Amy Khor Lean Suan
Singapore
“Sir, NEA does conduct inspections of these premises from time to time. For this particular premises, they actually did six inspections since 2021.”
“The Land Transport Authority (LTA) conducts enforcement actions against drivers who are found to have provided illegal car-pooling services. An individual who provides an illegal car-pooling service may face a fine of up to $3,000, up to six months' imprisonment, or both.”
“We will also provide the first 500 private heavy vehicle chargers co-funding of up to 50% of the charger installation cost, capped at $30,000 per charger. These measures will narrow the lifecycle cost gap between an electric and internal combustion engine heavy vehicle and spur adoption of electric heavy vehicles.”
“With regard to the extension of the lower speed limit to school zones for full day, we will work with the relevant agencies on the enhanced enforcements.”
“They will provide a certain amount of protection to the pedestrians because, as I have said, the bollards will absorb the impact of the collision from the vehicles. So, there is a protection. But ultimately, of course, road safety really depends on a multitude of factors, including road user behaviour.”
“The bollards installed at pedestrian crossings by the Land Transport Authority (LTA) are not of the K4, K8 or K12 standards stated by the Member. Bollards of these standards are typically security bollards. They are installed to protect critical infrastructure or at high security areas, such as Changi Airport, to be unyielding.”
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“Second, re-emphasising the essentials. Hazardous industries like construction, shipbuilding and manufacturing employ the most number of foreign workers. This is particularly so for the construction sector. The task of educating these foreigners on safe habits and practices is made more arduous due to language and cultural barriers. I understand that all construction workers are already required to attend safety orientation courses to equip them with knowledge on common hazards at worksites. These are conducted in their vernacular languages. But, to imbue in these foreign workers a safety culture, the training courses should not just be mere orientation courses, but should be more in depth and in their vernacular, to ensure that the safety message is properly understood. They should also be regularly updated on safety best practices, and work hazards they should avoid. To further reinforce these safety messages and habits, there could be reminders and warnings in pictorial form and/or in languages they can understand, placed at strategic locations at the workplace. For example, signs at construction sites to alert these workers before they climb up the scaffolding or go on to the gondola. ExxonMobil is a company that has an excellent safety record despite it being in a highly hazardous industry. All bosses and workers and their subcontractors are required to strictly abide by the safety first ethic. There are reminders usually in the form of posters about safety precautions that are placed all over the workplace. For instance, safety messages are even plastered on the risers of steps to remind people of safe habits even as they walk up and down the flight of steps. Third, replenishing the resources.”
“This would then truly shift the focus of maintaining workplace safety from a compliance-based mindset to a commitment to safety based approach where all stakeholders internalise a safety-first culture. In this respect, the new Price-Quality Method (PQM), introduced by the MND last year, to raise the quality attribute in public tenders to between 20 and 40%, would help to entrench safety as a key factor in tenders for construction projects, and motivate contractors to maintain good safety records. However, MOM should urge all Government organisations to adopt this approach in all their tenders where safety is a concern, and not just for construction projects. Moreover, where applicable, these Government organisations should also adopt LTA's reward system for safety performance, where companies can earn safety bonuses based on a percentage of their contract value and, at the same time, face penalties in the form of negative bonuses for poor safety record based on periodic audits of the workplace. This would be a more tangible way to motivate companies to maintain good safety records and instill safety-first practices within the company. Private companies should also be urged to adopt such bonus payout schemes for good safety performance, as well as separately evaluate price and quality for their tenders so that safety would be viewed as a strong plus factor in securing contracts. The Minister had noted in Parliament last year that the Workplace Safety and Health Council would publish the workplace safety performance of all companies under the ambit of this Bill at regular intervals for the consumption of potential principals, potential employees and insurance companies. I would like to ask the Minister if the Ministry would be proceeding with this soon.”
“Sir, this legislation to regulate workplace safety comes none too soon. Even with so much scrutiny on worksite accidents after the Nicoll Highway mishap, and the Government vowing to crack down on work-related accidents as well as setting higher standards of safety, fatal worksite accidents continued to occur in 2004 and 2005. Just last Friday, another two workers were injured when a scaffolding collapsed at Keppel Shipyard. In fact, whilst the number of industrial accidents declined from 3,947 cases in 1995 to 3,179 in 2003, the numbers rose again to 3,283 in 2004. The situation is especially worrying in the construction sector. The number of construction worksite accidents increased from 887 in 1995 to 1,216 in 2004 despite the fact that the value of construction work had more than halved during that period. Sir, I commend MOM for the new occupational safety and health regime that it is introducing thorough this Bill. The regime demands a radical change in mindset towards safety from a compliance mode to a commitment to safety-based approach. I note that the Bill is very comprehensive and far-reaching. It has taken into account many of the suggestions and concerns raised by MPs in Parliament last March supporting a motion raised by my parliamentary colleague, Dr Teo Ho Pin. There are, however, four areas which I would like to urge the Minister to pay further attention to. Firstly, reinforcing with rewards. Sir, whilst I support the move for more stringent requirements and penalties to maintain workplace safety and health, it would be even better if we adopt a positive reinforcement approach where stakeholders are incentivised to maintain high safety standards and not merely penalised for failing to meet them.”
“We should also continue to encourage members of the public and whistle-blower, to alert the authorities about individuals and organisations who flout the law. Sir, the Endangered Species (Import and Export) Act was first passed, as was noted by the Minister of State, in March 1989 to give effect to the CITES. The Act has since been amended twice and this time it is being repealed and re-enacted to update and streamline the Act and align it with CITES' requirements. I am pleased that the Government has been proactive in this respect, and has taken into account feedback from the community regarding the need to impose heavier penalties as well as widen enforcement powers for the Act to serve as an effective deterrent against illegal wildlife trading. Sir, I support the Bill but hope that the Government can further strengthen the penalties as well as the enforcement system.”
“I am also pleased that the Director-General and other authorised officers are now given wider enforcement powers, which include the right to enter and search any premises or ship, or any other conveyance as well as the right to seize any animal or plant, if there is a reason to suspect that they are being illegally trafficked. However, such enforcement powers can only be effective if there is sufficient manpower. Hence, I would like to ask the Minister of State if the manpower for enforcement would also be strengthened. This would help to minimise the chance of illegal shipments slipping through the customs. I would also like to ask the Minister of State, how regularly AVA conducts checks on pet shops to ensure that there is no illegal trade in endangered species and that animal welfare is not compromised. And for that matter, even for Chinese medical shops. Just last year, it was reported that AVA, acting on a survey conducted by ACRES, visited some 100 pet shops and found 20 selling endangered species. How do cargoes, containing significant quantities of endangered animals occasionally slip into Singapore without detection? Would the AVA be undertaking stricter enforcement at pet shops, Chinese medical shops, checkpoints and other locations? Heavier penalties ought to be coupled with stricter enforcement to effectively deter such illegal trafficking of wildlife. Thirdly, public education. Finally, I would like to urge the Ministry to work closely with civic groups like ACRES, community centres, schools and other institutions to conduct more public education exercises to heighten the public's awareness about not keeping endangered animals, the risks they pose to the animals and/or plants and their new environment.”
“I am glad that the Bill has increased the penalties imposed for illegally dealing with endangered species ten-fold, from $5,000 per species to $50,000 per species, but subject to a maximum of $500,000, and with a maximum jail term of two years, instead of a year. However, given that the sums involved in illegal wildlife trading can run into tens of millions of dollars, as the Minister of State has just noted, I would like to ask the Minister of State why the penalty imposed is not computed on a per animal basis, but on a per species basis. This is despite the fact that there have been calls from various quarters, including the Animal Concern Research Education Society (ACRES), who have asked for the penalty imposed to be based on the number of animals traded, or in the case of animal parts, on a quantifiable unit, instead of a per species basis, which does not reflect the true market value of what is illegally traded. Logically, the higher the number of animals being illegally traded, the higher would be the value. Hence, the heftier the fine ought to be. This would then be an even stronger deterrent against illegal wildlife trading. Sir, I would like to ask the Minister of State what is the rationale for imposing penalties based on a per species basis. Is this in line with similar legislation in other countries that are also signatories to CITES? Furthermore, I would like to ask the Minister of State why is there a need to cap the penalty to a maximum of $500,000. If these illegal traffickers continue to commit such offences, despite the hefty penalties, why should the law help limit the financial risk they face upon prosecution? Secondly, enforcement powers and manpower.”
“Mr Speaker, Sir, I welcome this Bill, which repeals and re-enacts the existing Endangered Species (Import and Export) Act, particularly as it seeks to increase the penalties for illegal wildlife trading and enhance the enforcement powers of the Director-General, Agri-food and Veterinary Services, and other authorised officers. It is a big step forward for Singapore in our contribution towards environmental conservation and protection. We must play our part to conserve our planet and our fellow occupants - plants and animals - to ensure a sustainable living environment for our future generations. Singapore, due to our strategic location and the rich biodiversity of our neighbours, has become a transshipment hub for commercial trade in animals, plants and their by-products. Unfortunately, along with this, there is also some perception that we could unwittingly have become a centre for the illegal multi-billion-dollar wildlife trade. Even though this has not been proven to be so, we must do whatever we can to help stop this illegal and cruel trade. Too many species in Southeast Asia have been hunted to extinction. I understand that more than half of smuggled animals die. The majority of the survivors end up mistreated. Many do not adapt well to captivity and the very act of removing them from their natural habitat damages the fragile ecosystem and threatens the species' and other species' existence. Part of the problem is poverty and ignorance. Another part is economics - demand is enormous and huge profits can be made. I would like to raise three points in relation to the Bill. Firstly, the mode of imposing penalty.”
“At the same time, MINDEF also shows that it has a heart when it decides not to put in place a minimum mandatory jail sentence so that whilst we demonstrate the value and critical importance we place on NS, we allow the courts to exercise compassion where this is generally warranted under extenuating circumstances. Sir, I do, however, agree with some of my parliamentary colleagues that we should review the deferment policies, not just for enlistment but also for reservists' training. Sir, whilst introducing flexibility into the system, we would also want to see more clear policies regarding deferment so that there would not be any perception of inequity involved. Sir, I do feel sorry for Melvyn Tan because of all the flak he has received, whether one thinks this is deserved or not. Lin Chun Long, one Straits Times Forum writer rightly says that we should forgive the man and embrace him. And we should do so, not because of his talent, however prodigious, but because he was a son of Singapore whose elderly parents are still living on our soil. But we need to use Chun Long's words, the moral clarity to realise that what he did cannot be justified, and we should therefore reinforce the law to send this message clearly to our young men upon whose shoulders and loyalty, the defence of our nation rests. Then, I can tell my son in reply to his question on why all boys must go to NS, that it is every Singaporean man's duty to defend the country, that it is not a choice, but an obligation and that it is not about sacrifice but about commitment and honour. Sir, I support the proposal to amend the Enlistment Act to stiffen the penalties for draft dodgers. 5.10 pm”
“In fact, it is precisely because we are a small nation that National Service for the defence of a country is compulsory for all able-bodied men in Singapore so that we would be able to get a respectably sized fighting force if the need should ever arise. A 3G army still needs 3G soldiers even if technology can reduce casualties and the need for manpower. Sir, the idea of allowing our top talents to serve NS in other areas outside the uniformed groups so as not to discourage even more amongst the Singapore diaspora from coming home is also flawed. The suspicion that there is inequity in the system, that Melvyn Tan has been given special treatment due to his fame and talent is, in fact, one of the main factors fuelling the controversy. Nonetheless, I do agree with the writers that we should never let up our efforts to heal the rifts under the surface so that they do not erupt. Sir, we need to affirm the basics of NS, that it is a sacred, necessary and noble institution because it underpins the defence of our country. That it is also a rite of passage for every young man to instill in him discipline, commitment and sacrifice of his personal preferences for a larger national purpose. That undergoing NS is also a measure of loyalty to the country and that its rigour should be applied to all, regardless of rank, ability or parentage. Hence, I fully support MINDEF's decision to amend the Enlistment Act to impose more deterrent sentence on those who dodge the draft to reflect the tremendous sacrifice of our men who dutifully heed the call to National Service. I agree that MINDEF should press for jail sentence for serious NS evasion cases, commensurate with the length of default and whether the defaulter is able to serve NS, unless there are mitigating circumstances.”
“" Surely, the two to two-and-a-half years of tough, regimented training, 5.00 am stand-by beds, night topography exercises, being food to hordes of mosquitoes in the jungle, 20-kilometre route marches in full battle order - surely, this cannot be worth a mere $3,000. However, under the guiding pen of some press writers, the debate took on a life of its own, shape shifting into various larger issues. It became a debate on foreign talent or, more precisely, foreign local talent - that the vitriolic public reaction was really another expression of gripes at how this Government readily rolls out the red carpet to able non-Singaporeans while local workers are left to mire in their insecurity. It also became a debate on the politics of envy, of the reality of fault lines in our society, of a class divide, between the rich - because Melvyn Tan's parents could afford to pose the then princely sum of $30,000 as bond - and the poor. It became an issue of privilege and partiality, that the talented and the wealthy could get away with what would otherwise be applied forcefully on ordinary people. In some ways, it echoed the white horse controversies some years ago about alleged special treatment of children of VIPs in the army. It also became a debate on whether and how we should expand the notion of NS in this globalised world where it is viewed that the battle for talent surpasses in intensity and importance, the battle for geographical territory. Sir, I think the case may be overstated by some of these writers. Being a small country, expanding the scope of National Service to include civilian jobs or humanitarian assistance locally and overseas, is a luxury we can ill-afford, at least in the foreseeable future.”
“Sir, I confess that I am a "debataholic" and always relish taking on an issue in Parliament. But in this instance, I took quite a while to decide that I would participate in this debate on the issue of National Service and draft dodgers. As a woman who has never had to go through what many would consider as the rite of passage for Singaporean males, I am painfully aware that I do not exactly have the moral authority to speak on this issue. My only locus standi is that I have a 15-year-old son who would be going to NS in about three years' time and who had recently posed me this question, "Why must all boys in Singapore go for NS?" Indeed, Sir, this is the heart of the matter. On hindsight, that the case of Melvyn Tan, unknown to the public until the Straits Times blew the cover on it, so to speak, has stirred so much controversy, should come as no surprise. All my male grassroots leaders felt offended by the seeming injustice of it all. Men in green who go on AWOL are charged and sentenced to detention barracks - period. There is no "either a fine not exceeding $5,000 or a jail term not exceeding three years" in the sentencing. Indeed, we are given to understand that for many years now, and as the Minister has explained in his statement earlier, since 1993, the Subordinate Courts have imposed only fines on all draft dodgers. The Subordinate Courts had relied on two cases whose jail sentences were commuted to fines by the High Court in 1993. Many of my male friends and my husband asked quite indignantly, "Is not this an anomaly, when a civilian who escapes NS gets away with a mere $3,000 fine, while someone enlisted, and is already serving, but who is being disciplined, receives much harsher treatment?”
“Hopefully, it could also help to go some way to address the frequent public mistrust of the public transport operators and, in the case of some, even the Government's intentions, each time the PTC reviews an application for fare hikes. With this, Sir, I support the Bill. 4.18 pm”
“The PTC can now pro-actively direct PTOs to adjust fares or to give fare rebates in accordance with the recently-approved fare adjustment formula. Currently, they can only consider fare adjustments if the PTO submits an application for fare adjustment, which implies that it is unlikely to submit applications to adjust fare downwards, even if there are conceivable grounds to do so, for example, new and much cheaper sources of fuel that are commercially available. I would like to ask, besides the PTC itself initiating a review of the price: could the public also be allowed to ask for a fare review? Again, it would be helpful for the process to be made clear, perhaps by allowing the public to post such appeals on the website, with submission of the full grounds for such a revision to a review committee. The committee then can make recommendations to the Minister, who can then direct the PTC to consider the application. Additionally, how would such an application be treated and the subsequent decision communicated to the public by the PTC? Sir, in conclusion, I am pleased to note that the Ministry has responded to the many calls made by commuters for more explicit and transparent regulation of the performance standards of our PTOs. The amendments to the PTC Act would provide the PTC with more teeth to enforce service standards as well as penalise commuters who abuse the system. These amendments, if properly implemented, should help to further enhance the efficiency of our public transport system and also contribute to keeping costs at an affordable level.”
“Additionally, I think that there should be clearly written notices in all four languages placed prominently in the buses and MRT stations and trains to remind commuters of the correct way to use their fare cards and the penalties that they could face for evasion. Thirdly, performance standards of ticketing service providers. The PTC would also be empowered to regulate fees and charges levied on commuters, service standards for sales, refund and top-up services and so on by the two ticketing service providers. Penalties again of up to $100,000 for regulatory breaches can be imposed on the service providers. There have been many calls, as noted by the Minister, by the public to fine the ticketing service providers for overcharging due to bugs in the ez-link card system which, to date, still persist. Since the PTC can now impose performance and service standards on these providers, it could, among others, stipulate a maximum acceptable overcharging rate due to systems error, after studying and being advised as to what is an acceptable error rate. For instance, is the error rate of 0.006%, which the MOT has reported for the period April to July 2005, an acceptable maximum rate, given that there are approximately 78 million trips made each month? Compared to the estimated loss in revenue of $9 million due to fare evasion, what is the amount that had been overcharged due to systems error? If the stipulated rate is breached, then the providers ought to be liable for penalties. This would ensure that they would closely monitor the performance of the fare card system and place priority on improving the system to minimise overcharging due to systems error. Fourthly, fare adjustments in response to market forces.”
“Of course, the LTA must also take into account the design of bus stops to accommodate easier movement and access of the disabled, the elderly and those with infants into the buses. Secondly, penalty for fare evasion. The amendments also provide for a penalty fee system and imprisonment for repeat offenders to be imposed on bus and rail services to deter fare evasion. I would like to urge the PTC to ensure that the bus inspectors, appointed by the PTC with the approval of the Minister, exercise their powers judiciously and with an even hand. After all, this is intended to serve as a deterrent and is not to be a witch-hunt. There would be genuine cases of, say, the elderly and the less-informed who may, unintentionally, tap their fare card earlier than they need to alight and do not know how to use their fare cards properly. These inspectors should be appropriately trained to not subject commuters to unnecessary public humiliation and be treated like criminals. Appeals to operators as well as to the PTC against the penalty imposition should be heard expeditiously, and refunds on penalty fee be paid promptly, if indeed it is found that the commuter is innocent. The composition fines of $500 to $2,000 in the case of a court action, and provision of imprisonment for repeat offenders are harsh penalties and disproportionate to the likely fare evaded. Although it has been noted that this has not happened in the current regime, it cannot be assumed that it will not happen going forward. Hence, hauling offenders to court should remain as a last resort and exercised with much caution and great sympathy.”
“I also hope that the PTC would look into further enhancing the service standards of our bus operators by requiring them to improve accessibility of the buses to the disabled, the elderly, and to parents travelling with infants in their arms or with prams. This issue of accessibility to the disabled and the less mobile elderly has been debated for years. Even as the MRT is now being made disabled-friendly, it is timely to look into making our buses disabled-friendly also, so that our public transport system is truly integrated and accessible to all. A disabled-friendly public transport system does not only benefit the disabled community but also the elderly and those with infants. We cannot continue to give the reason that making buses disabled-friendly will slow down the other commuters. After all, such features are already widely available in developed countries for many years, and commuters do not appear to have an issue with the provision of such features. Furthermore, such an attitude would be totally inconsistent with our efforts to build an inclusive and gracious society and one in which customer service is deeply ingrained in our collective culture. As our society ages, it is likely that more elderly could benefit from these disabled-friendly features than the disabled themselves. We need to start looking into the provision of such features, perhaps in phases, by requiring only the new fleet of buses to be fitted with these features when the old buses are de-commissioned. This would reduce the cost to the bus operators of requiring all buses to be fitted with such features at one go. In fact, these features could simply comprise buses with no steps or low steps.”
“In this regard, Sir, I would like to ask the Minister how would the PTC determine what are acceptable performance standards or benchmark performance standards when evaluating an application for a new operator licence or for a renewal of the licence. Would the PTC conduct an independent audit of the level of service provided by the bus operator for every route it operates as well as the efficacy of routes within the designated geographical area of operation in addition to studies conducted by experts on behalf of the operator? How frequent would these performance standard audits be carried out for the PTC, or would it be only carried out as part of the evaluation process for the issuance of renewal of a licence? How can public feedback regarding the quality of service of the bus operator be formally taken into account by the PTC when defining the standards to be met? These benchmark performance standards which the bus operators are to comply with should be made known to the public, and they must be easily measurable such that the PTC can impose penalties on the bus operators if such standards are breached. For instance, taxi operators are penalised, if the number of accidents that their fleet of taxis are involved in exceeds a stipulated maximum. A set of publicly disclosed transparent performance standards will give commuters the assurance that their interests are being looked after. I would also like to ask the Minister how the public's request for new routes would be catered for. For instance, can they apply directly to the PTC to consider adding a new route? Appropriate answers to these questions would enhance the credibility of the whole PTC in its oversight of the public transport infrastructure.”
“Sir, except for the penalty to be imposed for bus and rail fare evasions, the other proposed amendments to the Public Transport Council Act may be said to be largely in response to the persistent calls from public transport users for more oversight and greater accountability of the public transport operators for the ultimate protection of consumers. These amendments, if properly implemented, should help to ensure higher performance standards by the PTOS and reduce anti-competitive behaviour. Public transport companies, even if they are commercially run and answerable to their shareholders, do have a social responsibility, since they are providing what is essentially a public necessity. Moreover, with the allocation of the geographical areas within which they can operate by the Government, they enjoy near monopoly status. To quote the famous dying words from Peter Parker's uncle in the movie "Spider Man": "With much power comes much responsibility." Hence, the operators should be subject to a higher standard of public accountability and transparency. As in so many other matters of public policy we have debated in this House, I am, however, concerned with the efficacy of operationalising these proposed amendments. Accordingly, I wish to highlight four issues. Firstly, regulating the service standards of bus operators. The Bus Service Operator Licensing (BSOL) gives the PTC legal powers to enforce licensing conditions and performance standards, which include aspects, such as directness of journey, accessibility, bus links to MRT stations and bus timing, at the operator level. The PTC can also impose financial penalties of up to $100,000 on operators who breach any licensing conditions.”
“I would like to ask the Minister how does the number of 76 cases of flats repossessed compare to purchasers who were not asked to get loans from the banks when there were only HDB loans available. My other question to the Minister is: for those in financial hardship, dire financial needs, when the flats are repossessed and if they do not qualify, say, for rental flats and exemption cannot be given, would the Ministry consider putting in place some policy or guideline as to whether such displaced owners can get HDB financing because many of them actually have got credit rating problem and would not be able to get subsequent bank loans?”
“Sir, in order to encourage the operators and ensure that in future, they would put in as much effort as possible to make the non-gambling portion of the development successful and therefore increase the revenue portion from that element, would the Ministry be considering imposing the 50% cap later on down the line?”
“Given that there is considerable coordination required among the different agencies and Ministries due to the complexity of the project, and the different agencies and Ministries may sometimes have conflicting but nonetheless necessary objectives to safeguard, may I ask the Minister whether this could inevitably cause some delays in the progress of the IR project? And would the Minister agree that such coordination issues could also delay the progress of the IR when it is operationalised and developed? If so, would the Ministry put in place an inter-Ministerial committee to look specifically into the development and operation of the IR over the medium to long term to ensure its success as well as meeting the objectives and concerns of all the stakeholders concerned? Another question I would like to ask the Minister is if there could also be any possibility of a further delay in the launch of the RFPs, given that we are now seeking feedback from the public regarding the guidelines as to the use of the IRs. And has the Ministry actually taken into consideration the possibility of investors' waning interest if there are further delays, in view of impending competition from other countries, like Thailand?”
“These include providing training programmes to the grassroots to help them assess the circumstances of those who seek help and better identify the type of help needed. At South West CDC, for instance, we are also reaching out to families whose children are on the Kindergarten Financial Assistance Scheme to assess if they are in need of other help, such as employment assistance and so on, even though they may not have sought further assistance in this area. It could be that they are still unaware of the various forms of assistance available. Going forward, we would also need to encourage and enlist more residents, particularly those with a passion to help the less fortunate, to step forward to be our eyes and ears and identify those who need help in the community. This would be aligned with the objectives of the ComCare Fund which is to show that the community cares for its less able and would render assistance to them. Sir, in conclusion, I applaud the Government's move to set up the ComCare Fund. It acknowledges the need for more resources and efforts to be directed to assist the less fortunate in our society. The twin forces of globalisation and technology that we so heartily embrace as the means for our future prosperity are also the very forces that can tear apart our social fabric. We need a compassionate counter to the brutality of these twin forces. The establishment of the ComCare Fund and helping low wage workers through workfare are clearly steps in the right direction towards PM Lee's vision of a more inclusive, compassionate and more resilient society. Sir, I support the Bill.”
“Additionally, the residents in the constituency could assist in identifying and alerting, say, the relevant grassroots and/or CDC of anyone who is in need in the community. Appropriate and timely help could then be provided to the residents. This morning, I read with a heavy heart the case of an elderly couple who have apparently made their home in a multi-storey carpark in Woodlands for the last six months as reported in the press, Today. Their reasons for doing so are, I think, still under investigation. Nonetheless, this reinforces the continuous need to raise the awareness of the general public and enlist their cooperation to inform the relevant CDC or grassroots of such cases as soon as they are detected so that timely help can be dispatched. Though such unfortunate cases are, thankfully, quite infrequent, we do read of them from time to time in the press. Whilst efforts to raise public awareness on where social assistance can be sought have been undertaken by the Ministry together with the CDCs and the grassroots organisations, it would appear that even more concerted efforts are needed to educate the public on where they can seek financial and other social assistance for themselves or their fellow constituents. Like our battle against SARS and now, dengue, our fight against poverty also needs the joint effort of the public. To borrow a quote from a resident commenting on her fight against dengue, which I feel is equally applicable in this instance, I quote, "No matter how much the Government promotes this, (she is referring to dengue while I am referring to community self-help), it is up to the public to practise it." In this regard, I wish to note that the CDCs have been adopting more proactive approaches to identify and help the needy in the community.”
“Currently, social assistance schemes provided under ComCare are available generally on a short-term basis and reviewed every three months, as my colleague, Mr Sin Boon Ann, has noted earlier. However, the circumstances of the foregoing groups of people are unlikely to change after three months or, for that matter, three years. Consequently, longer term financial assistance would be more relevant for them. Whilst the recent announcement of a CPF top-up for low income families to help them own their HDB flat is useful, the more urgent need for many poor families is actually to provide for the basic needs of their family, such as food on the table, paying their utility bills, etc. Such assistance schemes could be reviewed on a longer term basis, say, on a yearly basis, for this group of people. I therefore feel that whilst we want to avoid a crutch mentality, there is a need to also look at some expansion of the welfare scheme to embrace those who are in genuine need and are unlikely to become self-reliant in the short to medium term. Hence, the assistance schemes offered under workfare should be carefully considered and packaged to synergise and/or dovetail with the help provided under the ComCare to avoid confusion and waste. We would also need to allow for some flexibility in the implementation of these workfare schemes. Finally, enlisting the help of the community. Whilst the decentralisation of social assistance schemes from the Ministry to the CDCs has generally improved the delivery of such assistance to the needy, the ComCare Fund takes this a step further as it recognises that the grassroots are closest to the ground and hence should be even more effective in identifying those in need in a community.”
“Hence, the Government will render assistance, but only if these low wage workers make the effort to find and keep jobs and upgrade their skills to earn more. The Minister for Manpower, Dr Ng Eng Hen, who chairs the Ministerial Committee on Low Wage Workers, noted that only those who really cannot work and do not have family support will get welfare. He also said that ComCare will continue to serve as a safety net for those who are truly needy but physically and mentally incapable of work. Sir, it is hard to argue against the philosophy underlying the workfare strategy and I must say that I fully endorse this more targeted and sustainable approach to helping the low income families. Nonetheless, I feel that there are instances where the welfare component of workfare, for it is undeniable that there is a welfare component, may play a more important role and could need greater expansion in scope than what is currently available. For instance, there are groups of people who face genuine constraints in skills upgrading, thus seriously limiting their ability to earn more. These could be, amongst others, some of the disabled and educationally sub-normal who, even if they can find work, cannot earn enough for a decent living. Secondly, those with psychiatric problems and have been past patients of the IMH and who have extreme difficulty finding work, as well as, thirdly, single parents and families where it is not possible for both parents to work for various genuine reasons, like inability to find affordable and appropriate childcare, and so on. There are compelling reasons for such groups to receive longer term welfare as it could take some time, if at all possible, before they can become self-reliant.”
“This "flexible" ComCare Fund is to allow the grassroots, who know and understand the needs of the residents more intimately, to render more timely "stop-gap" assistance before referring the cases to the CDCs for more detailed evaluation and assistance. It also allows the grassroots to help those who may not qualify under the existing national schemes administered by the CDCs on behalf of the relevant Government agencies, but who are in genuine need of help. At the present moment, those who fall outside the key qualifying criteria may be assisted, but on a case-by-case and piecemeal basis. But the Government should undertake regular evaluation and studies to determine if the income ceiling or per capita for the schemes, for instance, should be raised due to rising costs, and so on. In this regard, I would like to ask the Minister how the key qualifying criteria, such as the income ceiling for the various national schemes, are determined, and if a systematic review mechanism is already in place to monitor the relevance, effectiveness and appropriateness of these schemes and their main qualifying criteria. If not, would the Minister be setting up a proper review mechanism as well as conduct studies to monitor and evaluate these schemes? One suggestion would be to peg the criteria to, say, the Consumer Price Index of the lowest 20 percentile of households. Thirdly, welfare and workfare. The Government has recently identified "workfare" and not "welfare" as a strategy to help low income workers so as to preserve the strong work ethic that has prevailed and avoid breeding a welfare dependency syndrome. It wants to send the message that work is the best way to assist people.”
“Since the fund's namesake is "ComCare", or short form for Community Care, the community could also be roped in to raise funds to enlarge the sum available for rendering social assistance. This way, the community would truly feel a part of this movement to allow itself to help the less able in its midst. In this respect, the Government should work with NCSS to rationalise such fund-raising efforts from individuals and corporates so as not to generate donor fatigue. Periodic augmentation of the fund is necessary to take into account inflation, depletion of incomes or reduction in returns from a weak investment environment, long term increases in the cost of living and the likelihood that the needs of the less fortunate segment of our population could increase in the future, in view of our rapidly ageing population and the persistence of structural unemployment. Secondly, constant monitoring and review of qualifying criteria for social assistance schemes. The Government should also regularly review the qualifying criteria for many of the national social assistance schemes, chief of which would be the cut-off monthly income or per capita, which is currently at $1,500 per month or $450 per capita for most schemes. Already, there are not an insignificant number of feedback and appeals for various social assistance schemes to be extended to those with household incomes of more than $1,500 or per capita of more than $450 per month, as there are households with incomes above this level who are genuinely struggling to make ends meet. A unique feature of the ComCare Fund is allowing for a "flexible" fund component to be administered by the ground, ie, at the grassroots level.”
“From the perspective of a Government that has hitherto religiously shunned any semblance of welfarism, it also signals an acceptance that many more Singaporeans than before need assistance, whether on a short-term or longer-term basis. I would like to comment on four key features of the ComCare Fund and the considerations that ought to be taken into account in its implementation. Firstly, the independence of the ComCare Budget and topping up of the ComCare Endowment Fund. The key intent of the ComCare Fund, to dispense help to the less fortunate and assist them to become self-reliant again without breeding a crutch or entitlement mentality and to delink the funds needed for social assistance from the Government's budget, is a practical and sensible arrangement. This is also in contrast to the social assistance schemes of many other countries, who have depleted their treasuries or led to high income taxes due to well-meaning but poorly structured welfare schemes which are open to abuse. As the Minister earlier noted, the setting up of the ComCare Endowment Fund, as an independent fund, means that this amount is sheltered from any adverse fluctuations of the economy. Other programmes may be cut during periods of economic downturn, but it is precisely during such difficult times that poorer households need the most help. This is yet another acknowledgement by the Government of the need to have more sustained and focused efforts to help our less fortunate. Going forward, and as provided for in the Bill, the Government should consider topping up this Endowment Fund whenever the economy permits, even after the initial target of $1 billion is reached.”
“Sir, before I begin, let me declare my interest as the Mayor of South West District and also a member of the ComCare Supervisory Committee. Sir, the establishment of the ComCare Fund could not have come too soon. Back in 2000, a study by the Department of Statistics showed that income disparity began to increase in 1999, a significant departure from earlier periods when household income distribution remained relatively unchanged. This increase in income disparity stemmed from an increase in the number of households in the lower income brackets. That was the start of an ominous trend. Two recent surveys by the Department of Statistics and the HDB have confirmed this observation. Both surveys showed that income for the bottom 20% of households fell in the last few years even as overall average incomes went up. Yet another aspect of the seriousness of this situation came from MOM's recently-released job employment statistics. The latest figures show that whilst the job creation rate for the first half of this year hit a four and a half year high of 49,600 new jobs added compared to 24,600 for the same period last year, the jobless rate of workers aged 40 years and above and with below secondary education actually increased from 5.9% to 6.8% in the 12-month period ending June. The widening income gap, if not managed, has serious social repercussions and will lead to increasing tension between the have lots and the have nots. The setting up of the ComCare Endowment Fund to provide assistance to the lowest income groups so that no needy child, elderly poor or disabled would be left without community care and support indicates the Government's recognition of the seriousness of this issue.”
“In fact, the expert panel will study all the experiences. But we have to also know their differences. In Hong Kong, for example, they have colder weather and that will help to basically clear some of the mosquitoes. So we cannot compare it but we will look at their regime and see whether we can learn from them. And I think it is important for us to keep an open mind. NEA will continue to be the centre. In fact, the two dedicated hotlines have been operating since 14th September. And we have told all the callers we will call back within 24 hours, which we did, either with a follow-up action or the status of the request that they have put in. We basically do at the backend our coordination with the various agencies. So I would like to assure Singaporeans that NEA will continue to be the centre for them to call and report some of the cases in which we have to deal with. On the pest controllers, I agree with Dr Khor that we have to establish minimum standards and that is what we are doing at this point in time. We are drawing up specifications. NEA is now assisting Town Councils to make sure that those specifications meet the minimum standards, first, based on the experience of the three Town Councils and also based on the experience that we have learned so far. And in terms of the training, we are ramping up very quickly, working with WDA to allow the pest controllers to hire more workers, and they will do on-the-job training. But training will be on a continuous basis to ensure that the workers remain up to scratch in terms of their capabilities in dealing with this problem.”
“In the case of Hong Kong, which has one and a half times the population of Singapore and a much denser area, they seemed to have coped much better in the fight against dengue. Are we going to look at whether there are lessons we can learn from the Hong Kong experience in fighting dengue? Another question I have is: would NEA remain the main coordinating agency for dengue related issues over the longer term so that people would not be passed from pillar to post? The third question is: for pest control companies that the Town Councils would be employing under the scheme currently launched, has NEA actually worked out with the Town Councils some kind of minimum performance standards, KPIs and so on, to ensure that these pest control companies are effective? Because in the short term, practically all the Town Councils will be employing pest control managers. Would they have enough trained people to actually undertake this task? And, finally, incidentally, I would like to ask the Minister if he has actually come across anyone who has said that, instead of planting trees or plants which are actually receptacles for breeding mosquitoes, plants that will actually repel mosquitoes and keep mosquitoes off? Because during the weekend when I visited the residents, one of the residents showed me a plant and he said it was very effective in keeping off mosquitoes. Assoc. Prof. Dr Yaacob Ibrahim: Sir, the nursery near my house also told me about a similar plant. We bought it, for about a month, it did not work, we threw it away. I think the more important thing is that we do what we can based on the measures that we have outlined. And I think if we do all that, we can keep things under control. Sir, in the case of Hong Kong, we will study it.”
“Sir, whilst the number of cases that may need financial assistance may not be very big, but in order to make a one-off financial assistance package more transparent to the residents, could the Ministry consider having some means test or income qualifying criteria, say, $1,500 or $450 per capita, and then get a contractor to undertake the retrofitting and allow them to pay by instalments? It is something akin to the LUP scheme where we have actually given financial assistance for needy residents. This will make it more transparent and a lot easier for the different constituencies to deal with residents who need financial assistance. The other question that I would like to ask the Minister is with regard to people who are not able to get contractors to retrofit the windows by the deadline. Could the Ministry coordinate and release names of contractors who are able to render the service and meet the deadline, because the feedback from residents is that they have made umpteen calls to many contractors and most, if not all, actually said that they could not meet the deadline and can only do it after September?”
“Sir, I would like to ask the Minister, since the deadline is barely two weeks away, what would the valid reasons be for home-owners who do not retrofit their windows by the deadline. Would financial difficulties be one of the valid reasons? I would also like, in this regard, to ask the Minister how many home-owners have approached HDB for help regarding the retrofitting of their windows due to financial difficulties. What help or advice has the HDB given to these residents? Has any home-owner been assisted by the HDB and allowed to pay the retrofitting cost, say, by instalments as the Minister had, during the Committee of Supply debate last year, said that home-owners in financial difficulties could approach the HDB Branch Office for assistance and some consideration could be made to allow them to pay by instalments?”
“In conclusion, Sir, I note it is appropriate that the Government is treading warily in the move to open up more public housing to the private sector under the DBSS, as the idea is alien to HDB flat buyers as well as private developers. The Government should thus carefully consider the rules and guidelines under which the scheme is to be implemented as well as monitor the scheme when it is underway to avoid some of the pitfalls highlighted. Nonetheless, I applaud MND for embarking on this daring move and welcome the opportunity that it affords for the private sector to participate in yet another area of public service to the citizens. Sir, subject to the aforesaid, I therefore support the Amendment Bill.”
“I would thus like to urge the Minister to do so and to do so as soon as possible. Finally, flat quality. Another nagging question with the DBSS is whether developers are able to build housing of even better quality than HDB-developed flats at affordable prices on land that is purchased through competitive tender. A developer who refused to be named commented, "If you want to build a super-duper HDB flat, consumers may not be able to afford it. It will be a challenge for developers if you want to have better designs and still keep it affordable." The worry is that if the developer is not able to reap a normal profit or, worse still, suffers loss, then he may resort to cutting corners, and this situation may result in poorly-built flats. The Ministry has decided not to place any price ceiling, as the experience in Hong Kong has shown that this may lead to developers skimping on construction. However, developers may still skimp on construction if their profit margins are squeezed or if they make losses and have to hold on to unsold flats. Hence, there ought to be at least some form of control over the quality of the flats built, say, in terms of materials used and workmanship, and/or some BCA quality certification. The quality issue cannot be over-emphasised as, although the developer is responsible for the one-year (or longer periods if they are applicable) liability period, defects usually occur after the first year, or after the expiry of the liability period. After the defects liability period, it is the Town Councils who may end up spending more on maintenance of poorly-built common areas and flats.”
“Does the Ministry then need to relook at the whole issue of subsidy and how this is to be determined and allocted, as well as the related issue of resale levy and how this is to be imposed? Firstly, the housing grants to first-time buyers ought to be reviewed from time to time to ensure that they keep pace with affordability levels. Secondly, the mode of computation of the resale levy to be imposed when a flat owner sells the first flat he purchased under the DBSS, or direct from the HDB, and opts to make another direct purchase ought to be reviewed. According to the Ministry, the resale levy is a mechanism to claw back some of the subsidy that the Government is handing out on the second flat. It is to make sure that the distribution of the subsidy is equitable across-the-board. However, a fall in flat price could have technically wiped out any subsidy or housing grant enjoyed by the purchaser on the first flat. For such cases, even if they benefit from another subsidised flat, the real total subsidies they enjoy from both flats would be lower than those who did not sell their first flat at a loss. As some members of the public have voiced in letters to the press, the imposition of resale levy on a percentage of the sale price of the first flat hurts them, and may prevent them from downgrading to relieve their financial pressure. Furthermore, in the case of the DBSS, there could be purchasers who, in reality, enjoy little, if any subsidy, on the second DBSS flat they purchase, if they do not qualify for the HDB concessionary loan. Hence, in the light of the changing public housing market landscape and circumstances, it is timely to review the rationale for and mode of imposition of resale levy.”
“Eligible buyers are also able to get HDB concessionary loans. As private developers are in the business to make profits, guided by existing new and resale HDB flat prices and an understanding of market conditions, the prices they bid for the land under the DBSS will give a strong indication of how much the market values a plot of land for public housing. The developers would also have factored in a profit margin. This practice of allowing private developers to build and market HDB flats will provide an interesting profit/loss comparison with regard to the housing subsidy enjoyed by buyers of HDB flats - a contentious issue which has been hotly debated and, if I may be so bold to say, still little understood and therefore worth revisiting. In the case of the DBSS, if the developer makes a profit from the project - and we have to assume that this is likely to be so in most cases - after having paid for the land via tender, then the subsidy given to the flat purchasers is in effect the $30,000 or $40,000 grant plus the HDB concessionary loan, if the flat buyers are eligible for them. Otherwise, one could say that the flat buyer is not really enjoying a housing subsidy since the differential pricing, say, between the flats sold under the DBSS and those of HDB-built new or resale flats can be attributed primarily to the different sets of restrictions, criteria of allocation, etc, applicable to them. In valuation parlance, the value of a property is not just determined by its physical attributes, such as flat size and location, but also by its bundle of legal rights. All things being equal, the smaller the bundle of rights or the more restrictive these rights, then the lower the value of the property.”
“Based on the existing practice for HDB-developed unsold flats, it is likely that the developers would not be allowed to rent out these unsold flats. I would thus like to ask the Minister if there would be any guidelines as to how developers are to sell and allocate the flats under the DBSS. The proposed section 65P(1)(b) of the Bill requires that any unsold flat built by the developer be vested in the developer. If these flats are not taken up in order to cut cost and/or losses and dispose of the unsold flats, the developer may resort to lowering prices, as is common in market practice in the private sector. In some instances, the price reduction could be hefty. Whilst this is quite normal market practice, particularly in the private sector, and HDB has itself also been cutting prices for its unsold flats, HDB flat buyers who paid higher prices under the DBSS should be made aware of this, so that they will not feel aggrieved or shortchanged. I raise this point because the Minister for National Development had noted in this House, when commenting about making downward price revisions for HDB's unsold flats, that these adjustments are moderated compared to the actual fall in resale flat prices. He noted that this helps to stabilise the property market and preserve the value of the existing HDB flats. However, developers, who understandably would be driven by the bottom-line, are unlikely to place "preservation of the value of existing flats" as their priority. Hence, the DBSS is likely to inject more volatility into the public housing market. Third, housing subsidy and resale levy. Under the DBSS, to ensure affordability, first-time buyers will receive a Government housing grant of $30,000 or $40,000, similar to the grant for first-time buyers of HDB resale flats.”
“Second, allocation of flats under the DBSS. Developers will be given a free hand to decide on the pricing of the flats as no ceiling has been set on the flat prices. Presumably, developers would also be given a free hand as to the mode of allocation of flats to buyers. Based on market practice, this could be on a first-come-first-served basis, but subject to compliance with HDB eligibility conditions, such as the ethnic integration ratio. An advantage of this is that flat buyers may be willing to pay some premium for the flats, simply because the waiting time for the flat is likely to be shorter under the DBSS with the first-come-first-served mode of allocation. However, in a first-come-first-served marketing situation, there could be some practical difficulty in complying with the ethnic integration ratio which should be resolved at the outset. This is needed to make the process transparent as, otherwise, potential buyers may be wary of unfair practices by the private developers. Developers are unlikely to adopt the build-to-order approach for the DBSS if they have to incur holding costs once they are awarded the land which is on lease for a fixed term of years. This would be the case unless some kind of concession, say, in the form of a lease deferment or extension, for the period, from the date the land is awarded to the developer to the date before the trigger point, ie, where, say, at least 75% of the units are booked. Conversely, if the developers do not rely on the build-to-order scheme on the basis of receiving high interest for the flats before proceeding to build, they may end up with unsold flats if demand is poor.”
“This is because there is no market evidence of the value of such land currently. However, for subsequent tenders of land under this scheme, the successful bid from this inaugural tender could be used as a benchmark for determining the reserve and bid prices for the land by the HDB and the private developers respectively. In fact, this could also influence the price which HDB sets for the new flats that it subsequently builds. Here, I wish to sound a caution. If developers bid aggressively for the land, will this inadvertently lead to HDB revising its new flat prices? The land market is unfettered, but hardly smooth in its functioning. It is what economists call "inefficient" because of its lumpiness, heterogeneous and inherently cyclical nature. Consequently, a high bid price at one or two tenders may not reflect what ought to be the market clearing price. Even though the Ministry has given the assurance that the HDB will continue to be the main developer of public housing, this does not ensure that too much reliance would not be placed on the land and flat prices achieved under the DBSS. This is because such prices are market-determined, and thus very compelling evidence of the market. In a rising market and when the scheme takes off, there could be a virtuous - or vicious, depending on whose view you take - cycle of upward price creep affecting the entire new HDB flat market. Consequently, the Ministry needs to guard against being too unduly influenced by the prices secured under the DBSS. Sir, the affordability of public housing must always remain the top priority of the HDB. Hence, new HDB flat prices set by the HDB must first and foremost take cognisance of the income levels and needs of Singaporeans, especially first-time home buyers.”
“In fact, I think developers are just as unfamiliar with the idea, and many could be adopting a wait-and-see attitude when the pilot project is launched. It is likely that, initially, only the social conscience developers like NTUC Choice Homes or the contractor-types would have the motivation and confidence to go in for the pilot project due to their familiarity with HDB construction. In fact, I hope they will be the pioneers of the schemes, so as to get it off to a good start. While this approach is generally positive and could bring benefits to all stakeholders, there are inherent risks and concerns. And as with so many ideas and policies, the devil is in the details. I would thus like to raise four areas of concern which I urge the Ministry to carefully consider when implementing this scheme. First, land allocation and determination of reserve price. As announced by the Ministry, land under this scheme would be allocated to the developers via open tender. Presumably, there will be a reserve price set for the land, below which the land is unlikely to be awarded. Speaking as a licensed real estate appraiser, I would suppose that for the first plot of land at Tampines under the pilot project, the reserve price of the land is likely to be determined as the residual value after relevant construction costs, including access roads, landscaping of common areas, etc, are deducted from the estimated gross selling price of all flats that can be built on the plot of land, and the consideration to be paid by HDB for the common property and the commercial properties. The selling price of the flats could be estimated by using the prices of new and resale HDB flats in the area as a guide, with appropriate adjustments.”
“Sir, I believe, if carefully implemented, the DBSS scheme, which the Bill primarily seeks to introduce, has numerous benefits for all stakeholders. For the Government, the scheme allows HDB to tap private developers' expertise in housing design and service delivery. It would inject some degree of competition into the market, as hitherto public housing was the monopolistic purview of the HDB. In turn, this should foster greater innovation in building and design. For the buyers, unlike new flats built by the HDB, DBSS flats could come complete with finishes and fittings similar to private developments. These finishes and fittings could be priced into the flat's selling price. [Mr Deputy Speaker (Mr Chew Heng Ching) in the Chair] 4.40 pm Purchasers of such flats would thus be able to avoid incurring out-of-pocket renovation costs or taking up separate renovation loans. This would be attractive to first-time home-owners who may be cash strapped as they are just starting out in their careeers. Looking at it in broader terms, the DBSS should improve the responsiveness of the public housing market to the needs of the residents, leading to greater housing choice for flat buyers. The DBSS is also congruent with the philosophical shift of subjecting the provision of public services to market testing. I applaud the Ministry for heeding the call for more private sector participation in the public housing market and adopting this refreshingly bold approach, which some might even consider radical by current HDB practices! Nonetheless, as the Minister for National Development has acknowledged, this idea is untested and unfamiliar to not just flat buyers but also to the HDB.”
“Sir, I would like to ask the Minister, for the errant cases that were caught, how were they actually brought to the attention of the Ministry. Was the Ministry informed of this? A related question would be: would the Ministry then utilise its Intelligence Unit, as was referred to by the Senior Parliamentary Secretary, to actually try and flush out such errant labour agents because it was reported again in the press that a call by the reporter actually revealed that she was offered such workers from a labour agent?”
“The issue is enforcing, and enforcing it rigorously. However, we do recognise that the industry needs certain flexibility, for example, different contractors in different periods may face peaks and troughs for contracts. And that is why we introduced two measures to allow them to do that. Previously, the MYEs were allocated to that contractor. Now, with the consent of the worker, one contractor can deploy his worker to another. At the same time, we have also allowed companies to apply for work permits outside the MYE system. In other words, you do not need a MYE system. There is no quota system. But these are for skilled workers who have worked here for six years or more. Since we introduced this, a number of companies have applied for this, and there were 794 companies, which means that they find this useful. We will monitor this particular measure to see whether greater flexibility can be introduced subsequently.”
“Sir, I would like to ask the Minister, as the Minister noted earlier, that since April, some changes were made to the Man Year Entitlement system to make it more flexible, how is it then that it was reported in the Straits Times of 29th June, that the practice of selling quotas to labour agents is so rife that it is actually an open secret. Is MOM following up on this issue? Are steps being taken to verify these reports and to determine how is it that such a situation has arisen? Again, does it mean that contractors have been over-allocated with Man Year Entitlements whilst some other sub-contractors have actually suffered from a shortage and are forced to buy from these labour agents? Would the Ministry consider other forms of allocating Man Year Entitlements, such as allocating the Man Year Entitlements to a neutral agency to be awarded to sub-contractors, besides the main contractors? Dr Ng Eng Hen: Sir, if the Member knows of any instances, please inform the Ministry and we will follow up. As I have said, in the last few years, we have prosecuted 30 persons. Out of the 31 cases, three were prosecuted for corruption under the Prevention of Corruption Act and for cheating under the Penal Code. Offenders who were convicted under the Prevention of Corruption Act were fined between $40,000 and $250,000. In cases where custodial offences were meted out, jail terms range from one to four months. We cannot stop people from rampantly or indiscriminately disobeying our rules. But if anyone knows of any figures or facts, or any particular instances, please inform MOM and we will follow up. Do we want to change the system and allocate MYEs to a neutral party, assuming that the neutral party would be law-abiding? I do not think it would quite work.”
“Sir, I would like to ask the Senior Parliamentary Secretary, for instance, on this particular report on illegal workers who were working in a Town Council. From which sector were they from because, obviously, they must have been hired in a particular sector and it must have been surplus labour and that was why they were capable of being redeployed illegally, no doubt, to the Town Council? I would also like to ask the Senior Parliamentary Secretary if the Ministry actually studies or reviews regularly the foreign worker requirements, say, in different sectors, to try and minimise this kind of mismatch as well as to try and minimise the structural unemployment because of the mismatch. Obviously, if quotas are actually implemented for certain sectors and yet these sectors may time and again be found to be committing such an act of illegally redeploying the workers, then should their quotas not be revised?”
“Sir, I would like to ask the Senior Parliamentary Secretary from which sectors do these illegal foreign workers originate mainly from. How is it that when we imposed quotas on foreign workers, yet there appears to be a surplus in some sectors? To which sectors are these foreign workers illegally redeployed? Has the Ministry studied why there is a shortage in these sectors? Are there any plans for the Ministry to try and mitigate the mismatch between the different sectors?”
“Hence, now that a new chairman has been appointed and a new board constituted, let us continue to support the good work that the staff and volunteers of NKF had done and continue to do. In fact, I salute the staff of NKF who had steadfastly soldiered on with their work despite the public outbursts and pressure they faced. There is much experience, expertise and value the NKF had built up over the years which we should cherish and protect. Indeed, this saga can be taken as a wake-up call to all charities as well as the donating and volunteering public. Let us all learn from this most unfortunate episode and make changes to the charity sector so that it will become more resilient, efficient and effective in promoting their worthy causes and delivering aid to those in need.”
“The level of transparency of large charities should not be any lower than that of listed companies since the funds they receive are from the public and they are thus accountable to the public. The Government should thus relook at the whole issue of remuneration disclosure in the light of the NKF fiasco. In 2004, the second Minister for Finance then, Mr Lim Hng Kiang, had noted the dilemma NKF faced in deciding whether to disclose their CEO's pay. He said that if they do not disclose, then there will be critics who say they are not transparent. But if they did disclose, there will be critics who will say that whatever they pay are too high. However, I think that revealing the pay of key officers of VWOs is no different from those of listed companies. If there are sound bases and justifications for the pay given, then the organisation should be prepared and able to stand up to public scrutiny. The benefits of greater transparency, accountability and building up of better understanding and trust with the donors through the publication of administrator's pay, amongst others, should outweigh the concerns over public scrutiny and criticism. Conclusion Sir, the NKF saga comes at a time when corporate governance, transparency and accountability are buzzwords in the corporate world due to recent high profile debacles, such as China Aviation Oil and Citiraya. Judging by the huge public outcry, public confidence and trust even in charities have definitely been shaken now. However, this should not stop us from volunteering or giving to charities as there remain countless genuine needs out there of the needy and the sick who depend on our every little effort and donation for their survival.”
“National agency watchdog In fact, there should be, without exception, a national overseeing agency or watchdog for all VWOs to streamline and ensure that minimum standards of ethical practice and prudence are adhered to. Currently, there are various Central Fund Administrators (CFAs) appointed by the Ministry of Finance to grant IPC status to institutions in their respective sectors. The CFAs are involved to some extent in promoting good governance amongst IPCs but these are limited. The national agency watchdog could be a Ministry like MCYS or the Ministry of Finance or the NCSS. It could issue practice guide to VWOs from time to time and be empowered to investigate any complaints that the public may have regarding the practices of certain charities. A framework for investigations and penalties for those who flout the rules could be incorporated, say, into the Code of Governance. Those who abuse the trust of the Government and the public must be taken to task. Disclosure of key officers' salaries Sir, the size of Mr Durai's pay packet is one of the key causes of the public outburst although obviously there are many other contributory factors. Currently, there is no requirement for charities to disclose the salaries of their key officers. As IPCs are largely run by volunteers together with some paid staff, there have been some notions that IPCs need not be held to a higher standard of accountability and transparency than listed companies. However, large charities are really not any different from listed companies. Their donors are akin to the shareholders of listed companies. In the case of listed companies, directors' pay is revealed to help ensure that board remuneration policies are fair and less prone to criticism.”