More than 169,000 employers will receive a total of S$356 million in Temporary Employment Credit (TEC) payments for the period of January to June, the Ministry of Manpower announced today (Sept 30).
The TEC was introduced to help employers cope with a 1 percentage-point increase in the Central Provident Fund (CPF) contribution rates to the Medisave Account, which took effect from Jan 1.
Earlier this year, the Government said it would enhance and extend the scheme until end-2017 to help employers adjust to cost increases associated with the increase in the CPF salary ceiling and the employer CPF contribution rates for older workers next year. The scheme is expected to cost the Government S$1.7 billion over the three years.
The TEC will be paid twice a year, in April and October, to employers with eligible employees on the payroll. Eligible employers will be notified from Oct 6 and payment will be made by Oct 30.
news source & image credits: todayonline.com