The Inland Revenue Authority of Singapore (IRAS) has revealed on Monday (31 May) that S$32 million in Jobs Support Scheme (JSS) and Jobs Growth Incentive (JGI) payouts has been denied to 1,300 employers for March 2021.
According to TODAYonline, this is part of a total of S$85 million in the March payouts—S$52 million in JSS payouts and S$33 million in JGI payouts—which has been withheld from 2,600 employers.
IRAS said that this move was to ensure that JSS and JGI payouts are fairly and correctly disbursed.
The JSS was implemented last year to provide wage support for employers to retain their local employees amid the COVID-19 crisis. All active employers, except for local and foreign government organisations and representative offices are eligible for the JSS.
As for the JGI, it aids employers in expanding local hiring, with more support for those who hire workers aged 40 and above, persons with disabilities and ex-offenders, reported The Straits Times.
Employers have to submit supporting documents to verify their authenticity and accuracy. IRAS would then give out the JSS or JGI payouts once they have confirmed that the information is accurate.
“Their payouts would be adjusted or denied if issues are found during the review,” it added.
So far, over 800 JSS submissions and nearly 1,100 JGI submissions have been reviewed for March, with 500 and 800 of them being denied respectively.
10 Cases of Suspected Abuse
More than 500 reports from whistleblowers have been made, suspecting employers of abusing the JSS and JGI schemes.
The authority has also detected a variety of suspicious cases, including:
- Employers making Central Provident Fund (CPF) contributions for non-genuine employees
- Employers inflating CPF contributions for employees without actual wage increases
- Employers maintaining CPF contributions for employees on wage cuts
“A small group of employers had provided what appeared to be fabricated documents in an attempt to substantiate their eligibility for the scheme,” noted IRAS.
Ten cases of JSS abuse have been referred to the police for investigation.
The authority has a “robust anti-gaming framework that harnesses data analytics and risk profiling to identify risks and prevent abuse.” In addition, they have a team that specialises in reviewing the accuracy of CPF amounts for genuine employees based on actual wages paid.
Other than having payouts denied, employers may be liable for the offence of cheating, which carries an imprisonment term of up to 10 years and a fine.
Businesses or individuals who wish to report malpractices or potential abuses of the JSS and JGI may email [email protected] or [email protected], or fill in the JSS form or JGI form.
Feature Image: joyfull / Shutterstock.com
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