Fortitude Budget 2020: Remembering the lost, least and last

A long but happy day for me at Parliament. I spoke up for SMEs and persons with disabilities amongst others. And this was DPM Heng Swee Keat’s gracious response to one of my suggestions:

“..Ms Denise Phua, Ms Yip Pin Xiu and Mr Melvin Yong also called for more support for vulnerable groups, including those with special needs and mental health conditions. I thank Ms Denise Phua for reminding us of my statement that social service agencies are a key partner in our support for our people. And also Ms Denise Phua has made several suggestions, including one to formalise a workstream on employment for People with Disabilities within the National Jobs Council. I have just spoken to Senior Minister Tharman, and in fact both of us welcome her leadership on this, and are glad to support her proposal.”

Here’s part of my speech :

(Credit: ChannelNews Asia)

(Credit: ChannelNews Asia)

ON SMALL AND MEDIUM ENTERPRISES (SMEs)

SMEs form an integral part of Singapore’s economic landscape, embodying the spirit of entrepreneurship of our nation and employing more than 2/3 of the workforce. I applaud the Singapore Government’s and especially MTI’s relentless efforts in supporting them, even before the pandemic.

SMEs with a headstart and stronger tech capabilities are likely to recover faster from the pandemic. The prognosis of the rest will be uncertain.

A survey of 48 merchant associations representing almost 500 merchants was conducted in May 2020 by the Federation of Merchant Association Singapore's heartland enterprises unit. When asked what challenges merchants face in joining the e-commerce wagon, about half of respondents quoted these 2 challenges - one, the lack of internal capabilities to sustain the digitalisation efforts; and two, the cost of implementation and recurring costs. Cost and capabilities, not only during adoption but also sustaining digitalisation efforts remain the top concerns.

Using a simple segmentation based on Willingness to Change and Ability to Change, there appears to be 4 groups of SMEs:

  • Willing and able to change – will benefit most from government schemes including the early adopters and high-potential start-ups. How will we facilitate this group more to help them to scale further; open more doors for and with them?

  • Able but not willing to change – how will we convince and incentivise them so they will come on board?

  • Not able and not willing to change – no choice but to let them exit. How will we help them exit with a softer landing, them being our local SMEs?

  • Willing and not able to change (for various reasons) – this is likely the largest group for which the strategy has to be training and coaching.

It is not enough to simply convert them; there is a need to make them ‘apprentices’ and ‘disciples’ so that more of them can sustain and continue to be successful. Is there some way to invest and handhold them longer and deeper? Pair them with not simply Digitalisation Ambassadors, but Digitalisation Coaches who can equip them with more operational and systemic skills in backend stock management, customer fulfilment, digital marketing skills.

And for those who eventually have to cease operations but nonetheless have the acumen and energy to continue, can there be an equivalent of a 'Professional-Conversion' PLACEMENT Scheme to seize business or job opportunities such as in urban farming, logistics, warehousing, or in healthcare?

ON CHARITIES, SOCIAL SERVICE SECTOR AND THE DISABLED

Like the SMEs in Singapore's economic landscape, many charities and social service agencies form an integral part of Singapore's social service landscape. Their services range from serving the elderly to the young, families, in nursing homes, day activity centres, family service centres, early intervention to special education schools.

I thank DPM Heng for acknowledging the importance of SSAs and charities as "key partners" especially in this period. DPM shared that in the years ahead, a 'stronger social service sector will be even more critical'.

I also thank DPM for including the charities and SSAs in the Fortitude Budget schemes such as the Job Support Scheme. The Enhanced Fundraising Programme to match donations up to $250,000 per charity is appreciated.

I have several suggestions for consideration by Government for this sector and for the communities served by the sector:

  • Raise the cap of $250,000 in the Enhanced Fundraising Programme for larger charities. Large charities run into tens and hundreds of millions of dollars, such as the community hospitals and disability centres. Fundraising provides a substantial top up to Government grants and subsidies. For such a time as now, fundraising is expectedly challenging. It is hence useful to raise the matching amount in order to incentivise more donors to invest now than later or never.

  • Target high-needs areas. There are groups with high support needs which call for more attention and resourcing so that they are not left behind. Some are the more severely disabled groups such as beneficiaries in the autism day activity centres, residential homes such as that run by St Andrew’s Autism Centre, families with rare disorders and multiple disabilities; and lower-income households sandwiched with elderly and younger disabled.

  • Include charities and the social service sector in the transformation masterplan of Singapore. Transformation of a nation is needed, not only in the business sector. Many of the push for digitalisation, innovation and entrepreneurship are relevant to the people sector. The willing amongst them, like the SMEs, require not only digital ambassadors but also digital coaches and partners. Charities with high potential and good track records, should be facilitated and governed with a lighter touch, in order to let them thrive and push the boundaries to greater heights.

  • Include vulnerable groups such as the disabled right at the start of planning in all of the nation’s digitalisation, job and skills upgrading movement, including and not limited to the exciting plans for National Jobs Council, SG-United Jobs and Traineeship and SkillsFuture efforts. Adopt the principles of Universal Design and design for all, right at the start. BCA and MND have done so in the design of buildings and the physical built environment – the same should be applied to initiatives like job protection and skills upgrading.

  • Start a Disability Chapter in the National Jobs Council. It is no secret that jobs are already hard to come by for persons with disabilities during normal times. Commissioned by MSF Minister Desmond Lee, a workgroup led by MOS Sam Tan and I are working on the underlying factors. A report will be published by the end of this year. The COVID-19 outbreak however adds urgency to the challenges faced by the disability community especially in the areas of digitalisation and jobs. I urge DPM Swee Keat and Senior Minister Tharman to set up a chapter in the National Jobs Council for the employability training and employment of the Disabled.

CONCLUSION

The lost, least and last in society. Sir, this battle against the COVID-19 enemy can only be truly won if we include those whom many perceive as the lost, least and the last amongst us.

Don’t give up too easily on those who are willing but not able to change for some reasons – whether they are SMEs, social service agencies, our elderly, our disabled or others who are vulnerable in our Singapore family.

They say it takes a globe to fight this pandemic. We are part of that globe. It starts with each one of us.

Winston Churchill said, “These are not dark days, these are great days.. we must all thank God that we have been allowed, each of us according to our stations to play a part in making these days memorable in the history of our race.”

Our founding father, Mr Lee Kuan Yew (of whom I know DPM Heng is a great fan) , said this during the post-SARS period, “.. in any battle, morale and the spirit of the people will decide the outcome. I never believed we would fail.” Mr Lee Kuan Yew knew it was going to be tough, like climbing up the face of a cliff. But we, like he said, must have the guts and determination to climb the face of the cliff and we WILL climb up the face of the cliff!” With fortitude, I might add.

Sir, we can only be Stronger Together.

I support the Fortitude Budget wholeheartedly.

Denise Phua
5 June 2020