Dear Members and Friends

In Singapore, the most consequential political speech of each year is that given by the Prime Minister at the National Day Rally (NDR). The speech sets out the government’s key focus areas and plans for policy evolution. It is a marathon undertaking with the Prime Minister making 3 speeches; first in Malay, then in Mandarin and, finally, in English.

Last Sunday’s NDR speech was Prime Minister Wong’s first and his key message was one of optimism for the future founded on a refreshed social compact designed to enable every Singaporean to achieve their full potential. There were plenty of bold announcements all of which will need mindset changes by citizens and by businesses to implement them fully and to maximize their potential, positive impact. Here are those announcements which will impact businesses:-

• With effect from 1 April 2025, 4 weeks paid paternity leave will be mandatory. Businesses will be mandated to grant 4 weeks of government paid paternity leave up from the current 2 mandatory weeks. More fathers need to utilize this benefit. About 53% of fathers do so at present.

• Staying with newborn children, working parents will be entitled to an additional 6 weeks of shared leave from 1 April 2025 and 10 weeks of shared leave from 1 April 2026 on top of existing maternity and paternity leave. This means working mothers will no longer have to give up a maximum of 4 weeks of their maternity leave if they want their husbands to get more involved. The government will pay for the additional shared leave. Businesses have the discretion not to grant leave if requests are made without sufficient notice.

• Up to SGD 6,000 over a maximum of 6 months in support will be extended to help lower and middle income workers who lose their jobs because of retrenchment or companies going out of business. Such workers will need to demonstrate they are seeking new work or are taking training courses. Full details will be announced by the Ministry of Manpower in due course.

• A team led by Deputy Prime Minister Gan Kim Yong is reviewing all business compliance rules and regulations to make sure they are still relevant with the aim of reducing the regulatory and cost burden on businesses.

Boldness is key to enable both creativity and innovation. The Prime Minister’s clarion call is for both to be uppermost in all our minds and in our actions to progress as people, as businesses and as a society. Majulah Singapura!

Yours faithfully
Victor Mills
Chief Executive