In other words, the institutional arrangements for the social policies in Singapore may need to be understood in a broad context. It is within this context, first, of political independence and self‐defence and, second, of fully backed currency issue, that the context of social policies in Singapore can be best explained. Holliday (2000) particularly extends the typology defined in Esping‐Andersen (1990) by branding East Asian economies as ‘productivist’ welfare regimes. After a brief discussion on the Singaporean welfare state and related literature, the key rationale behind the Singaporean welfare state is proposed. Social Welfare Advisory Committee: Report on Long-term Social Welfare Planning in Hong Kong . While the unemployment rate is low, matching the skills of older and low‐income workers to the demand of the labour market becomes important with changes in the demographic and labour market structure. It recognizes that we all have responsibilities to our families and to the community that sustains us' (MCYS 2010). Arguments in this article regarding the Singaporean welfare state are consistent with the recent literature, in which the dynamics and dimensions of welfare states are essentially more complicated than that originally considered in the research of Esping‐Andersen (1990). The social policies in Singapore, which have been designed to accommodate the political rationale and economic growth strategy in the context of economic, political and social conditions, are discussed in this article. Please check your email for instructions on resetting your password. Massive education was highlighted in training qualified workers during the success of the economy. A ‘welfare state’ in its narrow sense is defined as income transfers, social assistance and social insurance (Esping‐Andersen 1990). Please call the police at 999 immediately if the child's life is in danger. Source: Key Household Income Trends, 2015, https://www.singstat.gov.sg/docs/default‐source/default‐document‐library/statistics/visualising_data/key‐household‐income‐trends‐2015.pdf (accessed 6 July 2017). Public housing is a significant social and economic policy for two reasons. In 2014, Singapore ranked 11th globally and 1st in Asia. increasing number of single‐member households). The COVID-19 Recovery Grant (CRG) provides temporary financial support to workers in lower- to middle-income households who experienced involuntary job loss, involuntary no-pay leave (NPL) or income loss due to the economic impact of COVID-19. It became imperative to increase the popular vote to ensure that there can be political leadership succession. Another unique factor in the Singapore context is the issue of a new Singapore dollar in 1967 to replace the previous Malayan or Straits dollar which had been in circulation since 1906 (Lee 2015). In contrast with many other developed countries, Singapore has a strong ruling party, and has sufficient political capacity to reform existing welfare policies. Currently, the corporate tax rate is 17 per cent and individual income tax varies from 2 per cent to 20 per cent (IRAS 2017). the sustainable development of the social welfare policies and services in the long term. However, challenges remain for the evolving welfare state in Singapore. The government also directly subsidizes public hospitals. For example, the functional equivalences (e.g. deductions and credits for health and pension plans, charity donations and other ‘deviations’ from the tax code) in welfare provision, apart from direct government expenditure (Prasad 2016). Singapore usually takes issue with social risk pooling in the mature European welfare states, of which unemployment benefits, nationalised health care, and pay-as-you-go public pensions are prime examples. With higher income inequality, low‐ and middle‐income groups are vulnerable to adverse shocks. Family support is significant for the welfare provision in many aspects. In 2015, Singapore ranked first among 72 countries in the PISA test (OECD 2016). The contribution rate to Medisave under the CPF has been adjusted since the 2000s to deal with the problem of ageing. Tertiary‐level education is now increasingly becoming important in the growth of the economy. At the same time, ‘productivist’ social policies such as active labour policies are still useful in relation to the need to improve productivity, so that the Singapore economy could remain internationally competitive. (1948). Also, the share of single‐person households of all resident households has increased from 8.2 per cent in 2000 to 11.2 per cent in 2014.44 Straits Times, 1 June 2015. Social Welfare Department. – Participate in activities which promote Social Work and social welfare on national and international level. The funds of individual CPF accounts can be used to finance education expenditure, health expenditure, housing expenditure, etc. After the 1980s, higher education in technology and engineering was highlighted by education policies. The Ordinary Account is mainly for housing, insurance and education, whereas the Special Account is mainly for retirement and investment, and the Medisave Account is for health expenditure. As a result, the HDB was able to construct public housing over the entire island, which could house the majority of the population. Ramesh and Asher 2000; Chua 2005; Asher and Nandy 2008; Lian and Tong 2008; Ng 2015; Yahya 2015), this article contributes to the literature by interpreting the welfare regime in Singapore from the political and economic context. 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