses up to $45,000, or up to one year from the date of the accident, whichever comes first.
The safety and living conditions of foreign workers have been in the spotlight after dormitories saw huge clusters of Covid-19 cases.
Mrs Teo said the new Assurance, Care and Engagement Group in her ministry will ensure migrant worker housing is safe and resilient against public health threats. It will also team up with the community and migrant worker groups to meet workers' social needs.
The ministry will also partner trade associations and chambers, non-governmental organisations and professional bodies to provide a better support network for all workers, she added.
At the same time, improving the wages of those at the lower end remains a key priority of the ministry, although the present focus is to ensure lower-income locals stay employed amid the economic downturn.
Mrs Teo said the Progressive Wage Model will be expanded over time to more sectors in a way that is practical and ensures local unemployment remains low.
The model sets out minimum salaries for local workers in various roles along a career and skills progression framework. It is compulsory in the cleaning, security and landscaping sectors.
Raising wages at the lower end needs a long-term commitment and new mindsets among employers, service buyers and society at large, Mrs Teo said.
"We may have to pay slightly more for services so that lower-income workers are able to take on better jobs and earn higher wages. Together with the Government's support for lower-income workers through Workfare and other schemes, it will help us mitigate inequalities and strengthen our social compact," she added
Other action plans on the ministry's agenda to foster an inclusive workforce and progressive workplaces include reviewing regularly the Workfare and Silver Support schemes to fix gaps in social safety nets for low-wage older workers and senior citizens.
