Chen Show Mao
" In total, over 51,000 persons aged over 50 and with tertiary qualifications are economically inactive.
A great reservoir of experience, talent and drive resides in our seniors."
Supporting Older Entrepreneurs (Committee of Supply 2014 -- MTI) 6 March 2014
Mr Chairman, the Labor Force survey tells us that over 41,000 residents over the age of 50 are classified as under-employed, meaning that they work part-time but would like to work more. 6,000 persons aged over 50 are classified as discouraged due to reasons of perceived discrimination such as due to age, so that they have become demoralized in their job search and have stopped looking for work. In total, over 51,000 persons aged over 50 and with tertiary qualifications are economically inactive.
A great reservoir of experience, talent and drive resides in our seniors. Many seniors face difficulties, however, including ageism, when they seek to re-enter full-time employment after even a short break in working. Many have given up the search altogether. Perhaps assistance may be provided to them as they pursue another option of returning to economic activity – that of becoming entrepreneurs.
Sir, entrepreneurship is not for every one. Nor would it by itself solve the under-employment problem among seniors. But it is an option that more seniors may wish to explore.
To quote Mr Geoffrey Kung, the Secretary of the REVERSE Cooperative for seniors, "Planning for seniors to return to work requires an understanding of their lifestyles and aspirations... we need a different system of compensation and motivation."
Whether launching a firm with world-scale ambitions, a micro-business or even a one-person consultancy, entrepreneurship holds many attractions for seniors. It offers the prospect of more flexibility in hours, fulfillment of life goals and a longer period of engaged active work. It even allows seniors to command a premium for commercial experience in their chosen fields, as ageism may be less of an obstacle when it comes to winning business versus getting hired.
Sir, we welcome the lifting of the age restriction of 26 years or younger for ACE start-up grants since 2012. But newly minted older entrepreneurs face other challenges. Being self-employed they are not accumulating Medisave, and medical expenses are more of a concern for older persons.
Another challenge is that, on the whole, older persons may be less IT-literate, that's in information technology. This is borne out by an MDA survey of IT and internet literacy across various age bands.
Sir, Many SME and entrepreneur support schemes already exist – a bewildering array in fact, available to entrepreneurs irrespective of age. Perhaps the Ministry could consider measures targeting seniors to raise their awareness about the entrepreneurship option, about available business opportunities such as those in the silver industries, and to redress the deterrence posed by age-specific factors.
For instance, the government may consider special Medisave top-ups and free ICT (infocomm technology) training in the first three years of business operation for older entrepreneurs. Also, a special part of the MLP (micro-loan programme) or CIP (co-investment programme) funds could be set aside for funding entrepreneurs aged over 50.
The more rewarding efforts may involve working with different Ministries to provide better support for self-employed workers and free lancers in our economy, as some members of this House and members of the public have urged, such as in this letter today to the newspapers: "A thriving environment for self employment and free lance work is necessary to breed entrepreneurship."
Sir, I am 53 years old this year. With the right support, a Singaporean senior may become the next Ray Kroc, who launched the McDonald’s corporation as we know it when he was my age.
The Workers' Party
