Support Package to Help Workers and Businesses during Phase Two (Heightened Alert)
23 Jul 2021In view of the tightened safe management measures from 22 July 2021 to 18 August 2021 (inclusive), the Government will provide a support package to cushion the impact on workers and businesses. This will include enhanced Jobs Support Scheme for affected sectors, rental relief for commercial properties, enhanced COVID-19 Driver Relief Fund for taxi and private hire car drivers, support for market and hawker centre stallholders, as well as making the COVID-19 Recovery Grant-Temporary available until end-August.
2 In putting together this support package, the Government has taken into account the feedback from workers and businesses, and engaged business and trade association leaders to understand their concerns.
Enhanced Jobs Support Scheme for Affected Sectors
3 The Government will enhance the Jobs Support Scheme (JSS) for affected sectors from 22 July to 18 August 2021. JSS support will be enhanced to 60% for sectors where the tightened measures require them to suspend many, if not all, of their activities. These include food & beverage (F&B) businesses, gyms, fitness studios, performing arts organisations and arts education centres. We will also enhance JSS support to 40% for sectors that are significantly affected by the restrictions. These include the retail sector, affected personal care services, tourist attractions, licensed hotels, cruise and regional ferry operators, MICE organisers, travel agents, museums, art galleries, cinema operators and other family entertainment centres. JSS support for these sectors will taper to 10% from 19 to 31 August 2021. More details can be found in Annex A.
Rental Relief for Commercial Properties
4 The Government will provide an additional 4-week rental waiver for qualifying tenants on Government-owned commercial properties, and an additional 2-week rental relief cash payout for qualifying tenant-occupiers and owner-occupiers of privately-owned commercial properties under the Rental Support Scheme (RSS).[1] This will offset rent for the full duration of P2(HA) for Government-owned commercial properties, and half the P2(HA) duration for privately-owned commercial properties. More details on the RSS will be made available on the Inland Revenue Authority Singapore (IRAS) website.
5 While we encouraged landlords of commercial properties to provide rental support to affected businesses during the last P2(HA) period, many tenants have provided feedback that not all landlords were forthcoming. To ensure fair burden sharing, the Government is looking to require sharing of rental obligations between the Government, landlords and qualifying tenants. We recognise that there will be landlords who may face genuine hardship, and will take these landlords’ circumstances into consideration. More details will be announced by the Ministry of Law in due course.
Extension of Food Delivery Booster Package
6 To support the F&B sector, Enterprise Singapore (ESG) will reintroduce the Food Delivery Booster Package to defray part of food delivery costs via food delivery platforms and third-party logistics partners for transactions made from 22 July to 18 August 2021. For the use of food delivery platforms, ESG will fund five percentage points of the commission cost charged. ESG will fund 20% of the delivery costs for food delivery orders through third-party logistics partners. Details of the Food Delivery Booster Package can be found on the ESG website.
Continuation of E-Commerce Booster Package
7 ESG will provide grant support for local retailers to get on-board local e-commerce platforms through the E-commerce Booster Package, which was reintroduced on 16 May 2021 and will be available till 16 November 2021. Retailers will receive a one-time 80% support on qualifying costs for the service fees charged by the platforms, capped at $8,000. These platforms include Lazada, Mummy’s Market, Qoo10, Shopee and Zalora. More details can be found on the ESG website.
Credit Support Measures Remain Available
8 Banks and finance companies continue to provide cashflow assistance to borrowers affected by the tightening of restrictions. This is facilitated by the ESG, the Monetary Authority of Singapore and industry support measures that had been recently extended. Lenders will further offer relief and restructuring options for borrowers based on their specific circumstances.
Enhanced COVID-19 Driver Relief Fund for Taxi and Private Hire Car Drivers
9 To support taxi and private hire car drivers, the Government will enhance the COVID-19 Driver Relief Fund (CDRF) from 22 July to end-September 2021. Currently, CDRF provides eligible drivers with $10/vehicle/day for 60 days from July 2021, and $5/vehicle/day for the next 30 days. Under this latest enhancement, eligible drivers will receive an additional $10/vehicle/day from 22 July to 31 August 2021, and an additional $5/vehicle/day in September 2021.
Support for Hawkers and Market Stallholders
10 The Government announced on 16 July 2021 an additional one-month of subsidies for fees for table-cleaning and centralised dishwashing services, and one-month of rental waivers for stallholders in hawker centres and markets managed by the National Environment Agency (NEA) or NEA-appointed operators.
11 To further support hawkers and market stallholders whose livelihoods have been adversely affected, the Government will introduce a new Market and Hawker Centre Relief Fund. All individual stallholders of cooked food and market stalls in centres managed by NEA or NEA-appointed operators will receive a one-off cash assistance of $500 per stallholder. NEA will provide more details shortly.
Extended COVID-19 Recovery Grant-Temporary for Affected Workers
12 To help other workers affected by the tightened measures, the Government will also make the CRG-Temporary (CRG-T) available until 31 August 2021. The CRG-T provides a payout of up to $700 for those who were placed on involuntary no-pay leave, and up to $500 for those who lost at least 50% of their income for at least one month due to tightened safe management measures (since 16 May 2021). Existing CRG-T recipients who continue to require assistance can apply for a second CRG-T support payout.
Conclusion
13 The support package is expected to cost $1.1 billion, and will be funded by reallocation arising from one-off underutilisation due to COVID-19, and fiscal resources set aside earlier in the event of extension of support measures.
Issued by:
Ministry of Finance
Singapore
23 Jul 2021
***
[1] Small and Medium Enterprises and eligible Non-Profit Organisations with an annual revenue not exceeding $100 million, who are tenant-occupiers or owner-occupiers of qualifying commercial properties, will be eligible for rental relief.
2 In putting together this support package, the Government has taken into account the feedback from workers and businesses, and engaged business and trade association leaders to understand their concerns.
Enhanced Jobs Support Scheme for Affected Sectors
3 The Government will enhance the Jobs Support Scheme (JSS) for affected sectors from 22 July to 18 August 2021. JSS support will be enhanced to 60% for sectors where the tightened measures require them to suspend many, if not all, of their activities. These include food & beverage (F&B) businesses, gyms, fitness studios, performing arts organisations and arts education centres. We will also enhance JSS support to 40% for sectors that are significantly affected by the restrictions. These include the retail sector, affected personal care services, tourist attractions, licensed hotels, cruise and regional ferry operators, MICE organisers, travel agents, museums, art galleries, cinema operators and other family entertainment centres. JSS support for these sectors will taper to 10% from 19 to 31 August 2021. More details can be found in Annex A.
Rental Relief for Commercial Properties
4 The Government will provide an additional 4-week rental waiver for qualifying tenants on Government-owned commercial properties, and an additional 2-week rental relief cash payout for qualifying tenant-occupiers and owner-occupiers of privately-owned commercial properties under the Rental Support Scheme (RSS).[1] This will offset rent for the full duration of P2(HA) for Government-owned commercial properties, and half the P2(HA) duration for privately-owned commercial properties. More details on the RSS will be made available on the Inland Revenue Authority Singapore (IRAS) website.
5 While we encouraged landlords of commercial properties to provide rental support to affected businesses during the last P2(HA) period, many tenants have provided feedback that not all landlords were forthcoming. To ensure fair burden sharing, the Government is looking to require sharing of rental obligations between the Government, landlords and qualifying tenants. We recognise that there will be landlords who may face genuine hardship, and will take these landlords’ circumstances into consideration. More details will be announced by the Ministry of Law in due course.
Extension of Food Delivery Booster Package
6 To support the F&B sector, Enterprise Singapore (ESG) will reintroduce the Food Delivery Booster Package to defray part of food delivery costs via food delivery platforms and third-party logistics partners for transactions made from 22 July to 18 August 2021. For the use of food delivery platforms, ESG will fund five percentage points of the commission cost charged. ESG will fund 20% of the delivery costs for food delivery orders through third-party logistics partners. Details of the Food Delivery Booster Package can be found on the ESG website.
Continuation of E-Commerce Booster Package
7 ESG will provide grant support for local retailers to get on-board local e-commerce platforms through the E-commerce Booster Package, which was reintroduced on 16 May 2021 and will be available till 16 November 2021. Retailers will receive a one-time 80% support on qualifying costs for the service fees charged by the platforms, capped at $8,000. These platforms include Lazada, Mummy’s Market, Qoo10, Shopee and Zalora. More details can be found on the ESG website.
Credit Support Measures Remain Available
8 Banks and finance companies continue to provide cashflow assistance to borrowers affected by the tightening of restrictions. This is facilitated by the ESG, the Monetary Authority of Singapore and industry support measures that had been recently extended. Lenders will further offer relief and restructuring options for borrowers based on their specific circumstances.
Enhanced COVID-19 Driver Relief Fund for Taxi and Private Hire Car Drivers
9 To support taxi and private hire car drivers, the Government will enhance the COVID-19 Driver Relief Fund (CDRF) from 22 July to end-September 2021. Currently, CDRF provides eligible drivers with $10/vehicle/day for 60 days from July 2021, and $5/vehicle/day for the next 30 days. Under this latest enhancement, eligible drivers will receive an additional $10/vehicle/day from 22 July to 31 August 2021, and an additional $5/vehicle/day in September 2021.
Support for Hawkers and Market Stallholders
10 The Government announced on 16 July 2021 an additional one-month of subsidies for fees for table-cleaning and centralised dishwashing services, and one-month of rental waivers for stallholders in hawker centres and markets managed by the National Environment Agency (NEA) or NEA-appointed operators.
11 To further support hawkers and market stallholders whose livelihoods have been adversely affected, the Government will introduce a new Market and Hawker Centre Relief Fund. All individual stallholders of cooked food and market stalls in centres managed by NEA or NEA-appointed operators will receive a one-off cash assistance of $500 per stallholder. NEA will provide more details shortly.
Extended COVID-19 Recovery Grant-Temporary for Affected Workers
12 To help other workers affected by the tightened measures, the Government will also make the CRG-Temporary (CRG-T) available until 31 August 2021. The CRG-T provides a payout of up to $700 for those who were placed on involuntary no-pay leave, and up to $500 for those who lost at least 50% of their income for at least one month due to tightened safe management measures (since 16 May 2021). Existing CRG-T recipients who continue to require assistance can apply for a second CRG-T support payout.
Conclusion
13 The support package is expected to cost $1.1 billion, and will be funded by reallocation arising from one-off underutilisation due to COVID-19, and fiscal resources set aside earlier in the event of extension of support measures.
Issued by:
Ministry of Finance
Singapore
23 Jul 2021
***
[1] Small and Medium Enterprises and eligible Non-Profit Organisations with an annual revenue not exceeding $100 million, who are tenant-occupiers or owner-occupiers of qualifying commercial properties, will be eligible for rental relief.