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Four critical gaps in improving employability for all

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Home Resources Opinion Four critical gaps in improving employability for all

Opinion

Four critical gaps in improving employability for all

John Doe

A person in a wheelchair with much to give. A stay-at-home mum who misses working. An ex-offender who yearns for a second chance. A senior forced to retire early. These are some examples of people who want to work. They believe they can contribute to society. They also deserve the basic right to work and should not be denied from doing so.

Yet, many of them face difficulties in securing decent jobs. In recent years, the gig economy opened up opportunities for individuals facing barriers to traditional employment or those who need flexibility. However, gig work comes with its own set of challenges, such as unstable income and a lack of employment benefits.

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Through our years on the ground partnering with local charities, social service agencies and research organisations, we at CFS have identified four groups – ex-inmates, persons with disabilities (PWDs), seniors, and women – that face challenges in securing gainful employment due to bias, unfair practices, or lack of accessibility. This, in turn, can lock them and their families in a vicious cycle of hardship.

Employment needs to become more inclusive and provide fair opportunities to everyone. In Singapore, workplace anti-discrimination guidelines are being enshrined into law, but there is still more work to be done. This is where philanthropy can make a significant difference. At CFS, we connect donors with charities and programmes that uplift the employability of marginalised people.

We work with charities that build awareness of individual and structural barriers in the workplace and advocate for change. They are also empowering disenfranchised job seekers by providing skills training, job matching, mentoring and more. Read on to learn about the realities faced by disadvantaged people and how you can help.

Building Disability-Inclusive Workplaces

About 15 per cent of the global population, or over one billion individuals, have a disability. This makes persons with disabilities (PWDs) one of the world’s biggest minority groups (World Bank, 2023). In Singapore, only 30 per cent of PWDs of working age are employed. The government hopes to raise this figure to 40 per cent by 2030 (The Straits Times, 17 August 2022). Barriers include the prevailing bias that disabled people are less productive and troublesome to accommodate in the workplace.

Organisations like the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) and SG Enable, an agency for disability, are striving to change attitudes and help employers create disability-friendly workplaces. Companies are also encouraged to open up work-from-home opportunities to those who are less mobile. Hiring more PWDs and giving them meaningful careers will translate to overall gains in labour force productivity for Singapore going forward.

Attracting Female Talent to Close the Gender Gap

Better education and changes in attitudes towards gender-based roles have paved the way for more women to have careers. Between 2012 and 2021, Singapore’s female labour force participation grew from 57.7 per cent to 64.2 per cent. However, it still remains lower than men’s at 77.2 per cent (Statista).

The gender gap emerges when women enter their 30s. This is typically the age when they assume more care responsibilities (Ministry of Manpower, 2022). Women continue to bear the brunt of caregiving and domestic responsibilities while juggling work. The gap, unfortunately, widens over time. Taking time off work can complicate re-entry into the workplace, creating knock-on effects throughout a women’s career.

Yet, there is a clear business imperative to leveraging female talent. Gender diversity benefits companies as women often contribute different skills and perspectives, boosting growth, innovation, and productivity (International Monetary Fund, 2018).

While a growing number of organisations are waking up to this, there is much more room for female-friendly recruitment and retention practices. This includes flexible working arrangements, opportunities for progression and leadership, and help for mothers returning to work.

Reintegrating Ex-offenders into the Economy

Ex-offenders are among the most marginalised and stigmatised people in our community. They face unique challenges in finding and sustaining gainful employment. Just 53 per cent of ex-offenders found jobs three months after their release – a figure that has stayed stagnant between 2017 and 2019 (Ministry of Home Affairs, 2020).

One reason is that ex-offenders who spend long periods in jail may not have the skills that are in demand, such as digital expertise. Moreover, with their limited social networks, they tend to be disconnected from market trends, knowledge of training opportunities and subsidies. That instantly puts them on a weaker footing.

Progress has been made through the Ministry of Home Affairs’ Employment Preparation Scheme, which allows ex-offenders to attend training and educational activities outside of prison during their sentences. But more can be done to help ex-offenders avoid a vicious circle. Without good jobs and long-term employment prospects, it will be harder for ex-offenders to rebuild their lives, placing them at a high risk of reoffending.

Addressing Age-Based Employment Discrimination

Three in four workers in Singapore do not intend to retire before 65 (The Straits Times, 3 July 2022). For many older people, working provides income and purpose and bolsters their physical and mental well-being.

Despite this, age was cited as the top reason for prejudice towards older jobseekers in a Ministry of Manpower survey (Today, 23 March 2022). Older people are stereotyped as “slow” and “less trainable”. Some may be less educated, putting them at risk of being displaced by technology. Employers may prefer to train younger employees, who are seen as having more room to grow.

The issue is especially pressing as Singapore is fast becoming a super-aged society. While upcoming anti-discrimination laws will help, companies should also take the lead and build a multigenerational workforce. Older workers bring experience and a diversity of views to the table, which will be a source of strength.

How You Can Help

With your generosity, you could help fund programmes that improve the employability of disadvantaged Singaporeans struggling to find work. As a cause-neutral philanthropic advisor, CFS is well-placed to help you navigate the various programmes available and tailor a giving plan based on your goals and interests.

Efforts to address barriers to employment fall into three broad areas:

Development of skillsets (educational, technical/vocational training, and soft skills development)
Exposure to career pathways (employer engagement and career support)
Encouraging sustainable careers (getting supervisors and colleagues to accommodate marginalised individuals)

The simplest and most cost-effective way to help fund different programmes that tackle employability is by setting up a donor-advised fund (DAF). An individual, a beneficiary of a will, a trust, or a family office can set up a DAF. CFS will handle all fund administration and leverage our experience and network to ensure your giving is targeted, accountable and impactful.

As a donor, you will save on legal expenses and enjoy upfront tax deductions at the prevailing rate on eligible donations. Donors will also receive regular statements tracking incoming donations to their DAF and outgoing disbursements to charities. CFS has an established track record when it comes to setting up DAFs. CFS is the first to bring in DAFs into Singapore and is currently the largest provider with over 220 DAFs and Community Impact Funds.

If you would like to begin your giving journey with CFS, do get in touch with us.

References

International Monetary Fund. (28 November 2018). Economic Gains from Gender Inclusion: Even Greater than You Thought. https://www.imf.org/en/Blogs/Articles/2018/11/28/blog-economic-gains-from-gender-inclusion-even-greater-than-you-thought

Ministry of Home Affairs. (14 October 2020). Written Reply to Parliamentary Question on the Employment Rate of Ex-offenders, by Mr K Shanmugam, Minister for Home Affairs and Minister for Law. https://www.mha.gov.sg/mediaroom/parliamentary/written-reply-to-parliamentary-question-on-the-employment-rate-of-ex-offenders-by-mr-k-shanmugam-minister-for-home-affairs-and-minister-for-law/

Ministry of Manpower. (1 December 2022). Summary Table: Labour Force. https://stats.mom.gov.sg/Pages/Labour-Force-Summary-Table.aspx

Statista. Labor force participation rate of women in Singapore from 2012 to 2021. https://www.statista.com/statistics/951113/singapore-female-labor-force-participation-rate/

The Straits Times. (17 August 2022). Singapore aims to have 40% of working-age persons with disabilities employed by 2030. https://www.straitstimes.com/singapore/singapore-aims-to-have-40-per-cent-of-working-age-persons-with-disabilities-employed-by-2030

The Straits Times. (3 July 2022). 3 in 4 older workers don’t intend to retire before 65; reasons include staying active, having purpose. https://www.straitstimes.com/singapore/jobs/3-in-4-older-workers-dont-intend-to-retire-before-65-reasons-include-staying-active-having-purpose

Today. (23 March 2022). Discrimination against workers and jobseekers declined, but ageism still prevalent: MOM survey. https://www.todayonline.com/singapore/discrimination-workers-jobseekers-declined-ageism-prevalent-mom-survey-1851551

World Bank. (3 April 2023). Disability Inclusion.
https://www.worldbank.org/en/topic/disability#:~:text=Persons%20with%20disabilities%2C%20on%20average,outcomes%20than%20persons%20without%20disabilities.&text=Results-,One%20billion%20people%2C%20or%2015%25%20of%20the%20world’s%20population%2C,is%20higher%20for%20developing%20countries.

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John Doe

The competition was organised by City Harvest Community Services Association and received support from FUN! Fund, a Community Impact Fund jointly established by the Community Foundation of Singapore and the Agency for Integrated Care, with the aim of addressing social isolation among the elderly.

Senior Minister of State, Ministry of Communications and Information & Ministry of National Development Mr Tan Kiat How attended the event. He encouraged the elderly to stay physically and mentally well, as well as urging them to participate in community activities and enjoy their golden years together.

Learn more about FUN! Fund at https://www.cf.org.sg/fun-fund/.

The programme provides the children with a non-threatening platform to connect with peers and have positive conversations. In addition, it exposes them to different people who can assist to broaden their perspectives.
L.S., a volunteer with the Reading Odyssey programme @ Spooner Road

中心“常胜将军”胡锦盛：比赛限时反应要快

现年92岁的胡锦盛是最年长的参赛者。自2017年退休后，他几乎每天都到活跃乐龄中心报到，从此爱上了玩拉密，每次可玩上三个小时，在中心是“常胜将军”。

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Stories Of Impact

2021 Annabel Pennefather Award winners Cheung Kemei and Jaslyn Hooi: Two talented athletes steadfast in their resolve to win honour and glory for Singapore

John Doe

As Singapore continues to field excellent sportsmen into the international arena such as Badminton World Federation world champion shuttler Loh Kean Yew and paralympic gold medallist Yip Pin Siu, the Community Foundation of Singapore (CFS) recognises the need to continue supporting the growth of more sporting talent through philanthropy, so that Singapore may continue to produce many more distinguished sportsmen and women for the years to come.

The Annabel Pennefather Excellence Award is one such enabler that helps young sports women reach greater heights and bring glory to our country.

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It is presented annually to two female graduating student-athletes between 16 and 25 years of age, who have displayed remarkable dedication to their sporting craft and achieved outstanding results in sports.

Funded by the International Women’s Forum Singapore’s Education Grant, which is managed by CFS, the Grant aims to recognise deserving young women with character and the commitment to achieve in their respective fields.

The Award honours the late Annabel Pennefather – a former national hockey player, a pioneer of women sports administrators in Singapore and a champion of women in sports globally – and celebrates her achievements through encouraging and empowering women in the field of sports.

This year, the Award winners of the 2021 Annabel Pennefather Excellence Award are Cheung Kemei and Jaslyn Hooi, two young women who have demonstrated exceptional skill and excellence in their respective sporting fields.

At the tender age of only 16, foilist Cheung Kemei has already acquired a number of accolades under her fencing belt, having had an outstanding year at local national and age-group competitions last year in spite of the swelling pandemic.

“I feel very happy and honoured to receive this award. I’m very grateful and would like to thank the school, coaches and everyone who supported me throughout this journey. This award definitely encourages and motivates me to work harder and achieve better results for Singapore,” says the talented young fencer.

The foilist punched above her weight to win a gold at the Singapore Senior Championships last year in February, and won another gold medal for the U17 Women’s Foil Individual at the Singapore Cadet Nationals.

Though there is a long list of contenders for coveted spots, Kemei has her eyes set on making it to the final list of competitors for the upcoming SEA Games this year.

The other Award winner, 21-year-old shuttler Jaslyn Hooi, first represented Singapore at the Youth Olympic Games in 2018 in Buenos Aires where she finished 4th in the Women’s Singles. Since then, Jaslyn has participated and won a bronze at the 2019 SEA Games, and is set to take on the region’s best at the SEA Games this year.

“2021 proved to be a successful year, especially towards the end of the year, where I competed for six weeks in Europe. I managed to get gold in one of them and improved my world ranking to be top ninety in the world,” reflects Jaslyn with pride.

In September 2021, she claimed the Women’s Singles title at the Polish International, making it the best win in her career thus far. Among one of the top local shuttlers, Jaslyn won the Women’s Singles title at the Singapore National Open Championships consecutively in 2020 and 2021.

“I’m extremely honoured to be receiving this award. It’s nice to know that Sports School is still supporting us on our sporting journey and recognising our hardwork and success. My goal is to be top fifty at the end of 2022, and this award will continue to push me towards that goal,” says the ambitious young shuttler.

She aspires to play well in bigger tournaments this year and to make it to the Top 80. Her ultimate goal is to make it to the 2024 Olympic Games, and is determined to give her best effort to make her dream come true.

If you would like to support more budding sporting talent in Singapore through philanthropy, please read more here.

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Stories Of Impact

The S.S. Jhunjhnuwala Charity Fund: Honoring a Father’s Legacy

John Doe

For CFS donor Mr Surya Jhunjhnuwala, the late patriarch Shyam Sundar Jhunjhnuwala who founded the Hind Group, was a devoted father and man of vision, passing on to his children the values of humility, hard work and honesty. These principles were ingrained into them at a young age and have guided his family through both good and challenging times.

The S.S. Jhunjhnuwala Charity Fund was set up by the Hind Group to honour him. The Fund, managed by The Community Foundation of Singapore, is proof that S.S. Jhunjhnuwala’s legacy lives on, its grants supporting welfare initiatives and underprivileged women.

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Mr Jhunjhnuwala was also a forward thinking visionary of his time. He was a passionate believer that girls should receive equal opportunity, and that they should receive a good education. He was a mentor for one of the first all-girl schools in his ancestral home of Rajasthan, and this belief has also been entrusted and passed down to his children.

The S.S. Jhunjhnuwala Charity Fund believes that education is the most vital tool in unlocking the potential of children and young adults, hence its mission to provide students in Singapore with opportunities to achieve their potential and a chance to create for themselves a life they dream of.

The Fund currently provides two grants to the Singapore Institute of Technology (SIT). The first is the SS Jhunjhnuwala Naumi Hotel Bursary, given in perpetuity to female students who wish to pursue an education in the field of hospitality, created with the late patriarch’s vision of equal opportunities for women in mind.

The second grant is the VD Jhunjhnuwala Naumi Hotel Emergency Grant, which supports students facing unforeseen difficult situations and gives them a chance to continue their education. Over the years, they have also supported Gladiolus Place, Ramakrishna Mission-Boys’ Home and the Migrant Workers’ Centre.

‘’My father embodied the principle of honesty, and through his strong character and resolve he taught me the importance of consistent and conscious hard work. Our hope for the S.S. Jhunjhnuwala Charity Fund is to create a legacy of continuous service and impact. Giving back is at the core of our business, and a duty we take seriously. I fondly remember my father who taught me to live a life of integrity,’’ shares Mr Surya Jhunjhnuwala.

Learn more about our Donor advised funds here. If you would like to start your giving journey and provide support for the causes close to your heart, get in touch with us at contactus@cf.org.sg to find out how you can make an impact with your giving.

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News

Business Times: Preserving a century-old legacy of giving

John Doe

Following his great-grandmother’s footsteps, Keith Chua set up a charitable fund to carry on his family’s legacy of giving through the generations.

To Keith Chua, the boy, she was the stern matriarch of their large, Peranakan family, to be approached with deference. To the older and bolder teenager, she drew closer – the great-grandmother glad to chat about his day over tea or a shared meal.

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But only years after, as an established entrepreneur with a family of his own, did Mr Chua truly feel the impact of her life on his own, thanks to the impact Mrs Lee Choon Guan had had on others.

“It was a rediscovery,” Mr Chua says, about encountering in the pages of a 1920s history book a side to his great-grandmother that he had not known, years after her death in 1978.

Growing up, naturally, he had heard stories from his mother. One of these, about Mrs Lee’s role in raising funds to contribute a fighter plane to the World War 1 effort, made it into a school composition of his on “A Person You Most Admire”.

But it was not till the mid-1980s, after being appointed as a co-trustee to the Mrs Lee Choon Guan Trust Fund his mother started that Mr Chua read for himself the book she had spoken so much about.

Discovering a legacy of giving

“It became quite clear that she was a pioneer in many ways,” Mr Chua, 65, says.

In One Hundred Years’ History of the Chinese in Singapore, he learnt of how, as one of the few Chinese girls to get an English education and a member of high-society, Mrs Lee sought to open doors for other women in the early 1900s.

Also known as Madam Tan Teck Neo, she was the founding president of the Chinese Ladies Association (now the Chinese Women’s Association), running classes for young women and raising funds for charities.

Women and children, healthcare and education – these were causes Mrs Lee cared deeply for. She gave out numerous scholarships to girls, donated to the building of the St Andrew’s Hospital for Women and Children, and funded the activities of the Society for the Protection of Women and Children. For her volunteer work and giving during the First World War, she was the first Chinese woman to be made a Member of the Order of the British Empire in 1918.

Moved by the glimpses of her trailblazing giving recorded in the book, Mr Chua has since acquired an autographed edition that is now a treasured possession for what it symbolises – a legacy of giving to be kept alive.

“To me, the process of discovery, rediscovery, has been a continuing one,” says Mr Chua. The family is still adding to what they know of Mrs Lee’s life and legacy, “all these little pockets of seeds that were planted”. Such as the family giving funds in 1924 to start Katong Girls’ School (today’s Kuo Chuan Presbyterian Primary School) – a fact they only recently stumbled upon.

Among other causes, the trust fund supports tertiary-level programmes on philanthropy at the NUS Business School’s Asia Centre for Social Entrepreneurship and Philanthropy (ACSEP).

Down through the generations
In 2011, he set up the Mrs Lee Choon Guan Fund with the Community Foundation of Singapore (CFS) to carry on his family’s legacy of giving through the generations. Managed as an endowment, the fund’s principal amount is invested and income earned is then given to various causes.

The aim is not merely to build historical knowledge, but to perpetuate the legacy of giving. “I have the opportunity, at this point in time, to put some thought and action into encouraging the continuation of her legacy. So that, hopefully, it will continue with some degree of active participation by future generations,” says Mr Chua.

“In continuing the legacy of my great-grandmother, I looked at how she approached philanthropy in her time and tried to include some of her practices in what I’m doing today. It has indeed come full circle.”

Some of the causes the fund supports today bear the mark of Mrs Lee’s charitable interests – education and healthcare initiatives. Others reflect evolving needs in society that Mr Chua himself is passionate about.

Indeed, Mr Chua is known as much these days for his work in philanthropic circles as he is in business ones.

The executive chairman of ABR Holdings, which owns Swensen’s and Chilli Padi among other food and beverage brands, Mr Chua is also managing director of the Alby group of companies in Singapore and Australia. He hails from a line of businessmen too – his grandfather, the late Chua Cheng Liat, is one of the Chua brothers behind car dealership Cycle & Carriage.

Today, actively involved in various community, church and missions agencies, he sits on the boards of the National Council of Social Service and CFS.

“Part of why I’m doing this today, is in the hope that the wider family, beyond just my siblings and children through to my cousins, my nephews and nieces, and their children, will come to appreciate the legacy that my great-grandmother has left for all of us.”

Apart from his great-grandmother, Mr Chua cites the influence of his parents’ generosity and his Christian faith as two other defining forces behind his philanthropy journey.

“[With my parents], it wasn’t so much them saying, ‘This is how you do it.’ It was watching them in action, responding generously to requests for help, seeing how they lived their lives,” says Mr Chua.

And that was the starting point for him and his wife too: sharing with their four children what they do and why, modelling a life of giving in the hope that their children would themselves see the value of giving.

One reason Mr Chua decided to set up the fund with CFS was to ensure that future generations would be able to continue the family’s philanthropic work. He says, “The objective of CFS flowed nicely with ours of wanting to continue the legacy of giving. It allows family members to be involved and ensure that funds for the community will carry on.”

Taking it a step further, he has been intentional about involving his children, whose ages now range between 22 and 32, in his philanthropic engagements. In recent years, this has included trips across Southeast Asia to learn from and explore partnerships with non-profits, charities and social entrepreneurs.

Having sown those seeds, he has since had the satisfaction of watching each child “doing something in their own way”, whether via professional or personal pursuits, to give to the community.

An evolving philosophy of giving
Mr Chua says his own approach to philanthropy has evolved over the years.

From viewing philanthropy primarily as responding to appeals for monetary gifts, he began getting involved with charities and volunteering his time. That involvement got him thinking about how he could make a difference with his own skills.

“Coming from a business, finance background, I felt I was able to bring that to the area of social entrepreneurship to encourage entrepreneurship, and help to share business models, my personal experiences,” says Mr Chua.

Asked what he has gained from years of intentional giving, Mr Chua is first introspective: “I would like to think that the engagement in all these years of philanthropy has gradually moved me from thinking more of myself, to thinking more of others.”

“Along with that, of course, is that it brings a wonderful feeling if you can bring joy and help someone else,” he adds.

“I believe everyone can give. Whether in terms of resources, time or talent… I would embrace all forms of participation. The most important thing for me is to encourage others to take that first step, whatever that first step is.”

Looking forward, Mr Chua says, “The seed of philanthropy was planted by the generations before me. Now, with the structure of CFS, the funds will carry on past my lifetime. Once you’ve set certain things in place, you can bring the next generation along for the ride, and trust them with the responsibility when it’s their turn.”

After all, Mrs Lee Choon Guan’s first steps into philanthropy led to her leaving a century-old legacy of giving that has spanned four generations and, if Mr Chua has his wish, countless more to come.

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John Doe

Learn more about FUN! Fund at https://www.cf.org.sg/fun-fund/.

The programme provides the children with a non-threatening platform to connect with peers and have positive conversations. In addition, it exposes them to different people who can assist to broaden their perspectives.
L.S., a volunteer with the Reading Odyssey programme @ Spooner Road

中心“常胜将军”胡锦盛：比赛限时反应要快

Related Topics For You: CHARITY STORIES, DONOR STORIES, DONOR-ADVISED FUND, IMPROVING EMPLOYABILITY, OPINION, PERSONS WITH DISABILITIES, SENIORS

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News

Start a donor-advised fund: plan your giving flexibly and sustainably

John Doe

CEO Catherine Loh goes on Money FM 89.3 to speak about the donor-advised funds.

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Manisha Tank: A DAF allows donors to give in a more informed, structured and sustained manner over time. As of March 2020, there are 143 DAFs set up with CFS, which is double the number in March 2015. How does a DAF actually work and why has there been an increase in the number of DAFs over the years?

Elliott: With us is Catherine Loh, CEO of the Community Foundation of Singapore. We’ve been trying to describe and nail down the meaning of donor-advised funds or DAFs. It’s like a personal charitable savings account; is there anything more you could tell us about DAFs?

Catherine Loh: It’s easier to give you a concrete example. One such DAF is the SR Nathan Education Upliftment Fund, which was set up by our late president when he retired in 2011. As he had received help himself back when he was young, Mr Nathan wanted to set up a fund to help students at risk of dropping out of school due to financial difficulties.

So through this one endowment fund established with us, he was able to reach out to many educational institutions like ITE (Institute of Technical Education), various polytechnics and universities to support students in need. Some special schools like the Mountbatten vocational school and even the four self-help groups have benefitted.

Even though he is no longer with us, we work with a committee comprising a family member, close friends and those who have a deep interest in the community to guide the fund. Over the years, thousands of students have obtained their diplomas and degrees with the support from the Fund. Hopefully from the example you can see that for a donor-advised fund, donors get to name their fund, to choose the causes that they are interested in supporting, and they can use the fund to support more than one charity. There’s a lot of flexibility here.

Manisha: Is a DAF only for the wealthy?

Catherine: There is a minimum amount to set up a donor-advised fund. The minimum amount is $200,000 but a donor can start off with $50,000 and fulfil the pledge over a period of time.

Elliott: How big is the concept of a DAF in Singapore when compared to the rest of the region or the world?

Catherine: This concept is pretty new. In Southeast Asia, we are one of the few established community foundations. However, in the US community foundations are very well established and donations into donor-advised funds are large.

Manisha: If you’re someone who’s decided on having a DAF to take care of your charitable causes and your contributions, is the due diligence all done for you?

Catherine: Before we talk about a charity or their programmes to a donor, we would have done the basic due diligence; checking up on their finances, making sure it is a charity that is doing good work. When we recommend, we try to match the donor’s interest with what the charities can offer and really helping the donors achieve their objectives.

Manisha: Do the donors come to you for different reasons, or some have just come into money and have decided to do something useful with it?

Catherine: People come with their personal reasons, but most do want to do good and they do want to give. The whole purpose is to ensure that their money is put to good use. They want to have the peace of mind that the charities are doing the work that they are supposed to do. This is where we can help to provide the professional advice and to give them the peace of mind.

Elliott: You talked about the minimum amount to start a DAF. How do you start one, and if I’m opening one with CFS, do I have to pay a fee?

Catherine: It is signing a deed and that’s it. It takes about two to four weeks depending on the complexity of the donor’s unique circumstances and what their requirements are. But it is definitely easier than setting up your own family foundation or a corporate foundation.

Manisha: Why has there been an increase in the number of DAFs?

Catherine: We have seen an increase in awareness as we have also been more active in explaining this concept to the public. Over the years, we’ve had happy donors referring their friends and colleagues to us and we’re glad that we’ve gained the trust of our donors and charity partners alike

We’ve also seen an increase in demand because this structure meets the needs of many donors. We’ve established funds for both individuals and businesses; individuals set up memorial funds to remember a loved one or to celebrate significant events like retirements, birthdays and wedding anniversaries. DAFs are useful for financial and legacy planning as well, because donations into a fund can be eligible for two and a half times deduction off taxable income. It can be used as an instrument for tax planning. It can also be named as a beneficiary in a will or a trust. Increasingly, we work with lawyers and executors of wills to administer money left behind for charity.

Very often executors are left vague instructions to just gift the money to charity, and by working with us they have the peace of mind that there are professionals working to identify the right charities and programmes for them.

Manisha: What are the differences between giving to charity and setting up a DAF?

Catherine: If the donor is interested in accountability and transparency and they want to keep track of the donations for regular, long term and more strategic giving, then a DAF is very useful. What we want is for the donor to understand the cause or causes that they are interested in, to get to know the charities and the types of programmes that are out there. Once the donor gets involved, they are more likely to support their causes for a long period of time.

Manisha: One of the best things to donate is time; does that happen and do the donors get involved with these causes and turn up in person to see what’s on the ground?

Catherine: We do have donors who do that whenever they have the time. They are busy professionals who may not have a lot of time and they just give with money first. But we do encourage them to get involved and not just themselves but with their families. Very often we want to not only engage the donors but their family members as well, to get them to understand what they are really helping. In so doing, they would be the ones coming up with new ideas and working directly with the charities to create positive social change. This is a culture that we want to build in Singapore.

Elliott: Some charities are suffering during this COVID-19 pandemic, unable to have fundraising dinners; what has the impact of the pandemic been on DAFs? Should people consider going into a DAF during this pandemic because it’s more focused and safer with due diligence all done?

Catherine: We have seen activity throughout this whole year, so activity hasn’t slowed down for us at all. In fact, donors are talking to use because they want to know how they can help over the longer term; they want to know what are the underfunded sectors and the pressing issues that need
support going forward.

What this pandemic has taught is that it is good to be prepared. As the pandemic continues, we have rising unemployment, health risks and donations from the general public that have decreased. For the donors who have planned their giving and established their donor-advised funds in the past with us, this is an opportunity where they have stepped up. Over the past few months, we have seen a very significant amount being given out from our existing donor-advised funds to COVID-19 related causes.

Manisha: What about businesses?

Catherine: We have quite a few businesses who have established donor-advised funds with us as well. There are many reasons for doing so. There is more marketing mileage with a named fund; this can be a starting point to learn about philanthropy before setting up their own corporate foundation. They use it for planning and tracking their charitable budget, and also to give more strategically by tapping on our knowledge, experience and network in the sector.

Elliott: Is it more high network individuals that are taking part in donor-advised funds?

Catherine: For the Community Foundation of Singapore, a donor-advised fund is just one product which we offer; these are targeted at those who have more to give and they want to give in a longer term manner, so their own named fund is suitable. However, we established our own Community Impact Funds (CIF) in response to social issues that we want to address; you may have heard of the Sayang Sayang Fund which was set up in February as an emergency response fund in the wake of COVID-19.

These kinds of Community Impact Funds receive thousands of donations with thousands of donors donating to these funds. These people could be anywhere from students to retirees, anybody who is linked or feels close to the cause.

Listen to the full interview here:
https://omny.fm/shows/money-fm-893/the-rise-of-donor-advised-funds-in-singapore

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John Doe

Learn more about FUN! Fund at https://www.cf.org.sg/fun-fund/.

The programme provides the children with a non-threatening platform to connect with peers and have positive conversations. In addition, it exposes them to different people who can assist to broaden their perspectives.
L.S., a volunteer with the Reading Odyssey programme @ Spooner Road