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PARLIAMENT OF SINGAPORE · FORMER

Ahmad Mohd Magad

Singapore

IN THEIR OWN WORDS

The participants were proudly spoilt and present their national attires, the mainland Chinese would tell stories about the differences in their culture and practices from ours and the Indians would cook their best sumptuous dishes for us.

OFFICIAL REPORT - 2011-03-07 · READ THE OFFICIAL RECORD

Sir, anecdotal data suggest that there is an increasing number of families who have sold their flats twice but are unable to afford another flat from the open market due to cash flow or other financial problems. There are also others, for one reason or another, who are no longer eligible to purchase another subsidised flat.

OFFICIAL REPORT - 2011-03-03 · READ THE OFFICIAL RECORD

I would also like to know whether HDB could process applications for sales of balance flats faster as feedback received suggests that applicants are frustrated by the long waiting time and the uncertainty of whether or not they are going to get their flats allocated. Income ceiling for HDB flats

OFFICIAL REPORT - 2011-03-03 · READ THE OFFICIAL RECORD

Furthermore, for single mothers who are working, many of them are possibly unaware of the childcare schemes that they can make use of. I hope that MCYS, with the cooperation of Malay/Muslim organisations, can spread the message about the choices available to fulfil this need.

OFFICIAL REPORT - 2011-03-01 · READ THE OFFICIAL RECORD

Many small and medium enterprises (SMEs) in the manufacturing industries face challenges in sending their workers for training and skills upgrading.

OFFICIAL REPORT - 2010-03-11 · READ THE OFFICIAL RECORD

Sir, 2009 also saw quite a significant shrinkage in maritime activities in Singapore. With the economy on the mend, could the Minister provide an update of MOT's efforts to prepare and capitalise on the economic upturn and enhance Singapore's position as a global maritime hub?

OFFICIAL REPORT - 2010-03-11 · READ THE OFFICIAL RECORD

The complete record

Every one of 470 lines we hold for Ahmad Mohd Magad, in date order, each linked to its source. Free to read, in full, without an account. Page 6 of 10.

  1. I believe that the vast majority of Muslims want to be included in the HOTA, not because they feel disadvantaged when being left out, but because like their non-Muslim Singaporean counterparts, they too deeply feel the desire to help save lives of their fellow Singaporeans who are suffering from organ failure. The MUIS Fatwa Committee, which is responsible for ruling on points of Islamic law, has confirmed that Islam not only allows but encourages organ donations for life-saving transplantations. Mayor Zainul Abidin Rasheed and Dr Maliki have both spoken at length earlier this afternoon about fatwa in several Muslim countries being supportive of organ transplantation although in Saudi Arabia, for example, consent from a donor is still required. Muslims are acutely aware of the plight of persons, whether Muslims or non-Muslims who are stricken with organ failures, where transplantation is their only hope of living a normal life again. They are also aware of the sufferings of kidney patients who have to endure rigorous four-hour dialysis sessions, sometimes up to three times a week, to prevent toxins from building up in their bodies. Singapore Muslims want to do their part with other Singaporeans to provide hope to such patients. Sir, during an intensive public campaign conducted by the MKAC in the year 2000, more than 56,000 Muslim Singaporeans put their signatures in support of organ donation. This represents a significant verifiable response from Muslims of their desire to be included in HOTA. I would therefore request the Hon. Acting Minister to seriously consider the inclusion of Muslims under HOTA to make them automatic organ pledgers together with other Singaporeans.

    OFFICIAL REPORT - 2004-01-06 · READ THE OFFICIAL RECORD

  2. To-date, after nearly 14 years of such effort at an expenditure estimated at $7 million (estimate provided by NKF), just over 14,500 Muslims have pledged their organs under MTERA. This represents a significant increase over the 400 Muslim pledges in 1990. However, in comparison with the number of Muslims who are eligible to pledge their organs, which is estimated to be 250,000-260,000, the current number of pledges only accounts for about 6% of the eligible Muslim population. Sir, how do we get the vast majority of Muslims to become organ donors under MTERA? Can we continue to depend on the persuasive approach? I personally do not think so. Opting in is not a straighforward procedure for Muslims. The requirement for them to get their pledge forms endorsed by their waris is troublesome and most just do not bother to do it. Records also show that more than 12,000 Muslims had their pledge cards returned because they did not have the requisite endorsement by their respective waris. Even if the waris are not required to co-sign the pledge forms, the experience, not only in Singapore, but also in many developed countries, has shown that the persuasive approach can only achieve limited results and, at most, secure participation from between 2-5% of the population. In fact, it was in recognition of this that HOTA was introduced so that non-Muslim Singaporeans are deemed to have pledged their kidneys unless they choose to opt out. Sir, as a Singaporean Muslim myself, and having consulted with many of my fellow Muslim counterparts, I can say with great conviction that it is our desire to become part of the pool of organ pledgers together with non-Muslim Singaporeans.

    OFFICIAL REPORT - 2004-01-06 · READ THE OFFICIAL RECORD

  3. Mr Speaker, Sir, I rise in support of the amendment to the Human Organ Transplant Act. The proposed amendments are indeed laudable as they will open the way for more organs of the human body to be made available for life-saving transplantation to individuals suffering from organ failures. The concerns I have with respect to harvesting organs from brain-dead persons as well as transplants from living donors, have been expressed by several Members. I shall therefore not repeat these. However, I would like to express my concerns on the implications of continuing to exclude Muslims from the provisions of HOTA. When HOTA was enacted in 1987, Muslims were excluded because in the case of Muslims, according to the Shariah (or Islamic law), it is the waris (or the inheritor), who has the right to decide what to do with the body of the deceased person and this is sacrosanct. Thus, it is not permissible to remove any organ from the cadaver without the prior consent of the waris. Sir, as Muslims are not included in HOTA, they need to pledge or opt-in if they wish to donate their organs upon their death. This pledge is not made under HOTA but under another Act, namely, the Medical (Therapy, Education and Research) Act 1972 (MTERA). Muslims wishing to donate their organs must also ensure that their waris endorse the pledge form as part of the condition of acceptance of the pledge. Since 1990, the Muslim Kidney Action Committee (MKAC), which is a committee appointed under the auspices of MUIS (Muslims Religious Council), spearheaded many public education campaigns with the support of MUIS, the National Kidney Foundation (NKF) and major Malay/Muslim organisations in Singapore to encourage Muslims to pledge their kidneys under MTERA.

    OFFICIAL REPORT - 2004-01-06 · READ THE OFFICIAL RECORD

  4. Unfortunately, awareness of the SRS is low. As of December 2002, there were less than 17,000 SRS account holders. Our citizens have depended excessively on the CPF to finance their retirement needs and have not seen the incentive for alternative planning. We can do more to encourage this and other schemes to highlight the benefits along with the risks of independent financial planning. With the change in our CPF model in the push to encourage greater self-reliance, I suggest going further to fine-tune the SRS as well, to enable greater participation. On that note, Sir, I support the Government's proposal to retune the CPF.

    OFFICIAL REPORT - 2003-08-28 · READ THE OFFICIAL RECORD

  5. In implementing the CPF changes, our society should gradually move from dependence on a managed retirement plan that was started in the late 50s to one that is tailored individually. Perhaps, there is a lesson from our early years of self-government and nationhood when the CPF rate was a mere 10% as we struggled to find a balance between savings and competitiveness. Times have changed, but our commitment to our citizens remains steadfast. In helping them overcome the double blow of lower CPF rates and higher Minimum Sums, I would like to propose the consideration to include monies saved in individual retirement schemes as part of the overall pool of savings to meet the requirements of retirement and old age. Doing so could perhaps justify a review of the need to progressively raise the Minimum Sum from the current $80,000 to $120,000 by 1st July 2013. The Supplementary Retirement Scheme (SRS) is a part of our Government's multi-pronged strategy to address the financial needs of a growing population, which was highlighted in the report of the Inter-Ministerial Committee on the Ageing Population released in November 1999. As it stands, the SRS complements the CPF. As we know, the CPF savings are meant to provide for housing and medical needs and for basic living needs after retirement. Unlike the CPF scheme, however, participation in the SRS is voluntary. Participants can contribute a varying amount to the SRS, subject to a cap at their own discretion. The contributions may be used to purchase various investment instruments, and it also offers attractive tax benefits as it defers tax payment upon retirement. In addition to this, there are retirement plans that are offered by insurance companies, banks and independent financial advisers that work on the same principle.

    OFFICIAL REPORT - 2003-08-28 · READ THE OFFICIAL RECORD

  6. As we act for the collective good of Singapore and all of us, it is imperative that we provide lifelines and help for those who are particularly going to be affected by what the Government finally decides. Since there are many MPs who are speaking on this subject, allow me to just focus on two points with respect to the imminent changes to the CPF model. My first concern is the ability of Singaporeans to meet the obligations of housing loans as a result of the changes. The measures proposed are a necessary requirement in our quest for competitiveness internationally. However, the trade-off on a social scale would be quite onerous. Our Government must balance its move with one that will help reduce the hardship our residents might potentially face. As mentioned by the Acting Minister for Manpower earlier in this House today, a large number of our active workforce, 577,000, or approximately 45% of them, service their housing loans through CPF contributions. From this, there will be a sizeable number that will find it difficult to meet their monthly obligations although the 3% imminent cut is not as drastic as anticipated. I would like to suggest, Sir, that a tax relief be considered for home owners on interest paid on mortgages on homes used as a primary residence. This will supplement the burden on existing home owners affected by the CPF changes while encouraging potential buyers to also not distance themselves from the market. A tax relief would not only encourage home ownership but also help spur growth in the property market. Tax relief of such nature is not new and exists in countries, such as the United States.

    OFFICIAL REPORT - 2003-08-28 · READ THE OFFICIAL RECORD

  7. Mr Speaker, Sir, the scenario painted by our Prime Minister a moment ago at the introduction of his speech in this House and also the report in yesterday's Straits Times where DPM Tony Tan registered his alarm about the PERC report citing Singapore's labour costs being ahead of the United States and Australia are clear indications that we really have a wage cost burden that needs to be very quickly addressed. Not taking immediate action will be irresponsible on our part as it would mean that more jobs would eventually be lost as our cost competitiveness further erodes. [Mr Deputy Speaker (Mr Chew Heng Ching) in the Chair] 5.26 pm I am therefore of the view that a number of drastic measures need to be taken quickly to bring down our overall business costs, including wage costs, to remove rigidity so that the market can more flexibly find its equilibrium. This understandably includes retuning our CPF contribution rates along the lines which the Prime Minister has outlined. Based on several dialogue sessions which I attended and also conducted, I believe this message has sunken in among Singaporeans and they understand that we must act quickly to prevent more job losses. However, Sir, Singaporeans have been nervously and keenly awaiting for the final prescriptions of what they are expected to swallow, the extent of bitterness and how this is going to impact on their livelihood. It pains me to think about citizens who have gone through thick and thin with us all these years, perhaps more of the thin side of things these last few years who will be impacted by the CPF changes.

    OFFICIAL REPORT - 2003-08-28 · READ THE OFFICIAL RECORD

  8. Our challenge is how do we build an inclusive Singapore, where Singaporeans and foreign residents could collectively share a bigger and ever-growing pie which will be win-win for everyone. I see the ethos of this new Bill as the creation of a homogenous workforce in the long term, comprising locals and foreign residents with a shared goal of contributing jointly and effectively to our nation's continued growth and prosperity. I am confident that the strategy of continually improving the education and training of our workforce will make us better prepared to confront the challenges of globalisation, cost competitiveness of our businesses, and arrest the fear of unemployment in our society. I wholeheartedly support this Bill, Sir.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  9. The game's international audience would pick up on this, leaving us a team without a league to play in. By improving our skills set, enhancing our capabilities and gradually progressing to the same level as our opponents, we earn the respect of our peers and that of our competitors. A soccer game or an 8-hour workday will be more of an interaction of minds, ideas and cultures, rather than the anticipation of the final whistle. We should not allow ourselves to be unduly overcome by the present emotions arising from the current state of unemployment and lose sight of the big picture. Sir, I think we need to move away from this issue, if I may call it a polarised "dual workforce". By this I mean our local workforce and foreign talents, especially in the middle and middle to lower income brackets, which often evolve into a sensitive topic and stir heated debates whenever we have an economic slowdown. To strive to amalgamate this "dual workforce" should be one of the priorities of this new agency. By evolving to a single bracket without any differentiation between local and foreign workers, our workforce will signal the coming of age, where the need for employers to hire beyond our borders would be purely for reasons of labour or talent shortage, and not because specific skills cannot be found within our shores. Employers could then focus solely on getting the best hands and minds for any job vacancy from an existing pool where any employable resident here is considered equally. It has to be borne in mind that the economy of tomorrow will be truly borderless, virtual, to some degree, and driven by solutions and results.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  10. I know this has been elaborated on by the Acting Minister for Manpower in this House yesterday, but I still feel this is a subject worth revisiting. Owing to our smallness and lack of critical mass, it is important for us to keep explaining to Singaporeans that Singapore cannot tick efficiently without foreigners. There are high-end jobs and economic activities where we lack or do not have the talent to fill, and low-end and inconvenient jobs, such as garbage collection or rotating shift work, where Singaporeans just do not want to do. We need foreigners to fill both of these categories. Foreigners are naturally attracted to the opportunities we have created here because of the vacancies that need to be filled. Together with Singaporeans, they have contributed to our development and progress. They have also contributed to making our pie bigger. We can elbow them out, but that would mean that we too would be deprived of opportunities for bigger and higher value-added jobs because multi-national companies with high-end activities will not be able to locate their operations here because of our lack of talent. Those who are already here, especially those with capital-intensive operations, such as the wafer fab and pharmaceutical industries, will not be able to grow if they are deprived of workers needed to run their business activities round the clock. Let me use the analogy of a soccer game to illustrate my point. As our nation of young footballers readies itself for a game against the adept skills of an established international team, there are but a few ways to come out the winner. Using protectionist methods by having an umpire that is biased or by brute force to defeat the opponent could get us a point or two, or even a win, but not for too long.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  11. One is better off with new and updated skills, even though he may not have a job now, because once the market turns, he will be the first to benefit with the new skills in hand. Make no mistake about the relevance of knowledge upgrading and reskilling. Sir, the process of formal education and training is progressively becoming less of one passing on information but more of an individual's learning to learn so that he can discover for himself. The relevance of knowledge about facts is diminishing while the need to learn how to access, analyse and exploit information and transform it into new knowledge is increasing. While I know strong efforts are being made to impart such soft skills through programmes such as CREST, I feel more needs to be done, particularly for our mature and older workers. This is the group that is most vulnerable to shifts and changes in our economic structure and, therefore, they need to be more adequately prepared to be more flexible and responsive to change. Sir, beyond any economic considerations, human capital development underpins the fundamental values of society - equity, justice, gender equality, non-discrimination, social responsibility and participation of all in economic and social life. Human resource development and training contribute to improved productivity in the economy, reduce skill mismatches in the labour market, and promote a country's international competitiveness, all of which are vital to Singapore's short and long-term interests. Sir, let me now move on to my next and final point, which is the current perception that foreign talent and workers are wresting away jobs from Singaporeans.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  12. The abundance of new knowledge and technological advances that become available in the public domain every day makes it difficult to keep up with what is going on. University graduates can expect that even their most advanced technical knowledge can become outdated in a matter of months. Skilled workers need to constantly adapt to new products and techniques, bearing in mind that some careers do not even have a chance to change. They simply disappear. We must therefore constantly retool ourselves and become perpetual students, or risk the prospect of becoming obsolete. Lifelong learning is the only way to remain competitive and maintain our relevance in the job market. Workers must understand that they need to take personal responsibility in continually investing in their own growth development and self-renewal, like the way a progressive company invests in R&D and comes up with new and better products or services it can offer. One's future employability and appeal as a job candidate now depend on one's relentless drive to update credentials, acquire new knowledge and skills and staying abreast of what is happening in one's own field of expertise. Many unemployed workers groan in not being able to find jobs after going for retraining or learning new skills. Many of them feel that it is a wasteful effort. This perception must be quickly corrected before it becomes widespread. Workers must realise that it is the low external demand which is not within our control that contributes to the current soft employment market. The Ministry of Manpower estimates that there are currently only 24 jobs available for every 100 applicants.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  13. In the current context where continuous changes and uncertainty prevail and represent the new normal, no country can ensure employment and a job for every one of its citizens. The smarter countries are rigorously promoting lifelong learning as one of their key agendas recognising that a highly educated and trained workforce leads to sustained employability of their workforce. It is a fact that countries with the highest incomes are also those whose workers are most educated. To assist countries create a learning infrastructure, the International Labour Organisation introduced the learning chain to enable a workforce adapt both to the demands of a knowledge society and the need for an improved level and quality of employment. In it, the state will have to develop the individual's learning abilities by offering opportunities for learning and training that are tailored to target groups at different stages of their lives, young people and unemployed adults and workers who are at risk of seeing their skills overtaken by rapid change. This new approach includes three main components. These are the development of local learning centres, the promotion of new skills, in particular, in information technologies, and increased transparency of qualifications. This is where synergy of policies from our Ministries, such as the Ministries of Education, Manpower and Trade and Industry, if properly coordinated, could help produce a workforce that is informed and responsive to the changing needs of our economy. Such a multi-dimensional approach will also showcase our commitment that we, as a nation, are avid promoters of lifelong learning. Sir, in a fast changing world, it does not take long for knowledge and skills to get outdated very quickly.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  14. This is where I believe the formation of a one-stop agency, as proposed under this Bill, with a comprehensive range of human capital development services will be most apt to develop and unleash the full potential of every Singaporean. The amalgamation of functions, which are now scattered under various Ministries and administered by several statutory bodies, will provide the new agency with the means to coordinate and orchestrate worker education, skills training and skills redevelopment activities under one roof. It should facilitate the linkage of our workers to sources of expertise and assist them in the most efficient manner as to enable each of them to make informed choices of what is best for them to enhance their employability in an increasingly sophisticated economy. Apart from placing worker interests as the focal point of the Workforce Development Agency's activities, I also envision that this newly created central body will lead in restructuring and harmonising our workforce, organising activities that create greater awareness of shifts and changes in our increasingly knowledge-based and technology-intensive economy, continually assisting our workforce in identifying sectors and job families which are relevant to Singapore's current and future economic needs, so that they can make informed decisions about career choices and impressing upon the workforce that innovation and value creation are the way ahead and that focusing on these will reap the best rewards for all of us. Intertwined with all of these, Sir, is the subject of lifelong learning. I know much has been said on this subject in this House. But I believe it is worth reiterating this until its importance is ingrained in the minds of every one of us.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  15. To remain at the forefront, there is no other way but to sustain these efforts of improving the level of education and skills training for our citizens. This is the only way for us to keep abreast of and remain relevant in the changing world. As the world becomes increasingly borderless with knowledge, technology, talents and capital moving freely across regional boundaries, the need to develop the potential of people to the highest possible level has become even more urgent. This era rewards those who are in control of information with power and those who are the leading edge of technology with wealth. Those who have neither of the above are likely to be left behind. Considering that our people are our only resource, our future survivor solely depends on them. We must therefore develop this resource as best as we can. It is also the best approach to address the threat of digital divide which our society is increasingly being confronted with. Sir, the International Labour Organisation in its General Conference Report of the 88th Session in the year 2000 quoted: "A critical challenge that faces human society at the start of the 21st Century is to attain full employment and sustain economic growth in the global economy and also social inclusivity. As a country that holds the principle of meritocracy close to heart, education is a crucial vehicle for our social mobility and inclusivity." The phenomenon, with all its ramifications which I just mentioned, is universal. No country in the world is spared from it. More and more countries are now realising that lifelong learning is the key to pave the way for sustained employability of their citizens.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  16. Mr Speaker, Sir, looking back over the past 38 years since our independence, Singapore has been able to successfully mould its national human resource policy to provide the needed skills for each phase of our development. Local training institutions progressively focus on technical skills development complemented by technology transfers, wherever necessary, from institutions of the more advanced countries. Foreign corporations locating their operations here were provided with subsidies and grants to set up training programmes which further propelled the growth of skills training. Our country then swiftly moved into higher value-added manufacturing. Education reform that emphasises on technical and vocational education was buttressed by expanding our polytechnics in response to the demand created by the variety of industries set up here. Our universities too had to undergo transformation both in areas of curriculum as well as approach. Today, as we are at the crossroads of charting our way to another phase of national development, efforts to make our country a leading knowledge-based economy will demand new learning and training approaches that expect workers to be innovative and creative. With unemployment expected to feature more prominently as we continue to restructure the economy, we need a more coordinated effort to help workers who are periodically displaced to get back on their feet and be absorbed back into the changing economic landscape as quickly as possible. Sir, our past and current success in placing us at the forefront in an increasingly competitive world has been our ability to continually move up the education ladder and create and produce a qualified, skilful and creative people.

    OFFICIAL REPORT - 2003-08-15 · READ THE OFFICIAL RECORD

  17. In addition to this, it would also benefit our pedestrians to have these walkways offset some distance from the road tarmac, wherever possible. This would make them safer in the minds of our pedestrians and, possibly, discourage jaywalking if immediate accessibility to the road tarmac is removed. These proposals will go a long way in encouraging our senior citizens, families with children, those with strollers and especially the handicapped gain greater mobility, independence and ease to get from one point to another. It is a concern that as we progressively develop more sophisticated modes of public transportation that the last mile to and from our stations is left only for the brave and adventurous. We must, as a progressive nation, look ahead to building a footpath network that will complement our otherwise world-class transportation infrastructure. On that note, Sir, once again, I support the amendment Bill.

    OFFICIAL REPORT - 2003-06-30 · READ THE OFFICIAL RECORD

  18. 6 metres wide", the clause is silent in specifying a minimum width for footpath. As we progress as a nation, I think it is important for the Government to place on equal parity the safety and well-being of the population that uses its public walkways for its everyday needs to that of the Government's when it comes to managing efficient and smooth-flowing roads. This will help, albeit in a small way, to encourage more to use public transport than to depend on private methods of transportation. Every little bit counts in our drive to conserve land by discouraging the use of private vehicles. This is an opportune time for us to realise our vision as part of this legislation. What the public would like to see and what the Street Works (Amendment) Bill should consider providing at the minimum is legislation that ensures (a) convenience; (b) safe; and (c) accessible walkways for a large segment of the population. I feel that our present Bill needs a clearer mandate to help encourage people to make use of our walkways in a manner that provides a seamless connector to their destinations or their travel origins. I would like to propose a broader and better defined set of characteristics that will help our population make use of our walkways to get to our bus stops, MRT train stations, public buildings or simply move from one neighbourhood to another. These include (a) setting a minimum width for a footpath where two adults walking abreast can have enough room to traverse comfortably; and (b) having a set of guidelines that would provide for a comfortable gradient when a footpath comes to an end, eg, at road crossings or at level shifts between buildings.

    OFFICIAL REPORT - 2003-06-30 · READ THE OFFICIAL RECORD

  19. As our Government enterprises and Government-linked companies sell land and charge rents based on prevailing market conditions, we need to bear in mind that acquiring land under such forced situations and uncompetitive conditions is unfair and not in the direct interest of our citizens. This amendment to the Street Works Act should therefore take this issue into account by removing the injustice of disregarding due process for our citizens who own land. The amendment should take into consideration Singapore's maturing status and address this issue so that land may be acquired under firm means but paid for at a reasonable and, preferably, prevailing market price. Consideration should also be given for inconveniences that private property owners have to be subjected to when such works are carried out within their premises. It is important that the message comes through to those outside of our Parliament's walls that their Government is firm but also fair. Clarifying this section will reinforce public sentiment that a fairer playing field is now on stage. Private owners of land need not worry about losing their properties but will find due recourse through fair consideration and compensation. The second concern is the amendment to section 27 as provided for in clause 15 of the amendment Bill. The same concerns I have expressed earlier also apply to the newly substituted subsections (1) and (2) of this clause. In addition, as Singaporeans are encouraged to use public transport and simpler modes of transportation, we will require better walkways and footpaths to traverse on. While subsection (2) of section 27 of the 1995 Act states in minimal wordage that "footways should be up to a maximum of 3.

    OFFICIAL REPORT - 2003-06-30 · READ THE OFFICIAL RECORD

  20. Mr Speaker, Sir, I rise in support of the Street Works (Amendment) Bill moved by the Minister of State for Transport. However, I have two concerns with respect to this Bill which I would like the Minister to clarify further. The first concerns clause 5 which amends section 9(1) to enable entry by LTA into non-State land and take possession of any land with the intent of constructing and improving streets or install or remove road structures and road-related facilities thereon. It is my hope, Sir, that such works, as far as possible, are performed on State lands and that entry into private properties is considered only as a last resort with the interest of the general public in mind. Section 9 of the Street Works Act 1995, subject to the provision of a two-month notice period, empowers the Authority to enter private land for the purpose of constructing road-related facilities or structures without providing any compensatory claims to the person entitled beforehand. The person entitled is required to file his claim for losses if he desires so. Sir, as our nation inches towards developed nation status, it is imperative that we pay particular attention to legislation that leaves a segment of our population without proper legal recourse. I see the provision of the Act to acquire land which the Authority feels necessary in the public interest without determining compensation for the land before the acquisition takes place, such as being provided for in the Land Acquisition Act, as denying property owners of their basic rights. It appears not to be in congruence with our objective of building a nation with a competitive mindset.

    OFFICIAL REPORT - 2003-06-30 · READ THE OFFICIAL RECORD

  21. Upon laying the appropriate foundation, each industry should develop an academy to raise the professionalism of its workforce, such as what the hotel industry has done in Shatec. With an enhanced service profile, workers can acquire the appropriate service skills standard. Sir, the ultimate goal should be the creation of a Singapore brand service that is unique and where people will rave about. We already have some form of service excellence, such as the Excellent Service Awards. We now need to make it more widespread and universal.

    OFFICIAL REPORT - 2003-03-17 · READ THE OFFICIAL RECORD

  22. I am confident that we can succeed to position ourselves as a leading services hub, if we can master the art of showering service upon our customers and make them a satisfied and happy lot. Beyond customer satisfaction and customer delight, Sir, we should learn to romance the customer. We should ride on Romancing Singapore and propagate this message to all local service providers. The imagery of the Singapore Girl immediately comes to mind when one thinks about service excellence. The great service one enjoys on board a Singapore Airlines flight has not only made the airline one of the world's leading airlines, but also impressed upon the world that Singapore has the ability for service excellence. The SIA experience shows that setting and processes are as important as the employees of an organisation. The secret is to take the customers' experience seriously, create an emotional connection with the customers, and ensure that the right experience is delivered to the customers. It is this interaction that counts, and this is what companies renowned in service excellence have put in place. I suggest, Sir, that apart from creating a service excellence movement to instill among Singaporean service providers the importance of service, we should also seek out effective training models of companies with outstanding service and develop affordable programmes for the service industry. In regard to training, there are a few local organisations, such as Singapore Airlines, the Raffles and Ritz-Carlton hotels, which provide outstanding service, from which training models could be crafted and initially used as kick-start training programmes.

    OFFICIAL REPORT - 2003-03-17 · READ THE OFFICIAL RECORD

  23. I see it as beneficial if we could formalise the presence of a contract manpower supply industry to supply manpower for professional assignments as well as satisfy the requirements of an evolving service industry, and would like to ask the Minister to take a hard look at my proposal. There are two advantages I see in such an approach. First is the creation of additional employment, as companies in such industries will maintain a pool of professionally trained employees and have them ready to be deployed for contractual assignments. The second advantage is the enhancement of professionalism of individuals which companies are expected to invest in, in order to project a professional image of their respective organisations. Sir, I move on now to my third cut. I am glad that the ERC, among others, has also placed emphasis on our growing services sector, recognising our potential to become Asia's leading services hub. A key consideration to realising this vision is to first ensure that we develop and fully understand what service excellence means. While I believe Singapore is quite ahead of regional countries, such as Thailand, Malaysia and, to some degree, Hong Kong and Taiwan, in terms of service excellence ranking, we pale considerably when compared to more sophisticated markets, such as the US, UK and Japan. To differentiate ourselves from our neighbouring countries, we need to carve out a strategy to develop the ability to provide differentiated or high-contact service. Our domestic enterprises must learn to work around the disadvantage of limited labour supply and high labour cost, and turn this into a competitive advantage. As a cosmopolitan city, we have many people with high purchasing power who are constantly looking for such differentiated services.

    OFFICIAL REPORT - 2003-03-17 · READ THE OFFICIAL RECORD

  24. But, often, they cannot wait for the right candidates to come by. I ask that MOM and our labour movement continue to drum into the ears of Singaporeans that these jobs have to and must go to foreigners, if they continue to refuse them. What choices do employers have? The multi-billion dollar factories and expensive equipment needed to be manned to recover investments. Singaporeans must therefore understand that we have no choice but to maintain a barrier-free employment system, and that they have to face competition from foreigners and foreign talents who are more than willing to grab such high-paying and stable jobs. Unless they wake up to the reality of the situation, we are going to continue to give away such high-quality jobs to foreigners. Sir, on my next cut, it is an established fact that as an economy matures, such as what is observed in the United States and many European countries, a corresponding contractual manpower supply industry typically evolves with it. Organisations operating in such economies need to be lean and trim in order to be competitive on costs. A readily available manpower supply industry fills the gap whenever there are temporary surges in work. We are inching towards such a stage as we restructure and position ourselves into a knowledge-based economy. Although there is already a skeletal presence of a contract manpower supply industry to supply contract manpower to serve industry needs, most companies doing so operate as job matching agencies and earn commissions from successful matches rather than maintaining staff on their payroll for immediate deployment whenever there is a need.

    OFFICIAL REPORT - 2003-03-17 · READ THE OFFICIAL RECORD

  25. Sir, we have heard during the previous three days and also from the Minister for Manpower a moment ago about unemployment which is currently affecting Singaporeans, there were also calls by some to slow down the flow of foreign workers, so that Singaporeans can be given priority to bid for the scarcer jobs available in our job market. While I, too, am sympathetic to the plight of unemployed Singaporeans, we need to be pragmatic and think about the needs of employers too. Notwithstanding the weak employment market, there are in fact many good high quality jobs available in the job market. But many of these jobs require intense training and application of thinking skills on the job. Regrettably, I dare say that many Singaporeans shun such jobs. They are still hoping for the high-paying routine-type easy-to-do jobs coming on to their laps. Unfortunately, such jobs are few and far between, and many of these are gone forever. A few months ago, I led a group of unemployed residents to consider employment in the Wafer Fab Park in Pasir Ris. After being explained the nature of the job, only about 30% said they would consider applying for the jobs. The primary reasons are the requirements to put on clean-room attire and 12-hour shifts. I later learned that, of the 40 people or so who attended the briefing, less than 10 actually applied. I have a similar sad experience in my own organisation where clean-room technicians' jobs requiring operation of sophisticated thin-film high vacuum systems and application of thinking skills are refused by Singaporeans. As a result, 70% of my employees working in this department are Malaysians. The key question is: where do we go from here? I believe, Sir, employers do want to give priority to Singaporeans to fill vacancies.

    OFFICIAL REPORT - 2003-03-17 · READ THE OFFICIAL RECORD

  26. Just like the crime prevention message is effectively driven home through posters and exhibits displayed at grassroots functions, the Ministry of Manpower could perhaps consider a similar approach to drive home this message, which is important to ensure that our workforce keeps up with changing trends and business needs, and remains relevant in this fast changing world.

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  27. Yes, Sir. We all know that much has been done to send the message to our workforce on the importance of lifelong learning. Not only has the Ministry of Manpower reinforced this message from time to time, the NTUC and many employer organisations, such as SNEF and the Singapore Human Resource Institute, and also responsible employers, have done their part to further propagate the message. However, I strongly feel that there is still a segment of our workers who remain oblivious to this message. We need to work harder to reach out to this group, if we are intent on reducing the impact of structural unemployment. Today's world takes no pity on the individual who gets lazy about learning. The choice is to take personal responsibility for continuing one's education or risk ending up without the knowledge and skills needed to protect one's career. Our workers must know that "LLL" is the only way to remain competitive in the job market. They must understand the need to invest in their own growth, development and self-renewal, just like the way a company invests in research and development and comes up with new and better products or services they can offer. Their future employability, their appeal as a job candidate will depend on them having a relentless drive to update their credentials and keep abreast of what is happening in their field. I would like to ask the Minister to consider stepping up the initiatives to further spread the lifelong learning message, and particularly reach out to the segment which seems to ignore or may somehow have not received this message.

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  28. I know that the ITE works closely with Government agencies, such as the EDB, IDA, SPRING Singapore and, more importantly, with the advisory council on continuing education and training - a tripartite body comprising representatives from MOM, NTUC, SNEF, SCI and also private organisations, to identify areas of manpower shortages in specific industries and also assess the needs and demands for new certifiable skills. Sir, it is therefore evident that ample opportunities exist for mature and young Singaporeans to benefit from CET. In spite of all these tremendous efforts, I still hear frequent rumblings in this House about unemployed Singaporeans grumbling about their inability to find jobs after going for skills upgrading or learning a new skill. There appears to be a disconnect here, Sir. I would like to ask the Minister for Manpower to consider reviewing the current CET framework and, particularly, to ensure that Singaporeans are learning and re-skilling themselves in the areas demanded by employers and by the industries. For unemployed Singaporeans, a centralised CET agency should guide them and match them with skills which better suit their personality and learning abilities. All these could perhaps be undertaken by the new statutory board under MOM which, I believe, is meant to address employment issues and training of workers. Many millions of dollars are being poured into CET, which is the appropriate thing to do to overcome structural unemployment, but I see the effort as being ineffective if unemployed Singaporeans still cannot get jobs. 6.00 pm

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  29. Sir, as many Members in this House have noted, taking care of careers these days means managing perpetual motion. Promotion of continuing education and training of Singapore workers as the economy restructures is a critical move by the Government to ensure that our workers keep up with the changing needs of their jobs as organisations re-shape, shift and flex themselves to fit our rapidly changing world. Our workers must understand that this is the only way for the organisations they work in to survive in this fiercely competitive environment. They must therefore expect flexible ways of working as duties are constantly being realigned. As Deputy Chairman of the ITE, I make it a point to keep track of the goings-on, and I am convinced that many programmes are in place to nurture CET. At ITE, there are 20,000 training places created for skills upgrading, leading to Nitec and higher Nitec courses. Half of these are taken up by Singaporeans and Singapore permanent residents. There are an additional 10,000 places for general education, leading to secondary, 'N', 'O' and 'A' level qualifications, and 28,000 places set aside for the BEST and WISE programmes. Between continuing training, ie, short skills updating courses and train-the-trainer programmes, there are yet an additional 4,000 training places. What I have just mentioned does not include ITE accredited courses conducted by industry training partners, which contribute a whopping 113,000 additional training places.

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  30. Sir, with the knowledge and expertise that we have built up over several decades, and having proven ourselves as a premier port globally, I would like to suggest to the Minister for Transport that we consider marketing our port expertise to countries which are desirous of embarking on excellence and also internationalising the port operations. Opportunities are clearly opening up in the emerging wider hinterland of China, Indo-China and India. In order not to over-stretch our resources, MPA could also consider collaborating with private organisations to license its intellectual property and capitalise on the vast business opportunities in the overseas markets. In today's context, we need to stay engaged with the world market as a means to remain relevant and keep ourselves constantly updated with new competencies, so as to stay competitive in a world-class league. The global arena is also the test bed for our port institutions to evaluate its competencies in an international setting. Given the experience and capability acquired over the years and Singapore's strong standing in various aspects of port management and our port-related institutions, such as the MPA and PSA, I am sure our expertise is highly valued and recognised by foreigners the world over. We should ride on this global wave and export our expertise as a further means of contributing to our GDP.

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  31. Our commitment to implement the container security initiatives as the first in Asia, which include the deployment of state of the art X-ray machines at our port terminals, should also be fully taken advantage of. I would also like to suggest that we review and loosen up customs treatment wherever feasible so that we can fully take advantage of the various free trade agreements which we have already signed with various countries and with many more on its way. 12.45 pm

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  32. Sir, a more competitive and challenging economic environment is spurring not only regional countries to attack Singapore's maritime turf, but also attracting international players to compete in our regional markets. While it is heartening to note that our container throughput grew by almost 9% to about 17 million TEUs last year, in spite of having lost Maersk and Evergreen, we can no longer take this year-after-year number one position for granted. It is apparent that our surrounding neighbours are truly giving us a run for the money. They have improved their port operations efficiency and are building new ports with the state of the art facilities and have openly stated that they want not just a slice but a big chunk of our business. As Mr Chay has said earlier, our port must rise to the occasion and review the business model which contributed to our success in prior years and overhaul this to suit the current challenging business landscape. We must craft the response and differentiate ourselves from the rest, not only to defend our leading position, but more importantly, to set ourselves several steps ahead of the competition in the current fierce environment. We cannot allow ourselves to be locked in past thinking. I suggest, Sir, that we critically re-examine our strategies and work towards positioning ourselves as a flexible multi-tasking and multi-modal excellence hub which integrate sea, land and air transport. We should continue to enhance our competitive advantages, such as fully operationalising the cargo tracking technology that we have invested in which enables cargo arriving at our ports to bypass customs inspection and be transported by road to and flown expeditiously out of our airport.

    OFFICIAL REPORT - 2003-03-15 · READ THE OFFICIAL RECORD

  33. I agree with him that studies have shown that institutional investors are prepared to pay a premium for companies with good corporate governance practices. Now, we have this set of corporate governance rules. We can look at them and see whether a simplified version can be applicable to the SMEs. This is something worth taking up. Also, his suggestion about a mentorship scheme is, I think, worth considering. I am sure that we would take this up, whether by ourselves or by Mr Raymond Lim's committee.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  34. But just as a general rule, the Government's policy is to require the Temasek-linked companies to operate on a purely commercial basis without any special treatment from the Government. We expect the Temasek-linked companies to raise funds that they need on a commercial basis. But if Government has schemes run by EDB or any other agencies that are available to all companies, then Members would also agree that we should not deny Temasek-linked companies to avail themselves of such schemes, just like any other Singapore-based companies. But like any other applications, the applications from Temasek-linked companies would have to satisfy all the qualifying criteria of the various schemes and be assessed on their own merits. Mr Ahmad Magad raised very good points about corporate governance. I think we all agree with him that it is important for all Singapore companies to adopt good corporate governance practices. The Government has placed more emphasis on the corporate governance of listed companies because they have public shareholders and there are greater public interests at stake. And it is therefore appropriate that these companies comply with more stringent corporate governance standards and disclosure requirements. This is consistent with the approach taken in the leading jurisdictions. For private companies, especially small companies where all the shareholders are also directors, we need to strike a balance between having high corporate governance standards and keeping business costs low. But I agree with Mr Magad completely that it is in the interest of the companies themselves to observe good corporate governance standards because, if they aspire to grow into listed companies and to multi-national companies, then obviously this would stand them in good stead.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  35. The Temasek-linked companies face the same kind of risks and difficulties, like all other companies during this downturn and, in the nature of things, not all Temasek-linked companies would be profitable or that they would be profitable every year. When we look at Temasek-linked companies, as a shareholder, we have to look at it holistically and over a time period. Overall, the Temasek-linked companies have performed reasonably well and, if there are specific problems with the companies' performance or fundamentals, Temasek Holdings would work with the board of directors to review the industry's prospects and to chart out new strategic directions. If necessary, the board may need to make management changes, or Temasek, as shareholder, may need to make the board changes. Losses in the company, as far as shareholders are concerned, would only be tolerated for a period of time and, if the board or the management does not give confidence to the shareholders that they can turn around the situation, then obviously, action would have to be taken. Just as Temasek holds the Board and management of the Temasek-linked companies accountable for their individual performance, the Government also holds Temasek Holdings accountable for the overall long-term performance of its portfolio of companies. To that end, MOF monitors Temasek's performance closely, and would not hesitate to make board or management changes, should these be necessary. The final point which Mr Inderjit Singh made was about unfair competition and loans and grants from the Government. If there are specific instances, we would be happy for him to highlight to us.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  36. The criteria by which Temasek holds on or divests its companies have been outlined in the Temasek Charter. Quite frankly, there are not very many major companies to be divested but it is unwise to name the potential candidates or set a timetable publicly because that would demoralise the staff and depress the value of the companies. But I can assure the Member that internally, between MOF and Temasek, we do monitor the implementation of the Temasek Charter. The second point he asked is whether or not we should split Temasek into a few vehicles instead of concentrating just on Temasek Holdings. Let me explain again. Temasek Holdings is a holding company. The main thrust of the company is in the operating companies, whether listed or not listed. Temasek is just a holding company. The main role of Temasek Holdings is really a stewardship role and to look after the interests of Government as a shareholder in these companies. So it is not necessary to split Temasek into different companies because the work is really done by the operating companies, whether it is SIA or the other companies. If we split Temasek into several holding companies, it does not necessarily mean that it would lead to better performance of the Temasek-linked companies. More likely, it would just increase overheads. Quite candidly, the main problem we all face is talent. If we split Temasek into several vehicles, we would have to start looking for several very high calibre people to run these companies and to provide the stewardship role. Mr Inderjit Singh asked about loss-making TLCs and what the Govern- ment should be doing about it. Basically, the performance of the Temasek-linked companies should be dealt with on a case-by-case basis, based on a peer comparison within the same industry.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  37. The rule that IRAS has is whether or not the source of income of the club is largely from subscriptions and from the members themselves. If more than 50% of the income comes directly from subscriptions and from the members themselves, it collects that income and then it uses it for its members, then, of course, it would not attract income tax. But if more than 50% of the income comes from non-members, then obviously, the club is running some kind of business, catering to non-members. 1.15 pm Mr Chandra Mohan also raised the point about jackpot machines. Jackpot machines for most clubs are revenue-generating and, therefore, the Government has a tax on the earnings, and the Government also has a deposit. It is not true that this deposit has not been previously instituted. The IRAS has always had a deposit. Previously, the deposit was $5,000 per machine since 1967. Recently, we have had this spate of jackpot machines in all kinds of premises, the so-called football clubs. So, between the Ministry of Home Affairs and IRAS, we have sat down and tightened up the rules. One of the rules being tightened is to enforce a higher deposit of $10,000. If you look at just inflation alone, from 1967 to now, just catering for inflation, that deposit should have been raised to $13,000 and not $10,000. So, $10,000 deposit is just catering for inflation. I think the deposit is necessary to make sure that clubs which have these machines use these machines for bona fide purposes and not as a basis for gambling. Mr Inderjit Singh raised several issues about GLCs. First, he would like the Minister for Finance to have a timetable, deadline or target, if not articulated, at least internally. DPM has explained this before.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  38. There are obviously merits to have convergence of tax and accounting practices, even though the objectives are different, and both are evolving, sometimes in different directions. On the three specific issues that she raised, I will pass them to IRAS and ask them to study. Foreign exchange - why is it a realised basis - that is one of the basic principles of income tax, ie, it is tax based on realised basis. So, I think there are some sound bases on which IRAS sets its rules. But, just as IRAS continuously has dialogues and discussions with the practitioners, as they do, say, with the estate duty lawyers, they would definitely talk to the accountants and tax accountants to make sure that there is better alignment of the practices. We want to make the tax rules as simple, sensible and business applicable as possible. So, I will ask them to take up these three areas which Mrs Fang raised. Mr Chandra Mohan raised the topic about clubs. Basically, the principle is the beneficiaries of the club. If the objective of the club is largely charitable, benefitting the community at large, then I think there are grounds for us to look at the income and whether or not they should be paying tax. In such situations, my advice to the club is to set up separate entities or funds, so that if they undertake projects for the benefit of the community as a whole, then it is better for it to set it up as a separate non-profit organisation for charitable activities. Of course, if 80% of the income they raise is put to charitable use, then it would not attract tax. But if the club is meant for the benefit of its members and not the community at large, then one would see that there is a reason for them to be treated just like any other entity and pay tax.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  39. The two points that Ms Irene Ng made, that divorced women are covered but not singles. But divorced women are different from singles. Singles are never married. The divorced women were previously married. So, the divorced women obviously are entitled to this scheme, because they meet the objective. I agree that we do want to encourage the singles to look after the elderly, and we do want the singles to continue working. For that reason, we have the parent relief and the handicapped parent relief, which are meant to provide some form of relief to the taxpayers to take care of their aged parents. As we all know, the parent relief is $5,000 for each parent and, if the taxpayer is not staying with the parent, then the relief is reduced to $3,500 for each parent. And if the parent is handicapped, then the taxpayer is allowed to claim an additional relief of $3,000 for each parent. Whether or not these reliefs are sufficient to address the needs of a growing number of singles who are looking after their parents, that is an important issue, separate from the foreign maid levy, and I think it is worthwhile for us to look at this whole issue of ageing parents and people looking after aged parents. All of us are aware that in Singapore society that responsibility largely falls on the daughters and, with a significant percentage of women being single, it largely falls on the single daughters, among all the siblings. So, I think it is an issue that is worth our further investigation. Mrs Fang Ai Lian raised the issue about aligning the basis for tax with that of accounting practices. In principle, I would have to agree.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  40. Just to explain the reasoning behind these rules, we have people who are tax resident in Singapore, and the NOR scheme is really to target the top talents who are now not currently tax resident to relocate to Singapore. For such groups of people, I think the scheme is not meant for all and sundry. It is really for the top talents. For them, the 90-day rule is to make sure that as long as they spend more than 90 days or about 1/4 of their time overseas, then that part proportionately will not be taxed by us. The 5-year limit is that we want to encourage such top talents to eventually be a PR here. I do not think Members want a scheme which has no time limit and they perpetually make full use of this scheme. Eventually, our aim is that such talents should sink some roots in Singapore and be a tax resident or PR in Singapore. Miss Penny Low also asked about the headline tax number. This is one of the precautions we put in to prevent a round-tripping. We could have done away with such a rule and then evaluate each of the cases as they come in. But having a headline tax rule makes it quite clear to the businesses that, if they come from jurisdictions which are clearly tax havens, then they will not be allowed to make use of this incentive that we have. Ms Irene Ng raised the point about foreign maid levy for singles caring for their elderly parents. I think it is a separate issue. As I explained previously, the tax relief for a foreign maid levy is really a marriage and procreation incentive and, therefore, it tells the career women that they continue to work even after they get married and have children, because then they would have this tax relief, they can have a maid to look after their children.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  41. Whether the fact that we have estate duty will deter foreigners from bringing their wealth here, we have taken that feedback, and Members would realise that, for foreigners, estate duty is not imposed on moveable assets. So, there is no deterrence to their bringing their assets to Singapore. They will not be covered by the $600,000 asset limit, as long as they are not moveable assets. Let me now turn to foreign income exemption. As the Deputy Prime Minister explained, exempting foreign source income is a very major change in our tax system. We have been very reluctant to do this for many, many years. We are now taking a very significant step. But, as with all big steps, I think it would be prudent for us to do so cautiously, because of the risk of round tripping and erosion of our tax base. So, the way we have gone about it is to exempt foreign source income for businesses first for the three groups of income. The reason why we have not extended it to employment income is because there is a greater scope for individuals to disguise passive source income as employment income, as it would be very difficult for us to trace the source of the income remitted, whether the income is from foreign employment or bank deposits. So, we have started off first by allowing this for businesses rather than for employment. As Miss Penny Low pointed out, for individuals, we really are depending on the Not Ordinarily Resident (NOR) scheme as a way of targetting and attracting top talent to come to Singapore. Again, we have approached this cautiously, and that is the reason why there are some of these rules, whether it is the 90-day rule, 5-year limit or the other rules for the NOR scheme.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  42. In Singapore, we believe that between wealth tax and inheritance tax, wealth tax is a more effective way of collecting. We collect it at the point of death, from one person, ie, from the deceased, whereas inheritance tax has to be collected from all those who inherit the wealth. But we are looking at it and we will see what is the most effective or the least disruptive way of collecting it. Some Members mentioned that very few people are liable for paying estate duty. That is the whole intention, ie, that estate duty is only targetted at the more well-to-do. In fact, only 14% of estates assessed in the year 2001 were actually dutiable. So, it is only targetted at the rich. The rates are low, between 5% and 10%. Members have complained about the long and costly process of people having to pay the estate duty. This is something that we are very conscious of, and IRAS regularly reviews the procedures to try and make this less of a hassle. Early this year, for example, IRAS had a roundtable with five estate duty lawyers to get feedback and to look at some of these procedures. I can assure the House that IRAS will continue to look at these procedures and try and make this less cumbersome. The question whether estate duty will lead to wealth leaving Singapore is something we are also very conscious of. That is the reason why the exemption limits are set fairly high, both for residential property as well as for cash and other assets. Some Members pointed out that as Singaporeans become richer, the $600,000 exemption limit may be due for review. We will obviously look at this as time goes on.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  43. Sir, as we actively promote entrepreneurship in Singapore, it is also incumbent upon us to help them grow and become successful organisations. Research reports do indicate that well-governed companies are more appealing to investors, which can help them grow quickly, and those which are already publicly listed command share price premiums of 20% over and above the average companies. The Second Minister for Finance (Mr Lim Hng Kiang): Sir, first, on the topic of estate duty, this has been raised several times. Let me just lay out the principles behind our continuing the estate duty. First of all, we agree that the collection of estate duty is not very significant. It is around $70-80 million, but it is still not a small sum of money. Secondly, the cost of administration is not very high. It is not as cost effective as collecting GST, but be assured that the cost of administration for collecting estate duty is not high and is still worth our while to collect this duty. But, more importantly, the reason for retaining the estate duty is the sense of social equity that we want to keep in Singapore. Many Members here have highlighted the trend of widening income and wealth gap between the rich and the poor in Singapore. This is likely to widen in time. We are lowering income tax. We do not have a wealth tax. We do not have a capital gains tax. So, if we remove estate duty, I think we would not have a vehicle to make sure that this social equity objective is kept. Other countries which have done away with estate duty would normally keep some form of wealth tax, principally capital gains tax, inheritance tax or other forms of wealth tax, such as a gift tax. So, the question is: what is the best way to collect such a tax to achieve this social equity objective?

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  44. Sir, in reviewing the Singapore Parliament Reports of the last three years, I noted that several colleagues in this House have advocated the need to strengthen corporate governance, primarily among Government or Temasek-linked companies. This was the result of corporate failures involving conglomerates, such as Enron, K-Mart and World.com. Sir, I have had the privilege of attending a top management forum in Japan recently, where a large number of senior executives from Asia were gathered to discuss this crucial topic of preserving public trust in business corporations. The culmination of the forum was the crafting of a roadmap for excellence in corporate governance for Asian businesses. While corporate governance is particularly important and especially relevant for public-listed companies, I would like to advocate that a framework for corporate governance for SMEs in Singapore be developed and embraced as a best practice. The framework need not be as sophisticated as that prescribed for public companies, but a simplified version which would enable SMEs to understand the importance of good governance. Such a framework would not only help SMEs navigate their companies better in terms of compliance with all relevant laws and regulations but, more importantly, would help to increase confidence among investors to put their money in well-run and well-governed companies, and make our SMEs more appealing to investors to help them grow more rapidly. A strong SME sector will not only provide more jobs but also contribute more to our GDP. I would like to ask the Deputy Prime Minister and Minister for Finance if he could consider introducing a corporate governance mentorship scheme with a panel of advisers which SMEs can subscribe to.

    OFFICIAL REPORT - 2003-03-13 · READ THE OFFICIAL RECORD

  45. Sir, may I ask the Second Minister for Defence what perhaps is the motivation of the Malaysians to continue to intrude into our territorial waters around Pedra Branca? RAdm Teo Chee Hean: Mr Speaker, Sir, I am unable to speculate on what motives the Malaysians may have but, clearly, as I have said, at this late stage, their violations into our territorial waters around Pedra Branca will have no bearing on the case and will not strengthen their case in any way.

    OFFICIAL REPORT - 2003-02-28 · READ THE OFFICIAL RECORD

  46. As noted in the White Paper, they were willing participants and well immersed in extremist activities long before the September 11 incident and their subsequent arrests. Their plans to attack targets in Singapore go back to the mid-1990s and intensified after September 11, 2001. Considering also the above-average education that most of the JI detainees have, it is imperative for our Singaporean Muslims to know and are convinced that the JI members know exactly what they were getting into and the potential devastation they would have caused, should their plans be successfully executed. Both Muslims and non-Muslims would have been victims of their aggressive acts. In conclusion, Sir, while the White Paper focuses on the JI perpetrating terrorism under the cloak of the Islamic faith, it must also be borne in mind that terrorism is, by no means, bounded by religion. The Oklahama City bombing by Timothy McVeigh and the sarin gas attack in underground subways by the Aum cult in Japan are some terror acts that come to mind. As such, Singaporeans must always be on guard against not only religious but also other forms of extremism to help the Government and, for that matter, ourselves, as Singaporeans, to protect lives and property, and preserve the inter-ethnic harmony that we have painstakingly built since our independence. The conclusion of the White Paper is apt in reminding us that, given the nature of the terrorist threat we face today, preservation of harmony is paramount to ensuring Singapore's continued well-being.

    OFFICIAL REPORT - 2003-01-22 · READ THE OFFICIAL RECORD

  47. Unless equal opportunities - and I would like to stress here, equal opportunities on the basis of our time-tested meritocratic principles are created for them to progress alongside other Singaporeans - the community will be denied of role models to catalyse further progress. It is a known fact that societies and communities blessed with successful role models develop greater confidence to undertake more difficult challenges in every facet of life and tend to progress faster. When this happens, the entire society benefits from it. As the saying goes, success breeds success. On the other hand, it has to be borne in mind that a Malay community which is discriminated against and denied of opportunities, in spite of putting in best efforts, will degenerate and turn into a disgruntled community. Over time, if not managed, an underclass, in the sense of groups who have lost all hope and dropped out from Singapore's mainstream society, will emerge. I do not think I need to describe what such a scenario would mean to Singapore. I know the Government would never allow the emergence of an underclass in our country. But I think it is important that we bring this perspective in the context of the current discussion. Sir, in Dr Wang Kai Yuen's speech in this House yesterday, he noted that many Muslims could not reconcile themselves that the JI members are bad Muslims and were just carrying out their Muslim duties when they joined the JI organisation in defence of Islam. As a matter of further clarification, Sir, it is important to note that the JI members were well aware of what they were going into when they decided to be a part of the JI.

    OFFICIAL REPORT - 2003-01-22 · READ THE OFFICIAL RECORD

  48. Only through such initiatives and concerted action of greater communication and involvement with each other could we achieve better understanding, which would lead to a stronger bond and trust between the major races in Singapore. We should capitalise on the current positive mood and push for attitudinal change among all Singaporeans, Muslims or non-Muslims, to take the issue of strengthening harmony and social integration more seriously than ever. In regard to the concern of potential discrimination at the workplace, it is heartening that there is a strong call among workers of different races and religions to uphold the principle of meritocracy. I also applaud the effort of NTUC, the Singapore National Employers' Federation and the Singapore Business Federation to jointly craft a 'code of responsible employment practices' which recommended, among others, to adopt consistent and objective selection criteria for employment and to avoid discriminatory rules in considering promotion and advancement opportunities. I would like to call upon employers of large and small companies, MNCs or local SMEs, as Mrs Fang Ai Lian has also done so a moment ago, to continue to adopt such fair and equal opportunity employment practices as we have done so all this while. Discriminating and sidelining Malay/Muslims in jobs if they could perform just as well as any other Singaporean would not augur well for our society. As Dr Yaacob, Dr Wang Kai Yuen and several others have pointed out, many Malay Singaporeans have been performing better and excelling in various fields.

    OFFICIAL REPORT - 2003-01-22 · READ THE OFFICIAL RECORD

  49. Last year, in May, while being in the United States, I had the opportunity to join in a community gathering near the hotel where I was put up. A pastor generously approached a black Muslim attendee to start the meeting with a prayer. He graciously replied by requesting the pastor to open with the Lord's prayer. After several enthusiastic echoes of "Amen" from all, the Muslim community leader lamented that this too was no different from the prayer of Muslims! It is apparent that communities, wherever they now live in the world, are generally making efforts to bridge the gaps of understanding between Muslims and non-Muslims, and especially so since after the 9/11 unfortunate event in 2001. Our Chinese majority non-Muslims, whether Buddhists, Christians or Taoists, should also reciprocate by making an effort to understand and know more about true Islam which is truly a religion of peace, but which has regrettably been subjected to extreme misinterpretations by irresponsible Muslims and non-Muslims to wholly advance their personal agenda. The Minister-in-charge of Muslim Affairs, Dr Yaacob, again yesterday and also several other Malay colleagues of mine have all elaborated on the subject of Islam at length in their speeches in this House over the last two days. I would like to thank all my non-Muslim colleagues who have spoken so eloquently in support of the need for and the benefit of more public education on the various religious and cultural practices of the racial groups here and also the need to strengthen the links between our key ethnic groups.

    OFFICIAL REPORT - 2003-01-22 · READ THE OFFICIAL RECORD

  50. Measures ranging from taking stock of the curriculum of Islamic religious education, registering qualified asatizahs, or religious teachers, to sanctioning foreign religious speakers have been mentioned by the Minister-in-charge of Muslim Affairs yesterday, and also by several of my Malay colleagues in this House who have spoken earlier. These are either already implemented or are being seriously considered for implementation. However, Sir, while such measures are necessary and important, I believe that the long run measure should be to ensure that the Muslim community is equipped with a sound and rational knowledge of Islam as well as an appreciation of the other major religions in our country, in consideration of the multi-racial and multi-religious context within which we all live. A proper knowledge of Islam will help in preventing the infection of deviant ideas from taking root among Muslims here. Knowledge of other religions would help in enhancing the understanding and the preservation of harmony among the various racial groups. Two Sundays ago, my constituency's IRCC organised a visit to the various places of worship within the Pasir Ris area. We started with the Pentacost Methodist Church where, after a briefing of the history of the church and its activities, we were invited to join in the service. I was subsequently surprised in being called upon to address the congregation and was later told that I was the first Muslim to have done so. I told them that singing hymns and saying the Lord's prayer was nothing new to me, as I attended Presbyterian High, a missionary school during my secondary school days, and yet I am still very much a Muslim today. We all laughed through it.

    OFFICIAL REPORT - 2003-01-22 · READ THE OFFICIAL RECORD