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NDR 2026: Businesses welcome government move to cover childcare leave costs, but manpower concerns remain

Some employers warn that replacing absent staff members remains difficult, especially for small firms.

NDR 2026: Businesses welcome government move to cover childcare leave costs, but manpower concerns remain

The Singaporean government has announced that it will fully cover the costs of childcare leave for employees, with employers reimbursed up to a certain limit. While businesses welcome the move, some express concerns about potential staffing gaps during employee absences. Mr Leon Lai, CEO of communications firm Betterment Group, believes the benefits of the enhanced childcare leave scheme will outweigh any challenges.

However, Mr Ronald Soh, managing director of tech company Win-Pro Consultancy, argues that the financial relief does not address the underlying issue of staff absence. The Prime Minister announced the plan during the National Day Rally, with the government providing up to eight to 12 days of leave per year for parents of Singaporean children under 12 years old.

Industry leaders agree that the new scheme reflects a broader push to support families, but acknowledge that small businesses may face difficulties adapting to the change.

Written by urgent.news from CNA - Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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