Heng Swee Keat
Singapore
“In a world heading towards greater contest and fragmentation, amid rapid advances in science, technology and innovation, Singaporeans can play a valuable part as bridge-builders and connectors, and Singapore can be a trusted and neutral Global-Asia node of technology, innovation and enterprise.”
“The National Quantum Office has identified specific goals under the National Quantum Strategy (NQS), with resources and efforts directed towards specific quantum areas and technologies accordingly.”
“Mr Speaker, Sir, I would like to thank Member Ms Denise Phua for her comments because her comments reminded me of the tagline that I always said when I was in MOE – that you can learn from anyone, anytime, anywhere. In fact, peer learning is a very important aspect of that learning.”
“But I have laid out the strong basis for my optimism that a small and open economy like Singapore can continue to thrive and secure our next bound of growth. By serving as a trusted node and connector, we can create value by facilitating connections and building new linkages in today's fractured global landscape.”
“Secondly, one other very important thing the Member must bear in mind is that AI is a very rapidly developing field and it is something which our researchers are working hard on, to look at the different techniques of AI – it is not just GenAI, but the whole range of different AI systems that are being used – and how that can be used in c…”
“Assoc Prof Jamus Lim, you do not need an invitation. You are free to provide your suggestion. After all, are you not from WP? And by the way, let me make it clear that I have heard MPs on both aisles speaking about workers, and we have a very strong presence of our union MPs here and they will be speaking even more on this.”
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“The Minister for Manpower will elaborate on this and other measures at the Committee of Supply (COS). Let me now move on to our longer-term transformation strategies. To capture future opportunities, our economy must transform in response to the three major shifts I mentioned earlier – the shift in global economic weight to Asia, the emergence of new technologies, and our demographic transition. And what changes do we have to make? New technologies mean that the ways in which companies do business, create value and organise themselves will change, and change quickly. Our companies must keep up, and our workers must adapt as the nature of jobs and the skills required evolve. Asia's growth means new markets, with new needs to be met. Changing global patterns of production and consumption, together with new technologies, will bring new opportunities, but also greater competition. Our businesses and workers must differentiate themselves and continue to venture abroad. And with an ageing population, we need to find ways to reduce manpower demand, while enabling our older workers to continue contributing. We have made a good start through the ITMs. In the next phase of our ITM journey, we will take a more cluster-based approach to reap synergies and strengthen linkages across multiple industries and explore new opportunities. And we must strengthen the three key enablers that lay the foundation for all the ITMs – innovation, capabilities and partnerships. First, we must foster pervasive innovation throughout our economy, so that we can make the best use of technology, adapt quickly, and create new value to differentiate ourselves. Second, we must build deep capabilities in our firms and our people, so that we can compete not on costs, but on the value and skills we bring.”
“This scheme co-funds wage increases for Singaporean employees, up to a gross monthly wage of $4,000. For 2017, we expect to pay out more than $800 million to more than 90,000 firms, for wage increases given to more than 600,000 employees. I will extend WCS for three more years. WCS will provide 20% co-funding for 2018, 15% for 2019 and 10% for 2020. This will cost about $1.8 billion over the next three years [Please refer to Annex A-1 ]. Second, I will enhance and extend the Corporate Income Tax (CIT) rebate. For Year of Assessment (YA) 2018, I will raise the CIT rebate to 40% of tax payable, capped at $15,000. I will also extend the CIT rebate to YA2019, at a rate of 20% of tax payable, capped at $10,000. The enhancement and extension will benefit all tax-paying companies, especially smaller ones. These changes are projected to cost an additional $475 million over the next two years [Please refer to Annex A-1]. For the Marine Shipyard and Process sectors that still face weakness, I will defer the earlier-announced increases in Foreign Worker Levy rates for another year [Please refer to Annex A-1]. We will also strengthen support for our workers. We have been supporting those facing career transitions to stay employed and employable through the Adapt and Grow initiative. For example, the Professional Conversion Programmes (PCPs) have helped more than 3,700 mid-career individuals take up new jobs last year. This year, we will strengthen employment support for lower- to middle-income workers in various ways. This includes upgrading the current Work Trial scheme into a Career Trial scheme, with higher funding support for workers to try out new careers [Please refer to Annex A-4 ].”
“To improve our liveability as a city, we must also enhance our urban sustainability and enable our economy to be more carbon-efficient. Third, we will continue to foster a caring and cohesive society. This requires our collective effort. The Government will continue to strengthen our social safety nets and supports, especially in the face of demographic challenges like ageing. We must also remain a society where all of us – as individuals, members of families, and citizens – take pride in caring for ourselves, our children and seniors, and one another. Finally, we will continue to plan ahead for a fiscally sustainable and secure future. Preparing for the longer-term shifts will require more resources to take care of our families, keep our people safe, invest in capabilities and develop new infrastructure. And we must do this amidst a period of greater geopolitical uncertainty and increasing tax competition. It is, therefore, our duty and responsibility to plan ahead and ensure that we have enough resources to do all that we need to do. Let me start with building a vibrant and innovative economy. We must support our firms and workers to overcome near-term challenges, as well as prepare them to capture future opportunities. I will address each of these in turn. First, overcoming near-term challenges. Though our economy picked up last year, some firms remain concerned about business costs. A key driver of this is wage growth. But wage growth is good for Singaporeans. To sustain wage growth and keep business costs manageable, our firms must continue to improve productivity and achieve quality growth. We will support our firms to cope with near-term cost pressures by extending two measures. First, I will extend the Wage Credit Scheme (WCS).”
“Geographically, we are well-connected to the world, with flights to over 400 cities and shipping routes to over 600 ports globally. Within Asia, we have extensive connectivity to over 100 Asian cities by air and more than 250 Asian ports by sea. Digitally, we are connected to the world with over 500 terabits per second of potential capacity. And we will continue to enhance our connectivity by investing in digital infrastructure, as well as land links, such as the Kuala Lumpur (KL)-Singapore High Speed Rail. As an economy, we are open and free, with strong trade links and free trade agreements with many economies in the region and beyond. As a society, we are multiracial with an international outlook, enabling us to operate in the culturally-diverse Asian and global environments. And our people are also well-educated and tech-savvy. Budget 2018 will build on this strong position. First, we will develop a more vibrant and innovative economy. We must anchor Singapore as a Global-Asia node of technology, innovation and enterprise, welcome investments, talent and ideas to Singapore, and be bold in venturing out into new markets. To do this, we must make innovation pervasive in our economy, develop deep capabilities in our firms and workers, and establish strong partnerships locally and abroad. The shifts in the global economy and the emergence of new technologies are to our advantage, because they allow us to seize opportunities beyond our borders. Second, we will build a smart, green and liveable city. We should take full advantage of the latest technology to improve Singaporeans’ quality of life. That is what our Smart Nation movement seeks to achieve.”
“Also, our resident workforce will shrink, tightening our labour market and slowing economic growth further, unless we remain dynamic in our outlook, are increasingly productive in the way we work, and supplement our workforce with a calibrated inflow of workers from abroad. In addition to an ageing population, there are other forces that can strain our social fabric. We need to keep a close watch on income inequality and social mobility. We want growth to uplift all Singaporeans and deepen our social compact. That is why we will continue to invest in education and skills upgrading, to give every Singaporean the best chance to realise his or her potential. We will also promote sports, arts and heritage, and volunteerism and philanthropy, to build common interests and shared activities. These three shifts will not operate in isolation but interact together to affect us in profound ways. Some of these interactions will bring new opportunities. For instance, technology will help our older workers to stay productive and assist our caregivers to care for seniors. With many Asian consumers at the frontier of technology adoption, there are also many opportunities for companies to meet the demands of these tech-savvy consumers. But these shifts can also bring new challenges. The rapid pace of technological change may lead to older workers feeling marginalised. In some advanced economies, there is rising discontent over globalisation and technological disruptions. And as technology becomes more pervasive, the risk of cyberattacks and online radicalisation will also increase. Singapore is in a good position to guard against such challenges and capture the opportunities.”
“India is reforming its economy, easing restrictions on foreign investments. Closer to home, the Association of Southeast Asian Nations (ASEAN) countries are moving up the value chain and their middle-class population is growing rapidly. All these developments represent significant opportunities for our firms and people. Our economy must be geared to ride on and contribute to Asia’s growth. However, there are also potential threats to the stability and growth of our region. Tensions on the Korean peninsula and in the South China Sea can dampen investor confidence, while the threat of terrorism across the region remains very real. The second shift is the emergence of new technologies. Robotics and digital technologies are changing the way we live, work and play. They have already enabled the shift to Industry 4.0 and the rapid rise of e-commerce and a sharing economy. These are interacting with traditional businesses in different ways, sometimes as competing substitutes, sometimes as complementary enablers4. New technologies are reshaping the economy and jobs. Firms will compete increasingly not on physical assets, but on intangible assets, such as intellectual property (IP), data and user networks. First-mover advantage and time to market will be key. Securing better jobs and higher wages will not be just about how well we did in school, but how well we continue to learn, relearn, adapt and grow throughout our lives. The third shift is ageing. We are well-placed in Singapore to make the most of the collective wisdom of our seniors, but we must also be prepared for the challenges of an ageing society. There will be a significant increase in healthcare and social expenditure, placing greater demands on families and the Government.”
“For instance, as part of the Precision Engineering ITM, several companies in the sector, like Univac Precision Engineering and Globaltronic Precision, have undertaken projects to make better use of digital technologies in their manufacturing processes. This has enabled them to stay competitive and take advantage of the global economic recovery. We recognise, however, that some sectors, such as construction and marine and offshore engineering, continue to face headwinds. While we address such near-term concerns, the Budget must be a strategic and integrated plan to position Singapore for the future. Strategic because it should identify future needs and issues and propose early preparations to meet them. And integrated because it should pool together resources and integrate efforts across all stakeholders – workers, businesses, voluntary welfare organisations (VWOs), the Government and our citizens – to build a better Singapore for everyone. We must prepare for three major shifts in the coming decade. First, is the shift in global economic weight towards Asia. This will be accompanied by broader shifts in the global order. In recent years, several advanced economies have turned their attention inward in reaction to domestic pressures. For example, Brexit has put a cloud of uncertainty over the United Kingdom (UK) and its trade with the European Union (EU) and the world. And the United States' (US') recent tax changes and review of trade pacts will intensify competition and economic nationalism, fuelling anxieties worldwide. Meanwhile, Asia will play a larger role in global trade and investment flows. China has set up a regional infrastructure bank and laid out bold plans under the Belt and Road initiative.”
“Mr Speaker, I beg to move, "That Parliament approves the financial policy of the Government for the financial year from 1 April 2018 to 31 March 2019." Before I start, let me first wish everyone a very Happy Lunar New Year. This is going to be a long Budget Speech as there are many important things to cover. Last year, I had one file and it took me one and a half hours. This year, I have two files! But I promise I will call for a recess in the middle. With that, let me begin. Riding on the global upturn, Singapore’s economy picked up last year. Our gross domestic product (GDP) grew by 3.6%1, up from 2.4% in 2016. This exceeded the Government's forecast of 1% to 3% at the start of 2017. Our productivity growth was 4.5% as measured by real value-added per actual hour worked, and 3.8% as measured by real value-added per worker. These are the highest figures since 2010. The good productivity growth has enabled firms to pay higher wages while staying competitive. Real median income2 for Singapore Citizens rose by 5.3%3 last year. For 2018, the Ministry of Trade and Industry (MTI) expects growth to be more broad-based across sectors but moderated from the high of 2017. The positive near-term outlook shows that the hard work of employers, workers and the Government is paying off. With the support of businesses, Trade Associations and Chambers (TACs) and unions, we have launched 21 out of the proposed 23 Industry Transformation Maps (ITMs). The remaining two will be launched by the end of March. The tripartite Future Economy Council (FEC) is now overseeing the implementation of these ITMs and the strategies laid out by the Committee on the Future Economy (CFE). Though new, the ITMs are helping to prepare our companies for a new phase of growth.”
“Bond financing by Statutory Boards and Government companies is one way to finance infrastructure projects. We already do this today. For example, Statutory Boards like the Housing Development Board, Land Transport Authority and Public Utilities Board have issued bonds to finance public housing, rail and water infrastructure. Such borrowings enable the capital cost to be spread out over a longer period, thus better matching the cost with the benefits over the useful life of the asset. But we also need to consider interest costs and ensure that there are adequate future revenue streams from the project to service the debt. For the major infrastructure projects that are upcoming, the Government will study the extent to which bond financing can be used, bearing in mind the key principle of ensuring fiscal sustainability.”
“The Supplementary Retirement Scheme (SRS) is a supplementary savings scheme for those who wish to save for retirement, in addition to the Central Provident Fund (CPF) scheme. SRS also provides an avenue for foreigners, who are not allowed to contribute to CPF, to have a pension plan for retirement. For Year of Assessment (YA) 2017, a total of 75,700 SRS members contributed to their SRS accounts. Seventy-two thousand and three hundred (96%) were locals while the remaining 3,400 (4%) were foreigners. The SRS members came from all income brackets, with a larger proportion from higher-income brackets. This is a natural result as the SRS is intended to encourage supplementary savings beyond what individuals save in CPF. We do not currently have plans to revise the tax relief provided under the SRS scheme.”
“The personal income taxes collected from the top 20% of taxpayers have more than doubled between Years of Assessment (YA) 2007 and 2017, from $4.3 billion to $9.8 billion. This is due to both an increase in the number of taxpayers and higher amounts collected from each taxpayer on average. Generally, this trend is observed across all age groups within the top 20% of taxpayers.”
“The NS Excellence Award (NSEA) is accorded to Operationally Ready National Servicemen (NSmen) who have performed in the top 30% of their cohort in in-camp training and courses during their Operationally Ready National Service. As it is an incentive to reward good performance during NS, the NSEA, like other income from an individual's good performance, is taxable. However, where it is a gift from the Government to show appreciation to NSmen in general and is not a reward for good performance, the gift will not be taxable. An example is the NS50 Recognition Package. To support and in recognition of their service to the nation, NSmen are eligible for a tax relief of between $1,500 and $5,000.”
“Currently, there is no ready mechanism to differentiate and track Goods and Services Tax (GST) that is currently collected versus GST not applicable for online transactions. As shared in Budget 2017, with increasing digital transactions and cross-border trade, some countries have taken steps to adjust their GST system to ensure a level-playing field between their local businesses which are GST-registered, and foreign-based ones which are not. We are studying how we can do likewise.”
“The guide lays out best practices in grant design, evaluation and approval, project monitoring and grant disbursement. On the whole, we have a sound system in place, managed by committed and competent staff. But improving financial governance is an ongoing and continuous journey. We will continue to be vigilant and take steps to strengthen our risk management practices and safeguards.”
“Singapore has a sound system of governance that delivers good outcomes at relatively lower spending levels compared to many other countries. We achieve this by ensuring that public monies are used appropriately and properly accounted for. Government agencies commit to key performance indicators (KPIs) for all programmes and schemes. These are reviewed regularly to ensure they remain relevant, useful and fulfil their intended outcomes. Value-for-money reviews are also centrally conducted to assess the cost-effectiveness of key programmes and often lead to recommendations for further improvements. The rules in the Government Instruction Manuals and Finance Circulars require agencies to have an effective system of internal audit and financial controls. All agencies are required to report their internal control measures and key internal audit findings to their management and the Ministry of Finance. For major expenditures, approval is subject to rigorous evaluation. The Gateway process for development projects, for example, involves reviews by a panel of private and public sector technical experts and approval by the Development Planning Committee at the Ministerial level. Government agencies are subject to independent audits, and the audit scope covers the use of the grants that are disbursed. Agencies also put in place safeguards against abuse, for example, through a system of fraud detection, checks and audits before claims are approved and paid out. In addition to these controls, there are learning platforms to promote best practices and share emerging trends on governance and internal controls. For example, the Accountant-General's Department recently issued a guide to help agencies in their grant administration.”
“The Grandparent Caregiver Relief is given to working mothers who enlist the help of their parents, grandparents, parents-in-law or grandparents-in-law to take care of their young Singaporean children aged 12 or less. The relief is intended for caregiving for young Singaporean children. We have thus set the age threshold at 12 and require the grandparent caregiver not to be working, as the children are young and require adult supervision.”
“To encourage and support the employment of seniors, we have put in place measures, including the Special Employment Credit, which is paid to employers of older workers, WorkPro which helps employers redesign jobs and workplaces for older workers, and the Workfare Income Supplement which tops up the cash wages and Central Provident Fund (CPF) of older low-wage workers. Tax reliefs, such as Parent Relief, Spouse Relief and Qualifying Child Relief, are given to taxpayers to recognise their efforts in supporting their family members. These reliefs are intended for circumstances where the dependant is handicapped or is not earning any income. As some dependants may derive a small amount of incidental income, our approach seeks a balance by setting the dependant’s income threshold at $4,000 a year.”
“As highlighted in the Committee on the Future Economy (CFE) report in 2017, there is increasing competition in the global arena. The current United States (US) tax reform includes cut to the headline federal corporate tax rate from 35% to 21%, which is part of the current global downward trend in corporate tax rates. The top US marginal personal income tax rate is also reduced from 39.6% to 37%. Companies with US linkages are likely to be analysing the details of the US tax reform package and reviewing their options. While the reform may enhance the tax competitiveness of US vis-à-vis other countries, companies would take into account non-tax considerations in their investment decisions. Considerations would include a location's business environment, its proximity to markets, availability of skilled manpower and corporate capabilities. Singapore's corporate tax rate at 17% and top marginal personal income tax rate of 22% are competitive internationally. But we must continue to develop and strengthen our other competitive advantages by maintaining our pro-business environment and building on our connectivity to the global markets and our strong links to the Association of Southeast Asian Nations (ASEAN) and Asian economies which are expected to continue to grow strongly. We must also continue to deepen the capability of our industries and our people, so that we can continue to stay relevant and attractive to all investors.”
“As mentioned by the Minister for Finance in his Budget Statement in February this year, we are studying how we could make the necessary adjustments to our Goods and Services Tax (GST) system to ensure that local businesses which are GST-registered are not disadvantaged due to digital transactions and cross-border trade. In May 2017, the Inland Revenue Authority of Singapore (IRAS) launched its consultation papers on the proposed reverse charge and overseas vendor registration regime to seek feedback and suggestions from the various stakeholders. IRAS is in the process of engaging these businesses and associations on the different ideas for taxing such cross-border goods and services in the digital economy. A wide range of segments are being engaged, including financial institutions, e-commerce companies, electronic marketplace operators, logistics players and consultancy firms. We are also monitoring developments in other countries. We will take into account the feedback gathered and the issues raised in our review. If any measure is to be announced by the Government, lead time will be provided for implementation.”
“Taxi drivers are allowed to claim tax deduction for expenses incurred in the production of their income. These tax-deductible expenses include vehicle rental fee, diesel and parking charges. As for private hire ride-hailing car drivers, deduction for tax is not allowed in respect of expenses incurred on the car. This is because such drivers cannot be assumed to use their cars predominantly for business purposes. Many drive on a part-time or casual basis. This treatment supports our national policy to manage the car population and is applied to both corporate and individual taxpayers. For example, companies are similarly not allowed to claim tax deduction on any expenses incurred for a private car. Private hire ride-hailing car drivers can, however, claim deduction for other non-car expenses. Such allowable deductible expenses include commission paid to third-party operators, administrative charges imposed by third-party operators, and the proportion of expenses for mobile phones used in the course of providing their services. As the regulatory regimes and business models for taxi and ride-hailing services remain different, there are no plans to harmonise the tax regimes for now.”
“We hope that more people who are keen or interested to help in reaching out to our seniors will step forward as PG Ambassadors.”
“The Pioneer Generation Office (PGO) was established in August 2014 to oversee the Pioneer Generation (PG) Ambassadors Programme. PG Ambassadors, who are volunteers, carry out personalised outreach to Pioneers and their caregivers to explain the various Government schemes. In August 2016, PGO extended its outreach to 90,000 more Singaporean Citizens aged 65 and above (in addition to only Pioneers), and began its third wave of engagement through its Support Schemes for Seniors programme. This programme aims to help seniors understand relevant Government schemes beyond the Pioneer Generation Package and MediShield LIFE. These schemes include the Community Health Assist Scheme, Silver Support Scheme and the Goods and Services Tax Voucher scheme. Between August 2016 and September 2017, the PG Ambassadors successfully engaged close to 350,000 seniors, or more than two-thirds of the total senior population. PGO also supported the Community Networks for Seniors pilots in the Tampines, Marine Parade and Chua Chu Kang Group Representation Constituencies. In the three pilot sites, the PG Ambassadors referred more than 800 unique seniors to relevant agencies for follow-up. These cases are seniors with multiple needs that require case management. PGO has over 3,000 trained PG Ambassadors. Presently, the pool of volunteers is sufficient to maintain its engagement activities. In anticipation of a higher volume of engagement in the future due to the ageing population, PGO is actively recruiting more volunteers by establishing new partnerships with partner agencies, such as the National Volunteering and Philanthropy Council, Council for Third Age and the Organisation of Senior Volunteers (RSVP) Singapore.”
“To implement the internationally agreed standards for the automatic exchange of information and fulfil Singapore's obligations under these agreements, the Income Tax Act was amended in 2013 and 2016. The amendments include the duty for specified persons to provide information to the Comptroller, and for this duty to provide information to prevail over the duty of secrecy provided for under written law or rule of law, including the Banking Act, the Personal Data Protection Act 2012, any contract, or rules of professional conduct. This duty to provide information is also within the exceptions to banking secrecy under the Banking Act and non-disclosure under the Personal Data Protection Act 2012.”
“There is no conflict between existing legislation on personal data protection and banking secrecy, and tax information exchanged under the Multilateral Competent Authority Agreement (MCAA) on the Automatic Exchange of Financial Account Information (AEOI) for the Common Reporting Standard (CRS) and the Exchange of Country-by-Country (CbC) Reports. AEOI under CRS and the Exchange of CbC Reports are internationally agreed standards. These standards are observed by many countries which continue to operate their respective data protection and privacy policies. For example, jurisdictions which have data protection and privacy policies, such as Switzerland and the European Union member states, have also endorsed these internationally agreed standards. Singapore's signing of the multilateral agreements for both standards is in line with our commitment to the internationally agreed standards on tax cooperation against cross-border tax evasion. The multilateral agreements for AEOI of CRS and CbC reports contain provisions which ensure that the information exchanged is kept confidential and used only for the specific purposes set out in the agreements. Exchange of information that are frivolous or spurious in nature or "fishing expeditions" are prohibited under internationally agreed standards for exchange of information. For instance, a party to MCAA is to provide information to the other party only if that other party has the legal and administrative framework to ensure the confidentiality of information exchanged and prevent its unauthorised use. Where there is any breach of confidentiality, exchange of information can be suspended.”
“Private sector buyers and investors have also shown interest in accredited suppliers due to the assurance provided by the work performed and track record built through this programme. Under the enhanced Partnership for Capability Transformation through Government-lead demand, also known as Gov-PACT, Government agencies will identify problem statements that require innovative solutions that do not yet exist in the market, and issue calls for proposals to the industry to develop and test-bed such solutions. Local SMEs and startups whose proposals are accepted are eligible for up to 70% funding support from the Standards, Productivity and Innovation Board (SPRING) Singapore for qualifying development costs. Gov-PACT enables our local enterprises to strengthen their innovation capabilities as they co-create and prototype innovative products and services for the public sector. This allows them to build track record with the Singapore Government as a reference customer and catalyse their growth. Since the programme was launched in April 2017, two calls for proposals have been launched by JTC and the National Environment Agency to good response from local SMEs. Beyond Government procurement opportunities, the Government also supports SMEs in many other ways, including through capability development, access to working capital and financing, and skills training for their workforce.”
“Small and medium enterprises (SMEs1) have been successful in securing Government projects under our open procurement system. In 2015 and 2016, more than 80% of the contracts called by Government agencies were awarded to SMEs. These contracts make up about half of the total value of all contracts awarded in the same period. Of the contracts awarded to SMEs, about 90% were won by SMEs that have at least 50% local equity. As the vast majority of Government contracts are below $100,000 in value, there are significant opportunities for smaller enterprises to participate in Government procurement. To facilitate participation in Government procurement, the first Government Electronic Business (GeBIZ) account is free, and this allows suppliers to view procurement opportunities and submit their bids electronically. There are also existing platforms, such as GeBIZ Mall, which provides electronic "shelf-space" for suppliers to publicise their goods or services and for Government agencies to buy directly from them. The Ministry of Finance and Government agencies also participate in outreach events, such as the Government Procurement Fair for SMEs organised by the Singapore Business Federation, to help SMEs gain a better understanding of Government procurement processes. There is also targeted support in specific industries. For example, the Infocomm Media Development Authority (IMDA) established the Accreditation@IMDA Programme in 2014 to nurture Singapore-based innovative technology startups and SMEs. Under this programme, 23 Singapore-based suppliers have been accredited. To date, more than 120 Government contracts have been won by accredited suppliers.”
“The Inland Revenue Authority of Singapore (IRAS) is in discussion with Uber and Grab to provide drivers' data to IRAS. The data can then be automatically pre-filled in the drivers' income tax returns to ease their tax filing compliance. IRAS hopes to finalise the arrangement as soon as possible with Uber and Grab. Deduction of expenses incurred for a car is not allowed for tax, unless the taxpayer is carrying on the business of hiring out cars or providing driving instruction. This treatment is in line with our national policy to curb the car population and is applied consistently to both corporate and individual taxpayers. Ride-hailing drivers are, therefore, not allowed tax deduction on expenses incurred in relation to the car, including the purchase cost of the car. These drivers can, however, claim deduction for other expenses. Such allowable deductible expenses include commission paid to third-party operators, administrative charges imposed by third-party operators, and the proportion of expenses for mobile phones used in the course of providing their services.”
“Second, ACRA will write to a company director or business owner at his residential address if ACRA's official correspondences with the business entities are returned undelivered or ACRA receives feedback on an outdated registered office address. The business entity has to update its registered office address before it is allowed to carry out any other filings with ACRA. Third, ACRA conducts outreach programmes, such as ACRA@The Heartlands, to inform business owners, directors and interested members of public of the various obligations of running a business.”
“The law requires all business entities that are registered with the Accounting and Corporate Regulatory Authority (ACRA) to update their registered office addresses through ACRA's filing system. The updates must be made within 14 days of the change in address, except for foreign companies which have 30 days to do so. It is convenient for business entities to update any change in their addresses which can be done online, such as through ACRA's filing system or ACRA-On-The-Go mobile app. Filing such updates is also free. The penalty for late filing is up to $350. In addition, if a company fails to update its registered office address, the company and its directors can be prosecuted and be liable on conviction to a fine of up to $5,000 and a penalty for each day of default after conviction of the offence. Furthermore, if a business entity is found to have deliberately not updated its address or used a false address to avoid contact with creditors or regulators, ACRA will not hesitate to prosecute the business entity and its directors or owners in Court. Under the various ACRA-administered Acts, it is an offence to provide false information to ACRA. For instance, an offender is liable, on conviction, to a fine of up to $50,000 or to imprisonment of up to two years, or to both under the Companies Act. From January to August 2017, around 64,000 business entities updated their registered office addresses within the stipulated timelines. Over the same period, 640 business entities were late in doing so and had to pay late filing penalties. To encourage compliance by business entities, ACRA has put in place various measures. First, ACRA conducts regular onsite inspections to check the validity of registered business addresses.”
“Ms Foo asked about accountability review of the officers involved. The head of each of the agencies concerned, be it the Permanent Secretary of a Ministry or the Chief Executive of a Statutory Board, is responsible for investigating the cases under his agency, rectifying the lapses and taking the appropriate disciplinary actions. The lapses highlighted this year by the Auditor-General's Office (AGO) were due to individual negligence, human errors or situations where procedures were in place but not followed. There is no evidence of a systemic weakness within Government agencies in terms of compliance. The officers responsible for these lapses will be held accountable and will be subject to disciplinary actions, commensurate with the officer's culpability and the severity of the mistake. The lapses will also be considered when appraising the officer's performance. As of today, of the 14 observations in the AGO report, rectification and staff actions have been completed for nine while the remaining five are in progress. They are expected to be completed, latest by October 2017. The AG has also said it will ascertain that follow-up actions are taken. As it has demonstrated in past years' reports, AGO will not hesitate to highlight situations where it finds that agencies have failed to follow up as they had indicated. Agencies are also accountable to the Public Accounts Committee (PAC) and PAC reports are publicly available.”
“Strong enforcement efforts and close-interagency collaboration have kept the peddling of contraband cigarettes in check. From 2012 to 2016, the number of peddlers caught remained relatively stable, averaging about 400 per year. About 80% of those arrested were charged in Court, while the rest were issued a composition sum or stern warning. In the same period, the total number of contraband cigarette offenders caught each year, which includes smugglers, peddlers and buyers, fell by 29% from 28,502 in 2012 to 20,147 in 2016. The Member also asked whether existing penalties are sufficient deterrents. In 2012, we enhanced the penalties for dealing in contraband cigarettes. Upon conviction, for first-time offenders, a minimum Court fine of $2,000 would be imposed, and the maximum Court fine is 20 times the amount of the taxes evaded. For repeat offenders caught with more than 2kilogramme of contraband tobacco products, mandatory imprisonment of up to six years was also introduced. To date, our penalties have been effective in keeping the contraband cigarette situation in check. Singapore Customs will continue to work with other enforcement agencies to deter the buying and selling of contraband cigarettes. We will also continue to actively engage the public to raise awareness on this issue.”
“Singapore adopts a multi-pronged strategy to reduce smoking prevalence. This includes restrictions on tobacco advertising, smoking prohibitions in public places, public education, provision of smoking cessation services and taxation on tobacco products. Among loose tobacco products, Ang Hoon is the most common. In 2013, the excise duty for Ang Hoon was raised by 25% from $239 to $299 per kilogramme. Together with other tobacco control measures, tax increases have helped to discourage the consumption of loose tobacco products. From 2013 to 2016, the amount of loose tobacco products released for local consumption decreased by more than 30%. MOF will continue to work with MOH to monitor international best practices in tobacco control and adopt appropriate measures to control tobacco use.”
“Based on IRAS' records, the outstanding taxes due from deceased taxpayers amount to between $13 million and $20 million annually for the past three years. Generally, about 80% of such unpaid taxes are recovered over time. IRAS' overall approach is to try and recover any unpaid taxes in the first instance. But after all appropriate recovery actions have been taken, IRAS will consider writing off the unpaid taxes.”
“In the years to come, when Dr Lee Wei Ling is no longer living at 38 Oxley Road, a future government may agree to demolish the house, as our founding Prime Minister wished. But there is another house that Mr Lee Kuan Yew built lovingly, a greater house than 38 Oxley Road − and that is Singapore. This house − we cannot allow to be demolished. 1.21 pm”
“" I believe I speak for all Members in this House and many Singaporeans, when I say, we all hope to do the same, to honour Mr Lee's wishes, and furthermore to honour his legacy and the ideals and principles of our founding leaders. Madam, please allow me to say a few words in Mandarin. (In Mandarin): [Please refer to Vernacular Speech.] By the time I served Mr Lee Kuan Yew as his Principal Private Secretary, Mr Lee was the Senior Minister. Yet, he continued to devote all his time to thinking about the future of Singapore. His every thought and action was focused on securing Singapore's well-being and success. If Mr Lee Kuan Yew were still alive, I believe he would want Singapore to remain successful. That is why we cannot allow this dispute to sidetrack us from the bigger task of honouring Mr Lee's wish for a successful Singapore. There cannot be a home without a nation. Mr Lee Kuan Yew devoted his entire life to build a greater house than 38 Oxley Road − and that is Singapore. This house − we cannot allow to be demolished. Let us continue to honour Mr Lee's spirit of unwavering dedication, strengthen the foundation of this house and build a better Singapore together. (In English): Madam, I have said earlier, we all wish to honour Mr Lee's wishes and legacy. To do so, it is important to understand what he stood for, what he devoted his life to. Mr Lee has devoted his entire life to achieving the survival and success of Singapore. Let us not have this difference sidetrack us from the bigger task of honouring Minister Mentor Lee's wish for a successful Singapore. Let us get back to the business of serving our people.”
“There is this deep sense of service for a young man in his early 20s. Many Members have cautioned that we must keep the Government's focus on the major issues confronting Singapore and not be distracted. I fully agree. As we have learnt in this debate, the family disagreement has been playing out over the last two years. Instead of allowing this episode to distract him or the Government, the Prime Minister has continued to focus, not just on the issues of the day, but on further laying the ground to address the medium and longer term challenges to Singapore. These relate to our security, foreign relations, jobs and the economy, healthcare and infrastructure, among others. Various Cabinet meetings and other forums have been deliberating on these various issues. I hope these two days of debate can help clear the air, rebuild trust and confidence, so that everyone can focus fully on the challenges that we face. Mr and Mrs Lee's three children have each made their contribution to Singapore, in different ways. The Prime Minister has been in public service all his life and is still in public service. Mr Lee Hsien Yang served in the SAF and later Singtel. Dr Lee Wei Ling has been a passionate paediatric neurologist and built up the National Neuroscience Institute well when she was heading it. I appreciate Dr Lee's care and concern for me when I was hospitalised last year. She remains Senior Advisor at the NNI and made the effort to visit and advise me on my medical condition. All of us − the children of Mr and Mrs Lee, as well as fellow Singaporeans − share one goal, which is to honour the legacy of Mr and Mrs Lee. In his Facebook post made this past Saturday evening, Mr Lee Hsien Yang wrote, "I simply hope to ensure our father's wishes are honoured when the day comes.”
“In the preface to his memoirs, Mr Lee wrote, "I wrote this book for a younger generation of Singaporeans who took stability, growth and prosperity for granted. I wanted them to know how difficult it was for a small country of 640 square kilometres with no natural resources to survive in the midst of larger, newly independent nations all pursuing nationalistic policies… we cannot forget that public order, personal security, economic and social progress and prosperity are not the natural order of things, that they depend on ceaseless effort and attention from an honest and effective government that the people must elect." An honest and effective government is a simple and powerful idea, but one that is achieved only by years of dedicated effort. Mr Lee devoted enormous amounts of effort to build up the Public Service, in persuading suitable men and women to stand as Members of Parliament and to testing some out as officeholders. He always put an emphasis on having a deep sense of values and service. Mr Lee believed profoundly in doing the right things, the necessary things. In this vein, both his sons took up SAF scholarships and both returned to serve in different ways. The young Lee Hsien Loong was a Senior Wrangler at Cambridge University − the top Mathematics student in his year. Trinity College offered him a fellowship. He could have devoted his life to Mathematics and probably have great success. But he wrote to his tutor: "It is absolutely necessary that I remain in Singapore, whatever I do… because Singapore is where I belong and where I want to be." In fact, the young Lee Hsien Loong never told his parents about this; he simply came home and got to work in the SAF. Mr Lee Kuan Yew only learnt about it later.”
“But we must remember that Mr Lee's lifelong and unwavering dedication was to making a success of Singapore. His efforts in his later years were about the success of Singapore beyond his lifetime. I talked about Mr Lee's belief that we need a sense of history to keep Singapore successful. The second principle for Singapore's success, which I would like to highlight and is relevant in this debate, is the rule of law. From what I have shared about that Cabinet meeting where Mr Lee came to give his views, and about his letter to Cabinet five months later, you would see that he observed a strict separation between his and Mrs Lee's private wish and the duty of Government. He had a strong personality and formidable track record, but not once, not once, did he insist that only his view should prevail − exactly like Ms Chia Yong Yong had said. I found that deeply admirable, for someone who was the founding Prime Minister of Singapore and who had been the Prime Minister for over 31 years. In this regard, Members have heard the speeches of both the Prime Minister and Deputy Prime Minister Teo on how the Prime Minister recused himself from deliberations relating to the house and kept a strict separation between his private duty as a son, and his duty as the Head of Government. As several Members have pointed out, the irony is that if the Prime Minister were to do what Mr Lee Hsien Yang and Dr Lee Wei Ling wanted, to impose his private wishes as a son and have the house demolished, we would not have this disagreement made public, but he would have abused his power. A sense of history. Rule of law. The third insight which I would like to share that Mr Lee had for Singapore's success was to keep Government honest and effective.”
“He told me that, after evaluating the evidence over the years, he was now convinced that there were benefits in giving young children early exposure to languages. In 2011, he decided to set up a fund, with his own money, and brought in several other donors. He asked that I guide MOE to use the fund to boost bilingualism across all levels, with special attention to the pre-school years. With his approval, I named it the Lee Kuan Yew Fund for Bilingualism. I share this experience to show Mr Lee's willingness to change his views if he was presented with robust arguments. His note to Cabinet on 38 Oxley Road, five months after he saw us, was an important change. Cabinet had stated our case to Mr Lee and we did not expect to hear back from him. Each time he had written on this issue to Cabinet had all been of his own volition, not at Cabinet's request. So, when he wrote to us in December 2011, it showed me two things: one, that he had taken five months to mull over very carefully; and, two, he felt that it was proper and important to inform Government of his thinking, now that he was prepared to consider the possibility that the Government of the day might decide not to demolish the house. Until the Prime Minister shared it yesterday, I did not know that Mr Lee then went on to apply for URA approval to reinforce the foundations and renovate the house. This shows that Mr Lee had a plan and he put it into action. That letter of December 2011, in which he said the whole building should be refurbished "if 38 Oxley Road is to be preserved", was the last communication Cabinet received from Mr Lee on this subject. I do not want to venture into how Mr Lee's views might have changed further if he were alive today.”
“To me, that note, sent five months after the meeting, showed that he had been mulling over the issue during that period, and, importantly, he had taken other views on board. Yesterday, Ms Chia Yong Yong spoke on the rule of law and what it meant to Mr Lee. She said, "I cannot imagine Mr Lee banging tables and insisting on the demolition of his house… I cannot imagine Mr Lee insisting that his individual interest must prevail over communitarian interest… I cannot imagine Mr Lee insisting that the Government cannot acquire his own property." She has put it very well. Mr Lee knew more than almost anyone the laws relating to the acquisition and preservation of property, having exercised powers over his years in office. I was at that Cabinet meeting and can attest that Mr Lee put his views to us, and then listened seriously to Cabinet members. I was struck at that time by how scrupulously he presented his case, without once invoking his seniority or contributions and how he listened so intently to what we had to say. Mr Lee's willingness to take into account new evidence and alternative views on the issue reminded me of how he had changed his view on language education for the young. Bilingual education was Mr Lee's lifelong challenge and he studied the matter deeply. When I was PPS, there were those who advocated that children acquire languages better if they were exposed to them earlier, in their pre-school years. But, based on his own readings and experiences, he believed that the benefits of early exposure washed out as the child grows. More than a decade later, when I was Education Minister, Mr Lee asked to see me.”
“Mr Lee also recounted how, during that tumultuous period, the Chinese school students "started turning up at Oxley Road looking for advice on a hundred and one problems they encountered whenever they came into conflict with or were obstructed by authority". What happened in the basement dining room and at Oxley Road is relevant not just for the history of the PAP. I was surprised to hear Mr Png Eng Huat yesterday take such a narrow and partisan view of history. Those years marked a pivotal moment in our nation's history − in fact, they were the start of a series of events that led to Independence. It is, therefore, right and proper that we consider this history in any decision to demolish or preserve the house, or parts of it. In July 2011, Mr Lee came to the Cabinet meeting to set out his views on 38 Oxley Road. Mr Lee stated his preference for the house to be demolished after his passing. Despite his seniority and his role as the founding Prime Minister of Singapore, he did not once use his status to advance his case. He just stated his preference and then listened intently to the views of Cabinet Ministers. Except for the Prime Minister who did not speak, Cabinet members were unanimous in persuading him that the house should not be demolished. All of us who spoke felt deeply that, as a young nation, we needed a deeper sense of history and that the house was of historical significance. Mr Liang Eng Hwa asked earlier if any Cabinet member had put any pressure on Mr Lee. The answer is no. Mr Lee looked very thoughtful after the session. We did not hear from him until later, when he sent the note in December 2011 that the Prime Minister presented yesterday.”
“Mr Lee said that there is no simple formula for running a country, but he tried to distil and pass on as many insights as he could. We can spend many hours debating the principles for Singapore's success. I would like to highlight just three that are relevant to this debate − a sense of history, the rule of law, an honest and effective government. First, a sense of history. Mr Lee said that there was no textbook for running a country and that his memoirs were not a "how to" manual. At different times, we would face different conditions. But he was convinced that we all need a sense of history − not just in knowing what happened in the past, but why it happened − that would help to anchor and guide us for the future. In 1980, at the 25th anniversary of the founding of the PAP, Mr Lee said: "To understand the present and anticipate the future, we must know enough of the past, enough to have a sense of the history of a people. One must appreciate not merely what took place but especially why it took place and in that particular way. That is true of individuals, as it is for nations." With that in mind, 38 Oxley Road holds special historical significance because of all the things that took place there in our early history. In his memoirs, Mr Lee had a chapter on "Widening the Oxley Road circle", recounting how the founding fathers gathered in the basement dining room of Mr Lee's house, the birth of the People's Action Party in 1954, the difficult decisions they had to take whether to contest the elections in 1955 and 1959.”
“I would, therefore, not dwell on the issues that have already been discussed quite extensively. It has been only a little over two years since Mr Lee passed away. The memory of the outpouring of grief at that time is still fresh in the hearts and minds of fellow Singaporeans. We committed ourselves then to honour the ideals and principles of Mr Lee and our founding leaders. Today, we should revisit this question calmly − what would Mr Lee's wish be? And how do we honour his wishes? When I was PPS, Mr Lee was in the midst of writing his memoirs. He was almost 75 years old, and Mr Goh Chok Tong had been Prime Minister for seven years. Despite his age, Mr Lee worked with an amazing intensity. Over and above his daily work, he would labour deep into the early hours of the morning, every day, on the memoirs. I asked myself: why? During that time, Mr Lee met with many local and foreign visitors. From time to time, the visitors would ask Mr Lee what he was most concerned about. Over and over again, I heard Mr Lee say that he feared that the younger generation of Singaporeans might not understand what got us here and what we would need to do to continue to succeed. That was why he was labouring hard to distil the lessons of Singapore's development and share these with young Singaporeans. So, if you ask me what were the defining wishes of Mr Lee's life, I would say, Mr Lee's greatest wish was for Singapore to remain successful beyond his lifetime. He dedicated his entire life to making a success of Singapore, against the odds. The best way to honour him and to fulfil our duty to future generations of Singaporeans is to continue to work for the survival and success of Singapore. What would that take?”
“Mdm Speaker, like many fellow Singaporeans, I am deeply saddened that the differences in views between the Prime Minister and Mr Lee Hsien Yang and Dr Lee Wei Ling, over how to honour their father's wishes regarding 38 Oxley Road has been made so public, with Mr Lee Hsien Yang and Dr Lee Wei Ling accusing the Prime Minister of abuse of power. I served as Mr Lee Kuan Yew's Principal Private Secretary, or PPS, when he was Senior Minister, from mid-1997 to early 2000. During that period, I had the benefit of many interactions with Mr Lee. I also interacted with Mrs Lee, both in Singapore and on several overseas trips. I learnt that both of them, especially Mrs Lee, valued their privacy deeply. They would be deeply anguished if they were alive to see the siblings' disagreement played out so publicly. The issue before Parliament, as several Members had pointed out, is not about the preservation or demolition of the house, but rather, the allegations directed at the Prime Minister and the Government by Mr Lee Hsien Yang and Dr Lee Wei Ling of an abuse of power. The Prime Minister and Deputy Prime Minister Teo have addressed these allegations. Many Members have also given their views on this. I hope Members of this House and other Singaporeans will reflect on these and decide for themselves if any abuse has taken place. My own view is: no, there has been no abuse of power. We have heard no specific allegations of acts of abuse against the Prime Minister and the Government that demand a deeper inquiry. What has been levelled are general allegations and aspersions cast. The two days of this Parliament sitting bear this out. No Member, including from the Workers' Party, has articulated any specific allegation of abuse of power.”
“Strong enforcement efforts and close interagency collaboration have kept the contraband tobacco situation in Singapore in check. From 2014 to 2016, the number of contraband tobacco offenders, which includes smugglers, peddlers and buyers, fell by 16% from 24,840 in 2014 to 20,751 in 2016. Non-cigarette offenders made up less than 5% of those caught. In the same period, the amount of duty-unpaid cigarettes seized by the Singapore Customs fell by 7% from three million to 2.8 million packets. Singapore Customs will continue to work with other enforcement agencies, such as the Singapore Police Force and the Immigration and Checkpoints Authority to deter the buying and selling of contraband tobacco. We will also continue to actively engage the public to raise awareness on this issue.”
“The Government of Singapore Investment Corporation's (GIC's) performance over five- and 10-year periods are published annually by GIC on its website. These figures reflect, in aggregate, both realised and unrealised gains and losses of all investments, including the Union Bank of Switzerland (UBS). Hence, the reduction of GIC's stake in UBS does not, in itself, change these figures. It only changed unrealised losses, which were already reflected in the performance figures, to realised losses. Mr Png had asked what the realised loss of the UBS divestment was. It is not the Government’s policy to discuss details of specific investment transactions. I would like to reiterate that the investment performance of GIC should not be evaluated based on any single transaction. Rather, the Government’s focus is on GIC's performance on an overall portfolio basis over the long term. While it is disappointing that the UBS deal did not turn out as expected, investing is about taking calculated risks in anticipation of returns. Some returns may materialise, some may not. It is not realistic to avoid any loss for every investment as that would require GIC to be completely risk-averse. What is more important and relevant is that the overall portfolio delivers creditable long-term returns over and above inflation. As at 31 March 2016, GIC achieved a 20-year annualised rate of return of 4% above global inflation. This includes the investment in UBS.”
“Therefore, we evaluate GIC's long-term investment performance, not only based on its rolling 20-year rates of return, but also the risk it has had to take in order to achieve these returns. Such comparisons are available in GIC's annual report. Let me now move on to Temasek. Temasek is not a fund manager, but an investment company that owns its assets. It is an active equity investor that seeks to create and deliver sustainable long-term value for its shareholder, the Government. One measure that the Government looks at is Temasek's long-term Total Shareholder Returns, or TSR, which measures annual changes to its net portfolio value after adjusting for any capital injections or dividends paid. The TSR must be viewed in the context of Temasek's risk-adjusted hurdle rate, which is a weighted average of the risk-adjusted cost of capital of all its investments. Temasek's risk-adjusted hurdle rate is published in its annual report. The Government also compares Temasek's long-term TSR with various market indices, such as MSCI, taking into consideration its portfolio mix. To sum up, the Government's approach is to evaluate the entities’ long-term performance, taking into account risk exposure, underlying market trends and other factors relevant to each entity. Our view is that our investment entities have performed creditably in challenging market conditions. The Government will continue to take a long-term view and work closely with GIC and Temasek to ensure that they deliver good long-term returns for Singaporeans.”
“The Government's assessment of the long-term performance of the Government of Singapore Investment Corporation (GIC) and Temasek goes beyond using one single benchmark. The Government takes into account a number of factors, including the entities' distinct roles, risk exposure and underlying market and investment trends, to make a considered and comprehensive assessment of the entities’ performance. Let me elaborate, starting with GIC. GIC is the Government’s fund manager. Its mandate is to achieve good long-term returns above global inflation, to preserve and enhance the international purchasing power of Singapore’s Reserves. GIC invests in a globally diversified portfolio spread across various asset classes. Its portfolio is constructed to take into account a range of possible economic scenarios. The construction of GIC's portfolio is subject to the Government's risk preference, which is expressed through a Reference Portfolio made up of 65% global equities and 35% global bonds. This is not a benchmark, but an expression of the risk that the Government is prepared for GIC to take in its long-term investment strategies. On occasion, there may be a difference between the risk exposure of GIC and the reference portfolio. Such an adjustment allows GIC to lower its risk exposure in times of market exuberance. Conversely, GIC may also increase its risk exposure when the opportunity arises. This is part of a disciplined, professional approach to long-term value investing. In recent years, GIC has been concerned with heightened valuations in financial markets and has shifted towards a slightly more conservative portfolio mix to guard against rising volatility.”
“Similarly, the Member's third question on PMETs and how technology will change their jobs, we are fortunate that our educational standards and level and the skills of our people have gone up over the years. We are in a better position today to adjust to these changes and we will perform. But at the same time, the pace of change has also accelerated. So, how do we ensure that all our workers, whether they are PMETs or non-PMETs, continue to have the skills to make changes? Which are the sectors for which the change will be even more rapid? I would say that given the pace, the nature of technology, it is difficult to predict that there is one particular area A or B that will be more at risk. But we will try and, at the same time, we need the industries, we need the companies to work together with us to ensure that these changes are made smoothly. 12.29 pm”
“I thank Ms Denise Phua for her three very thoughtful questions. First, on whether CFE would develop a new literacy curriculum for adults, the skillsets which are needed for all of us as working adults will change and keep changing. That is why SkillsFuture is such an important part of this effort. As to whether there should be a new broad-based curriculum for everybody, that is something which we would have to study further. What we do know is that we do need to equip many of our people with greater skills in information and communications technology (ICT). I mentioned that ICT is one sector for which many industries will be affected and transformed. We are hoping to use ICT to transform many of these industries and create better jobs for our people. There will be a lot of new skills that are needed. Whether it should be something that applies generically across all sectors or whether it should be targeted at particular sectors is a subject that we are studying. The second question on the concerns that elderly and low-skilled workers are being left behind is something that is of great concern. I had several discussions with Minister Lim Swee Say on this matter as well as with Minister Ong Ye Kung and Minister Josephine Teo on skills and specific segments of our workforce that we have to pay special attention to. Indeed, the elderly and the low-skilled are one area that we are working on. We have to think about not just the skills but the job redesign that is necessary. Again, this is something which the tripartite committee will have to look at. Every of the ITMs will need to address some of these critical issues.”