Singapore finds itself in a dire situation as its resident total fertility rate plunges to an alarming 0.97 in 2023, marking a historic low that demands urgent and decisive action from the government. While Minister Indranee Rajah outlines a series of plans, they pale in comparison to the bold and proactive steps taken by companies like South Korea’s Booyoung Group to address similar challenges.
Minister Rajah cites various reasons for Singapore’s low birth rates, from COVID-19 disruptions to financial concerns and work-life balance issues. However, her proposed solutions, such as increasing paid parental leave and lowering childcare fees, lack the immediacy and impact needed to reverse this worrying trend.
Korea company pays employees 100 million Korean won each time they have a baby
In stark contrast stands Booyoung Group, a South Korean construction firm, ready to pay employees a staggering 100 million Korean won ($75,000 USD) each time they have a baby. This bold initiative aims to alleviate the financial burdens of raising children, offering direct financial support that far surpasses the government’s efforts in Singapore.
What sets Booyoung Group apart is its commitment to recognizing the fundamental importance of a growing population. With South Korea facing its own fertility crisis, with rates expected to plummet to 0.65 by 2025, the company’s Chairman Lee Joong-keun is leading by example. Offering employees the choice between 300 million Korean won ($225,000) in cash or rental housing for having three babies, Booyoung Group is setting a new standard in encouraging births and addressing the nation’s future needs.
Lee’s vision for the company to be a beacon of support for families and a contributor to the nation’s prosperity stands in stark contrast to the cautious, incremental steps taken by the Singaporean government. While Minister Rajah speaks of “exploring sustainable ways” and “considering ways to help employers,” Booyoung Group is already taking definitive action.
The global context of declining birth rates is not an excuse for half-hearted measures. European nations are grappling with similar challenges but have embraced immigration and innovative policies to encourage childbirth. Singapore, however, seems caught in a cycle of cautious deliberation while its population ages and its workforce shrinks.
Singapore’s response to its fertility crisis is underwhelming when compared to the bold initiatives of companies like Booyoung Group. The time for vague promises and gradual adjustments is over. The government must take decisive action, offering substantial incentives and support to Singaporean families. Otherwise, it risks falling further behind in the race to secure a vibrant and sustainable future for the nation.
Are we, the citizens of Singapore, not the most previous resource of our nation?
