Lim Swee Say
Singapore
“The number of reports received via the Snap@MOM app, number of valid reports and number of companies issued with enforcement actions between 2015 and 2017 are shown in the table below: All valid reports have resulted in warnings or enforcement actions.”
“In the case of students from ITE, polytechnics or autonomous universities, employers do not need to contribute CPF if the student is employed by them for training that is approved by their institutions.”
“Together with our tripartite partners at the national and sector levels, we have to do our best to transform across all sectors, for our economy to transform and grow, pervasively, as One Singapore Unlimited.”
“Between April and December 2017, the Tripartite Alliance for Dispute Management (TADM) and the Employment Claims Tribunal (ECT) concluded 3,750 employee salary claims where the employer was ordered to make payment to the worker. Salaries were fully recovered in about 92% of these orders. The remaining claims involved 139 employers.”
“The number of employed residents aged 62 and over, and 67 and over has increased over the last five years (see Table 1 below). Of all employed residents aged 67 and over in 2017, 64% were males; 80% held secondary and below qualifications, 9% had post-secondary qualifications, while 11% were tertiary-educated; 52% of this group of older w…”
“The proportion of full-time resident employees earning below $2,000 who received bonuses, including the Annual Wage Supplement, has remained stable at about 50% over the last decade. Employers and unions share the flexibility in structuring staff remuneration together under our Flexible and Performance Based wage systems.”
The complete record
Every one of 1,231 lines we hold for Lim Swee Say, in date order, each linked to its source. Free to read, in full, without an account. Page 3 of 25.
“Interest in the IHRP Certification has been encouraging, with over 700 HR professionals registering their interest to pursue the certification. HR professionals and HR service providers should tap on the many Professional Conversion Programmes (PCP). There are more than 70 PCPs across more than 30 sectors today and we expect this number to grow. HR professionals can also play their part by creating intra-company PCPs, to help equip their employees with skills their company will need in the future. If it is necessary to retrench their workforce, HR professionals can help minimise mismatches and missed matches through progressive and responsible practices. Collectively, these efforts will help our workforce better adapt to take on better jobs and build new careers in our future economy.”
“The HR industry, comprising HR professionals and HR service providers, plays an important role in helping our workers adapt and grow in the future economy. To be effective, three shifts are needed. One is a mindset shift from looking at workers as "Human Resource", HR – a commodity to be acquired and utilised with value depreciating over time, to treating workers as "Human Capital", HC – an asset to be invested and nurtured with value appreciating over time. It means not just having a "hunter" mentality – poaching talent from the market for immediate plug and play – but a "grower" mentality, to nurture and develop talent so their value to the organisation increases over time. Two is a shift in practices from qualifications-based hiring to skills-based recruitment and development. It means not being too reliant on educational qualifications and years of experience as proxies for candidates' suitability but, instead, develop competency assessment tools or work trials that holistically assess job fit. Three is a shift towards promoting an inclusive workplace through fair consideration for jobs and adopting progressive workplace practices. This allows employers to reach a wider pool of talent and bring about better business performance and higher employee engagement. To help make this transition, we have stepped up efforts to strengthen the capabilities of HR professionals. The Institute for Human Resource Professionals (IHRP) was recently set up by the tripartite partners to implement the national HR certification regime, known as IHRP Certification. To be successfully certified, HR professionals have to demonstrate knowledge in applying over 30 competencies and behaviours expected of a future-ready HR professional.”
“Home leave arrangements, like those for rest days, are mutually agreed between FDWs and employers. In MOM's FDW Study 2015, 56% of FDWs said they were provided with home leave either annually or at the point of renewal of their work passes. In addition, some employers also grant additional compassionate leave to their FDWs to deal with issues arising from unforeseen family circumstances back home. Making annual home leave compulsory for all may not be practical given that households have very different needs and home care arrangements. Unlike companies that have a pool of employees to cover for those on leave, household employers typically employ only one FDW and will have to make significant adjustments to look for alternative arrangements when FDWs go on home leave. At the same time, some FDWs might prefer to be paid more in lieu of annual home leave. As such, the current approach provides greater flexibility for both FDWs and employers to mutually agree to leave arrangements as part of the employment contracts. Whatever the arrangements, employers are expected to ensure the well-being of their FDWs throughout their stay in Singapore. In addition, MOM and Non-Governmental Organisations like the Centre for Domestic Employees also actively reach out to FDWs to check on their well-being and that they are well adjusted to working in Singapore.”
“The CPF Education Scheme is a loan scheme for CPF members to support their own, their spouses' or their children’s full-time subsidised tertiary education at local Approved Educational Institutions. From 2014 to 2016, about 30,000 CPF members have successfully applied for loans under the CPF Education Scheme to pay for their children's tuition fees. Over the same period, about 98% of outstanding loans due for repayment were fully settled. Mr Zainal Sapari asked whether children can repay the outstanding education loan using their CPF savings instead of cash. This is not allowed as they need to build up their CPF savings for other uses, such as housing, healthcare and retirement. We recognise that some students may find it difficult to repay the loan immediately after graduation. Hence, students are only required to start repaying the loan one year upon graduation or after leaving their course of study. This gives them some time to find a job before starting repayments. Students who face difficulty repaying the full loan amount can apply for deferment or choose to make payments via monthly instalments for up to 12 years.”
“The tripartite partners continue to learn from other countries and try different ideas to make workplaces more family-friendly. The Returner Work Trial, which was announced by NTUC in July, will provide support for back-to-work parents to return to the workforce. In addition, the tripartite partners are jointly developing a Tripartite Standard on Flexible Work Arrangements to help employees identify companies with strong support for FWAs. Both employers and employees benefit from family-friendly workplaces. MOM will continue to work with our tripartite partners to grow the community of progressive employers with family-friendly workplaces.”
“MOM is committed to helping Singaporeans fulfil their aspirations for career and family. Through the concerted efforts of our tripartite partners, we have seen improvements as more workplaces adopt family-friendly practices. The International Labour Organisation (ILO) has identified flexible working arrangements (FWAs) as a key family-friendly measure that matters to employees. Increasingly, employers in Singapore have also recognised the importance of FWAs. In 2016, 47% of establishments offered formal FWAs, compared to 38% in 2011. As a result, 67% of employees in Singapore work in companies offering formal FWAs, up from 56% in 2011. This does not include companies that offer FWAs on an ad hoc basis. To support employers' efforts to foster more family-friendly workplaces, the Government offers generous grants, such as the WorkPro Work-Life Grant. Employers can tap on these grants to set up private lactation rooms at workplaces. For example, Greenwave Systems, a software and services company, has benefited from the Work-Life Grant. Today, one quarter of Greenwave's employees utilise staggered hours and telecommuting options. In addition, Greenwave has lactation facilities and permits staff to bring their children to work if they are unable to arrange for a carer. A 2016 survey conducted by NTUC found that 60% of working mothers had access to private lactation rooms or spaces at their workplaces, up from 35% in 2013. In addition, the Health Promotion Board conducts Management Training Workshops to help managers and HR personnel recognise common mental health issues, including depression. This will help companies provide appropriate emotional support to their employees, including new mothers.”
“This includes injuries and deaths arising from the use of a bicycle or PMD. If a third party has been injured as a result of a worker’s actions, MOM will investigate the company and worker for possible breach under the WSH Act. The injured third party may also take up civil claim against the company or worker through the legal process.”
“Under the Workplace Safety and Health Act (WSHA), all companies are required to ensure the safety and health of their workers. This includes providing them with adequate safety measures, instructions, training and supervision. This obligation extends to their use of bicycles or PMDs in the course of work. In addition to WSHA, the Workplace Safety and Health (WSH) Council has provided specific details of the companies’ responsibility in its "Guidelines on Traffic Safety Management". For example, companies should have a risk management process to identify and mitigate risks to riders, ensure proper training and adopt best practices, such as providing incentives for safe behaviour. Failure to comply with these guidelines can be used as an aggravating factor against companies in Court in the event of work-related accidents and injuries. With the Active Mobility Bill passed in Parliament earlier this year, the WSH Council is working with the Land Transport Authority to release new WSH guidelines on employers’ responsibility to ensure safe and responsible use of bicycles and PMDs for work purposes. To ensure compliance of traffic safety by employers and workers, MOM inspects workplaces providing dispatch, food delivery and logistics services, as well as other companies assessed to have a high risk of traffic injuries or fatalities. In 2016, 101 of such companies were inspected and 63 Notices of Non Compliance were issued to 38 companies with poor traffic safety management. As there has been increased use of bicycles and PMDs in dispatch and food delivery services, we have stepped up our inspections on such companies. Any employee injured in the course of work is entitled to compensation under the Work Injury Compensation Act (WICA).”
“From 2014 to 2016, an average of 32 work permit holders, including foreign domestic workers, committed suicide each year. This translates into a suicide rate of 3.25 per 100,000 work permit holders. The suicide rate for the total population, including both residents and non-residents, was 7.54 per 100,000 people over the same period. All work permit holders go through a mandatory pre-employment medical examination before they start work in Singapore. The medical examination requires the doctor to perform a set of clinical examinations of various medical conditions, including a basic assessment of the mental state of the work permit holder. MOM actively reaches out to workers through education programmes, newsletters and guidebooks that cover issues such as mental well-being and managing stress. These include the Foreign Domestic Worker Settling in Programme (SIP) as well as the annual INFORM newsletter in the foreign domestic worker's native language. MOM Foreign Worker Ambassadors also reach out to foreign workers at their dormitories and workplaces. Avenues of help are communicated through these programmes as well as through collaterals like card sleeves which are issued to all foreign workers and foreign domestic workers when they receive their work permit. These include contacts of non-government organisations (NGOs) like the Migrant Worker Centre and Centre for Domestic Employees which partner with organisations, such as Silver Ribbon, to provide counselling services. We also need employers and workers to work together to be alert to any worker showing early signs of mental stress and to refer them to organisations, such as the Samaritans of Singapore, Silver Ribbon or medical professionals, so that they can receive timely help.”
“The Ministry of Manpower (MOM) monitors the wage outcome of the workforce by tracking income trends at the 20th percentile10 (low-wage workers) and 50th percentile (general workers). The annual change in nominal and real11 gross monthly income (including employer Central Provident Fund [CPF] contributions) by the 20th and 50th percentile for Full-Time Employed12 Singaporeans, from 2007 to 2016, is provided in Table 1 below. Table 1 Annual Change (%) in Gross Monthly Income from Work13 (including Employer CPF contributions) of Full-Time Employed Singaporeans, June 2007-2016”
“The Central Provident Fund (CPF) is primarily for retirement. Monies in the Ordinary Account can be used for housing, and monies in the MediSave Account can be used for healthcare. We introduced the CPF Education Scheme in 1989. Under this scheme, members can use their CPF Ordinary Account savings to pay for their own, children's or spouse's subsidised tuition fees. Only full-time subsidised diploma or degree courses at Approved Educational Institutions are covered. With increasing life expectancy, we need to make sure CPF members have set aside enough savings in their CPF account to meet their basic retirement needs. Hence, we need to be careful about expanding the use of CPF to allow for more withdrawals to be made, including to cover part-time diploma or degree courses. Singaporeans who require financial assistance to pay for the tuition fees of their part-time degree courses can consider the Tuition Fee Loan which covers up to 90% of the tuition fees. Those who have taken the maximum Tuition Fee Loan and require further financial assistance can also consider the Study Loan. Together, the Tuition Fee Loan and the Study Loan will cover 100% of the subsidised tuition fees payable. The Ministry of Education also subsidises tuition fees for part-time diplomas and offers bursaries to students who require financial assistance.”
“Employment Pass (EP) and S Pass applications are assessed based on a combination of factors, including qualifications, working experience and salary. Before July 2015, for applications that contained qualifications obtained from unaccredited institutions, the Ministry of Manpower (MOM) would disregard these qualifications and the applicants had to meet more stringent criteria in terms of working experience and salary in order to qualify for the EP or S Pass. On this basis, 310 passes were issued in 2014 and 190 in the first half of 2015. Since July 2015, MOM no longer accepts new EP and S Pass applications that contain any doubtful qualification.”
“From 2012 to 2016, an average of 65 new Employment Passes and S Passes were issued each year to individuals who had previously given up their Singapore Citizenship. Every work pass application is assessed carefully and in consultation with relevant agencies. A variety of factors is considered including: (a) how much time has elapsed since Singapore Citizenship was renounced; (b) whether the applicant has any ties to another citizen; and (c) whether the applicant had avoided any obligations to the state when he gave up his Singapore Citizenship.”
“Since 2016, the Ministry has adopted the reporting of occupation data for professionals, managers, executives and technicians (PMETs) instead of professionals, managers and executives (PMEs). This is because the two job categories of PME and associate professionals and technicians (APT) will become less distinct in the future economy. The breakdown of gross monthly income (including employer CPF contributions) by percentiles as at June 2013 and June 2016, for full-time employed residents7 who are PMETs, is provided in Table 1 below. Data on basic monthly income is not available. Table 1 Gross Monthly Income from Work8 (including Employer CPF contributions) of Full-Time Employed9 Resident PMETs, June 2013 and 2016”
“The Workfare Income Supplement (WIS) scheme is designed to supplement the incomes and retirement savings for the bottom 20% of Singaporeans by income percentile, with a smaller degree of support up to the 30th income percentile. Workers who are eligible for WIS will not be omitted from receiving WIS payouts. However, there were some cases where workers may not have received their WIS payouts. This was mainly because their circumstances had changed after the data cut-off dates. These workers can approach Central Provident Fund Board to reassess their eligibility for WIS. We accept appeals for up to two years after the year in which the work was done, in recognition that some workers may not lodge their appeals immediately. In January 2017, we implemented several enhancements to WIS, such as paying WIS on a monthly instead of quarterly basis, and increasing the qualifying monthly income ceiling from $1,900 to $2,000. About 460,000 Singaporeans are expected to receive WIS for work done this year. These changes ensured that WIS would continue to provide a meaningful level of support to low-wage Singaporean workers.”
“A jail term of up to six months and 12 months was introduced, as well as a minimum fine of $1,000 and $2,000 for the first offence and subsequent offences respectively. For employers who made good their CPF arrears before their Court hearing, the maximum composition amount was doubled to $1,000. The Ministry of Manpower and CPF Board have a proactive educational effort to complement the deterrent effect of its enforcement actions. We run the Workright initiative to raise awareness among employers and employees about their obligations under the CPF Act and Employment Act. WorkRight mobile clinics were deployed across 24 heartland locations last year, and WorkRight guidebooks and toolkits for self-rectification were distributed to employers. WorkRight also increased its proactive inspections 10-fold between 2012 and 2016 to more than 5,000 annually. Through its outreach, WorkRight has helped over 21,000 employers better understand their obligations. We will continue our efforts to increase awareness among employers of their responsibility to meet their CPF obligations so as to ensure timely payment of CPF contributions for employees.”
“The amount of Central Provident Fund (CPF) contributions recovered for employees due to late payment increased from $364.2 million in 2014 to $615.4 million in 2016. Over the same period, total CPF contributions also increased from $29.7 billion in 2014 to $35.9 billion in 2016. Therefore, as a percentage of total CPF contributions, late payments were 1.23% in 2014, and 1.72% in 2016. Reasons cited by employers for late payment include cash flow issues due to a difficult business environment and delays in collecting payments from customers, as well as errors made by the employers. While there has been an increase in the number of late payments in recent years, CPF Board takes timely enforcement actions and imposes deterrent penalties to ensure speedy recovery of late payments. The percentage of employers who have not made good their late payments within one month after the expiry of the grace period for paying CPF contributions2 fell from 3% in 2014 to 1.6% in 2016. Employers who make late payments have to make good the CPF contribution owing to employees, including a late payment interest charge of 18% per annum. Employers are also given composition fines provided they pay up before their Court hearing. Those who fail to pay up by the Court hearing will be convicted and subject to higher Court fines. In 2016, 3233 employers were convicted for late payment of CPF contributions. With effect from 2014, CPF Board has increased general penalties to enhance the deterrent effect on employers of not complying with CPF obligations. This includes penalties for late payment of CPF contributions. For first-time offenders, the maximum fine was doubled to $5,000.”
“To strike a balance between safeguarding Central Provident Fund (CPF) savings for retirement and housing needs, the minimum lease period for the use of CPF savings has been set at 30 years. This is because short-lease properties depreciate quickly. If sold, it will likely not raise enough proceeds to ensure a full refund of the CPF savings that have been withdrawn. For properties with a remaining lease of between 30 and 60 years, CPF savings can be used if two conditions are met. Firstly, the remaining lease must cover the youngest buyer at least up to age 80. Secondly, the total amount of CPF withdrawable is subject to a prorated Valuation Limit. The Valuation Limit is set at the lower of the purchase price or property value at the time of purchase. For example, a 35-year-old member purchases a property with a remaining lease of 50 years. By the time he reaches age 55, the property will have a remaining lease of 30 years, or only 60% of the lease period of 50 years. Hence, the maximum amount of CPF savings he can use will be capped at 60% of the Valuation Limit of the property. These safeguards ensure that the property has a lease that is long enough to cover the CPF members’ retirement years. In the event that the property is sold, these safeguards improve the likelihood that the CPF withdrawn can be refunded to provide for the member’s retirement expenses. These safeguards also ensure that members do not over-consume their CPF savings on properties that they are likely to outlive. The Ministry of Manpower will continue to monitor the CPF housing withdrawal rules to take into account increasing life expectancy and changes in the property market. Our aim is to help Singaporeans make prudent housing choices while safeguarding their retirement adequacy.”
“Central Provident Fund (CPF) members first need a doctor’s certification of their medical condition before they can apply for early withdrawal of CPF savings under the Medical Grounds Scheme (MGS) or make a mortgage insurance claim under the Home Protection Scheme (HPS) on medical grounds. The question in the form that the Member highlighted is meant for a doctor to certify if a CPF member is "permanently incapacitated from ever continuing in any employment". The focus of the question is on employability because these members can qualify for the early withdrawal of their CPF savings under the MGS or claim HPS benefits if they are not able to earn an income from work due to their medical condition. For CPF members who do not meet the above criteria, CPF Board will assess if the member can qualify for MGS and HPS under other conditions that are not based on employability. For MGS, members can qualify if they have a terminal illness, a severely impaired life expectancy, or are mentally incapacitated. For HPS, members with terminal illness and total permanent disability are eligible to make claims, even though they may be working or doing some form of work. A CPF member whose doctor had determined that he is not "permanently incapacitated" can consider obtaining an alternative medical certification from other medical institutions, if he is seeking treatment at multiple places. There may also be other deserving cases on medical grounds, which CPF Board will consider on a case-by-case basis. CPF Board will take into account the Member's feedback and review this application form.”
“The Ministry also works closely with various agencies, such as NEA, URA and SCDF, to conduct routine and ad hoc inspections. Second, in addition to looking into complaints of poor housing, we also conduct proactive inspections. From 2014 to 2016, MOM conducted close to 4,000 foreign worker housing inspections. MOM ramped up our housing inspections from 700 in 2014 to 1,800 in 2016. Third, enforcement actions are taken against employers and/or dormitory operators who fail to comply with our regulations and requirements.”
“As of March 2017, about one-third of Work Permit holders residing in Singapore live in foreign employee dormitories licensed under the Foreign Employee Dormitories Act (FEDA), which imposes additional conditions appropriate to the higher concentration risks posed by large dormitories. The remaining two-thirds live in other smaller accommodation types, such as Factory Converted Dormitories (FCDs), Housing and Development Board (HDB) flats, and private residential premises. Smaller accommodation types which are not covered under FEDA are nonetheless still required to comply with a set of comprehensive regulations and requirements imposed by various agencies to ensure a safe and well-maintained living space for foreign workers. They include standards for building structural safety governed by the Building and Construction Authority, fire safety governed by the Singapore Civil Defence Force (SCDF), as well as proper and adequate sanitary facilities governed by the National Environment Agency (NEA). Once all approvals have been obtained, the Urban Redevelopment Authority (URA) will then grant the owner of the premises with permission to operate a workers’ dormitory. To ensure these accommodation types are of comparable standards to larger dormitories, we take three approaches. First, the Government regularly reviews standards across all types of foreign workers’ accommodation, taking into account the unique nature of each type. Where appropriate, the minimum standards will be raised to improve the well-being of foreign workers. For example, the Ministry of Manpower (MOM) has required operators of FCDs to comply with additional conditions from 1 January 2017, including the provision of wi-fi and a sickbay.”
“The maximum exemption period was shortened from two years to one year in 2012. Since then, employers who apply for repeat overtime limit exemptions are also required to submit their plans or measures implemented to reduce their reliance on these exemptions. As a result, approved overtime limit exemptions decreased by 60%, from 8,700 company-months in 2011 to 3,400 in 2016. On exemptions related to overtime pay and flexible scheduling of rest days and public holidays in-lieu, MOM received an average of three to four applications annually in the last 10 years. About two-thirds were approved. They were predominantly from event management companies or the manufacturing and marine industries. In conclusion, while such exemptions provide flexibility to businesses, there are safeguards in place to ensure that workers’ interests are well protected. First, employers must obtain the written consent for the exemptions from all affected workers. Second, applications from employers with previous EA infringements and poor workplace safety records will be rejected. Third, the unions must agree to the exemptions, where applicable. Lastly, for safety reasons, overtime limit exemptions are not granted for high-risk vocations, such as those which involve operations of heavy machinery.”
“The Employment Act (EA) regulates the provision of rest days and public holidays and prescribes limits to overtime work. Different rates of pay apply for overtime, rest days and public holidays. Also, working hours, including overtime, cannot exceed 12 hours a day and, on a monthly basis, overtime cannot exceed 72 hours. Section 41A of EA provides the flexibility for the Commissioner for Labour to exempt companies from these requirements, after considering the companies' operational needs as well as the workplace safety and interests of workers. Overtime limit exemptions are generally granted only to companies with unexpected short-term business needs. The main exception is the security industry for which a Tripartite Committee has been working to make more and better use of technology to become more manpower-efficient. As for exemptions related to overtime pay, rest days and public holidays, they are granted only to companies and industries with uneven and seasonal fluctuations in business demand. Such exempted companies are allowed to compute their workers' weekly working hours over a longer period to determine the eligibility for overtime pay, or to schedule their employees' rest days and public holidays in-lieu more flexibly over a longer period. Between 2007 and 2016, about 320 employers applied for overtime limit exemptions on average annually. Of this, 270 employers were granted exemptions each year. The companies were predominantly from the security, manufacturing and transport and storage industries. Excluding security companies, about 20% of the companies which were granted overtime limit exemptions were also exempted in the preceding year. The Ministry of Manpower (MOM) has progressively tightened overtime limit exemptions.”
“The primary purpose of the Central Provident Fund (CPF) is to support retirement, healthcare and housing needs. When the CPF was expanded to support education in 1989, it was designed as a loan scheme and confined to only, firstly, full-time, secondly subsidised, and thirdly diploma and degree programmes offered by local approved educational institutions. Students have to repay in cash the amount withdrawn plus interest into the CPF member’s Ordinary Account so as to restore members' CPF savings for their retirement needs. This cautious approach is to safeguard the fundamental objectives of CPF. With increasing life expectancy, we are doing more to safeguard the retirement adequacy of CPF members. We need to be careful about expanding the use of CPF, including the proposal by the Member to include all programmes beyond full-time subsidised diplomas and degrees.”
“No country, no matter how large its domestic talent pool, can rely on local expertise and experience alone to stay at the forefront of technology and innovation. This is true even for leading economies, such as the United States, and Singapore is no exception. We need to tap on global expertise to strengthen our competitive position in emerging growth areas, such as digital technology. However, in doing so, we must ensure that this will strengthen our Singaporean Core over time, rather than weaken it. Panasonic is an example of a company that has done this well. It has just moved the global headquarters for its refrigeration compressor business from Japan to Singapore. At the same time, Panasonic is upgrading its Singapore research and development centre and has embarked on a multi-year effort to transform the Singapore manufacturing plant into a digitally-enabled Smart Factory that enables more manpower-lean and efficient manufacturing processes. To support the transformation, Panasonic is creating training opportunities to build local expertise and strengthen Singaporeans' skillsets. These include mentorship by experienced seniors, on-the-job training and robotics courses. Panasonic plans to bring in smart manufacturing experts from Japan to help in the transformation of the Singapore plant so that, in time to come, we will have stronger local expertise in smart manufacturing. In summary, we must continually upgrade the local workforce, even as we remain open to global expertise, so that we will have a strong Singaporean Core at the heart of a vibrant economy.”
“This is advocated in the tripartite advisory on flexible work arrangements and further reinforced in the tripartite guidelines on fair employment practices. Of course, we are aware there are employers who do not observe these guidelines. So, for employees who feel discriminated against, TAFEP will look into their complaints and refer cases to MOM for action to warn them. At the same time, I am happy to say that there are many employers who do provide a conducive and supportive environment for their female employees − from flexi-load at Shell to flexi-place at DBS and flexi-time at KPMG − just to name a few. Our next challenge is to grow this community of progressive employers and make such practices a common sight in Singapore. As announced at MOM's Committee of Supply this year, the tripartite partners will be launching a series of tripartite standards to spread this public adoption of progressive workplace practices and flexible work arrangements will be one of them. In conclusion, Madam, overall, with our tripartite efforts, we have come some way in helping Singapore women to better manage their family responsibilities, work aspirations and personal needs. However, there is still much we can do. I thank Members for their many good and constructive suggestions. MOM, together with our tripartite partners, will study them carefully and incorporate them into the tripartite standards where relevant. At the same time, we will also sharpen our focus on supporting women in the implementation of the Adapt and Grow initiative and various CPF schemes. Women should not have to choose between family and career. We should support them to fulfil their aspirations in both.”
“Thirdly, to enhance the retirement adequacy of Singapore women. The transfer of CPF savings between spouses is a personal decision. I think it should be left to the couple to decide. It would be, I think, intrusive for the Government to mandate such transfers. However, we do share Members' concerns about the spouses − whether they have adequate savings in their CPF for their retirement. And what we have done is to relax the rules for spouses' transfers and the response has been positive. Last year, we saw 70% more cases of spouses' transfers totalling $110 million. In fact, the amount doubled that of the year before. In other words, more families, more CPF members are taking the step to transfer their CPF savings for their spouses. This will enable more spouses to attain at least the basic Retirement Sum, which is our objective, to encourage more of such transfers so that more women will be able to have at least the basic Retirement Sum in their CPF savings so that they, too, can participate fully in the CPF LIFE scheme. We have also introduced Silver Support last year for the bottom 20% of seniors who had low pay, low wages or no wages throughout their lifetime and currently have little or no family support. And this is especially helpful for elderly women who were primary caregivers in their younger days. Fourthly, to strengthen the HR practices for fair and equal treatment, regardless of gender. Indeed, employers should set clear targets, conduct regular performance assessments and appraise employees fairly based on work outcome, regardless of whether these employees are on flexi-load, flexi-time or flexi-place work arrangements.”
“Our challenge is: how can we help more women who are working today to stay in work and, at the same time, for those who have left, to return to work? That is our challenge. We will, therefore, have to increase our efforts to raise the adoption of flexible work arrangement for both employers and employees. In fact, I was told that some employees hesitate to take advantage of FWA for fear of discrimination. And I think we have to change the mindset for both employers and employees. In particular, we will give our strong support to NTUC on its Returnship Programme. We will also encourage companies to offer more part-time and job sharing opportunities for those who are not ready to go back to work on a full-time basis. Secondly, we have to help more women to stay more employable and be more future-ready. Under the Adapt and Grow initiative, we are doing more to help workers to learn new skills, to be more adaptable, so that they can keep pace with changes in the future economy. This is especially important for women who have taken a career break due to family commitment because, by the time they come back to work, the world may have changed due to disruption from technology, for example. Some of them, even if they want to go back to the same career, they need to update their skill. So, there is a lot more that can be done. For some of them, maybe going back to their careers is no longer an option. They have to take on new careers. So, they need to reskill themselves. Therefore, there is a lot more that we need to do to support women, both in terms of helping them to stay in their current employment or to return to the same career or to take on a new career. Members have made many good suggestions and this is certainly something that we will look into.”
“In other words, the median wage gap between men and women has not widened further over the last 10 years. Thirdly, in terms of retirement adequacy, the average CPF balance for women has grown by 8.3% per year over the last 10 years. This is faster than the growth rate of 7.7% for men and closes the gap in terms of average CPF balances between men and women, from 16% 10 years ago, to 11% last year. The gap has narrowed. Fourthly, the proportion of employees who work in companies offering flexible work arrangement has grown from 56% five years ago to 67% last year. Eighty-two percent of employees in Singapore also work in firms that offer ad hoc flexible work arrangement, and this is up from 72% five years ago. Madam, building on this steady progress, we will continue to strengthen our support for Singapore women, as expressed by many Members of this House, in at least four key areas. The first area is to improve our female employment rate further. Broadly speaking, the employment rate curve comes in three different shapes − single hump, double hump and no hump. Ours is the single hump. So, our employment rate peaks at the age of 25 to 29, and declines thereafter. So, just one hump. This is unlike the case of Japan and Korea where women re-enter the workforce from their mid-30s and they create a second hump in the employment curve at around age 50. So, Japan and Korea, they have the double hump. This is also unlike the case of the Nordic countries where women stay in employment for most of their adult life. In other words, they do not leave and re-enter. They stay in employment for most of their adult life so forming a very high and broad inverted "U" − so, no hump. Just an inverted "U" employment rate curve.”
“Mdm Speaker, I thank the Members for their many constructive views and good suggestions. On behalf of our tripartite partners, I want to assure this House that we share their passion and commitment for Singapore women to fulfil their family and career aspirations. When I was at the NTUC, about 10 years ago, I visited Denmark. I spoke with the union leaders in Denmark. They told me that they were very proud of three achievements of Denmark women. Three high: high education, high employment rate and high TFR of 1.7. But most of all, they enjoyed another high, the fourth high, which is its ranking on the Happiness Index. Denmark has got one of the highest achievements in the world. So, I asked them, "What is your secret to getting these highs?" They said that the women in Denmark receive very strong support from the government, employer, community, as well as from the husband. For example, it is socially unacceptable for husbands not to spend their weekends with the family. Certainly, there is much we can learn from Denmark and we did. Over the last 10 years, through the concerted efforts of the tripartite partners, we have made steady progress. Firstly, in terms of the employment rate for women aged 25 to 64, it has increased steadily from 63% 10 years ago to 67% five years ago, to 72% last year. If you were to compare our women employment with that of the OECD countries 10 years ago, we were ranked 23rd. We were outside the top 20. Last year, we progressed to number 12, just outside the top 10. In other words, we have made progress from just outside the top 20, to just outside the top 10. Secondly, the median wage for women has gone up by 5.3% per annum over the last 10 years. This is similar to that for men, which is 5.5%.”
“The Ministry of Manpower does not collect data on new jobs created by specific qualification requirements, including university degrees. This is because such data may not meaningfully reflect the quality of a job or the responsibilities associated with it. In line with the Committee on the Future Economy's recommendations, the Ministry encourages companies to adopt progressive human resource practices and focus on skills and competencies as the key yardstick in the recruitment and development of workers, beyond academic grades or qualifications.”
“From 2014 to 2016, the Ministry of Manpower (MOM) conducted close to 4,000 foreign worker housing inspections. Over this period, MOM ramped up our housing inspections from 700 in 2014 to 1,800 in 2016, to proactively inspect all larger dormitories and other smaller housing types suspected to be in poor conditions as well as respond to complaints. The foreign worker housing landscape has improved in recent years, with the stepping up of enforcement and raising of regulatory standards. We have seen a decline in the number of public complaints related to foreign worker housing, from close to 600 in 2014 to 500 in 2016. Most of the cases found with poor living conditions were private residential units, typically with multiple employers housing workers in a single unit. The larger foreign worker housing, such as purpose-built dormitories and factory converted dormitories, are in better condition. Where infringements were found, MOM has ensured that employers or dormitory operators take immediate rectification action, such as making improvements to the housing condition for minor breaches or relocating the workers to other approved accommodation altogether for severe breaches. In total, about 4,000 employers and/or dormitory operators were issued with warnings, composition fines or prosecuted arising from these inspections.”
“To help overcome this, the Career Support Programme under the Adapt and Grow initiative provides greater wage support to employers who hire mature professionals, managers, executives and technicians (PMETs). We have also increased the salary support for mature PMETs who participate in Professional Conversion Programmes so as to encourage employers to tap on the pool of experienced and skilled PMETs. Older workers must also play their part to continually upskill, reskill and deep-skill to enhance their employability. Skills upgrading is the best safeguard for older workers during this period of economic and job transformation. We encourage older workers to take advantage of the various Government training schemes, such as SkillsFuture and Adapt and Grow.”
“From a 2016 survey conducted by the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP), about seven in 10 employers were willing to redesign job scopes to accommodate older workers. This is also evident from the employment rate of older residents aged 55-64 which has steadily increased over the last five years, from 64% in 2012 to 67.3% in 2016. We are already among the top in terms of employment rate of older workers aged 55-64, compared to other Organisation for Economic Cooperation and Development countries. Specifically for the information and communications technology sector, which Er Dr Lee asked about, the share of older workers remained stable over the same period. In the last three years, TAFEP and the Ministry of Manpower (MOM) have, on average, received less than 80 age discrimination complaints against employers per year. This constituted about 10% of the total complaints received by TAFEP and MOM each year. Age discrimination complaints involving workers from the information technology sector form around 7% of all age discrimination complaints. For cases with clear evidence of age discrimination, MOM had further investigated and taken action against the errant employers, including curtailment of their work pass privileges. TAFEP had also engaged these employers to help them rectify their employment practices. Older workers are assets to the workforce. To change mindsets, TAFEP runs campaigns to raise awareness of the value that older workers bring to the workforce. However, some employers may still be concerned about the suitability of older jobseekers.”
“The three main challenges faced by firms in applying for the Lean Enterprise Development Scheme (LEDS) assistance are lack of solutions, lack of scale and lack of impact. First, lack of solutions. Some firms can identify their problems but have not found the solutions. We will help such firms by identifying and promoting more prequalified, ready-to-go solutions that can be quickly adopted to help companies become more productive. As shared in the Ministry of Manpower's Committee of Supply debate this year, there are 71 prequalified, ready-to-go solutions which can drive productivity improvement, skills development and innovation across various industries. Subsidies are made certain upfront for any firm adopting these ready-to-go solutions. The LED Taskforce will spread awareness of the prequalified solutions through the small and medium enterprises (SME) Centres and industry associations to showcase their solutions to companies. Second, lack of scale Some firms have a solution in mind, but they are unable to implement them as they lack the scale or volume. The LED agencies will help bring different firms that face similar issues together and help them find a common solution to transform as a cluster. Third, lack of impact. Some firms have solutions but their solutions lack impact. Their proposed plan only results in marginal improvements in productivity and strengthening the Singaporean Core. As these firms are committed to change, the LED agencies will guide and handhold them to improve their plan to achieve stronger outcomes. The LED taskforce will then help with funding support and, if necessary, transitional manpower support, to implement their plans. Companies can get more information from industry associations, the SME Portal or from any SME centre.”
“This is the highest fine ever imposed for a Workplace Safety and Health violation. Safeguarding the safety and health of our workers must be the top priority of all businesses. Both employers and workers must take collective ownership of safety and health outcomes. Together, we can ensure our workers return home from work safe and healthy every single day.”
“Every worker has the right to a safe and healthy workplace. We enacted the Workplace Safety and Health Act to ensure that safety and health risks to workers are eliminated or mitigated to as low as reasonably practicable. It holds employers and occupiers responsible for putting in place effective safety systems to ensure the safety and health of their workers. To enforce the Act, the Ministry of Manpower (MOM) takes a proactive and risk-based approach in our inspections. We focus on sectors with a high likelihood of an accident occurring, or where an accident could result in severe consequences. We target workplaces with activities that have recorded a high number of injuries nationally. These inspections serve as deterrence against non-compliance and educate companies on the preventive measures. When an incident occurs, MOM investigates to determine the root causes and culpability of the companies and/or individuals involved. We take appropriate prosecution actions, depending on the culpability of the offender and the extent of harm. In the case of Singapore Mass Rapid Transit (SMRT), MOM conducted 10 workplace safety inspections at various train depots from 2002 to 2015. Our inspections focused on work-at-height activities and falling object hazards, which were the main causes of workplace fatalities during that period. Following the March 2016 fatal accident, our investigation established that SMRT's employees failed to comply with the established work procedures. We were also of the view that such failures could have been detected and remedied internally by SMRT if there was an effective system of safety checks and audits. This is why the Public Prosecutor pressed for a sentence commensurate with the seriousness of the case, and the Court fined SMRT $400,000.”
“Mdm Speaker, let me repeat what I said in my reply. It is that, for freelancers, we have started collecting the information since last year. I released the data in the Committee of Supply this year as far as freelancers are concerned, meaning we do release the proportion of freelancers who are freelancing not as their preferred choice. That data has been made available for 2016 as I had released that in this House in the Committee of Supply. The Member asked whether MOM would collect similar data for those on term contract, meaning that for those on contract, how many of them would prefer to have permanent contract. In my reply, I have explained that having both the permanent and the contract employment is important for both the employers as well as for the employees because it is important to keep both options available to keep our labour market flexible, responsive. But the main point which I have highlighted in my reply is that whether they are on permanent employment or term contract, both enjoy the employer-employee relationship. So, in other words, as long as they are on contract, whether it is permanent or short-term, both are employees of the employers. Therefore, they are protected under all the employment laws. With that in mind, we have no intention to collect additional data, in terms of how many of those on term contract would prefer to have full-time employment. If they want to have permanent employment, they can always tap on our Adapt and Grow initiatives, where we will work with them to pursue the employment options of their choice.”
“Mdm Speaker, the Ministry of Manpower (MOM) has been publishing data on the number and percentage of the workforce who are engaged in own account work, commonly known as freelancers, since 1991, and term contract work since 2006. This data is collected and released on an annual basis as part of the Labour Force in Singapore report. For term contract employees, we do not collect data on the proportion who are seeking permanent employment. Both permanent and term contract workers are in employer-employee relationships which are governed by various employment laws, such as the Employment Act, the Employment Claims Act, Central Provident Fund (CPF) Act and Work Injury Compensation Act. Having both options for both permanent and contract employment helps to keep the labour market flexible and responsive. Employers may wish to employ employees on term contracts when, for example, the job is available on a short-term or project basis. At the same time, some employees prefer to enter into term contracts to meet their own needs for flexibility. As explained during the Committee of Supply debate in March, for own account workers, meaning the freelancers, we have started collecting data on the proportion who are not freelancing as their preferred choice since last year, and will do so and publish this on an annual basis. This additional information is useful to better understand how to support own account workers, who face unique issues different from those in employer-employee relationships. Those who prefer permanent employment, both contract workers and freelancers, can tap on the Adapt and Grow initiatives, where we will work with them to facilitate their pursuit of preferred employment options.”
“The net employment change of workers in SMEs1, non-SMEs2 and the Public Service3 from 2011 to 2016 is provided in Table 1 below. Data on gross job creation is not available.”
“They look at their staff not as human resource but as human capital. I asked one of them what is the difference between human resource and human capital. They said resource normally is for consumption and it will depreciate over time. But capital is what you invest in and it will appreciate over time. Therefore, our third thrust is both pro-workers and pro-businesses. Lastly, fair and progressive workplaces. We believe this is both pro-workers and pro-businesses as well. If the workers are treated fairly, treated progressively, hopefully, they will become more engaged, more motivated and thereby do better for the business. So, I assure Miss Cheryl Can and all Members in this House that everything we do as tripartite partners would be both pro-worker and pro-business.”
“Mdm Chairman, I thank Member Cheryl Chan for bringing up this point. I must apologise if I have come across as simply pro-worker. In my conclusion, I did highlight that whatever we do, we have to be pro-worker and pro-business, both at the same time. If one is weak, the other one cannot be strong. With that in mind, if I can revisit the four keys that I talked about for this year. The first one is about transform and grow. Transform and grow is both pro-worker and pro-business because, as we heard from Minister of State Teo Ser Luck, all the 2,000 companies under LEDS, whatever they have done − automation, mechanisation and so on − is good for their business and, at the same time, good for the workers because by being more manpower-lean, as a result, the workers are more productive, their wages have improved and so on. Therefore, transform and grow is both pro-worker and pro-business. The second part is Adapt and Grow. Again, Adapt and Grow we believe is both pro-worker and pro-business. Our local workforce growth is slowing down to 1%. More and more companies, like what Mr Thomas Chua mentioned earlier, are not only having problems finding customers, they are also having challenges finding workers. With Adapt and Grow, we believe that we are not just satisfying the employment needs of the workers but, at the same time, also looking after the manpower needs of the employers. The third aspect is about building an inclusive workforce, at the same time strengthening the complementarity between local and foreign workers. Again, we believe that the mindset of "2/3 plus 1/3" is greater than one that is not only pro-workers but pro-businesses. Many of our companies under HCP are all doing very well. The reason why they are doing well is because they value manpower.”
“The answer is yes, our arrangement with the various sectors is that we have a standard PCP. We will provide a certain level of wage support, training support, but our partners, it could be MOH or other agencies. IMDA, for example, what they do is that they take our basic PCP, they add something on top called "PCP plus" and "PCP plus, plus". For the Member's suggestion, I think we can take it up with MOH. Last, but not least, on the HR professionals, I thank the Member for bringing up this point. In fact, we have started moving quite fast. We are going to launch some major initiative by the middle of this year. The reason why I did not touch on this is because, like what Mr Sam Tan said, we ran out of time and no Member raised this issue. So, I can assure the Member that we are making some major move to upgrade the HR community in Singapore. This will include the so-called professional certification of the HR community. Members should expect to hear our announcement by the middle of this year.”
“Madam, on the first point on the work trial for the PMETs, we have not thought of it because we did not think that there would be many PMETs and many employers of PMETs who are prepared to try this out. However, I am open to the idea. So, maybe you can work with the NTUC, the Labour Movement to see whether we can try this, probably under the future job, future skill programme led by Mr Patrick Tay. I am open to the idea. On the second point about the PCP longer than 18 months, we support PCP. So, is the question whether it can be extended beyond 18 months?”
“Madam, the purpose of the work trial is, as I had mentioned earlier, for the rank-and-file jobseekers who come to us. Our success rate today is seven out of 10. There are still 30% who have not been successful. Our main concern is that among them, there is a small group, the LTU group. The longer they are unemployed, the harder it is for us to bring them back to work. That is the reason why last year, we started this scheme called work trial just to test out the concept. As it turned out, the feedback has been very positive because we have the confidence of jobseekers as well as the confidence of employers. This is the reason we have decided to expand the programme to make it more attractive and, at the same time, make it longer. The Member asked whether we would expand this programme to the non-LTU workers. I would say that our main purpose is to help workers to get jobs. Therefore, we do allow for that. If the worker is prepared to try out the work, why not? The question of whether this is available to all sectors, it is available to all sectors. Our challenge is more to find employers who are prepared to join the scheme.”
“Mdm Chairman, the Member is exactly right in the sense that LRIS is meant for CPF members who have no time and no knowledge. That is the reason why we have to design LRIS such that he or she would be putting his/her money under LRIS passively, as a passive investment. But somebody has to work for his/her money. So, that would be under LRIS. There would be fund managers to manage the fund for him/her. The member himself or herself does not have to make active decisions.”
“In other words, if a company feels that it has enough commitment in doing so, they can step forward and say, "Look, I want to join the HCP community." Now, who will identify the person to be nurtured into the glocal talent? Again, the company. It is not for us to go into the company and say, "Look, you should nurture this person or that person". Earlier, I have shared the example of the applied material case where Ms Yvonne was identified by her company and has proven that she is good enough for the job. She was able to live up to the expectation and, as a result, today, she is a senior manufacturing director, and the product line that she is responsible for, in fact, is one of their so-called product lead throughout applied material globally.”
“Mdm Chairman, LDI is a topic of great interest to me personally. But let me also explain upfront that LDI is today a programme driven by MTI. EDB is our overall champion for LDI. But having said so, MOM, in fact, is a strong supporter of LDI. The reason why I said so is because we believe that the development of a strong Singaporean Core should not be measured just in terms of numbers. It is not about whether in any sector, in any company, what percentage are Singaporeans and what percentage are not. That is just a quantitative measurement of the strength of the Singaporean Core. What is more important is to look at whether we can strengthen the Singaporean Core at all levels, from the entry level all the way to the top. That is the reason why SkillsFuture, led by SSG – in fact, tomorrow, Members can ask Minister Ong Ye Kung to explain even better – under SkillsFuture, we make sure that we have support programmes all the way from internship to Earn and Learn and all the way to the leadership development initiatives. MOM will go all out to support EDB and MTI in the development of LDI. Earlier, I mentioned that we have formed a committee in what we call the Human Capital Partners (HCPs). The HCPs are our employers who believe in nurturing human capital. In fact, one of the core priorities of HCP is to nurture what we call the "Glocal talents". These are local talents who are good enough to perform regional and global roles. "Local", you add the "g" in front, it becomes "glocal". So, "glocal talents" are our local talents who are good enough and are as good as global talent. Under HCP, the nurturing of glocal talent will be one of the key thrusts. Who will identify these companies? These companies will identify themselves.”
“When they are able to compete in a cheaper, better, faster way, their market share will grow. So, instead of $100 million, it may grow to $110 million, $120 million, and take away business from the company that did not respond. As a result, as the company continues to grow over time, even though they are manpower-lean, in fact, their workforce can actually grow, except that the growth in their workforce will be slower than the growth in their business revenue. Therefore, it is very important that, in Singapore, we do not look at technology as our competitor for jobs. The faster we make use of technology, the better hope we have in terms of not just moving into the future economy, which is driven by innovation and technology, but, more importantly, to use technology to make the job of all workers, for example, low-wage workers and older workers, easier, safer, smarter, so that the future economy can, likewise, be an inclusive economy for our workers, both male and female.”
“Madam, my apologies. I believe the Member is referring to a study by WEF where, on a global basis, they projected that, given the nature of work and the distribution between male and female, it is likely that more of the jobs performed by females can be displaced by technology. Having said that, I will say that the employment profile between Singapore and the rest of the world is quite different in terms of education level, in terms of our deployment in STEM jobs. If I remember correctly, broadly, the proportion of female university fresh graduates in STEM courses has gone up from 37% to more than 40%. Of course, we will still continue to encourage a more balanced form of engagement. But at the end of the day, I want to basically express that the impact of technology will be on everyone, whether male or female, young or old. But I took pain in my speech earlier to emphasise that fearing technology is not the way to go because, at the end of the day, all countries, all enterprises, will have no choice but to tap on technology. I will give Members a simple example. Two companies, assuming they are identical in their business and so on, company A employs 100 workers – male, female, young and old. Company B employs 100 workers. They are in the same business. Annual revenue $100 million. Company A, due to global competition, decides to embrace technology, so they use robots, IT and so on. They improve their productivity by 10%. So, instead of 100 persons, they became more manpower-lean and now need only 90 persons. But because they are more manpower-lean, they would be able, hopefully, to offer products cheaper, better, faster – the point mentioned by Mr Thomas Chua during the Budget Debate.”