SINGAPORE PUBLIC SECTOR OUTCOMES 2014

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SINGAPORE PUBLIC SECTOR OUTCOMES 2014
SINGAPORE
PUBLIC SECTOR
OUTCOMES
REVIEW          2014
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
About the
Singapore Public
Sector Outcomes
Review (SPOR)

The biennial SPOR takes stock of how
Singapore has fared in key areas of national
interest. It focuses on whole-of-government
outcomes and indicators that reflect the
current and emerging policy concerns and
issues. Coordinated by the Ministry of Finance
with inputs from all Ministries, SPOR provides
a report on the strategies, programmes and
resources that are employed by our public
agencies to achieve these outcomes.

MINISTRY OF FINANCE
Republic of Singapore
August 2014
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
Overview

Singapore has entered a new phase of development, as          We are making significant enhancements in social policy,
a maturing economy and society.                               to build and sustain a fair and equitable society. We are
                                                              providing stronger support for those who start off with
We are focused on achieving quality growth, driven by         less, and investing in diverse and flexible pathways to
innovation and productivity, so as to sustain rising living   enable everyone to earn their own success. Our social
standards for all Singaporeans. While unemployment            safety nets are also being strengthened to help the
remains low and the labour market tight, the necessary        vulnerable. Importantly, as Singapore approaches its 50th
upgrading of productivity continues to be work in progress,   year, special recognition is being given to the Pioneer
with gaps especially in services and construction. We         Generation of Singaporeans who helped bring the
need to press on with economic restructuring, and             country to where it is today.
provide businesses with strong support for initiatives
to boost productivity. Our Continuing Education and           Good and affordable healthcare is a key concern
Training (CET) system is also being strengthened to           on Singaporeans’ minds. The Government will keep
help Singaporeans upgrade their skills and achieve their      healthcare affordable through government subsidies,
career aspirations.                                           Medisave top-ups and the new MediShield Life which will
                                                              be in place from end-2015. In addition, our healthcare
Lower- and middle-income households enjoy significantly       capacity is being significantly expanded. Between now
higher incomes today, after accounting for inflation,         and 2020, one new hospital and polyclinic will open
compared to five years ago. Income inequality has also        every year, on average.
fallen. However, domestic cost pressures and a rising
cost of living remain key challenges going forward.
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
We are strengthening the Central Provident Fund (CPF)      by Singapore. Learning from these incidents, the
system further to help Singaporeans retire with peace      Government will be improving policing capabilities to deal
of mind. In recent years, we introduced more Workfare      with rioting incidents and bolstering our cyber defences.
benefits for lower-income workers and increased the
CPF contribution rates for older workers.                  We will be strengthening National Service (NS), including
                                                           setting up the Singapore Armed Forces (SAF) Volunteer
The housing market is stabilising, following a sharp       Corps where women, Permanent Residents (PRs) and
run-up in prices in recent years. Buyers of Housing &      new citizens can contribute. Beyond our shores, we
Development Board (HDB) flats have also benefitted from    continue to maintain strong ties with our international
a significant increase in flat supply, more choices and    partners. Singapore has been actively participating in
enhanced government grants. Much work lies ahead in the    the G20 and United Nations (UN) forums, and is working
upgrading of existing towns, as well as the enhancement    with its neighbours to establish an ASEAN Community
of the parks, sports facilities, and arts and cultural     by end-2015.
activities that make Singapore a better home for all.
                                                           Good governance is crucial in keeping Singapore a
Public transport remains an area for improvement, amid     dynamic city and inclusive society. The Government must
concerns about the reliability and overcrowding of train   remain effective and maintain the trust of Singaporeans.
services. We are investing heavily to increase capacity    Firm actions have been taken to prosecute errant public
and raise service standards. By 2017, 1,000 new buses      officers, regardless of seniority, and we will not hesitate
will be on the roads, and the Mass Rapid Transit (MRT)     to take further measures to uphold the integrity of our
Downtown Line will be fully operational.                   public institutions. We are also stepping up efforts to
                                                           enhance citizen engagement and improve public service
While crime rates fell to a record 30-year low in 2013,    delivery.
the Little India Riot and cyber attacks on government
websites in end-2013 highlight other risks faced
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
Contents

Chapter 1: A Nation of Opportunity
Quality Growth to Benefit All Singaporeans
   •
   •
       Feature Box: Helping Businesses with Costs and Resources
       Feature Box: Ensuring a Stable Property Market for Sustainable Growth
                                                                                04
Abundant Work and Education Opportunities

Chapter 2: A Caring and Cohesive Society
Singaporeans at the Heart of Population Policies
Assurance of Good and Affordable Healthcare
                                                                                12
   •   Feature Box: MediShield Life: Better Protection. For All. For Life.
Enabling Our Seniors to Enjoy Active and Confident Ageing
A Caring Community
   •   Feature Box: Youth Corps Singapore: A Boost to Youth Volunteerism

Chapter 3: A City to Call Home
Better Public Housing for All
Enhancing Transport and Connectivity
   •   Feature Box: More Responsive Bus Services
                                                                                24
Vibrant Social Spaces for All
   •   Feature Box: Re-igniting the Kampung Spirit: Kampung Admiralty
   •   Feature Box: ActiveSG: Helping Singaporeans Live Better through Sports
A Better Environment for the Present and Future
   •   Feature Box: Stepping Up Measures on Water and Energy Conservation

Chapter 4: A Safe, Secure and Credible Singapore
Protecting our Nation
Maintaining a Safe and Secure Home
   •   Feature Box: Heightening IT Security
                                                                                37
   •   Feature Box: Disruption to Public Order: Little India Riot

Chapter 5: An Effective and Trusted Government
Upholding Good Governance
Enhancing Public Service Delivery
   •   Feature Box: One Public Service: Citizens at the Centre
                                                                                42
Sound and Sustainable Fiscal System
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
01
 A Nation of Opportunity

           Helping Every Child Succeed

   Greater focus on holistic education, emphasising values,
   sports, art and music

   Better career prospects for polytechnic and ITE students
   through stronger industry linkages and apprenticeship

   New applied degree pathways and stronger focus on
   practical application

      Upgrading Skills, Enhancing Incomes

   Economic restructuring for better quality jobs:
   A journey ahead

   A more progressive fiscal system to mitigate inequality

   Stronger push for Continuing Education and Training:
   1 in 3 workers now participate

   Helping Businesses Improve Productivity

   More than 50,000 companies have benefitted from productivity
   support, with more smaller enterprises coming onboard

   40% of employees’ wage increase co-funded by
   Wage Credit Scheme
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
A Nation of / 5
                                                                                                                                 Opportunity

Quality Growth to Benefit All Singaporeans

DESIRED OUTCOMES

•   Sustainable Income Growth
•   Macroeconomic Stability
•   Thriving, Vibrant Enterprise Ecosystem
•   Globally Competitive Workforce

Singapore has made significant shifts in recent years to                       Economic growth picked up in 2013
achieve quality growth, driven by innovation and improved               Real Gross Domestic Product Growth Rate
productivity. This is necessary to enable us to sustain                              (at 2010 prices) (%)
rising incomes for all Singaporeans. It will also allow us to                     15.2
reduce our dependence on foreign workers.
                                                                                             6.1
In support of these efforts, we have tightened foreign worker                                             2.5
                                                                                                                    3.9    3.4
policies in progressive steps since 2010, and introduced              -0.6        15.2
                                                                  00
major incentives for firms to improve productivity.
                                                                        2009      2010       6.1
                                                                                            2011
                                                                                               2012      2013    *2014
Even though Singapore’s economic growth spiked in                                                2.5
                                                                                                          3.9     3.4
2010 due to a strong recovery from the global financial            * Based on advance estimates, up to Jun 2014
                                                                    -0.6
crisis, growth has moderated since then. While the                                        Source: Department of Statistics
external environment has been sluggish, the underlying                  2009      2010      2011      2012         2013   *2014
                                                                         4.3
factors behind slower growth have been the tight labour
                                                                                 Unemployment remained low
market and weak productivity growth. Unemployment has
                                                                                  Resident Unemployment Rate
remained low at less than 3%.
                                                                                   3.1 (annual average) (%)
                                                                                            2.9           2.8       2.8    2.8
                                                                        4.3
In the near future, we expect the global economic outlook
to improve slightly. However, it is essential that we continue
                                                                        2009      2010      2011      2012         2013   *2014
our restructuring efforts to raise productivity in order to
                                                                                   3.1
sustain quality growth. This is fundamentally the only way                                  2.9           2.8       2.8    2.8
that companies can cope with the tight labour market and
rising costs.                                                           2009      11.6
                                                                                  2010      2011      2012         2013   *2014
                                                                   * Refers to seasonally adjusted data for Jun 2014
                                                                   (preliminary)          2.2                             0.9
                                                                 1.8                               Source: Ministry of Manpower
                                                                  0
                                                                                  11.6
                                                                 -3.6
                                                                                                          -1.4     -0.2
                                                                        -3.3
                                                                        2009      2010       2.2
                                                                                            2011      2012         2013   *2014
                                                                                                                           0.9
                                                                                                      -1.4         -0.2
                                                                      -3.3

                                                                        2009      2010      2011      2012         2013   *2014
                                                                                                                 76.4     79.8
                                                                                     75.1
                                                                                                   63.4

                                                                                                                          79.8
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
6 / A Nation of
    Opportunity                                                                       15.2

                                                                                                 6.1
                                                                                                                        3.9    3.4
                                                                                                              2.5
                                                                            -0.6
    Economic Restructuring for Quality Growth                           00

    Recent productivity figures have been weak, due partly                    2009     2010     2011      2012         2013   *2014
    to cyclical factors - in particular the strong employment
    growth in less productive sectors such as construction,
    food services and retail.
                                                                              4.3
    However, there are signs of progress on the ground,
    e.g. mature Small and Medium Enterprise (SME)-
    dominated industries like precision engineering and                                 3.1
                                                                                                2.9           2.8       2.8    2.8
    food manufacturing have undergone retooling and are
    experiencing significant productivity growth.
                                                                              2009   Productivity
                                                                                      2010    2011improvements
                                                                                                      2012     not *2014
                                                                                                            2013
    We also recognise the importance of innovation in                                       yet widespread
    achieving quality growth and have committed $16.1 billion                            Labour Productivity Growth
    in funding under the Research, Innovation and Enterprise                         (based on GDP at 2010 prices) (%)
    (RIE) Plan, over FY11-15. This is a 20% increase over the                          11.6
    earlier five-year national RIE plan from FY06-10, and has
    helped to catalyse business investment in Research &                                        2.2                            0.9
                                                                        1.8
    Development (R&D).                                                  0
                                                                       -3.6
                                                                                                              -1.4     -0.2
                                                                              -3.3
                                                                              2009     2010     2011      2012         2013   *2014
                                                                         * Up to Mar 2014
                                                                                                  Source: Department of Statistics

                                                                                                                     76.4     79.8
                                                                                         75.1
                                                                                                       63.4
        HELPING BUSINESSES WITH COSTS AND RESOURCES
        LABOUR                                                    SPACE       34.6

        The Productivity and Innovation Credit (PIC) helps        JTC Corporation’s
                                                                           2009       new industrial
                                                                                    2010    2011     spaces,
                                                                                                     2012     e.g. Food
                                                                                                              2013
        businesses pay for investments that raise productivity.   Hub, allow businesses in the same industry to share
        Over $1 billion of support has been given so far,         services, thus reducing their costs of operations.
        mostly to SMEs. An enhanced PIC+ scheme was
        introduced in 2014 to provide further help for SMEs.      The supply of multiple-user factory space over the
                                                                  next three years will increase substantially to ease
        The Wage Credit Scheme, introduced in 2013 as part        pressure on industrial rents.
        of a three-year Transition Support Package, co-funds
        employees’ wage increases. This helps businesses          TRANSPORTATION
        to share productivity gains with their employees.
                                                                  Road tax rebates were given in 2013.
        The SME talent programme was launched in 2013
                                                                  A further five-year Certificate of Entitlement (COE)
        to attract young talent to SMEs. So far, close to
                                                                  extension was granted for commercial vehicles for
        400 students have been matched with SMEs for
                                                                  which COEs had been renewed once.
        internships and scholarships.
                                                                  The Early Turnover Scheme was enhanced in 2014
                                                                  to lower the replacement costs of old commercial
                                                                  diesel vehicles.
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
2.5
            -0.6

            2009      2010      2011      2012        2013   *2014

                                                                                                                                                   A Nation of / 7
                                                                                                                                                   Opportunity
             4.3

                       3.1
                                 2.9          2.8      2.8    2.8
Maintaining a Competitive Economy
Singapore
       2009continued
               2010  to rank2012
                     2011    among the world’s
                                 2013  *2014   most
competitive economies:

• Second in the World Economic Forum’s Global
             11.6 Report 2014.
  Competitiveness

• First in the World Bank’s
                     2.2     Ease of Doing
                                         0.9
                                             Business
                                  -0.2
  Report
       -3.32014.           -1.4

Foreign investors maintained their confidence in
Singapore,
        2009with2010
                  inflows
                       2011of foreign
                               2012    direct *2014
                                      2013     investments
reaching a high of $79.8 billion in 2013.

             Investment flows into Singapore stayed firm
                     Foreign Direct Investment ($bil)
                                                    76.4     79.8
                         75.1
                                       63.4

            34.6

             2009       2010           2011         2012     2013
                                Source: Department of Statistics

Maintaining a Stable Cost of Living and                                                              Inflation has moderated
Enhancing Incomes                                                                       Changes in Singapore’s Consumer Price Index (%)
                                                                                                            5.2
                                                                                                                         4.6
Keeping inflation low helps Singaporeans maintain a
quality standard of living. In 2013, government measures
                                                                                                  2.8
to contain price increases in COEs and accommodation                                                                                  2.4
                                                                                                                                             1.7
costs1 led to lower inflation.
                                                                                          0.6
In 2014, inflation is expected to be between 1.5% and
2.5%. Domestic cost pressures, particularly stemming                                     2009     2010      2011         2012     2013      *2014
from a tight labour market, are likely to remain the primary                           * Jan-Jun 2014
source of inflation.                                                                                           Source: Department of Statistics

To facilitate sustainable growth, the Monetary Authority                                                                                    114
                                                                                                                                111
of Singapore (MAS) has maintained a modest, gradual                                                               110
                                                                                                                                            114
appreciation of the Singapore dollar to contain inflation                                             105
                                                                                                                                110
and ensure medium-term price stability.                                                    100                    108
                                                                                                      103
                                                                                           100
                                                                                          2009       2010         2011          2012        2013

                                                                                                                                78.8        78.9
                                                                                                                  78.0
1
    The same trends can be observed if imputed rental (which has no impact on the cash expenditure of 77.0
                                                                                                       most households in Singapore as they already own
    their homes) on owner-occupied accommodation was excluded: inflation fell to 1.9% in 2013 from 3.6% in 2012.
                                                                                          75.6

                                                                                          2009       2010         2011          2012        2013
SINGAPORE PUBLIC SECTOR OUTCOMES 2014
8 / A Nation of
    Opportunity

                                                                                                                        5.2
    Adopting a longer-term and more sustainable approach                                                                             4.6
    to help Singaporeans (especially the lower- and middle-
    income groups) cope with rising costs of living, the                                                  2.8
                                                                                                                                                  2.4
    Government introduced initiatives to help them upgrade                                                                                                1.7
    their skills, obtain good jobs and earn higher incomes.                                     0.6

    Some of these initiatives include:                                                           Incomes
                                                                                               2009   2010have2011
                                                                                                               risen steadily
                                                                                                                      2012 since
                                                                                                                              2013 2009
                                                                                                                                     *2014
                                                                                                Real Monthly Household Income from Work per
    • Enhanced Workfare in 2013 to supplement the                                                Household Member among Citizen Employed
      income and retirement savings of older, lower-wage                                                        Households
      Singaporean workers, and to provide further support                                      Index (2009 = 100)                                        114
      for them to upgrade their skills.                                                                                       110           111
                                                                                                                                                         114
                                                                                                             105
    • The Progressive Wage Model in the cleaning sector                                                                                    110
                                                                                                 100                          108
      to provide a pathway for low-wage cleaners to earn
      higher wages with better skills and productivity.                                                      103
                                                                                                 100

    In 2013, Singaporean workers at the 20 percentile and th                                    2009         2010             2011         2012          2013

    median income levels earned $1,800 and $3,480 per                                                 20th Percentile                                   Median
    month respectively. This is an increase of 6% and 9%                                                                Source: Department of Statistics
    respectively since 2009, after accounting for inflation2.                                                                              78.8          78.9
                                                                                                                              78.0
    The same trend can be seen at the household level.
    Singaporean households, at the 20th percentile and                                                       77.0

    median levels, earned $1,011 and $2,114 respectively per
                                                                                                75.6
    household member in 2013. This is an increase of 14%
    since 2009 for both groups, after accounting for inflation3.
                                                                                                2009         2010             2011         2012          2013

          ENSURING A STABLE PROPERTY MARKET FOR SUSTAINABLE GROWTH
                                                            60.1
                                                                 61.5

                                                                                                                              58.3
          Private residential property prices increased by 62%                      •   Raised taxes57.7on property transactions, e.g.
          from its low point in 2Q2009 to 3Q2013, driven by                             Seller’s Stamp Duty and Additional Buyer’s Stamp
          low interest rates and continued income growth in                             Duty. 51.5
          Singapore.
                                                                                    •   More 2009
                                                                                             land for residential
                                                                                                      2010
                                                                                                                  property
                                                                                                               2011    2012
                                                                                                                           developments.
                                                                                                                                2013
          The Government has introduced several rounds of
          measures to cool demand and expand supply, in                             •   Capped mortgage tenures and reduced loan-to-
          order to moderate the increase in housing prices                              value ratios on property loans.
          and encourage financial prudence among borrowers.
                                                                                    •   A Total Debt Servicing Ratio framework   32.5
                                                                                                                                         for
          These include:
                                                                                        property-related loans from financial institutions.
                                                                                                             29.0                          29.0
                                                                                                27.9
                                                                                                                              26.9

                                                                                                2009         2010             2011         2012          2013

    2
        Based on the Consumer Price Index (CPI) All-Items index, which includes imputed rentals (i.e. not involving actual cash expenditure)
                                                                                                                                   0.478     on owner-occupied
        accommodation.                                                                         0.471        0.472       0.473
                                                                                                                                              0.463
    3
        Based on the CPI All-Items index for the lowest 20% and middle 60% of households respectively.
                                                                                                                                           0.434
                                                                                                0.424       0.427          0.426
                                                                                                                                                        *0.412

                                                                                                2009         2010             2011         2012          2013
A Nation of / 9
                                                                                                                                 Opportunity

Abundant Work and
                5.2Education Opportunities
                      4.6

DESIRED OUTCOMES
          2.8
                                                          2.4
                                                                 1.7
•    Good 0.6
            and Diverse Job Opportunities
•    Lifelong Learning and Employabilty
•    Opportunities
           2009  2010for Every
                         2011  Child
                               2012  to Excel
                                      2013 *2014
•    Holistic Education Centred on Values

                                5.2                             114
                                             4.6    111
                                      110
Our efforts in employment are inclusive and   114 aimed at
                2.8 105
helping all Singaporeans,    particularly lower-skilled and
                                     110 2.4
          100 make progress.108
older workers,                    Overall, employment
                                               1.7      has
remained0.6healthy, 103
                     with more Singaporeans able to find
          100
jobs and join the workforce in the last five years.
              2009       2010     2011     2012                 2013
             2009      2010   2011    2012   2013               *2014
                      More Singaporeans have jobs
              Employment Rate for Citizens aged 25-64 (%)
                                                   78.8         78.9
                                                                114
                                      78.0
                                      110          111
                         77.0                                   114
                         105                                                     Over the next three years, about 40,000 to 45,000 young
                                                   110
              75.6
              100                     108                                        Singaporeans are expected to enter the job market each
                          103                                                    year.
              100
              2009       2010      2011        2012       2013
              2009       2010      2011        2012       2013                   To better support their career aspirations, we have taken
                                  Source: Ministry of Manpower
                                                                                 steps to create a range of meaningful jobs. Examples
                                                                                 include:
                                                                61.5
More Singaporeans have the potential 60.1     to take on
                                             78.9
                                    78.8                                         • Moving existing clusters in the manufacturing sector
specialist, managerial
                   57.7 and    leadership
                            58.3          roles,  with the
                           78.0                                                    up the value chain, supported by R&D to strengthen
education levels of our workforce having improved
                                                                                   capabilities.
significantly over 77.0
                    the past five years. This trend is
          51.5
expected75.6
           to continue, alongside our efforts in education                       • Assisting businesses in the Exportable Services
and lifelong learning.                                                             sector4 to enter new, higher-value clusters that play
              2009    2010    2011      2012    2013
              2009 Education
                      2010 levels
                              2011have improved
                                        2012    2013                               to the strengths of our workforce (e.g. in the area
                                                                                   of infrastructure services, for which there is high
                     Resident Labour Force with at least
                                                                                   demand in Asia).
                     Post-Secondary Qualifications (%)
                                                                61.5             We will develop career pathways, applied learning tracks
                                                   60.1         32.5
                         57.7         58.3                                       and apprenticeship programmes to attract and prepare
                         29.0                      29.0                          Singaporeans to take up these good job opportunities.
              27.9
                                      26.9                                       In addition, the Fair Consideration Framework has been
             51.5
                                                                                 implemented to encourage companies to consider
              2009
              2009       2010
                         2010      2011
                                   2011        2012
                                               2012       2013
                                                          2013
                                                                                 Singaporeans fairly for job opportunities. This, together
                                  Source: Ministry of Manpower                   with the Jobs Bank, will promote a more transparent and
                                                                                 efficient job market.

                                                                32.5

                                    0.473       0.478
              0.471      0.472
4
                          29.0transportation and29.0
    Includes wholesale trade,                               0.463
                                                 storage, and information and communications clusters.
              27.9
                                     26.9
                                                0.434
              0.424      0.427      0.426
                                                           *0.412
              2009        2010       2011        2012       2013

              2009       2010         2011         2012         2013
10 / A Nation of
     Opportunity

     Helping Every Child Succeed                                   linkages and ensuring that they receive work-relevant
                                                                   training. Better education and career guidance will also
                                                                   be provided, to help students make more informed
                                                                   choices.

                                                                   The number of university places will be expanded with
                                                                   the Singapore Institute of Technology (SIT), our fifth
                                                                   autonomous university, as well as through the new
                                                                   publicly-funded full-time degree programmes at UniSIM.
                                                                   There will be a stronger focus on practical application,
                                                                   with new applied degree pathways.

     The 2012 Organisation for Economic Co-operation
     and Development Programme for International
     Student Assessment (OECD-PISA) study revealed that
     Singaporean students excel in thinking flexibly and
     creatively to solve complex and unfamiliar problems.
     These are skills that are valued in the 21st century and
     the Government is taking further steps to ensure that the
     next generation is equipped to take on challenges in an
     increasingly volatile and uncertain world.

     We will focus on holistic education by increasing
     emphasis on values, character and citizenship education.      Lifelong Learning to Enhance Employability
     For example, the Community Involvement Programme
     (CIP) has been reframed as Values-in-Action, to place         Learning does not end with formal education in schools.
     a stronger emphasis on the nurturing of values through        Continuing Education and Training (CET) plays an
     community involvement.                                        important role in helping Singaporeans adapt and stay
                                                                   relevant to changes in our economy. We have made
     In addition, our children will have more exposure to          significant investments in these areas.
     sports, art and music.
                                                                   Training programmes are heavily subsidised to ensure
     Our aim is for each school to be good in its own way, by:     that they are accessible to all Singaporeans. From 2012,
                                                                   we have enhanced training subsidies and absentee
     • Nurturing engaged learners.
                                                                   payroll support for SMEs, to encourage them to send
     • Enabling caring and inspiring educators.                    workers for training.

     • Offering varied programmes that cater to our                We have expanded CET capacity, from 19 centres
       children’s different strengths and interests.               in 2008 to 51 in 2014. Two new CET institutes – the
                                                                   Devan Nair Institute in Jurong and the Lifelong Learning
     • Fostering supportive partnerships with parents and          Institute in Paya Lebar – will open up more spaces for
       the community to achieve the desired outcomes of            Singaporeans to upgrade their skills.
       education for every child.
                                                                   These investments, along with increased outreach
     There will be diverse and flexible pathways for every child   efforts, have raised the proportion of the labour force
     to succeed.                                                   participating in training each year, to a high of 32.5%
                                                                   in 2013.
     We aim to enhance the academic progression and career
     prospects for polytechnic and Institute of Technical          The Government will continue to promote lifelong
     Education (ITE) students, by strengthening industry           learning by injecting a further $500 million into the
75.6
                          77.0
                                                                                               2009          2010       2011        2012       2013
              75.6

              2009        2010       2011       2012        2013
                                                                                                                                               61.5
                                                                                                                                    60.1                A Nation of / 11
                                                                                                                         58.3                           Opportunity
                                                                                                             57.7
                                                            61.5
                                                 60.1
                                     58.3                                                     51.5
                          57.7
Lifelong Learning Endowment Fund, bringing the total                              Lower Income
                                                                                          2009
                                                                                                Inequality
                                                                                                 2010
                                                                                                           through
                                                                                                        2011   2012
                                                                                                                    an                         2013
Fund size51.5
           to $4.6 billion. The Fund aims to make the CET                         Inclusive Approach
system more relevant to the evolving needs of workers
and businesses.                                                                   The Government’s efforts in economic restructuring and
          2009     2010      2011    2012    2013
                                                                                  lifelong learning have contributed to income growth for
                      More workers getting trained                                lower- and middle-income Singaporeans. 32.5
             Overall Training Participation Rate (percentage of
                 Resident Labour Force aged 15-64) (%)                            In addition, we are providing further support for those at
                                                                                                     29.0              29.0
                                                            32.5                  the lower 27.9
                                                                                             end of the income ladder through government
                                                                                                              26.9
                                                                                  transfers. Together with Singapore’s       progressive fiscal
                          29.0                  29.0                              system, we have been able to lower income inequality,
              27.9                                                                as measured
                                                                                            2009 by the Gini coefficient
                                                                                                     2010     2011
                                                                                                                         5
                                                                                                                           .
                                                                                                                        2012     2013
                                     26.9

                                                                                                     Reduced income inequality in 2013
              2009        2010       2011       2012        2013                             Gini Coefficient based on Household Income From
                                                                                             Work (incl Employer CPF) per Household Member
                                   Source: Ministry of Manpower
                                                                                                   among Resident Employed Households
                                                                                                                        0.473      0.478
                                                                                              0.471          0.472
We will also support SMEs through the Enterprise                                                                                              0.463
Training Support scheme, with a total funding of $20
                                   0.478                                                                                           0.434
million to0.471
           be made  available
                 0.472        to companies
                           0.473           from 2013 to                                       0.424          0.427      0.426
                                           0.463
2015. As of December 2013, this scheme has     benefitted                                                                                     *0.412
12,500 local workers from 68 companies,
                                   0.434
                                           of which 71%
are SMEs. 0.424  0.427     0.426                                                               2009          2010       2011        2012       2013
                                                           *0.412
                                                                                              *Preliminary
The Government is reviewing the CET Masterplan on
                                                                                                     before taxes                       after taxes
three fronts:
          2009 2010    2011    2012  2013                                                            and transfers                      and transfers

• Greater emphasis and support for self-initiated                                                                    Source: Department of Statistics

  upgrading.

• More help for companies to integrate CET into
  business strategy and performance management.

• A more responsive CET system to meet the evolving
  needs of growth sectors.

5
    The Gini coefficient has a scale of 0 to 1, where 0 indicates perfect income equality and 1 indicates perfect income inequality. The Gini coefficient after
    accounting for government taxes and transfers has been revised to incorporate improved coverage of government taxes and transfers.
02
 A Caring and Cohesive Society
    Assurance of Good and Affordable Healthcare

       Enhanced subsidies for all and lifelong support for
       Pioneer Generation

       MediShield Life: Better Protection. For All. For Life.

       Growing healthcare capacity and manpower

Helping Singaporeans Retire with Greater Peace of Mind

      Increase in CPF contribution rates for older workers

      More Workfare benefits for lower-income workers

      1% higher Medisave contribution rate by employers

      Resilient Families and a Caring Community

      Stronger support for marriage and parenthood

      Deepening the culture of volunteerism

      20 Social Service Offices by 2015 to provide one-stop
      social assistance
A Caring and     / 13
                                                                                                                                    Cohesive Society

Singaporeans at the Heart of Population Policies

DESIRED OUTCOMES

• Strong Singaporean Core
• Resilient Families and Communities

Our population policies put Singaporeans first, and are            Stable core of Singapore Citizens and
centred on nurturing strong families and communities.                      Permanent Residents
Singapore had the slowest population growth in the last             Composition of Total Population (million)
nine years, following the slowdown in foreign worker       2013                3.31                0.53      1.55          5.40
                                                                                                                                      1.6%
                                                                                                                                     growth
growth and tightening of our immigration policy since
                                                           2012                3.29             0.53         1.49        5.31
late-2009. Most of the foreign worker growth last year
                                                                                                                                      2.1%
was in the construction sector to support infrastructure   2011                3.26             0.53        1.39        5.18
                                                                                                                                     growth
developments.                                              2010                3.23             0.54        1.31        5.08
                                                                                                                                       per
                                                                                                                                      year

Singapore’s resident Total Fertility Rate remains well     2009                3.20            0.53        1.25      4.99*
below the replacement rate. We continue to support             2013         3.31       0.53   1.55  5.40
                                                                                                                                           1.6%
Singaporeans in their aspirations to marry and have        * Numbers may not add up due to rounding                                       growth

children, and will continue to work with community                2012
                                                                 Citizens             3.29
                                                                                             PRs          0.53      1.49     5.31
                                                                                                                           Non-Residents
partners to promote family life.                                 2011                 3.26   Source:0.53
                                                                                                     Department
                                                                                                         1.39  5.18
                                                                                                                of Statistics
                                                                                                                                           2.1%
                                                                                                                          growth
                                                                                                                                           per
                                                                 2010                 3.23                0.54    1.31
                                                                                                                 1.29       5.08           year
                                                            1.22                             1.20                               1.19
                                                                            1.15
                                                                 2009             Fertility
                                                                                    3.20    still 0.53
                                                                                                   too low
                                                                                                        1.25                4.99*
                                                                            Total Fertility Rate (per female)
                                                            2009            2010     2011 Rate2012
                                                                              Replacement     = 2.1                               2013
                                                           2.2

                                                           1.8                                                   17.8              18.0
                                                            16.7            16.2             16.9
                                                                                                                        1.29
                                                           1.4     1.22                            1.20                                 1.19
                                                                                  1.15

                                                                            11.5             11.6                12.1              12.1
                                                           1.0
                                                            11.1
                                                               2009               2010             2011                 2012            2013
                                                                                             Source: Department of Statistics

                                                           2009             2010             2011                201217.8         *201318.0
                                                                   16.7           16.2              16.9

                                                                                                                 84.3              84.6
                                                            83.7            84.0             84.1
                                                                                11.5             11.6                12.1               12.1
                                                                11.1

                                                                  2009            2010                                             80.2
                                                                            79.2             79.52011            79.82012             *2013
                                                            78.9

                                                                                                                                        84.6
                                                           200983.7         201084.0         201184.1            201284.3         2013

                                                             95              94
                                                                                              92                   92
                                                                                                                                   90

                                                                                                                        79.8            80.2
                                                                                  79.2             79.5
                                                                   78.9

                                                                  2009            2010             2011                 2012            2013
14 / A Caring and
     Cohesive Society

     Supporting Marriage and Parenthood                           • Enhanced the quality of early childhood services by
                                                                    improving the curriculum, adopting best practices and
     We have introduced more support for Singaporeans in            enhancing the Singapore Pre-School Accreditation
     their marriage and parenthood journeys:                        Framework (SPARK).
     • Married couples can rent a flat from the Housing &         • Created more structured professional development
       Development Board (HDB) while waiting for their new          pathways for early childhood sector professionals.
       flats to be ready, under the Parenthood Provisional
       Housing Scheme.

     • Engaged couples can apply for a flat in advance
       while they wait to register their marriage (within three
       months of moving into the flat). This scheme has also
       been extended to divorced/widowed persons with
       children.

     • The Parenthood Priority Scheme gives priority
       allocation of direct-purchase HDB flats to first-time
       married couples expecting a child or who have a
       citizen child below the age of 16.

     • The Baby Bonus cash gift has been enhanced to give
       more support to parents.
                                                                  Supporting Resilient Families                                    1.6%
     • Each newborn citizen receives a Medisave grant of                    2013            3.31        0.53    1.55     5.40
                                                                                                                                  growth
       $3,000.                                                    Singaporeans
                                                                           2012 continue
                                                                                       3.29 to enjoy
                                                                                                0.53    strong
                                                                                                      1.49    5.31 family ties. In
                                                                  2013, 94% of respondents to a Ministry of Social    2.1%    and
     • MediShield has been extended to cover congenital                    2011        3.26     0.53 1.39    5.18
                                                                  Family Development (MSF) survey agreed thatgrowth     they have
       and neonatal conditions, to better support children’s      a close-knit
                                                                           2010family. 3.23     0.54 1.31   5.08
                                                                                                                       per
                                                                                                                       year
       healthcare needs.
                                                                            2009            3.20       0.53    1.25    4.99*
                                                                  However, there has been a gradual but steady increase
     To give every child a good start, the Government has         in divorce rates, with about 7,000 divorces and some
     taken significant steps to improve the accessibility,        6,500 children affected by such break-ups every year.
     affordability and quality of early childhood services:       The MSF and the Ministry of Law will introduce a new
                                                                  pre-divorce programme, which highlights to couples
     • Set up the Early Childhood Development Agency.             the importance of prioritising children’s  welfare and the
                                                                                                        1.29
                                                                            1.22
     • Set up about 70 new childcare centres in 2013. We          practical considerations
                                                                                    1.15    of1.20divorce, e.g. housing
                                                                                                                1.19    and
       will have at least 130 more childcare centres by 2017.     care of children.
                                                                            2009          2010      2011          2012          2013
     • Made childcare and kindergarten more affordable                                      Divorce on the rise
       to parents through enhancements to the Child Care                                  Cohort Divorce Rates (%)
                                                                                                                                18.0
       Subsidies and the Kindergarten Fee Assistance                         16.7         16.2      16.9
                                                                                                                  17.8

       Scheme (KiFAS).

                                                                                          11.5      11.6          12.1          12.1
                                                                             11.1
                           Kindergarten Fee
                           Assistance Scheme (KiFAS)
                           Monthly fee assistance:
                                                                            2009          2010      2011          2012          *2013
                              from $108 to $160
                                                                           *Preliminary
                           Qualifying household income:
                              from $3,500 to $6,000                               Before 7th year
                                                                                         84.0
                                                                             83.7of marriage        84.1          Before    th 84.6
                                                                                                                  84.3 20 year
                                                                                                                  of marriage
                                                                                    Source: Department of Statistics, Ministry of
                                                                                               Social and Family Development

                                                                                                                  79.8          80.2
                                                                                          79.2      79.5
                                                                             78.9

                                                                            2009          2010      2011          2012          2013

                                                                             95            94
A Caring and     / 15
                                                                                                                            Cohesive Society

We have devoted $40 million between 2013 and 2016
to support FamilyMatters!, a joint effort among schools,
workplaces, businesses and community partners to
promote family life.

To better support work-life harmony and shared parental
responsibility, the Government introduced one week
of government-paid paternity leave and one week of
government-paid shared parental leave. In addition,
employers who implement work-life strategies for their
employees can tap on the Work-Life Grant.

                                                                       1.6%
         2013          3.31             0.53    1.55         5.40
                                                                      growth
         2012          3.29          0.53       1.49        5.31
                                                                       2.1%
         2011          3.26          0.53      1.39        5.18
                                                                      growth
                                                                        per
         2010          3.23          0.54      1.31        5.08        year
         2009          3.20         0.53       1.25    4.99*
Assurance of Good and Affordable Healthcare

DESIRED OUTCOME

• Assurance of Good and Affordable Healthcare
                                                  1.29
          1.22                    1.20                              1.19
                     1.15

          2009       2010        2011             2012              2013
Singaporeans enjoy good health outcomes, comparable                            Promoting Healthy Living
to developed countries like Japan and South Korea.
This is possible because of established
                                    17.8    public
                                             18.0   health                     The Healthy Living Master Plan was launched in April
           16.7             16.9
infrastructure and 16.2
                    preventive health programmes, high                         2014. It aims to make healthy living natural and effortless
standards of public hygiene, and quality healthcare.                           for Singaporeans, wherever they are:

We continued
          11.1 to make
                   11.5 progress
                              11.6 on the
                                       12.1 “Healthcare
                                                 12.1   2020”                  • At workplaces: Employees can readily access healthier
Masterplan, which aims to improve the accessibility,                             meal options and fitness amenities and programmes,
quality and affordability of healthcare.                                         despite their busy work schedules.
          2009       2010        2011             2012              *2013      • In the community: Residents can readily access
                 Singaporeans are living longer
           Life Expectancy of Residents at Birth (years)                         healthier food options and are presented with visual
                                                  84.3              84.6         cues to encourage physical activity.
          83.7       84.0         84.1

                                                                               • In schools: Oral care is extended to pre-schoolers
                                                                                 and children are provided with whole grains, fruits and
                                                                                 vegetables through the Healthy Meals Programme in
                                                                    80.2
                     79.2         79.5            79.8                           childcare centres and schools.
          78.9

                                                                               In addition, a point-of-sale display ban for tobacco will
          2009       2010        2011             2012              2013       be implemented in 2016.
           95 Male    94
                                                                  Female
                                   92                 92
                                                         90
                              Source: Department of Statistics

          2009       2010        2011             2012              2013

                                                  64.0              64.8

                                  61.2
                     58.7
          56.9
16 / A Caring and
     Cohesive Society

     Improving Healthcare Capacity
                                                                                        End-2013              2020
     and Outcomes
     We are growing our healthcare capacity and manpower              Home              5,400 home        10,000 home
     to better cater to an ageing population. These measures        Healthcare             places            places
     include:
                                                                      Home
                                                                                        1,100 home         7,500 home
     • One new hospital (acute or community) on average              Personal
                                                                                           places             places
       every year, until 2020.                                         Care

     • Six new polyclinics by 2020.                                  Eldercare           2,700 day          6,200 day
                                                                      Centres              places             places
     • Three new Community Health Centres in 2014 to
       support General Practitioners (GPs) with allied health         Nursing
       and nursing services (e.g. eye screening).                                          9,700              17,000
                                                                       Home
                                                                                           beds                beds
                                                                     (Generic)
     • More home and community-based care to help our
       seniors age gracefully at home.
                                                                 We are also supporting caregivers as they care for their
     • Larger intakes of medical and nursing students.           family members at home, with a one-stop call centre and
                                                                 weekend respite services at our eldercare centres.
     • Attracting mid-career professionals and nurses who
       are keen to return to active practice.

     While our healthcare system provides good health            Keeping Healthcare Affordable
     outcomes, we will continue to work on our service
     standards, particularly in primary care, community-based    Singapore’s spending on healthcare is about 4% of GDP.
     and home care. We will better integrate health and social   This is lower than many developed countries, mainly
     care services, and promote enhanced standards to            because of our relatively young population and high
     improve the quality of care in the long-term care sector.   GDP. However, Singapore’s population is ageing and
                                                                 economic growth may not be as high as before. The
     We are implementing measures to enable our seniors to       Government’s share of national health expenditure is
     age-in-place gracefully when they become frail. Capacity    expected to rise from one-third in 2012 to 40% or more
     in long-term care services is being expanded.               in the future.

                                                                 The 3Ms (Medisave, MediShield and MediFund)
                                                                 framework and government subsidies help Singaporeans
                                                                 pay for healthcare. There are broad-based subsidies
                                                                 across all healthcare settings, ranging from primary
                                                                 care and inpatient hospitalisation to specialist outpatient
                                                                 care and long-term care. After subsidies, the 3Ms help
                                                                 individuals pay for their share of the bill. On average,
                                                                 individuals only need to pay cash for less than 10% of a
                                                                 subsidised hospital bill, after Medisave and MediShield.
11.5      11.6       12.1       12.1
         11.1

         2009     2010       2011      2012       *2013

                                        84.3       84.6                                                 A Caring and     / 17
         83.7      84.0      84.1
                                                                                                        Cohesive Society

                                        79.8       80.2
                              79.5
         Medisave
         78.9       and MediShield
                   79.2               pay for most of       We are also improving our healthcare financing
              hospital bills but less than before           framework:
           Average Coverage of Class B2/C Bills by
         2009     2010     2011       2012       2013
                Medisave and MediShield (%)                 • Expanding the Community Health Assist Scheme
          95        94                                        (CHAS) so that more Singaporeans can have
                              92         92
                                                    90        subsidised care at over 1,000 participating GP and
                                                              dental clinics.

                                                            • Enhancing subsidies at Specialist Outpatient Clinics
                                                              (SOCs) in our public hospitals for lower- to middle-
                                                              income Singaporeans.
         2009     2010       2011      2012       2013
                    Source: Central Provident Fund Board    • Expanding the use of Medisave to more categories
                                        64.0       64.8       of outpatient treatment, e.g. more vaccinations and
                             61.2                             chronic conditions. From the first half of 2015, a new
However, our seniors
                   58.7  may not have enough in their         Flexi-Medisave scheme will allow seniors aged 65
          56.9
Medisave accounts for their healthcare needs after            and above to use up to $200 per year for outpatient
retirement. They may not have been able to accumulate         medical treatment at public sector SOCs, polyclinics
enough in Medisave, since the scheme was only                 and CHAS clinics. From 1Q2015, all Singaporeans
introduced  in 1984.
         2009        To boost
                   2010    2011their Medisave
                                     2012     savings, we
                                            2013              can also tap on Medisave for outpatient scans, up to
introduced the following:                                     $300 per year.
                                        48.7       49.4

• The Goods and Services45.0 Tax (GST) Voucher –
  Medisave scheme was introduced in 2012 to provide
                 40.7
  most elderly Singaporeans with an annual top-up of        Pioneer Generation Package
       37.5
  between $150-450 to their CPF Medisave account.
                                                            To recognise the contributions of the special cohort of
• All Singaporeans
         2009    2010aged2011
                            55 and2012
                                    above 2013
                                          in 2014 and       seniors who built Singapore, the Government introduced
  who do not enjoy Pioneer Generation benefits will         the Pioneer Generation Package which has three key
                                          32.3
  receive a Medisave top-up of $100-200 per year,           healthcare components:
  over the next five years.       23.3                      • Outpatient care subsidies.
For employees,
         15.2  the  CPF employer
                 15.5    16.9    contribution rate will
                                                            • Annual Medisave top-ups.
be increased by 1%-point from 2015, allocated to their
Medisave account.                                           • MediShield Life premiums subsidies.
         2004     2006       2008      2010       2012
                                                            These benefits are not means-tested and are valid for
                                       1,031                life. In 2014, the Government has set aside $8 billion to
                                                   970
                                                            fund the package.
                             896

                   776
          687
                                        0.29
         0.25                0.26                  0.26
                   0.24

         2009     2010       2011      2012       2013

                                                  15,574
                                       13,578

                            10,688
         8,405    7,656

         2009     2010       2011      2012       2013
18 / A Caring and
     Cohesive Society

                        Source: Ministry of Health
A Caring and     / 19
                                                                                                        Cohesive Society

         MEDISHIELD LIFE: BETTER PROTECTION. FOR ALL. FOR LIFE.

From end-2015, MediShield will be enhanced to                 Limits can continue to fully cover MediShield Life
become MediShield Life.                                       premiums. The additional 1%-point in employer
                                                              Medisave contribution from 2015 will also be
•   BETTER PROTECTION. Coverage under                         sufficient to cover the increases in premiums for
    MediShield Life will be significantly enhanced,           most households.
    with higher claim limits and lower co-insurance
    rates. This will provide Singaporeans with greater     In addition, the Government has committed close
    assurance and protection against large hospital        to $4 billion over the next five years in premium
    bills, as MediShield Life will pay more and patients   subsidies and other forms of support. These include
    pay less.                                              bearing the bulk of the cost of bringing in those with
                                                           pre-existing conditions, as well as:
    MediShield Life will reduce out-of-pocket
    payments. Today, only one in 10 subsidised Class
    B2/C patients with bills exceeding $10,000* pay
    less than $3,000 in cash or Medisave. In future,                          Pioneer Generation subsidies.
    with MediShield Life, the number will increase to
    six in 10.

                                                                              Premium subsidies for lower- to
                                                                              middle-income households.

        MEDISHIELD                   MEDISHIELD LIFE                          Additional premium support on
                                                                              a case-by-case basis for the
    *2 in 100 subsidised Class B2/C bills exceed $10,000                      needy.
•   FOR ALL, FOR LIFE. With MediShield Life
    providing universal coverage, all Singapore
    Citizens and Permanent Residents will be able to                          Transitional subsidies for the
    benefit even if they have pre-existing conditions.                        first four years for all Singapore
    They will also have greater peace of mind with                            Citizens, regardless of
    lifetime coverage.                                                        income, to ease the shift from
                                                                              MediShield to MediShield Life.
•   AFFORDABLE PREMIUMS. To fund better
    benefits, premiums will have to increase. However,
    MOH will ensure that Medisave Withdrawal
2012         3.29        0.53    1.49      5.31
                                                                     2.1%
                2011         3.26       0.53    1.39      5.18
                                                                    growth
                                                                      per
                2010         3.23       0.54    1.31    5.08         year
                2009         3.20       0.53    1.25    4.99*

20 / A Caring and
     Cohesive Society

                                                   1.29
                 1.22                 1.20                        1.19
                           1.15
     Enabling Our Seniors to Enjoy Active and Confident Ageing
                2009      2010       2011          2012           2013
     DESIRED OUTCOME

     • Active 16.7
               and Confident 16.9
                             Ageing 17.8                          18.0
                           16.2

                           11.5       11.6         12.1           12.1
                 11.1
     Keeping Our Seniors Healthy and Active                                  • The Retirement and Re-employment Act helps
                                                                               workers to remain employed beyond the retirement
     The National Wellness Programme has been                                  age of 62, for at least another three years to 65.
     implemented
              2009 in all2010
                          87 constituencies
                                  2011      2012and touched
                                                      *2013     more
     than 340,000 seniors. As part of this programme, seniors                The Tripartite Committee on Employability of Older
     are encouraged to stay healthy by participating   84.6
                                                            in health        Workers has been reconvened to undertake five broad
                                             84.3
                           fitness 84.1
                physical84.0
     screening,83.7                activities, interest groups and           thrusts in helping our older workers:
     volunteerism.
                                                                             • Improve workplace practices and support.
     We have also embarked on the City for All Ages project
     in 16 constituencies, seeking                                           • Raise productivity and skills of older workers.
                               79.5 to understand
                                        79.8    80.2the needs
                        79.2
     of seniors78.9in their communities and implementing                     • Shape positive perceptions of older workers.
     programmes to address these needs.
                2009      2010       2011          2012           2013       • Enhance employment facilitation.
                  95       94
                         92
     Helping Older Workers  Stay 92
                                 Gainfully
                                       90
                                                                             • Improve retirement planning.
     Employed
     With Singaporeans living longer and healthier, many of
     our seniors are able and want to continue working.
                2009     2010
                 More older       2011
                            Singaporeans  2012
                                         can       2013
                                             find work
                 Employment Rate for Citizens aged 55-64 (%)
                                                   64.0           64.8
                                      61.2
                           58.7
                 56.9

                2009      2010       2011          2012           2013
                                    Source: Ministry of Manpower
                                                            49.4
                                                   48.7

                                     45.0
     We have enhanced  40.7
                           our support to help older citizens                Ensuring Retirement Adequacy
     remain gainfully
              37.5
                      employed. For example:
                                                                             Singaporeans are fortunately living longer. This also means
     • The Workfare Income Supplement (WIS) scheme was                       that we have to save more to take care of basic needs
              2009 in 2013,
       enhanced        2010 with
                              2011
                                 a more2012    2013 eligibility
                                          generous                           in retirement. The Government will continue to improve
       criteria and higher payouts, to encourage workers to                  the CPF system to help Singaporeans achieve this.
                                               32.3
       stay employed.
                                                                             To boost retirement savings, we have made some
                                                   23.3
     • Employers will receive a one-time Special Employment                  improvements in recent years:
                                16.9
       Credit 15.2
              (SEC) enhancement
                       15.5          in 2015, to help cope with
                                                                             • Lifelong Medisave top-ups for the Pioneer Generation
       the costs arising from the increase in CPF contribution
                                                                               (elaborated in the previous section on Pioneer
       rates for older workers announced at Budget 2014.
                2004      2006       2008          2010           2012         Generation Package).

                                                   1,031
                                                                  970
                                      896

                           776
2009      2010      2011       2012      2013

                                                                                                                 A Caring and
                                                                                                                 64.8             / 21
                                                                                                      64.0
                                                                                                                 Cohesive Society
                                                                                           61.2
                                                                                 58.7
                                                                        56.9

• Increase in CPF contribution rates for older workers.                   More attained the CPF Minimum Sum
                                                                       Active
                                                                       2009 CPF2010
                                                                                  Members 2011
                                                                                           who are Able
                                                                                                    2012to Meet2013
                                                                                                                the
• More Workfare benefits for lower-income workers.                    Minimum Sum in Cash and Property at age 55 (%)
                                                                                                      48.7       49.4
• Medisave contribution rate by employers will be                                          45.0
  raised by 1%-point by 2015.
                                                                                 40.7

We also plan to further strengthen the CPF system and                   37.5

help Singaporeans retire with greater peace of mind:
                                                                       2009      2010      2011       2012      2013
• Enhance CPF LIFE to help retiree households cope
                                                                                  Source: Central Provident Fund Board
  better with the cost of living.                                                                                32.3

• Provide greater support in retirement for the lower-                                                23.3
  income groups.                                                                           16.9
                                                                        15.2     15.5

• Help HDB flat-owners to get a stream of money in
  their retirement based on the value of their flats.                  2004      2006      2008       2010      2012

                                                                                                      1,031
                                                                                                                 970
                                                                                           896

                                                                                  776
                                                                        687
                                                                                                      0.29
A Caring Community                                                      0.25     0.24
                                                                                           0.26                  0.26

                                                                       2009      2010      2011       2012      2013
DESIRED OUTCOMES
                                                                                                                15,574
•   Support for the Vulnerable                                                                       13,578

•   Accessible, Citizen-centric Social Services                                           10,688
                                                                       8,405
•   Harmonious and Gracious Society                                              7,656

•   Active and Caring Citizenry

                                                                       2009      2010      2011       2012      2013
The Government recognises the importance of forging a           We are also developing a Community Dispute
gracious and cohesive society. Since 2013, the Singapore        Management Framework to better manage community
Kindness Movement has increased its engagement with             disputes among neighbours and to improve
groups that champion kindness and community bonding.            neighbourliness.

Through the National Integration Council, we have also
worked with partners in the private and people sectors
to foster greater integration of foreigners and new
immigrants. A series of handbooks has been published to
help newcomers understand and adapt to our way of life.
In addition, the Singapore Citizenship Journey is being
enhanced so that new citizens can better appreciate the
significance of becoming Singaporean.

To promote greater neighbourliness, the People’s
Association (PA) is piloting a series of “chit-chat sessions”
to bring local and new residents together to network and
bond on a more personal basis.
37.5

                                                                              2009       2010      2011         2012      2013
                2009      2010        2011       2012       2013
                                                                                                                           32.3

                                                 64.0        64.8
22 / A Caring and
                                                                                                                23.3
     Cohesive Society                 61.2
                           58.7                                                                     16.9
                 56.9                                                         15.2       15.5

                                                                              2004       2006      2008         2010      2012
     Encouraging
           2009
                 Volunteerism
                  2010  2011                     2012       2013
                                                                              Culture of giving nascent but taking root
                                                                                       Charitable Giving to IPCs
     Our national volunteerism rate has48.7risen steadily
                                                  49.4    from                                                  1,031
                                                                                                                           970
     15.2% in 2004 to 32.3% in 2012. It is heartening to note
                                45.0                                                                896
     that people are getting more involved in causes they care
     about and helping40.7those in need, reflecting a positive                           776

     community   spirit.
               37.5                                                           687
                                                                                                                0.29
                                                                              0.25                  0.26                   0.26
                2009       More are 2011
                          2010       volunteering
                                               2012         2013                         0.24
                        National Volunteerism Rate (%)                        2009       2010      2011         2012      2013
                                                             32.3
                                                                                  Amount ($ mil)           Percentage of GDP (%)
                                                                                                                          15,574
                                                 23.3                          Source: Ministry of Culture, Community
                                                                                                               13,578 and Youth

                                      16.9                                                         10,688
                 15.2      15.5
                                                                              8,405     7,656

                2004      2006        2008       2010       2012     Enhancing Social Service Support
                  Source: National Volunteer & Philanthropy Centre
                                                                     We are strengthening social service delivery to ensure
                                                 1,031
                                                             970
                                                                     that Singaporeans
                                                                              2009      receive2011
                                                                                      2010      help when
                                                                                                      2012 they2013
                                                                                                                need it. For
     We aim to sustain this encouraging
                               896      trend:                       instance, the Government will:

     • The Government  776   is working with the National            • Set up a network of about 20 Social Service Offices by
       Volunteer & Philanthropy Centre (NVPC) to develop a
              687                                                      end-2015, to coordinate and bring social assistance
       Volunteer Management 0.26          0.29
                                 Consultants   initiative, to help     closer to residents in each neighbourhood.
              0.25                                  0.26
                       0.24
       charities sustain  volunteer involvement.
                2009      2010        2011       2012       2013
                                                                     • Introduce a new scheme to groom and develop social
     • The Caring Assistance for Neighbour programme                   service leaders, to be launched by end-2014.
       was launched in collaboration with the15,574 Agency for
                                      13,578                         • Expand and enhance programmes to develop social
       Integrated Care. Under this new initiative, seniors who
                             10,688                                    service professionals.
       are still mobile make regular visits to other seniors,
             8,405
       befriending them and reminding them to take their
                       7,656
                                                                     • Implement an integrated case management system
       medication.                                                     and database Social Service Net in 2015, to facilitate
                                                                       information sharing among social service agencies
     • The Social Enterprise Mentoring Programme helps
                                                                       and to provide timely assistance to beneficiaries.
       corporations offer coaching support to social
             2009      2010    2011   2012     2013
       enterprises, in areas such as marketing and business
       development.

     • The Community Development Councils encourage
       community ownership by involving employees
       from corporate and community partners as well as
       students in their volunteering programmes.

     Donations to Institutions of a Public Character (IPCs)
     dropped slightly in 2013. We will continue to work with
     partners like NVPC to champion a strong giving culture
     in Singapore. The Government has set aside $250
     million in matching grants to support the Care & Share
     Movement, which go towards helping voluntary welfare
     organisations raise capabilities, expand capacity and
     provide social service programmes to serve needy and
     less fortunate Singaporeans.
56.9

         2009      2010       2011       2012       2013

                                          48.7       49.4
                                                                                                          A Caring and     / 23
                              45.0                                                                        Cohesive Society
                   40.7
         37.5

         2009      2010       2011       2012       2013

   YOUTH CORPS SINGAPORE:32.3
                           A BOOST TO YOUTH VOLUNTEERISM
   We launched the Youth Corps Singapore,
                                  23.3    which had           them make sustained and meaningful contributions
   its pilot intake in June 2014.
                             16.9
                                                              to society.
         15.2      15.5

   The Youth Corps matches youth volunteers with              With these efforts, we hope to empower our youths
   critical2004
             needs2006
                    in the2008
                            community
                                   2010
                                          and
                                            2012
                                                facilitates   to remain engaged in the community beyond their
   ground-up youth initiatives. It also trains youths in      school years.
   service-learning and other essential skills, to help
                                         1,031
                                                     970
                               896

                   776
The number of low-income         households helped under      Empowering Persons with Disabilities
ComCare 687
          has increased over the years, with a range of
assistance tailored to individual     0.29
                             0.26 circumstances.
                                             0.26
                                                              The Enabling Masterplan 2012-2016 aims to address
         0.25      0.24                                       the needs of persons with disabilities at each stage of
         2009       More receiving
                  2010     2011     help
                                      2012    2013            their lives. Initiatives include:
        Number of Households Assisted under ComCare
                                                    15,574    • Higher subsidies for the Early Intervention Programme
                                        13,578
                                                                for Infants and Children (EIPIC) for lower- to middle-
                             10,688                             income families.
         8,405     7,656
                                                              • More places in Day Activity Centres by end-2014, to
                                                                provide care and skills training for adults with higher
                                                                care needs.
         2009      2010       2011       2012       2013      • New transport subsidies for persons with disabilities
         Source: Ministry of Social and Family Development      since July 2014, to ease the costs for them to attend
                                                                school, work and care services.

To reach out to a wider group of needy residents, the
MSF has continued to make enhancements to ComCare:

• The household income criterion for short-to-medium-
  term assistance was increased from $1,700 to $1,900
  per month and the per capita income criterion from
  $550 to $650 per month.

• The criteria for long-term assistance (also known as
  Public Assistance) were widened to cover more needy
  elderly. Additional help was also provided for medical
  essentials such as adult diapers and commodes.
03
 A City to Call Home

           Better Public Housing for All

   Ramped up supply, with 77,000 new flats launched
   since 2011

   Improved affordability with stable BTO flat prices and easing
   of private property prices

            Improving Public Transport
                                                  Customer Satisfaction
   Fixing train breakdowns and stepping up        Survey for Public
   maintenance                                    Transportation System

                                                     93.8%     88.5%
   83 new trains from 2014; Downtown Line
   fully operational by 2017

   1,000 new buses by 2017; bus industry
   restructuring for long-term responsiveness
                                                     2009          2013

            More Vibrant Social Spaces

   Free admission to museums for all Singaporeans

   More parks and sports facilities within 10-min walk from home
   by 2030

   25 community arts and cultural nodes across Singapore
   by 2025
A City to / 25
                                                                                                                                                         Call Home

Better Public Housing for All

DESIRED OUTCOMES

• Affordable Homes                                                                          90.4                      90.1        91.7         91.8
                                                                                                         88.8
• Quality Living Environment

Our public housing programme gives Singaporeans                                                         HDB flats kept affordable
a stake in the nation and provides different groups of                                      2009 Weighted
                                                                                                       2010Average    Debt Servicing
                                                                                                                   2011       2012 Ratio2013
Singaporeans with quality and affordable homes.                                                (DSR) for First-timer Applicants Buying New
                                                                                                    Flats in Non-mature Estates (%)
Buyers of new Housing & Development Board (HDB) flats                                                   22
                                                                                                                     24         24       24
                                                                                             21
have benefitted from a significant ramp-up in flat supply,
stable prices that have been delinked from fluctuations in
the resale market and new government grants.

Prices in the HDB resale and private housing markets
have risen significantly in recent years. To moderate price
pressures, the Government has ramped up new flat supply                                     2009        2010         2011         2012         2013
and introduced several rounds of cooling measures to                                                        Source: Housing & Development Board
restore balance to the market6. In 2013, HDB resale prices                                 *The DSR refers to the proportion of the monthly
fell for the first time in eight years and continued to soften                             household income set aside for housing instalments.
                                                                                           It93.8
                                                                                              is derived based
                                                                                                          92.2 on the median monthly household
in the first half of 2014.
                                                                                           income of first-timer applicants
                                                                                                                      90.3 and the selling price of
                                                                                                                                  88.8
                                                                                           new flats offered in the respective years.           88.5
                                                                                                                                      It is calculated
                     Home ownership remains high                                           based on a 30-year HDB concessionary loan before
                    Home Ownership among Resident                                          2013 and a 25-year HDB concessionary loan for 2013
                                                                                           (the maximum loan tenure was revised in Aug 2013),
                         HDB Households (%)
                                                                                           factoring in the various housing grants. Data is for non-
            90.4               90.1      91.7     91.8                                     mature estates, which form the majority of HDB’s new
                      88.8                                                                   2009
                                                                                           flat supply. 2010          2011        2012          2013

                                                                                                                      2.0
                                                                                             1.7         1.8                       1.7
                                                                                                                                                1.3
            2009        2010        2011        2012        2013
                                  Source: Department of Statistics

                                      24          24          24
             21           22                                                                2009        2010         2011         2012         2013

                                                                                                                                            76.2%
                                                                                                                                          71.2%
6
    For more information on the cooling measures, please refer to the feature box in Chapter 1 on “Ensuring a Stable Property market for Sustainable Growth”.
            2009        2010        2011        2012        2013
                                                                                                                                             79.2%
                                                                                                                                             77.5%

            93.8
                        92.2
26 / A City to
     Call Home

           MEETING THE NEEDS                                              To ensure a high quality living environment and public
                                                                          housing, we are:

          OF DIFFERENT GROUPS                                             • Developing three new housing areas: Punggol
                                                                            Matilda, Tampines North and Bidadari, with facilities
                                                                            that help Singaporeans fulfil their lifestyle and housing
                 INCOME                                                     aspirations.
                 CEILINGS
                                                                          • Rolling out improvement and renewal programmes for
                                                                            existing towns (e.g. Remaking Our Heartland projects,
                                                                            Home Improvement Programme, Enhancement for
                                                                            Active Seniors Programme, Neighbourhood Renewal
                                                                            Programme, Car Park Lift Installation Programme,
                                            Helping young                   and Selective En bloc Redevelopment Scheme).
          Raised income                     families with the
          ceilings for HDB                  new Parenthood
          flats and Executive               Priority Scheme and
          Condominiums                      Parenthood Provisional
                                            Housing Scheme

                                            Helping the
          Helping singles                   elderly with the
          by allowing them to buy           Studio Apartment Priority
          two-room BTO flats in             Scheme, Silver Housing
          non-mature estates                Bonus and Enhanced
                                            Lease Buyback Scheme

                       Helping vulnerable families with
                       10,000 more public rental flats in the pipeline,
                       Assistance Scheme for Second-Timers
                       (Divorced/Widowed Parents) (ASSIST) to
                       help divorced and widowed parents with
                       young children secure 2-/3-room BTO flats in
                       non-mature estates, and shorter three-year
                       time bar for divorced couples

                     Supporting
               multi-generation
             families by introducing
            the new Three-Generation
            flat that is purpose-built to
          meet their needs and lifestyle
A City to / 27
                                                                                Call Home

    What's coming up next?
    Stronger Support for All
     Changes to how we buy and sell HDB flats
     to reduce focus on COV

     More housing support for elderly, vulnerable
     & extended families

     Study on reverse mortgage and Lease Buyback

     Per-minute charging for motorcycles
     at EPS car parks

     parking at all HDB/URA car parks

Making Every Town A Better Town
     1,500 BTO flats, including 50 3Gen flats,
     to be launched in Tampines North

     3 more towns to be rejuvenated under
     Remaking our Heartland

     another 200 more in 2015

     35,000 households to benefit from Home
     Improvement Programme yearly, up from 28,000

     14 new projects under Neighbourhood Renewal
     Programme to enhance living environment in HDB estates

     EASE reviewed to lower age criterion and additional items

                Green City
     in Marina Bay in the pipeline

     natural environment, heritage & charm

                                     Source: Ministry of National Development
28 / A City to
     Call Home

     Enhancing Transport and Connectivity
           90.4                        90.1       91.7        91.8
     DESIRED   OUTCOMES
                  88.8

     • Good Connectivity, Quality Infrastructure
     • Reliable and Convenient Transport System

                 2009       2010       2011       2012        2013

     Daily public
              90.4 transport  usage
                                 90.1 continues
                                          91.7  to91.8
                                                    grow, with         To further improve the reliability of trains, the Government
                       88.8
     the share of people taking 24public transport
                                           24      during
                                                   24     peak         is working closely with public transport operators to
                        22
               21 from 63%
     hours rising            in 2012 to 64% in 2013.                   replace the older parts of the Mass Rapid Transit (MRT)
                                                                       infrastructure like old rail sleepers. Maintenance has
     Singaporeans’ satisfaction with public transport,                 also been stepped up. This is starting to bear fruit. Train
     however, has dipped to its lowest in five years, primarily        withdrawals across all three MRT lines were reduced by
     due to concerns about reliability and overcrowding of             25% or more in 2013, compared with 2012. Delays were
     train services.
              2009   2010     2011      2012     2013                  also less frequent (see graph) – the number of train delays
                 2009      2010        2011       2012        2013     longer than five minutes fell by 20% in 2013 from 2012.
                      Public transport users less satisfied
                                        24         24          24
                  21 Customer22 Satisfaction Survey for Public
                            Transportation System (%)
                 93.8
                            92.2
                                       90.3
                                                  88.8        88.5

                 2009       2010       2011       2012        2013

                 2009       2010       2011       2012        2013
                                    Source: Land Transport Authority
                 93.8
                            92.2
                               2.0     90.3
     While delays
              1.7  have
                      1.8 become less frequent,
                                      88.8
                                       1.7        disruptions
                                                88.5
     lasting more than an hour occurred on average
                                                 1.3    once
     every 2.4 months in 2013, compared to once every three
     months in 2012.
                 2009       2010      2011       2012        2013
                     Trains crowded but more reliable now
                 2009       2010      2011       2012        2013
                       No. of Delays more than 5 Minutes per
                      100,000 Train-km on MRT/LRT Network
                                       2.0
                  1.7        1.8                  1.7     76.2%
                                                              1.3
                                                        71.2%

                                                            79.2%
                                                           77.5%
                 2009       2010       2011       2012       2013
                                    Source: Land Transport Authority

                                                           76.2%
                                              83.8        71.2%
                                                            81.4
                                74.8
                  69.9                                     79.2%
                                                            78.4
                                              78.0
                                                           77.5%
                                68.0
                  61.0

                  2003          2006          2009          2013
                                              83.8
                                                             81.4
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