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.”
The complete record
Every one of 1,137 lines we hold for Tan Chuan-Jin, in date order, each linked to its source. Free to read, in full, without an account. Page 22 of 23.
“MOM does not keep a record of all economically inactive Singaporeans. However, we are able to estimate the numbers and profile of the economically inactive from the Labour Force Survey conducted on a sample of households in Singapore. In June 2012, there were around 418,000 residents aged 25 to 64 who were economically inactive. Out of these, four in five, or about 336,000, were women. The same survey also showed that 90,000 of all economically inactive residents aged 25 to 64 intended to look for a job within the next two years. These economically inactive individuals represent a valuable pool of labour and talent that companies can tap on to address their manpower shortages. However, many economically inactive individuals have other responsibilities, and many often cite family and care-giving duties as reasons keeping them out of the workforce. For those who are able or wish to return to work, my Ministry has put in place a comprehensive set of measures to help remove and minimise the barriers that they face. For instance, many economically inactive individuals would return to the workforce if there are part-time or flexible work arrangements. This will help them to better balance their family and work commitments. In this area, the Government provides generous funding support to help employers redesign jobs, put in place flexible working arrangements and hire the economically inactive. The Work-Life Works! (WoW!) Fund supports holistic implementation of flexible work arrangements, while the Flexi-Works! scheme helps employers defray some of the costs incurred when hiring economically inactive individuals, such as job redesign, consultancy, recruitment, training, absentee payroll and equipment costs.”
“I would like to thank the Member for the three supplementary questions. With regard to the first question, it is slightly related to my response to the question raised by Member Zainal Sapari earlier. This is with regard to whether the requirements could be worked into the NWC guidelines. At present, we do not believe that is necessary. Right now, what we have found is that, by and large, most companies do respond to the NWC recommendations. The main issue at hand really is whether we are able to uplift the wages of the workers at the lower income brackets. There are a number of programmes we are putting in place. So, let us work those programmes and measures and let us see how the situation unfolds. We will explore what are better ways to improve the situation should it not progress as we desire. Secondly, with regard to the number of companies, I do not have the specific data with me. However, we do expect companies to adhere to the requirements stated. We will stipulate some of these standards and, in violation of some of these standards, action will be taken. But I do not have the specific numbers. Lastly, with regard to the suggestion on some of the terms that companies have worked into contracts in Germany, we will be quite happy to take a look at some of the socially responsible terms and conditions being applied in countries like Germany and elsewhere. We could explore as to whether, from a responsible best-sourcing initiative point of view, we could work this into future contracts. So, that is something that we are open to exploring. Page: 1341”
“From 1 April 2013, it will be mandatory for all Government agencies to award new public contracts for cleaning and security services only to cleaning companies accredited under the National Environment Agency's Enhanced Clean Mark Accreditation Scheme and security companies with an "A" or "B" grade by the Police Licensing and Regulatory Department. Such companies are expected to be able to deliver higher service standards, and have better trained workers who can progressively earn higher wages. Accredited cleaning companies, in particular, will also have to show that they have in place a progressive wage structure for its cleaners such that they receive appropriate wages commensurate with the higher training standards and productivity required. In addition, to ensure better employment standards, accredited cleaning companies must not default on any Labour Court orders in the preceding 12 months. These requirements for public sector contracts ensure contractors are subjected to strict standards and accord better employment conditions to their workers. Page: 1341”
“International Labour Organization (ILO) Convention No 94, otherwise known as the Labour Clauses (Public Contracts) Convention, stipulates that labour clauses should be included in all government procurement contracts that involve the expenditure of public funds and employment of workers. These labour clauses should require contractors to provide wages and other employment conditions that are not less favourable than those established by law or collective bargaining for similar work. Singapore upholds the principle of ILO Convention No 94. In the absence of industry-level collective agreements in our national context, this requires that contractors and vendors of the Government should not provide their workers with poorer standards relative to our laws. This extends to all companies in Singapore, and includes compliance with the basic standards in labour laws, such as the Employment Act and Central Provident Fund Act. The Government enforces compliance by conducting regular random audits on companies. The Government further affirms its commitment to the principle of the Convention through our best-sourcing initiative, which encourages service buyers in all sectors, and not just for public contracts, to outsource responsibly and adopt best practices. Good practices include having service buyers incorporate in their contracts a requirement for providers to comply with employment laws, and provide written employment contracts and training for their workers. This helps to raise the productivity and professionalism of workers, translating to higher wages and better employment terms. The Government will continue to take the lead to shape responsible buyer behaviour.”
“Sir, I would like to thank the Member for the supplementary question. We will take onboard the suggestion. What I would say is that we would leave it very much to the market to look at this. We are quite aware and we have been in discussion with the unions and with the employers on the issues affecting low-wage workers. There is a range of measures that we have put in place. Certainly, we know that Workfare remains something that is important. And we will be reviewing that quite extensively for next year. At the moment, we are also working closely on the cleaning and security sectors, accreditation being a big part of it. Those are the means and, through a combination of the various measures, we believe we can uplift the wages. As to whether it is borne by service providers and so on, that is something, for the moment, we will leave it to the market to decide. But the key thing is whether we are able to move and uplift the wages for the lower income levels. The programme we have put in place is something that is aimed towards achieving that, and we are reasonably confident that that will happen. We will take onboard the consideration for future use. But, for now, let us work the existing processes and see how that unfolds. Page: 1325”
“Sir, I would like to thank the Member for the supplementary question. We would monitor the situation. NWC is not a static institution. The measures put in place are aimed at uplifting the wages of the various levels. So, the recommendations that NWC had put forward this year had been a slight deviation in that it is specifying wage increases, not just in quantitative terms but specific dollar terms. Whether this becomes a norm would depend on how we see the situation unfolding over the coming years. If there continues to be a need for that, I am sure the NWC would consider in future whether to specify a quantum. As with all things, we will look at the situation to see how incomes progress at the different levels.”
“These indices do not accurately measure how we fare, and they should be interpreted carefully with these limitations in mind. We recognise that it is important for the public to have assurance that the CPF can provide adequately for their retirement. MOM recently commissioned an independent study by NUS academics to compute the level of retirement income that the CPF can provide for young Singaporeans entering the workforce today. The study finds that such new entrants will be able to save enough in their CPF to provide a reasonable level of income in retirement, as long as they work consistently. The median male earner will be able to replace about 70% of his pre-retirement earnings through his CPF savings, whereas a female median earner is able to replace almost 65% of her pre-retirement earnings. In other words, using a methodology that factors in the uniqueness of our CPF system, the study found that income replacement rates in Singapore are comparable to those seen in the pension systems in many developed countries, and within the recommended range by the World Bank. The study has just been released. The Member also asked about the current generation of older Singaporeans. This issue was given some focus in MOM's Committee of Supply debate in March this year. Older Singaporeans generally have lower CPF balances due to lower incomes and greater leeway to use CPF for housing in the past. But the CPF has helped them own their homes, and they have benefited from the healthy appreciation of their homes over the decades. Such older Singaporeans have the option to tap on their housing asset to supplement their retirement income if they wish to, and we will provide avenues, such as the Silver Housing Bonus and the enhanced Lease Buyback Scheme, to help them do so.”
“Comparing pension systems across countries is not straightforward as pension systems are designed to fit the social context of each country and can be highly varied. Many international indices on social security are designed with European models in mind, and these are quite different from Singapore's CPF system. In other countries, social security contributions do not have components equivalent to the Special Account, Ordinary Account and Medisave Account, as we have in Singapore. Hence many international measures, including the Melbourne Mercer Global Pension Index, disregard how CPF Ordinary Account balances contribute to retirement adequacy in Singapore. Page: 1305 International indices generally place much emphasis on a universal basic pension as a means to achieve financial security in old age. In Singapore, our approach is different, with greater focus on self-reliance and less on universal entitlements. We help Singaporeans own a home, so that they do not need to worry about where they will live when they retire, and these homes also serve as valuable assets which can be monetised if necessary. We boost CPF balances of those with lower incomes through Workfare and CPF top-ups. For those who need more help, we have ComCare and Medifund. Again, international indices on retirement adequacy are not comprehensive enough to factor in how home ownership is an important pillar of retirement adequacy in Singapore. Mercer has acknowledged that the CPF is designed to address a broader range of needs, such as home ownership and medical costs, than their index seeks to measure. International indices do not account for the uniqueness of how we achieve retirement adequacy in Singapore.”
“The directors, managers, secretaries or officers of the companies may also be prosecuted for CPF offences. From January to September this year, more than 5,200 employers had their offences compounded and paid about $1.7 million in fines. Close to 100 employers with more serious infringements were convicted in court, and fined more than $200,000 in total. All employers who fail to make CPF contributions are required to make good the CPF contributions owed, with interest. MOM and CPF Board recently launched the WorkRight programme to step up compliance with the CPF Act, as well as the Employment Act. There are two prongs – education and enforcement. Through education, we aim to raise awareness among employers and employees of their obligations and rights under the CPF and Employment Acts. Some of you would have come across the WorkRight advertisements in the papers, on TV, or over the radio. Stepping up of enforcement activity will begin this month. Inspections will increase ten-fold, from 500 to 5,000 each year. Most employers are responsible. But for the minority who are not, they would do well to take heed and get their house in order. Page: 1301 Everyone can play their part. If you come across employees not receiving their CPF or are being denied their employment rights, please contact the WorkRight hotline or email. All information provided is confidential. Page: 1301”
“From January to September this year, about 2,700 employers, or about 2% of all active employers, had not paid or underpaid their employees' CPF. Around 6,600 employees were affected. In addition, an average of about 3,000 employers each month pay CPF contributions late. Page: 1300 About 80% of these errant employers were small companies hiring 10 or fewer employees, in line with the proportion of small companies in our economy. The incidence of non-compliance was higher in the cleaning, food & beverage (F&B), retail and security industries. Workers affected tend to be in the lower income group. Some employers do not comply with the CPF Act because they are ignorant or have a wrong understanding of CPF Act obligations. For instance, some employers have the misconception that CPF is not payable for part-time and casual employees. But there are other employers who wilfully flout the law to reduce business costs. No matter what the reason is, we treat non-compliance with the CPF Act seriously. Singaporeans save for their retirement through the CPF. The CPF also helps them pay for housing and healthcare expenses. In addition, the CPF is a key conduit through which the Government channels financial assistance to the more economically vulnerable Singaporeans. If a low-income worker is outside the CPF net, he will lose out on receiving Workfare Income Supplement, and occasional top-ups that the Government contributes to his CPF account. We, therefore, enforce the CPF Act rigorously. There are heavy penalties – failure to pay CPF in accordance with the law attracts a fine of up to $2,500 per charge for the first conviction and up to $10,000 per charge for repeat offenders; this means up to $10,000 per worker per month.”
“We have launched a series of employability interventions through the Singapore Workforce Development Agency which fresh graduates can tap on, including CaliberLink, a one-stop service point that integrates training assistance and career services for PMEs. The impact of a globalised economy is being felt in many countries. Unemployment and youth unemployment are very high in a number of other developed countries. Our unemployment rate for Singapore Citizens remains low at 3.0% in September 20121, while over nine in 10 graduates from our Polytechnics and Universities last year found a job within six months from graduation. Those who have joined the workforce have enjoyed rising incomes; we have seen real median gross monthly incomes of full-time employed citizens rise by 2.5% per annum from 2006 to 2011. These are positive outcomes and suggest that our general approach is sound. We do recognise that competition for jobs will occur and that it is important to keep the playing field level while we create these good opportunities for our people. Page: 1299”
“Businesses are here in Singapore because there are advantages, relative to being elsewhere. Many are competing regionally and beyond. Costs and capabilities are never local because the playing field goes beyond the domestic economy. Businesses are looking at building capable and diverse teams, and are tapping the whole range of skill sets and global networks to complement our local workforce. These efforts ensure that the businesses grow in Singapore and remain globally competitive. There will be competition for jobs but, ultimately, our main objective is that good jobs are created for Singaporeans. In reality, when companies move elsewhere, the jobs will also move and it would ultimately impact on our people and the opportunities available for them. It is a fair and valid concern as to how this balance is struck. We will continue to monitor the employment situation closely and make further refinements to our policies where necessary. At the same time, we must help ensure that our local diploma and degree holders have the necessary skills for these jobs, not just upon graduation but throughout their working life. Therefore, we focus a lot of attention to build up a strong higher education system and Continuing Education and Training (CET) system. These are guided by Advisory Councils comprising different stakeholders, such as industry representatives and sector champion agencies, so that the curriculum imparts industry-relevant knowledge and skills. To help fresh graduates make informed choices and maximise their employment opportunities, MOM also disseminates labour market information regularly.”
“Singaporeans aspire to secure good jobs and wages, and they have many different aspirations. Being a dynamic and attractive business location for local and foreign companies plays a critical role in helping to meet our people’s needs. We want to keep the labour market tight even as we create good jobs and we want to ensure that our Singaporeans are equipped with competitive skills to take up these diverse job opportunities. In fact, it is more than creating jobs. We want to provide resilience in employment and growing a diversified economy at a sustainable rate of growth provides this. We will bring in good, higher value-add industries while developing our local companies continuously. We have a small local workforce. New industries and growing companies will inevitably need to be supplemented with a foreign labour force at various levels. This would also mean competition for our young graduates. We will ensure that young foreign entrants compete on a level playing field as local fresh graduates. As such, we have adjusted the Employment Pass (EP) and S Pass qualifying salaries to take into account local wage progression. For instance, in January 2012, we raised the qualifying salary for young foreign graduates from $2,800 to $3,000 to keep pace with the increase in the median starting salary of local university graduates, which was $2,900 in 2010. We have also raised the EP qualifying salaries for the older and more experienced foreigners so that they do not compete unfairly with our locals, both fresh graduates and those with work experience. We have also tightened up the qualifications criterion. These steps help ensure that the quality of EP holders is progressively raised over time. Page: 1298 Let us be clear.”
“Based on reports by TODAY and Lianhe Zaobao on 10 November 2012, the two Integrated Resorts (IRs) directly employ more than 22,000 staff, of which about 70% are locals. MBS hires over 9,400 full-time employees, of which 60% are Singaporeans. RWS employs over 13,000 staff, and around 75% are Singaporeans. Singaporeans also take up 80% of total PME positions in RWS. Like all companies, the IRs are subject to the national foreign manpower employment policies and regulations. Though the Government does not separately set company-level targets for local employment, Government agencies, including MOM, MTI, WDA and STB, will continue to monitor and provide strong support in the recruitment and training of Singaporeans for jobs within IRs.”
“In June 20118, around 110,000 full-time employed residents in Singapore (or around 6% of the full-time employed resident workforce) earned less than $1,000 in monthly gross income. Of these full-time employed residents, almost 10,000 were Singapore Permanent Residents and the rest Singapore Citizens. The Ministry is unable to provide the corresponding information for work pass holders as the data is not collected in our annual Labour Force Surveys. The Ministry also does not collect information on hourly wages in Singapore and is unable to provide the number of part-time employees who earn less than $5.25 per hour. Page: 1169”
“Training and upgrading is a must for everyone to keep up with the rapid economic changes in order to remain employable and relevant, or move to better jobs. In particular, individuals who have been out of the workforce for some time may not be job-ready. There is generous funding available for individuals to upgrade themselves so that they can acquire the requisite skills to find a job more easily. Those who need assistance to overcome their work and training barriers can also sign up for programmes run by the Singapore Workforce Development Agency (WDA), such as the Workfare Skill Up Programme. We will continue to work closely with our tripartite partners to help companies put in place measures that reduce barriers to re-entering the workforce and expand employment opportunities for all Singaporeans. Page: 1168”
“My Ministry aims to ensure that all Singaporeans who wish to work have opportunities to do so. We do not set targets, but instead strive to reduce the barriers that individuals may face when they want to enter the workforce. This includes facilitating the entry of economically inactive persons, such as women and mothers who have dropped out of the workforce for various reasons such as family responsibilities. As at June 2011, there were about 95,000 economically inactive resident females who intended to look for a job within the next two years. Helping economically inactive Singaporeans re-enter the workforce not only enables companies to address their manpower challenges, but also helps individuals and families achieve better income security. Thus, it is important that our efforts reach out to as many people as possible. Page: 1168 Economically inactive individuals often cite family responsibilities as a key reason for staying out of the workforce. We encourage companies to implement good workplace practices, to help this group of individuals to balance family and work commitments. For instance, the Work-Life Works! (WoW!) Fund supports employers in implementing flexible work arrangements, while the Flexi-Works! scheme provides incentives for companies to recruit economically inactive individuals. Through these schemes, we aim to build up an ecosystem of supportive employers, as well as employers' capabilities in managing the work-life needs of their workers. To encourage older low-wage workers to find work and stay in work, as well as to help them save for their longer-term needs, the Government supplements their income through the Workfare Income Supplement (WIS) scheme and encourages them to continuously up-skill through the Workfare Training Support (WTS) scheme.”
“The non-resident population stood at 1.46 million as at December 2011. Foreign students made up about 6% of this; while dependents of Singapore Citizens, Permanent Residents and work pass holders made up about 15%. Excluding foreign domestic workers, work pass holders made up about two-thirds (66%) of our non-resident population. Based on their declared place of residence, about 21% reside in HDB flats and 15% in private housing. The remainder live in dormitories, hostel-equivalents and other housing types. Page: 1167”
“The Government takes a serious view of foreign workers who are not housed in acceptable accommodation. Under the revised Employment of Foreign Manpower Act (EFMA), employers may be fined up to $10,000; and/or jailed up to 12 months per offence. Errant employers are also barred from hiring foreign workers for a period of time. MOM, together with Government agencies such as NEA, SCDF and URA, frequently conducts inspections on premises suspected to be used as unacceptable foreign worker housing. In July 2012, MOM coordinated a major multi-agency enforcement operation on several factory premises in the MacPherson area, including Pereira Road. More than 250 foreign workers were checked during the operation, out of which 152 were found to be residing in unacceptable accommodation. All these workers have been relocated to alternative approved accommodation like purpose-built and factory-converted dormitories. Appropriate actions are also being taken against these errant employers. Page: 1167 The Government will continue to press on with our enforcement efforts to ensure that employers shoulder their responsibility to house foreign workers in acceptable housing. Page: 1167”
“The total foreign worker levies collected were S$2.5 billion for the Financial Year 2011 and S$1.9 billion for the Financial Year 2010. Similar to other sources of Government revenue, the foreign worker levies are not ringfenced for any specific purposes. All Government revenue collected would go into the Consolidated Fund used to fund Government expenditures in general. This includes the Workfare Income Supplement (WIS) scheme which the Government introduced in 2007 to supplement the income and CPF savings of older low-wage workers while encouraging work. For work done in 2010 and 2011, about S$400 million has been given out in WIS for each work year. Page: 1166”
“Any further S Pass measures will have to strike a delicate balance between achieving this and granting companies needed access to manpower. At the same time, we must keep a level playing field for local workers. We will continue to give employers time to adjust to any changes, and support them as they restructure. Page: 1141”
“(2) 3,800 were existing EP holders who had to "downgrade" to an S Pass, as they did not meet the stricter EP criteria upon renewal. We expect this work pass "downgrading" to continue, as all EP renewals after 1 July 2012 will be subject to the tighter EP framework. I explained during the Committee of Supply Debate this year that this shifting of lower-end EP holders to S Pass is an intended outcome of our tighter EP framework. Their employers are now subject to the S Pass foreign worker levy and the Dependency Ratio Ceiling (DRC), which incentivises them to raise productivity, reduce their reliance on foreign manpower, and recruit and retain Singaporean talent. It is also not a one-for-one shifting of EP holders to S Pass. Even if we added back the 7,800 "downgraders", it would result in a net growth of 7,100 EPs in first half of 2012 – less than half of the EP growth in the first half of 2011. At the same time, the underlying demand for S Passes remains robust. After excluding those affected by the tighter EP framework, underlying S Pass growth would have been 6,400 in the first half of 2012, broadly comparable to the S Pass growth of 6,800 in the first half of 2011. In particular, S Pass growth in the construction sector has been strong due to various ongoing building and public infrastructure projects. We are continuing to monitor the numbers closely as not all our S Pass tightening measures have taken effect. The S Pass DRCs were only reduced from July 2012, and employers are allowed to keep existing workers till July 2014. The S Pass levy is also scheduled to increase till July 2013. Our objective remains fixed on restructuring towards a higher productivity-led economy that is further up the value chain and less dependent on low-cost foreign labour.”
“Our foreign manpower framework aims to allow companies to access skills and manpower not available in the local workforce, so that companies can take root, grow and, ultimately, generate better jobs and rising wages for Singaporeans. Adjustments are made depending on our economic objectives. The Economic Strategies Committee in 2010 recommended that we moderate our reliance on foreign manpower and raise productivity for sustainable and inclusive growth. In fact, it was clear that we had to move this way, and we had been taking a series of deliberate and calibrated steps since 2009 to slow down the pace of our foreign manpower inflow. The objective has been clear and consistent. Via the levers available, we have raised levies and tightened both qualifying criteria and Dependency Ratio Ceilings (DRCs) over the past two years. We will be measured. We adjust, provide lead time, observe its impact and decide on further adjustments. This is being prudent amidst a volatile and uncertain world economy. Page: 1140 These measures have had an impact. A more stringent quality threshold since January 2012 has been an effective lever to moderate growth at the Employment Pass (EP) level. The number of EPs fell in the first half of 2012. While the S Pass stock grew by 14,200 in the first half of 2012, 7,800 (55%) of these additional S Pass holders could have qualified for Employment Passes (EP) under the old EP framework prior to 1 January 2012. This shows the impact of our EP tightening. Amongst this group of 7,800 "downgraders". (1) 4,000 were new applicants who could have qualified for an EP under the pre-January 2012 framework, but were issued S Passes instead.”
“I would like to thank the Member for her question. I would like to assure her that we are looking at the whole issue of contract workers in the various industries, as we have discussed before with the Nominated Member. There are certain segments that need closer attention. As we all know, contract work spans across a wide spectrum of sectors, and there are very different natures in terms of the contract workers and the different terms and conditions. So, this is something that we will be taking up, and we are actually in the process of looking at it. We are splitting the Employment Act review into two parts. This issue will come in the second part and we will consult and work closely with the different stakeholders on it. Page: 1045”
“In response to the Member's supplementary question, we do not have a specific plan as of now, in terms of increasing the penalties for those who violate the terms. What we do want to make sure is to continue to police these terms and conditions in a serious fashion and to make sure that our workers are not being exploited in the process. Page: 1045”
“I thank the Member for the supplementary question. I do not have the specific numbers, in terms of those who were taken to tasks, how many of them were part of the exemption list. But be that as it may, we take the exemptions quite seriously, so we will review that quite extensively on a yearly basis for those who have applied for an exemption. They need to fulfill those requirements explained earlier. However, if any companies are found to be in violation of any of these requirements and the standards expected of the companies, they will be taken to task. Those parameters need to be met. In terms of looking at specifically the overtime requirements and so on, as part of the review of the Employment Act, as the Member is aware, we are in the process of working with the unions and employers on this front. This will be an issue that we will have to discuss with the various partners involved. What is quite clear is that we do need to set in place the appropriate parameters which we do have right now. Specifically with some industries for which we know there is a slightly more chronic issue of overtime hours, such as the security industry, we will work with different partners to see how to adjust this from a structural perspective.”
“The Work Holiday Programme seeks to enable young foreign students to experience living and working in Singapore. It is restricted to students and recent graduates from selected overseas universities and limited to a validity of six months. The scheme has a capacity for 2,000 applicants at any one point in time. The number of Work Holiday Passes issued from 2008 to 2011 is provided in the table below.”
“The Dependants' Protection Scheme (DPS) is a term insurance scheme that mitigates the impact of a loss of income to a family, in the event of an insured member's permanent incapacity or death. It provides dependants with a sum of money to tide over the initial difficult period. The need for DPS is expected to decline as a breadwinner approaches his retirement age. His children are likely to be already working or are less financially dependent. In the event of any untimely death, he would also have built up his own savings, including CPF savings, which could support his remaining dependants. DPS premiums are kept low and affordable to help CPF members stay covered on the scheme. Extending DPS beyond age 60 would mean substantially higher premiums due to higher mortality rates. The additional premiums required to purchase a further DPS cover would be better reserved for the member's retirement instead. Setting the DPS age limit at 60 strikes a balance between the need for insurance protection for a member's dependants and his need for adequate retirement savings. Nonetheless, for those who wish to continue to have DPS coverage after age 60, we are prepared to review our current practice and extend the coverage upon request, though members must understand that this is expected to come with much higher premiums. We will study this with CPF Board and make available the details when the review is completed. While this is being reviewed, those who wish to purchase life insurance beyond age 60 can do so from private insurers. Page: 1017”
“One, Workfare continues to be important pillar of our efforts. Workfare includes both Workfare Income Supplement (WIS) as well as the Workfare Training Support (WTS). How do we continue to provide accessible, good training so that we can uplift the individual worker? With this, a person does not remain in this segment. He may start off with low wages, but at different stages of his life, he is able to upgrade himself through training with subsidies so that he can upgrade and get on to better wages. We are going to review Workfare next year. These are important features that we will look at to see how we can continue to strengthen what we believe is a good system and to see how we can continue to help this segment. In any specific terms, with the two industries that we talk about – cleaning and security – we will continue to work closely with the employers and the unions to see how we can uplift wages in the sectors. We are fairly confident we can put in place mechanisms to do that. Whether we go on a basis of providing recommended wages at every sector – that is not something we are looking at for the moment. We are looking at this particular segment of low-wage earning Singaporeans, looking at the sectors concerned, and then targeting the sectors, and let us see how we can uplift them. We are fairly confident that, in terms of effort put in, we will see movement in the sector. Page: 962”
“I would like to thank Mr Christopher de Souza for his concerns and I do share his concerns with the lower wage end of our workforce. Perhaps, let me take the second question first. The Member is right. The Government, in terms of the contracts that we hand out, or the best sourcing approach that we take, it is important for us to pay attention to the details. We should try to lead by example, certainly in terms of how we look after some segments in the workforce. As the Member is aware, we are working on the cleaning sector as well as the security sector. These are two sectors which do employ quite a number of low-wage Singaporeans and we do look at how to work in a range of processes by accreditation. Announcements will be made shortly once they are ready. For accreditation, different requirements will be woven in. The key idea is to make sure that wages can move up for this segment of our population. Page: 962 Indeed, as our economy grows, we need to remain nimble, we need to remain competitive. What we have seen quite clearly is that in the course of the last decade, certainly in the last five to six years, particularly at the lower end, with lower wage workers, we have seen real income growth as a result of economic growth. What it meant is that not only jobs were available and employment was good, we have seen wages moving up in that sector. Not tremendous, but I think considering that we went through a major financial crisis, it is not too bad. We need to make sure that we can keep this on a sustainable basis. Education is a long-term investment that will kick in with time, but importantly right now is how do we deal the present stock of Singaporeans who may be operating at that level. It is a combination of various measures.”
“Mr Speaker, Sir, I would like to thank the Member for raising the question. This is quite a specific question with details. I would like to request the Member to file a follow-on question. I would be quite happy to provide detailed answers.”
“Mr Speaker, Sir, I would like to thank Mr Patrick Tay for his suggestions. We will continue to explore different ways to help Singaporeans to make things better. I think keeping Singaporeans employed and well-employed remains our responsibility. We will be quite open to listen to the specific suggestions that the Member may have. With regard specifically to the national PME capability fund, I would be interested to hear from him what ideas he has in that area. In terms of the task force, as mentioned earlier, we are looking at this particular sector. There is a range of assistance schemes available, whether in terms of setting up a task force or enhancing the steps that we have put in place, we are open to exploring the various possibilities. So I will be quite happy to discuss with the Member on further ideas on this front. Page: 960”
“Page: 959 For STEP scholarships for Singaporean PMEs, up to 90% of course fees are subsidised, up to a limit. There is also really no age limit, which means that all these are available to older PMEs. MOE has also funded part-time undergraduate degrees – 55% fee subsidies for Singapore citizens pursuing their first degree. After subsidy, average fees are about $16,000 per programme and they can also apply for tuition fee loan which covers up to 90% of subsidised fees. There is also a student loan which covers up to 10% of unsubsidised fees. Taken together, it is almost close to 100% provision. MOE bursaries are provided for needy students, although this usually would apply to younger Singapore citizens. Older Singaporeans applying for this – usually we do not find that there is a big need for this. Even though instalment plans are available on a case-by-case basis for older PMEs, this is usually not required. As mentioned earlier, mature PMEs, in fact, PMEs of all ages, can tap on CaliberLink which continues to strengthen as we build up our networks. We are also engaging private employment agencies to see how we can work better with them to support our older PMEs. The existing programmes that we talk about, in terms of training, and so on, continue to remain applicable to older PMEs.”
“By and large, as with the unemployment rates in Singapore as a whole, we actually do have very low unemployment rates for PMEs. However, we also do recognise that there are challenges. At the older ages, once they lose their jobs and are made redundant, they do tend to have a longer job search period before re-entering employment. There are really a number of reasons. In fact, recently, when I visited one of the set-ups by CaliberLink and spoke to a number of the senior PMEs there who were looking for jobs, they were previously also in positions that hire employees. When I spoke to them, they also acknowledged that when they hired, they sometimes tended to favour the younger employees. There are a number of reasons. One, when you are slightly older, more mature, more experienced, you are also better skilled, more specific in your skills set. So, there might be sometimes a matching issue with some of the jobs available. At the same time, I think wage expectations could also be higher, so there might be a mismatch in expectations. There is a range of reasons as to why that takes place. I do not think it is an issue of whether it is right or wrong, but that is the way it goes. What we do realise is that as the labour market tightens, what it means is that we do need companies to increasingly recognise that they can tap on the older workforce because they represent a pool of experienced, mature workers. Arguably, some would say that they are more stable, in terms of hanging on to the jobs and staying on with the companies. There are many different ways that we help older PMEs upgrade their skills. Earlier, I talked about STEP programme, and so on. Perhaps, just to elaborate a bit further.”
“I would like to thank the Member for her supplementary questions. The first point on whether we are overly paper-oriented, we should note that a person really does not necessarily need to be an university graduate to be successful. Those who are, even in Singapore today, technically inclined can pursue many skills-based upgrading pathways to hold on to skilled and respectable jobs, be it in the PME job sector or other skilled areas, such as associate professionals, technicians, craftsmen, tradesmen, and so on; they continue to remain important in our economy in Singapore today. Page: 958 Paper qualifications act as a signalling device. Some employers may continue to use academic qualifications, but it is really a signal of one's capabilities. Most of us would agree that there are many different indicators, for example, of the skills sets. There are other forms of certification beyond just a graduate degree qualification, such as the WSQ, your past experience, your past employers' testimonials and, ultimately, the performance in the job. This remains important, we recognise that. It would seem that many people place a lot of emphasis on paper qualifications. But I think it goes beyond that. What it means also is that, increasingly, as we realise that more and more Singaporeans are getting better educated and better skilled, employers also do have a wider pool to choose from, and they would look at the different criteria upon which they would select their potential employees. The concern with regard to our older PMEs, let me perhaps just quickly talk about definitions. If we look at mature PMEs, essentially those aged 40 and above, we have about 330,000 of them. For older PMEs, we have about nearly 80,000. These would be about aged 55 and above.”
“The ECG portal aims to help these students find out more about suitable programmes across the post-secondary educational institutions (PSEIs) and provide information on related careers and salaries. Career services are also available at our Polytechnics and Universities, to provide career guidance to their students. Beyond the campus, career facilitation and assistance are available at the Community Development Councils (CDCs), Employment and Employability Institute (e2i) and Caliberlink, with career consultants on-site. MOM also disseminates labour market information regularly to help fresh graduates make informed choices and maximise their employment opportunities.”
“Under-employment is commonly defined in two ways. Firstly, time-related under-employment, an internationally accepted statistical concept, examines the extent to which a person is insufficiently engaged in employment based on hours of work. Specifically, it refers to persons working part-time but are willing and able to engage in additional work. Secondly, non time-related under-employment refers to employment which does not make full use of, or pay according to skills that workers could offer. This is more difficult to measure due to the subjectivity involved. Page: 937 Time-related under-employment is generally low among young graduates from Polytechnics and Universities. Excluding students in employment13 and full-time National Servicemen, 1.5% of residents aged 20-29 from Polytechnics and Universities experienced time-related under-employment in 2011 (table below). This was lower than the time-related under-employment rate of 4.6% for all employed residents. There is no internationally established statistical definition and method for measuring non time-related under-employment and most countries do not have official statistics on this. Nevertheless, we are looking into how we can appropriately measure this. Page: 938 Beyond keeping unemployment low, it is also important to help our graduates utilise their time and capabilities fully in the labour market. Secondary and Junior College students can approach their schools' career advisors for career guidance and assistance, and use the Education and Career Guidance (ECG) portal provided by the Ministry of Education to make informed education and career decisions.”
“Only then can they help themselves and their co-workers during such encounters. The second is to implement a proper incident reporting system for such encounters. Workers must have a proper channel to escalate such incidents so that the relevant authority is aware and appropriate actions can be taken. I encourage companies to consider implementing these measures. Page: 910 In addition, should workers encounter sexual harassment in the workplace and if an appropriate complaint channel within the company is not available, they can contact the Tripartite Alliance Fair Employment Practices (TAFEP) for advice and assistance. Serious cases can be referred to the police to be dealt with under the Penal Code. Let me end off by saying that to effectively address psycho-social and WSH risks, everyone in the workplace must believe that they can make a difference and to proactively establish a culture where all stakeholders work together and look out for each other. Only then will we be able to achieve quality workplaces where workers work productively and go home safely to their families each and every day. Page: 910”
“Singapore's ratification of the International Labour Organisation's Promotional Framework for Occupational Safety and Health Convention (C187 Convention) reinforces our commitment to place the safety and health of workers as a national priority. Our aim is for our workers to remain safe and healthy at the workplace. To do this, everyone must take ownership of Workplace Safety and Health (WSH) outcomes and we must cultivate a strong WSH culture so that all stakeholders have the right mindset and attitude. In a culture where everyone values safety and health, all stakeholders will actively look out for WSH risks and address them. With employers taking proactive steps to protect their workers and everyone looking out for each other, we seek to minimise and eliminate incidences of violence, bullying or harassment. The WSH Council has developed a CultureSAFE programme to help businesses go beyond the development of WSH infrastructure and competency, and cultivate the right mindset and attitude in every employee. Under the programme, eligible SMEs can apply for funding to defray the costs of their culture building efforts. I encourage businesses to participate actively in the programme and to tap on the funding available. Ms Faizah raised concerns specifically with regard to the mitigation of psycho-social risks at the workplace. The WSH Council has incorporated recommendations in several guidelines, to help companies and workers address this, including aspects of workplace harassment and violence. Let me share two of the recommendations. The first is to establish a clear set of protocols to guide workers to deal with encounters of harassment and violence. Workers must be equipped with the knowledge to deal with such situations.”
“As in most countries, youths in Singapore have a higher unemployment rate compared to the overall labour force. In 2011, the average unemployment rate of residents aged 15 to 24 was 6.7%, compared to the overall resident unemployment rate of 2.9%2. This higher unemployment rate reflects youths' greater job search activity as many are entering the job market for the first time and, even after starting work, youths tend to change jobs more frequently. Our youth unemployment situation compares favourably with advanced economies and our peer Asian economies. For example, our youth unemployment rate is significantly lower than that in the US (17%), the UK (21%), Germany (8.5%), Hong Kong (9.3%), South Korea (9.6%) and Taiwan (13%)3. More importantly, youths in Singapore generally do not experience long unemployment spells. In 2011, only 7.7% of resident unemployed youths had been looking for work for at least 25 weeks, which was one of the lowest among advanced economies and our peer Asian economies. This was 30% in the US, 43% in the UK, 42% in Germany, 17% in Hong Kong, 3.4% in South Korea, and 27% in Taiwan4. Page: 909 What this means is that unemployment among our youths is mostly "frictional" in nature. It reflects the normal time taken for fresh job seekers and employers to find a match, and that youths typically tend to change jobs more often. Our fresh Polytechnic and University graduates also enjoy high employability. More than nine in 10 of our Polytechnic and University graduates who entered the labour market in 2011 found work within six months after completion of their final examinations5. Page: 909”
“An ad-hoc survey on the retirement and re-employment practices in Singapore was conducted in the last quarter of 2011. The results of the survey were released in July this year. The survey showed that the large majority or 97% of the local private sector employees retiring in the year ending June 2011 were offered employment beyond 62. Employers in general were re-employment ready even before the law was introduced in January 2012. The implementation of the new law has so far been smooth. Given the tight labour market and the strong promotional work put in by the tripartite partners, we are confident that older employees will continue to be offered re-employment if they are fit and able to perform the job. Page: 903”
“Employment discrimination against the disabled, without consideration for their ability to perform the requirements of the job, has no place in Singapore, like other kinds of discrimination. At its core, discrimination is a mindset issue, and tackling it requires public education and awareness building among employers in particular. The tripartite partners take an active promotional approach to encourage fair and merit-based employment practices. The Tripartite Alliance for Fair Employment Practices (TAFEP) is set up for this purpose and actively engages employers to educate them on what is acceptable, and how to implement fair and progressive employment practices. For example, it organises workshops where expert speakers and enlightened employers share their experience and insights on working with people with disabilities. Page: 781 The efforts by TAFEP as well as the employers to extend fair employment opportunities to people with disabilities have seen results. For example, the Enabling Employers Network, which is an alliance of like-minded employers, and the Singapore National Employers Federation, has influenced over 160 companies to commit some 600 employment opportunities for people with disabilities. The tripartite partners intend to take these efforts further. Mr Christopher de Souza also asked whether MOM will consider including people with disabilities within the Employment Act so that they are assured of the benefits presently available to other employees. I would like to emphasise that our Employment Act applies to all employees irrespective of whether they have disabilities, and those who fall under the coverage of the Act enjoy the same level of protection. Page: 781”
“We have already done well in developing good research-oriented universities. The introduction of more applied, practice-oriented degrees at SIT and UniSIM will provide a differentiated pathway, one with close linkages to industry as graduates will be equipped with industry-relevant practical skills. The value of such graduates will be their keen understanding of industry, good industry networks and their work-readiness. Page: 779 It is difficult to project wage growth but if we are able to keep the labour market tight and to ensure that productivity grows, we should be able to see positive real wage growth over time. I would like to end by making a few important observations. Clearly, Singaporeans today have aspirations for good jobs and good wages. We need to note that the increasing numbers of degree holders mean that more Singaporeans have been able to better themselves compared to their parent's generation. It also means that the playing field is more level and competitive for all. In order to meet these aspirations, we need to be able to grow jobs that pay well. Therefore, we need good companies, both local and foreign to be here. A diverse workforce remains an important feature in attracting good companies to be based in Singapore. We are committed to increasing the opportunities for Singaporeans to better themselves and we are committed to creating higher paying jobs for all. Page: 779”
“This is an important question to address. In 2010, the Economic Strategies Committee concluded that skills, innovation and productivity must form the basis to sustain Singapore's economic growth. As we shift towards productivity and innovation-driven growth, we will create more higher value jobs that will require Singaporeans to have more knowledge, skills and experience. We are already seeing this today as Professionals, Managers and Executives (PMEs) make up about one in three resident workers, the fastest growing segment of Singapore’s resident workforce.1 This growing demand for highly skilled workers is not just a local trend, but a global one. According to a recent report by the McKinsey Global Institute2, there could be a global shortage of 16 million to 18 million college-educated workers in 2020. Therefore, we should support a higher publicly-funded university cohort participation rate (CPR). With or without Government support, Singaporeans aspire to upgrade. Last year, nearly half (46%) of our resident labour force aged 25-29 years had attained a degree, higher than what is provided through our publicly-funded full-time places, as some obtained their degrees from private or overseas institutions. In this light, MOE’s plan to increase CPR to 40% will provide Singaporeans with more opportunities to access a publicly-subsidised degree education. This is not just a paper chase. To ensure the value of higher education, the universities need to prepare students for work by imparting hard and soft skills relevant to current and future industry needs, while continuing to strengthen foundations and build analytical skills. Differentiation of the university landscape can also create more pockets of excellence.”
“I want to assure Asst Prof Eugene Tan that we are concurrently undertaking a separate review of this same Act to ensure an equitable balance of rights and responsibilities between employers and workers. Let me emphasise again that these amendments are really targeted at employers who are irresponsible and who are abusing the system. The majority of employers can look forward to this Act in terms of protecting them and to making sure that the playing field is level for all. Page: 777 I would like to conclude by echoing Mr David Ong's sentiment that these amendments should be seen in the context of all our efforts to build a big-hearted society that shows graciousness and respect for fellow human beings, whether they are local or foreign. Once again, I thank Members of the House for all their suggestions and input, and for their support of this Bill. [(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: 777”
“Some suggestions made by Mr Dhinakaran and Mr Patrick Tay to facilitate the compliance and enforcement of the law, including mandatory salary pay slips for foreign workers so as to keep them informed of the actual salary components and authorised salary deductions. Mr Zainal Sapari further suggested making it mandatory for work permit holders to be paid via GIRO to facilitate investigations of salary cases. These are useful suggestions and we will take them on board. I agree with Mr Dhinakaran, Ms Foo Mee Har and Mr Hri Kumar that we need to inform foreign workers of their legal rights and responsibilities, changes to the law, avenues for redress or the procedures for reporting of abuse. We have indeed stepped up publicity targeted at foreign workers. To empower workers to make informed decisions about working in Singapore, my Ministry revised the in-principle approval letter for work permit holders last year to include key employment terms and translated all these letters into the workers' native languages. My Ministry has also piloted pre-departure briefings in BCA's overseas test centres in workers' home countries such as China, India and Bangladesh. We will also reach out to foreign workers with these messages through various channels when they are in Singapore, including a foreign worker handy guide and a foreign worker newsletter, and through road shows held in worker dormitories and areas where they frequently congregate. We will be quite happy to entertain further suggestions and ideas about how we could do this better. Sir, I believe that this Bill will allow us to step up enforcement against the circumventions of our work pass framework, whilst adopting what we believe is a balanced and calibrated approach for the various parties.”
“In 2009, enforcement action was taken against 1,800 employers for housing their workers in unacceptable conditions. In 2011, the number of employers taken to task was 1,000. The number of foreign workers relocated by MOM out of unacceptable accommodation into proper housing has also fallen from 18,800 in 2009, to 8,000 in 2011. We will continue our efforts to facilitate acceptable accommodation for foreign workers. Mr Dhinakaran called for the expediting of investigations to reduce the length of stay of workers who are kept in Singapore as prosecution witnesses. In fact, with the enforcement of prescribed infringement under the new administrative penalty regime, cases will be concluded more swiftly and workers will be able to return home earlier. Non-culpable workers who remain can avail themselves of our temporary job scheme or find a new employer. Page: 776 Even as we seek to achieve more expeditious and effective enforcement against contraventions, I agree with Mr Zainudin Nordin and Mr Hri Kumar that we should not compromise fairness for the sake of expediency. The new administrative penalty regime that MOM will put in place will have appropriate safeguards to ensure that the infringer is not denied his fundamental right to be heard and that natural justice is upheld. The infringer would be made aware of the case and evidence against him, and he would be given ample opportunity to respond. The infringer would also be able to appeal against the Commissioner's decision, should he also choose. Such appeals would be entertained and would be directed to an Appeal Board which would consist of three members and be chaired by a person qualified to be a judge of the Supreme Court and legal representation would be allowed there.”
“As I mentioned earlier, Commissioners for Foreign Manpower will now have the powers to order administrative, financial penalties, debar employers from hiring foreign workers and impose directions on employers. Such directions to remedy, mitigate or eliminate any effects of any infringement will include compensating workers when their employers recover employment costs, like levies, from them. Failure to comply with the Commissioner's directions will be a prosecutable offence, subject to a maximum fine of $10,000 or to a maximum imprisonment term of 12 months, or to both. Assoc Prof Fatimah Lateef, Mr Zainal Sapari and Mr Christopher de Souza wanted assurance that more will be done pertaining to the management of foreign workers being housed in unacceptable accommodation. Assoc Prof Fatimah Lateef also noted that enforcement efforts should not be carried out in isolation. I fully agree that Government agencies should not work in silo and we do not. There is close coordination between the relevant Government agencies, and MOM frequently conducts joint inspections with agencies, such as the Singapore Police Force, ICA, CNB, NEA, SCDF and URA on foreign worker housing, immigration as well as employment-related offences. I, myself, have been to a number of these inspections. And Assoc Prof Fatimah Lateef might be pleased to note that as a result of her complaints on some of the potential unacceptable housing in the Geylang area, I have been down to check the appropriate establishments in the area to make sure these actions are carried out appropriately. In 2011, MOM conducted about 3,000 inspections, including close to 800 inspections of premises were used as foreign worker housing, to enforce against breaches of our work pass rules. These efforts have shown results.”
“I think that is where we realise over time that in certain cases, you will find that sometimes, when incidents are reported, we were not always able to proceed and prosecute effectively because in the regulations and laws, we did not have all the space available for us to move accordingly, hence the amendments to this Bill. So, in short, debarred persons have exercised high levels of creativity in the past to get round our debarment rules and I am sure they will be exercising their creativity, going forward. But because we can expect that they will just continue along this path, we have sought a wider berth for the Controller in this instance. If we leave exploitable loopholes, we will really risk undermining the effectiveness of our enforcement efforts and deterrent measures. The amendments in this Bill are not just about amending the Bill itself, but to facilitate enforcement. In fact, other Members have highlighted that my Ministry should increase the rigour of its upstream checks to better regulate which businesses are allowed to bring in foreign workers. Page: 775 Mr Patrick Tay suggested that MOM consider issuing work passes to businesses based on assessment of their market capitalisation to ensure that only financially viable businesses are allowed to employ foreign workers. I appreciate Mr Tay's intent and would like to clarify that we already require construction and marine companies to show documentary proof that they have on-going projects before work passes are issued. Mr Zainudin Nordin, Mr Png Eng Huat, Mrs Lina Chiam, Mr Dhinakaran, Ms Foo Mee Har, Ms Tan Su Shan and Mr David Ong have also highlighted that our proposed amendments to the EFMA must commensurate with downstream enforcement efforts. I agree, and MOM is committed to doing so.”
“Our target is offenders who circumvent debarment by using associates that re-employed foreign workers on their behalf. If we try to be too narrow or prescriptive in our definition of "associates", offenders easily and very easily resurrect their businesses and continue to employ the foreign workers. This will make a mockery of our penalties. Let me share some real cases to illustrate. A cleaning company and its HR manager were both charged for making false declarations to the Controller and were thus debarred from hiring foreign workers. The HR manager's husband was a manager in the original company, proceeded to set up a new company. This new company was identical to the original company in all material respects – same management, same services and even same cleaning equipment and actually the same foreign workers – just under a different name. In another case, shortly after a seafood restaurant was debarred from hiring foreign workers, we found that a new seafood company, with a strikingly similar name, had been set up. It had put in applications for work passes, relying on foreign quota obtained by CPF contributions to several local workers, of which two were directors from the original seafood company. Both companies shared the same registered address. When my officers visited the address, the signboard of the original seafood restaurant was still there. So, they did not even change the signboard. The workers were even wearing the old uniforms. Everything was new in name only. These things happen.”