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Written Answer by Minister for Manpower to PQ on extending Household Services Scheme to cleaning businesses that provide non-residential cleaning services

NOTICE PAPER NO. 691 OF 2021 FOR THE SITTING ON 4 OCTOBER 2021

QUESTION NO. 1130 FOR WRITTEN ANSWER

MP: Mr Mohd Fahmi Aliman  

To ask the Minister for Manpower with the formalisation of the Household Services Scheme from 1 September 2021, whether the provision of female workers from India, Myanmar, Sri Lanka, Thailand and Cambodia be similarly extended to cleaning businesses that provide non-residential cleaning services.

Answer

  1. The Household Services Scheme (HSS) allows eligible companies to hire female workers from more countries such as India, Myanmar, Sri Lanka, Thailand and Cambodia. This is a special arrangement to support households in need of domestic cleaning services. 

  2. Allowing these sources at the Work Permit level for other businesses, including non-residential cleaning companies, will need to be carefully studied. Introducing cheaper sources could intensify job competition with locals on the basis of cost and exert downward pressure on wages. COVID-19 has also revealed the risks of over-reliance on lower-wage migrant workers, and it is more sustainable for firms to transform and reduce their manpower reliance instead. Hence, we encourage cleaning firms to instead continue investing in automation to improve their productivity, and re-designing their jobs to better retain and attract local workers. 

  3. Licensed cleaning firms are also covered by the Cleaning Progressive Wage Model (PWM), which provides a clear job and training progression pathway for local cleaners, and helps to grow their wages as they improve their skills and productivity. Most recently, tripartite partners agreed on an upcoming six-year schedule of sustained and meaningful wage increases from 2023 to 2028. This will help increase the Cleaning sector’s attractiveness to locals.