Starting 30 June, over 140,000 employers will be receiving payouts amounting to over S$2.2 billion under the Jobs Support Scheme (JSS) to support the salaries of over 2 million local employees.
Employers who have made compulsory CPF contribution for their local workers for the months of January to March this year within the given deadlines will be entitled for the payout.
This was announced by the Ministry of Finance (MOF) and Inland Revenue Authority of Singapore (IRAS) in a joint statement on Tuesday (22 June).
“With this payout, more than S$26.7 billion of JSS support would been disbursed since the introduction of the scheme at the Unity Budget in February 2020,” their statement read.
The JSS was introduced to subsidise the wages of Singaporeans and permanent residents in order to help companies that are affected by the ongoing COVID-19 pandemic.
For the upcoming payout in June, employers in the aviation, aerospace, and tourism industries will get 50 per cent subsidy for the first S$4,600 of gross monthly wages paid from January to March this year.
On the other hand, employers in the food services, retail, arts and entertainment, land transport, built environment, as well as marine and offshore sectors will receive 30 percent support of wages paid for the same duration.
Other sectors will receive a 10 per cent subsidy.
However, other industries like biomedical sciences, precision engineering, electronic, financial services, information and communications technology, media, postal and courier, online retail, as well as supermarkets and convenience stores will not be receiving the subsidy.
Eligible employers will be notified via post of their payout amount later this month, or they can also log in to myTax Portal to view the electronic copy of their letter.
As for employers who have registered for PayNow Corporate as of 25 June or have existing GIRO arrangement with IRAS can expect to receive their cheques on 5 July.
The Government had earlier announced that JSS will be enhanced to help sectors that have been severely affected by the COVID-19 measures from 16 May to 11 July.
Employers in industries that have been badly affected will receive 50 per cent subsidy during the period, whereas other sectors will receive 30 per cent subsidy.
From 12 to 25 July, all industries that have been affected will continue to receive 10 per cent subsidy.
The enhanced payout will be disbursed in September this year.
MOF and IRAS also reminded employers to contribute the right amount of CPF for their employees, ensuring that they are based on actual wages paid.
“Employers’ CPF contributions are used to determine the amount of JSS payout. The penalties for any attempt to abuse the JSS are severe,” they said.
They added, “Other than having their JSS payouts denied, offenders can be charged under Section 420 of the Penal Code, where they may face up to 10 years of imprisonment and a fine.”
“As part of the checks for JSS eligibility, a small number of employers will receive letters from IRAS asking them to conduct a self-review of their CPF contributions and to provide declarations or documents to substantiate their eligibility for JSS payouts.
“Their June 2021 payouts will be withheld pending the self-review and verifications by IRAS. The payout will be disbursed after the completion of the review,” the authorities said.