Foreign worker levy policy unlikely to change: Teo Ser Luck
SINGAPORE: The Government is unlikely to change its foreign worker levy policy, said Minister of State for Manpower Teo Ser Luck on Monday (Jan 25).
Mr Teo said this in response to the Singapore Business Federation's (SBF) SME Committee's recommendations for Budget 2016, which it said will help firms cope with tough economic times.
The SME Committee's recommendations include holding back planned increases in foreign worker levies, as well as removing the levy for higher-skilled S Pass holders. The committee also asked for the Government's help to lower borrowing costs. Looking further ahead, SBF said a single agency could be set up to help drive SME growth.
Mr Teo said the Government will look at ways to help businesses, but is unlikely to remove the levies on foreign workers.
"We believe that foreign worker levies still play a part and indeed foreign worker levies will continue to be there and the policy will not change," said Mr Teo.
"Nevertheless, we know the situation this year. The economic climate is very challenging for SMEs and we want to see what are the ways we can help them. This is something we are monitoring now," he added.
- CNA/hs