Are all companies eligible for the Jobs Support Scheme (JSS)? How does it work and how do you apply for the JSS? Find out.
Did you know that the wages of more than 570,000 local employees are supported by over S$900 million worth of Jobs Support Scheme (JSS) payouts slated for disbursal after 30 September 2021?
As of recent developments in Singapore, the Government will provide enhanced JSS support for select sectors temporarily.
Find out all you need to know about the JSS, whether or not your business can tap on the latest round of support, how you can apply for the JSS, when you can expect to receive the JSS payouts and more.
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What is the Jobs Support Scheme (JSS)?
The Jobs Support Scheme (JSS) offers employers wage support amidst this period of economic uncertainty to encourage them to retain their local employees including Singaporeans and Singapore Permanent Residents.
Under the JSS, the Government co-pays a fraction of the first S$4,600 of gross monthly wages paid to each local employee. Designed to subsidise the wages of local employees working in sectors adversely affected by COVID-19, the JSS payouts help local employees remain employed.
The JSS payouts are the Government’s way of helping employers avoid retrenching their workers.
Jobs Support Scheme (JSS) payout package (27 Sept – 24 Oct 2021)
Due to the rising COVID-19 cases in Singapore as well as the tightening of Safe Management Measures from 27 September to 24 October 2021, the JSS has been extended for the various affected sectors as shown below:
|Sectors with JSS enhancement||New JSS Support (27 Sept to 24 Oct 2021)||Previous JSS Support (19 to 31 Aug)|
– Gyms and fitness studios
– Performing Arts & Arts Education
– Museums, art galleries, historical sites
– Family entertainment
Who qualifies for the Jobs Support Scheme (JSS)?
All active employers (except those in the employer exclusion list) are eligible for the JSS when they continue to make mandatory CPF contributions for their Singaporean and Singapore Permanent Resident employees, when the JSS is in-force.
Tier 1 businesses (Aviation and Aerospace; and Tourism, Hospitality, Conventions and Exhibitions) will be eligible for a 10% JSS subsidy for wages paid from July to September.
As for the latest round of enhanced JSS support, the 25% subsidy will only be available to the companies in the following affected sectors:
- Gyms and fitness studios
- Performing Arts & Arts Education
- Museums, art galleries, historical sites
- Family entertainment
The JSS will cease once the latest support measures for the above-mentioned sectors end, assuming the COVID-19 situation in Singapore doesn’t worsen further.
For businesses, definitely check your Singapore Standard Industrial Classification (SSIC) Code to be sure whether or not your business falls under the eligible sector for the enhanced JSS payouts.
Also, as JSS payouts are meant to offset and protect local employees’ jobs and salaries, employers who put local employees on mandatory no-pay leave (NPL) or retrench them will not be entitled to the enhanced JSS payouts for those employees.
How to apply for the Jobs Support Scheme (JSS)
Eligible companies do not have to apply for the JSS; IRAS will notify employers by post of the tier of support their business belongs to, as well as the amount of JSS payout they are eligible for.
For businesses that do not automatically qualify for the latest JSS enhancements, you may make an appeal at go.gov.sg/jss.
When will you receive Jobs Support Scheme (JSS) payouts?
All companies that are eligible for JSS payouts for wages paid after July 2021 will receive the JSS payouts in December 2021.
To ensure that your business gets the JSS payouts as quickly as possible, register for PayNow Corporate or set up a GIRO arrangement with IRAS. Otherwise, you’ll have to wait for cheques to be issued and mailed.
What happens if employers abuse the Jobs Support Scheme (JSS)?
Employers who abuse the JSS will have to face severe penalties. Besides having their JSS payouts denied, they can be charged under Section 420 of the Penal Code where they may be slapped with a 10-year jail term, on top of a fine.
As employers’ CPF contributions are used to determine the rightful amount of JSS payout they receive, employers are not allowed to slash their employees’ wages while still contributing to their CPF at the original wage level in a bid to enjoy more JSS payout. Needless to say, employers are not allowed to make CPF contributions to their employees who have been laid off.
Stretch your hard-earned money further
Besides getting support from the government and minimising costs, business owners can also consider utilising business credit cards to maximise every dollar spent on their business.
Like consumer credit cards, business credit cards let you earn rewards like cashback, rewards points or miles when you charge your business expenses to the card. They often come with perks and privileges, too.
Are you an employee who’s reading this? Start taking control of your finances if you feel like you have room for improvement in this area. The truth hurts: everyone knows how hard it is to ensure their income stream doesn’t shrink or get cut off considering how long COVID-19 and its impact on the economy have dragged on.
Build up your emergency fund and employ money-saving hacks whenever possible. Master the ways on how you can use credit cards to your advantage and use ‘Buy Now, Pay Later’ Facilities like a real shopping pro. If possible, start investing as early as you can to take advantage of the magic of compound interest.
Read these next:
Alternative Careers During the Pandemic – How Much Can You Earn?
What Is The Median Salary in Singapore And Are You Earning Enough?
School Didn’t Teach Me: To Talk Money When Talking About Career Growth
School Didn’t Teach Me: How To Rock The Salary Talk If You’re An Introvert
6 Crucial Things You Need to Do During Job Loss and Near-Unemployment
By Denise Bay
While Denise has a thing for travel, K-dramas, 0% sugar bbt (with boba!), Japanese cuisine and flat white, her curious nature means all sorts of random tabs are open on her phone 24/7. She doesn’t like to pay full price for anything, too.