Zaqy Mohamad
Singapore
“Deputy Speaker, may I seek your consent and the general assent of Members present to move that the Question Time at this day's Sitting be exempted from Standing Order No 22(1) so as to enable questions for oral answer to continue until the completion of Question Nos 7 to 29, including relevant supplementary questions, until 12.45 pm?”
“Mr Speaker, may I seek your consent and the general assent of Members present to move that the proceedings on the item under discussion be exempted from the provisions of Standing Order No 48(8) to remove the time limit in respect of the Minister Tan See Leng's speech, please?”
“I think on the hawker front, we keep our rentals as low as possible to sustain our hawkers. But for food prices, we continue to monitor. My colleague, Minister of State Gan mentioned about how we are monitoring food supply of food prices, and I think that we will continue to do so.”
“I thank the Member for his question. On seafood specifically, we do not see immediate risk. We have diversified our food imports. We have also got local production of seafood readily available. At this point, as both the Deputy Prime Minister and Coordinating Minister have shared, our main risk for agriculture lies in fertiliser.”
“Mr Speaker, as I shared, we are monitoring the situation. The Government is monitoring at this point. There is no need at this juncture, because we have not seen the price hikes hit the hawkers in the same way as yet. There will be downstream impact. I think that is quite sure.”
“For us to also look into buying local produce, that helps our farms to increase capacity at this point, helps them build resilience over time and should there be disruptions or should there be a need for us to divert supplies or look to ramp up local production, I think they would be in a better position if we do what we can today to supp…”
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“Chairman, I thank the Member for taking a keen interest in the welfare of our cleaners and the other low-wage workers. Let us look at what we have today. The Building and Construction Authority's Design for Maintainability Checklist already encourages provision of designated rooms of sufficient size for cleaners to both rest and store their personal items. So, we do have something which encourages. I think for the long haul, there are limitations on the use of DC exemptions to promote specific use. Because DC will only apply in cases where the proposal would result in an enhancement of the value of land. So, if there is no enhancement of value, then, it is not applicable. But rest assured that MND and MOM are both looking into this and will see how we can do better to promote rest areas in buildings.”
“I thank the Member for his clarification. Firstly, when we look at this, it is really to strike a balance and giving employers certainty, especially in the Services sector, compared to Construction which is very project-based. Services tend to be for longer periods, for example, as mentioned, it could be two years. It depends on the length of the contract. There is a difference there. The second difference is that when you look at Construction, for example, SCAL, as an industry association, championed it and, therefore, the database was set up and agreed upon by employers. We have not received requests from other industry associations. Certainly, for the cleaning sector, if the industry association is prepared to do so, we can take a look. Specific to cases, for example, in Town Councils, where contracts change and cleaning contractors have to move around, we have facilitated some of the changes between employers. We have facilitated some of these to ensure that cleaning service is not disrupted. That is something we are prepared to do, but not as a broad-based policy nationwide. 11.07 am”
“Speaker, the Foreign Construction Worker Directory System (FCWDS) was set up in 2015 by the Singapore Contractors Association Limited (SCAL) to facilitate job matching between employers and foreign workers in the Construction sector. The Construction industry finds it useful to develop the FCWDS to flexibly redeploy workers across companies, given that the work is cyclical and mainly project-based. We have not come across another industry which has expressed interest to set up a similar directory. FCWDS has been incorporated into a third-party mobile app owned by the private sector, called the FWapp, to improve its accessibility to foreign construction workers.”
“We encourage the industry to take advantage of this to streamline processes and better serve their customers. But we are not stopping here. Our long-term goal is to facilitate seamless and digitalised property transactions from start-to-finish. To chart the way forward, the Council for Estate Agencies is chairing a digitalisation workgroup with representatives from both the Government and industry. By reducing the hardcopy documents and physical payments, consumers can spend less time on paperwork and queuing up at banks, and property agents, bankers and lawyers can focus on higher value-added services to customers. As Mr Chong Kee Hiong noted in his speech, good infrastructure is essential in supporting our future economy. We have a rigorous framework to ensure that our buildings are safe. Developments involving structural works undergo checks to ensure that they have been designed and built according to the approved plans and building regulations. Developers are required to engage trained professionals known as Qualified Persons and Accredited Checkers at various stages of the project, from the building design phase to supervising the construction works onsite, to certifying the works upon project completion. BCA also conducts sampling checks on building plans and targeted inspections on structural works and will take enforcement action against any party that contravenes the regulations. Going forward, the various ITMs under the Built Environment sector will strengthen the industry’s capabilities in continuing to build and maintain quality infrastructure. MND will continue to partner our stakeholders as we ride the waves of transformation to a high-tech and a more productive BE sector.”
“In April last year, BCA formed the tripartite Facilities Management Implementation Committee (FMIC) to transform the FM industry into one that is more productive and that leverages data analytics, predictive maintenance and smart solutions. To this end, FMIC, which comprises representatives from both the Government and the industry, has proposed recommendations in four areas, namely, (a) designing for maintainability; (b) enhancing maintenance productivity and quality through smart FM; (c) enhancing guidelines for FM procurement; and (d) ensuring adequate training and development of the FM workforce. While implementation details are being worked out, the public sector will take the lead to uplift the FM industry through various initiatives, such as by adopting outcome-based procurement guidelines. This provides flexibility for FM service providers to focus on improving outcomes, instead of meeting headcount requirements. On the property transaction front, we will continue to enhance and streamline the transaction processes for users through automation and digitalisation. A key thrust is to make it easier for industry players to access property-related Government data, thereby enabling the automation of time-consuming administrative processes. We have done this for data related to rental transactions since February. This means that checks, like whether a seller is the legal owner of the property, and whether a landlord is eligible to lease out an HDB unit, can now be done with the click of a button. I believe this will benefit many, as rental transactions account for about 60% of all residential property transactions. I am happy to share that we will be doing likewise for data related to the sale and purchase of residential properties from the end of this year.”
“To help local companies build up a track record, we have parceled out large infrastructure projects into smaller contracts that SMEs can take on and allowed smaller consultancy firms to band together to bid for higher value projects. So, to assure Er Dr Lee Bee Wah, we want to provide as much support as we can for local firms and, certainly, within our procurement guidelines. That is why we also have to continue to review our processes, policies and how we work with inter-agency regulations. This is one of the reasons why we are looking at the MYE framework as well. Our longer-term focus remains on helping firms build capabilities and strengthen their competitiveness. We currently provide funding support to firms in various areas, including construction productivity, manpower development and research and innovation. To help firms navigate the schemes more easily, we will consolidate our existing schemes under an umbrella BuildSG Transformation Fund (BTF) amounting to about $770 million. This includes top-ups to two existing schemes, namely, the Productivity Innovation Project (PIP) and the Public Sector Construction Productivity Fund (PSCPF). More than 300 firms have benefited from PIP, which co-funds capability development initiatives that improve site productivity. The good news is that we will add about $200 million to PIP to support more firms in adopting productive technologies. PSCPF supports Government agencies in procuring innovative and productive solutions for public sector projects. Since its launch in 2017, most of the $154 million fund has been committed. We will add another $95 million to the fund to sustain the effort. Next, let me provide an update on the progress of the transformation efforts in the Real Estate industry.”
“As announced by the Minister for Finance, three years of road tax rebates will be provided for commercial diesel vehicles. The rebates will also apply to commercial vehicles used in the construction industry. Er Dr Lee Bee Wah also provided specific feedback on services diversion works and the Workplace Safety and Health (WSH) regulations. As many of our projects are on brownfield sites, preparatory works, such as services diversion, may be required prior to development works. It is inefficient for the Government to undertake all such land preparations before tendering out sites for sale. Instead, our approach is to make known in the tender documents any encumbrances onsite so that interested bidders can factor these accordingly into their timelines and tender price. As for workplace safety, our WSH regulations adopt a risk-based approach for the supervision of high-risk construction works. Supervisors need not be present at all times if the risks are sufficiently addressed, for example, by adequately briefing workers on the potential risks and the proper use of tools and safety equipment. The WSH regulations have contributed to reducing construction workplace fatality rates from 8.1 per 100,000 workers in 2007 to 3.1 per 100,000 workers in 2018. As I have elaborated in my MOM speech yesterday, one of the strongest links to many of these fatalities is inexperienced workers. Er Dr Lee Bee Wah also asked about our efforts to support local contractors. We know that the industry has been experiencing a slowdown in recent years. We have introduced a number of measures to help. In 2017, we announced that we would bring forward $1.4 billion worth of public sector projects to boost construction demand over the next few years.”
“Instead, to better align our manpower policies with our transformation outcomes, we will have to review the existing MYE framework for the construction sector. Our intent is to progressively reduce the MYE quota for onsite works and eventually remove the MYE framework altogether. We want to replace the MYE with a system that better enables the industry to optimise their foreign workforce, be it onsite or at DfMA facilities. This will take time and BCA will consult the industry in working out these changes to the MYE framework. Meanwhile, to encourage more offsite works in the interim, we will introduce a new voluntary Offsite Construction Special Scheme (OCSS) for DfMA facilities. Firms on the OCSS will be able to hire an allocated number of workers at MYE levy rates. This will lower the cost premium for DfMA and hopefully encourage more firms to shift towards offsite work. BCA will be engaging eligible companies to explain the details of the scheme, which will be implemented later this year. Er Dr Lee Bee Wah and Mr Ang Wei Neng underscored the importance of efficient and streamlined regulations and processes for construction projects. We agree. The Inter-Agency Coordinating Committee (IACC) was established by BCA in 2011 to resolve cross-agency regulatory issues. Instead of meeting only when issues are surfaced, the IACC has started to hold monthly meetings this year to proactively engage the industry. Where there are changes to regulations, we will do what we can to help firms transition. Specific to Er Dr Lee Bee Wah's feedback on the service diversion and others, we will take those on board and I will have a word with BCA to see how best we can help her. Er Dr Lee Bee Wah asked about rebates to help absorb the diesel duty increase.”
“Take, for instance, INSTAD Pre Fabrication Pte Ltd, which set up a facility for prefabricated mechanical, electrical and plumbing (MEP) systems in 2017. Through automation, the firm has achieved higher construction quality, with up to 40% time savings and 60% productivity improvements. Workers in the MEP factory also enjoy improved working conditions similar to the manufacturing sector, compared to traditional construction sites. We want to support more firms in their transformation journey and shift the industry towards adopting productive technologies like DfMA. To do this, we will need to complement existing funding schemes and manpower development initiatives with changes to our foreign manpower policies. Currently, construction projects are subject to the Man-Year-Entitlement (MYE) framework, which manages foreign worker numbers at the project level. MYE quotas are allocated to main contractors based on project type and value. Main contractors then decide how to allocate these quotas to their subcontractors. We have received feedback from the industry that such an arrangement is not optimal, as Er Dr Lee Bee Wah had also fed back in her speech. For example, a main contractor may only pass on a small proportion of the allocated MYE quota to subcontractors. DfMA facilities are also not allocated MYE quotas directly as they are not project-based. So, most workers in DfMA facilities are employed on the higher MYE waiver levy rates. This means that the manpower cost for offsite DfMA works is typically higher, compared to onsite works at construction sites. While we have received industry feedback, as Er Dr Lee Bee Wah said about the allocation of MYE quotas, increasing our reliance on foreign workers cannot be the way forward.”
“To help more people like Saiful enter the BE sector, BCA is now working with Workforce Singapore to expand the PCP offerings to other BE transformation areas, such as for professionals supporting DfMA projects and offsite facilities. We will also do more to improve the attractiveness of construction industry jobs. The use of productive technologies already improves working conditions and can create attractive new jobs, such as prefabrication supervisors. As Mr Zainal Sapari pointed out, it is also important to provide rest areas for workers. I announced at MOM's COS session yesterday that we will be looking into companies' practices in this regard. MND will also look at how best to ensure adequate provision of rest areas from a planning perspective. Another important aspect of good jobs is remuneration. With the move towards higher skilled jobs, wages should also keep up. I urge industry leaders to continue your efforts in enhancing pay and career prospects for employees, so as to build up a strong local core of PMETs to support sustainable industry transformation. The Government will also do our part to ensure that wages remain competitive. Last year, we announced a Progressive Wage Model (PWM) for the lift industry. BCA is working with the industry to phase in implementation, while ensuring sufficient lead time for buyers and firms to adjust. In the meantime, the Government will take the lead to drive early PWM adoption by procuring only from firms that have registered their PWM status, starting this May. So far, 21 lift companies have pledged their commitment towards PWM and I hope that more will join them. I am heartened to see progressive firms adopt productive construction technologies like DfMA.”
“For example, Ms Tan Zi Rui went on a year-long internship with Aurecon while studying at the Singapore Institute of Technology. She helped to retrofit buildings with energy-efficient cooling systems and gained engineering experience. Aurecon was also able to assess Zi Rui's technical and behavioural competencies and offered her the iBuildSG undergraduate scholarship, and subsequently a full-time position. It is wonderful to see young women joining the BE sector and, in this case, the construction industry as well. The Committee's guidelines aim to help more firms and students benefit from such positive internship experiences. I encourage firms to refer to them on BCA's Building Careers portal when planning your internship programmes. Third, the Committee will upgrade and augment the industry's competencies through enhancing continuing education and training. The Committee is developing (a) a skills framework to identify skills and competencies of the future and guide training programmes to help professionals, managers, executives and technicians (PMETs) remain relevant, as well as (b) a leadership framework to groom a core group of industry leaders. We will also continue to support firms in training and bringing in mid-career professionals through Professional Conversion Programmes (PCPs). Last year, we introduced the PCP for BIM Professionals. After learning about the promising career prospects of a BIM modeller, Mr Mohamad Saifullizan Bin Abd Rahman took up the PCP. He has been receiving structured training in essential BIM skills, as well as on-the-job training with his industry sponsor, Lum Chang Building Contractors.”
“To address this, BCA and the Infocomm Media Development Authority have launched a $4 million joint call to support construction and technology firms in developing digital platforms for the BE sector as part of the IDD implementation plan launched in November last year. The intent is to facilitate the use of a single BIM model across the construction value chain, from design to construction, and to operations and maintenance. We have also undertaken various initiatives to upgrade and augment the BE workforce, who are key to industry transformation. Beyond infrastructure, manpower capability is also something that we need to build. Last month, BCA set up the iBuildSG Tripartite Committee to oversee the implementation of leadership and talent development strategies. Let me share three key updates. First, IHLs will be updating their curricula to better equip undergraduates with skills and competencies to support transformation. As a start, NUS will pilot an interdisciplinary module on prefabricated prefinished volumetric construction (PPVC) later this year. With PPVC, components are prefabricated under controlled factory conditions and assembled like Lego blocks, as Members can see on the screen. This can significantly speed up onsite construction and save up to 40% manpower. The pilot module will not only familiarise students with this technology but also expose them to real work conditions where different stakeholders work together to deliver a project. Second, the Committee has developed internship guidelines to help companies structure more effective internships. Good internships offer students a valuable opportunity to get a taste of work in the BE sector. The hands-on experience also better prepare students for joining the workforce.”
“Mr Alex Yam asked about our plans to create a future-ready built environment (BE) sector that supports the nation's changing needs. In October 2017 and February 2018, we launched the Construction Industry Transformation Map (ITM) and the Real Estate ITM, which target to fundamentally change the way we design, build, maintain and rejuvenate our city while creating good jobs for Singaporeans. Since then, we have been partnering the industry, unions and IHLs to implement the ITMs. Let me elaborate on our progress and upcoming plans. First, on the Construction ITM. To drive change at the workforce, firm and ecosystem level, the Building and Construction Authority (BCA) set up the BuildSG transformation office last year to partner the industry in growing progressive firms and preparing the workforce for the future. BuildSG has been working with the Trade Associations and Chambers (TACs) to help them build expertise in the three transformation areas of Design for Manufacturing and Assembly (DfMA), Integrated Digital Delivery (IDD) and Green Buildings. Six TACs have developed their own action plans to support the Construction ITM and three more are due to complete theirs by the end of the month. These plans underline the TACs' commitment to guide firms and individuals through the transformation journey. BCA is also partnering industry stakeholders through the IDD Steering Committee to guide the development of IDD and encourage greater integration across the construction value chain. As Er Dr Lee Bee Wah and Dr Teo Ho Pin noted, Building Information Modelling (BIM) is not yet seamlessly adopted across different project parties.”
“Mr Chairman, at the appropriate junctures, may I show some slides?”
“At this moment, we do a lot of promotional work around mental well-being. So, I am not sure exactly which aspect of WSH does the Member want to include that in. But a lot of the work we do today looks at safety issues, occupational diseases. At this moment, mental health injuries or injuries that result in mental health issues are something we will study in future. So, if the Member is specific in the areas that she thinks we could work on, we are happy to work with her and consult her on it.”
“I believe that should be an MND cut though. But having said that, it is good that Members are concerned with this area. But as I have mentioned at the start, we will start with cleaners first because we know that it is the right thing to do. But it is not going to be easy for everyone. So, that is why even for hawker centres, we start with the new ones first. And the old ones, as they retrofit, they upgrade, we will work with NEA to see how we can provide those. And, certainly, for buildings, I can also understand some of the difficulties. But, certainly, if the Member files a cut under MND, we will take a look at that.”
“] To ensure that lower-income workers can progress together with the other workers, we have improved their lives through the WIS scheme that tops up their salaries and helps them save for retirement. More Singapore workers will benefit from WIS from January 2020, when we raise the WIS qualifying income cap from $2,000 to $2,300 per month, and increase the maximum annual payouts by up to $400. Close to 440,000 Singaporeans, including SEPs, will benefit from this enhancement. Most WIS recipients also receive other forms of Government support to help meet their living needs, for example, Mr Gunasegaran, a 49-year-old cleaning supervisor. He lives in a three-room flat with his wife and three children. Apart from WIS, he also receives Goods and Services Tax (GST) Vouchers and U-Save rebates to help offset his daily household expenses. His two daughters receive financial assistance from MOE and receive free textbooks and school attire and public transport credit. His youngest son in preschool receives the Kindergarten Financial Assistance and Mr Guna only needs to pay about $1 monthly. Our approach of providing multi-layered support is more responsive to the varied needs of Singaporeans. Let us further strengthen these successful efforts and continue to work hard to improve the lives of Singapore workers. (In English): In conclusion, the Government is committed to fostering an inclusive and caring society. To this end, we will continue to integrate persons with special needs into the workforce, improve the well-being of lower-income workers, safeguard the well-being of foreign workers, and make work conditions safer and healthier for all workers.”
“Companies and individuals are responsible for taking reasonably practicable measures to ensure workers' safety and health. This gives stakeholders the flexibility to adopt cost-effective WSH measures. Let me clarify the misconception in Mr Yee Chia Hsing's light bulb example. There is no need for a worker to hold a ladder if it is securely fixed and stable, such as a platform ladder with guardrails. If the ladder is not securely fixed, I suggest have someone hold it, because, as Speaker mentioned earlier, it is also for safety. There is also no need for the supervisor to be present all the time if the workers have been informed earlier on safety measures. Therefore, with the right equipment, the ladder is not costly, and with the right measures, only one worker is needed to change the light bulb. Being safe need not hamper productivity. We welcome employers who need advice to consult MOM and the WSH Council. Rather than mandating all workplaces to have a WSH representative, as Mr Yong suggested, our philosophy is to bring about WSH gains without adding rules willy-nilly. Better results can often be achieved through strengthening WSH ownership within company management. Uncommitted companies may hire a trained WSH representative to meet the letter of the law, but not follow through with internal systems to support the WSH representative in identifying and preventing hazards. Only with ownership, would companies be self-motivated to adopt WSH practices without us prescribing more requirements. Mr Chairman, allow me to recap the enhancements to the Workfare Income Supplement (WIS) scheme in Malay. (In Malay): [Please refer to Vernacular Speech.”
“You stand on the ledge and then fall off. This ingrained the importance of following safety procedures as they could make a difference between life and death. Mr Melvin Yong suggested forming a National Training Academy that consolidates training resources and ensures high and consistent WSH standards. SkillsFuture Singapore has set a consistent standard for WSQ training providers in terms of curriculum and training methods. But we will consider how to improve training further and will study this idea further with our tripartite partners. Mr Melvin Yong had another suggestion to have a tiered insurance premium framework for work injury compensation, where companies with poor WSH records will have to pay higher premiums. We agree and are looking into ways to facilitate this. Mr Yee Chia Hsing shared businesses’ concern that MOM would introduce safety requirements after every fatal accident. He used the example of three workers having to change a light bulb to highlight the need to balance requirements. I initially thought this was a riddle. Some Members may know the riddle, "How many people do you need to screw a light bulb?" But then, the light bulb flashed and I suddenly got a certain insight. If you look at the other end of the scale, Mr Melvin Yong also asked to introduce more WSH requirements for better worker protection. So, there is this balance that you have to manage between protecting workers and what businesses consider as too many requirements. 5.15 pm The contrasting views by both Members show the tension between having more regulations that could be overly prescriptive versus being too lax such that WSH is compromised. This is why we have adopted a balanced approach under the WSH Act's outcome-based regime.”
“To address the potential impact of poorly managed health on workplace safety, the WSH Council partnered Health Promotion Board (HPB) to introduce Total WSH. Total WSH involves injury and occupational disease prevention, together with occupational health promotion, through health screening, physical activities, healthier diet initiatives, and adjustments in work processes, so that those with chronic conditions can continue to work safely. We agree with Mr Melvin Yong that more can be done, and we encourage the Labour Movement to partner us to encourage more companies to adopt Total WSH. Third, WSH is another aspect where we can win with technology. Companies can leverage technology advancements, such as sensors, predictive analytics and the Internet of Things to more effectively manage WSH risks. Mr Yee Chia Hsing asked for examples. Woodlands Transport and SIA Engineering Company have taken part in MOM's WSH Tech Challenge to testbed a fatigue detection and management device among their vehicle drivers. As Members can see in the fifth image, this device uses sensors and image processing technology to track the micro-movements of a driver’s head, eyes and facial expressions to detect fatigue. Those who show signs of fatigue will be alerted by an alarm from a buzzer and seat vibration, and 93% fewer fatigue episodes were detected among drivers whose vehicles were equipped with the device, when compared to the baseline. Mr Melvin Yong also spoke about leveraging technology to make WSH training more productive and realistic and I agree. I recently tried virtual reality training that simulates working at heights. As Members can see in the sixth image, I experienced a virtual fall from a height of 14 storeys. I can tell you it is quite realistic.”
“Only four countries amongst the OECD countries have achieved it so far. Four. We must also keep an eye on non-fatal injuries. Compared to 2017, we saw a 3% rise in numbers in 2018. One in three working residents have either diabetes, high blood pressure or high cholesterol, which can affect safety as well if the condition is not managed well. We agree with Mr Melvin Yong that a greater emphasis on workplace health is, indeed, necessary to address its potential impact on safety. I see three main ways to improve further. First, we need company management to be committed to improving WSH within their companies. Top management, including at the Board level, is best-placed to influence the company’s WSH culture, as they control its resources, policies and practices. A good example is Lendlease, an international property and infrastructure company with operations here in Singapore. A Board member chairs its Sustainability Committee that is responsible for setting the WSH policy and strategic directions for Lendlease. In addition, WSH performance is discussed at all Board meetings, with the CEO and top management all held accountable. In the fourth image, Members can see Lendlease's Paya Lebar Quarter project. This is one example where the leadership has taken ownership to champion progressive WSH practices, such as a near-miss reporting regime, WSH data analytics, as well as Building Information Modelling (BIM) techniques. With WSH as a top business priority, Lendlease's strong WSH track record has served as a competitive advantage in helping them to win repeat business. So, they see WSH as a competitive advantage against competitors. Second, we need greater emphasis on workplace health.”
“Additionally, about 900 workers with valid claims also successfully found new employers and continued to work in Singapore after their claims were resolved. I would like to assure Mr Melvin Yong that MOM will continue to work closely with the Labour Movement, Migrant Workers' Centre (MWC) and SCAL to improve job facilitation outcomes for foreign workers involved in disputes. Making workplace safer and healthier for all. Every life is precious. As a society, we must, therefore, strive to make work conditions safer and healthier for our workers. Singapore has made good progress in our WSH performance. Our workplace fatality rate declined from 2.2 per 100,000 workers in 2010 to 1.2, or a record low of 41 fatal cases, in 2018, last year. Mr Yee Chia Hsing asked how our progress compares to other developed countries. Singapore’s three-year average fatality rate relative to OECD countries’, has improved from 18th place in 2010 and we are now seventh in 2018. Such progress was made possible by a major shift in WSH culture, mindset and practices, enabled by strong tripartism. Take last year, for example. The WSH Council, comprising employer and union representatives, worked closely with Trade Associations and Chambers (TACs) to tackle the leading causes of workplace fatalities. This included the "Target Zero Falls" campaign, where SCAL encouraged industry partners to conduct senior management walkabouts for work-at-heights activities. For MOM, we continued to maintain a strong enforcement presence, especially in higher-risk industries. But we must do better, so that our workers can return home safe and healthy. Our goal is to further reduce and sustain our workplace fatality rate at below one by 2028. This is an ambitious goal, but an achievable one.”
“MOM has supported the recruitment and retention of experienced foreign workers in the following ways. Traditional Source and North Asian Source Work Permit holders are not subject to a maximum period of employment. For Non-Traditional Source and People's Republic of China (PRC) Work Permit holders, MOM has, over the years, extended the maximum period of employment to encourage companies to retain their trained and experienced workers, to raise overall workforce productivity. In response to industry feedback, MOM last increased the maximum period of employment by four years in all sectors in 2018. The period of employment can now extend up to 26 years for skilled Work Permit holders in selected sectors. For foreign workers in the Construction and Process sectors, they can be transferred to another employer, upon the agreement of their existing employers, or the expiry of their Work Permits. They are given about a month to look for new employers. We also allow all foreign workers to find another employer if they have valid claims. While they are given two weeks to seek new employment, we have given short extensions on a case-by-case basis. Mr Melvin Yong hoped to see greater assistance for foreign workers involved in disputes with their employers. The majority of these foreign workers came from the Construction sector, about nine in 10. To improve their job facilitation outcomes, the Singapore Contractors Association Ltd (SCAL) has made available the Foreign Construction Worker Directory System (FCWDS) that facilitates their search for new employers. In 2018, about 34,000 workers in the Construction and Process sectors were successfully transferred to another employer. It is not a small number. They were able to use the system.”
“Since 2012, employers are prohibited from collecting kickbacks from foreign workers in consideration for employment. Employers who do so can be liable to a maximum fine of $30,000 or up to two years’ jail, or both. So, in 2018, 46 agencies and employers were taken to task for kickback-related offences. And Mr Leon Perera asked about MOM's hotline. We received 102 calls last year, of which we followed up and investigated 49 calls. The rest were just enquiries and there was no follow-up required. But one thing I want to assure Members is that let us know, and we will investigate each of these cases seriously if there are credible leads. Additionally, whenever our investigations reveal suspicious or irregular practices by overseas agents, information is shared with our foreign embassies to enlist their help to combat any malpractices in their respective countries. As Mr Melvin Yong rightfully pointed out, we need to educate employers on their obligations to foreign workers. For example, MOM regularly updates the work pass obligations of employers in the employers’ copy of the In-principle Approval letter. Employers are also kept informed of new and existing work pass requirements through direct mailers and on MOM’s website. Ms Anthea Ong and Mr Melvin Yong suggested that we improve the employment system to retain skilled and experienced foreign workers. Given the constraints on the number of foreign workers we can bring in, we want to ensure that each worker we bring in counts and their skills and experience can be retained in Singapore. So, this reinforces the capability, productivity and safety. For instance, more experienced construction workers were less likely to suffer work injuries.”
“If employers fail to do so because the company has closed down, employees can commence debt recovery by applying to the State Courts for a Writ of Seizure and Sale (WSS). MOM will assist lower-income claimants through the WSS process, including providing financial aid. If lower-income workers are unable to recover their claims via WSS, they can receive financial assistance from the Short-Term Relief Fund (STRF). The Tripartite Alliance for Dispute Management (TADM) will also refer them to MSF and their Social Service Offices for assistance on ComCare if needed. Similarly, the same way we protect our lower-income workers, we should also safeguard the well-being of our foreign workers. They share a common purpose in contributing to our society, through building our homes and schools, working in our hospitals and factories, and keeping our environment clean. As we moderate the intake of foreign workers, treating them with respect can help us retain skilled and experienced workers, as some Members have asked for. Ms Anthea Ong suggested to extend MOM's regulatory reach to overseas employment agencies. She also asked if MOM could take a more resolute action against employers taking kickbacks from workers, whether transacted in Singapore or overseas. Within Singapore, MOM prohibits employment agencies in Singapore from charging workers beyond the stipulated fee cap. We actively enforce against errant agencies. However, we do not have the jurisdiction to act against agents taking kickbacks in other countries. This is not a matter that we have a choice over. This includes foreign employment agencies that tie-up with local agents, or the overseas operations of local employment agencies. Nonetheless, we will do what we can here.”
“In addition to enhancing our lower-income workers' wages and employability, I agree with Mr Zainal Sapari and Dr Intan Mokhtar that care should be extended to their working conditions and how they are treated at work. 5.00 pm Take, for example, access to proper rest areas which Dr Intan Mokhtar raised. Workers need a safe and conducive environment for their rest breaks, such as their meals. Yet, we have encountered cases of cleaners having to use makeshift rest areas at stairwells and in open public areas. Such situations can be improved and, going forward, MOM will look into companies’ practices in giving workers access to proper rest areas. We will start with the cleaning sector. I am happy to share that the National Environment Agency (NEA) has made available proper rest areas, such as the Cleaners’ Room, in all of the seven new hawker centres. This is a place where cleaners can take breaks, have meals and safekeep their belongings. I strongly encourage all service buyers and employers to do the same. Fellow Singaporeans, we need to do our part, too, and treat our lower-income workers with dignity and respect. Some of the simple and practical ways to uplift them include returning our own trays at the hawker centres, thanking them for their work and giving them time to rest during their breaks. Ultimately, society must view our lower-income workers also as persons of worth and deserving of our respect. Mr Zainal Sapari also asked MOM to review whether a scheme could provide financial or subsistence relief to help rank-and-file workers who are owed salaries due to company closure. The Employment Claims Tribunals (ECTs) can order employers to pay owed salaries to employees.”
“But to achieve a more inclusive society, we will need the private and people sectors to partner us. While there are existing Government-funded schemes to support hiring of persons with special needs, the awareness, unfortunately, may not be as high. So, therefore, I urge fellow Members to spread the word on our initiatives, such as the ODP, because we are happy to partner you. And certainly, if Members are keen, let us know and we can go to your constituency for briefing sessions for those who are interested, including Nee Soon South – for once, I am poking fun. Mr Patrick Tay and Miss Cheryl Chan also spoke about employment support for persons with mental health conditions or special educational needs, such as dyslexia or attention deficit/hyperactivity disorder (ADHD). In addition to our efforts for persons with special needs, there are several initiatives to support the employment of those with mental health conditions. For example, the Job Club by MOH and IMH assists jobseekers with employment needs, while managing their mental health conditions. The Job Club helps persons with mental health conditions assess their strengths, acquire job-seeking skills, arrange for vocational training, and network with employers for job placements. In the past three financial years, the Job Club achieved an average job placement rate of 60%. For persons with special educational needs, support is also provided in schools to help them transit into the workforce, as elaborated by Second Minister Indranee Rajah earlier. As a society, it is also important to care for our workers' well-being, especially vulnerable workers, such as our lower-income workers.”
“First, it introduces labour market inflexibility and may invite competing calls for targets for other workforce segments, such as older workers. Second, companies may offer menial or low-paying jobs to meet the targets. Third, it may signal to companies that they only need to meet the targets when, in fact, they could have the capacity to take on more. Hence, our goal is really to build a supportive system to get buy-in from employers to embrace and promote gainful and sustainable employment for persons with special needs. And creating a culture and an environment where companies willingly accept, adapt and redesign jobs for persons with special needs is much better than one that is forced on them, which could lead to tokenism instead. So, in this respect, Mr Patrick Tay and Dr Intan Mokhtar asked if more can be done. MOM and SG Enable will be releasing a Job Redesign Guide by the first half of this year. The Guide will provide companies with information on how to apply job redesign to better integrate persons with special needs, for instance, common workplace modifications, changes to working arrangements, and the use of assistive technology devices. Ms Denise Phua also asked the Ministry to consider looking at resourcing and supporting inclusion managers. This is a new concept and something which we will have to study and consult with the Ministry of Social and Family Development (MSF), SG Enable and MOE. MOM and WSG will continue to work closely with MSF and SG Enable to scale up efforts to build employers' capabilities in hiring and managing persons with special needs under the Third Enabling Masterplan. As Mr Patrick Tay has raised, we will also continue to study the successes of overseas models to build a strong framework in Singapore.”
“CO did was they broke down the job into smaller tasks, and they gave him time to learn. So, Tuck Ming persevered and eventually succeeded with the guidance and encouragement of his mentor and job coach. It was, in fact, very heartwarming to hear from J.CO's HR Manager, Ms Jocelyn Wong, that, "It has been a journey discovering Tuck Ming's abilities, not disabilities". I think that is really the spirit of it. It is really to discover his abilities and not disabilities and that is what I hope more employers will take time to do. And that Tuck Ming is adapting well and he has been given more responsibilities to guide new employees like him. So, we want more employers to be inclusive, like Sassax and J.CO. However, not all employers have had interactions with persons with special needs. And some employers may be unsure if a person with special needs can perform on the job. Co-workers may also be unsure on how to work with them. So, these are real concerns affecting companies' decisions to hire persons with special needs. To address these, Career Trial provides opportunities for employers and persons with special needs to try out each other and make a better assessment of job fit. During the trial, which can be up to three months, jobseekers will receive a training allowance from the Government. And to encourage hiring and retention of persons with special needs, employers receive salary support after the trial, while persons with special needs who are hired and stay for at least three months receive retention incentives. Ms Denise Phua and Mr Chong Kee Hiong have also asked why hiring targets for persons with special needs have not been set for companies as well as the Public Service. We have not done so for three reasons.”
“And he shared that such an opportunity is very precious for those with special needs, and this motivates him to work harder, and to quote him, to "excel just like, or do even better than a person without special needs". Tsu-fei shared that she was very pleased with Erwayne's performance when he was just three months into the job. Hence, she entrusted Erwayne with more responsibilities, such as the power to make some commercial decisions involving shipping and cargo operations. She also gave him a pay raise after a year. So, I would like to commend Tsu-fei for being an exemplary employer. She embraced the need to make changes at the workplace in order to support and bring out the best in her employee. She has also, by the way, hired a senior who is 62 years old, in addition to a person with special needs. So, there are just three of them in the office. So, in her own words, Tsu-fei calls on fellow employers to give more opportunities to these "hidden gems". Some Members may have gone to this other company called J.CO Donuts and Coffee. I buy donuts from there, too. It is another company that has participated in ODP. So, last year, J.CO hired Mr Chia Tuck Ming who has mild intellectual disabilities, as a part-time Baker Assistant to decorate donuts. Tuck Ming enjoys this job, as his personal interest is painting. So, as Members can see in the second image, Tuck Ming created the artwork for the tumbler that he is holding. So, during my visit to J.CO, Tuck Ming gave me a demonstration and I was quite pleased to see his confidence and joy when he was decorating the donuts. However, this was not without initial challenges. His mentor said that he had difficulties mastering the donut piping techniques and memorising the various donut names. But to help him, what J.”
“Efforts include the School-to-Work Transition programme for Special Education (SPED) school graduates to receive on-site job training from job coaches for up to a year, as well as internship and mentoring programmes for students from IHLs. Under WSG's A&G initiative, there are services and programmes to integrate persons with special needs into the workforce, namely, the Open Door Programme (ODP) and Career Trial. These programmes cater to both the PMET and rank-and-file jobs. In the past three years, more than 1,600 persons with special needs have been placed through these programmes. I will now share about my visits to two companies that have benefited from ODP. Administered by SG Enable, ODP gives employers access to recruitment and job support services for persons with special needs. Grants for job redesign and training are also available to better support their integration. So, referring to the first image in our handout, Sassax Pte Ltd is a global energy and commodities SME founded and managed by Ms Cheang Tsu-fei. When I met Tsu-fei, she shared with me how, through ODP, she hired Mr Erwayne Teo, who sustained spinal injuries after a motorbike accident, as an Operations Executive. Tsu-fei tapped on ODP's Job Redesign Grant, which supports 90% of job redesign costs of up to $20,000 per employee with special needs. And what she did was to make several thoughtful workplace modifications. I saw that office partitions were removed to make it easier for Erwayne to move around with his crutches. The manual-lock of the office door was also replaced with a digital-lock, as Erwayne had difficulty bending down to open the door. So, Erwayne told me that he is grateful for the job opportunity and for what Sassax has done.”
“We desire for a more inclusive society, where persons with special needs are given opportunities to make meaningful contributions as part of the workforce. Mr Patrick Tay, Miss Cheryl Chan, Mr Chong Kee Hiong and Dr Intan Mokhtar have asked about initiatives to integrate persons with special needs into the workforce, and how successful they have been. Dr Intan Mokhtar and Ms Denise Phua also asked whether there could be more support for employers hiring persons with special needs, such as wage support, recognition or incentives to implement FWAs. Members would be pleased to know that employers of Singaporeans with special needs receive the Special Employment Credit (SEC) that provides wage offsets of up to 16% of the employee's monthly income, regardless of age. With the Additional SEC (ASEC), employers of Singaporeans with special needs aged 67 and above receive wage offsets of up to 22% of the employee's monthly income. These rates are already two times the highest rates of the mainstream schemes. So, the SEC and ASEC for Singaporeans with special needs will also be extended for one more year until 2020 and reviewed for the longer term, alongside the mainstream schemes, as announced at Budget. On recognition for employers, SG Enable has been organising the Enabling Employers Award, which is a nationally recognised award that honours and recognises the efforts of employers in hiring and retaining employees with special needs. Since 2011, more than 100 employers have been recognised for their inclusive efforts and excellence. Miss Cheryl Chan asked about interventions to assist students with special needs to prepare for employment.”
“Mr Chairman, earlier, I spoke about how MOM uplifts the wages and skills of our lower-income workers through a mutually reinforcing system of different support measures while maintaining a tight labour market. We also want to nurture an inclusive and caring society that will enable all workers to thrive and have meaningful opportunities at work. And I will touch on four areas. Firstly, supporting the integration of persons with special needs into the workforce, improving the well-being of lower-income workers, safeguarding the well-being of foreign workers, and lastly, making conditions safer and healthier for all our workers. With your permission, Mr Chairman, I will have the Clerks place a handout on Members' seats.”
“Let us build on what is working well for Singapore and stay on the task of uplifting Singaporean workers like Auntie Geok and Mr Guna.”
“Ultimately, improving productivity is key to sustainable wage growth. PWM helps to mitigate effects of market failure from "cheap sourcing". We will, hence, be extending PWM to the lift maintenance sector that similarly experiences depressed wages due to outsourcing. We also encourage employers in other sectors to adopt the principles of progressive wages and skills and provide clear progression pathways for their workers. On a voluntary basis, employers and unions have also established PWMs in public transport and healthcare. We will explore facilitating more of such voluntary PWMs. Mr Zainal Sapari suggested reviewing the PWM training requirements to specify compulsory modules. As Chairman of the three Tripartite clusters, the Member would be aware that the tripartite partners have agreed on the training requirements in the PWMs, including specifying mandatory modules and giving employers flexibility to send their workers for other relevant training. We have also been enhancing these three PWMs with wage enhancements and bonuses. Together, the tripartite partners are fully committed to improving the lives of our lower-income workers. Beyond improving wages, MOM also works closely with our tripartite partners to improve our workers’ well-being. I will cover this in MOM's COS debate. Mr Chairman, we have had a decade of WIS. The handout highlights key outcomes of WIS, and how WIS and the multiple layers of support have uplifted families like Mr Guna’s and Auntie Geok's. Over the last 10 years, 830,000 Singaporeans have benefited from $5.5 billion of WIS payouts. We achieved good income growth while keeping employment high. Our lower-income workers continue to upskill and, as I mentioned earlier on, looking at home ownership, they also continue to grow their assets.”
“Each gets a waiver of standard miscellaneous fees, free textbooks and school attire, and public transport credit. His youngest son receives the Kindergarten Financial Assistance. Mr Guna enjoys 99% of kindergarten fee assistance, paying only $1 monthly for kindergarten. Mr Guna's retired mother also has a CHAS Orange card and receives subsidised care at CHAS clinics. So, Mr Chairman, our approach of providing multi-layered support is more responsive to the varied needs of our lower-income individuals than any single minimum wage or living wage. The cost of wage supplement is fully borne by the Government, with no cost being passed on to employers or consumers. Importantly, we achieve significantly faster real median income growth, and ranked high on employment rates, compared to other developed countries. Beyond transfers, we also support skills upgrading to help lower-income workers achieve sustainable wage growth, and progress along with the workforce. The WIS Training Support Scheme encourages lower-income workers to upskill to access better jobs with higher wages as the economy transforms. The tripartite partners have introduced the Progressive Wage Model (PWM) in the Security, Landscape and Cleaning sectors as a targeted intervention to address the market failure of “cheap sourcing” and support sustainable wage increases. Since implementation, workers in these three sectors have seen positive real wage growth. Between 2012 and 2017, full-time resident security guards, landscape maintenance workers and cleaners benefited from larger real wage increases of 23%, 36% and 44% respectively, compared to 21% for the median resident worker. Over 70,000 resident workers have benefited so far. Dr Intan Mokhtar asked whether PWM can be extended to more sectors.”
“In addition, whenever the Government provides extra WIS bonuses, such as this year’s WIS Bicentennial Bonus, these bonuses are generally paid fully in cash. I understand Members' desire to look after the workers' immediate needs. From 2020, the enhanced WIS payouts will give all workers higher cash payments for daily needs. But their needs in retirement still matter. We worry about how they will cope when they eventually stop work. We also want our lower-income workers to benefit from the higher interest earned in CPF. Compounded over time, the savings will help them have more in retirement. We will also help the workers who need financial assistance, through ComCare and other schemes. We will continue to review WIS regularly to help target groups like Auntie Geok and her co-workers. Most WIS recipients, including Auntie Geok, also receive other Government support to help meet their living needs. Over 90% of our WIS recipients receive U-Save rebates and additional cash assistance under the Goods and Services Tax (GST) Voucher scheme. Four in 10 receive medical and dental subsidies under the Community Health Assist Scheme (CHAS). Those with children also receive childcare and student care subsidies, if eligible. Nearly half receive three or more types of Government transfers each year. Notably, 75% of our WIS recipients own their homes. I think this is a very laudable statistic to remember. Forty-nine-year-old Mr Gunasegaran s/o Sellayya is another good example. Mr Guna works as a supervisor, managing eight other cleaners. Mr Guna has been receiving WIS monthly. GST Vouchers and U-Save rebates help to offset his daily household expenses. Mr Guna owns a three-room flat that he lives in with his family. His two elder daughters receive MOE Financial Assistance.”
“MOM will elaborate on the first two thrusts during our Committee of Supply (COS) debate later. The WIS scheme is a broad-based measure that tops up the salaries of our lower-income workers and helps them save for retirement. As announced by the Minister for Finance in his Budget speech, from January 2020, we will enhance WIS by raising the qualifying income cap from $2,000 to $2,300 per month and increase the maximum annual payouts by up to $400. With these enhancements, we will disburse almost $1 billion of annual WIS payouts in 2020, benefiting close to 440,000 Singaporeans, including self-employed persons. Sixty-four-year-old Mdm Goh Geok Kee will be one such beneficiary. Auntie Geok shared with me that she has been cleaning our MOM Service Centre and receiving WIS for the past seven years. Many of her co-workers also receive WIS. With this year’s WIS enhancements, Auntie Geok's WIS payouts will boost her income by about 25%. Auntie Geok told me that as long as she remains fit, she would like to continue working. Mr Zainal Sapari suggested removing the age differentiation for WIS. We designed WIS for more payouts to go to older workers like Auntie Geok who have less runway to upgrade their skills and save for retirement. We hope to encourage more older workers like Auntie Geok to be more economically active. Our younger workers have greater potential for income growth and can be better supported through upskilling efforts to improve their human capital. WIS also helps workers save more for retirement. Mr Zainal Sapari proposed increasing the cash component from 40% to 80% and decreasing the CPF component from 60% to 20%. The cash component today is, in fact, higher than when WIS first started.”
“Earlier, Minister Indranee Rajah has shared about MOE's effort to ensure that every child has a start in life to fulfil his or her aspirations. I shall now touch on how we uplift Singaporean workers. With your permission, Mr Chairman, I have asked the Clerk to place a handout on the Members' seats. The outcomes, if we look at the handout, show that we are moving in the right direction. Between 2012 and 2017, lower-income workers have had higher income growth than the median workers. Wages of workers at the 20th percentile grew by 24% cumulatively in real terms, while incomes at the median grew by 21%. Individual income growth also translated into increased household incomes. For low-income Singaporean households, this grew by about 26% cumulatively in real terms, higher than the 24% for median households. Significantly, the employment rate for residents remained high at about 80% even as income grew. But these outcomes did not happen by chance. They arose from multiple layers of support to upskill our workers, uplift their wages, while keeping unemployment low and employment high. What this means is that we must stay focused on three key strategies. First, we must maintain a thriving economy with a tight labour market and constantly look out for opportunities to create better jobs. Full employment is the best way to ensure the welfare of our workers. Next, we must strive for quality growth based on productivity improvements that all Singaporeans can benefit from, including our lower-income workers. Third, we support our lower-income workers at both the broad-based level and within specific sectors so that they can progress with the rest of the workforce. 12.30 pm My speech today will focus on this third thrust.”
“If more time is needed, these companies can make use of the transitional manpower support under the Lean Enterprise Development (LED) scheme.All these programmes and support are readily available to help every group, including workers, businessmen and employers, to progress together with Singapore now and in the future. The overall thrust of this Budget is comprehensive enough to assure all Singaporeans that their future in Singapore is the Government's priority. On the whole, while the Government invests in these programmes, Singaporeans, all of us, businesses, must make use of all the opportunities available. (In English): Mr Speaker, in conclusion, the Government has laid out our considerations in the DRC changes to bring out a more sustainable economy, more productive companies and also better quality jobs for our workers. It was not an easy decision, a tough one which I have laid out the considerations. But it is a measured one that will be good for Singapore in the long term. Before I end, I have a question. I know that the Workers' Party has been quiet on where it stands on our DRC announcement this Budget. Does the Workers' Party support the Government's policy on the DRC changes?”
“Ms Norfazillah seized the opportunity to join the PCP for Social Workers in July 2017. She has a Post-Graduate Diploma in Social Work from the Singapore University of Social Sciences (SUSS). Mr Muhammad Rusydi Md Norr, 31 years old, was previously a convenience store manager. He is now a nurse, after joining the PCP for Registered Nurses (Degree). He entered the 2-year Bachelor of Science (Nursing) programme at the Alice Lee Centre for Nursing Studies at the National University of Singapore (NUS). Their efforts have borne fruit. This is because, as we transform our economy and help businesses become more resilient, we also do not wish to see Malay/Muslim workers and students get left behind. The same goes for businesses affected by the economic transformation. Their worries and concerns are understandable, especially in the context of today's fast-changing and unpredictable economic and global situation. Workers are worried about their future, whether their jobs and their income can be maintained. Businesses are also worried about their future with regard to business costs, competition and other factors. They certainly feel quite worried and anxious about their future. For firms and businessmen, we understand the challenges they face, especially Malay/Muslim entrepreneurs from SMEs. We are committed to helping companies and businesses undergo transformation and implement new and effective operations. We want to see them succeed and become competitive. Therefore, they must take full advantage of the available schemes and funds like the Enterprise Development Grant (EDG) or the Productivity Solutions Grant (PSG) to implement their transformation projects.”
“This can be done by creating a balance whereby employers are allowed to take in foreign workers so that their companies can stay competitive and continue to grow, but at the same time, ensuring that the number of foreign workers does not compromise our objectives. We must manage the inflow of foreign manpower in the service sector in order to encourage our firms and businesses to innovate and improve their operations. At the same time, we also focus on improving our local workforce through education and skills upgrading. It is hoped that this will encourage employers to redesign and transform their work processes and invest in training so that the job opportunities and the career prospects are more attractive to Singaporeans. This also provides better job opportunities for mature workers or those who are seniors, as well as women who wish to return to the workforce. The Malay community can make use of the available schemes, including the Adapt and Grow Scheme. These programmes have helped 30,000 Singaporeans last year, or 76,000 people since 2016, to undergo training for new jobs and acquire new skills for new sectors, apart from facilitating job matching. We also provide funding assistance for employers to hire and train Singaporeans in programmes like the PCP, CSP as well as the Career Trial programme. For instance, Career Trial is very useful for employers who have redesigned their jobs and wish to take Singaporeans who want to try out those jobs. I would like to cite a few examples from our community who have benefited from these programmes. After spending eight years building a career in the banking sector and the Public Service, Ms Norfazillah Shariff, 32 years old, made the courageous move to try a new career outside her comfort zone by becoming a social worker.”
“(In Malay): [Please refer to Vernacular Speech.] The essence of this year's Budget clearly centres on the commitment to build a stronger and more united Singapore. But at the same time, it focuses on the well-being and welfare of Singaporeans. This Budget is comprehensive and takes into account current and future needs. Not many countries have the luxury of presenting a budget that prioritises future needs, year after year. For the Malay community, I urge that they take full advantage of the opportunities and available schemes for upgrading, especially in skills training, so that they are not left behind in our economic transformation. Our workers may already be affected by the economic transformation. In fact, those who have undergone skills training must continue to increase their knowledge in order to fulfil the needs of the current and the future economies. Education and lifelong learning are the best avenue for upgrading. However, the recipe for success will still depend on the attitude of our people and their desire to want to succeed. As the saying goes: when there is a will, there is a way. The Government's move to further reduce employers' DRC for S-Pass and Work Permit holders should be seen as a good opportunity for our ITE and polytechnic graduates because their contributions and skills are much needed in this sector. Singapore's approach is to develop a sustainable workforce, prevent wages from being depressed, and we also want Singaporeans to be the core of our workforce. Our foreign manpower policies are designed to spur better employment outcomes for our people.”
“I encourage businesses to pay more attention to the work environment, remuneration and skills upgrading, and even consider FWAs to be able to attract, develop and retain local workers. For firms that require more time to grow the local pipeline or transit into new manpower-lean models, firms can access transitional manpower flexibilities under the Lean Enterprise Development (LED) scheme. This is to help firms which are serious about growing sustainably within the new DRCs. I hope this gives assurance to Mr Douglas Foo who advocated for a more flexible labour policy to meet the needs of individual businesses. Depending on the transformation plan of businesses, we can calibrate the extent of transitional manpower support to firms. The Government recognises that essential sectors, such as healthcare, will need to ensure day-to-day operations are not affected as firms adjust. While the DRC cuts apply across the Services sector, we will continue to work with MOH to provide manpower flexibilities to healthcare providers so that their day-to-day operations are not affected. Mr Speaker, we want this journey to be one where we can bring about better outcomes for both our companies and our workers. We want our companies to transform so that they can grow in a sustainable manner and create quality jobs. We want our workers, on the other hand, to be able to access these opportunities – quality jobs, good salaries – and participate in Singapore’s economic growth. The Government is here to support both. We cannot have an outcome where workers win and employers lose, or employers win and workers lose. We want a win-win for both workers and employers, supported by the Government and the Labour Movement. Mr Speaker, please allow me to continue my speech in Malay.”
“I recognise some of these challenges that firms are facing, particularly SMEs, which may be too bogged down with day-to-day operations to think about change, especially deep systemic changes that would really allow firms to reduce reliance on foreign manpower. However, we must start somewhere to build deep enterprise and human capabilities so that businesses can remain competitive regionally and globally. This is why we chose to reduce the DRC as opposed to simply raising levies. We did not want a situation where firms continue using existing operating models and simply pay higher levy costs. With a lower DRC, firms will have to either hire more locals or transform their businesses to become more manpower-lean. Restructuring will not be easy and I acknowledge that. To help firms manage the changes, we are phasing in the DRC cuts, in two steps over two years, to give firms some more time to prepare. We are also enhancing our enterprise support by subsidising qualifying project costs, training costs, among other measures, as the Ministry of Trade and Industry (MTI) mentioned yesterday. For those who are looking to grow their local workforce, I encourage employers to participate in the Earn-and-Learn programmes under the SkillsFuture movement to bring in fresh polytechnic and ITE graduates and take up Adapt and Grow programmes through Workforce Singapore (WSG) and its partners to recruit suitable mid-career workers. We provide generous funding for employers to hire and train Singaporeans through our Place-and-Train Programme, CSP and Career Trial. In particular, Career Trial will be useful for employers who have redesigned jobs and want to engage local workers to try them out.”
“In particular, by keeping the labour market tight, employers will have the incentive to develop the local workforce and to redesign and transform jobs to attract locals and to invest in training. Ms Denise Phua raised concerns about the manpower shortage in the Services sector yesterday, where locals may not be willing to take up Services jobs. However, this does not mean that firms will never be able to attract locals into these jobs. We must put in the effort to redesign jobs. I have met employers who have gone out of their way to redesign jobs and create more flexible working arrangements (FWAs) for mature workers, persons who are disabled and others. Certainly, there is scope to make this happen for many of our common jobs, too, if we put our minds to it. We should recognise that there are already many Singaporeans working in the Services sector, alongside S Pass holders and Work Permit holders. In fact, the majority of locals are employed in the Services sector, including in food services and retail jobs. We should avoid reinforcing the view that these are jobs that only foreigners want to take up. There are good jobs for our Singaporean workers, and we should and can do more. We will spare no effort to help businesses transform and transit. To help companies grow and achieve sustained productivity improvements, we will work closely with the industry to support businesses in developing more efficient techniques and service models so that they can grow and transform in a tight labour market. Mr Douglas Foo shared his concerns that some Services sub-sectors will not be able to cope. Firms will also take time for workers to be trained before they can contribute meaningfully to the company.”
“In 2017, we increased the EP qualifying salary to keep pace with rising local wages. This ensures that foreign professionals do not compete with local PMETs by undercutting wages. This has led to a moderation of the number of EP holders, with the exit of lower-quality EPs. The number of EP holders has declined by 3% or 6,400 since the tightening. As some effects of the adjustment in 2017 will continue to be felt in 2019, we have not made any changes to the EP policy this year. We will continue to monitor this closely. As local wages rise, we will have to adjust the EP criteria from time to time. To support fair hiring of local PMETs, we have also strengthened the Fair Consideration Framework (FCF). For employers suspected of unfair hiring practices, we place them on the FCF Watchlist. Beyond PMETs, we aim to uplift all segments of our local workforce. As Singaporeans live longer, we want to do more to support our older workers. We want to help those who still want to work so that they have the opportunity to enjoy good employment outcomes. We also want to help low-wage workers upgrade their skills and uplift their wages as well. And we also want to foster an inclusive society, one that enables all workers, including ex-offenders, persons with special needs, to thrive and find meaningful employment, and for women to be able to fulfil both career and family aspirations. The reality is that many ITE and polytechnic graduates also work in the Services sector, alongside S Pass and Work Permit holders. We want our ITE and polytechnic graduates to be able to access opportunities in these sectors, too. Calibrating the inflow of foreign workers in the Services sector is necessary to sustain the impetus for restructuring.”
“Therefore, we want to give our workers the opportunity to access quality jobs, as long as they are prepared to work hard, be productive and gain the necessary skills required to become competitive. These are contingent on a vibrant economy and strong job creation as well as a sufficiently tight labour market. Our foreign workforce policies are, therefore, calibrated to support economic growth and enhance complementarity between the local and foreign workforce. The profile of our local workforce is changing. Our population is increasingly educated and well-trained. So, we need to keep improving the quality of our jobs to meet the highest aspirations of our people. Having come from the commercial sector, I also recognise that companies, large and small, also want access to human capital with relevant skills to grow their business. And for companies that use Singapore as an international hub, I recognise that access to international manpower is also crucial to be able to address the regional and global markets. As we restructure, it is important to assure companies that Singapore remains open to foreign professionals or specialists with experience in emerging growth areas or skills that are in demand globally and in short supply in Singapore. This allows employers to assemble the best possible international teams in Singapore in order to compete globally which, in turn, create more quality jobs for Singaporeans. However, our short-term needs must not become our long-term dependency, lest we become over-reliant on foreign manpower and risk hurting local employment outcomes. That is why we have made a series of adjustments at the Employment Pass (EP) level which many PMETs have also asked about.”
“Mr Speaker, I am heartened by the many speeches yesterday by several Members of Parliament on worker-related issues. I would also like to thank the National Trades Union Congress (NTUC) and lend my support for their strong commitment to Worker 4.0, to do our best for every worker, including freelancers, older workers and low-wage workers, which is both the necessary thing to do for Singapore's economy and the right thing to do for society. I would also like to recognise Member Ms Sylvia Lim's acknowledgement of the Government's efforts to help our workers adapt and grow literally for the future economy and also her concerns over the vulnerable segment. My colleagues and I will speak more on these areas in MOM's COS segment next week. Yesterday, Members, including Mr Liang Eng Hwa, Ms Jessica Tan, Ms Denise Phua and Mr Chong Kee Hiong, have spoken of their support as well as their concerns with the high S Pass growth, the unsustainability of foreign worker growth, and the need to push on with economic restructuring. I am glad that they have also recognised the Government's efforts to smoothen the transition through various initiatives and schemes with the industry, trade associations and the Labour Movement. The announcements on the reduction in Services DRC and S Pass sub-DRC have generated many views, and I thought I should also elaborate on the workforce considerations that informed this move. Our foreign workforce policies are an integral part of our broader workforce strategy to improve the quality of jobs and employment outcomes for Singaporeans. We want Singaporeans to be able to participate in Singapore's economic growth and prosperity.”
“At this moment, what I can commit is that we are looking at all forms of injuries that result in light duty medical leave. Specific to the list in the UK, I cannot confirm right now. But may I suggest that the Member submits another Parliamentary Question so that we can make a comparison. I have not done a comparison for this particular Parliamentary Question but, generally, all work injuries that result in light duty medical leave will be covered in the new WICA, subject to some of the consultation exercises that we are having. The second question was with regard to the practice with doctors. That is to be further studied. Let us take it up with the Ministry of Health (MOH) to study this.”