Central Provident Fund Start with allowing early withdrawal from CPF

Minister Tharman said that unemployment insurance may be considered, if the economic situation gets worse.

https://www.todayonline.com/singapore/unemployment-benefits-may-be-considered-if-there-high-structural-unemployment-over-time?

I doubt that the government can come to the stage of implement unemployment insurance. It will never happen.

I suggest that they should allow withdrawal from the CPF savings. If a person is unemployed for more than 3 months, he (or she) should be allowed to withdraw from the CPF account a monthly sum of 70% of the average monthly salary earned during the past year.

This will deplete the CPF savings but it will be a problem that can be addressed in the future, several decades down the road. It is better to solve the current problem, and not worry too much about the distant future.

If one day, when the cows come home, the PAP government decides to implement unemployment insurance, it will be great. But let us start with allowing the withdrawal of CPF savings.

Tan Kin Lian

 

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