At a time when Singapore’s fertility rate has hit a historic low, the government will be reviewing a scheme that aims to encourage married couples to have more children.
This will be the third time the government is reviewing the Baby Bonus scheme. It was reviewed twice, in 2004 and 2008, after the scheme was introduced in 2001, reported Channel NewsAsia (CNA).
It was reported that the Ministry of Community Development, Youth and Sports will be conducting a survey between April and June this year, targeting some 3,000 parents who have benefited from the Baby Bonus scheme. The survey seeks to find out how satisfied parents are with the way the scheme is implemented.
The Baby Bonus scheme provides a cash incentive for parents to help them defray the financial cost of raising children. Under this scheme, parents are given a cash gift of up to S$4,000 each for the first and second child, and S$6,000 each for the third and fourth child.
The government also gives a dollar-for-dollar match when parents contribute to their child’s Children Development Account. Parents can tap on the scheme when they register for their child’s birth at hospitals and the Immigration & Checkpoints Authority.
The Baby Bonus scheme’s lack of success can be seen when the government gave out some S$230 million in baby bonus payments in 2009, up from S$55 million in 2004, but the total fertility rate did not increase accordingly.
In 2010, the total fertility rate fell to 1.16. The replacement rate is at 2.1
Observers told CNA they welcomed the move but felt processes need to be further strengthened.
Research leader of the Asia Research Institute at the National University of Singapore Gavin Jones said, singles should also be asked if such a scheme makes a difference to their marriage and child bearing decisions. This would provide an understanding of the perceptions among the community who have not yet started having children.
Experts also told CNA a higher pay out may be needed, although this would only have a short term impact as the cost of living goes up.
Some suggested bolder measures, including making childcare free and legislating paternity leave.
Chairman of the Government Parliamentary Committee for Community Development, Youth and Sports Seah Kian Peng highlighted the need for more innovative ideas on tackling the low birth rate. “Some may work, some may not work, but I think we should really venture out of the current schemes that we have talked about,” he said.
He suggested, “In housing…maybe for those who a second child, we give them a chance to upgrade, a priority to upgrade to a bigger flat.”
“We should look beyond current schemes, to see what else can be done, and really adopt a whole of a government approach, from accommodation, to housing to paternity, maternity leave and certainly the baby bonus scheme,” he told CNA.
Source : http://sg.yfittopostblog.com/2011/02/05/govt-to-review-baby-bonus-scheme/
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