Foo Mee Har
Singapore
“What we need to ensure, therefore, is a better alignment of training and the graduates that we churn out. Loosening the criteria for entry, while simultaneously tightening the conditions for graduation will help keep our tertiary offerings nimble, since we need to worry less about how failing out already small intakes could pre-emptively…”
“Sir, strong R&D support has been central to attracting and retaining MNEs. MNEs have long been a cornerstone of Singapore's economy, driving innovation, investment and job creation. They contribute significantly to GDP, high-value employment, R&D and global trade connectivity.”
“Thank you, Mr Speaker, I have two questions for the Prime Minister. The first question is, with the generous support measures, including the SG60 vouchers, I would like to ask the Prime Minister what impact these measures will have inflation on inflation?”
“So, the Singapore brand has become so exceptional that it is well worth faking, much like a Rolex watch or a Louis Vuitton handbag. And, like these global brands, you know you have made it when imitation becomes the greatest form of flattery.”
“Thank you, Speaker. I thank the Minister of State for the details. I am encouraged to hear the usage but I would like to ask the Minister of State two follow-up questions.”
“Thank you, Speaker. I thank the Minister for his response. I have two supplementary questions for the Minister. First, how does the Ministry plan to leverage the insights from the PIAAC findings, to refine the SkillsFuture programme, particularly in identifying critical skills gaps and developing targeted interventions that enhance the re…”
The complete record
Every one of 530 lines we hold for Foo Mee Har, in date order, each linked to its source. Free to read, in full, without an account. Page 9 of 11.
“For these individuals, perhaps the Government could consider designating specific "public places" to be "coolspots", where people can gather to drink beyond 10.30 pm, as long as they do not cause disamenities to others and measures are in place to address the safety and security concerns. For example, Foreign Workers' Recreation Centres may be designated as "coolspots" for foreign workers to drink and unwind; as may other "suitable" public spaces where people can gather to drink beyond 10.30 pm. Madam, I am all for restrictions in alcohol consumption in public places. However, there are different approaches to implementing these restrictions and we should choose one that is targeted, calibrated and best serves our needs. This Bill before us proposes an island-wide ban on consuming alcohol in public places after 10.30 pm – this might be excessive in unaffected areas in Singapore, but might be inadequate for hotspots known for drinking-related problems, but not zoned as Liquor Control Zones. As the Minister explained, by imposing an island-wide ban, the authorities avoid shifting the problem from one area to another, as drinkers can simply move away from a Liquor Control Zone to an area without restrictions, drink excessively and cause problems there. Page: 22 However, as most people in Singapore enjoy alcohol in a moderate and responsible manner, we should consider targeting restrictions only at problematic hotspots, where large groups of people congregate to drink alcohol and where they have earned a reputation for public disamenities, resident complaints or risks to law and order. We could start rolling out restrictions in these vulnerable areas and widen coverage as and when other areas are red-flagged.”
“Mdm Speaker, I rise in support of the Liquor Control Bill. It is high time that Singapore institute laws that govern the supply and consumption of liquor. These proposed measures are a response to complaints from the public about disamenities and concerns about law and order resulting from excessive alcohol consumption and drunkenness in public places. Apart from this, there are other reasons to be worried about from excessive alcohol consumption: alcohol is a psychoactive substance and an addictive drug, and its misuse is Page: 21 associated with a wide range of adverse health effects that may cause harm to the individual, his family and society. Madam, liquor laws exist in many countries across the world; some for a very long time. Many of the most vibrant global cities, including New York, London and Sydney, have laws in place to restrict alcohol consumption – these range from a total ban on open containers of alcohol in public places to controlled liquor zones. Alcohol restrictions have not adversely impacted the vibrancy of these cities in any way – rather, they have helped to keep these cities safer and cleaner. In Singapore, MHA began reviewing alcohol laws in September 2012. In both phases of the public consultation exercise, more than 80% of the respondents were supportive of the proposal to restrict the consumption of liquor in public places. A survey conducted in my own constituency involving 120 residents resulted in similar findings. A recent survey commissioned by the Government feedback unit REACH found that 81% of the respondents polled were in favour of the Bill. Some complained that the Bill may unfairly affect those who cannot afford to drink at licensed outlets and do not have access to their own private spaces after 10.30 pm.”
“Thank you, Madam. I just want to make sure the Minister does not think that I wanted the Government to run it. I just feel that the Government, perhaps, could build them to the specifications they want, but get operators to run it, so that the capital outlay is not very hefty, so that more players can come in, so the competitive force can come in. [(proc text) Question put, and agreed to. (proc text)] [(proc text) Bill accordingly read a Second time and committed to a Committee of the whole House. (proc text)] [(proc text) The House immediately resolved itself into a Committee on the Bill. – [Mr Tan Chuan-Jin.] (proc text)] [(proc text) Bill considered in Committee. (proc text)] [Mdm Speaker in the Chair]”
“Madam, I would like to ask the Minister on the point I raised about the risk of dormitories in the future being dominated by a few large players, given the comprehensive range of facilities that is required and also the investment. I have asked the Minister whether the Government would take on the role of a developer or proprietor for foreign worker dormitories so as to remove one layer of commercial profit-making. All the Government needs to do is focus on appointing people who are good in dormitory operations and these people do not have to have a lot of investments and they Page: 89 focus on the day-to-day operations of the dormitory, making sure they are run effectively and efficiently. So, maybe a little bit like going back to the old days of JTC building worker dormitories so that this does not have to be because I think the risk of the very comprehensive set of regulations and the hefty penalties may preclude some of the smaller players from coming into the space. After a few years they may be worried about having discussions about cost escalation and monopoly by a few large players.”
“We need to ensure that any such directives issued are with transparency and fairness and do not serve to discourage genuinely interested and qualified operators from entering this industry. Likewise, clause 25 states that "A Police officer or dormitory operator may arrest without warrant any individual whom the Police officer or dormitory inspector, as the case Page: 77 may be, reasonably suspects is committing or has committed an offence under section 7". Here, again, we need to ensure that enforcement of this clause is fair and proportionate. I would also ask that dormitory operators and Police officers be properly trained to conduct inspections with due respect and sensitivity towards dormitory residents. In addition, as a multi-agency approach will be adopted to ensure that the licensing conditions will be enforced, the different Government agencies should work seamlessly, expediently and coherently together. Mdm Speaker, in conclusion, it is heartening to learn from a recent survey that an overwhelming 90% of foreign workers in Singapore are satisfied to work here, 92% plan to continue working in Singapore, and 81% would recommend Singapore to friends and relatives as a place to work. Singapore continues to depend on these workers to build our infrastructure and support our economy. The Foreign Employee Dormitories Bill is a step in the right direction towards building living spaces where all residents, whether local citizens or foreign workers, can live and work together in comfort, safety and harmony. Madam, I support the Bill.”
“Perhaps the Government should consider taking on the role of developer or proprietor of foreign worker dormitories, so as to disintermediate, or remove one layer of commercial profit-making. Some commercial entities may be allowed to own and develop dormitories if they intend to operate the dormitories or are meant to house their own staff, as in the case of Keppel Corp and SembCorp. This approach offers the Government more control over the dormitories' "hardware" and the flexibility to choose qualified dormitory operators whose key focus will just be to run the day-to-day dormitory operations effectively and efficiently. The new regulations are designed to minimise the impact of foreign worker dormitories on neighbouring communities. Whilst many Singaporeans will welcome this, it is important that we do not inadvertently encourage discrimination and prejudice against foreign workers, or confine them to a ghetto, and restrict their opportunity to assimilate and appreciate Singapore's culture and way of living. We must continue to foster a sense of mutual respect between Singaporeans and these workers, who are here to do jobs we would rather not do and to help build our economy. For example, in my ward, I have found it useful to involve workers from nearby dormitories in community events and projects, as well as join our Citizens-on-Patrol, as a means to understand each other better. Madam, whilst I support having clear penalties to encourage good behaviour, as laid out in the Bill, the powers given to the Commissioner appear sweeping. In particular, the Explanatory Notes state that compliance directives may be issued to a licensed operator without the need for the licensed operator to be heard and that non-compliance is an arrestable offence.”
“It will also help assure local residents to learn of additional measures taken by the authorities to mitigate any impact on their neighbourhood, security and lifestyles. Madam, while I applaud the Government's efforts to set out comprehensive requirements for dormitory operators, complete with hefty penalties for non-compliance, this may also lead to dormitories being dominated by a few large players. Besides health and security measures, the proposed legislation requires dormitory operators to provide workers with a comprehensive range of daily conveniences at the dormitories, including minimarts, ATMs, regular events on Sundays and public holidays, and dedicated transport to and from the dormitories. Marginal or smaller players will be squeezed out by these onerous conditions and high investment requirements. The business of operating dormitories will need to achieve a Page: 76 certain scale to justify the building of these facilities expected of the operator. Both the dormitory owners as well as the operators may feel the need to build financial buffers to hedge against potential liabilities. As licences will only be valid for up to three years, it will also mean that capital expenditure will need to be depreciated over a relatively short period of time. We should be cognisant of the cost structure in this industry and how they may translate into affordability issues for employers seeking dormitory beds for their employees. I would like to ask the Minister what safeguards he will put in place to prevent cost escalation and profiteering by a few large dominant players. Foreign worker dormitories are projected to house as many as 385,000 non-domestic non-Malaysian Work Permit holders – this is an infrastructure on a very large scale.”
“This will cause great inconveniences to local communities in the neighbouring estate. Can the Minister please clarify how this risk can be mitigated? I support the security requirements for dormitory operators to implement computerised access systems, CCTVs, segregation gates to isolate disturbances to within the dormitory compound, and an Emergency Response Plan to deal with potential public order incidents. I am also pleased with the requirement for sick bay isolation facilities to contain any infectious disease outbreak, which could spread quickly in a densely populated dormitory. However, given the size and footprint of PBDs, I would like to ask the Minister what measures, other than those required of the operators, will be put in place by the various Government agencies to prevent and mitigate security and public order issues, if and when they arise from these large concentrations of foreign workers. Madam, despite the best efforts to provide for the foreign workers' needs in their dormitory compounds, it is inevitable that many will feel the need to venture outside the dormitories, into the nearby local estates. I would like to ask the Minister what planning parameters are used to determine how foreign workers' dormitories should be sited in Singapore, how the impact on local residents is assessed and what additional resources, such as law enforcement officers, are then deployed in neighbourhoods close to foreign worker dormitories. I recognise that given Singapore's small size, it is inevitable that some dormitories will be sited near our local communities. I believe that providing transparency around this issue will help manage the expectations of Singaporeans who live close to such dormitories and help them understand the situation.”
“Mdm Speaker, I rise in support of the Foreign Employee Dormitories Bill. It is disquieting to hear of cases where foreign workers, usually Work Permit holders, have had to endure overcrowded and unhygienic housing conditions when their unscrupulous employers flout the law. Workers have been found shoehorned into cramped shophouses, apartments and temporary dormitories, living in conditions that many of us would consider uninhabitable. I am pleased that the Government intends, over the long term, to house all Work Permit holders in PBDs, where there are self-contained facilities to meet the workers' social and recreational needs outside work. These will not only cater to the lifestyle and recreational needs of the foreign workers, but will also help preserve the communal space for Singaporeans and minimise the impact of large concentrations of foreign workers on neighbouring local communities. I had called on the Government to pursue this very approach during the 2013 Committee of Supply debate and am thankful that they have taken decisive action in the form of regulatory provisions, the building of more foreign worker recreation centres and the rapid increase in bed supply in PBDs. The Foreign Employee Dormitories Bill requires dormitories with 1,000 or more beds to meet licensing conditions covering a wide range of areas, from public health and safety, security and public order issues to the provision and maintenance of social and commercial facilities and services. Mdm Speaker, clause 29 of the Bill states that every foreign employee dormitory is to be deemed a public place for purposes of enforcing laws on drunken behaviour. I am concerned that curbs on alcohol consumption at the dormitories will mean drinking at other Page: 75 places around the dormitories.”
“Madam, I thank the Minister for his response. I have two short supplementary questions for the Minister. I would like to ask the Minister how Page: 19 HDB financials would be impacted by other HDB initiatives, such as the Home Improvement Programme where the Government subsidises up to 95% of the upgrading cost. And I understand there are plans to ramp up this initiative covering about 100,000 flats in the next two years. Second, I would like to ask the Minister whether he expects the deficit of $1.97 billion as part of the budget process from committed projects. How much of the deficit was anticipated and how much was due to cost overruns? And how does the Government cover the deficits that HDB incurs?”
“Madam, I would like to ask the Minister to give his thoughts regarding the question I raised in the supplementary question earlier about prevention of profiteering, because many consumers on the streets are not seeing the significant oil price reduction translating into lower food and transport prices. These are the concerns on the ground. I hope the Minister could enlighten us on whether there are measures to stop companies from profiteering.”
“Madam, I thank the Minister for his response. I would like to ask the Minister a few supplementary questions. The Minister has highlighted the flow-through benefits of low oil prices. I would also like to highlight that the Malaysian ringgit is also at its historic lows; and Malaysia is a country where we import a significant amount of produce. I would like to ask the Minister if he has any prediction on the downward revision of the 2015 core inflation rate, or even a possibility of deflation. Also, so far, despite the fall in oil prices – and the Minister has shared some numbers – but I think consumers on the ground have really not seen the pass-through reduction in prices. Could the Minister explain what Government measures are in place to ensure that there is no profiteering and ensure that some cost savings are passed to the consumers, especially in terms of transport and food prices? The last question is about people working in the oil and gas sector. Given the intense pressure on companies' bottomline, I am concerned that the job security of Singaporeans working in this sector may be bleak, if companies decide to cut staff costs to manage their bottomline. Are there any policy measures in place to mitigate this impact should this Page: 21 situation occur?”
“Madam, I would like to be the witness that Mr de Souza pressed "Present" many times and pressed "Yes", and I tried to help him as well. I think we just want to put on record that he did take the necessary action. I think Madam may want to check the system. Thank you.”
“I thank the Minister for his response. I fully agree with the Minister that it is critical that our students pursue degree courses that are sought after in the workplace, and that our PMEs need to embrace lifelong learning in order to future-proof their skillsets. However, I would like to ask the Minister two supplementary questions. First, how can the Government help to mitigate competition for jobs from foreign PMEs? Many Singaporeans feel that they are sometimes passed over for jobs they can do because foreigners come cheaper, without the need for CPF contributions and are free of National Service obligations, to name a few. Would the Minister consider implementing labour market tests already in place in other countries, such as Hong Kong, so that Singaporeans with relevant qualifications and experience are given priorities for jobs that they wish to do before companies resort to hiring foreign executives? So, that is the first supplementary question. The second is whether the Government would consider launching a targeted internship programme with special incentives for companies to provide Singaporeans with relevant experience, especially for young graduates and mid-career executives seeking a change in industry so that they can gain the necessary experience and exposure to be fully deployed in the future.”
“I thank the Senior Minister of State for his response and I appreciate the response he has given on the risks posed by the external environment. But there is a lot of discussion about our own restructuring effort that is constraining our GDP growth. The tight labour market has resulted in higher costs that have run ahead of productivity growth and we have yet to realise growth in labour productivity that is central to transforming the Singapore economy. Generally, productivity has been flat, compared to our Government's target of 2% to 3%. I would like to ask the Senior Minister of State how we can be sure that the policies and targets that are being put in place to restructure the economy and boost productivity are, indeed, the right ones, and if they should be recalibrated after five years of restructuring experience. Do we need to have finer measurements of productivity in order to confirm that Page: 31 we are on the right trajectory even when the top-line numbers of productivity growth are not reflective? In other words, maybe we are making progress but the top-line growth rates are not showing up. The Senior Minister of State has shared the GDP growth projection for this year. Could the Senior Minister of State please comment on Singapore's longer term competitiveness and GDP growth?”
“I would like to first thank the Minister for the very comprehensive enhancement to LBS to make it accessible for more elderly households and also making the scheme more flexible. I have two sets of supplementary questions for the Minister, specifically to how you calculate the value of the lease sold back to HDB. First, even when the duration of the lease sold to HDB is equal to the duration of the lease retained by the owners, why are the sales proceeds to owners lower? How does HDB calculate the depreciation in determining the value of the lease that they purchased? Would they vary the depreciation rate depending on the years of lease retained? So, how is the calculation done? The second question relates to the market value which Minister just spoke about. LBS proceeds are calculated based on market value. So, how can HDB mitigate against the volatility of property prices so that flat owners will not need to worry about short-term property cycles when exercising the option of using LBS to monetise their long-term asset?”
“For example, can customised solutions be developed for specific sectors with the trade associations and Chambers of Commerce playing a more prominent role in supporting the Government and member companies to map out productivity strategies for the whole sector and develop platforms to migrate best practices quickly? And the last one, very quickly, for many Singaporeans, company restructuring poses risk of job losses. So, could the Minister provide an update on how we are cushioning the transition for them, for example, re-skilling and preparing them for jobs for the future economy, especially for the senior PMEs? How can companies in the new economy be Page: 38 incentivised by Government schemes to play a greater role?”
“I thank the Minister for his comprehensive answer and I fully agree that it is critical that we stay committed to the restructuring journey. I have three supplementary questions for the Minister. First is, apart from dealing with challenges to raise productivity and the pressures of a tight labour market, many businesses have given feedback that they are also struggling to cope with new regulations that are being rolled out at the same time, for example, enhanced money laundering measures that are impacting the banking and the payment sectors, and the enhanced safety regulations in the construction sector. Whilst all these new regulations are very important and correct, they further stretch the manpower requirements and add operational cost and complexity. So, I would like to ask the Minister: how the roll-out of the new regulations could be paced better to help companies cope with a tight labour market as well as their own re-engineering efforts for higher productivity? So, that is the first question – layers of complexity and new things they have to do. Second is, the increase in take-up rate in the broad-based schemes like PIC and ICV is clearly very encouraging. I am just wondering, given that the Minister has elaborated just now, that different sectors have different success rates with their re-engineering efforts, or different levels in terms of their productivity improvement, whether the Minister thinks it is the right time now to focus more on schemes that are more targeted because unique productivity challenges faced by different sectors require differentiated solutions.”
“I thank the Minister for the answer. I would just like to add that given that there is no such annuity plan that exists in Singapore for CPF members who would like to have higher payouts, as Government repeatedly says – $1,200 payout per month – and with one breadwinner in the family, it may not be sufficient. I hope the Government would explore opening up CPF LIFE to provide annuity plans for people who would be willing to save more under the CPF annuity scheme.”
“I assume that there is a cap imposed because there must be some risks or additional costs the Government must bear to provide this assurance for a lifelong payout. So, I am asking if the Government is to open CPF LIFE for people to put in more money if they want to get payout beyond the $1,200 per month. What are the additional costs and risks?”
“I thank the Minister for his reply. I have three supplementary questions for the Minister. Given that the Government has acknowledged the current Minimum Sum only provides monthly payouts to cover basic living expenses, I would like to ask the Minister why there is a need to set a cap on the sum of money that CPF members wish to set aside in CPF LIFE, even though they have the option of top-up but still capped at the prevailing Minimum Sum. Can CPF members be given the option to set aside more than the Minimum Sum to join CPF LIFE so as to ensure higher monthly payouts that can pay for a higher level of expenses? The second supplementary question is, I would like to ask the Minister to explain the mechanism and the funding structure behind CPF LIFE where it can guarantee lifelong monthly payouts, regardless of how long we live – maybe 100, 120 years – even well after the savings used to join CPF LIFE have been fully paid out, and yet when the savings are not Page: 26 fully paid out upon a CPF member's death, his nominated beneficiaries stand to receive the balance of the CPF savings. So, what is the structure and the mechanism behind that? And my last question is, if you were to open the scheme for people to put in more money, what additional costs and risks, if any, would the Government need to bear to expand the CPF LIFE coverage beyond the prevailing Minimum Sum?”
“It is very clear in the Fair Consideration Framework that the employer needs to advertise the job for 14 days. But I think what would have been very helpful is if it were to go a bit further in having the merit of the application also considered. So, if Singaporeans are equally qualified for the job, if MOM would consider, going forward, that Singaporeans would be considered first if they are equally qualified, two equally qualified persons, that the Singaporean would be given the opportunity first. This is for MOM to consider going forward for its policy.”
“Mr Deputy Speaker, I would like to make a clarification in case I was misunderstood yesterday. I totally agree with Senior Minister of State Dr Amy Khor that Singapore absolutely must remain open and the vibrancy of our economy depends on the diversity of the talents that we can attract to Singapore. My point was very much exactly that. Singapore, I said, must remain open and leverage international talents, but when Singaporeans can do those jobs, they should be given the opportunity to do them first before companies are allowed to bring in foreigners to take the jobs. There is a big difference between this and closing our doors. This is not what I advocated, because that is a very, very important point. Page: 76 What is very, very important to Singaporeans is that they are given the first bite of the cherry because that is where they sometimes feel being discriminated against and this is only right because we have always, in Singapore, whether on schooling or housing, given priority to Singaporeans and we should do so for jobs.”
“" Singapore and Singaporeans have worked hard to earn a global reputation for always delivering results and for being dependable. Unfortunately, one unintended consequence of this relentless drive for achievement is a diminished tolerance for failure – for which Singapore has often been labelled the "kiasu" capital of the world. For the average Singaporean, this could lead to a tendency to avoid taking risks, or to be just "a pair of safe hands". But this also can lead many to "play not to lose" rather than to "play to win". We need to change the cultural acceptance of failure, so that those who stumble are encouraged to pick themselves up and try again until they succeed, whether they are schoolchildren, sports persons, business owners or professionals. We need to offer second, or more, chances to those who did not get it right, to make good and get onto that upward pathway. We need to be a nation of opportunity even for those who have missed the mark but who are willing to try again. Mdm Speaker, over the last 50 years, Singapore's journey has been transformative – we have created good jobs and safe and comfortable homes for our people; we are taken seriously on the world stage; we remain one of the best global cities in which to live and work. And still, the President sounds an inspiring note of confidence by saying, "Our best years lie ahead". Let the next 50 years be marked, not just by success of a few, but the progress and prosperity at every level of society, so that all can live out the Singapore Dream. 2.56 pm”
“On a related point, I propose that employers who qualify to hire foreigners are obliged to set up a formal system to train and develop Singaporeans as part of their manpower policies. Madam, I applaud the Government for their commitment to develop career pathways and strengthen our system of Continuing Education and Training to help Singaporeans upgrade skills and develop expertise to meet the needs of the industry. However, the Government cannot achieve the desired results alone, and companies are often in the best position to provide the industry exposure and relevant career development for future jobs, especially the leadership jobs. So, I believe it is time that companies play a much larger role in the proactive and systematic development of Singaporean workers. We should have a framework that requires employers to ensure that skills are being transferred to locals, as part of their Employment Pass approval process. It could be in the form of training and mentorship of Singaporeans to prepare a pipeline of talent for future vacancies as well as local Singaporeans being groomed to succeed key positions. This process can start with companies or sectors with high concentrations of foreign PMEs. I believe that the current negative sentiment against foreign talent will ease when Singaporeans no longer feel that their livelihoods are threatened. And when they feel they have much to gain from a systematic transfer of skills and knowledge from foreign colleagues who bring expertise, I believe Singaporeans' attitude towards them will be more welcoming. Page: 37 The Government can aid this effort by putting in the right systems. Madam, I am cheered by the President's call for those who do not succeed at first to "always have the chance to try again.”
“The Manpower Minister further emphasised that FCF is not about "Hire Singaporeans First" – but many are asking, "Why not?" Madam, I applaud the Government for their continuing efforts to accord significant benefits and priorities to citizens, from housing, primary school ballot, school fees to healthcare assistance. I believe it is time that we also start to give priority to Singaporeans for jobs they can do, if they possess the qualifications and experience required. It is time that Page: 36 we move our manpower policies for PMEs from a defensive, anti-discrimination position to one where we actively promote and champion the hiring and development of Singaporeans. Whilst Singapore must remain open and leverage international talents that bring expertise, employers should be obliged to prove that if a foreigner is hired to fill a job, it is only because there is no suitable locals who can do it. Such labour market test practices are already in place in many leading international centres, such as Hong Kong and the UK. The infrastructure developed under FCF, such as the national jobs bank, should pave the way for us to progress to the next stage of Singaporeans first for jobs they can do. This will mean more scrutiny of companies' employment decisions to examine if qualified Singaporeans were given priority. Of course, Singaporeans must still prove themselves able to take on the jobs they aspire to do, but they should get the "first bite of the cherry". This approach will go a long way towards assuring our PMEs and the 40,000 to 45,000 young Singaporeans entering the job market every year, of which two-thirds seek PME jobs.”
“And if the upgrader sells the first flat within a specified period, he should not need to pay ABSD at all. If the upgrader ultimately ends up owning only one property, then the Government should also allow an 80% loan-to-value ratio for those upgrading to private property, which aligns it with the same rules for upgrading to Executive Condominium. Madam, many middle-income Singaporeans work as PMEs and they do not feel secure in their jobs. They feel intense competition from the influx of foreign talent and this is despite the Government's assurances that foreign manpower inflows have been tightened and good jobs will be created for Singaporeans. In TAFEP's recent report, more than half the complaints about unfair employment practices relate to preferential treatment of foreigners. Many Singaporeans believe that they are passed over for jobs that they can do because foreigners come cheaper, without the need for CPF contributions, are free of National Service obligations, or simply because the employers prefer to bring their own friends, buddies and families from overseas to fill vacancies. I have spoken often on the plight of our PMEs and was encouraged when MOM announced the Fair Consideration Framework (FCF), due to take effect on 1 August 2014. Under FCF, companies are required to advertise on a new jobs bank for 14 calendar days before they submit Employment Pass applications. As the Manpower Minister said, its purpose is to send "a strong signal to all employers that they should consider Singaporeans fairly in filling available jobs". However, no prescription is made of an employer on the actual selection of a suitable candidate, other than to ensure employers post the job vacancies. The merits of the firm's final hiring decision are left entirely to them.”
“Many Singaporeans, including first-time flat owners, singles, low-income groups, have benefited from a slew of new housing policies, including recent cooling measures, introduced to stabilise property prices. However, the series of new policy tightening measures affecting Loan to Value (LTV), Additional Buyer Stamp Duty (ABSD) and Total Debt Servicing Ratio (TDSR) have made property upgrading much more difficult for the middle-income group. This aspiration to upgrade is important to the middle class; many had worked hard towards this goal, only to be frustrated just when they thought it was within reach. Madam, let me illustrate with a typical example. A household looking to upgrade will save enough to place a deposit for a new private property, continue to stay in their current flat and sell it only when the new property is ready, usually a few years down the road. Under the new housing rules, the new property will now be considered a "second" property, with the imposition of restricted financing and upfront payment of ABSD. Whilst I appreciate the need for TDSR to avoid over-commitment, the combined burden of a maximum loan value at only 50% and ABSD of 7% upfront cash, will usually put upgrade out of reach. We should keep in mind that TDSR has already raised the bar for many by including total debt obligations capped at 60%. Page: 35 So, as the President said, "Home ownership has made an enormous contribution to levelling up our society". We should, therefore, review policies so that genuine upgraders have a chance to realise their aspirations and "level up". I suggest that the Government consider collecting ABSD upon completion of the new property rather than upfront.”
“Mdm Speaker, of the priorities outlined by the President, I would like to focus my speech on how Singapore must remain a nation of opportunity for all. The Government's efforts to provide stronger safety nets are clearly felt by the lower income and elderly Singaporeans. However, the same cannot be said for middle-income Singaporeans and those Page: 34 who work as Professionals, Managers and Executives (PMEs). They are neither rich nor poor nor old. They struggle to cope with Singapore's rising costs of living. They feel intense pressure from competition for jobs. They feel most vulnerable to being made redundant, and with few safety nets to catch should a spouse lose his or her job, both usually end up working long hours just to keep employed. Many of them feel that their pathways upwards are constrained and that the Budget announcements have little impact on their lives. Their aspirations to upgrade their quality of life, whether house or car, now feel further out of reach with the imposition of recent housing and car policies. So, in the spirit of an inclusive Singapore that inspires hope for all, I urge the Government to rethink policies that support this group so that they, too, may enjoy a fair share of Singapore's success. There have been a couple of recent examples – Government housing grants to those earning up to $6,500 and childcare subsidies to households earning up to $7,500. I hope this trend of support will continue, offering the middle class a package of universal benefits to help them with essentials, such as housing, healthcare and children's education as well as access to unemployment insurance.”
“Mdm Speaker, I support the Motion to thank the President for his Address. Over the last few years, the Government has embarked on new directions in our economic and social strategies in response to changing environments. It has focused on restructuring for quality growth and stepped up social spending to strengthen safety nets and build an inclusive society. There have also been intense efforts to address Singaporeans' immediate needs in housing, transport, healthcare and education. I have seen the positive impact of these strategies in Ayer Rajah constituency. My needy residents are benefiting from more generous, flexible and targeted Government assistance programmes. CHAS is helping more families with medical and dental expenses. I am particularly pleased to see childcare places boosted by 69% and fees dropped to as low as $3.50 per month for some families. There has also been a 41% reduction in housing issues raised during my Meet-the-People sessions. My residents are enjoying a host of new facilities in our estates, from installation of CCTVs, completion of Pandan Park Connector, to renewal of our estate with the completion of the Teban Vista Selective En bloc Redevelopment Scheme (SERS). Two much needed bus services were launched: a new City Direct service in February and a feeder service to Jurong East transport and commercial hub, just this month. So, on behalf of my residents, I would like to express sincere thanks to the Government for responding to our needs and taking very concrete actions to improve our lives. While we continue to push for more to be done, it is important to acknowledge the progress that has been made on various fronts, including bold initiatives, such as MediShield Life and the Pioneer Generation Package.”
“Sir, I have one clarification for the Minister. During his speech, the Minister mentioned that I spoke about the success of The Hillford. I would like to clarify that. In fact, I expressed the disappointment of many seniors that they felt outbid unfairly by non-retirees and investors because they were chasing the same unit. In fact, the concession that the Government gave for this project to make it a retirement village was, they claim, no more than just a shoe-box apartment because of no age limit on occupancy. I would like to ask the Minister, would he consider more land to be set aside for retirement village but this time with very clear eligibility criteria for occupancy and buyers so that it genuinely benefits and meets the exclusive needs of our seniors.”
“Madam, there are measures within Budget 2014 that intensify the pressure on the construction industry to upgrade themselves. It is only right that the Government steps up its efforts to encourage the industry to adopt more productive and less labour-intensive technologies. Change is required across the entire construction eco-system. Whilst construction companies must take ownership, the Government can also play an active role in helping the industry address structural issues that hinder their Page: 121 productivity efforts. Please allow me to make suggestions on three fronts. First, provide attractive incentives for the adoption of productive technologies. Consider launching a comprehensive framework that rewards developers with lower foreign worker levies if they deploy productive construction methods or invest in labour-saving technologies. Help firms to invest in capital-intensive machinery that would otherwise be unaffordable for smaller construction companies and develop a marketplace for leasing of construction equipment. Second, provide the necessary infrastructure and resources for scaling up precast and prefabricated facilities, so that components can be accessed easily and cost-effectively. And, third, support the Construction industry to rebrand and promote jobs in the industry so that it becomes attractive to locals.”
“Monetising and Right-sizing of HDB Flats The Parliamentary Secretary to the Minister for Health and Minister for Transport (Assoc Prof Dr Muhammad Faishal Ibrahim): Mdm Chair, as our society ages, more and more HDB flat owners are expected to have stayed many years in their flats. Some may want to continue to stay in their flats as they have deep emotional attachment to their current flat and neighbourhood. On the other hand, there are others who may want to right-size to smaller flats, as many of their children would have shifted out. Page: 107 I would like to ask the Minister, how many elderly or families have requested for right-sizing to smaller flats? How long does one need to wait to right-size? What are the types of flats that these owners right-sized to? Is monetising a key reason for right-sizing? I am happy that the Minister had announced that he is refining the Lease Buyback Scheme. I would like to ask the Minister on the take-up of the Lease Buyback Scheme. How will the changes that will be announced later affect the take-up rate? Finally, is the Ministry working out any other forms of monetising options for Singaporeans? Single Flats and Strong Family”
“45 pm Madam, the pent-up demand that The Hillford could not meet is indicative of the unfulfilled need for retirement villages in Singapore, and I hope the Government is setting aside more land for such purposes. But I also hope that the Government puts in place a comprehensive framework that clearly sets out the eligibility of occupants and buyers. For example, there should be explicit age criteria on occupancy, which should be no younger than 55 years. It should prescribe the minimal level of facilities and services that the development must offer to residents which should include 24-hour emergency healthcare facilities and home visits by trained medical professionals, as well as social and recreational programmes. Developers should be offered shorter leases on specially-zoned land, so as to make the units more affordable for retirees. We should also consider offering these homes to serve the exclusive needs of Singapore citizens. Madam, the coming years will present new challenges as our population ages rapidly. As we continue to build a shining future for our country's youth, we also hope for a comfortable, dignified and peaceful retirement for our retirees. Many of them will, happily, still be healthy and active, and may prefer to live independently, within a community of like-minded individuals. Rather than feel lonely at home, they enjoy being with their friends and taking part in group activities. They would like readily accessible medical services, but do not want or need the constant attention in an old-age home. And they want to be able to age gracefully in the land they have lived and worked in all their lives. We need to keep up with the changing aspirations of our silver generation.”
“Madam, I would like to start by acknowledging the great efforts by the Government to enable the vast majority of Singaporeans who live in HDB estates to age in a senior-friendly and familiar environment. Generously subsidised improvements, such as the upgrading of the lifts, installation of barrier-free ramps and retrofitting flats with age-friendly features, have made a huge difference to the quality of life of many senior citizens. However, there is a segment of retirees in Singapore who will benefit from living in retirement communities, similar to retirement villages in other developed countries. This type of accommodation provides a communal hub of shared facilities and services tailored to the needs of seniors, alongside a healthy social ambience that encourages interaction among residents. Such retirement housing provides a lifestyle choice for seniors, especially helpful to those who stay alone or with few family members. The launch of The Hillford at Jalan Jurong Kechil, touted as Singapore's first "retirement resort", was an important test-bed for the idea of short leases, elderly-friendly features and smaller-sized affordable homes. The project was sold out on its first day of sale due to overwhelming demand. However, many seniors felt disappointed they were out-bid unfairly by non-retirees and investors in their quest to buy a unit because there is no age restriction on ownership or occupancy. Some have even charged that the special concessions given to the developer, intended to facilitate the development of affordable retirement housing, turned out instead to be a way for the developer to launch another category of "shoebox" flats on shorter leases. Page: 106 3.”
“So, if I could just offer my service. Thank you.”
“Okay, my clarification. I would like to ask the Government to look at quite a different approach. I understand that a lot of efforts have gone in, but I think the efforts have not been bearing the results we want. I would like to offer help to lead, say, an industry together with the Government, to see if we can do just like how the UK did it. The UK Government and Deputy Prime Minister Nick Clegg got 22 top companies in the UK to champion this because they have seen such great results.”
“Madam, I would like to talk about flexi-work. Members have previously spoken many times on this subject. In my view, I think Singapore can make a lot more progress. There was a question asking MOM how successful the interventions have been. With the announcement that the Senior Parliamentary Secretary just made that 160,000 grants over three years and yet we only have less than 10 —”
“So, this group, who calls themselves the "Agile Future Forum" (AFF) pledged to share their experience and knowledge with other companies with the view to revolutionise traditional work practices and boost the UK economy. In fact, this group was formed in response to the UK Deputy Prime Minister's call to shake UK working practices up, to boost employment and workforce efficiency. Madam, I hope MOM will critically review our experience on flexi-work and put in place a different and bolder strategy to accelerate the adoption of flexi-work in Singapore. We must help companies dispel the myth that flexi-work is a luxury that employers can ill-afford in today's tight labour market. Instead, flexi-work should be our response to the modern economy, where workforce agility can generate significant economic benefits and be a means to attract and retain Page: 86 talent, and get the workforce engaged to boost the competitiveness of companies. Work-life Balance”
“Madam, I have spoken in Parliament many times on the subject of flexi work. Unfortunately, we have made very little progress on this front. In an attempt to boost flexi work, MOM launched a new scheme last year, WorkPro. So far, this has resulted in approvals for fewer than 10 companies per Page: 85 month for the Work-Life Grant offered under the scheme, despite doubling the amount of funding available, as compared to the previous WoW! Fund scheme. Flexi-work continues to be an unfulfilled hope for many Singaporeans. At the same time, businesses continue to miss the significant opportunities that flexible work offers to enhance their business performance and engage their employees. Singapore can take learnings from UK on their flexi-work journey. The UK already has provisions in place that give employees with care-giving responsibilities the right to ask for flexi-work and have those requests considered seriously by their employers. About 96% of UK companies already offer some degree of "flexi-work". But what is really interesting is last year, a group of 22 of Britain's most successful companies decided to take flexi-work to yet another level because they have experienced significant and tangible financial results that flexible working brought to their businesses. They experienced benefits equivalent to savings of 3% to 13% of workforce costs and, in some instances, sales uplifts of 11% when implemented successfully by business leaders. This group of companies collectively hire half a million people across the UK, and their track record shows that flexi-work is not so much an employee welfare benefit as it is a strategic advantage for their businesses.”
“I propose that the Government consider off-setting their costs, as part of our efforts to build a strong Singaporean Core in strategic industries for the future. Madam, in fact, nine years ago, in my previous capacity as the China Head for Standard Chartered Consumer Banking business, I supported the Asian Business Fellowship programme under MTI by sponsoring seven Singaporeans. Under this programme, the Government paid for the interns to gain valuable exposure in a fast-growing Asian market, whilst the Bank provided them with development opportunities in an international setting. Madam, instead of just focusing on entry/mid-levels, we need a programme targeted at senior executives, which we may call the Future Leadership Incubation Growth and Hi-potential Programme or FLIGHT school, in short. This Top Gun programme will give wings to a Singaporean Core of world-class corporate leaders who can then help take the country soaring towards our aspiration as a Global-Asia hub. Second Skilling, Continuing Education and Training & Under-employment”
“Madam, as part of our growth strategy to entrench Singapore as the Global-Asia Hub, both Government and employers have critical roles to play in ensuring that Singaporeans have the capabilities and skills to take up the best jobs. I urge the Government to broaden the coverage of CET to include the development of Singaporean leaders to fill top regional jobs here. This will not only secure the best opportunities for our people, but also enhance our competitiveness with the availability of world-class management talent. Currently, the typical approach taken by MNCs to fill top regional jobs is to simply send in senior managers from their foreign head offices or overseas branches. This is partly because these organisations need their "man in Singapore" to have deep knowledge of the corporation's culture and processes and a well-cultivated network of contacts in the wider organisation. But I believe that Singaporeans can be prepared for these roles, if we provide them with Page: 61 opportunities to gain international experience. The Government should launch a programme to encourage employers to proactively identify and groom top Singaporean managers. A key part of this programme should include sending high-potential (Hi-Po) executives on overseas job postings to either manage a large overseas market or to take on assignments at the head office. These postings should be for about two years to be meaningful both to gain management experience in different markets as well as build wider networks in these large organisations. These Hi-Pos are then required to return to work in Singapore. Such postings are costly undertakings for most companies.”
“Mr Chairman, I would like to ask the Minister about the policies on Industrial Government Land Sales. MSF has set the precedent of evaluating bidders for childcare centres not based on just price bids, but qualitative factors. To address some of the cost pressures that the businesses have been talking about in terms of getting industrial land, I would like to ask the Minister if he would consider also a formula, other than bid price, to include qualitative factors, such as economic contributions, jobs created and the purpose of the development, whether it is for investment or owner-occupation. I would like to ask whether these qualitative factors can also go into the Government land sales programme.”
“Page: 126 With signs of recovery in the global economy and in preparation for the ASEAN Economic Community in 2015, we should also help more companies seize growth opportunities overseas. I would like to ask the Minister to elaborate on support schemes available to help SMEs go international. What help is available to support them to pool their set-up costs collectively and jump-start their operations overseas? Internationalisation”
“Mr Chairman, many Members of this House have spoken about the problems of escalating prices and rents in industrial and commercial properties. I would like to ask MTI to share details on the supply of new industrial space projected for the next three years, and whether this supply will ease the pressure on commercial property prices and rentals, in the same way that we have seen pressures ease in the residential market. It is critical that the Government retains some strategic levers to influence the market and ensure that Singapore remains competitive and businesses remain sustainable. It may be time to review the policies on industrial Government land sales. Instead of relying solely on bid prices, qualitative factors, such as economic contribution and quality of jobs created, as well as purpose of development, whether it is for investment or owner-occupation, should all be taken into consideration. 5.15 pm The Government needs to step up its efforts to help effect the necessary structural change needed for more productive land use. They should increase the supply of next-generation industrial facilities that help companies achieve economies of scale and reduce business costs. Developments like JTC Food Hub that provide shared facilities, supported with a full suite of logistics services, can transform industries. In fact, the competitiveness of selected industries, such as aerospace, biomedical sciences and food manufacturing, can be boosted with specialised land and space for the industry clusters, as seen in recent JTC developments. We should aspire to lead in this area, turning our land constraints to a unique advantage with innovative features.”
“I had asked during my speech whether the Minister could share with us the number of people, the percentage of people whom the Government has estimated, who have debts exceeding the 12-month income limit. Would the Minister share that number, if that is available, so that we have a sense of how big is that population, that has already gone over the limit?”
“To help those who have already chalked up debts well beyond their 12 months' income limit, MAS should consider setting up an Inter Bank Debt Relief Programme to restructure loans, help individuals bring down their debts over time, and to give them an opportunity to "reset" their lives. Credit Counselling Singapore can play a key role to help heavily indebted individuals recover from serious debt problems by providing credit management information, credit counselling and, where applicable, put up a debt repayment plan. Page: 84 Madam, some individuals who are unable to borrow from banks after reaching their aggregated debt limit at 12 months' income limit, will now consider borrowing from moneylenders, where the aggregated debt limit will not apply. Moneylenders typically charge higher rates and tougher terms. The banking and moneylending sectors currently operate under separate frameworks. So, I urge the Government to consider prescribing one aggregated total borrowing limit that will apply to lending in both sectors. A centralised credit bureau which captures all borrowings from banks and moneylenders, should be set up to enable lenders to make complete assessments of an individual's borrowing capacity, a practice already in place in Hong Kong. We should consider instituting a set of Responsible Financing guidelines which lenders must use to help educate borrowers. They should be obliged to advise individuals on the full implication of their borrowing decisions, when the borrower is being marketed to, and when the loan contract is being signed. Madam, ultimately, the individual must take personal responsibility for their own finances. I hope the Government will step up the provision of financial education to help individuals understand how to use credit responsibly.”
“Madam, MAS reported that the average outstanding unsecured debt owed by individuals seeking credit counselling has increased, and the number of individual bankruptcy orders made has also been trending up. So far, the Government has relied on regulations, such as the capping of unsecured borrowings by any individual at four times or four months' income per lender, to safeguard over borrowing. However, an individual could still chalk up insurmountable debts by borrowing from multiple banks, each at this capped limit. A typical individual with four credit cards, two personal loans from multiple banks could potentially chalk up borrowings of up to 24 months' of his or her income. "Hard core revolvers" commonly borrow from one lender to pay another, constantly revolving just to keep afloat. The MAS has announced that, effective June 2015, it will impose a borrowing limit of 12 months' income for an individual's aggregated unsecured debt, across banks. It is a significant and welcome step to help individuals manage their total indebtedness. However, I would like to ask the Minister how many people have already chalked up debts exceeding the 12 months' income limit. I am concerned about the fate of these individuals when, come June 2015, the banks are given access to data about their total outstanding loans, for the first time. And if all the banks decide to act suddenly and simultaneously take action on credit lines ahead of the June 2015 deadline, it may lead to a devastating credit crunch and a wave of bankruptcies, with heartbreaking consequences for the families of many borrowers. So, I urge the Government to set up an industry taskforce to oversee and coordinate actions across banks to prevent a hard landing.”
“We marvel at how few rubbish bins there are in Japan, because the Japanese take their rubbish home, saving society the high cost of rubbish disposal. Page: 50 Madam, these are not fleeting instances of productive behaviour. For a long-lasting impact on the way we live and work, this kind of thinking has to be more deeply ingrained. Culture exerts a powerful and pervasive presence. When it is pervasive and persistent and everyone accepts that this is the way things are done, it becomes the norm. Madam, culture takes time to develop, but it also needs Hope and Confidence to take root; Hope that all stakeholders – Government, employers and workers – will share the same vision and align our efforts, and Confidence that a brighter future awaits those who invest in change. I hope this Budget marks a new impetus to accelerate the economic transformation that Singapore must undergo to safeguard our future and that all Singaporeans are committed to making it happen. Madam, I support the Budget. 1.51 pm”
“To this end, I urge businesses to invest much more in the training and development of managers to help them engage their staff more effectively. The culture at the workplace needs to be one where employees feel that their views are taken seriously, their input helps to improve their companies and they have a stake in helping their employers succeed. The traditional top-down approach needs to give way to one that is more nurturing, flexible and collaborative. On the part of the individual, I refer to the Finance Minister's call for a "cultural shift" among Singaporeans. This is, arguably, the most difficult and yet the most important pillar of our strategy. Without the buy-in and commitment of the individual workers, no amount of policymaking, corporate incentives or HR development will work. All citizens, young and old alike, yearn for a better future for themselves and their children. If we collectively recognise that we are better able to achieve this goal by changing mindsets about the way we live and work, then we would have begun to shift culturally. We would be shifting towards a culture of excellence and mastery, of taking pride in the work we do, of becoming experts and craftsmen in our trade. A culture of being self-directed to seek knowledge, to better oneself, to want to create, to build and nurture; a culture of seeing ourselves as part of a larger society, of understanding how we can contribute to others, of being aware of the societal and environmental impact of our actions. We can see this at work in other countries. We are impressed that German car mechanics take so much pride in their work that they attach their names to the engine-blocks.”