Matthias Yao Chih
Singapore
“Madam, I beg leave to withdraw the amendment. Amendment, by leave, withdrawn. The sum of $247,297,100 for Head U ordered to stand part of the Main Estimates. The sum of $43,646,300 for Head U ordered to stand part of the Development Estimates. Head P – Ministry of Home Affairs”
“Individual neighbourhoods or large areas of Singapore may have to be cordoned off during the election time affecting the smooth movement of candidates, election agents, officials and voters, and the conduct of election activities.”
“South East CDC would work with the voluntary welfare organisations and grassroots bodies to develop and implement the building blocks that could help families from different parts of the needs spectrum become self-reliant. In designing new initiatives, our emphasis would be "maximum flexibility, minimum complexity�?.”
“Since its formation, NTUC Thrift has consistently given an interest rate on the small savings higher than what the banks give on their savings accounts.”
“In fact, in the new era of rapid changes in our global and domestic economies, workers need stronger social safety nets that will cushion them more effectively from adverse outcomes. This is a subject my NTUC colleagues have dealt with in the Budget debate and will continue to take up in the Committee of Supply.”
“While we should range freely to capture all good ideas, we must be extremely careful in choosing what to implement and how to do it. Like a good bus driver, we must not turn a corner too sharply as the passengers will surely be flung off their seats if we do so.”
The complete record
Every one of 220 lines we hold for Matthias Yao Chih, in date order, each linked to its source. Free to read, in full, without an account. Page 1 of 5.
“Madam, I beg leave to withdraw the amendment. Amendment, by leave, withdrawn. The sum of $247,297,100 for Head U ordered to stand part of the Main Estimates. The sum of $43,646,300 for Head U ordered to stand part of the Development Estimates. Head P – Ministry of Home Affairs”
“While they have no problem living in a multi-racial, multi-cultural society, and indeed that is what Singapore is, they nevertheless feel that it has to be a Singaporean society and not a new imported society that is alien to those born and bred here. This is a delicate development that we need to pay close attention to. On one hand, even as we slow down on immigration, we cannot turn it off completely. We still need to continue to attract well-qualified foreigners to become our citizens to make up for the lack of a larger population base. To do that, we need to offer these foreigners an attractive proposition. And we should appreciate that these new citizens bring with them variety and diversity that will enrich our society. In fact, we should even say that the new immigrants ought to be proud of the deep heritage they come with and invite them to share it with us. On the other hand, Singaporeans also want them to be quickly assimilated and become Singaporeans not just in legal status but also in preferences, attitude and behaviour. In other words, be more like us, the old citizens. They do not want their neighbourhoods and their workplaces to feel more and more like foreign localities. Sir, we must not let tension arise between the old and the new citizens. We build Singapore into what it is today by gelling immigrants from different origins into one cohesive society. We must press on with this great effort. In this respect, I would like to ask the Prime Minister whether his Office will introduce any policy initiatives that will help to achieve a balance between the needs of new citizens and the concerns of the old ones. Citizens and permanent residents”
“Sir, I beg to move, That the total sum to be allocated for Head U of the Estimates be reduced by $100. Sir, Singaporeans take pride in Singapore being a multi-racial, multi-cultural and multi-religious society where people of different ethnic origins and beliefs live and work side by side in harmony and mutual support. We are a multi-racial society because our forefathers came from different parts of the region and the world to make Singapore their home. They came from the Malay Archipelago, India, China, the Middle East and beyond. They worked hard together and raised their families here. Today, their descendents, that is, we, have a nation and a home called Singapore. Through the years of nation-building, this society of different communities has forged a way of life where it is uniquely ours. It has an identity which is perhaps still very hard to define but, certainly, Singaporeans know what being Singaporean is. When we go overseas, we can spot a Singaporean from a mile away. In recent years, it has been more difficult to keep growing our economy at a strong pace. An opportunity came by when the economic cycle turned up as explained by the Finance Minister earlier this afternoon. But our workforce did not have the capacity to take on all the opportunities that came our way. We had to employ more foreign workers and approve more applications for citizenship to enlarge the workforce. However, when their numbers became larger, when the presence of foreign workers and new immigrants became more visible, Singaporeans began to feel that the Singaporean way of life was being encroached on or even slowly changed. Some do not like it.”
“This approach is far better than catching people in a net, only after they have fallen and then trying to put them back on their feet again. Of course, the Finance Minister did not forget those who will need extra help. Help will be given to those who need it. The schemes that MCYS, WDA and the CDCs operate will be flexible and responsive. The officers in the Ministries and departments will put in greater efforts to assist the social sector. The volunteer groups, the charitable bodies are already mobilising to make available additional support. Many helping hands are there extended, ready to help. Elsewhere in the world, governments, legislatures, central banks and transnational institutions are working hard to arrest the downturn and get the world economy up again. There will be pain but once the causes of the problems are resolved, we will see brighter days. For us here, the Finance Minister has made the Budget provisions. Our employers and our banks must now do their part. We can turn this crisis into opportunity, convert our stored reserves into new energy and position Singaporeans for the next era of growth. We have the ideals, the means and the will to achieve it and we can achieve it. Sir, I support the Budget. 2.28 pm”
“That energy stored will stand ready to push our economy back into top gear quickly in the recovery. All our workers will benefit from this strategy of conserve and regrow, especially the older workers. As individuals and as an economy, we will be worse off with a strategy of "let go and then rebuild." Look at this from another angle. Countries who have reserves will likely be pressed to use the reserves to provide its social safety net for the citizens. Indeed, some Singaporeans may hold the view that the Finance Minister is spending so much money and yet the social safety net does not seem to get any bigger. The problem with that approach is that by the time a social safety net gets so big that it has to be funded from reserves rather than current revenues, Singaporeans will already be falling down in large numbers. The reserves should be used to provide safety but not in this way. Let me use an analogy. For construction workers working on top of tall buildings, we do not just spread a safety net near the ground to catch them should anyone fall. We equip each one with safety belts and harnesses and have them hooked up to anchor points at where they work so that they can work safely and comfortably, even though they are a long way from the ground. It is better to provide a safety harness for every worker than just a safety net to catch the ones who happen to fall. This Budget, Sir, provides a social safety harness. It gives our workers greater security to continue working in their companies and protect their families from income loss. So even as the employers are going through precarious times, their workers can weather the storm with some sense of stability.”
“I support the use of the reserves in the way proposed. The priority now must be to save jobs so as to minimise the number of families thrown into hardship. But more importantly, Sir, the Jobs Credit Scheme, while itself is a short-term temporary provision, will have a much longer-term positive impact for Singaporeans. It is not merely money spent away. It will help our companies survive this crisis together with their current workforce, so that their workers will be the first to benefit when recovery comes. When their employers pick up the pace, get back into business and expand into the gaps left by competitors that have collapsed elsewhere, our workers will be right there as part of the new growth and not be left out of it. The Jobs Credit Scheme conserves our national reserves in a different form. We can think of it as converting the financial capital reserves that we have accumulated into human capital reserves to survive the crisis. By using the financial reserves to save jobs, we are keeping intact as much of the knowledge and skills, experience and networks in the companies, instead of letting them dissipate only to have to acquire and rebuild them all over again when the upturn comes. Through the various training programmes, we will invest in our workers higher skills and better knowledge, to be done during companies' slack time. As many as possible of our workers will be able to stay where they are, add to what they already know and are good at and thus enhance their own value in the economy. This is an investment of the reserves in our workers, not consumption that will quickly fizzle out. It ensures that the energy that is in our workers and in our companies will not be disbursed and lost.”
“Meanwhile, the stark truth is that nothing we can do in Singapore can change the global situation. We just have to wait out the crisis. But we must do it actively, not passively. That is why I applaud the Budget for its solutions to the problems we face. The crisis today is not due to price competition so a wage cut or CPF cut is not the solution. Nor is it due to technological change. So industry restructuring and anticipatory retraining of workers for redeployment, later is not a priority. Stimulating domestic demand will not increase production of intermediate goods made for export. We can buy more potato chips but who wants to buy more computer chips? The problem is due to a breakdown between the world of credit and finance on one side, and the world of manufacturing, services and trade on the other side. We have the capacity to manufacture, export and provide services. Our industries are competitive. Our workers are productive, skilled and relevant to the world economy. Up to August last year, we were doing quite well. Unfortunately, the world economy has frozen up and this is the new challenge that requires a new approach. In an unprecedented move, the Finance Minister is asking for $4.9 billion to be taken from the reserves to help fund the Resilience Package. Mr Tharman has explained in detail how the funds will be used and how the entire Budget will work for the benefit of Singaporeans. Within the Budget, $4.5 billion will be used to fund the Jobs Credit Scheme. It will subsidise payrolls so that employers will not have to cut jobs to lower overhead costs. Without releasing a part of the reserves for this, a Jobs Credit Scheme of this size will not have been possible. The President has given in-principle approval for the drawdown.”
“Mr Speaker, Sir, I support this Budget wholeheartedly. Just six months ago, while we were celebrating National Day, we were looking forward to a growth rate for the whole year of 2008 of between 4% and 5%. The collapse of Lehman Brothers in September changed the growth story, not just for the US or Singapore, but for the whole world. Fearful for their own survival, banks stopped lending to each other. Credit was cut. Manufacturers could not borrow working capital for their production. Consumers feeling poorer because their property values had fallen or perhaps, they were facing foreclosures, bought less. Both supply and demand fell. Trade financing also dried up. Importers also could not get letters of credit (LC). Even if a LC was produced, whether you are accepted by the other side depended on which bank was the issuer. So orders and transactions could not be completed. World trade plunged as a result. Two weeks ago, Lloyd's List reported that they now have so many ships going empty that they will carry containers for free – just pay the bunker charges. So by December last year, our non-oil domestic exports to the US contracted by 24% compared to a year before. Exports to the EU fell by 34%. Overall, total NODEX was down 21%. When demand falls, production slows. Our manufacturing output in December fell 13.5%. The electronics sector was most affected. Output there plunged by 35% year-on-year. Many jobs were shed in these past few months and many more retrenchments are threatened in the coming months. The near-term outlook remains poor. It will be a while more before the large international banks can get out of the holes that they have dug for themselves and regain their ability to be the sources of liquidity and confidence for commerce and trade.”
“Individual neighbourhoods or large areas of Singapore may have to be cordoned off during the election time affecting the smooth movement of candidates, election agents, officials and voters, and the conduct of election activities. I would like to ask the Prime Minister's Office whether it has contingency plans to deal with the disruption to the smooth conduct of an election and whether rules will be introduced to take into account such disruptions should they occur to ensure that law and order pertaining to the election will be quickly restored and upheld, and be seen to be upheld.”
“Sir, the smooth conduct of an election is vital to the democratic process. When an election is called, the country is in a state of transition. The nation's leadership has completed an old term, a contest begins for a new term. If any disruption should occur during the election process and the election is not seen to be carried out to its satisfactory conclusion, then it will affect the legitimacy of the new leadership and be even detrimental to the overall confidence level in our society. Since our independence, we have gone through 10 general elections and three presidential elections. Every one of them was conducted smoothly. But I do not think we can therefore conclude that future elections will always be uninterrupted like before. I can think of the possibility of disruption caused by natural forces. Climate change is causing chaos in the weather patterns in many parts of the world. We here have seen severe storms in recent years, leading to roads become impassable to traffic due to floods and fallen trees. If this should happen during the critical period of 11 am to 12 noon on Nomination Day, and some would-be candidates cannot get to the nomination centres on time, thus leading to their disqualification, it would certainly be seen as unsatisfactory by all the political parties and the voters too. Similarly, should severe weather occur on Polling Day and many voters cannot go to vote, it would also lead to undesirable outcomes. A disruption can also be caused deliberately by hostile elements. It can be in the form of a localised bomb hoax or a major terrorist attack.”
“South East CDC would work with the voluntary welfare organisations and grassroots bodies to develop and implement the building blocks that could help families from different parts of the needs spectrum become self-reliant. In designing new initiatives, our emphasis would be "maximum flexibility, minimum complexity�?. Our effort wouldlikely involve a lot more hand-holding and customising to individual family needs. More volunteers would be needed and enlisted. We look forward to meeting the challenge. Sir, I support the Budget.”
“Some mothers from needy families say they want to work but could not do so because they have young children to look after. When told that the children could be put in a childcare centre at a highly subsidised rate, some of them are still veryreluctant to put the children in the childcare centre. Perhaps this isbecause that is only one step among many more steps they have to take before they could be gainfully employed. They do not know whether they could take all the steps eventually. They have no mental picture of what the future holds, what it could belike for them, and have no confidence of achieving that futureeven when it is mapped out for them. Some of the obstacles are real, some are imaginary. But to help needy families become more self-reliant, we must understand their fears and constraints, and give them the knowledge and resources to overcome them. For those who need it, we should help see them through every step of the way until they reach self-reliance. The South East CDC would make full use of the ComCare programmes to achieve this. By self-reliance, we mean: (1) the ability to keep the family unit intact; (2) the ability of the working adults to hold a steady job; (3) the ability to avoid arrears on their household bills; and (4) the ability to encourage their children to do well in school. Each of these components requires a different skills set and mindset in the family members as well as in the counsellors helping them. Families that require social assistance vary a lot across a spectrum of circumstances. Some are quite motivated. Given sufficient help, they could cross the line towards self-reliance easily. Others face a multitude of financial and relationship problems. They require much more individual attention.”
“The thought of not being able to find the interview location, the thought of being late and, therefore, get disqualified, of incurring high cost to take a taxi home if one is lost, is so daunting to some that they do not even make a try. The South East CDC started a pilot project to solve this problem. When there are jobs on offer, we gather the applicants who are interested at the CDC, that they know where to go to. An officer brings them to the workplace by the public transport route. The officer would point out the landmarks along the way, get down with them at the right bus stop and walk with them to the workplace. He or she would show the group the way back after interviews are done. Are we pampering our job-seekers too much? My officers and I believe not. We believe that this hand-holding is a necessary part of building self-reliance and self-confidence for those who need it. Not every job-seeker could read a road directory and navigate in unfamiliar territory among the industrial estates or our city centre. They have a genuine fear of getting lost, and of having to spend a lot of money to get home again. In their financial state, they are in no position to risk it. Our little experiment is showing good result. For a start, 100% of the job-seekers who turn up at the CDC turn up at the interview location and get interviewed. That is a far better record than the 5-10% we always get if we do not do it this way.A number have been offered jobs. What is most encouraging is that job-seekers have told our officers that because the officers have made the effort to accompany them all the way, they will try harder to stay in the jobs that they have been offered. Let me give another short observation.”
“To achieve this, we need to equip needy families with the basic survival skills that most of us take for granted. There is a common saying that it is better to teach a man to fish than to give him fish every day. But, Sir, what if the man does learn howto fish but does not know how to get to the river? His family would still be hungry. In our work at the South East CDC, the officers discovered that this could happen among job-seekers. We have seen it reported very often,a factory in Jurong or Loyang advertises that they have some vacancies.The CDC or WDA officers contact job-seekers on their database to tell them about the openings. The job-seekers say that they are very interested andpromise to go for the interview. On the actual day, very few actually turn up. At job fairs, some companies go to the extent of offering employment on the spot. Even so, many who are offered jobs do not even turn up for work at all. Employers, job placement officers and the media express disappointment, and lament that these workers are not motivated enough. But the CDC officers have discovered that there may be a simpler reason behind this phenomenon, and that isthe fear factor. Some workers just do not know how to get to the place of work if they have never been there before, and they could notget anyone to show them the way. They do not know where to change buses, which bus stop to get down at, and even if they get down at the right bus stop, where to head towards, if the workplace is a few streets away from the main bus route. All this, I tell you, is true.”
“Mr Speaker, Sir,there is an inverse relationship between the need for social assistance and the business cycle. When the business cycle is up, jobs are plentiful. Employers need every worker they can get. Even the low-skilled workers will find odd jobs that pay well enough. Fewer families need social assistance, and for those who need it, it is easier to find the funds for them because more companies are profitable and could make more corporate donations to charity. In a downturn, the reverse happens. More workers, especially those with lower skills, are out of a job. Companies are less generous with their donations. It is also the time when the Government's budget may have to be tightened. In a severe recession, social assistance may have to be cut, along with other expenditures, just when social assistance is needed most. The ComCare Fund is a sensitive and responsive way to get us out of this contradiction. It is an endowment fund that would riseeventually to $1 billion. Social assistance programmes would increasingly be funded by the earnings from the ComCare Fund. When the Fund is big enough, social assistancewould not need to compete with other Government programmes for a share of the annual budget. This way of funding would give a stronger assurance that the needy among us would always get help, especially at the time when they need it most. While the ComCare Fund would be a steady source of funds to draw from, that should not lead us into thinking that the way to use it is to give more cash to more lower income families. We should do some of that, but the ComCare Fund should not be used entirely in that way. That wouldonly encourage greater reliance on welfare. We should use the ComCare Fund carefully to promote greater self-reliance instead.”
“Since its formation, NTUC Thrift has consistently given an interest rate on the small savings higher than what the banks give on their savings accounts. With this renewed impetus to ensure sufficient retirement savings for our workers, the unions will work with employers and NTUC Thrift to encourage more workers to open accounts with NTUC Thrift. Employers who wish to give the gains from the CPF cuts as lump sum payments can help the workers deposit the money into NTUC Thrift accounts. To the individual worker, it may not seem a large sum at first. But if workers can continue to set aside small sums every month and keep their money untouched for long enough, NTUC Thrift will work hard to grow their money at better than bank rates. In the long run, the money will be useful for retirement, or to help cover a period of unemployment. Sir, I support the CPF changes.”
“But even as we debate the CPF changes in this Chamber, decision makers around the world would have read about our strong effort to make Singapore a good place to invest in. We may not even know who those investors are. The products and services they might bring here may not even have been announced yet. But they have heard of us and they will make enquiries. If we can bring our labour and business costs down to a level that gives good value for money, more investments will come, more jobs will be created and more jobs will be saved. That, we can be confident about. Among the companies already in Singapore, some are doing well. They do not need the CPF cuts to survive. As Mr Ravindran said just now, they should give some, or all, of the savings back to their workers. The SBF and SNEF have bluntly dismissed the idea. But I am glad that, since last Thursday, when the Prime Minister made the announcement, several companies have already indicated to the union leaders they will share the gains with their employees. Such enlightened managements are to be applauded. I urge companies that are doing well to follow their good example in being fair to the workers. Dr Ong Seh Hong and other MPs pointed out that one reason workers will have low retirement savings is that the rate of return on the CPF savings is low. In this climate of low returns on fixed income instruments, it is difficult to get higher returns. Workers should not risk their hard earned money on high risk investments to seek higher returns. They may lose much more than they can gain. The NTUC will do what we can to help. NTUC has a savings cooperative, NTUC Thrift. Its social mission is to help workers put aside small sums of money every month for a rainy day.”
“Mr Speaker, Sir, Mr Ravindran has a suggestion for NTUC FairPrice to consider. I will bring the message back to FairPrice. May I assure Members of this House that NTUC and its family of cooperatives are considering measures to help those who are needy, especially the lower income, and announcements will be made in the course of time. And I can even ask FairPrice to sell goreng pisang, if it helps. Sir, some workers ask: with these CPF changes, how many jobs will be created? How many will be saved? They are disappointed that there is no road map for economic recovery. They do not feel secure. They want to see a plan that says: do this to get to point A, then do that to reach point B, and all will be well. Unfortunately, there are no precise answers to what the CPF changes will bring. Technology and the world economy are changing too quickly for anyone to be able to draw up blueprints that come with a guarantee. That does not mean there will be no jobs created or saved. What it does mean is that the right economic environment will lead to the creation and saving of jobs, even though there are no mathematical models to give us the exact numbers. This is a bit like planning to build the bird sanctuary at Sungei Buloh. If people asked at that time: how many birds will come? What type of birds will come? How long will they stay before they fly away? - then the bird sanctuary might never have been built. No one could have given those answers. But the designers who understood bird migratory behaviour knew that if we built a sanctuary with the right environment, the birds would come. And they did. So is it the same with the economy? Get the economic and investment climate right, and the jobs will come. Precisely what jobs will come, or how many will come? No one can tell.”
“In fact, in the new era of rapid changes in our global and domestic economies, workers need stronger social safety nets that will cushion them more effectively from adverse outcomes. This is a subject my NTUC colleagues have dealt with in the Budget debate and will continue to take up in the Committee of Supply. Our entrepreneurs, investors, managers, workers and public officials are integral and interlinked communities in the same national economy. The changes that come our way affect us one and all. Our response must be cohesive and concerted. The title of the ERC report is "New Challenges, Fresh Goals - Towards a Dynamic Global City". We have many long-term and immediate problems to solve. Let us together embrace the challenges, take aim at the fresh goals, and boldly implement the recommendations that will take us towards the dynamic global city that is our vision. Sir, I support the motion.”
“We will have to work for different employers, and even change industries several times within our working life. Even our collective agreements may have to be looked at, but collective agreements will still need to be the mainstay of a relationship between employers and the unions. The terms can be discussed. If we can make the transition effectively, our workforce will continue to thrive in the face of global competition. Entrepreneurship will not be just for entrepreneurs. In the future, workers too need to be entrepreneurial. I do not mean that all the workers should go into business. If some do want to, I would say, make a try, and I sincerely wish them every success. What I mean is that workers must start to think like entrepreneurs with regard to their employment and employability. Entrepreneurs work hard to build up a successful business model that will be profitable for a long time. Workers too need to work hard to build up their knowledge and skill sets that will keep them employable for life. When an entrepreneur finds that customers no longer buy his product, he will improve it, or switch to something else. When a worker finds that his skill is outdated, he must do the same. When an entrepreneur meets a strong competitor who sells at a lower price, he may have to lower his price for a while to protect his market share while he figures out a new strategy. Workers too face cost competition in the global labour market, and need to adjust their wage expectations from time to time to avoid losing out altogether. There is one difference. Entrepreneurs must dare to take risks, but workers are less able to take risks.”
“They encourage Singaporeans to start and grow more businesses using Singapore as their base. The emphasis this year is on our domestic economy, less on the external wing. The benefit goes directly to our workers. Entrepreneurs and investors cannot do business all by themselves. As long as they operate in Singapore, they must employ at least a few staff to do the work. The more successful we can help them become, the more they will need to employ. And other businesses will emerge to provide upstream, downstream and support activities to these successful companies. Meanwhile, a new statutory board and substantial funding will help the workers bring such opportunities that lie ahead within their reach. It is not a zero sum game between entrepreneurs and workers. What we have is indeed a pro-business, pro-entrepreneur Budget. But because it aims to attract, nurture and anchor companies to Singapore, it is also a pro-job creation Budget. We have already heard some good news that banks and manufacturers have decided to move more of their foreign-based operations to Singapore because of our increasingly attractive conditions. As the Budget measures take full effect, more companies will come, more start-ups will be formed. The small ones will provide only a few jobs but the larger companies will bring in jobs numbering in the hundreds. The result will be jobs, and more jobs, for the workforce. Workers are not left out of this debate. Their livelihood is the key concern. But as jobs get created, they will not be the kind that we have been used to doing. There will be fewer permanent jobs, and certainly no iron rice bowls. The skills that are needed will keep changing, more and more quickly. We will have to work out different ways of doing this.”
“Mr Speaker, Sir, entrepreneurship is the choice flavour on the menu in this Budget debate, and rightly so. For so many years, we have relied on GLCs and MNCs to grow our economy. We need more entrepreneurs among Singaporeans, so that they too can be key drivers in the next phase of our economic growth. I join the many speakers before me to support the Government's intention and measures to promote, support and nurture entrepreneurship in Singapore. I support the calls to price industrial land competitively, and cut red tape. So much talk about entrepreneurship has, unfortunately, caused workers to feel rather left out. They think that this debate is for businessmen and investors only. Workers are mentioned only when it came to non-restoration of CPF contributions and having to work beyond their retirement age. That, to me, is a great pity. It would be a limited view of the ERC Report and this year's Budget debate. So, I was happy that MPs who spoke today have brought some attention back to the needs and worries of our workers. Our workers should not feel left out. If this was merely a pro-business Budget and workers are not of concern, the Minister for Finance could have simply focused on helping Singapore companies move abroad and take advantage of the lower costs and larger markets in the region. That would raise profits for the companies and make many businessmen very happy. It would also be a cheaper and probably less complicated exercise for the Government. But that is not what this Budget is all about. On the contrary, the Budget proposes a broad range of calibrated machines aimed at drawing high value investments, assets, talent and know-how into Singapore, and keeping them here.”
“While we should range freely to capture all good ideas, we must be extremely careful in choosing what to implement and how to do it. Like a good bus driver, we must not turn a corner too sharply as the passengers will surely be flung off their seats if we do so. Fourth, give as much time as possible for Singaporeans to make the adjustments. CPF is a huge subject. Every worker, every family in Singapore is affected. We must help everyone understand and prepare for the changes. The Government gave almost 10 years between the original proposal for GST and its implementation. The Medisave system was also given much time for digestion before implementation. I ask the Government to make haste slowly on the CPF. Sir, this Budget kicks off many more changes to our economic strategies and structures. The Government is open in finding new ideas and proposals. I hope Singaporeans will take part in these discussions with a positive spirit. The outcome will be a set of changes that will put our economy on a firmer footing to face our challenges ahead. I support the motion.”
“The projections suggest that at current rates, many Singaporeans will not have enough savings to retire on. This needs to be corrected before it is too late. The question is: what should we do? In making the review, I suggest that we observe four working rules. First, focus firmly on the fundamental objectives of CPF savings, which are to provide for retirement income, healthcare and housing. We need to make adequate provisions for each of these needs and find the right balance of allocation among them. Everything else should be secondary. We should not eye CPF funds for other uses. We should not use CPF as a macro-economic instrument to influence the money supply or disposable income. We should make a firm commitment never to dilute its basic aims. Second, workers should have enough CPF savings but they must not be priced out of a job because of CPF. Because of our seniority-based wage system, employers prefer to hire younger workers compared to older ones. Since the Asian financial crisis in 1998, we have seen many instances of older workers not being able to secure another job after retrenchment. If the CPF system needs to be adjusted to help older workers find and keep jobs, we should study it seriously. Remember that without a job, there is no CPF to talk about. Third, while we may suggest ideal new systems to replace the current one, many Singaporeans are already locked in by the present system and practices. Knowing what the ideal system should be and changing the present system to fit the proposals are two different things. Workers use CPF to pay for their housing and medical care. A complete overhaul of the system, or any drastic changes to the rules, will cause hardship to ordinary workers and their families.”
“The GST is fully offset for lower income Singaporeans for 5 years or longer, by which time the economy should have recovered sufficiently for wages to rise again. But, more importantly, if Robin Hood wants to rob the rich, the rich must be there for him to rob. I regret to report, Sir, Robin Hood cannot rob the Sheriff of Nottingham anymore. The Sheriff has relocated to Hong Kong because of the more conducive environment there. And I heard that he is thinking seriously about moving on to China next year! I am sure that this Government will always be a Robin Hood at heart. But to be always able to take something from the high-income individuals and companies to give to the lower-income, they must want to remain here to work and to do business in the first place. We must do what we can to encourage them to come here and stay here, so that we can collect a little bit of income tax from them and, more importantly, so that they can create good jobs for us. The tax changes will be effective in achieving this. Recently, the Economist Intelligence Unit rated Singapore to have the best business environment in Asia, overtaking Hong Kong for the first time, and the tax changes were cited as a key factor. Singaporeans should view the new tax structure positively. It will help our economy to grow in the long run. Another change that is being discussed is the CPF system. Sir, the public discussions are getting Singaporeans worried. They wonder how much of the contributions will be cut, and what new restrictions will be put in place. I urge Singaporeans to take a calm approach to this discussion. The time has come for us to take a re-look at the CPF system. As the population ages and as we live longer, our retirement income will become an important issue.”
“Businessmen can be in touch with the developments in any major market by cable television and Internet even as the events unfold. They can give instructions by e-mail and telephone direct to the recipients almost anywhere in the world in an instant. Investors no longer need to spread out their plants and offices to be close to their markets. They are more concerned over where they can get the best value for their dollar. And they can concentrate their investments in a few locations around the world to derive the highest benefit. Furthermore, there are many more new places that are attractive for them to invest in. The end of the Cold War opened up the whole of Eastern Europe and the ex-Soviet Union republics to Western investment. Ireland adopted pro-investment policies and made its economy attractive. Mexico joined NAFTA and became an important supplier to the US market. China entered the WTO and will be the focus of investor attention for many years to come. The competition for investments is no longer regional, but global. It is so much keener than just 15 years ago. The world does not, and will not, stay still for us. To attract investments, we must watch what others are doing and take the necessary steps to stay ahead. The tax changes are an important step in the right direction. But in our discussions with union leaders in NTUC, one question stands out and this is the same as the one raised by Dr Chong Weng Chiew a moment ago. This Government has always been a Robin Hood government, ie, it takes from the rich and gives to the poor. So, why is it that this time the Government is taking from the poor by raising GST and giving to the rich by lowering their income tax? Sir, the Government is taking nothing from the poor.”
“Mr Deputy Speaker, Sir, I support the motion. During the 1960s, a Dutch bus company wanted to find a more scientific way of recruiting bus drivers. It commissioned a study on what makes a bus driver a good driver. At first, most people thought that the key trait should be quick reaction and sharp reflexes. Well, that was not so. As it turned out, the study showed that the best bus drivers were the ones who could anticipate the road conditions early and adjust their driving well before they entered the curves or the bumpy stretches on the road. That makes a lot of sense. A bus driver is not a racing car driver. If he drives the bus like a Formula One car, the passengers will have a scary and sometimes disastrous ride. A good bus driver is one who brings his passengers speedily but safely on their journey, while giving them as smooth a ride as possible. In managing the economy, the Government must drive it like a bus, not like a racing car. That means anticipating the problems that may come well in advance, and making small adjustments before the problems hit us so that they do not become a crisis. This Budget is one such move. It anticipates the tough economic competition that lies ahead. In the past, investors would set up companies where the markets were. This was because transport was expensive and communication was slow. The businessmen and the factories had to be close to where the buyers were, to lower the cost of delivery and shorten the reaction time to changing market conditions. Investments had to be spread over many countries to be close to the customers in every region. Singapore benefited by being the gateway into South East Asia. Today, transport is cheap and communication is fast. It does not cost much more to ship an item 5,000 km than 500 km.”
“We cannot afford to be left behind. The President's Address and the Addenda from the various Ministries set out the challenges we face and the direction we should take. Our workers, employers and the Government must work hand-in-hand together to make our plans succeed.”
“The problem our workers face is serious, and will remain serious. There were 25,000 retrenchments last year. There will be more to come, at least in the first half of this year. The nature of retrenchments is changing. Last year, poor business accounted for 44% of the retrenchments in the unionised companies. In the first quarter of this year, this has dropped to just 18%. Now, the most common reason for retrenchment is business restructuring, which includes downsizing and relocation. Last year, restructuring accounted for only 32% of retrenchments. In the first three months of this year, the percentage has shot up to 59%. More restructuring and relocation will be carried out, whether we like it or not. We cannot dictate that investors must come to Singapore and stay here. We can only attract them to come here by offering to them what they need. Even if the companies do not relocate, old industries die and new industries take their place. Remember we used to have factories making typewriters here? They are all gone. Soon, the factories making TV picture tubes will also go, to be replaced by those making thin-screen TV sets. Technological change will cause many more industries to rise and fall. What will happen to our workers in these circumstances? If we are complacent, if we are slow to react, if we hang on to the old solutions hoping that they will solve our new problems, we will not be able to keep the good jobs here and create new ones. If our workers do not take full advantage of the opportunities to learn and retrain, it will be difficult for them to get out of work that is no longer competitive into new growth industries. China is growing not by staying still. It is undertaking a huge restructuring programme. Its workers are adapting swiftly to the change.”
“Good quality but cheaper Chinese products are flooding world markets. Adapting to China's emergence and economic transformation will pose a major challenge for many Asian countries, including Singapore." What does all this mean to our workers? To see for themselves, several groups of trade union leaders have visited China in recent years. They visited companies located in Beijing, Suzhou, Shanghai, Shenzhen and Xiamen. They spoke to managers, union officials, factory workers, taxi drivers and shopkeepers. They came home impressed by the focus, the hunger and the confidence of the Chinese workers. Before their trips, some thought that Chinese workers were not very productive. They discovered that the Chinese workers were highly educated and well trained, and the monthly salary was just the equivalent of our own employers' CPF contribution in Singapore. Some thought that the Chinese products might not be very good. They discovered in one Singapore-owned factory in China that the tools and precision die used by the workers in Singapore were made by the China factory, not the other way round. Some thought that the public toilets had no doors or flushing system and they prepared themselves psychologically before they went. They were surprised by 5-star toilets that had TV screens all around on the walls showing CNN broadcasts. The union leaders who visited China now understand why companies want to relocate there. They are worried that we will lose more jobs to China. Yes, they are worried, but they are not defeated. They have all come back with a firmer resolve to urge their fellow workers to retrain and upgrade themselves so that we can all float on the moving tide of global economic change, and not sink under its currents.”
“Mr Speaker, Sir, I support the Motion. There are signs that our economy is bottoming out. We may see recovery in the second half of this year. We are out of a crisis situation. But we may well go into a crisis if we are slow in reacting to the changes around us. The current crisis in Argentina's financial system is instructive. After a period of hyper-inflation in the 1980s, Argentina adopted a currency board and pegged the peso to the US dollar. This brought down the inflation rate to a comfortable level. For several years, Argentina's economy grew strongly. But the world is not static. In 1994, Mexico entered the North American Free Trade Agreement (NAFTA). Almost immediately, exports from Mexico into the US boomed. This resulted in strong growth for Mexico. Before 1994, the total GDP of Mexico was only half that of Brazil's in US dollar terms. Today, Mexico's GDP is bigger than Brazil's. Because of keen competition from Mexico and the fallout of the Asian financial crisis, Brazil had to devalue its currency in 1999. That put pressure on Argentina, but Argentina kept to its currency peg. Exports suffered, debt mounted and the financial system collapsed. Of course, there are also other contributing factors. But the changing dynamics of trade and capital flow external to Argentina became a key cause of her internal problems. A solution that worked for them for a while failed to work any more. Well, Argentina is far away from here. But can there be a parallel scenario in our part of the world? China has entered the WTO. What is the impact on Southeast Asia? The President said in his Address that "China's low costs, abundant talent and huge domestic market are attracting MNCs to relocate plants to China.”
“And then they will acquire better knowledge, and they will learn more complex skills and take on yet higher level jobs. This is the "circle of opportunity". Let us use the Lifelong Learning Endowment Fund to break the "circle of disadvantage", and turn it into a lifelong "circle of opportunity" for all our workers in Singapore. Sir, I support the Bill.”
“Not long after the company has automated their cloth cutting, they found that the costs were still too high in Singapore. So they closed down the production line and shifted it to a lower cost country nearby. And the ladies had to be laid off. Before we think that all the training on them was wasted, actually there is a happy ending to this story. The three of them got together and started their own company to do garment alterations. They put all their previous training, knowledge and experience into very good use. And they are no longer workers; they are bosses and owners of their own company. And the Wing Tai boss told me that these ladies are doing quite good business. So the next moral of the story is this: Even with retraining, the industries continue to restructure and industries can disappear. Our workers must constantly retrain, be prepared to adapt and make full use of the learning opportunities to improve their own prospects in the changing circumstances. Sir, many older workers have low educational qualification. Because they have lower education, they have lower income. Because they have lower income, they are less able to afford a loss of income when they go for training. Because they cannot attend the training, they remain less qualified. This is the "circle of disadvantage". The Lifelong Learning Endowment Fund is a bold and concrete measure that can break the circle of disadvantage. Let us lower the barrier of entry for training. Let us find better methods to make training effective and enjoyable. Let us help them overcome their fears. Let our older workers gain new knowledge and skills that will bring them higher incomes. And with higher incomes, they will have more savings, then they can take on courses of longer duration.”
“They had to squeeze the patterns as closely as possible to minimise wasting of cloth and had to cut as quickly as possible to keep the sewing line going. They were very good in their jobs because they were very experienced at it. Of course, no human being can beat a computerised machine when it comes to squeezing patterns closely together and cutting quickly. So the company decided to automate, and asked the ladies to train to operate this new machine. The ladies tendered their resignation. They would rather go to another factory to lay out the patterns manually than to learn how to operate the new machine. They were afraid of failure. It was not worth their while to try. But the boss was creative. He told the ladies: "Well, you wish to resign? OK. From now on, consider that you have resigned, consider that you are no more with my company. You are free to go." Then he told them, "Now that you have resigned, you have to look for a new job. But since you have time, why not try out this machine anyway? Every day you turn up for training, I will pay you. Anytime you want to give up, just take your pay and walk out. You can do that, because from now on you are not my staff. I cannot punish you. I cannot do anything to you." The ladies stayed on to learn on the new machine. After a few days, they decided not to resign anymore. And in fact, they became very skilled with the new machine, and became far more productive than before. The moral of the story is: Workers fear change. They fear being penalised. They fear the loss of self-esteem. Employers can and must help the workers remove this fear. My message to employers is: Please do not just blame the workers for not trying. Please make it easier for them to try. Sir, there is a Part 2 to this Wing Tai story.”
“Or more importantly, how to design training so that the older workers will feel comfortable and will enjoy the training. On behalf of older workers, I urge the Minister to give top priority to using the Fund for this purpose. The third reason for reluctance to go for training and work in a new area is the fear of being penalised for mistakes made while the worker is new to the new job. Older workers who are in a job for a long time gain experience and knowledge. They become experts in their fields. Their peers and subordinates look up to them. When they retrain and enter a new area, they start from square one like everyone else, including those junior to them. They lose status and influence, which they may not be able to regain. If they make mistakes, they may be penalised. Worse still, if they cannot cope with the retraining or the new job, they may become unwanted. So some workers would rather stay in the old job until it is made redundant, and then move on to another company and do the same job all over again because they are good at that job. They are afraid that their attempt to try something new may backfire on them. But the fact is if they refuse to learn new skills, their industry may simply disappear and they will be left far behind. This is a problem the Fund alone cannot solve. But there is a solution. The employers must do their part to make the training and transition easier for the workers. Allow me to tell you how one factory helped a group of workers change from using a manual process to a computerised one. It is a real story and it happened in Wing Tai, a garment factory. In the factory, a group of ladies manually laid out paper patterns on the cloth and cut out the required shapes.”
“What the older workers need are not just subsidised courses, but also some help to cover their household expenses while they attend the courses. Looking at the Bill, Sir, I am not sure whether the Lifelong Learning Endowment Fund can be used to help the workers cover some part of their loss of income when they attend courses. I would therefore like to ask the Minister whether the Fund can be used in this way, and if not, whether there are other means to help workers overcome this difficulty. The second reason for their reluctance is their fear of the courses themselves. They are afraid that they cannot absorb the lessons quickly enough, that they will be left behind by their younger course mates, and that they will hold back the classes because they are too slow. These are real fears. Young people learn faster than older people, and they learn in a different way. Those of us who have children will have had enough humbling experiences learning with them to know what I am talking about. If we put 50 year olds side by side with 16 year olds in the polytechnic or ITE, we are not going to get the same result from the two groups within the same timeframe. If we teach 50 year olds using a curriculum designed for 16 year olds, we will only discourage the older workers from joining the courses. What we need is a better understanding of the methodology to teach older adults. We then need to structure the courses meant for them accordingly. Here, the Bill is very clear. Clause 5(2)(b) allows the Fund to be used to support the research or development in or of the learning methods and technology to enhance the acquisition, development or upgrading of skills and expertise to enhance employability. In other words, how to teach older workers more effectively.”
“Our workers know, as the Minister pointed out, that lifelong learning is not an option but a necessity. Our workers know that there are many opportunities for them to upgrade. They know that training is important and that the courses are heavily subsidised. Many of the courses are modular, so the workers can break up the training into different parts to suit their schedules. The NTUC Education and Training Fund was set up with an initial sum of $20 million. It has received so many applications from union members for training grants that we have to increase it now to $40 million. This shows that many workers are keen to retrain and are actually doing something about it for themselves. However, we also hear that older workers are reluctant to go for training. Is that so? In my discussions with union leaders and members, I see that there is indeed such a reluctance. The workers agree that the subsidies are generous, but they think the barrier to entry is still high. I think there are three basic reasons for this. First, is the loss of income. Companies, though supportive of training, will not send many workers for the longer courses. If the workers want to take up longer courses, they will have to take no pay leave, or even resign from their jobs. The older workers have heavier family commitments. Many will feel the strain if they have to lose their income for even just a few weeks. Of course, there are classes conducted at night or on weekends. But some workers do not want to attend them because they will lose the opportunity to do overtime work to supplement their incomes. Yet, these are the workers who will benefit most from the training.”
“Mr Deputy Speaker, Sir, I rise to support the Bill. Sir, from the outset, may I say that I completely support what the Minister has said in his Second Reading speech and I am also in complete agreement with what my colleagues, Mr Hawazi and Mr Thomas, have said before me. In most countries, subsidised education is given to the young only. Once the young people leave school, they are on their own. As adults, they have to find their own resources to extend their learning. Our system was also like this in the past. But as the Minister reminded us, we have changed the system. The first change came with the Skills Development Fund which was set up in 1979. Then came various other programmes, the latest of which are the Skills Redevelopment Programme and the NTUC Education and Training Fund. These programmes work on the premise that learning does not stop after one leaves school. Learning is necessary throughout one's lifetime, and should be encouraged and subsidised, just as we encourage and subsidise our children to go to school. It is a very fundamental change in the way we should think about education, and it is a very profound change. The Lifelong Learning Endowment Fund Bill confirms that our Government will make lifelong learning a lasting reality for our workers. Our union leaders and members are excited about the possibilities it offers. They have waited eagerly for the Fund to be implemented since it was announced by the Prime Minister last year. The Fund will help workers learn new skills to stay employable as the industries restructure and business models change. With a possible slowdown in our economy while the US economy takes a downturn, it is even more urgent for our workers to get help to train and re-train.”
“As for paying the market value for NSFs to ensure efficient utilisation, may I assure the Member that this is MINDEF's top concern - which is that the NSFs are properly and efficiently utilised. And to this end, MINDEF and the SAF conduct stringent checks and tests to ensure that operational training is carried out efficiently and productively so that, at the end of the day, we turn out operational units which are ready to defend our country at the moment's notice.”
“Sir, let me respond to Mr Sin Boon Ann and Dr Wang Kai Yuen about allowances and financial assistance for National Servicemen. Sir, MINDEF has a financial assistance scheme to help needy full-time National Servicemen. Under the scheme, the needy full-time National Servicemen may be given a grant of up to $200 per month. If this sum is insufficient, he can apply for further assistance in the form of an interest-free loan through his unit's manpower officer. The loan is repayable by instalments, starting three months after his operationally ready date (ORD). Since 1975, a total of 1,636 servicemen have benefited from this. In addition, MINDEF also offers one-off grant and loans to servicemen in need. For example, unit commanders have the authority to extend emergency grants and loans of up to $500 to servicemen facing financial hardship arising from unforeseen circumstances. Sir, the applications have been few. MINDEF will continue to review and revise the grants, if necessary. But at this moment, there is no revision in sight. Dr Wang also appeals for more allowances to be given to NSFs. Sir, full-time National Servicemen are not salaried workers. They perform National Service and they are paid a National Service allowance. Most NSmen stay in camp where food and accommodation are provided free of charge. The allowance given to them is meant to cover incidental daily expenses, such as for transportation. The NS allowance is reviewed regularly to keep pace with the cost of basic daily expenses. The allowance was increased in 1994 and, again, in 1996. Our ongoing monitoring shows that the allowance is still adequate and there is no need for a revision now. MINDEF will continue to review the allowance from time to time.”
“For example, MINDEF has shortened the duration of the basic combat training (BCT) programme from three days to two days, and the number of BCT sessions in the 13-year NS training cycle has also been reduced from seven times during the cycle to five times. MINDEF has also restricted the number of times an NSman can be called up for NS duties during a year to a maximum of three times per work year. Where possible, units are required to bundle together all the units' activities to coincide with an ICT to minimise the number of call ups for NSmen. In addition, commanders have also been given the flexibility to grant time-off of up to two days for NSmen to attend to urgent business matters which crop up during their in-camp training. If necessary, deferment will also be considered and priority would be given to NSmen who have a good ICT attendance record.”
“Sir, may I respond to the question from Mr Charles Chong on deferment from in-camp training. Sir, our NSmen form the bulk of our defence force. They are our frontline troop and have to be kept at high state of operational readiness to respond to any contingency at a moment's notice. The training and military proficiency of our NSmen should not be compromised. NSmen need to train together to be an effective fighting force. The absence of a single NSman can affect his unit's cohesion, morale and operational readiness, especially if he holds a critical appointment. Deferment should therefore be granted only in exceptional circumstances beyond the control of NSmen and their employers. Our NSmen and employers understand the need for NS call ups and have been supportive of their employees' attendance of in-camp training. The NSmen deferment rate has not increased despite the current economic downturn. In comparison, in 1995, of the 87,000 NS call ups, 4,500 (or about 5%) were deferred on the grounds of work commitment. In 1998, of the 98,200 call ups, 5,100 were granted deferment. The deferment rate remains stable at about 5% of total call ups. Nevertheless, MINDEF is mindful of the need to minimise the demands imposed on NSmen and the inconvenience to their work and other commitments, especially during this period. In general, NSmen are given at least six months of advance notice so that they and their employers can make the necessary arrangements to cover their jobs during their in-camp training period. In addition, we are constantly reviewing and streamlining our NS training system to ensure that the duration and frequency of call ups are kept to the minimum.”
“I think the Member has to raise this in the Malaysian Parliament, if he can. RETRAINING PROGRAMMES (Participation rate of workers) 13. Mr Harun A Ghani asked the Minister for Manpower what is the progress of various retraining programmes and whether the participation rate of workers in need of upgrading their skills is satisfactory.”
“However, the adjustments in flight paths could mean some inconvenience to those living on both sides of the Johor Straits as more aircraft now have to fly over Singapore's territorial waters in the Straits. In fact, several of the arrangements which Malaysia terminated had been designed to reduce the aircraft noise level. The RSAF does not depend on any one country for its training needs. The RSAF has established extensive overseas training arrangements. These have provided valuable training areas and also the opportunity to train and exercise with other highly professional air forces. We will continue to look for new training areas in other parts of the world. In addition, we have invested heavily in advanced training simulators. We will continue to conduct more sophisticated training and exercises and make more extensive use of simulators to ensure that the RSAF's operational and training effectiveness continues to be of the highest standard. MINDEF would like to clarify some of the misconceptions about the agreements and arrangements covered by Malaysia's actions. First, the arrangements did not allow RSAF aircraft a free run of Malaysian airspace. For safety and other reasons, the arrangements - 1.30 pm”
“Thank you, Sir. Sir, Malaysia's decision to terminate the various agreements and arrangements have not affected the RSAF's training and operations, but it will have an adverse effect on search and rescue operations. On 17th September this year, Malaysia informed the Ministry of Defence that it was terminating various agreements and arrangements governing the RSAF's use of Malaysian airspace. Their decision came into effect on 18th September, giving us less than 24 hours notice. This was a unilateral decision by Malaysia. We were not given prior notification nor consulted. Malaysia's decision affected the agreements and arrangements covering: (1) RSAF flights through South Johor to the South China Sea Training Area; (2) RSAF training within Malaysia's Low-Flying Area; (3) RSAF navigational training flights in Peninsular and East Malaysia; (4) RSAF aircraft taking off from Tengah Airbase using South Johor airspace; and (5) The combined Search and Rescue operations and exercises. MINDEF and the SAF plan for all contingencies and Malaysia's decision has not curtailed the RSAF's training and operations. When the decision was conveyed to us, the RSAF immediately implemented alternative arrangements. Today, the RSAF conducts its training and operational flights with the same frequency and tempo as before. RSAF aircraft proceeding to their training areas no longer transit through Malaysian airspace but take alternative routes. In doing so, we have not compromised on safety. The RSAF has been working closely with CAAS to ensure the proper sequencing of RSAF flights and civil air traffic so that air safety is not compromised. We have also minimised the number of RSAF flights over built-up areas.”
“Sir, National Service is a question of national defence and the defence of Singapore's sovereignty. Community work will not help in the defence of Singapore or its sovereignty. ASEAN EFFORT TO ASSIST FREE AND FAIR ELECTIONS IN CAMBODIA (Steps taken by Singapore) 9. Mr Simon S. C. Tay asked the Minister for Foreign Affairs what steps Singapore has taken as part of the ASEAN effort to assist free and fair elections in Cambodia.”
“Sir, Mr Jeyaretnam knows the Constitution better than I. Yes, I am aware of this particular Article. Article 15, subsection (1) says: `Every person has the right to profess and practise his religion and to propagate it.' Subsection (4) says: `This Article does not authorise any act contrary to any general law relating to public order, public health or morality.' Sir, refusing to do National Service, which is required by law, is disruptive of the national ethos and it is a matter of public interest and relating to public order.”
“Sir, it was a mistake by the Department and the money was correctly pointed out as a discrepancy by the Auditor-General and we have since then recovered the money, and we would tighten the system so that it does not happen again. Mr Low Thia Khiang: Sir, I beg leave to withdraw the amendment. Amendment, by leave, withdrawn. The sum of $6,489,453,240 for Head K ordered to stand part of the Main Estimates. The sum of $775,000,000 for Head K ordered to stand part of the Development Estimates. Head T -”
“Sir, regarding the $630,000, it was not captured in the original tender document and therefore there was a discrepancy. Later on, this was pointed out and the money had been recovered. As far as the tender boxes are concerned, the issue is not whether the tender boxes remain open or closed. The issue is whether every tender that comes in is properly kept, properly registered, and not opened before the proper time. And under the system as it exists, when the tender boxes are opened, all the tenders which are meant to be opened or due for opening will be set aside and given to the officers in charge for processing. Tender documents for other tenders which are not due for opening are then properly registered in a register and put back into the box. And this procedure is properly witnessed so that nobody can claim later on that he has submitted a tender and it is not in the box or that the box was opened and the tender document was taken away. Nor somebody can claim that he put the document in the box before the time was up when actually he did so after the period had closed. So the issue is not whether the box is opened or closed. The issue is whether every document that comes in is properly registered and properly processed.”
“Sir, I am aware of this case. After an investigation it was found that there was a mistake made by the officer concerned and the supplier was asked to refund that $630,000. 4.15 pm”