Singapore introduces new unemployment support program.

• The city-state's resistance to unemployment support has ended with the implementation of a new scheme, marking a significant policy shift.
• The scheme, designed to aid lower- and middle-income workers, will offer involuntarily unemployed workers up to SG$6,000 ($4,561USD) per month for six months, subject to certain conditions.

Singapore is introducing an unemployment support program for workers who have been terminated or are unable to find work.

Lawrence Wong, the country's prime minister, announced updates on Singapore's economy, education, and housing policies during his National Day Rally speech.

The SkillsFuture Jobseeker Support scheme is designed to assist lower- and middle-income workers and offers up to 6,000 Singapore dollars ($4,561) to involuntarily unemployed workers for six months, subject to certain conditions.

Wong emphasized the importance of investing in training, career coaching, and job matching services for qualifying workers to improve their job prospects.

The city state's decision to implement unemployment insurance represents a significant change in its longstanding policy of resisting such schemes due to concerns that they would lead to citizens choosing welfare over work.

The Ministry of Manpower in Singapore will announce the implementation of a new unemployment benefits scheme "in due course," according to Wong. Currently, there are no unemployment benefits for workers in Singapore.

Under founding prime minister Lee Kuan Yew, Singapore, which separated from Malaysia in 1965, rejected the idea of a welfare state. In 2005, Lee stated that he departed from welfarism because it hindered a people's self-reliance and their drive to succeed.

Goh Chok Tong and Lee Hsien Loong, Lee's successors, did not implement any policies to support unemployment.

In his speech, Wong mentioned that Singaporean officials were researching unemployment policies in other countries to learn about the practice of financially supporting the involuntarily unemployed.

Wong stated that unconditional unemployment insurance in foreign countries has not resulted in positive outcomes, as individuals may prefer to remain unemployed after receiving a generous benefit, making it less appealing for them to return to work. This has caused the government to be cautious about such schemes.

"We searched for an alternative because we wanted to minimize the negative outcomes we have seen elsewhere. Instead of unemployment insurance, we created Workfare, just as we did with welfare. What would be the best way to help in this situation?"

The Singapore government introduced Workfare in 2005 to assist low-income workers by increasing their income and pension fund contributions, provided they maintain employment.

The SkillsFuture Jobseeker Support scheme will support involuntarily unemployed workers, but the worker must also take responsibility for their actions and make an effort to pull themselves up.

The Skillsfuture Jobseeker Support scheme will offer up to 6,000 Singapore dollars ($4,561) for six months to involuntarily unemployed workers.