$1.1 Billion COVID-19 Relief Package for Firms and Workers Announced
Source: The Straits Times
Last Friday, 23 July 2021, the Ministry of Finance (MOF) announced a $1.1 billion support package to help cushion the impact of phase 2 (heightened alert) measures on businesses and workers.
Here are the main components of the support package:
1. Enhanced Job Support Scheme (JSS)
The JSS will be enhanced for affected sectors during the phase 2 (heightened alert) period between 22 July to 18 August.
Wage support will be increased to 60% for sectors that have been required to suspend the majority or all of their activities due to the tightened measures. These include food and beverage (F&B) businesses, gyms, fitness studios, etc.
For sectors that are significantly affected by the measures, support will be increased to 40%. Some of the sectors include personal care services, retail, tourist attractions, hotels, cruise and ferry operators, MICE organizers, travel agencies, and entertainment centres.
From 19 to 31 August, the JSS will be reduced to 10%.
2. Rental relief
As reported by the Straits Times, “tenants of government-owned commercial properties will get an additional four-week rental waiver and qualifying tenant-occupiers and owner-occupiers of privately-owned commercial properties will get an additional two-week rental relief cash pay-out under the Rental Support Scheme”.
Finance Minister Lawrence Wong announced in parliament on Monday, 26 July, that commercial landlords will now be required to match the two-week rental support provided by the Government to tenants during phase 2 (heightened alert) that lasts till 18 August.
3. Extension of e-commerce and food delivery booster packages
As the F&B sector has been affected by tighter measures, the Food Delivery Booster Package will be reintroduced by Enterprise Singapore (ESG) to defray part of food delivery costs via food delivery platforms and third-party logistics partners transactions made from 22 July to 18 August.
ESG will fund 5% of the commission cost charged and 20% of the delivery cost for food delivery orders made through food delivery platforms and other third-party logistics partners.
Local retailers will also be provided grant support through the extension of the E-commerce Booster Package, to get on board local e-commerce platforms. This will be available till 16 November.
Retailers can also get a one-time 80% support on qualifying costs of service fees (capped at $8,000) that are charged by platforms such as Lazada, Qoo10 and Shopee.