This post was originally published as a press release on 19 February 2022.

Gender-equality organisation AWARE welcomed a range of measures announced yesterday by Finance Minister Lawrence Wong in Singapore’s “Charting Our New Way Forward Together” National Budget.

In particular, the group was pleased to note the increased assistance available to low-wage workers and low-income households. This includes the expansion of the Progressive Wage Model (PWM) to various new sectors, such as cleaners and administrators; changes to the Workfare Income Supplement (WIS) scheme, such as the higher income qualifying cap, extension to a younger cohort (as AWARE had earlier proposed), and new maximum payout for people with disabilities; and enhancements to the Fresh Start Housing Scheme to allow more low-income families to secure stable housing. 

AWARE also welcomed the announced increase in wealth tax, comprising a hike in marginal personal income tax, property tax and luxury vehicle tax. The organisation had in previous Budget submissions recommended greater reliance on wealth tax over other regressive forms of tax, in order to build a more equal society. As such, the one-year delay and gradual raise of GST is a much-needed respite for households still reeling from the ongoing COVID-19 pandemic. 

“We appreciate this suite of policy changes aimed at narrowing the gaps in our society,” said Corinna Lim, AWARE’s Executive Director. “We hope to see these trends in social spending continue in years to come, to benefit even more demographics. For example, the PWM should be expanded into childcare and eldercare sectors as well, so that those workers—many of whom are women—can be assured of a decent wage.”

Lastly, AWARE expressed its support for the announced Taskforce on Mental Health and Well-being, and it hopes that the personnel who form the taskforce are adequately trauma-informed.

In his speech, Minister Wong recalled the 6,000 participants in the government’s Conversations on Singapore Women’s Development, which were carried out last year. He cited enhanced caregiver support and stronger action against workplace discrimination as some of the ideas raised in these discussions. These are highly anticipated measures whose implementation cannot come soon enough for women around the island, noted Ms Lim. 

For example, AWARE’s 2019 research found that caregiving severely impacts the retirement adequacy of family caregivers, majority of whom are female; a significantly lower number of active female CPF members hit the Basic Requirement Sum (BRS) compared to their male counterparts. While the 3.5% increase in BRS over the next five years will benefit a segment of retirees, additional measures—such as annual automatic basic contributions by the state to low-balance individual CPF accounts—would help close this gender retirement gap.

“AWARE has in previous years urged the government to take an explicitly gendered lens when devising the Budget, to more efficiently and strategically offset gender inequalities,” Ms Lim added. “The COVID-19 pandemic, which impacted women in many different ways, has made that focus all the more critical. While we eagerly await the fruits of the government’s Conversations on Singapore Women’s Development, we stress that a gender-centric approach should not be relegated to one White Paper. We also call for Singapore’s social compact to include marginalised women such as migrant spouses and domestic workers, who contribute greatly to our nation.”