SMEs Face Increased Difficulty with Staffing and Continuity During Extended Leave
While the government’s funding of parental leave increases is aimed at easing financial burdens for new parents, industry associations warn that it may not fully resolve operational concerns, particularly for small and medium-sized enterprises (SMEs).
Ang Yuit, president of the Association of Small and Medium Enterprises (Asme), highlighted that SMEs often struggle with continuity issues when key employees take extended leave. This becomes particularly challenging when it comes to sourcing temporary staff, especially for roles that require specialized skills.
Businesses are concerned about the logistical and financial implications of accommodating these absences, which can disrupt normal operations and productivity. Despite the government covering the costs of extended leave, the burden of finding replacements and ensuring smooth operations remains a significant challenge for smaller companies.
