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Thank You For The Money

How Else Can Singapore Enhance Its Social Compact?
TERENCE LAM
KOK E-LIN
BY TERENCE LAM and KOK E-LIN


Singapore’s Budget 2025 kept up with the expectations of many, allocating significant funding for social initiatives.

This includes a S$250-million SG Gives matching grant to provide dollar-for-dollar matching for donations made through the Community Chest, President’s Challenge and the Collective for a Stronger Society. There is also a S$270-million top-up to the Tote Board’s Enhanced Fund-Raising Programme, which helps charities apply for matching support for their fundraising projects.

In total, over S$600 million in matching funds will be set aside to support charity fundraising and social causes.

This builds on the ambitious Forward Singapore exercise launched in June 2022, which seeks to strengthen Singapore’s social compact by redefining the roles and responsibilities of both the government and the people in shaping a shared future. It emphasises the importance of individuals looking beyond their own needs to support others in society, while community organisations play a vital role in caring for those in need.

While funding is a key enabler, charities and social service organisations also require support in other crucial areas – particularly human capital, skill sets and expertise. If you have ever attended a corporate social responsibility event and left feeling unsure about the impact of your contribution, you would not be alone.

One reason for this could be that the activity of the day did not align with your skills or interests, leaving you with the sense that you could have done more. This is where skills-based volunteerism comes into play.

By offering a skill which you are proficient in, you can provide meaningful support to an organisation which needs it. Despite its obvious benefits, skills-based volunteerism remains an underutilised opportunity.

THE POTENTIAL OF SKILLS-BASED VOLUNTEERISM

According to the National Giving Study 2023 by the National Volunteer and Philanthropy Centre, Singapore’s volunteerism rate stood at 30% in 2023. This falls far short of the nation’s 70% volunteerism target initially set for 2023. That trajectory may have been partially derailed by the COVID-19 pandemic, as the volunteerism rate fell to 22% in 2021.

Surveys reveal a gap between the willingness to volunteer and the act of volunteering. This may stem from concerns about balancing volunteer commitments with family and work responsibilities. Moreover, individuals are also seeking meaningful volunteer experiences that align with their skills and interests.

In a study by the Singapore Management University and National Council of Social Service published in 2023, one of the top three motivations for respondents to first get involved in volunteering was the chance to use existing skills.

Charities typically rely on volunteers to provide crucial support to keep operational costs low, so funds can be focused on serving their main causes and intended beneficiaries.

It is not uncommon for charities to face a manpower shortage, and therefore need professional or skilled support in critical functions. This can range from accounting, legal and human resources to communications and content creation.

By offering their specialised expertise through skills-based volunteerism, corporates and individuals can help plug this resource gap. Beyond serving the needs of the charity sector, volunteers can gain personal and professional development, which enhances their sense of fulfilment, and this creates a win-win scenario.

SETTING UP FOR EFFECTIVENESS

Let us draw from the experience of lSCA Cares, a charity arm of the Institute of Singapore Chartered Accountants (ISCA), which has been on this path of skills-based volunteerism through a few initiatives, including:

  • financial literacy programmes for underprivileged communities;
  • offering pro bono guidance on corporate governance, audit, finance and other accounting matters;
  • connecting those in need of accounting assistance with experienced chartered accountants of Singapore who are ISCA members; and
  • setting up mentorship opportunities for young accountants to receive guidance from seasoned professionals.

ISCA and the office of the Commissioner of Charities have also introduced subsidised services to support charities to enhance their anti-money laundering and counter-financing of terrorism capabilities.

What have we learnt throughout this journey?

Successful skills-based volunteerism does not happen by chance. Like any effective programme, it requires a structured framework and clear processes to ensure both volunteers and charities benefit in the long term.

CREATING A FRAMEWORK

One of the key elements to successful skills-based volunteerism is carefully matching volunteers with the right organisations. A well-defined volunteer engagement process, from recruitment and onboarding to support and retention, is crucial for setting clear expectations and enhancing the volunteer experience. Standardising these processes helps avoid misunderstandings and reduces the risk of legal conflicts.

Since volunteers come with varying levels of experience, expertise and competency, it is essential to implement effective onboarding and training programmes. These might include orientation sessions, workshops, online courses and mentorship. Not only does this enhance the impact on the charity or social organisation, it also provides volunteers with the opportunities to develop new skills and refine existing ones.

For skills-based volunteerism to be sustainable, there needs to be a sufficient pool of both volunteers and organisations ready to engage. Partnerships between charities, social organisations, professional bodies and educational institutions can be a powerful way to grow this network.

By fostering these collaborations, the reach of volunteer programmes can be amplified, and a feedback loop can be established to measure the impact of volunteering efforts. Successful experiences can be shared across the network as case studies, and applied by charities or social organisations which need similar support.

INCENTIVE SCHEMES

First, the SkillsFuture Jobseeker Support scheme could be expanded to cater for those who are engaged in skills-based volunteerism with a charity or social organisation.

Currently, the scheme provides temporary financial aid of up to S$6,000 over six months to involuntarily unemployed individuals, providing them with support while they seek to secure a new job. To qualify, participants must engage in job search activities or attend approved training courses.

We recommend expanding eligibility for the scheme to include individuals who volunteer their expertise with charities. This would allow unemployed individuals to continue applying their skills for social good, while keeping their skills in use and expanding their networks, enhancing their prospects in the job market.

Second, perhaps it is time to properly recognise the contributions of individuals who dedicate their time and expertise to charities and social organisations, by offering them tax breaks or incentives. This can help encourage further participation and sustained impact.

For the nation to achieve the goals of Budget 2025 and the Forward Singapore initiative, both companies and individuals must take an active role.

By combining financial support and skilled volunteer efforts, we can drive greater social impact. Collaboration among key stakeholders, including policymakers, charities, volunteers and organisations, is essential to maximising available resources and scaling impact.


Terence Lam, CA (Singapore), is Director, Advocacy and Professional Standards; and Kok E-Lin is Lead, Research and Insights, ISCA. An edited version of this article was published in The Business Times on 3 March 2025.

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