Government-funded caregiving leave can help level the playing field for SMEs as employers

THE labour movement’s recent suggestion of statutory paid caregiving leave would be an important step in improving worker welfare and should be taken seriously, as Singapore’s rapidly ageing population means that employees’ caregiving responsibilities will only rise.

Unsurprisingly, however, employers have seemed resistant to the idea. Few would disagree with the benefits of paid family leave for employees. Yet making such leave mandatory, without financial support from the government, would add to business costs in an already tough environment.

In recent years, most companies have already had to deal with elevated inflation and rising interest rates that have driven operating costs higher. In addition, having to give employees additional days off would be a further operational constraint amid an already tight manpower situation.