Tan Chuan-Jin
Singapore
“A step-parent who wishes to leave any part of his or her estate to a stepchild is encouraged to make a will. Intestacy law would apply in cases where a person passes on without a will.”
“Last year, we reviewed and extended the Child Development Account, or CDA benefits to children of unwed parents. The Government granted CDA benefits, to children of unwed parents born, or with an estimated date of delivery, from 1 September 2016. It is generally good practice to implement our policies prospectively.”
“The Ministry of Social and Family Development (MSF) does not track the number of persons who choose to remain homeless instead of being admitted into shelters. When MSF receives information on persons who may be homeless, we initiate contact with these persons on the ground to offer assistance.”
“Our law places the child's welfare and interests at the heart of an adoption decision. We must not forget that such an adoption is a life-changing event because when an unwed mother adopts her child, the duties, obligations and liabilities of the biological father are terminated.”
“The Early Childhood Development Agency (ECDA) works closely with the Housing and Development Board (HDB) to plan for preschools in upcoming Build-To-Order (BTO) developments, including Bidadari new town. To better meet the needs of young parents, new preschools will have larger capacities and also be completed earlier where possible.”
“The Silver Support Scheme under the Manpower Ministry provides an income supplement to seniors who had low incomes through life and who now have little or no family support. Beyond ComCare, we are also expanding upstream intervention to strengthen the resilience of vulnerable families and their children to set a good foundation.”
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“In 2013, we had 59 workplace fatalities, a slight increase from 56 in 2012. The Construction sector continues to be the main contributor to workplace accidents. In the first two months of 2014, we had nine Construction workplace deaths. This is quite unacceptable. We will step up enforcement efforts against errant employers, who will face harsh penalties under the law, including imprisonment. Harsh penalties aside, the key to having a safer workplace is about having a safety culture. It is not just like about building the big stick, which plays a part, but, more importantly, we must all embrace that mindset. That is not easy to Page: 52 mandate but it is something that we will continue to promote. As we build safe and healthy workplaces, we are also embarking on encouraging progressive workplace practices. This is the part about a better workplace. Singaporeans have increasingly indicated a stronger desire to have a more fulfilling pace of life; more time to pursue other goals and priorities outside of work. Many have called for greater support for flexible work arrangements and more pro-family practices. We will strengthen our efforts on this front to promote more progressive employment practices, to support work-life priorities for Singaporeans. Senior Parliamentary Secretary Hawazi Daipi will talk more about this. Again, some things can be mandated, but a lot of it is also about culture. A lot of it has to do with the fact that we need to look at ourselves as employees in the way we work and look at ourselves as employers as well, in the way we make our demands upon our employees.”
“We also have targeted career conversion programmes to help individuals reskill and acquire necessary competencies to take on new jobs. Senior Minister of State Amy Khor will speak more on these efforts and retirement adequacy, while Senior Parliamentary Secretary Hawazi Daipi will touch on measures to uplift low-wage workers later on. We are also paying particular attention to lower-income Singaporeans, especially for those who work in industries that are more prone to stagnating real wages. Where productivity improvements do not translate well into wage increases, for example, in sectors where there is cheap sourcing, I am glad that the unions are also working closely with us on this. We plan to introduce sector-specific and targeted measures. We have done this by incorporating the Progressive Wage Model, which is developed by NTUC, into Government regulation for the cleaning sector. We will also set up a tripartite body to assess the need for a Progressive Wage Model in the Landscape sector. Senior Parliamentary Secretary Hawazi will further elaborate on this. It is important to move in these sectors for a range of reasons, one of which is what I alluded to earlier. There will always be Singaporeans, despite whatever efforts that we have made to try to uplift them in terms of educational level, who may continue to work at some of these lower-skilled jobs. That is why having the Progressive Wage Model in these sectors is particularly important because these are viable, respectable jobs that Singaporeans can take up. 1.30 pm It is essential that as we carry out these various measures, we need to continue to make our workplaces better and safer. We will re-double our efforts to entrench a safety mindset and culture in the workplace.”
“As announced in Budget 2014, we will be increasing the CPF employer contribution rates to the Medisave Account for all workers. Older workers will also enjoy further increases to the CPF contribution rates to help them build up more savings for their retirement needs. I share the concerns of Mr Christopher de Souza and recognise that certain groups of Singaporeans will remain there, even as we transform. Particularly, lower-income Singaporeans will require more help. Mr Teo Siong Seng, Mr Gerald Giam and Ms Denise Phua also asked how the Government can assist retrenched mature workers, the unemployed and other vulnerable groups. This is important not just from MOM's perspective but from a whole-of-Government perspective to support them, not just in terms of work but also education, health, housing and so on. Workfare remains the key pillar of our social security landscape. It is one pillar but it is an important one. We made enhancements to the Workfare Income Supplement (WIS) quantum and income cap last year, to boost take-home pay and retirement savings of low-wage Singaporeans. We also further enhanced the Workfare Training Support (WTS) scheme, to provide greater subsidies for training. With better skills and capabilities, our low-wage workers can raise their productivity and employability to enjoy positive wage outcomes. We need to continue to build on this to help more of our workers move up the value chain for themselves and, ultimately, for their families. Page: 51 For the unemployed or those seeking a career switch, they can tap on the existing networks of Career Centres at CDCs, e2i and also CaliberLink, which is focused on helping the PMEs, to enjoy employment assistance and training advisory services.”
“BCA has received an overwhelming response from local applicants and we will also facilitate in the placement process. This is just to illustrate how we can support from the training perspective and also from the job placement perspective. This is what we mean when we talk about supporting our workers in terms of their employability and upskilling as they move to other sectors. In terms of inclusive growth and retirement adequacy, we do know that many Singaporeans are worried that they do not have sufficient savings for healthcare and living expenses upon retirement. Some of these issues have been touched upon. MOH will cover quite extensively some of the programmes that we are looking into, to assure Singaporeans. Those are important. It is also important to make sure that those packages are sustainable. This is something Page: 50 that many countries are grappling with. Others have also shared their concerns over the more vulnerable groups of Singaporeans who struggle to make ends meet and have fewer opportunities to move ahead. We remain as a Government committed to fostering inclusive growth. Much of what we have done – not just this year but in the last few years – has indicated that that is something that we are placing emphasis on. We want all our citizens to enjoy the fruits of our economic success to achieve financial security for themselves and their families. Work is the best form of financial security. Our strategy at the broadest level is to keep unemployment low by keeping the economy healthy so that good jobs can be created; and at the same time, maintaining a tight labour market and encouraging more to work. With increasing life expectancy, many Singaporeans are able and want to work until they are older.”
“There is also a Dependency Ratio Ceiling (DRC) imposed. At present, we have a transitional DRC where you need one Singapore crane operator before you are eligible to hire another. You can hire up to four foreign crane operators. The idea is to transit to a ratio of 1:2 by 2017. For Work Permit crane operators, only Malaysians are allowed. For S-Pass, we also allow crane operators from China as well. While we recognise that there may be some concerns, I would appreciate if Mr Png could flag out those specific cases. I also face residents who come to me for crane operating jobs, not of the nature that Mr Png had mentioned. I am quite distressed because when I arrange for jobs, they go and work and then they drop out for a host of reasons. It is not an easy job, mind you. We also find it challenging because for many Singaporeans who may not be able to find other jobs, this becomes a very suitable option. We find that some of them are quite reluctant to take on that job, I think for good reasons. Ultimately, we leave it to the individuals to decide. What we need to do is to support that local pipeline. Similar to what we mentioned earlier, how do we support in terms of training? We have a crane operator apprenticeship programme. For example, we offer various types of crane operations and provide apprentices with an attractive monthly remuneration package of at least $2,500. It is a one-year programme and it offers training for them. On completion of the training, to obtain a crane operator licence, these apprentices will commence employment with their employers and undergo on-the-job training and future upgrading courses which are also subsidised. After completion of this programme, apprentices will qualify for BCA's CoreTrade registration.”
“I agree with Mr Zainudin Nordin when he says that, for workers, raising productivity means undergoing training to improve their skills so that they can add more value to their jobs. The Government is committed to providing Singaporeans with the fullest support possible to improve their skills through CET. This is a cutting edge and we will support that. We are in the midst of a major review of our CET Masterplan, and we will make our CET system even more relevant for our workers and businesses, and to further strengthen the link between training and skills utilisation at the workplace. So, the participation of employers is important, because their feedback will shape the kind of courses that we run, so that they will be applicable and relevant for the workers, and when they are trained and re-enter the workforce back to the companies, they are completely relevant. This is a real tripartite partnership. This is something that we can make it work and work well. This will ensure that our workers will adapt quickly to industry needs and provide Singaporeans with more assistance to achieve their career aspirations. Senior Minister of State Amy Khor will be elaborating on this in her speech. Let me address the point raised by Mr Png Eng Huat about tower crane operators. We know that the demand for crane operators is increasing, largely in terms of where we are going for the construction industry, not just by the volume of work, but we are also pushing the industry to adopt much more prefab approaches, so crane operators play a very important role. In terms of numbers, for local crane operators, they have increased in the last couple of years, from Page: 49 3,600 to 4,600. Foreign workers have increased from about 1,600 to 2,950.”
“Firstly, creating better jobs and raising incomes through upgrading the workforce and supporting restructuring. We all know that raising productivity is central to our efforts to create better jobs for Singaporeans. For businesses, it means taking a long hard look at their business models and processes, to see how they can produce higher value goods and services, and reduce their overall reliance on manpower. We are already seeing some changes. Many Members may have noticed when eating out that more F&B outlets have started using iPads for food orders. Others are asking customers to pay at the cashier on their way out, reducing the number of service staff required. So, do not get annoyed. This is an inevitable part as we tighten, as we move up the productivity and value chain. These are practices that will be there. Page: 48 All of us, as consumers, have a part to play by supporting this effort. Other companies are finding different ways to deal with it. For example, I hear this story of Jellyhearts. It is a bakery selling customised cakes. The owner is Mr Darren Loh. He partnered e2i to prototype moulds that will help reduce the overall time taken to produce these customised cakes. When we took this picture, we wanted him to show that mould. But he said that it was a trade secret, so he could not show us. The key thing to this is this: the workers at Jellyhearts saw an eventual wage increase of about 10% to 20% as a result of improved productivity. This is why productivity is an important effort. Not only will it allow us to streamline our economy to be manpower-leaner, but at the same time, it will allow us to help our workers to earn more wages. Because only with productivity can income increases and wage increases happen.”
“We need to create jobs at various levels, not just at the graduate level, but also at the non-graduate level – the vocational level, technical level – so that good job opportunities abound for Singaporeans at all levels because all of us do have different potentials and abilities. At the same time, we should equip our people with the skills and facilitate the information transfer so that we know where the jobs are. It is an entire continuum of effort. Going forward, we must continue to restructure the economy, and change the way jobs are being performed. Restructuring for higher productivity will be painful. There is no way around that. We need to invest more in technology, streamline processes and create higher value products through innovation. This is the only sustainable way to ensure wage increases for all workers. But let me end this section about the future by stating that even as we transform the economy, there will be natural limits to what education and training can do. There will still be Singaporeans working in lower skilled jobs. We will do what we can do to upskill them, but that segment of society will remain even as we go forward. What we need to do is to not neglect the contributions of Singaporeans at that level. They continue to play an important role in our society and we will and must continue to support them in their endeavours. Given how the future may unfold, how do we ensure that our economy will work for all Singaporeans? I will highlight three areas: (a) creating better jobs and raising incomes for Singaporeans through upgrading our workers and supporting restructuring; (b) achieving inclusive growth and retirement adequacy; and (c) making sure that workplaces get better and are safer.”
“I was talking to Education Minister Heng Swee Keat last night and we were discussing about our respective parts in the Budget today. This is one area that we are watching carefully the developments. It is important for Singaporeans to make informed educational choices, not just the individuals but especially the parents. We will also develop viable career pathways and options for those who may prefer a more vocational and technical route instead of pursuing a University education. Singaporeans should not have to feel that the only way that they could be successful in life would be to pursue a University education. As we all know, if everyone becomes a University graduate, which theoretically could be possible, we will not have enough jobs to go around as well. Correspondingly, the market would also respond to the quality of degrees that come from different institutions. The ASPIRE Committee that is helmed by Senior Minister of State Indranee Rajah will play a very important role to help address this situation. This is one area that we are particularly concerned about and we will pay attention to that. I agree with some of the concerns raised, especially from Mr Zainudin Nordin. Ultimately, as people move up the value chain in terms of the education process, we need to make sure that we continue to create jobs. That is key. For many countries that face some of these problems, they are not creating enough jobs. That is something that we are doing fairly Page: 47 well at the moment. We should not take it for granted.”
“We do need to compete to have the companies, even our local companies, to remain here, so that these jobs can be created and those opportunities can be provided for our children as they grow up and as they pursue their education opportunities. 1.15 pm Page: 46 Therefore, it is important for us to understand that even as we look at providing for our people across the different areas, especially on the social side, we still need to make sure that our future economy needs to be strong, robust, healthy and vibrant, so that these opportunities can be created for our people. That is the base upon which they can then go on to fulfil their dreams and aspirations. It has to go hand-in-hand. Our economic agencies will do what is possible to continue to anchor Singapore as a regional headquarters for high value-added activities, while helping local enterprises to grow as well. Other countries are facing a different type of challenge. Mr Zainudin Nordin raised similar concerns. In particular, we should note the situation in South Korea and Taiwan. Mr Zainudin cited some examples in Japan, and we can see some of these trends happening across the world. In South Korea and Taiwan, there has been a relentless pursuit of paper qualifications. It has resulted in a glut of graduates. The Director-General of Taiwan's MOE stated that "the abundance of university places had undermined the quality of degrees and created a skills mismatch in the job market. People have become over-educated and under-employed." Taiwan is taking steps to address this. But again, this is something that we need to observe. We can potentially see some of these trends happening. So, we cannot take for granted that we will not face these problems in the future.”
“Mr Teo Siong Seng expressed concerns about PMEs and their re-employability. Let me emphasise this again. Sometimes, we do get feedback that people look at CET as something that is required for blue-collar workers. CET is something that everyone needs to embrace and PMEs themselves also need to embrace it and participate in it. We will do our part to support it as best as we can with programmes and assistance. For example, we tried out the PMEs Specialist Assistance Programme. The composition of the workforce will also change. Some Members have made mention about that. We know that more are aspiring to enter University – as Asians, that is probably particularly more acute. As a result, we see increasing numbers of graduates entering the labour market. By 2020, we will see 40% cohort participation in our local Universities. There are also many who are pursuing private education and overseas degrees. In theory, what this would mean is that we would be able to increase the pool of better-educated employees in Singapore. We will have a more skilled workforce. We should also be able to move up the value chain. Mr Teo Siong Seng recognises this but he is also concerned about what would the impact be on the lower-end jobs. In fact, we see these trends happening elsewhere as well. We need to understand that these jobs will only be created by good companies. These companies, both local and foreign, will only be in Singapore if we have healthy economic growth and also a conducive business environment. Let us not kid ourselves; the competition is real. It is not about "if" but it is about "when". Companies will move; companies will go. Labour capital is exceedingly mobile and, increasingly, will continue that way.”
“By 2009, its profits fell sevenfold and it was sold to Microsoft last year. Today, smartphone technology continues to evolve. A single messaging application – WhatsApp – can be valued at US$19 billion. We are seeing wearable mobile electronics, such as Google Glass and Samsung's Gear. Our workforce of the future should have both the hard and soft skills to competently adjust, not to mention also the soft aspect, the ability to communicate with acronyms, hashtags and the emoticons! So, let me, perhaps, for the first time, introduce emoticons into Parliament. This is exactly why workers – and I would add and emphasise – including PMEs, must be able to adapt to change and have that commitment to lifelong learning. Ms Jessica Tan talked about the need to help our workers adapt and to move on. That is something that we are committed to. MOE is doing its utmost to continuously strengthen our education system. On MOM's part, we believe that our cutting edge would be our Continuing Education and Training (CET) systems. This is where we will raise the quality of our local workforce, especially as the world adjusts and moves on, we will be able to respond quite quickly. I totally agree with Ms Denise Phua's comments about the way we Page: 45 teach and learn. That is something that we will have to embrace. It is happening in the classrooms. When I was in the army, that was something that we were moving on in a very big way. In the CET realm, that is something that we need to go on to as well. To better prepare for our future, our entire system needs to help us build a broader and deeper foundation for learning, and enable our people to be adaptable in picking up new knowledge and skills throughout their lives.”
“We need to continue to build on it and not take it for granted, to continue to strive and improve where we can. Ms Denise Phua and Mrs Lina Chiam asked very important questions about our future – the competencies that we may need and the impact of technology. Let us take a quick glimpse at what the future might be like. Page: 44 We believe that Singapore's future economy will create many diverse and exciting career opportunities for our people. We are well-placed in our region to ride on the growth that is happening around us. We are transforming our economy to develop higher skilled, higher value industries. While Mrs Lina Chiam has expressed some of these concerns, I can assure her we are not taking it for granted, and we are definitely seeking to transform, as much as possible, where we can and where it makes sense. New growth opportunities will emerge as technologies like data analytics, robotics and 3D printing become more pervasive. The future economy will be driven by rapid technological change and shorter skill cycles. Longer life expectancy and shorter skill cycles mean this – workers, both white- and blue-collar workers alike, are unlikely to just have one career for their entire lifespan. In all likelihood, there may be two or more distinct careers over their working lives. Therefore, it is crucial that workers are able to master new skills, adapt, evolve and move on to new things. Change will be the permanent feature. Let me just cite one example. We all remember Nokia. We used to have Nokia phones and MMI was great, and you cannot imagine anyone else doing any better. In 2005, Nokia had about a third of the world's mobile phone market. But it failed to adjust to iPhone's introduction in 2007 and evolving smartphone technology.”
“It is important for us to understand that without economic growth, many other things will not be able to follow and we are better off than we were previously. For example, growth in real median monthly income – and this includes CPF contributions – for full-time employed Singapore Citizens was 4.6% in 2013. Over the past five years, from 2008 to 2013, real median income increased by 1.7% per annum. This is not bad, considering that many countries are also facing wage stagnation. That is for the median income. Let us look at the lower percentile, the 20th percentile. The real income growth for them was 2% per annum, keeping pace with real income growth at the median level. The foreign manpower tightening measures that were introduced over the past years are beginning to bite, which explains the concerns that many Members have expressed. Many of us have received the same feedback as well. In 2013, foreign employment, excluding Foreign Domestic Workers (FDWs), grew by 48,400, down from the increase of 67,100 in 2012. About two-thirds of this growth was driven by the Construction sector, and we understand why. There are a lot of infrastructure projects that we need to fulfil. If we exclude the construction sector and FDWs, foreign employment grew by 16,800 in 2013. This is about half of the growth of 32,200 in 2012, and the lowest growth since 2009. Having said that, we still have some way to go in terms of reducing overall foreign manpower reliance. So, that effort needs to continue. When we compare ourselves to other advanced economies, and when I meet my foreign counterparts, it becomes quite apparent that we are in pretty reasonable shape. While certainly not perfect, we should not shortchange ourselves; what we have here is respected and admired.”
“To Mr Gerald Giam's question, I am especially encouraged that Singaporeans, in particular older workers and women, have benefited from our economic restructuring efforts. The labour force participation rate of women aged between 25 and 64 rose quite significantly over the decade, from 61% in 2003 to 72.2% in 2013. The labour force participation rate of older citizens, aged 55 to 64, also climbed to 66.8% in 2013 from 47.2% in 2003. This is quite a significant improvement over the past decade. Mr Gerald Giam raised the issue of the economically inactive and those who are discouraged. I think that is important. We are particularly concerned about this group. There are many diverse challenges that they face and we are trying to do what we can. Senior Parliamentary Secretary Hawazi Daipi will elaborate further on our efforts and some of the measures that would help in this area. Some have been out of the workforce for quite some time. They do need substantive support and skills training to improve their employability. This is why we heavily subsidise training programmes through our Continuing Education and Training (CET) system to help them pick up skills, so that they can re-enter the labour market. We have also introduced WorkPro to incentivise employers to hire them. Clearly, it is not just only about skills, it is also about hand-holding, because many of Page: 43 them would be discouraged. They also do lack the confidence to return to work. So, we have started traineeships where we attach trainees to companies to undergo on-the-job training programmes. This enables them to try out and adjust to working life again and, hopefully, they can transit to actual work and thereby rejoin the workforce. Singaporeans have benefited from economic growth.”
“I will always ask them, "Which part of your request would you like me to fulfil?" I suspect they probably want answers to both parts. On our part, we have to listen and, ultimately, we have to discern and decide what is the best option. It really is never about just doing more. We have to face the inevitable trade-offs even as we still try to settle for win-win Page: 42 outcomes wherever we can. There are always competing demands to balance. Our responsibility as a Government is to provide for our people's needs, and this forms the bedrock and foundation for them to pursue their dreams and to achieve their aspirations. We are responsible for not only the individuals but also for the broader community. The needs are not always exactly the same. We also have to be responsible for our future generations by ensuring sustainability in all the things that we do. The practical side of governance need not be incompatible with the aspirational desires and values that many of us share. Making our economy work for every Singaporean is at the core of what we need to do. Better jobs and higher incomes for Singaporeans are at the centre of our mission at MOM. How we do it will reflect the values that we hold. Achieving it will also provide us with the ability to realise those very aspirations and ensure that Singapore remains a nation of opportunities for our people. Let us take a look at the present. I will first update Members on the present state of our labour market before going on to the future economy and other issues. Our economy grew by 4.1% last year. The unemployment rate, which is 2.9% for Singapore citizens, is among the lowest in the world.”
“I thank Members for sharing their views about our manpower policies. As Minister and Member of Parliament, I have had the privilege to meet many Singaporeans from all walks of life. To me – and I think many of you would agree with me – this is probably one of the most meaningful parts of life in public office. They share with me a slice of their life stories. I have listened to their aspirations and hopes for themselves and, especially, for their children. They work hard and seek to have good jobs, stable jobs, good incomes, to buy a home and save for their retirement and also for their children's needs. Low-income families worry about how to make ends meet; young graduates worry about competition; mid-career workers worry about whether they have enough savings when they retire, and business owners worry about rising costs and manpower constraints, as many Members have shared over the past few days. Sometimes, there are contradictions and tensions. Some Members would have encountered this as well. Some feel that we should slow down and smell the roses, and in the same conversation later, express concern about whether we will be sufficiently dynamic and vibrant, so that we can create good opportunities for their children when they grow up; or whether the economy would be strong enough to provide for all their needs when they themselves grow old. Some will grumble about the fickleness of our local workforce, how they are very picky, how they will job-hop at the slightest opportunity for pay increments, and that we should loosen our foreign manpower policies. But in the same conversation later, they will lament about the loss of character in Singapore with too many foreigners here and, of course, the crowdedness they encounter every day.”
“Mdm Speaker, we are not particularly reducing the supply of workers from some of these existing countries. What we are moving towards is to enhance the productivity of the workers, particularly in terms of experience, which is why there was an extension to the employment period from 18 years to 22 years. But in terms of the source countries, we are not moving in the direction that the Member has suggested.”
“My apologies, Mdm Speaker, in my prior answer, if I could have retrospectively requested your permission to combine the two questions, please.”
“Mdm Speaker, as employees, all of us, prefer to have a higher employer's contribution. That goes without question. But the issue at hand really is not about that part alone. It is about the impact on business costs. Again, it is not just concern about business costs but the knock-on impact on employability. The considerations, as raised by then Prime Minister Goh Chok Tong, remain valid today. We need to watch our competitive advantage. That is something that was of concern then. It remains a concern now. If anything, I think the competition has become more acute, especially with globalisation. The world has become a lot smaller. Competition is right at the door step even though it may not physically be so. We do need to watch that. As explained, I think we will continue to review how we should look at the CPF contribution rates but, importantly, it is to look at retirement adequacy as a whole entity. Some of the measures highlighted earlier are areas that we can look at to improve to make sure that retirement adequacy is to be addressed in other ways as well. Addressing it purely by raising employer's contribution to CPF is one way but it has a very real impact on employability which is a big concern of ours as well.”
“Mdm Speaker, the short answer is yes. Complainants can approach TAFEP to report these cases. We do monitor the situation. For example, if companies are engaging in discriminatory practices, the employees who were unfairly replaced and existing staff should call us and we will take a look. We will interview the people concerned. We will also look at the proportion of the employees that are Singaporeans within those companies, to determine whether there are unfair and discriminatory practices taking place.”
“CPF LIFE was introduced in 2009. It was made mandatory for cohorts turning 55 in 2013. For cohorts who turned 55 before 2013, that is, born before 1958, participation in CPF LIFE is voluntary. Amongst this group, about 10%, or close to 86,000 members, have opted to join CPF LIFE. 35,000 of these members were born in 1950 or earlier. Members who do not join CPF LIFE will still be on the Minimum Sum Scheme which means their CPF balances will be drawn down gradually over time but, unlike CPF LIFE, there is no guarantee of an income for life. Affordability is not a barrier to participation in CPF LIFE. CPF members are free to join CPF LIFE prior to age 80 regardless of the size of their CPF balances. Page: 182”
“The WorkPro scheme was launched in April 2013 to foster progressive workplaces, augment local manpower and strengthen the Singaporean core in our workforce. It helps to build employers' capabilities in age management, job redesign and work-life practices to better attract and retain workers. The scheme will run until 2016. We encourage employers to tap on it to foster more progressive workplaces in Singapore. The Work-Life Grant under WorkPro supports the implementation of flexible work arrangements. As of December 2013, we have approved applications from 84 organisations for the Work-Life Grant. Over 8,000 employees in these organisations will benefit from the flexible work arrangements when implemented. The Government is working closely with the tripartite partners to intensify our efforts in promoting flexible work arrangements. The Tripartite Committee (TriCom) on Work-Life Strategy, chaired by Senior Parliamentary Secretary (Manpower) Mr Hawazi Daipi, is following up on feedback received and looking into new initiatives to promote adoption and develop capability in implementing flexible work arrangements. The details will be announced in due course.”
“When a CPF member wishes to relinquish his ownership of a property, he is required to refund the principal amount of CPF savings withdrawn for the property, as well as any interest that would have accrued had this amount not been withdrawn, before we are able to lift the CPF charge on his property. Otherwise, there is a risk that the monies may not be returned to the member’s CPF account, compromising his retirement adequacy. Dr Intan suggested that the child be given a choice of (a) lump sum repayment of the CPF funds used; (b) instalment repayment of the CPF funds used; or (c) waiver of the repayment of CPF funds used. I would like to clarify that some flexibility in repayment is already provided for today. The full refund amount is only required within six months of the child taking possession of his new flat, at which point he withdraws as a co-owner in his parents' flat. This could take a few years, if he is buying a new flat that is under construction. In the interim, voluntary repayments can be made to progressively bring down the outstanding refund amount. If the parents are eligible for HDB or bank loans or have CPF monies that are available to be used for housing, these monies can also be used to make the refund upon the withdrawal of the child as a co-owner. However, we are unable to allow the child, or any CPF member, who has used CPF savings for a property, a waiver of the required refund when he sells or relinquishes ownership of the property. Doing so would compromise his retirement savings which he will need when he enters old age. Page: 180”
“They are well-utilised, and visitorship is especially high when these centres host events, such as sports competitions and cultural celebrations. Most of these centres also organise regular movie screenings. The Government intends to launch more of such gathering spaces, to better cater to foreign workers' needs. Other examples include the cleaning of congregation areas, to maintain an acceptable level of public cleanliness; and inter-agency roadshows at foreign worker dormitories and gathering areas, which help to raise awareness of key Singapore laws and social norms. I believe that Singaporeans understand and appreciate that just as the Government takes care of their needs, it is also right and proper for us to look out for the needs of foreign workers who contribute positively to our country. Page: 142”
“I agree with the spirit of Ms Tan Su Shan's suggestion for the Government to set aside a reasonable budget to help improve the Page: 141 circumstances of foreign workers in Singapore. This is, in fact, already the case today. The foreign worker levy serves to regulate demand for foreign manpower. As with other taxes and levies collected, revenue arising from the foreign worker levy is channelled to the Consolidated Fund and forms part of the Government's revenue to finance expenditure in general. This covers all areas of Government expenditure and includes, but is not limited to, building public infrastructure like roads and hospitals, as well as assistance schemes for locals like Continuing Education and Training (CET) where the Singapore Workforce Development Agency (WDA) provides generous course fee subsidies to locals pursuing WSQ courses. We also resource initiatives pertaining to foreign workers. The latter measures are overseen by an Inter-Ministerial Committee, and include regular reviews to ensure that our legislation is relevant and adequate to protect the evolving rights and well-being needs of foreign workers; education and outreach to inform foreign workers of their rights before they enter Singapore; as well as developing infrastructure to provide foreign workers with adequate housing, amenities and recreational facilities. For instance, the Government has been launching dedicated recreation centres for foreign workers to supplement the facilities and amenities in their dormitories. These centres provide foreign workers with additional places to rest and socialise, and have a wide range of amenities, such as remittance services, supermarkets and sports facilities.”
“Monies collected from the Skills Development Levy (SDL) are placed into the Skills Development Fund (SDF). Funds from the SDF are used to support workforce upgrading and to provide training grants to employers when they send their employees for training. In the latest financial year, FY2012, approximately $210 million in SDL was collected. A total of $171 million was committed for both training subsidies and CET infrastructure development. Of the $171 million, $67 million was given directly to employers in the form of course fee subsidies and absentee payroll, with 43% ($29 million) received by SMEs. Of the $29 million, $7 million went to sponsoring SMEs with 10 employees or fewer. SMEs form the backbone of our economy. As we restructure our economy to achieve productivity-driven growth, we are also investing heavily in helping SMEs to upgrade the skills of their workforce. Since 2012, we have increased the funding for SMEs, providing 90% course fee subsidies and higher absentee payroll to encourage SMEs to send their employees for training. This was based on feedback from SMEs and industry associations who identified training and upgrading as a key area where they hoped to receive more Government support. As we continue to enhance our CET offerings, we would like to take this opportunity to encourage all enterprises to actively tap on our CET programmes to improve the skills and productivity of their workforce.”
“In 2012, 41% of establishments offered at least one form of work-life arrangement to their employees, up from 25% in 20073. However, we believe employers can do more to offer flexible work arrangements to their employees, and we will continue to work closely with our tripartite partners to promote the adoption of flexible work arrangements and Page: 122 other progressive employment practices.”
“Last year, employed residents in Singapore worked 45.6 hours per week on average, a slight decline from the 47.4 hours per week a decade before. This reflects the rise in part-time employment1. Among full-timers, there was an increase in hours worked during the economic rebound in 2010 to 49.2 hours, from 47.9 hours in 2009, although this subsequently eased to 48.2 hours in 2012 with the slowdown in economic growth2. Studies overseas have shown that excessively long working hours can have a negative impact on productivity, largely due to the adverse effects on workers' physiological and psychological well-being. The studies also show that more flexible working arrangements that better promote work-life harmony can help to improve employees' well-being and productivity. When firms adopt a flexible working culture which is outcome-driven rather than based on hours worked, individuals can better manage their time between work and personal needs. This will, ultimately, benefit businesses as well. The Government has put in place a range of initiatives to promote flexible work arrangements. This includes the WorkPro programme which was launched in April this year. Jointly developed with the National Trades Union Congress and the Singapore National Employers Federation, WorkPro is a one-stop programme to encourage employers to build progressive workplaces, including implementing flexible work arrangements. The Tripartite Committee on Work-Life Strategy also works closely with various agencies, including the Employer Alliance, to promote work-life and flexible work arrangements through development forums, training, tool kits and case studies, etc. We are heartened to see a rising trend of employers offering flexible work arrangements to their employees.”
“Mdm Speaker, Mr Low is making a serious point. I would very much appreciate more information to be conveyed to us, such as informal feedback that has been provided to him. I will just reiterate the position. I would say it is not just Malaysians. There are other people who come into Singapore on social visit passes and we are aware that sometimes, some of them might engage in various types of work, whether legal work or otherwise. The point is that if they do not have a valid work pass, they cannot work in Singapore. Does it exist? Yes, it does. We carry out random checks in various areas and we do pick up people who are working here illegally. It also very much depends on complaints, information and so on from the public, and we would then act accordingly and the relevant actions will take place. With regard to the specific feedback, I do urge Mr Low to provide us with the alleged information about us closing one eye, and we would be quite happy Page: 26 to follow up.”
“Mdm Speaker, in every country, we will always have in our economy certain segments that operate under the radar. If I knew exactly how many there are and where they are, the message is that it is illegal. Foreign workers, in order for them to work in Singapore, they must have a valid Work Pass. Under the Employment of Foreign Manpower Act, for example, offenders could be fined up to $20,000 and subjected to imprisonment of up to two years. We can also take action to bar such illegal workers from entering and working Page: 25 in Singapore for up to two years. We all are familiar with the sector, workers who sort out the plumbing works and so on. We do encourage the public to let us know when we do come across possible illegal workers. But I think it is also important for us to encourage the industry associations to play a role by raising awareness among consumers on the importance of turning to properly accredited and trained tradesmen, those who are here legally. The more we employ those who are here illegally, we also affect the livelihoods of Singaporeans who might be plying the trade in these sectors.”
“Under the Employment Act, the basic rate of pay does not include overtime payments. Any work performed by an employee, at the request of the employer, beyond the hours stipulated in the Employment Act is considered overtime work and is payable at 1.5 times the basic hourly rate of pay. Hence, the Commissioner for Labour has consistently ruled that overtime work is payable at this rate as provided in the law.”
“MOM agrees that there is merit in collecting information to understand the issues that workers face, with a view to take appropriate interventions. In 2011, MOM, in collaboration with a non-government organisation, the Migrant Workers Centre (MWC), commissioned an independent survey company to conduct face-to-face interviews with about 3,000 Work Permit Holders (WPHs) and 500 S Pass holders on their experiences of working in Singapore. This included questions on employment-related issues. The survey found that 90% of respondents were satisfied with their overall experience of working in Singapore and that 80% wished to continue working in Singapore with either their current employer or a new one. Seventy percent of respondents also said that they would recommend Singapore to their friends and family as a place for employment. The findings of this survey are available on the MOM website. More recently in November 2013, MOM conducted an additional survey of over 150 foreign construction workers departing Singapore at the airport. More than 90% did not have any employment issues; and 80% were happy working in Singapore. A few who worked elsewhere found Singapore to be better as it was a safer environment. These results suggest that foreign workers generally feel well taken care of in Singapore. MOM will continue to monitor the situation and conduct periodic surveys and studies, as necessary. Page: 162”
“There is an ongoing review to enhance public access for corporate transactions with the Government agencies, which may allow those without a SingPass, such as Long Term Visit Pass-Plus (LTVP+) holders, Page: 161 to conduct such transactions.”
“The Employment Act covers employees who are engaged under a contract of service5. An employer is obliged to accord statutory benefits prescribed under the Act to an intern if he is performing work and has work arrangements similar to that of a regular employee in the organisation. Page: 160 There are internship programmes where the primary objective is to fulfil academic course requirements, and the intention is not to form an employer-employee relationship. Such forms of internships typically do not constitute contracts of service. The education institutions involved play a key role in determining the nature of the internship arrangement, including ensuring a safe learning environment for their students. They also monitor the students' welfare and learning development, and can provide assistance when interns face issues with their internship. As there is a wide range of internship arrangements with different obligations and learning outcomes, it would not be practical to prescribe a minimum reasonable allowance that is applicable to interns in all forms of internship arrangements. Any arrangement should be mutually agreed upon between the intern and company, in line with the guidelines set forth by the educational institutions where applicable. Beyond monetary compensation, the real value of such internships is to provide opportunities for interns to benefit from industry exposure and gain practical work experience.”
“On average, MOM records 260 cases per year involving workers who suffered a medical condition at their workplace. This includes an average of 25 fatal cardiovascular-related cases in the last three years. At the national level, SCDF's records show that they responded to an average of 74 work-related emergency cases per year3, some of which may Page: 141 have included cardiac arrest cases. Under the Workplace Safety and Health (WSH) Act, employers are required to develop and implement emergency response procedures. In addition, the WSH (First-aid) Regulations require all workplaces to appoint at least one first-aider for workplaces with more than 25 workers. Under the Regulations, first-aiders must also undergo an Occupational First-aid Course, which includes training in CPR and the use of AED. To date, there are more than 5,400 workers trained in the first-aid course. Many employers are already providing AEDs at their workplaces without a need for a law to mandate it. The Singapore Heart Foundation, together with the National Resuscitation Council, has been actively promoting the use of AEDs. Today, there are more than 1,000 AEDs located at various workplaces in Singapore4. MOM will continue to regularly review the measures in place to deal with workplace emergencies.”
“The Workforce Development Agency (WDA) set up CaliberLink in December 2011 as a one-stop centre to provide training advisory and employment assistance for local Professionals, Managers and Executives (PMEs). The variety of services provided by CaliberLink include career coaching for PMEs, workshops to help them improve their job search skills, as well as recruitment and networking events to connect PMEs with hiring employers. Since commencing operations, CaliberLink has assisted more than 5,000 PMEs. Of these, about 2,000 sought dedicated employment assistance in the form of career coaching services. More than one-third (or around 750 PMEs) have found employment through referrals by CaliberLink, or independently after CaliberLink's assistance2. The remaining 3,000 PMEs were helped through various events organised by CaliberLink to complement their job search, such as networking and recruitment events. Although it is relatively new, public awareness of CaliberLink is still growing and these figures are encouraging. However, there is still much room for improvement, and we look forward to continued feedback on where we can do better, as we strive to build up CaliberLink into an even more effective platform to connect our local PMEs to the right training and employment opportunities. Page: 139”
“Foreign workers are part of the landscape. But does it mean that we should not manage that space? I think we should manage that space, but in a sensible manner. So, clearly, in the aftermath of this, we do need to manage shared spaces in order to minimise probability of these incidents happening and to continue the education process so that foreign workers do understand the norms here.”
“Mdm Speaker, this is not definitive and we will await the findings of the COI, but from the surveys that we have conducted with the foreign workers, one of the many reasons that they cite, for wanting to come to Singapore, is that this is a safe place. This is a place where they know they can be looked after and they can rely on the security, the laws, and so on. While that may not necessarily be indicative and a direct response to the Member's question and questions raised by others, it is indicative of how they view the society in which they are working in. With regard to the Member's question about how to balance their needs, I would say that in the aftermath of this incident, we are very mindful that we do not generalise the entire foreign workforce as having the propensity to riot. We Page: 86 know that problem like this can happen. It is actually remarkable that no incident like this has happened previously. It is the first riot of this nature in a very long time. What we need to recognise is that foreign workers, as with any worker in Singapore, do have needs. Their basic needs have to be met. Obviously, they do have needs that are slightly different. They need to remit money back home and one of the areas in which they are preoccupied with is how they contact home. Those facilities have to be provided. The infrastructure, the services: these things need to be provided. That is where recreation centres or even dormitories come in. Are we able to provide some of these infrastructures so that it is convenient for them? As to where they gather, frankly, there is no particular limitation as to where they can gather. I do not believe that we should be moving towards a society where we segregate Singaporeans and foreign workers.”
“Perhaps, the Deputy Prime Minister could explain how the Liquor Licensing Board issues these liquor licences, given that alcohol has been fingered for a long time for the many social disamenities there. The second question relates to the information dissemination by the Police, as well as by the mainstream media. The lack of information actually contributes more to public anxiety and panic. The Deputy Prime Minister mentioned that Police issued an advisory two hours after the accident. By then social media was already abuzz with information on this riot. A lot of inaccurate information was flying about. The Police needs to relook information dissemination. The lack of information contributes to greater public anxiety.”
“We will continue to work with the NGOs. We will continue to put out our positions. How the foreign media choose to carry them depends on them. When there are occasions for us to speak to foreign media who might be keen to find out more, we will do so – as I have, for example, in my Bloomberg interview. I shared my perspective and what is left is for the international community to determine for themselves. Inevitably, there are some negative perspectives. Do they therefore represent the realities on the ground? Unfortunately, amplification does have an impact. I am sure it will impact those who are less familiar with the scene in Singapore. It is important for us to continue to put out our positions, put out clarifications as best as we can. It is more important for Singaporeans to also Page: 79 have a perspective about the situation. I know that sometimes we do feel annoyed or angry when we read of cases of individuals, whether foreign or local, who are taken advantage of by their employers. We will try to deal with them as best as we can, but those cases, when amplified, do not necessarily represent the entire scene. It is important for us to understand that. Assoc Prof Tan Kheng Boon Eugene (Nominated Member): Thank you, Mdm Speaker. I have two questions for the Deputy Prime Minister. The first relates to alcohol. The Prime Minister indicated that there were 374 liquor licences issued for 2013, of which 43 are inactive. But generally, the figures show an upward trend. I would like to ask the Deputy Prime Minister whether 300 over liquor licences in a 1.1 square kilometre area – roughly – would that not be an excessive number of liquor licences?”
“Mdm Speaker, if I may take the second question first. We are exploring the possibilities with companies to juggle the days off. Companies with a larger capacity will have more flexibility. Rather than rostering all their days off on the weekend, they could rotate it and work out some sort of a schedule. This is something that we are open to and will work with the industries to explore how best to do it. What it does is it spreads out the numbers. At the end of it, foreign workers do need to go to places on their days off, whether it is the recreation centres, or Little India, or elsewhere. I think that is something that will continue to happen but there are various measures that we can take; and this is just one small measure that we believe we can work on with the industry. With regard to the first question, well, there will be editorials and there will be newspapers that will quite happily carry these lines. I believe many of them choose to echo the perspectives shared by some Singaporeans. I would believe that the views of some of these individuals may not necessarily reflect the NGOs' views. I fully understand where the NGOs are coming from. If I am an NGO that looks out for foreign workers who are having problems: within my domain space, foreign workers who come to see me will all have problems, would I be frustrated and angry? Yes. But does this therefore mean that every single foreign worker is unhappy and being ill treated? No. I do not believe so. We do watch that carefully because we are concerned. We do want to maintain harmonious industrial relations in Singapore. The statistics from what we can see, the numbers, the cases that we deal with, and our sense of the situation working close with the NGOs, do not indicate that there is a systemic problem.”
“Because the picture painted – and foreign media, some of them happily just echo it – would just give the impression that Singapore treats foreign workers poorly. I believe that there are egregious practices and we will endeavour to stamp it out and take actions accordingly. But I do not believe that that represents the scene here. But we will continue to work with all partners on this matter.”
“We believe that the path that we are charting is the approach that we should take for now, and we will continue to review it. Secondly, we are actively working with all NGO groups that are out there, even those who are critical. There are a lot of things that we do with them on a day-to-day basis that are not mentioned nor acknowledged but it does not matter. Our officers have close working relationships with them. They exchange information. A lot of issues are raised, discussed and resolved. There will be Page: 74 disagreements. I will be surprised if they agree on every single thing, but that is the nature of advocacy. But does it therefore mean that when you amplify one particular story, two particular stories; and claim that it represents the entire landscape? It is not about dismissing editorials like The New York Times. I think it is about asking, "On what basis, do we, therefore, say that there is a chronic problem in Singapore?" There are cases but when you look at the numbers that are surfaced by the NGOs – and this is from the entire domain space of all the various NGOs – the numbers amount to 600-over, 700 cases. That is less than 0.1% of the entire foreign workforce. Do we, therefore, then make statements like, "Oh, foreign workers are being systematically abused and taken advantage of in Singapore"? In MOM, we handle a lot more cases than all the NGOs. Even when we put together all the different types of disputes and disagreements, it is about 7,000 and they are wide-ranging. There are serious ones and also minor ones. That is about 1% of the foreign workforce. In my personal view, it is far-fetched to therefore use this brush to then tar not only employers but Singaporeans as well.”
“Mdm Speaker, Ms Irene Ng raised two main issues. One is with regard to the engagement of NGOs, which I will answer in a while. But first, the issue of numbers. Perhaps, a useful reference point would be to consider: should we, therefore, not build the MRT station at Tampines? These are the realities that we would need to deal with. There are many public infrastructure projects that we need to consider. We build roads, we build hospitals, we build polyclinics, we build schools. Many of these do depend on foreign workers and that is something that we all accept and understand. There are real needs that are coming up and we do need to address them. Does having a foreign construction workforce of 300,000 mean that inevitably, there will be problems – like these? I do not believe that. When you have congregations of large groups, incidents will happen. Incidents are happening every week in Little India and elsewhere. There are skirmishes, there are fights, people get drunk, not just amongst the foreign workforce but even among Singaporeans. Do you, therefore, amplify these issues and say that they represent a chronic problem and, therefore, you need to take massive measures against it? I would say that it is again a delicate balancing act. We do recognise that the foreign workforce will remain a significant part of our economy. But we also recognise, as I mentioned, that we do calibrate their growth – which is a step that we are taking. But if you go too far, you will have a serious impact on our companies and businesses and that in turn impacts the employment of Singaporeans. If you go too far, you also will have a serious impact on infrastructure programme that we have, to provide for the needs of Singaporeans.”
“Mdm Speaker, with regard to Mr Alex Yam's question about how we could better reach out to foreign workers, I will repeat what I shared in my reply. We work closely with our NGO partners and certainly we work very closely with the Embassies and High Commissions to reach out to the foreign workers. The main purpose is really to educate them about our social norms and laws. There are various avenues through which we do so. There are compulsory safety training courses that we conduct. Those are useful platforms to reach out to them. Guidebooks are also available so that we can communicate with them in their native languages. And also, when they collect their work passes – that is another contact point through which we can make sure that information is conveyed. I thought it would be also useful to just give a very quick sense about the whole-of-Government education and outreach effort. Certainly, the outreach effort is not just by MOM alone. There is also NEA, SPF and we do need to make sure that the messages go out to foreign workers in a coordinated manner. We have collaborated to put out education notices on various channels which I have mentioned. We augment this with about 20 to 30 dormitory road shows a year, reaching about 150,000 foreign workers. We publish a foreign worker newsletter three times a year, with 160,000 copies per issue. We also set up and update notice boards across 30 dormitories. There is a wide range of things that we are doing and we will continue to be open to ideas. Working with NGOs partners makes a lot of difference. Working with dormitory operators also makes a lot of difference in terms of reaching out. So, that is something we will continue to work on.”
“Since 2010, the Government has introduced policies to restructure our economy to be more productivity-driven and manpower-lean, including tightening of foreign workforce controls. We recognise that the Singapore arts scene is still relatively young and that artistic maturity and excellence require time to nurture. We are also aware that pay scales may not be comparable to those in other industries despite the nature of the work and that freelancing is not uncommon. This is also true to varying extents in other industries. However, fixed monthly salary is one of the key criteria used to determine a foreigner's eligibility for a work pass, taken as a proxy of a foreigner's quality and economic contribution to Singapore. This is a basic requirement for EP/S Pass application and is applied consistently across the board. To allow variable payments to be counted in monthly salary for Work Pass eligibility would undermine this intent, as some foreign employees may end up not earning that monthly salary, for example, due to poor sales in the case of commissions. They would then not have fulfilled the minimum salary criteria to be eligible for their Work Pass and its accompanying privileges. Nevertheless, we do consider some flexibility for specific arts professionals on a case-by-case basis, when there is support given by the National Arts Council. Page: 125”
“Mdm Speaker, I would be quite happy to provide the specific responses to Mr Tay's questions. [(proc text) Question put, and agreed to. (proc text)] [(proc text) Bill accordingly read a Second time and committed to a Committee of the whole House. (proc text)] [(proc text) The House immediately resolved itself into a Committee on the Bill. – [Mr Tan Chuan-Jin]. (proc text)] [(proc text) Bill considered in Committee; reported without amendment; read a Third time and passed. (proc text)] Page: 107”
“Mdm Speaker, adoptive fathers can apply for Government's paid paternity leave, childcare leave and unpaid infant care leave as long as they meet the respective eligibility criteria. 6.12 pm”
“We have increased the threshold to $2,500. Every worker up to $2,500 will be entitled to OT. We took a while to negotiate between the unions and the employers. We decided that $2,250 would be that cap. Meaning that anyone who earns up to $2,500 would be entitled to OT but the calculation would be based on the $2,250. This was basically a negotiated outcome that we feel met the desire to provide coverage for a lot more workers but, at the same time, managing the costs for companies. This is not static. Over Page: 106 time, we will see how that evolves. 6.11 pm”