20 Feb '12, 2pm

How effective is Special Employment Credit?

SINGAPORE: The enhanced Special Employment Credit (SEC) is widely seen as an effective tool to encourage companies to employ older workers. Under it, employers will receive up to eight per cent of monthly wages. However, some economists believe the effectiveness of the wage subsidy could be reduced by the rise in CPF contribution rates for these workers. Workers at Makino Asia used to climb tall racks to collect engineering parts -- an activity that can be dangerous and time consuming. But the precision engineering company started using an automated vertical storage system just last month. This job redesign has helped reduce the number of workers required for the job and increase efficiency by 40 per cent. Such effort has attracted more locals to work on the factory floor. Singapore Manufacturers' Federation deputy president and Makino Asia president and CEO Moh Chong Tau ...

Full article: http://www.channelnewsasia.com/stories/singaporebusinessn...

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