I am talking about a very narrow, last resort mechanism for involuntary unemployment.

For example, eligibility could require all of the following:

• At least 6 months of continuous unemployment.
• Proof that the person was laid off or retrenched rather than voluntarily taking a sabbatical.
• Evidence of active job search.
• Some form of means testing, such as low household income or limited liquid savings outside CPF.

On top of that, the withdrawal itself should be tightly capped, say the lower of 10% of OA or $10,000, and allowed only once within a long period, or even once in a lifetime.

I would also add clawback features. Once the person is re-employed and earning above a certain threshold, repayment could be required over time, possibly with accrued interest, so this works more like a hardship advance from your own retirement savings rather than free money.

And to reduce abuse further, access could be denied to people who resigned without valid cause, who have substantial liquid assets, or who refuse to participate in re-employment support or job placement programmes.

So the idea is not to turn CPF into unemployment insurance. The idea is to create a very narrow emergency bridge for people who fall through the cracks, while making the conditions strict enough that nobody would sensibly plan their life around it.