SMEC Budget Survey Results 2014
28 March 2014 [Singapore] SMEC Budget Survey Results 2014 The 2014 SMEC Budget Survey was conducted as part of the Singapore Business Federation’s on-going role as a bridge between businesses and Government on business issues. The survey, completed by 174 companies gathered feedback on the 2014 Budget, the new or enhanced measures; including the PIC and higher CPF employer contribution.
Survey findings show that one in two members polled were relieved that no further manpower tightening policies were introduced. Similar numbers were concerned about escalating business costs, emerging from higher CPF contributions. While 52% of respondents were pleased with the assistance extended to growth-oriented companies, 30% were disappointed with the lack of measures to reduce business costs.
Respondents were also asked how their companies have benefited from PIC. Among respondents who had used PIC, 71% agreed that PIC helped incentivised greater productivity investment, while 40% agreed it had helped them defray costs on usual investment. 13% of all respondents replied that it has helped with both objectives. Notably, PIC take-up rate among survey respondents at 87% was significantly much higher than the national average of 37% (latest YA 2012 figures).
Majority of all 174 respondents reacted positively to the PIC extension and of the positive responses, 87% expressed that they will continue to tap on it, while the remaining 11% are keen to consider using it now. More than 50% of the participants foresee that they are likely to benefit from the higher expenditure cap under the PIC+. Overall, companies expressed the highest interest towards ICT adoption schemes.