SINGAPORE — The qualifying criteria for the Government’s recently-announced support measures for the self-employed are too narrow, say some freelancers whose incomes have been reduced by the Covid-19 outbreak. 

Among other things, they suggested that the criteria take into account the number of dependants. They also noted that the income earned from part-time jobs which they had to take on for sustenance during this period left them ineligible.

Manpower Minister Josephine Teo has said that her ministry will look into appeals from those who do not make the cut, but added that "a number of people have cautioned me not to go overboard using taxpayers’ monies because the criteria and payouts are already generous". 

Last Thursday, the Government unveiled the Self-Employed Person Income Relief Scheme (Sirs), to help the self-employed including freelancers in the gig economy such as artistic performers, taxi drivers and real estate agents tide themselves over the financial fallout of the Covid-19 crisis.

Under the scheme, eligible self-employed workers will receive three quarterly cash payouts of S$3,000 each in May, July and October this year. About 88,000 self-employed people are expected to automatically qualify for Sirs.

WHO QUALIFIES FOR SIRS?

In a press release on Friday, the Ministry of Manpower (MOM) provided details on who will qualify for the scheme. The criteria include:

• Self-employed persons who do not also earn income as an employee
• Those who earn a net trade income of no more than S$100,000
• Those who live in a property with an annual value of no more than S$13,000, which refers to the amount of rent a property could fetch
• Those who do not own two or more properties
• For those who are married, the individual and spouse together must not own two or more properties
• The assessable income of a freelancer’s spouse should also not exceed S$70,000

Following feedback, Mrs Teo said in a Facebook post on Sunday that her ministry will consider appeals from those who do not automatically qualify. In particular, MOM will look at appeals by:

• Those who live in properties with an annual value slightly more than S$13,000
• Those whose spouses earn more than S$70,000 a year but have many dependants at home
• Self-employed persons who also hold regular, part-time jobs that pay a small salary

SOME CALL FOR CRITERIA TO TAKE ACCOUNT OF NUMBER OF DEPENDANTS

Some freelancers that TODAY spoke to felt that the current criteria did not account for others that they needed to support in their homes.

Home-based freelance administrator Ms Ong Ying Ying for instance, said that her monthly earnings have taken a hit since February, dropping from up to S$800 a month to S$500 instead.

Even so, the mother of four does not qualify for Sirs as her husband holds a full-time job and has an assessable income of more than S$70,000 a year.

The reduction in her own income has made it harder to support her children, who need to pay for public transport and food, said Ms Ong.

The 38-year-old called for the qualifying criteria for Sirs to be based on per capita income instead, as this would be a fairer basis for determining those who need the money.

“You tell me that my husband is earning (more than S$70,000) but if you do not divide his income per capita, it’s not manageable for the family,” said Ms Ong.

Sales trainer Tan Wee Khiang is also disappointed that he does not qualify for the scheme.

Self-employed sales trainer Tan Wee Khiang (far left), 53, said he is disappointed to not qualify for the Self-Employed Person Income Relief Scheme as his net trade income last year was more than $100,000. Photo: Tan Wee Khiang

The 53-year-old owner of Five Consulting typically runs four to five training workshops for corporate companies each month. However, all his upcoming programmes have been cancelled due to fears over the virus.

While he was initially happy to hear of the scheme, he was disappointed to hear that he will not qualify for it as his net trade income of S$132,000 last year is higher than the qualifying criterion.

He noted that he is the sole breadwinner for a family of five, including a 22-year-old autistic son who requires S$1,000 worth of medication each month.

Mr Tan called for the authorities to explain their rationale behind the current criteria.

“It’s not their money, it’s the taxpayers’ money and I would like to know why I am left out,” said Mr Tan, who added that he will be sending in an appeal to MOM.

OTHERS MISS OUT DUE TO PART-TIME JOBS, VALUE OF HOMES

Mr Mike Yoong, 58, a freelance group fitness instructor in places such as ActiveSG sports centres and community centres, was excited to qualify for Sirs — until he found out he would not be eligible.

Following the suspension of his clases, Mr Yoong said that he will be taking up a part-time job under Sports Singapore where he will earn S$8 an hour as a temperature screener and to manage queues. This income disqualifies him from Sirs.

In his previous role, he usually earned up to S$6,000 a month.

Mr Yoong said that while the cash payout under Sirs would have helped to alleviate some of his financial burden, he does not intend to give up his part-time job as the Sirs amount is not enough to sustain him.

“I see no point (in the authorities) giving S$1,000 a month if there are so many restrictions, because if I can’t take up a part time job, I just can’t survive on this amount alone,” he said.

Another freelancer who was also hoping to qualify for the scheme is entertainer Ms Vivien Goh.

The 42-year-old, who performs as a clown and does ventriloquism at events, said that she has seen a spate of cancellations for her shows since the start of this year, and has done only one show this month, down from her usual 12.

However, she does not qualify for Sirs as she rents a flat on River Valley Road with an annual value of S$20,000, well over the qualifying criterion for the scheme.

Explaining her reasons for renting the flat, Ms Goh said that the place doubles up as an office space and warehouse for her performance equipment. Its central location also helps to reduce her transport cost for events.

Ms Goh said that the money from Sirs would have helped to cover her overheads amounting to S$5,000, which includes her rent.

Like several others, she intends to submit an appeal to MOM and suggested that the authorities also defer the Central Provident Fund's MediSave instalment payments for freelancers as another way to help them.

SCHEME COMES AT ‘CRUCIAL TIME’ FOR THOSE ELIGIBLE

For Mr Nicholas Choy, 29, a first-aid trainer by day and personal trainer by night, Sirs came “at a crucial time”.

He is expecting his monthly income of up to S$8,000 to drop to S$1,000 by next month given that all of his first aid training sessions have stopped, following the Singapore Resuscitation and First Aid Council’s announcement on Friday to cancel such sessions.

Mr Choy said, “The S$1,000 will definitely help (first-aid trainers) tide through. Luckily for me, my personal training clients have not cancelled. It won’t be much, but it’s survivable,” he said.

For a 26-year-old freelance musician and drum teacher, who declined to be named, he is grateful for the Government’s “generosity” during this difficult time.

While he would earn between S$2,000 and S$3,000 a month on average, he took home only S$700 in March and will rely heavily on his savings for the upcoming months.

He added that the S$1,000 a month will help “put (his) mind at ease” until things pick up.