Committee of Supply – Head U (Prime Minister's Office)
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[+15 sentences]Mr Speaker, Sir, there is never a dull moment for this tiny island. The Coronavirus Disease of 2019 (COVID-19) outbreak is the latest uncertainty to be added to our list of challenges the country faces, even as we grapple with growing stresses in the global trading system, the impending shake-up in the international tax regime, the increasingly difficult geopolitical dynamics that we have to navigate through, to name a few. These are all working against our operating proposition, where, as a small and open state, we thrive on a rules-based multilateral system and where each has its opportunities and livelihood based on competitive advantages. In the midst of navigating these daunting external developments, we have also our domestic challenges to contend with, such as the ageing demographics, peaking of the local labour workforce in the decade ahead, the friction that we saw in jobs matching and so on. At times like this, it may come across as the world is collapsing upon us. But then, this is Singapore. We are no stranger to crises. We have been hit by external shocks many times in our history. We have had to deal with many existential threats and challenges. Some, we have overcome and some are still out there, like rising sea levels. And very often, we turned the solutions to our domestic challenges into opportunities and possibilities, like the water story, or how we build physical and non-physical connectivity with the world to make up for our lack of size and hinterland. Singapore's exceptionalism story has always been about constantly in the mode of preparing and readying for the next crisis to come even as we hope that things can be smooth sailing. And when the crisis does hit us, we respond decisively, purposefully and with ample firepower to make a difference and, thereafter, regroup, build up again and get ready for the next crisis. So, here we are again. Let me start with the fiscal management of the Government, which epitomises this psyche of preparing and readying for a crisis. Thanks to disciplined and prudent financial management as well as the Net Investment Returns Contribution (NIRC), the surpluses accumulated in this term of Government allow us to mount a massive and robust response to the current situation, yet allowing us to still press on with our longer-term agenda. Without NIRC, three out of the last four fiscal years would have ended in deficit positions.[+2 sentences] So, we are already spending more than what we have collected from taxes. The call to spend more, the need to spend more is expected to keep rising. The calls were even louder in Budget 2018, where there was a bigger than projected surplus of $10.9 billion for financial year (FY) 2017 due to a one-off contribution from the Monetary Authority of Singapore (MAS) and stamp duty collections.[+10 sentences] It is understandable for all of us here in this Chamber to push for more spending and subsidies in areas that we feel strongly about. I do that a lot here. The Finance Minister would then have the unenviable task of allocating the next dollar based on our priorities, and also importantly, based on how these spending commitments can be sustainably funded. It is always tempting to be nice and popular – spend more today and worry about tomorrow later. Fortunately, this is not the case for Singapore's Ministry of Finance. I remember at last year's Budget Statement speech, the Finance Minister said this: "Our fiscal discipline and prudence gave us the resources to respond decisively to unexpected challenges, such as the 2008 Global Financial Crisis. We must not take this for granted." These words said last year may sound like the Finance Minister knew what was to come in 2020. But we know that the good old adage of "Saving for Rainy Days" has never failed Singapore. It is our most valuable 20-20 foresight and which so aptly shows up in Budget 2020. A case in point here is how we used the savings for rainy days to come up with this $4 billion Stabilisation and Support Package to deal with the impact from the COVID-19 outbreak.[+12 sentences] Indeed, the first wave impact to the affected businesses, such as tourism, aviation and retail, has been sharp and severe. Some hotels have almost immediately seen a 50% drop in occupancy as travellers deferred their trips and many international conferences and meetings were cancelled. Air travel has dropped significantly, especially for routes to the affected areas. Cinemas, restaurants, taxis have all seen lower patronage. Even neighbourhood coffee shops' businesses are affected as more eat at home and do less outings. The Stabilisation and Support Package has rightly focused on tackling two situations. Firstly, the weaker cash flow position of businesses due to a sudden drop in revenue; secondly, and actually more importantly, to focus on saving jobs as the sudden drop in businesses has also resulted in excess labour. The announced measures of rental waivers, rebates, temporary bridging loans, point-to-to point support package for taxis and private hire car drivers are practical and helpful relief measures to businesses and to Singaporeans. I am glad that the Government has also introduced the Jobs Support Scheme (JSS) to provide wage support to companies. It not only helps companies with their cash flow situations but also incentivises employers to hold on to their workers. Coupled with the enhanced upskilling measures that were also announced, the message to employers is to tap on these assistance schemes to send workers for training and skills upgrade during this lull period and be ready to seize opportunities again when the recovery comes. I would like to make a technical suggestion here to the Finance Minister. The qualifying period for the Job Support Scheme is for salary paid during the months from October 2019 to December 2019.[+3 sentences] Hence, there is this possibility that employers who enjoy this cash grant could still lay off the workers in the months later. While I believe most employers will be grateful and understand the Government's good intention, the Ministry of Finance (MOF) could eliminate this possibility by adding another condition, which is that the wage support will only be valid for those workers who remain in employment from January to July 2020. Sir, I welcome the update by the Finance Minister on the timing of the Goods and Services Tax (GST) rate increase and that it will not happen in 2021. The $6 billion Assurance Package does help to address the concerns of Singaporeans on the GST increase.[+14 sentences] The COVID-19 outbreak and the resulting sudden surge in demand for its related medical services further underscored the critical need to allocate sufficient funding for healthcare services and that we not only need to have the right capacity but also the deep specialisation and expertise to deal with any public health threat of this scale. As our population ages, the recurring annual costs to provide healthcare services will surely rise. And our expectations for higher subsidies, better quality healthcare and better accessibility will also keep rising over time. For example, at my constituency, we are building a new 12-storey polyclinic which comes at a cost of more than $100 million and thereafter, millions of dollars in recurring costs to run the centre. We are also looking at sites within our estates to build more senior day-care centres that come with medical facilities to handle long-term chronic illnesses. I understand the costs of each such centre is minimally $1 million and, again, the costly recurring expenses. While I dislike seeing the GST rate increase, I do understand that the Finance Minister would need additional funding to help pay for these new expenditures as well as other increased spending in social areas, such as in education, security and so on. I am convinced that our system of GST that is stapled with a massive and almost permanent GST offset package does mitigate its impact on lower- and middle-income households and re-tilt it from a regressive to a progressive tax system. GST taxes everyone who consumes. But those who spend more, especially on more expensive items, will contribute more GST. These tend to be from the wealthier or the higher-income group. Even foreigners who are here for work, business or leisure also contribute to our GST coffer when they spend in Singapore. Just like if I travel to Japan, I would also have to pay the 10% consumption tax for my spending there and, in effect, directly helping to fund Japan's budget deficit. Here, it would be useful if the Finance Minister can share on the proportion of GST collected that is being contributed by the higher-income groups and foreigners. The Assurance Package that will come into effect when the GST rate increase kicks in after 2021 is specifically targeted at helping the lower- and middle-income Singaporean households and seniors. Under the Package, every adult Singaporean will receive a cash payout of $700 to $1,600 over five years. The majority of Singaporeans will receive offsets to cover at least five years' worth of additional GST expenses incurred. In other words, to the majority of Singaporeans, the effect of the GST increase will be further pushed back by another five years when the new increase kicks in because of the Assurance Package.[+28 sentences] Mr Speaker, Sir, I am heartened that in the midst of a long list of agenda items in this year's Budget, the Finance Minister has not forgotten on a group Singaporeans who are increasingly worried about their job security and employability. These are workers in their 40s and 50s. I would like to speak for them today. In Mandarin, please. (In Mandarin): Mr Speaker, I am heartened that Finance Minister has pointed out in the Budget speech that in the next bound of SkillsFuture, there will be a dedicated focus on mid-career workers, those in the 40s and 50s. Indeed, many of the workers in their 40s and 50s, especially the Professionals, Managers and Executives (PMEs), are very worried about losing their jobs and they feel a great sense of insecurity. Those who, unfortunately, lose their jobs at this age face an uphill task to find another job that is commensurate with their work experience and expectations, even though they may be prepared to lower their expectations by a few notches. I have met many such jobseekers at my Meet-the-People Session (MPS). I can fully understand what they are going through. They are often under tremendous pressure to find a new job quickly and the entire family is also impacted as these jobseekers are often also the sole or main breadwinner. As what the Deputy Prime Minister has related in the Budget speech, for people in their 40s and 50s, when they started work, it was normal to stay with one job, in one or two companies, for life. They lived through the period when Singapore’s economy experienced high growth, and technology was not changing very fast as to have a major impact on the workplace. So, overall, their jobs were stable. But, now, economic growth is a lot slower and the workplace is undergoing major changes at a rapid pace. This has a direct impact on job market stability. Of course, as our economy transforms, new jobs are created while old jobs disappear and never return. The issue is that these new positions are often not filled by this age group of jobseekers. Reasons often cited are that there is mismatch in skills or expectations from both jobseekers and hirers. There are also situations where, even after the training and skills upgrade, employers are still not willing to take on these workers as they have younger ones to choose from. This trend is particularly worrying, especially when we are now raising the retirement and re-employment age. We do not want these workers who are still in their prime to prematurely experience unemployment and even stay as long-term unemployed. This would be a high social cost to the individual, their families and the society. The economy will also be deprived of a major source of human resource (HR) and talents. The situation calls for direct interventions from the Government, including more upstream and pre-emptive actions, including stronger retrenchment and job placement support. The Government saw this problem coming some years ago and that is why we have packages, such as the Adapt and Grow and the Professional Conversion Programme (PCP). The best way to do this is to help workers stay employable when they still have a job and for them to have the option to move to new jobs and new roles if need be. We need to reduce difficulties in job transition and enhance their capabilities to better match jobs so that jobseekers can be re-employed faster. Hence, I welcome this new SkillsFuture Mid-Career Support Package which aims to do that. Under this initiative, the Government aims to double the annual job placement of local workers in their 40s and 50s to around 5,500.[+2 sentences] The capacity of our existing reskilling programmes will also be stepped up, such as the PCP, career transition programme and sector-specific programmes. I would urge the agencies that run these programmes to also focus more on helping jobseekers to overcome psychological barriers and make mental adjustments. On the other hand, we know that there are, indeed, biases on the part of employers, including ageism, when hiring. Hence, the most significant announcement in this package is that the Government is providing hiring incentives to employers who hire local jobseekers aged 40 and above through the reskilling programme. For each eligible worker, the employer will receive 20% salary support for six months, capped at $6,000.[+3 sentences] This salary support is equivalent to a negative workers levy and I hope that it will move more employers to consider these experienced workers. Of course, we need employers to collaborate and give these jobseekers a chance. The Deputy Prime Minister also announced that the Government would review the support package for talent hiring and retention to maximise its impact. To further encourage lifelong learning, the Minister has also announced a special SkillsFuture top-up of $500 to every Singaporean aged 40 to 60, so that this group of Singaporeans will get $1,000 SkillsFuture Credit in total.[+8 sentences] The Government Parliamentary Committee (GPC) for Finance has raised its concerns and views with the Minister for Finance in our Budget engagement and I thank him for hearing us out with this substantial upgrade in package to help our workers in their 40s and 50s, so that they can benefit and have peace of mind. (In English): Mr Speaker, in his Budget speech, Deputy Prime Minister Heng Swee Keat also called on Singaporeans to work together in partnership to build the future of our choice. It is in difficult times like this that we need to rally the spirit of SG Together. At our communities, we have seen spontaneous acts by fellow residents, such as coming together to bottle hand sanitisers and placing them in lifts for residents to use, volunteering at masks distribution centres to distribute masks at Residents Committee (RC) centres or expressing gratitude and cheering on our frontline healthcare workers. Social organisations, artists, sports persons and many others have also organised various efforts to help vulnerable groups. We have also seen commercial organisations like banks, insurance companies, multinational corporations (MNCs) coming up with relief packages to help their clients tide over the difficult period. Budget 2020 represents a very strong set of decisive actions by the Government to deal with the COVID-19 situation. But these counter-crisis efforts can be even more effective or powerful if more stakeholders can also facilitate and reinforce the relief measures introduced by the Government. For example, landlords who enjoy the new 15% property tax rebates should quickly pass this on to their tenants in the form of reduced rentals or do even more.[+5 sentences] I have just gotten confirmation from the coffee shop operator at my Community Club (CC) who promised me that he will completely pass on half a month's rental waiver to the self-employed stallholders who are impacted by the crisis as well and I would like to urge other coffee shop operators to do the same, especially those in Housing and Development Board (HDB) estates. Companies that are not adversely affected by the crisis could consider using the wage support received from JSS meaningfully, for example, to invest in their employees' skills upgrade or on their welfare or flow some of it to their clients that may be impacted by the crisis. Each of us and our businesses can do our part, big or small, each in our own way, to help out fellow businesses that are affected. All these efforts add up and go a long way in helping Singapore ride out this difficult period and emerge even stronger. Sir, I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Jessica Tan.
Ms Jessica Tan Soon Neo (East Coast)2256 words
[+12 sentences]Mr Speaker, thank you for allowing me to participate in the Budget Debate. Let me start by sharing a story. A young resident came to my MPS some years ago to ask for financial assistance to pay for his Institute of Technical Education (ITE) school fees. I told him that we would assist him, but I asked that he promise me that he would put in his best effort to do well. I still remember how he, without hesitation, agreed to do so. That year, he did come back, showed me his grades and it did reflect him doing well. And I was very glad for him. After a year, one of my residents came to see me asking for help, saying that he needed help for me to speak to his son. He explained that his family had financial difficulties and because he was a low-income worker. He said that his son wanted to quit school to be able to earn an income to help the family with its finances. He asked if I could convince his son to stay and continue his studies. So, I told him I would try my best and hope that we could do that. After he left, I asked my grassroots leader to please go and see if this is the boy that came to see me a year ago because we need to convince him that he needs to stay in school because his grades are good and we need to help his family. I am glad to say that we were able to convince him and he did continue with his studies and we were able to help his family. By sheer coincidence, I was invited to an ITE graduation ceremony and I witnessed the graduation of him and he was receiving an award and a scholarship to the polytechnic. At that time, he informed me that, with his scholarship, his family could manage and he asked that we channel the support to other more needy families.[+9 sentences] Now, many years later, I recently met this young man. He now has a promising career and he and his family are doing very well. And he said this to me repeatedly. He said, "I know the importance of opportunity and I am grateful that by continuing my studies, I was able to take the opportunities that came my way". So, he had potential and he would have been able to help his family had he gone and found a job at that time. The fact that he was able to build on the foundation and acquire the skills to enable him to access better opportunities really made the difference for him and he is now clearly able to take on larger opportunities that come his way. Of course, his learning continues. So, why am I telling this story? Addressing current challenges and keeping businesses viable are important because, if they fail, Singaporeans who work for these organisations will lose their jobs and their livelihoods will be impacted. We must not, however, give up on building for the long term. I am glad that Budget 2020, while seeking to provide the much-needed support and help for workers and businesses to weather the short-term uncertainties brought about by the COVID-19 situation and geopolitical tensions, is also balancing this with ensuring that we stay on track with the strategic economic transformation plans to prepare Singapore and Singaporeans for the longer term and to be ready for new opportunities.[+4 sentences] The structural shifts brought about by economic trends, technological disruptions and demographic changes require businesses and workers to transform and this will take time and effort. With the business slowdown, organisations must take the opportunity to execute these transformation plans and reskill their employees. As the famous quote attributed to Winston Churchhill says: "Never let a good crisis go to waste". In times of a crisis, it is also time for us to come together to find ways to address the challenges and also see opportunities that present themselves even in these difficult times. An important thrust of the Budget is the development of our people and supporting continual learning.[+15 sentences] The measures in this Budget support nurturing every Singaporean to achieve his or her full potential. And I must tell Members this. It is a little bit disconcerting sometimes, but I have residents who come and ask me, "Can you get me approval to transfer my SkillsFuture credit to my family members?" The reasons given are that they do not need this to learn new skills because they are too old or just that they do not need it or they think that other members of the family may have more need for training. The need to continually learn, unlearn and relearn is important for everyone, regardless of age or stage in life. This is to build confidence not only for employability but for active participation in life in an economy and society that is more complex and fast-changing. With change comes the need to be agile and to be able to handle ambiguity. Therefore, building relevant skills, picking up new knowledge and the ability to deal with change are key to not only availing oneself of employment opportunities, but also to enabling us to be confident to participate and thrive in society. This will impact an individual's quality of life. The challenge is how we can help as many Singaporeans as possible to understand what training is available, assess what is relevant for them and to make access to learning easy. Today, many more people are taking courses and, while this is encouraging as it shows the willingness to learn, we need to do more to ensure relevancy and the impact of the learning in helping with employability or addressing required lifeskills. Skills are important and we must develop deep skills to play and compete in the areas of new opportunities. But we must also recognise that skills and knowledge have a shelf life and do become obsolete. What is equally important is to develop in our people the underlying capability and capacity to learn and relearn to stay relevant, the ability to deal with change, ambiguity and the application of knowledge with the practicality and resolve to make things happen even when there is no charted path. I particularly like the focus on enhancing the role of enterprises in developing their staff. The various measures to encourage businesses to transform their business and redesign jobs, including giving enterprises more direct control over the SkillsFuture Enterprise Credit Fund of $10,000 per company, enabling partnerships among employers, institutes of higher learning (IHLs) and the involvement of large anchor enterprises to support training for their sector and value chain partners, together with providing Singaporean students real-life learning work experience.[+2 sentences] This will better align training with what businesses require. This will, in turn, drive real productivity and value for both employers and employees. The new Asia Exposure Programme and the enhanced support for Internships under the Global Ready Talent Programme are also key platforms to give our young Singaporean students the opportunity to acquire cross-cultural skills and perspectives, developing networks of relationships and understanding of the region.[+2 sentences] This learning experience and exposure will better prepare our young to take advantage of new opportunities with the growth of Asia and add value to organisations that they join after they leave school. The current uncertainties are driving concerns on the implication for businesses and workers, and workers are really worried about keeping their jobs. The short-term measures in the Stabilisation and Support Package will provide businesses some relief from the impact of the COVID-19 situation and will help workers retain their jobs.[+9 sentences] But while the support will help, the reliefs are short term. No one can tell how long the COVID-19 situation will continue and more help may be required. We do have to recognise that for some businesses, the impact of the current uncertainties has been quite sharp, and although their business operations have been viable, the drastic drop in business demand and impact on supply chain will have significant short-term operational and cash flow impacts. Going through the immediate challenges will have to be a priority for them if they are to be able to keep jobs. While the Stabilisation and Support Package does provide some relief on wage costs and funds training support, they may not be sufficient to help businesses. Employers will need to take the leadership on cost-management measures as well as partner with employees to help with cost-saving measures to protect jobs. Perhaps, more can be done to help businesses navigate existing programmes already in place that can complement Budget 2020 to manage this current business impact. While the number of self-employed workers and freelancers form a small proportion of the workforce, they, too, are experiencing a drop in demand for their services and they may need help with support or maybe even to find an employment. And I do hope more can be done for this group of workers as well. The Budget's special focus on support for mid-career workers currently in their 40s and 50s who form a significant number of the workforce is welcomed.[+7 sentences] As Deputy Prime Minister Heng Swee Keat had said in the Budget, some in this segment have stayed with one company and have not made career changes since they left school. With the disruptions that we are seeing, the new technologies and the nature of jobs changing, many in this segment do need help to reskill and, more importantly, to adapt to the changes to compete for new opportunities. While training and reskilling are important, knowing what the opportunities are and aligning the training to available job opportunities are key for mid-career workers to secure suitable employment. And I must tell Members that I do see my residents in this age group struggling with finding suitable employment and this is not because they have not tried. Anxiety levels are really quite high, not just for them, but also for their families. I am also somewhat concerned with the emphasis on training and reskilling with this Budget because if many are trained and yet they are not able to find suitable employment, we may have a situation where there is even greater frustration and anxiety. For the PCPs, there is an online listing of roles and industries from different industries – from Precision Engineering, InfoComm, Food Manufacturing, Logistics and many more – outlining the scope of the application criteria and requirements for participating companies. What is the current number of available jobs that the PCPs have either in the "Place-and-Train" or the "Attach-and-Train", and how can mid-career workers avail themselves of these opportunities?[+6 sentences] As we focus on supporting mid-career workers to develop new skills, we also have to find new pathways to allow these workers to learn new skills and, at the same time, build upon the relevant skills and experience that they have built over the years. Sometimes, I feel that when we talk about reskilling, we forget that these mid-career workers bring a wealth of knowledge, capabilities and experience that we should leverage while we help them with reskilling. This is something that I hope we can pay some attention to, because otherwise, it will be a waste of opportunities and also wasted skills. For example, if data analytics is the area of focus, as we reskill the individual for this, how do we also look at his/her experience, perhaps, say, in marketing or management? How do they avail themselves of these skills across different industries and roles as they pick up this new skill? I think that is a critical area and it is an important area that we have to focus on. Another area that I would also like to highlight is as we encourage employers to recruit, retain and reskill mid-career Singaporeans, we must recognise that the current employment policies and practices need to be also aligned.[+3 sentences] And what do I mean by that? Let me give Members an example. For organisations, when they look at onboarding their staff, they look at onboarding staff to the new environment in the office, to the company and the company's policies and practices and business. For the mid-career worker, what is additionally required is also the onboarding and transition to a new industry when you are looking at reskilling and job role changes.[+4 sentences] I can tell that to Members personally because I have experienced that. I have changed industries. And it can be extremely scary because you suddenly find yourself in situations where you do not even know what questions to ask, because you may not know what you do not know of your new industry. That kind of orientation – onboarding and so on – is very important as well as the support systems to be put in place for that. Performance systems and management systems need to also evolve in the same way. I am also encouraged that Budget 2020 focuses on supporting the building of social capability and capacity to foster a climate of change in our community and to channel the energies of our people around important social causes. Beyond the provision of funding, equally important are these platforms to encourage ground-up participation and bringing stakeholders together to catalyse more ground-up initiatives, crowd source ideas and drive innovation.[+2 sentences] The partnership of our people, businesses and the Government to address social challenges together will help build a more cohesive and resilient Singapore for all Singaporeans. With that, I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Sylvia Lim.
Ms Sylvia Lim (Aljunied)1320 words
[+15 sentences]Mr Speaker, the Government has called this year's Budget, a "Unity Budget". Following from the theme of unity, the focus of my speech today is Unity Amidst Disruption. Of all the areas covered by Deputy Prime Minister Heng Swee Keat's Budget speech, I was especially interested in the section on Navigating Long-Term Structural Shifts. He acknowledged the global decline in support for globalisation, with protectionism and nativism on the rise. On my part, I have been studying the phenomenon of globalisation for a while, and I would argue that the main debate today is not between those who support or reject globalisation. Instead, it is a more nuanced and constructive debate about the kind of globalisation we should strive for that would improve human welfare in a sustainable way. Those who advocate such human-centred globalisation are sometimes called "alternative globalisers". At the outset, I should say that Singapore has been a major beneficiary of globalisation, with the Government providing leadership in this endeavour over the years. We have benefited from open trade, foreign investment and becoming a global financial centre. We are increasingly becoming a global knowledge hub. While these benefits are undeniable, the question is how the "losers" from globalisation are treated. In 2006, when Singapore hosted the World Bank meetings, we were met head-on by protestors who came from abroad to make their customary presence felt at these meetings. While some may see them as disruptive and a nuisance, it is increasingly acknowledged that their underlying concerns were valid. These were concerns about the excesses of global capitalism, such as market destabilisation, exploitation of workers in poorer countries and the destruction of the environment through pollution. Though some far-right groups in the world today seem to reject globalisation outright, this is not constructive, as it is simply not possible to unwind today's world of interconnectedness and multipolar supply chains. The most useful debate today is between the Neoliberalists, who overwhelmingly believe in the global free market, and the Reformists, who argue that global capitalism can be a force for good only when accompanied by policies that promote equitable growth, human security and sustainable development.[+14 sentences] Today, three decades after globalisation took off, the protestors' core concerns are being recognised in the halls of power. Climate Change is on the international agenda and in this Budget. The Organisation for Economic Cooperation and Development has sponsored work on subjective well-being and social welfare. Green financing is gaining momentum, with European Union (EU) law requiring large companies to publish climate-related financial disclosures. International financial institutions, such as the International Monetary Fund (IMF) and the World Bank, have had a rethink about their policies, too. This is especially so after the experience of the Asian Financial Crisis and the collapse of Latin American economies that took their advice. It is now acknowledged by these institutions that different countries are at different states of readiness, that there can be no universal set of rules for everyone. Indeed, the relative success of China and India in the era of globalisation has been attributed to their opening up of their markets in an incremental manner, giving local enterprises and workers time to adapt. The lessons from the 1990s show that governments have an important role to play to actively manage globalisation for their respective countries. The World Bank highlights that governments need to pay attention to the aspect of human security, such as through targeted poverty reduction and social safety nets. Sir, I believe the Singapore Government knows this literature all too well. Though the Government does not label its initiatives in terms of alternative globalisation, some of its policies, including in this Budget, seek to mitigate the harsh impacts of economic liberalisation on Singaporeans. There are various schemes for targeted poverty reduction, for example, through rebates and other financial transfers weighted in favour of the poor. There are also important social safety nets, such as retraining and reskilling efforts, which it is now redoubling on. Yet, as Deputy Prime Minister Heng Swee Keat acknowledges, workers have anxiety, especially those in their 40s and 50s.[+1 sentence] It is useful to unpack the source of such anxiety. Workers in their 40s and 50s are at a stage of their lives when they can least afford income disruption: they have children to raise, mortgages to pay and elderly parents who may be ailing and need financial support.[+1 sentence] Disruption can come anytime, through industries being off-shored elsewhere, or by being displaced through foreign competition within Singapore. To this end, I agree with the Government's effort in this Budget to boost the hiring of locals and mid-career transitioners, by reducing the S Pass sub-dependency ratio ceiling (DRC) in the Construction, Marine and Process industries.[+6 sentences] Despite all these efforts, mid-career workers' anxiety will be hard to assuage. Why? Transitions into new industries take time. There could be mismatch between openings and applicants. Seeking assistance from Government agencies also positions the citizen as someone applying for help, which can be a humbling experience. All this can be a tremendous mental and emotional strain on the whole family. To illustrate, I know of one retrenched man who has still not told his wife that he lost his job some months ago.[+9 sentences] Every day, he leaves home as usual and comes back at the usual time, while trying to find another job. In dealing with the long-term structural shifts, the Government has devoted significant resources to enable workers to skill up and transit to other industries. This is certainly needed. But is it time now to consider other measures too that Singaporeans can tap on more seamlessly, and for security and peace of mind? It had always been a tenet of this Government to promote self-reliance among Singaporeans. Singaporeans, too, prefer to be self-reliant and not have to seek Government assistance at every turn. With the weak economic outlook and soft job market, it may be the time to re-examine some policy approaches. For instance, I know of some mid-career employees who had been laid off and turned to Government agencies for assistance, but were unable to secure work for months, a point Ms Jessica Tan alluded to earlier as well. Some of them wanted to chart their own reskilling towards a professional qualification in another field, which would require a significant cash outlay. One measure, which I think should be considered, is allowing more liberal use of Central Provident Fund (CPF) savings for education and reskilling. This would be reasonable for CPF members whose savings already exceed the applicable Minimum Sums.[+1 sentence] I will speak more about this at the Ministry of Manpower's (MOM's) Committee of Supply debate. Another measure for consideration is some sort of redundancy insurance.[+2 sentences] This has been previously debated in this House, with the Government calling it, "not a crazy idea", but preferring its current approach of job creation and reskilling. How confident is the Government that its existing schemes will be able to find solutions for everyone who applies? Today's economic climate illustrates how such insurance could provide a stabiliser to workers, to soften the cliff-edge that they face with job disruption.[+1 sentence] Suffice to say for now, Sir, that the Government would need to reassess its approaches periodically, as economic and technological realities change. If the anxiety of citizens is not taken seriously enough, the door to populism and nativism will widen.[+4 sentences] Mr Speaker, I have tried in this speech to sketch out how globalisation has largely been a boon, especially to Asia and to Singapore. The forces of globalisation also pressure us to constantly up our game, reskill and be prepared to be uprooted to stay relevant. This transition is not easy, and I appreciate that the Government has poured in resources to support Singaporeans in reskilling and career transition. However, the anxiety and insecurity aspects will also need to be addressed adequately, in order to shore up the concept of unity which is the theme of this Budget.
Mr Speaker4 words
[+1 sentence]Minister Ng Chee Meng.
The Minister, Prime Minister's Office (Mr Ng Chee Meng)2604 words
[+18 sentences]Mr Speaker, we have had a challenging start to 2020. Singaporeans ushered in the new year amidst slowing economic growth and geostrategic uncertainties. With COVID-19, this has further impacted the health of our economy. Although the severity of COVID-19 remains unclear, the Labour Movement will work closely with the Government and businesses to tackle the spread of the disease and protect workers. I would like to thank workers on the frontlines who are working tirelessly to keep us all going: our medical staff, drivers, air crews, cleaners, security officers and many more. Thank you. Mr Speaker, we are not unfamiliar with the current situation, given our experience with the severe acute respiratory syndrome (SARS). We are now much better prepared to tackle an infectious disease outbreak, such as COVID-19. Our medical infrastructure, public health knowledge and training have improved significantly over the years. However, this time round, we are facing a deeper, more wide-ranging impact to our economy than before. Our world is now much more interconnected with China, and the disruption to China's economy is starting to cause far-reaching ripple effects that have affected Singapore as well. So, let us all be mentally prepared and, importantly, ready ourselves, stay strong, and overcome any challenges that come our way. As Secretary-General of the National Trades Union Congress (NTUC), I commend the Government's swift and collected response to the outbreak. The strong Budget this year reflects the whole-of-Government approach to tackling the virus and maintaining our workers' confidence in the economy. Over the past few weeks, the Labour Movement has been hard at work collecting worker feedback through our union leaders, industrial relations officers and from employer partners. Deputy Prime Minister Heng Swee Keat has factored this feedback into the Budget. During this difficult time, workers are understandably worried for the health of their loved ones, friends and co-workers. Additionally, workers in some of the hardest hit sectors are facing daily disruptions and, as Members have said before, they are worried about sustaining a steady income in this uncertain environment. Just to give Members a sense, hotel occupancy rates have gone down to as low as 35% or worse, from highs of 85% and more. Our taxi and private hire drivers have given me feedback that income has dipped up to 40%. And even attractions in Singapore have seen visitorship drop by as much as 90%.[+5 sentences] So, many workers are anxious. They do not know if they can keep their jobs and worry about reduced incomes, given less work, less overtime. As for employer feedback, we are starting to see delays in the supply chain as the reach of COVID-19 deepens. Also, some companies are suffering from a shortage of labour, while ironically, other sectors have excess capacity. I am heartened to see the Budget address these issues and many more. The $4 billion Stabilisation and Support Package announced by the Government will help businesses across industries and specific sectors most affected by the outbreak, to help them defray business costs.[+1 sentence] Our workers can take comfort in knowing that the help for businesses will also help them keep their jobs and incomes. The $1.6 billion Care and Support Package shows care for workers and addresses the needs of older workers, young families, the lower-income and our future generations.[+37 sentences] On NTUC's part, we are doing what we can to help and protect our workers and their families. Our union leaders are working hard to help companies manage excess manpower and reduce costs by arranging for subsidised worker training and upskilling through NTUC Learning Hub and the NTUC Employment and Employability Institute (e2i) during this lull period. In some cases, this is arranged through our Company Training Committees (CTCs) which we launched last year and have proven useful. We are also looking at ways in which we can help workers, in particular PMEs, with their job worries. Something that could help is a pilot that NTUC is introducing this year, called the NTUC Job Security Council (JSC). I will explain more on this shortly, in response also to Ms Jessica Tan and Ms Sylvia Lim's point about worried workers. For the self-employed, the Labour Movement is working together with Government agencies to help cushion the financial blow and organise relevant training. Whilst we work together to overcome today’s challenges, I support the Government's $8.3 billion Transformation and Growth effort to transform our economy and prepare for the realities and opportunities that lie ahead. Singapore continues to face long-term challenges. Industry 4.0 is changing the nature of many jobs and creating new types of work: from 3D printing of our HDB flats, to friendly chatbots providing 24/7 frontline service to customers. All these are exciting opportunities which, if we can seize, will bring greater possibilities for our economy and for our workers. And our labour force is also changing. Our resident labour growth is slowing and our workforce is ageing. There are now more PMEs in the workforce with better education and, in contrast, the proportion of rank-and-file workers is declining. I know that it can be difficult to think about structural change over the long term while we are facing immediate concerns that seem so much more pressing. In these circumstances, workers do tell me that they sometimes struggle to keep up with these new realities. They are prepared for transformation and change but, at the same time, these cause them much worry, whether they can adapt to these new realities. But the Labour Movement wants to assure every worker that you matter and we will do our best to support you during this time. In my view, every job counts. And there is one thing we must do to enhance and, that is, to bring better job security for our workers. We believe that job security is the umbrella that protects our workers from passing thunderstorms. In today's context, job security does not necessarily mean guaranteeing a job for life. Times have changed. More and more, job security means providing workers with what they need for skills progression and job placement, which ultimately will improve their work prospects that would bring them more confidence and give themselves, the workers and their families peace of mind in the new economy. Our NTUC Labour Members of Parliament will be speaking today on how we are working to ensure job security for every worker: older workers, women in the workforce and, especially the most vulnerable segments of our population, such as the lower-income and the self-employed workers. Ms Jessica Tan was almost speaking like a Labour Member of Parliament. And given that she has an important appointment as Director in Raffles Medical Group, it is music to my ears to hear an employer speaking in Parliament calling for more to be done for our workers. Let me elaborate on some of the tools with which we can promote job security for all workers, as Ms Sylvia Lim has also articulated. NTUC introduced the CTCs last year for union leaders and their management partners to work together for the company to drive towards transformation in partnership. I am glad to hear Deputy Prime Minister Heng Swee Keat mention the benefits that the CTC platform has brought to our businesses and workers. These CTCs enable companies to refresh and deepen workers' skillsets in line with new technologies and, importantly, tap on Government resources, such as the new SkillsFuture Enterprise Credit, to aid with the needed training. They have also the added benefit of providing a ready-made platform, an avenue for management to discuss more immediate issues with the union, such as manpower and cost concerns arising out of COVID-19 today – not originally intended but necessarily a good tool now for CTCs to enable the discussions between management and workers to think about training in the lull period. Wildlife Reserves Singapore, which manages the Singapore Zoo, the Jurong Bird Park and other attractions, has, as I said earlier, experienced a significant drop in visitor arrivals because of COVID-19. Through a recent CTC meeting with the management, and in my discussion with them just this Monday, our unions proposed sending the workers for training and upskilling during this downtime. This will build the company's and the workers' capabilities in tandem and prepare them when the upturn in the economy comes, when more visitors come back to the Singapore Zoo and the Jurong Bird Park. Such a move will also give their workers the added assurance that they can continue with their jobs – less anxiety. And I am happy to see that Wildlife Reserves Singapore is fully on board. The company is particularly keen to build on their digital roadmap with the help of NTUC Learning Hub to identify and customise relevant courses, such as SkillsFuture for Digital Workplace, for its workforce of about 1,100 workers.[+1 sentence] These courses will help shape Worker 4.0 actualise the value of technology in the workplace and, equally importantly, help workers improve their work prospects and job security over time. When we first announced the CTCs last year, the Labour Movement made a goal to have 1,000 CTCs in three years.[+1 sentence] I am pleased to update the House that we are well on our way to meeting this target. To date, we have formed 352 CTCs and we are starting to see workers in companies, such as Wildlife Reserves Singapore, reap the benefits of this partnership.[+8 sentences] So, well done, Wildlife Reserves Singapore and our unions, Attractions, Resorts and Entertainment Union (AREU) and the Singapore Manual and Mercantile Workers' Union (SMMWU). However, we can do more. There are still some workers who continue to fall through the gaps. Through my conversations, I have noticed, as many Members have, that there is a growing concern among workers, especially those in their 40s to 50s, and, more often, PMEs, who find themselves displaced or retrenched because their skills have become redundant as technologies evolve. And if they are retrenched, they can take a long time to get back into a job and one which may not pay as well or may not even fully utilise their skills. Although these numbers are not large, for the individual worker or PME who has mouths to feed and bills to pay, the situation can cause a lot of fear and anxiety. NTUC wants to ease this situation and help these workers and PMEs. While the Labour Movement has already been training and matching workers on an informal basis, we want to formalise this process. NTUC is, therefore, piloting the NTUC JSC, to improve the matching of displaced or retrenched workers into new jobs.[+6 sentences] We will create an ecosystem of "releasing" companies and "receiving" companies: "receiving" companies being those which can absorb skilled workers and PMEs into their workplace from the "releasing" companies. JSC will work with companies to gather information on the job vacancies, jobs that may be phased out and, importantly, jobs that could be redesigned for workers and PMEs. JSC will then match these workers and PMEs to vacancies within this network and, where needed, identify the new skillsets required and top up workers' and PMEs' skills, where necessary, with the necessary training. JSC can also help companies access the many Government schemes, such as the new SkillsFuture Mid-Career Support Package. All these schemes are intended to enhance skilling and placement efforts for local workers and PMEs. And NTUC or this JSC can be the conduit to focus workers and companies on accessing the grants to help the workers seek new jobs and upgrade their skills. The pilot will start with more than 4,000 companies. We have strong support from our valued tripartite partner, the Singapore National Employers Federation and many other Trade Associations and Chambers (TACs), such as the Workforce Advancement Federation supporting local small and medium enterprises (SMEs), the Singapore Manufacturing Federation and the Specialists Trade Alliance of Singapore from the building and construction industry.[+6 sentences] These 4,000-plus companies come from a wide range and diverse industries and are of many different sizes. I am excited to see MNCs, such as Rolls Royce and General Electric (GE) Aviation, coming on board. I visited Rolls Royce recently and was impressed by the dedication and commitment of the management to the workforce. We have also some startups, local startups and SMEs, such as Ebenezer Group in the Engineering sector, Blue Ventures Holdings in the Wholesale Trade, as well as Swee Heng Bakery and Montreux Patisserie in the food and beverage (F&B) sector. Swee Heng Bakery is a household name and has been in the bakery scene for just over 30 years. Their efforts to keep relevant causes them to up technology and, in the process, partnering e2i to up the skills of the workers in using machinery and upping their productivity so that they can remain relevant and do a thriving business. All these companies will stand to benefit from a lower-cost ready-made recruitment tool through the JSC, with the added bonus of training and skills upgrading for our workers.[+11 sentences] Companies will also have access to a community of HR personnel and senior management sharing best practices and progressive employment standards. Through JSC, we want to create a win-win for companies and our workers. We hope to lessen the anxiety for workers and PMEs and assure them that NTUC, the Labour Movement, is doing what we can to help them find good jobs. We look forward to taking this pilot further and we call on companies which may not have yet joined us to contact NTUC to come on board. So, Ms Jessica Tan, I expect a call from Raffles Medical Group soon. Mr Speaker, in Mandarin, please. (In Mandarin): I have been very concerned about the employment situation of our workers, especially the middle-aged workers and PMEs who are in their 40s to 50s. Many who lost their jobs shared with me that they faced all kinds of difficulties finding a new job. A year ago, we started exploring ways to help these workers. In the past half year, NTUC’s e2i has been in talks with many companies to join the NTUC JSC. Companies that join JSC, a handful may reduce manpower, but many more want to hire workers. Through JSC, workers who are at risk of losing their jobs will be matched to companies that have suitable jobs for them.[+1 sentence] And if workers need to have different skills to take on the new jobs, e2i will arrange for them to undergo training and upskill themselves. To date, we have more than 4,000 companies on board the NTUC JSC, employing a total of more than 500,000 workers. More than 90% of these companies are SMEs.[+11 sentences] We will continue to work with companies from more sectors and get them on board JSC so that more workers can benefit. (In English): Mr Speaker, I will conclude. Around the world, the social compact in many societies is breaking down. The trust citizens have for their political leaders is eroding. But in Singapore, we have the trust of Singaporeans. It is something that we must never take for granted. In Singapore, we enjoy the fruits of hard-earned tripartism, which has brought us economic resilience and social stability. Underpinned by this year's strong Budget, all these will ensure that Singaporeans’ lives are uplifted together. The Labour Movement will continue to work with our Government and employers to improve the social and economic well-being of Singapore and Singaporeans. To this end, we will continue to strengthen and adapt the uniquely Singapore social compact so that it will stand the test of time. Mr Speaker, I stand in support of the Budget.
Mr Speaker3 words
[+1 sentence]Mr Patrick Tay.
Mr Patrick Tay Teck Guan (West Coast)1590 words
[+5 sentences]Mr Speaker, Sir, I rise in support of this year's Budget. Today, as we debate Budget 2020, Singapore, as a country, must grapple with the round-the-clock challenge of battling with COVID-19. This is over and above the continued race to keep up with the rise of digitalisation, new technologies and economic transformation. Against the backdrop of these exacting forces, the future of work, workers and workplaces will and must evolve and transform. Thus far, many union leaders, workers as well as my grassroots leaders and residents have shared positive feedback about this year’s Budget. At a personal level, I am sure the Stabilisation and Support Package announced at Budget 2020 will be a boon to both businesses and workers, as it provides assurance and support in this time of economic uncertainty and ensure every worker matters and every job counts.[+5 sentences] On one hand, businesses will receive job and cash flow support to retain and retrain workers. On the other hand, our workers – from the young and mid-career to older workers – will get a much-needed boost through the various SkillsFuture Credit schemes to upgrade, upskill and stay employable. What is particularly reassuring is that Deputy Prime Minister Heng Swee Keat has also stated affirmatively in his speech that the Government is prepared to do more should the need arise. This year’s Budget is seen as an expensive as well as expansive one. I am particularly happy and delighted with three items fleshed out in the Budget because it has answered three calls which I have been making in this House. First, is the $500 SkillsFuture Credit top-up for all Singaporeans, which I have been lobbying for over the past two years.[+8 sentences] Some Members may not know, but what is particularly beneficial and useful are that freelancers and self-employed individuals can also tap on their SkillsFuture Credits to learn new skills or even develop in their field. I am heartened, therefore, that this top-up will give all Singaporeans aged 25 and above an added push as they make lifelong learning a way of life. Second, is the added focus on mid-career workers between the ages of 40 and 60 through the various programmes and policies. Based on labour market statistics and reports, this group continues to be the most vulnerable and affected by retrenchments, with higher skilled, middle-aged PMEs the hardest hit. Mature and older workers, including PMEs, also face greater difficulty in the job market with the long-term unemployment rate of Singaporeans climbing with age. For those who are unemployed or retrenched, re-entry into the labour market is also an uphill task. In my interactions with mature workers, and especially PMEs, they have shared their concerns about being made redundant by younger colleagues or being replaced by technology and job automation. In short, they worry about staying employed and employable. Third, would be the creation of the SkillsFuture Enterprise Credit for Employers.[+7 sentences] This is also something I have suggested in this House. I hope this credit for employers will serve as a catalyst for companies, especially SMEs, to develop their workforce as they transform their business, by embracing and investing in skills upgrading and training of their workers. In particular, the SkillsFuture Enterprise Credit will further augment and complement existing efforts by NTUC and our affiliated unions to partner companies in forming CTCs. These efforts, which were introduced last year, aim to equip workers across all sectors and all sizes of companies with the necessary skills, so that they can secure better wages, better welfare and better work prospects. Notwithstanding a laudable Budget, I have five specific suggestions for consideration. First, to speed up the disbursement of JSS and SkillsFuture Top-up. In the near term, some companies that are directly affected are already feeling the effects of economic fallout brought about by COVID-19 and any immediate relief is welcomed. As such, can the disbursement of JSS be brought forward from the start date of July 2020? In the same vein, many workers, especially the freelance and self-employed, have asked if the SkillsFuture Top-up originally scheduled in October 2020 can be rolled out earlier, so that they can make use of this period of downtime to embark on the relevant training.[+8 sentences] As I urge the speeding up of disbursements, I also suggest for the Government's support to lengthen and stretch the validity of these schemes should the situation worsen or become prolonged. Second is to expand the Training Support for Mid-Career Singaporeans. My second suggestion is not to confine the additional top-up for those aged 40 to 60 only to those 200 career transition programmes offered by the CET centres as outlined in Annex B-2 to the Budget Statement. I urge for the courses availed to include those recognised under the Industry Transformation Map (ITM) Skills Framework as well as suitable Government and NTUC-run courses and programmes and those of our CTCs. By the same token, to minimise jobs and skills mismatches, career advisors could look at providing peer-level support for this group and additional support, such as coaching, to identify skills gaps and training intervention that may be needed. Third is to restore the Surrogate Employer Programme. During the SARS crisis in 2003, I was in NTUC overseeing the Surrogate Employer Programme, where NTUC acted as a surrogate employer and helped many of those affected by the downturn, such as Tour Guides as well as SIA's Cabin Crew who were on unpaid leave, to go for training and upgrading while benefiting from a training allowance. These efforts resulted in a win-win-win for all, in that when the Singapore economy rebounded months later, affected workers who had the training allowance as stipend could now return to their jobs and assignments quickly, to the delight of their employers and customers. In addition, they were now armed with additional qualifications, such as a Diploma in Hospitality or other related certifications. I see a good opportunity for us to revisit and reintroduce this scheme to support workers who may fall through the cracks or those not covered under the current schemes, such as our freelancers and self-employed Singaporeans. To further support this group of workers, could the Government also look at extending calibrated wage support through sector agencies to help them cope with the immediate impact brought about by the current economic situation?[+2 sentences] NTUC stands ready to partner the Government to administer the Surrogate Employer Programme so that this group of workers can also benefit from training assistance and incentives. Fourth, to raise the absentee payroll and course fee funding. In light of the current situation, as well as business slowdown for many industries and the possibility of a recession, the Government can step in to provide an additional nudge and incentive for employers to send all their workers for training and skills upgrading through increasing the absentee payroll and course fee funding.[+3 sentences] Minimally, I submit that this enhanced critical funding can help to address the vulnerabilities of the mature and older workers in this time and space. Today, the world has changed and continues to change. Against an increasingly uncertain global environment and an economy that is facing challenges both in the short term and long term, many of our workers are understandably worried that their jobs will be impacted. To ensure job security for workers, my fifth suggestion would be the formation of JSC.[+9 sentences] As NTUC Secretary-General and Minister Ng Chee Meng has shared, NTUC will be piloting a JSC to pre-emptively match at-risk workers and PMEs into jobs. Through JSC, NTUC and its affiliated unions will help displaced workers find new jobs within the network and, where necessary, provide the requisite training to help workers smoothly transition from one job to another. Mr Speaker, in Mandarin, please. (In Mandarin): The COVID-19 outbreak will undoubtedly affect our economy. Many workers have told me that they were worried about their jobs. I fully understand their concerns. The new Budget, as announced by Deputy Prime Minister Heng Swee Keat, is both assuring and stimulating. Not only does it address the immediate needs but also focus on long-term planning. With regard to this, I have five suggestions. First, speed up the disbursement of JSS and the additional $500 SkillsFuture Top-up, encouraging businesses and workers to make use of this period of downtime to restructure, train and upgrade.[+8 sentences] Second, allow Singaporeans between 40 and 60 years old to have more courses available to them, including those recognised under the ITM Skills Framework or relevant courses offered by NTUC. Third, restore the Surrogate Employer Programme so that freelancers, self-employed persons or certain neglected workers can also receive allowances during their absence so that they can go for courses for upgrading. Fourth, raise the absentee payroll to encourage businesses to send their workers for training. Fifth, at the same time, we must pay attention to job security of our workers. As NTUC Secretary-General Ng Chee Meng has announced, NTUC will set up a JSC to help retrenched workers with job matching and necessary training through e2i. (In English): My view is that this is a comprehensive and inclusive Budget, one that will help Singapore overcome our short-term challenges and, at the same time, prepare ourselves for future threats, disruptions and opportunities. I urge our tripartite partners and all of us in Singapore to rally together, stay united and look out for one another. This is so that we can navigate and overcome this rough patch together, and then ride on the wave of change and embrace the upturn thereafter as one Singapore.
Mr Speaker4 words
[+1 sentence]Mr Seah Kian Peng.
Mr Seah Kian Peng (Marine Parade)1818 words
[+3 sentences]Mr Speaker, Sir, I rise in support of the Budget. The COVID-19 crisis is named for the last day of last year on 31 December 2019 when China informed the World Health Organization (WHO) of a novel virus pneumonia in Wuhan. Singapore has close links with China. Our Changi Airport receives an average of 330,000 visitors from China each month.[+4 sentences] On 2 January, the Ministry of Health (MOH) alerted all doctors to identify any patient with pneumonia and a recent travel history to Wuhan. A day later, we started temperature screening at our airport of all travellers arriving from Wuhan. More information starting coming out from China, including the vital fact that the virus could be transmitted from human. By then, it was late January. On 23 January, Singapore diagnosed its first case of COVID-19, a tourist from Wuhan.[+25 sentences] Since then, we have seen the best, and the worst of ourselves. The heroes in this fight are undoubtedly the healthcare staff – doctors, nurses and all in the healthcare industry – who work under incredible pressures and fears. Nurses who care for COVID-19 patients are working with cumbersome masks and protective wear. Those of us who have worn an N95 will know how hard it is to breathe under one of these, even for half an hour. Yet, they have to go through entire working days with these, sometimes doing delicate work, taking blood and other procedures, all the while knowing that these bodily fluids are infected. There is a real risk. And many of these same people would have worked at their jobs when we had SARS. When they can finally take off their equipment, clean up and go to lunch, some of them are unfortunately shunned and avoided. On trains and buses, their uniforms are a badge for isolation. Unfortunately, there are some who mocked the great who toiled so hard and late. Prime Minister Lee, our Ministers, our union leaders and community leaders have all made many visits to these workers, openly standing shoulder to shoulder with them, no masks, just smiles. I also count among these the selfless and courageous grassroots volunteers. In the distribution of masks exercises, many volunteers stepped forward to make the whole process seamless and smooth. There are also others who declined their quota of masks, saying to give them to others as they already have secured their supply of face masks. Then, there are the students of our universities, which give me hope for the future. I saw on television a student's union president, Mr Richard Wang, who delivered food to his fellow students regularly and without complaint. Then, there was the Singapore Civil Defence Force (SCDF) Corporal Mohd Shahrom who picked up a patient suspected to have, and later confirmed to have the virus. And then, there was Mr Keith Aw from MOM who checked on foreign workers on leave of absence, speaking to them for up to 10 minutes a time. All these people act, not because they have no fear, but they act in spite of fear. There is no Budget measure that accounts for greatness. I also want to speak about the wise, the key decision makers, including public health officials, who have acted so quickly and decisively in this crisis. Contact tracing and quarantine orders were swiftly issued. We instituted travel declarations and entry restrictions; there were also leave of absence from work and stay-home notices that were instituted. These are not easy decisions and cause a lot of disruption to people's lives and livelihoods. But the price of leadership is to sacrifice the popular for the right. For many of us in this House, this solidarity reminds us of SARS in 2003 when 238 people were infected with 33 fatalities. Since that time, we have the new National Centre for Infectious Diseases (NCID), we have also built a national stockpile of face masks.[+10 sentences] This again, is the prescience of those who are wise among us. The leaders who have made all the difficult calls, not just the Cabinet Ministers, but the men and women on the ground who have had to make difficult calls at a time of fear and panic. And, of course, the opportunists will mock the wise, they will spew untruths and outright lies. Even in such trying times, some would take the opportunity to spread fake news. The Protection from Online Falsehoods and Manipulation Act (POFMA) office was kept busy during this period, too. I am glad that we have POFMA. Left unchecked, the spread of deliberate online falsehoods will have serious consequences which society will ultimately have to pay a heavy price for. I count these measures that we have outlined in this Budget to be among the wise decisions. Overall, there is nothing much that one can find fault with our Deputy Prime Minister and Finance Minister in this year’s Unity Budget. I would like to confine my comments to SMEs and a couple of suggestions for the Finance Minister to consider. For promising SMEs, the Government has announced that Enterprise Singapore (ESG) will launch an Enterprise Transform Package with focus on leadership. It will also support business leaders of 900 SMEs over the next three years with training and mentorship.[+7 sentences] This is a much welcomed move. However, smaller SMEs might have issues understanding Government initiatives and programmes in English and so I suggest such initiatives and programmes be translated into Mandarin, Malay and Tamil so that the wider business communities can understand and embark on such initiatives. The language gap requires another sort of translation. We need to make these schemes more accessible by showing SMEs how such Government grants can help them so that they do not miss out on them. The Government has also announced COVID-19 relief measures to support SMEs in affected sectors in the form of tax rebates, bridging loans, rental waivers, wage subsidies, higher absentee payroll and training course subsidies, foreign worker levy waivers and so on. These are certainly appreciated by SMEs and businesses. However, there are some gaps. First, the ground feedback that I have received is that the Job Support Scheme to be given out in July 2020 is rather late and does little to help mitigate cash flow issues. Time is of the essence for these SMEs as the adverse business impact they are facing now due to COVID-19 is a significant one and they are crying out for help with urgency. Second, there is no additional Absentee Payroll and training course subsidies for enterprises affected by COVID-19 to send excess manpower for training. Third, there is no foreign worker levy waiver for enterprises affected by COVID-19, especially when foreign workers represent a significant manpower share in the food services and retail sectors.[+8 sentences] I hope the Government will consider and see if these gaps can be addressed. The day that Singapore announced that it was going Disease Outbreak Response System Condition (DORSCON) Orange, there was frenzied buying at the supermarkets. But it was not the long queues at the supermarkets but the long queues later for a separate matter that I would like to remember. Two weeks ago, Red Cross Singapore called for Singaporeans to donate their blood as blood stock levels for some blood types were running critically low. Many came forward. There were crowds of Singaporeans at the four blood banks around the island. Meantime, there are other stories of people being incredibly altruistic, leaving sanitisers and masks for their neighbours. Then, unfortunately, there are those who take advantage of this crisis to do great harm. MOH had to release a statement to warn the community of scam calls impersonating the MOH Contact Tracing team in an attempt to retrieve personal financial details.[+24 sentences] The Police have also arrested five people for their suspected involvement in five separate e-commerce scams involving the online sale of face masks. There are those among us who are great and wise and good. And there will always be those who mock them, those who use fake news or false news, those who are socially irresponsible and those who behave badly. What about those of us who are neither great, nor wise, nor good? We, ordinary men and women of Singapore, can be decent. As Members know, FairPrice was caught up in this panic buying. As the Group Chief Executive Officer (CEO) of NTUC FairPrice, I witnessed first hand the shopping frenzy by many people on those two days, Friday and Saturday. This shopping behaviour was quite broad-based, covering all age groups, races and social strata. To instil calm to all, NTUC FairPrice instituted a variety of measures, including the imposition of purchase limits on some items. As to be expected, when this was first announced, it attracted quite a lot of noise and there was a minority group that criticised our move. But I would say a large majority were in favour. In fact, many of them suggested to me that when this episode is over, FairPrice should not allow people who stock up to return their excess goods to us to get a refund. This is actually our standard policy. This is so as to teach people a lesson on buying responsibly and not hoard first only to return the stocks later. I thank everyone who has given me various suggestions. I think what we will do is to encourage all those who had bought probably a bit too much to consider donating their excess stocks to Food Bank or Food from the Heart. Maybe I will set up a collection counter for them, too. At the same time, I am also heartened and warmed by the many calls from members of the public who reached out to me to volunteer their services to help out in any crisis, if needed. As I look back over the last one month, I see a Government that has led from the front, been decisive in managing this crisis and coming up with a comprehensive, assuring and caring Budget that takes care of businesses and citizens alike whilst transforming, supporting and building a sustainable Singapore . Even in the aspect of face masks, I think Singapore may be the only country in the world to ensure that every citizen, every household, has some face masks at their home. Mr Speaker, this Budget is for all of us, those among us who are great and wise and good. Those who mock them – purveyors of false news, socially irresponsible, the boors of society. Most of all, the Budget is for the ordinary men and women of Singapore who are decent and care for our fellowmen, who would work together to stem out the foul storm that is facing Singapore. This Budget has something for us all, and I thank the Deputy Prime Minister and Finance Minister Heng Swee Keat and his team for their inclusive and thoughtful rendering that is this Unity Budget.
Mr Speaker3 words
[+1 sentence]Mr Melvin Yong.
Mr Melvin Yong Yik Chye (Tanjong Pagar)2172 words
[+3 sentences]Mr Speaker, COVID-19 has grabbed headlines as the first major public health emergency of this new decade, and I am glad to see that the Government is dedicating a substantial $5.6 billion to help businesses and workers most affected by the crisis. But while our nation unites to tackle the pandemic, we must not forget that long-term structural challenges, such as the declining support for globalisation, an ageing workforce and the uncertainties surrounding our economy, continue to persist. More worryingly, some of these challenges are now being accelerated due to COVID-19. The confluence of these factors will impact our entire economy, and I am heartened to note that the Government will be investing $8.3 billion to drive industry transformation and develop our workers for the future.[+8 sentences] However, more can be done to help our professionals, managers, executives and technicians (PMETs), which according to a 2019 report published by the Development Bank of Singapore Senior Economist, Irvin Seah, PMETs are now the "new vulnerables" among our workforce. My speech today will focus on how we can help vulnerable PMETs stay employed, be more employable and help those who are feeling “sandwiched” financially. Let me elaborate. Mr Speaker, I am happy to note that Budget 2020 has placed an emphasis on helping mid-career PMETs currently in their 40s and 50s through the Mid-Career Support Package. This is a timely move as PMETs in this age group are arguably at one of the most vulnerable stages in their careers. And they are vulnerable in the two key areas of employment and employability. Let me, first, touch on employment vulnerability, or better known as job security. Employment data over the past decade has shown that PMETs are increasingly at risk of being retrenched. According to the retrenchment statistics released by MOM, the proportion of PMETs among workers being retrenched annually has grown from 37% in 2008 to 65% in 2018.[+10 sentences] This upward trend is unlikely to be reversed anytime soon and will be accelerated in the event of an economic downturn. PMETs, particularly those in their mid-career, are also vulnerable in terms of employability. Those who do not keep their skillsets current will find it hard to secure new jobs when they are displaced. As Deputy Prime Minister Heng Swee Keat noted in his Budget speech, many of our mid-career PMETs grew up in a time when it is seen as the norm to stay in one company for life until retirement. However, with technology cycles shorter than ever, many are now at risk of being displaced by fresh graduates if they do not equip themselves with new technical and new technology skills. Quantitatively, we are already seeing this trend happening. If we analyse the rate of re-entry into employment among retrenched residents from MOM's Labour Market Survey, it shows that workers aged 40 and above have lower re-entry rates than their younger counterparts. So, how then, can we better support this group of vulnerable mid-career PMETs to have better job security, and boost their employability if and when they get displaced? I am proposing three strategies: (a) build a strong ecosystem of job security support within each sector; (b) bring training closer to our mid-career PMETs; and (c) equip them with adaptive skills beyond technical and technology skills. Let me start with providing better job security support to our PMETs. First, I would like to commend Budget 2020 for introducing the Stabilisation and Support Package amounting to $4 billion, which will support our enterprises in keeping their workers during the economic slowdown and position them to rebound quickly once the crisis is over.[+14 sentences] However, in the longer term, we need to ensure that our economic sectors are self-sustaining. In my view, the concept of JSC which the NTUC Secretary-General Mr Ng Chee Meng had highlighted in his speech earlier, is a useful way forward. By creating a structure to formalise the matching of displaced workers in an affected sector to a growing sector in need of manpower, we will be able to achieve a more resilient employment landscape. The NTUC JSC will benefit all working professionals and will go a long way towards mitigating the increased risk of retrenchments that our PMETs face in today’s fast-changing operating environment. I am, therefore, glad to see such strong support during the pilot phase and I urge more companies to come on board this initiative. Mr Speaker, we also need to ensure that our PMETs remain employable and constantly upgrade themselves to take on the new jobs of tomorrow. To do so, we must bring training closer in terms of relevance, cost and location. First, we need to make training more relevant to our PMETs. From my weekly visits to workplaces, many PMETs have told me that while they understood the importance of going for training and staying current with industry trends, they are unable to see how going for generic courses can help them in their specific line of work. This is why the NTUC, through its affiliated unions, has initiated the formation of CTCs with our unionised companies. These CTCs are meant to help our workers answer the two common questions of "Train what?" and "Train for what?" Through CTCs, we work with companies to assess their specific business and operational needs and translate these needs into a targeted training plan for employees to close the skills gap and, at the same time, remain employable. In the area of cost, training must be made more affordable and within the financial reach of our PMETs. In previous Budgets, my fellow Labour Members of Parliament and I had called for top-ups to the SkillsFuture Credit and we are glad that this suggestion has been adopted. The top-ups will certainly help our workers offset the costs of keeping their skillsets relevant. I also support the $500 special top-up to the SkillsFuture Credit accounts for mid-career workers aged 40 to 60. I note, however, that this Special SkillsFuture Credit is limited for use to only about 200 selected career transition programmes.[+4 sentences] I hope that the Government can expand this to include all Workforce Skills Qualifications (WSQ) courses as well as programmes to help our PMETs to deep-skill themselves. Deep-skill training programmes require a certain level of experience as a prerequisite and are often more costly due to their small niche. Perhaps the Government can consider mapping deep-skill training courses to the proficiency levels found in the Skills Framework and allow eligible programmes to be further subsidised. This way, we can help to reduce the out-of-pocket expenses for those who wish to gain a deeper mastery of their profession. Additionally, with our ageing workforce and the corresponding rise in our retirement and re-employment ages, I hope the Government can extend the Special SkillsFuture Credit top-up to those beyond 60 years of age.[+1 sentence] Just as we should support those who wish to continue working beyond 60, we should also support them in their pursuit of lifelong learning. Like my NTUC colleague, Mr Patrick Tay, I would also urge the Government to bring forward the disbursement of the SkillsFuture Credit top-ups from the current date of 1 October.[+6 sentences] As the Chinese proverb goes: "远水救不了近火". We should disburse the additional SkillsFuture Credit sooner rather than later so that our workers can attend the necessary training during this near-term economic lull and be equipped with new skills and confidence when our respective industries recover. Beyond cost, we need to bring the training programmes physically closer to our mid-career PMETs. Some courses just cannot be done online. For courses that require a physical premises, schools, IHLs and even neighbourhood Community Centres (CCs) serve as a more convenient location for our working people to go and upgrade themselves. The Labour Movement will do our part to bring training closer to our working professionals. Here, I would like to announce that our U PME Centre will evolve to a mobile centre and bring our services closer to our PMETs.[+3 sentences] Currently, the U PME Centre sits at the NTUC Members Hub in One Marina Boulevard, helping to equip PMET union members with a growth mindset through services, such as career development workshops and job preparation courses. The existing centre has done well, serving over 1,500 individuals in the past three years. Moving forward, we will bring these workshops and training programmes closer to our PMETs. For a start, U PME Centre will set up on-demand mobile centres at the three CCs located within the Moulmein-Cairnhill constituency at Cairnhill, Tanglin and Pek Kio.[+5 sentences] I understand the grassroot advisor has been most supportive of this. We will gradually extend our services to all 11 CCs located within the Tanjong Pagar Group Representation Constituency. I hope that the Government can partner us to progressively open all CCs and even the Residents' Committee (RC) Centres to the mobile U PME Centre so that we, the Labour Movement, can deliver our programmes closer to the heartlands. Mr Speaker, as the pace of technological transformation at the workplace accelerates, employers are increasingly looking to hire and retain candidates with the right set of adaptive skills beyond just technical skills that can enable them to succeed at the workplace. Skills, such as project management and communication, are becoming more in demand. The Labour Movement will, therefore, work with our extensive network of professional associations to equip more PMETs with adaptive skills to improve their employment prospects. I am pleased to share that we will be partnering the Project Management Institute Singapore Chapter (SPMI) to roll out free workshops on project management fundamentals through our new mobile U PME Centre.[+20 sentences] We will also work with ClickInsight, a digital marketing firm, to provide free digital marketing workshops. NTUC will continue working with our professional associations to expand the range of our adaptive skills training. I urge all PMETs to sign up as an NTUC member to enjoy access to these workshops and to also tap on the yearly $250 union training subsidy, which can be added onto your SkillsFuture Credit top-ups to improve your own employability. Mr Speaker, as the demographics of our working population shifts to become majority PMETs, more emphasis needs to be placed on equipping them with the necessary financial management skills and tools. Many PMETs find themselves "sandwiched" financially as they have both young children and elderly parents to care for. It is, therefore, important that we help them navigate through this period and emerge with sound financial footing so that they can achieve their desired quality of life during retirement. The Labour Movement has been doing our part to support workers in financial planning. MoneyOwl, one of our new social enterprises, was created to offer comprehensive and conflict-free advice to families and help them plan for their retirement needs. Since it was formed in 2018, MoneyOwl has benefited more than 5,000 people. I am happy to share that MoneyOwl has recently launched a comprehensive financial planning service to help Singaporeans plan for retirement and for their children’s educational needs. This tool incorporates the use of the various CPF schemes and provides workers with an analysis of their financial health, including gaps in their insurance protection and investments, based on their own individual risk profile. Moving forward, NTUC will partner the Financial Planning Association of Singapore to run complimentary financial planning workshops for our union members. These workshops will be made available through the mobile U PME Centre to benefit more PMETs and their families. The Labour Movement, through the good work of our social enterprises, such as NTUC FairPrice, will continue to do our part and do our best to help moderate the cost of living in Singapore. Through the Consumers Association of Singapore, we have also launched tools, such as Price Kaki and Fuel Kaki, to help consumers compare prices of essential household goods, hawker food and fuel. I urge everyone to tap on these resources to get more bang for your buck. Mr Speaker, as the Deputy Prime Minister has rightly pointed out, Singapore’s biggest asset is our exceptional people. COVID-19 can serve as an opportunity amid a public health and economic crisis. I call on employers to use the resources presented at this Budget as a springboard to position your businesses and our workers to ride the waves of recovery. We can also do more to equip our PMETs with the right financial planning skills and help them in their journey towards better retirement adequacy. Together, let us continue investing in our people and ensure that our people remain exceptional.[+1 sentence] Finally, to all our PMETs, the Labour Movement is aware of your concerns and your anxieties. We have weathered through storms and crises before and we will do so again. Regardless of whether you are a fresh graduate, in your mid-career, or in your silver years, the Labour Movement will be there for you because, for us, every worker matters. Join us and, together, we can and, together, we will turn crisis into opportunity and emerge stronger and more future-ready than before.[+1 sentence] Mr Speaker, with that, I support the Budget.
Mr Speaker7 words
[+1 sentence]Senior Minister of State Koh Poh Koon.
The Senior Minister of State for National Development and Trade and Industry (Dr Koh Poh Koon)2081 words
[+5 sentences]Mr Speaker, Sir, Budget 2020 is a strategic Budget, one that not only addresses short-term concerns of our workers and businesses but also invest in the long-term economic transformation and growth of Singapore. The theme for this year's Budget "Advancing as One Singapore" reminds us that when we work as one, we can overcome any challenges. Our frontline workers who have been working tirelessly around the clock in our fight against COVID-19 and the many ground-up initiatives and responses from the community rallying behind them embody the strong Singapore spirit that will see us through any challenge. To our doctors, nurses and healthcare workers, our cleaning and security personnel, public officers and all our frontline workers, thank you. Thank you for working tirelessly to keep Singaporeans and Singapore safe through this COVID-19 period. While the impact of COVID-19 is most acutely felt in sectors like retail, tourism and hospitality, the prolonged shutdown of factories in China, has disrupted supply chains around the world and the manufacturing sector here in Singapore is not spared from such an impact.[+2 sentences] The manufacturing and service sectors are also facing a manpower squeeze as many workers from China are unable to return to Singapore yet for work. This adds extra pressure or our already tight labour market. As the Deputy Secretary-General of NTUC and the Executive Secretary of the Metal Industries Workers' Union, I get feedback from our management partners that for companies with supply chains that are linked to China factories, there has been a reduction in demand of their products by up to about 20%.[+1 sentence] Some may experience an even greater drop in demand. Some manufacturing companies have, therefore, started to reduce or freeze workers' overtime hours while others are planning for a shorter work week if the situation in China does not improve.[+2 sentences] While support measures have been extended to sectors, such as those that are most immediately affected by COVID-19, I hope that the Government can pay special attention to sectors that may feel the downstream ripple effects of COVID-19, especially if the situation is protracted. Sir, the Stabilisation and Support Package brings relief to the cash flow of companies and helps them cope with the impact of COVID-19 through a combination of rental waivers, tax reliefs and bridging loans. Manpower costs are also a significant expenditure for companies, and the wage support measures that are announced during this period will help companies to "cut costs to save jobs" instead of "cutting jobs to save costs".[+2 sentences] This is well received by many of my union leaders and workers, who told me that while they are worried about the impact of COVID-19 on their job security, they are thankful that JSS and the Wage Credit Scheme will help enterprises retain their workers and protect the jobs that they have. Protecting the jobs of our workers will also allow our companies to retain their critical manpower capabilities, so they can respond swiftly when the DORSCON level normalises and the economy picks up again. During a downturn when the volume of work is reduced, the enhanced Enterprise Development Grant (EDG) and the newly announced SkillsFuture Enterprise Credit can help companies to redesign jobs, upskill their workers and look at long-term business transformation so that when economic recovery occurs, companies will be able to swiftly respond and capture new opportunities.[+21 sentences] These two points are worth emphasising. The Labour Movement supports the Budget measures in the Stabilisation and Support Package. Our unions have been working closely with their management partners over the last few weeks to see how best they can utilise the downtime to reskill workers, especially those whose jobs have been impacted by COVID-19. One such example is Copthorne King's Hotel. Working with the Food, Drinks and Allied Workers Union (FDAWU), the hotel's General Manager, Mr Kung Teong Wah, saw value in tapping on the Hotel Job Redesign Place-and-Train programme to multi-skill their workers in other job functions so that they can actually be cross-deployed into other departments when there is a shortage of manpower. He even took the initiative to convince general managers from other hotels within the same group to do likewise in order to avoid asking their workers to go on mandatory annual leave or to take no-pay leave. This is just one of the first-movers from our unionised companies who is taking the lead to send workers for training during this downturn and I hope that more companies will also seize the opportunity to do so. However, some companies and workers have expressed difficulties navigating the huge number of courses available for skills training and, therefore, are unsure of how to select the courses appropriate for their needs. They found it difficult to map the type of training to the specific skills in the skills framework that are promulgated by SkillsFuture Singapore and hope that the training they received could be better recognised by employers as well as the industry towards their career progression. There is a need for Government agencies to work with tripartite partners as well as HR practitioners to streamline the approach and make the "customer journey" of lifelong learning a much easier one to navigate. This will complement the Government's efforts in providing more SkillsFuture Credits at both the individual and enterprise levels. For companies that are keen to train their workers but are unable to find courses due to training gaps currently available in the industry, NTUC LearningHub stands ready to work with companies to bridge the gap and strengthen training in the respective sectors. In coping with COVID-19, many companies have also implemented their Business Continuity Plans (BCPs). Many have split team arrangements to minimise the risks of community spread while ensuring operational continuity. In place of face-to-face meetings or discussions, the teams now meet virtually over their smart phones or laptops. Companies can take this opportunity to help these workers transit and become more digitally confident and, at the same time, use this as impetus to accelerate the digital transformation of their business processes. Through the use of technology and job redesign, flexi-work arrangements (FWAs) for certain jobs can, indeed, be a more permanent arrangement to save on operating costs like office rental and utilities while providing the opportunity for employees to remain productive and empowered to manage their time flexibly. This can also meet the needs of many working mothers to balance their childcaring needs and career aspirations while contributing positively to our labour force. So, it is in a crisis where we must make the full use of it to push ourselves to transform even faster. In coping with the near-term challenges brought about by COVID-19, our companies should, therefore, not forget about the long-term goal of growing and expanding their businesses through deeper industry transformation. The Labor Movement has been advocating the formation of CTCs to help drive companies' transformation. As shared by NTUC Secretary-General Mr Ng Chee Meng earlier, to date, we have 352 companies that have formed CTCs across the various industry clusters.[+1 sentence] Allow me to share a little bit more about this. NTUC has also, in this process, partnered the Agency for Science, Technology and Research (A*STAR) to train a group of 28 Industry Training Officers (ITOs) to conduct the Operations Technology Roadmapping (OTR) process through the CTCs as a platform on which the process can run.[+4 sentences] This helps our companies to systematically map out the process of using technology, process change, work redesign and workers' training to turn their strategic business objectives into concrete, tangible, actionable items. Some CTCs have already completed the OTR process and are pushing ahead with their transformation. Let me share an example. Energizer, a unionised company, a household name under the United Workers of Electronics and Electrical Industries (UWEEI), is one such example. The US-based MNC has over 500 workers in their branch here in Singapore and they were looking to increase their productivity, optimise resources and manpower, as well as upskill their workers. The company embarked on the OTR process in September last year and, within a month, completed the entire process.[+11 sentences] Our union leader, Sister Sukartini, who is the Branch Chair of UWEEI in Energizer, was involved in the whole OTR process. Because she was able to give critical inputs about workers' concerns and understanding of the ground situation, this has helped the company's management to identify gaps and blindspots in the roadmap. The OTR process has certainly helped Energizer to identify transformation priorities and action plans. CTC will be the platform for regular tracking of their transformation objectives. Apart from MNCs, SMEs are also leveraging the CTC platform and the OTR process to systematically transform their businesses. Fong's Engineering is an SME unionised under the Metal Industries Workers' Union. I have shared in previous Budget speeches before how Fong's has embraced innovation and business model transformation very much early on to help keep themselves ahead of the competition. While having done their own company planning previously, Fong's still chose to undertake the OTR process in November last year. The aim is to re-evaluate the relevance of their previous transformation plans and, through this OTR process, Fong's managed to pinpoint some blindspots in their current transformation plan that needed a further in-depth analysis, they identified additional talent and training needs and updated their transformation plan to move even more decisively for the next two years ahead. So, whether you are an MNC or an SME, let me encourage all companies to work with our Labour Movement via the CTC platform to hasten and deepen your transformation. Through the CTCs, the unions work closely with the companies and relevant agencies in the Government to tap on the various support measures and resources to make the company transformation and the workers' training a reality. The enhanced EDG and the SkillsFuture Enterprise Credit announced in this Budget will provide useful funding resources to this tripartite effort to catalyse industry transformation.[+10 sentences] Mr Speaker, in Mandarin, please. (In Mandarin): With the reduction in workload during this lull period, EDG as well as the SkillsFuture Enterprise Grant can be used to help companies redesign jobs and enhance the skills of their workers. They can focus on business transformation, respond quickly and seize new opportunities when the economy recovers. In the past few weeks, NTUC and our management partners have been working closely to see how we can make full use of the lull period to upskill workers. Currently, there are many skills upgrading courses in the market. However, with so many different courses to choose from, some companies and workers are at a loss about which courses to pick. They also find it difficult to map the training courses against the skills framework developed by SkillsFuture Singapore, and hope that the training they have undergone will be better recognised by their employers and the industry, and that it will help advance their career. Government Ministries and agencies need to work with their tripartite partners and HR professionals to streamline the matching of courses with the skills framework, and make the “customer experience” of lifelong learning more manageable. This will fit in better with the Government’s efforts to provide more SkillsFuture Credits at the individual and enterprise levels. To manage the operational risks of COVID-19, many companies have rolled out business continuity plans, adopted segregated work arrangements and allowed some workers to telecommute using their laptops. Companies can make use of this opportunity to build digital confidence amongst employees and accelerate the digital transformation of their business operations. Flexible work arrangements (FWAs) for certain job functions could also be made permanent. This will not only help companies save on operational costs like office rentals and utilities, but also help many working parents better balance work demands and parental duties, which will encourage more to contribute to our workforce.[+2 sentences] I hope that companies and workers will ride on the momentum driven by this crisis to deepen and accelerate the pace of transformation. The Labour Movement is committed to partner the Government and employers to work towards a brighter future for Singapore. (In English): Mr Speaker, this year's Budget builds on the previous year's efforts to upskill our workforce and transform our industries while providing crucial help for our workers, our enterprises and our economy to get through the challenges posed by COVID-19.[+2 sentences] The Labour Movement stands ready to work with the Government and our employers to Advance as One Singapore and build a stronger and better future for Singapore. I support this Budget.
Mr Speaker3 words
[+1 sentence]Mr Arasu Duraisamy.
Mr Arasu Duraisamy (Nominated Member)1198 words
[+8 sentences]Mr Speaker, Budget 2020, as announced by Minister for Finance and Deputy Prime Minister Heng Swee Keat is both responsive and forward-thinking amid the ongoing COVID-19 outbreak and a slowing economy. The Budget reflects the values and priorities of our citizens and charts the direction to deploy our limited financial resources to meet our nation's goals and objectives. A substantial Budget amount has been put aside for Health, Education and measures that address climate change. Rightly so, and I welcome these moves. The Deputy Prime Minister spoke on another critical aspect of the Budget that is of importance to the workers of Singapore, that is, on transforming our industries and workforce. Let me pause here to declare my interest as a unionist and a representative of the Labour Movement in Singapore. Singapore went through a major industrial transformation in the 1970s and the Government of the day then stepped up training of the workforce to handle new jobs that came into Singapore. Fifty years have gone by and we are now at the crossroads of change. Our economy, while fundamentally strong, has slowed down tremendously with an overall growth of just 0.7% in 2019. With the global trade slowdown and growing uncertainties, the Ministry of Trade and Industry (MTI) has downgraded Singapore's gross domestic product (GDP) to be around -0.5% to 1.5% for 2020. To deal with the immediate challenge, the proposed Stabilising and Support Package under Budget 2020 will help enterprises with wage cost and cash flow pressures as they grapple with the current economic slowdown.[+1 sentence] At the same time, it will help our workers to stay in their jobs and to go for skills upgrading. I applaud JSS, which aims to ensure that our workers stay employed by supporting companies defray their wage cost. It will offset 8% of a Singaporean worker's wage, capped at $3,600. It is estimated to benefit 1.9 million workers.[+32 sentences] But may I seek clarification from the Minister as to the reasons for the short duration of the support? What happens, God forbid, if the COVID-19 outbreak stays around longer? Also, companies do need time to adjust even after COVID-19 is over. Will the Government consider extending the support? How do we ensure that companies that benefited from these subsidies will not let go of their workers after the support ends? Yesterday, MOM announced the introduction of a temporary scheme to help the manufacturing and services sectors manage their manpower needs. MOM will allow businesses in these sectors with excess foreign workforce to transfer their workers to companies with a manpower shortage. While I support the move, can the Government go further and consider reducing foreign worker levies for firms affected by COVID-19, similar to what was in place during the 2003 SARS period? Under the Transformation and Growth strategy, there are three key thrusts, of which, developing our people is one. This aims to enable our citizens to get better jobs, better wages and to stay employable. The new SkillsFuture Enterprise Credit and the SkillsFuture Mid-Career Support Package aim to do that. It is a welcome move as both companies and workers benefit. It will encourage the companies to send their workers for training and skills upgrading and, at the same time, workers will benefit in terms of their employability. My main concern is the implementation of these schemes. In many sectors, a portion of workers' monthly pay comprises variables, such as operational incentives, overtime or shift allowances. Workers will have to forego these variable payments to attend training to undertake new or additional roles. In some cases, these variables can be as high as one third of their monthly gross pay, if not more. The Labour Movement calls on employers not to shortchange employees and to share the productivity gains fairly while recognising workers who support the company's transformation through skills upgrading at the expense of undertaking short-term pay reduction. This gesture will strengthen the trust between employers and their workers while ensuring the workforce is well-equipped and future-ready. At the last National Day Rally, the Prime Minister announced raising the retirement age to 65 and re-employment age to 70 in phases by the end of the decade. The Labour Movement has since then called on companies to move forward the implementation date before the law comes into place. Unfortunately, many are reluctant, citing cost as a significant factor. I am happy to hear of the introduction of the Senior Worker Support Package. The Labour Movement hopes there is less of an excuse now to hold back but to move forward to our call. The Senior Employment Credit and the Senior Worker Early Adopter Grant, together with the CPF Transition Offset, will help companies manage the overall wage cost. I urge employers to not view these workers as cost burden but as valuable assets with tacit knowledge, for these senior employees will be the ones mentoring the next generation of workers. On that note, there are some groups of senior employees that the companies are reluctant to extend their retirement and re-employment age. They are mainly the general administrative staff who are easily replaceable with younger employees as their wage cost is lower and with employees in specific roles where physical fitness is a requirement. Technologies, such as robotic process automation (RPA), execute repetitive business processes cheaper, faster and without human errors. As such technologies become more pervasive in workplaces, office-based generalist staff become vulnerable and face more reduced opportunities for re-employment when they retire. The Labour Movement calls on employers to intervene early through career planning customised to individual employees' needs and profiles. The companies can consider reskilling them in their 40s to achieve better job security and job progression when they retire and seek re-employment in the company. An example of a forward-thinking company is PSA. It has taken active steps to embark on upskilling and reskilling its employees through job redesign. The more mature workers are given similar opportunities and encouraged to upgrade their skills and to adopt technologies so that they continue to contribute productively. For example, PSA currently offers alternative employment for personnel from the Emergency Response (ER) Team upon retirement at the age of 55. Working with the union, PSA is encouraging the ER personnel to transit early in their 40s so that they have a longer runway in a new career path while they are in a better position to make the transition.[+2 sentences] This reskilling reframes one's mindset and gets them prepared for the change. It takes two hands to clap. While employers do their part, employees themselves need to embrace the culture of continuous upskilling and reskilling.[+7 sentences] In conclusion Mr Speaker, in his Budget speech, the Deputy Prime Minister spoke on the importance of the short-term measures to deal with the immediate challenges of the COVID-19 outbreak and economic uncertainties while planning for the long term on growing our economy and creating opportunities for our people. Budget 2020 is a step in the right direction. The Deputy Prime Minister's call resonates with the Labour Movement. Our call is the Government's call. Every worker matters. The time is now to take action and walk the talk. I rise in support of the Budget.
Mr Speaker3 words
[+1 sentence]Mr Zainal Sapari.
Mr Zainal Sapari (Pasir Ris-Punggol)1257 words
[+2 sentences]Mr Speaker, I rise in support of the Budget. This year’s Budget intends to mitigate the short-term vulnerabilities faced by businesses and workers without taking our eyes off the future. The Budget has addressed these vulnerabilities due to COVID-19 through various schemes, such as JSS, tax rebates, bridging loans, rental waivers and many others.[+6 sentences] I would like to urge companies to translate these savings into saving jobs and reducing workers' vulnerability due to COVID-19. In the medium- and long-term horizon, the rapidly changing job market and business models can leave many workers behind if they are unprepared. The vulnerability of workers can manifest itself in the form of stagnating wages, job insecurity, skill redundancies and poor working conditions, among many others. While the Budget can help mitigate these vulnerabilities, a concerted effort by the tripartite partners and a mindset change in our society are still needed to alleviate some of these vulnerabilities because every worker matters and every job counts. There are workers providing essential services that are very susceptible to low and stagnating wages and poor working conditions due to the business nature of their industry characterised by competitive biddings and undercutting. In terms of mitigating workers' vulnerability due to low and stagnating wages, it is undeniable that the tripartite partners have done a lot to help our workers in the outsourced industries, such as cleaning, security and landscape. Given that the Progressive Wage Model (PWM) has shown its effectiveness to help improve workers' skills and wages, I urge the Government to support industry stakeholders if they are keen to adopt PWM so that more workers can enjoy better wages coupled with better skills and increased productivity.[+2 sentences] Sectors like waste collection and strata management are keen to have a mandatory PWM and it is important to have Government support to identify and leverage the key levers that would encourage widespread adoption. Lack of knowledge on what constitutes fair wages can also increase workers' vulnerability. Given that wage data are collected in the annual Occupational Wage Survey, we can help these workers by having a wage benchmark by occupation and sector so that workers can identify a fair wage for their occupation and be more aware of the industry standard to make informed decisions about their careers. Perhaps, as a trial to set industry wage benchmark, the tripartite partners could start with the F&B industry where there are around 180,000 workers in diverse roles. I also welcome the Enabling Employment Credit that was announced in the Budget to provide wage offsets to companies hiring Singaporeans with disabilities.[+16 sentences] There are many with disabilities who are working or would like to seek employment. However, it may not be easy for them to work in a building where the physical structure may pose a big hindrance or for them to find companies that offer employment to people with disabilities. In this aspect, I would like to call for the Government to consider providing funding support to help employers offset the costs needed to modify infrastructure at workplaces, especially in older buildings, to encourage employment of people with disabilities. The various job portals, such as MyCareersFuture.sg or the National Jobs Bank, should indicate positions that welcome persons with disabilities. All these measures would promote a more inclusive workforce because every worker matters and every job counts. Workers are also vulnerable if employers cannot pay their wages because the company has ceased operations. While these workers can lodge their salary claims with the Tripartite Alliance for Dispute Management (TADM), in most cases, their salaries cannot be recovered once the company has ceased operations. We need to do more to protect our workers from failed businesses. Currently, there is a short-term relief fund administered by the NTUC U Care Centre to help low-wage workers who are owed salaries because their companies have ceased operations. I would like to call for the fund to be extended to help more workers beyond low-wage workers. Many of these workers who are owed salaries are sole breadwinners and, for them and their families, the hardship is real and painful. All workers deserve to have their rice bowl protected and we must continue to explore ways to help and protect more workers. Workers can also become vulnerable due to unfair employment contracts. Some employers have included in employment contracts certain clauses that may not be fair to the workers, perhaps to address staff attrition, recoup losses that they incur due to liquidated damages or protect their business interests. Regardless, including unfair clauses is unethical and they abuse the vulnerable position the workers might be in. There needs to be greater engagement to help workers understand employment contracts and this outreach could start in our tertiary institutions. In addition, MOM would also want to consider a "cooling off period", perhaps up to five working days, that will allow workers to rescind the contract they have signed, without penalty.[+5 sentences] MOM may also want to consider starting a watchlist if companies are found or reported to have unfair clauses in their employment contracts. Administrative penalties should be imposed on companies on this watchlist. Tripartite partners must also work together to ensure that all Singaporeans can work with dignity. A tripartite advisory on the provision of rest areas for outsourced workers has been released to act as a guide for service buyers and service providers in providing proper rest areas for outsourced workers. We would like to call on the Government to provide incentives to urge more building owners to provide rest areas for their outsourced workers. Perhaps a tipping point that the Government can seriously consider to encourage a higher take-up rate is to allow for rest areas not to be counted as part of the gross floor area (GFA) of a building as the area is usually an unused space or has little commercial value. This would help many building owners that have already maxed out their GFA to provide a rest area without penalty.[+1 sentence] Mr Speaker, in Malay. (In Malay): I welcome all the various top-ups to SkillsFuture and I am especially heartened by the special attention given to mature workers through the SkillsFuture Mid-Career Support Package to help them undergo upskilling and reskilling.[+1 sentence] While the Government has given hiring incentives for employers to hire local mature workers, the efforts to enlighten employers to have a truly inclusive workforce must continue. In addition, we should also consider administrative penalties if employers are guilty of age discriminatory practices.[+1 sentence] I am also equally heartened with the Senior Worker Support Package for older workers to reduce their employment vulnerability. This package will give our older workers greater assurance that they can continue working if they want to. This is a good opportunity for companies to tap on the Senior Worker Early Adopter Grant to raise their retirement and re-employment ages ahead of legislative changes.[+6 sentences] Regardless of one’s age group, every worker matters and every job counts. (In English): Every Budget must provide funding and resources to help workers reduce their vulnerabilities. We need to work together to reduce workers' vulnerabilities and to show we care for the workers. While I call upon employers to uphold their responsibilities to their workers and to do more for their welfare and well-being, I would also like to remind workers, all my fellow workers, to take charge of their career development and be future-ready. All of us have a part to play in creating an inclusive and caring society where every worker matters and every job counts. I support the Budget.
Mr Speaker3 words
[+1 sentence]Mr Desmond Choo.
Mr Desmond Choo (Tampines)1501 words
[+14 sentences]Mr Speaker, thank you for allowing me to join in the Debate. Budget 2020 is empathetic and bold. Measures, such as the Job Support Scheme and the Wage Credit Scheme, will reassure workers that the Government is helping to secure jobs. Amidst the immediate needs to mitigate against the adverse impact of COVID-19 outbreak, it is easy to lose sight of our longer-term imperatives. It is understandable as immediate survival is key. I would like to ask the Minister how do we continue to grow our economy and create good jobs for all Singaporeans even as we battle the outbreak. This outbreak has also highlighted the problems of being dependent on a large economy or being interconnected with multiple economies. Do we now need to re-examine our strategies and adjust course, rather than doing more of the same? With its obvious focus on the COVID-19 economic fallout, how are we still ensuring that we are funding our social strategies in education, healthcare and housing to ensure equal opportunities for all? It is critical that we need to stay true to what has made Singapore successful – equal opportunities for all Singaporeans. Being a comprehensive Budget, it would almost be nitpicking to find gaps. I would like to find some time on three other issues: needs of the self-employed persons, unmet needs of the younger workforce and the longer-term workforce gender disparity issue. The COVID-19 outbreak highlights the precarious situation of Self-Employed Persons (SEPs). Many SEPs were and still are adversely affected, not only those in the hospitality-related industries but also those in the creative, events, sporting, outdoor learning and transport industries. Budget 2020 will help SEPs as every Singaporean 21 years old and above will get cash support, SkillsFuture Credit and targeted support for tourism-related industries.[+8 sentences] But most of the Budget 2020 measures are channelled through companies, and our SEPs might not be helped. They also have limited medical and training support except those provided via SkillsFuture. Those dependent on platforms, such as Grab food delivery riders, have an imbalance of bargaining powers. We often hear of adjustments to incentive structures unilaterally without consultation with SEPs. This would probably not have happened, or to a lesser extent, in a typical employer-employee structure. The way forward is not one of absolute parity with traditional employees. SEPs do treasure the flexibility of contract work. Thus, there must be some tradeoffs. It is one of having better balance of bargaining powers, especially for those working with larger entities, such as the platform companies.[+2 sentences] There are two possible approaches. One, to allow for greater union representation. And two, to classify SEPs within a limited definition, especially the platform workers, as workers defined by the Employment Act.[+14 sentences] Both of these approaches are not without their limitation but it certainly betters the lot of the SEPs. Their ranks will certainly increase over time. I hope that the Ministry can also consider providing greater support for SEPs in the second phase of COVID-19 support, if ever one is needed. Next, on the unmet needs of the younger workforce. Our Young NTUC survey showed that younger Singaporeans are keen to develop themselves overseas. The Asia Ready Exposure Programme in Budget 2020 would greatly help our students to pick up those valuable experiences while still in school. We also hope that young Singaporeans in their first or second career can also have such opportunities. Especially those in their early 20s, there is still sufficient runway for an internship. However, the resources available to them are limited. Those Singaporeans who have graduated are dependent on their companies for overseas exposure. Can the Government provide a one-stop centre and perhaps subsidies for younger Singaporeans to explore careers in Asia, especially Southeast Asia? Next, let me discuss on the gender wage gap. It is not a common Budget Debate topic. But first, it is an important issue and second, there are opportunities afforded from the COVID-19 outbreak. MOM did a study not too long ago and found that women in Singapore are earning less than men today and the gap has grown slightly from 16% in 2002 to 16.3% in 2018. The adjusted gender pay gap was 6% in 2018.[+8 sentences] The main adjustment was for occupational differences. Yet, it still runs counter to the principle that all things being equal, men and women must obtain the same pay if they are doing the same job with similar outcomes. We acknowledge that there has been progress. And we also acknowledge that absolute gender parity in job outcomes is not necessarily a normative ideal. But there is immense value to pursue the economic outcomes of greater equality, besides addressing the social issues and the values that we engender as a nation. Indeed, there are benefits for greater women participation at all levels. In an IMF blog piece by Christine Lagarde and Johnathan Ostry on 28 November 2018, their conclusion was gender diversity matters. I quote, "Our analysis springs from the observation – supported by considerable microeconomic evidence – that women and men bring different skills and perspectives to the workplace, including different attitudes to risk and collaboration. Studies have also shown that the financial performance of firms improves with more gender-equal corporate boards…. our evidence – from macroeconomic, sectoral and firm-level data – shows that women and men complement each other in the production process, creating an additional benefit from increasing women's employment on growth." Therefore, the key benefits from narrowing gender wage gaps are: first, a bigger boost to growth; second, higher productivity; and third, a more equal and inclusive society.[+10 sentences] There are structural issues to tackle: first, HR, and how we grade women who are out on maternity. A working mother would be entitled to up to 16 weeks of Government-Paid Maternity Leave. But oftentimes, in some organisations, they might be graded on the same 12 months as any other colleagues. This meant that from a work output perspective, the women on maternity leave are already at a disadvantage. Companies would argue that it would only be fair to the other colleagues who picked up the slack. But this also meant that good talent on maternity would not be given a level playing field to progress as progression are usually based on consistency of better graded performances. This has perhaps contributed to a lack of women in senior leadership positions over time. Second, we see a persistent lack of women at the top leadership positions. Perhaps having a more diverse leadership might provide for better gender-neutral policies. Third, some women decide to leave the workforce entirely because of a lack of supportive workplace measures, such as FWAs. Currently, only 47% of firms in Singapore offer full-time FWAs, according to a McKinsey report.[+1 sentence] Women are still often expected to take on the primary role at home. The responsibility of caregiving and housework also continues to disproportionately affect women, who find themselves taking on the double shift of working a job and taking on most of the household responsibilities. This added burden of caregiving might have resulted in 83.4% of married men being employed in 2017, compared to 63.3% of married women in the same period of time.[+2 sentences] So, what can be done? I would like to offer a few suggestions. First, women should be given the right to FWA post-maternity.[+4 sentences] Normalising FWA options give a degree of comfort to working women, as it helps working caregivers avoid the conflict they face in trying to balance their careers with responsibilities at home, something especially accentuated post-maternity. It can be very difficult to ask a woman to ask for FWA if it is seen as a privilege and not a norm. The COVID-19 outbreak has clearly shown that organisations can and are able to operate with broad FWA, even as we speak now. Previously, the argument was it was not possible. Second, companies should grade women on maternity on an eight-month basis rather than a 12-month basis.[+1 sentence] Planning from the start meant that women will still be able to have a more level promotion path after maternity. Third, key leadership positions in our listed companies ought to be tracked and monitored to ensure that women are not being grossly under-represented.[+11 sentences] Company-wide reviews can be done consistently. Citigroup, for example, has adjusted the pay in Singapore of women who earned less than their male peers for doing the same job. We all need to lean in to create a more inclusive environment for women. Budget 2020 is bold and comprehensive. It tackles the immediate challenges head-on without losing sight of the future transformation needs. No Budget is expected to address all issues, which is why we must also view each Budget as part of a larger whole. It is a longer financial plan after all. The COVID-19 episode requires significant shift of resources but it is necessary. COVID-19 will also eventually come to pass if we are united. And we must be ready when the upturn opportunities present themselves. Notwithstanding my earlier suggestions, I support the Motion.
Mr Speaker4 words
[+1 sentence]Mr Ang Hin Kee.
Mr Ang Hin Kee (Ang Mo Kio)1083 words
[+10 sentences]Mr Speaker, Sir, in Mandarin. (In Mandarin): The sudden onset of COVID-19 has dealt a serious blow to our economy. Not knowing how long this epidemic will last, many Singaporeans are worried that their livelihoods will be seriously affected and they might lose their jobs. Nevertheless, with the previous experience of fighting SARS, most Singaporeans were not panicky when COVID-19 struck. On the contrary, we could face this challenge calmly. The greatest test is not whether we are able to stock up groceries or whether we can adopt healthier habits, but whether we are able to display confidence and a cooperative spirit to fight this disease. Undoubtedly, self-preservation can only ensure that we and our families are protected temporarily. But in the long run, it will not protect our national economy, companies or job situation. To deal with the impact of COVID-19, we need to work together and make full use of the Government measures provided in the Budget. Let me give Members an example. Over the past one month, many taxi drivers and private hire drivers told me that the point-to-point (PTP) transport service industry has been badly affected. With the significant decrease in customers, their incomes have plunged and many drivers have decided to stop driving.[+12 sentences] Fortunately, most drivers are still working as usual. They do not complain but hope that there will be adequate solutions or packages to help them tide over this period. On normal days, there is already intense competition between taxi drivers and private hire drivers. Fortunately, when COVID-19 hit us, the tripartite partners consisting of unions, the Government and employers worked together like "plywood". Plywood can take on much heavier loads than an individual layer of wood. Each layer of plywood may be made of different materials and differ in terms of quality, but when bound together as plywood, the effect is very significant. The spread of COVID-19 has brought about stern challenges. Although we cannot proclaim to have solved every problem easily, at least we have been able to come up with measures as the situation evolved. During the initial stage, unions took the initiative to understand the concerns of our taxi drivers, and most drivers expressed hope that they can drive their cars safely but said they lacked protective supplies like hand sanitisers and disinfectants. Since then, unions have tried their best to procure these necessities for drivers through various channels and distributed the supplies to them. The Government and operators have also provided necessary resources and helped drivers to monitor their body temperature, so as to give customers peace of mind. We have also used our funds to help drivers who had to stop driving due to quarantine orders, so that they can tide over this difficult period. The timely launch of the $77 million assistance package by the Government and operators is also an initiative to assist taxi drivers and private hire drivers as soon as possible.[+14 sentences] Hence, workers from the PTP transport sector are able to receive help from the Government and operators with swift and targeted measures. Only with this "plywood" cooperative spirit are we able to help workers keep their jobs and keep companies going. This is what job security means. Only a strong enterprise, a resilient labour force, a thoughtful and efficient union, and a nation with wit and resources can ensure the job security of Singaporeans. Job security means that the economy, companies and workers must receive appropriate support, and establish close partnerships where everyone works to help one another. As we know, a lot of things are easier said than done. Our tripartite partners have been working together to stabilise the economy while continuing to help transform industries and assist workers in training, so that they can upgrade their skills, keep their jobs and tide over this difficult time. During this period, I have witnessed how taxi drivers and private hire drivers turn from competitors to cooperative partners. They volunteer to distribute masks and hand sanitisers to colleagues and help them to do temperature checks. Although there has been talk that frontline healthcare workers are being discriminated by members of the public, many of our taxi drivers have volunteered to ferry healthcare workers to and from work. All of us have chosen to help one another in this crisis period and to weather the storm together. Each party has put aside their different views and corporate brand names, with the single objective of consolidating the economy and development of Singapore. Once again, I would like to thank the Finance Minister for giving a booster shot to the PTP transport industry. Our tour guides have also just received help from the Government, and the tripartite partners are working to assist them. On behalf of the unions, I would like to urge the Government again to roll out more measures to help freelance workers.[+2 sentences] I have reached out to several freelancers to understand their situation and discuss ways to help them. They include sports coaches, instructors, technicians, performers and photographers and so on. Their income have plunged due to the decrease in customers.[+1 sentence] I hope that the Government Ministries can take the lead and work with industry players to think of ways to help them reduce cost and expand customer base. Some of these freelancers would like to go for training during this lull period, but are deterred as this would mean a loss of income, so they are also feeling a little helpless. However, I believe that with the joint efforts by the tripartite partners, we can ensure that all the top talents in the various industries will be able to keep their jobs, and make use of their talents to enhance Singapore’s competitiveness when the crisis is over.[+3 sentences] In fact, some taxi drivers have urged me to organise an activity for everyone to eat beehoon together. Some Hokkien taxi drivers joked that we will "wun wun jia beehoon" (eat beehoon calmly). So, I hope that we can be strong and steady, and not be overly worried. Although the impact of COVID-19 may not blow over in the short term, the Government will continue to support the economy, companies, workers and families. We must remain confident, maintain healthy lifestyles, lead normal lives and try to revive our tourism industry.[+3 sentences] This is the greatest help that we can give to all our industries and all our workers. Let us work together and show determination in adversity. Mr Speaker, Sir, I support this Budget.
Mr Speaker7 words
[+1 sentence]Senior Minister of State Heng Chee How.
The Senior Minister of State for Defence (Mr Heng Chee How)1974 words
[+4 sentences]Mr Speaker, Sir, thank you for allowing me to join the debate on this year's Budget. At Budget Debate 2018, I called for tripartite discussions to determine the new longer-term retirement and re-employment ages. At last year's Budget Debate, I expressed the hope that the Tripartite Workgroup formed by MOM in May 2018 to negotiate higher retirement and re-employment ages and enhanced CPF contribution rates would soon come to a win-win outcome so that older workers would have added confidence about their employment and retirement savings. As Singapore's population is ageing, progress in these areas is necessary and important to help sustain the added years. Prime Minister Lee announced at last year's National Day Rally the consensus reached by the tripartite partners to raise retirement age progressively from 62 to 65 and the re-employment age ceiling from 67 to 70 over the course of a decade. Specific first moves were also announced, namely, to raise retirement age from 62 to 63 and the re-employment age ceiling from 67 to 68 in 2022. And one year before that, in 2021, first steps will be taken to raise the CPF contribution rates for workers aged 55 and older.[+29 sentences] The agreement that we reached shows the strength of our tripartism to tackle real and serious issues. It also showed the Government's commitment towards looking after the interests of our older workers. So, on behalf of older workers, I thank the Government and the Singapore National Employers Federation (SNEF) for working hand in hand with NTUC to achieve these win-win outcomes. A year has passed and we are now in Budget Debate 2020. How fast things have changed. Since January this year, the Singapore economy has been buffeted by the negative disruptive effects of the COVID-19 virus outbreak internationally even as the downsides of the US-China trade war continue to slow global trade and growth. Against this background, Singapore's growth forecast has been revised downwards significantly, from between 0.5% and 2.5% that was estimated in November last year, to between -0.5% and 1.5% in February this year. So, within these months, it was revised downwards significantly. On the ground, these changes in projections reflect falling demand, supply chain and manpower disruptions, as well as cost, credit and cash flow pressures and worries for companies. And these worries for companies, in turn, translate into worker concerns over loss of overtime and other forms of income, wage freezes and even cuts, and increasing anxiety over the security of their jobs. Older workers, both executives and non-executives, feel vulnerable in this environment. They are afraid that in any industry or company shakeout, they may bear the brunt. They are also worried that if they are displaced from their jobs, it would be more difficult for them to find new work or to expect to maintain anything near their original pay levels. And if that happens, then it would erode the progress of prior efforts to strengthen the sustainability of our ageing population over the long run. Older workers, therefore, look to the Government and to this Budget for reassurance. They hope to see and they want to trust that this Government will continue to have their backs and would lean forward to safeguard their interests and ensure that they are fairly treated. The Labour Movement hears their concerns and have lobbied hard on their behalf with the Government. This Budget, Mr Speaker, has given older workers that reassurance. And I thank the Government for understanding the worker's needs and worries, and for addressing our older workers' concerns. I would like to highlight specifics in the Budget to make my point. Consider the announced CPF contribution rates improvements meant for 2021. The worry, as expressed by older workers is that, given the headwinds and the difficult economic environment that we are facing now, they worry whether the Government would now decide to postpone or cancel those improvements. And so, when they heard the Budget, they heard that the Government has instead stepped forward to help defray the cost pressure on employers that those improved CPF rates would bring. In other words, what the Government has promised to older workers in this improved CPF rates in 2021 will be done. This is the Government keeping its word to our older workers. But workers then worry that if they should lose their jobs in the meantime, or cannot find a new one if they are displaced, then improved CPF rates, or for that matter, raised retirement and employment ages, will be moot. Hereto, the Budget has measures aimed at lowering such risks for older workers. Under the Stabilisation and Support Package, the Government will introduce JSS. This JSS will help enterprises retain their local employees during this period of uncertainty. Employers will receive an 8% cash grant on the gross monthly wages of each local employee for the months of October 2019 to December 2019, subject to a monthly wage cap of $3,600 per employee.[+4 sentences] And this is on top of the Special Employment Credits and the Additional Special Employment Credits previously introduced to incentivise the hiring of older workers. These two incentives, we were told, will then be combined and restructured into a new Seniors Employment Credit Scheme. The Government will also enhance the Wage Credit Scheme to further help shoulder the cost of wage increases for workers. These moves make each existing employee less costly to their companies and, therefore, lower their overall risk of retrenchment, or will help companies hold off retrenchment for as long as possible. For older workers who are displaced, there will be a hiring incentive for employers who hire local jobseekers aged 40 and above through a reskilling programme. For each eligible worker, the Government will provide a 20% salary support to the employer for six months, capped at $6,000 a month.[+8 sentences] There is even another incentive for employers who are prepared to hire older workers on a part-time basis. This will help make older workers who are unable to work full-time more cost-effective for employers to consider hiring. By the sheer number of targeted subsidies and incentives aimed at sustaining and spurring continued hiring of older Singaporean workers in this Budget, the Government's care for and commitment to our older workers are crystal clear. And our older workers appreciate this. While keeping one's job or being able to get back into one quickly in the event of retrenchment is of immediate concern in the current economic climate, our older workers also know that their longer-term employment and employability really depend on whether they can keep up and adapt with the changing technology and business models and methods. Here, they look to the Government and the tripartite partners to do more to help them stay skilled and relevant to the changing times and requirements. The Government is certainly doing its part to energise skills building for the benefit of workers and companies in this Budget. In terms of enabling skills building through funding, the Government is introducing the next bound of SkillsFuture through this Budget. There will be more money given to individuals and companies to undertake training via SkillsFuture. There will be a second top-up of $500 to the SkillsFuture accounts of all Singaporeans aged 25 and above, while middle-age workers will get an additional $500. There will also be a new SkillsFuture Enterprise grant to defray up to 90% of companies' business transformation, training and job redesign costs.[+3 sentences] These incentives, together with substantial existing grants and subsidies from ESG, Workforce Singapore and other economic agencies, again go to show the Government's firm belief in enabling individual and corporate investment in building skills and capabilities for greater competitiveness and in enhancing the employment and employability of our workers. On the Labour Movement's part, as elaborated by my fellow Labour Member of Parliament colleagues earlier, we introduced last year the CTCs as platforms to bring companies and unions into partnership over skills building, and to inject Government resources and support for such initiatives through this channel and platform. This is a practical way to proactively and systematically upgrade companies' and workers' capabilities, and to help build momentum for the overall transformation of Singapore's economy. Good progress has been made in this area, and again, as reported earlier, 352 CTCs have already been formed since its inception in April last year.[+4 sentences] Provisions of this year's Budget can certainly give a boost to the CTCs' efforts, and I urge our tripartite partners to make full use of these resources to press ahead with investing in our workers' training across all ages. For displaced workers, finding a new job quickly is important. This is especially so for older workers as experience tells us that they will find it more difficult to find a new job and to maintain the previous pay. And this affects not only what we might traditionally call rank-and-file workers, but actually, it is so for all levels and all ages of workers, affecting also middle-age PMEs. In this Budget, through the SkillsFuture Mid-career Support Package, the Government is going to double the job placement of professionals via the PCPs.[+12 sentences] Such professionals will be able to find new career runways through the PCPs' skill-up-and-switch roadmaps. I fully support this, and I have one call on the Government to consider, which is to broaden the age criterion – currently set between 40 and 60 – to include those up to the current re-employment age ceiling of 67. And the reason is because all the factors that we have argued about, the 40- to 60-year-olds having the vulnerability, they would certainly also apply from 60 to 67. Indeed, if anything, if that group should lose their jobs, the challenges will not be less than those aged 40 to 60. At the same time, the scheme itself has certain safeguards in terms of useful courses. So, it is good and proper that we broaden the criteria to include workers up to the re-employment age ceiling of 67 and to continue in this way to show the Government's commitment towards their employment, employability and welfare. In this area of boosting job search and placement, the Government will find an enthusiastic innovator in the Labour Movement. As Minister in the Prime Minister's office and Secretary-General of NTUC, brother Ng Chee Meng had said earlier that NTUC will be spearheading the JSC in partnership with industry to go beyond what, for example, NTUC's e2i has traditionally done for individual jobseekers and individual hiring companies. Through proactive information sharing and planning, JSCs and CTCs can work together to efficiently facilitate training, retraining and placements between manpower-flushed areas and manpower-starved areas. Such system-level efficiency in manpower redeployment will further sharpen Singapore's overall competitiveness that is good for business and it would certainly help shorten periods of unemployment for workers who are seeking new jobs. Sir, as the saying goes, "When the going gets tough, the tough get going". We have to face down both the immediate COVID-19 threat as well as shape up for the big challenges and opportunities that the future economy will bring. I heard our Deputy Prime Minister over the radio as he was discussing aspects of the Budget and exhorting everybody to keep our spirits up and together do our best, and he quoted the name of a Hokkien song title. He said, “要 拼 才 会 赢”, which means in English, success comes through effort and striving.[+1 sentence] He is absolutely right. Success will not come from just taking painkillers or hunkering down. It will come from taking action – concrete, purposeful, effective action. The Labour Movement stands ready to work with the Government and employers to tackle this tough patch and to simultaneously build that better future of better wages, welfare and work prospects for all workers.[+2 sentences] Because Every Worker Matters, now and always. Sir, I support this Unity Budget.
Mr Speaker3 words
[+1 sentence]Prof Yaacob Ibrahim.
Prof Yaacob Ibrahim (Jalan Besar)2649 words
[+4 sentences]Mr Speaker, Sir, thank you for allowing me to join in this Debate. Sir, the Budget proposed has been characterised as having something for everyone. It consists of two parts, one dealing with the effects of the COVID-19 crisis meant to stabilise the economy and support those affected by the current crisis, and a second component designed to help our country continue to grow over the longer term. It supports a range of short-term measures to help us tide over the current crisis and a broad suite of longer-term measures to ensure that the economy continues to grow over the long term and that our people can enjoy an increasing quality of life. Among the proposed measures which, for me, deserves special mention are increasing the Budget for CSA to embark on new capabilities needed to protect our information technology (IT) systems against increasingly sophisticated attacks, removing the internal combustion engine vehicles by 2040 and replacing them with electric vehicles (EVs), and measures to mitigate the effects of climate change.[+5 sentences] All these resonate with me, not just because they are important issues affecting the future of our country but also because I have always believed that we, as a nation, can take the global lead on these issues. Sir, I also welcome the delay in increasing the GST rate by one year. Sir, despite the COVID-19 crisis, we must have one eye on the future. We cannot afford to be distracted from discussing the real challenges facing our country. It is also important that we learn from this experience and put in place changes and preparations that can help us face the next crisis. Our response to the SARS episode in 2003 and subsequent changes we made to prepare for the next crisis have stood us well in this instance.[+33 sentences] Our Government has responded decisively to the crisis. As a people, we have shown both the good and not so good behaviour during this challenging time. The rush for food items and sundry items, such as toilet paper, when the DORSCON level was changed from Yellow to Orange, reflected not only anxiety but also an irrational response that brought out the worst of Singaporeans. My thanks to all the staff of the various supermarkets and outlets for showing immense patience and fortitude during this period. Several self-initiated efforts have emerged to rally support for our frontline workers. Youth groups, religious and community organisations, civil society groups and several selfless individuals are all coming together to play their part in this effort. These and other examples of selfless Singaporeans stepping forward to do what they can to deal with this crisis are instances that should give us hope that there is the better side of us waiting to come out, especially when the need arises. Many have also adjusted to a new normal of washing our hands regularly, staying away from crowded places, wearing a mask if we are unwell and spending time with loved ones in parks and beaches enjoying the fresh air and breeze prevalent this time of the year. Sir, if out of this crisis our hygiene standards are raised and, as a people, we become more conscious of keeping Singapore clean, then we would not have wasted the lessons of this crisis. Some have also adjusted to working in different teams at different times and locations, such as their homes, and meeting only if necessary. And I am told by a friend that because of some working from home, Raffles Place is a lot quieter and cleaner. Congestion in the morning seems to have eased a bit. If we make this change permanent, would our quality of life not improve? For those with young children in school, being at home on a working day can, indeed, be helpful. Sir, I am sure we can work out the gains and losses so that we understand the impact this change may have on our country. Likewise, conducting classes online has become a part of the new normal. Coming from an IHL, I am all for online learning to be one of the features of our IHLs. IHLs can decide on the balance among the various classes. Online learning will release classrooms for other needs. Clearly, interaction between students and staff must continue, albeit for those that really warrant, it such as tutorials, project discussions and lab work. Sir, I have full confidence in the Ministerial team in not only dealing with this crisis but also in learning from it valuable lessons that will help us prepare for the next crisis. So, let us work together with the team and other Singaporeans in seeing the end of this current crisis as soon as possible. I am sure Ministers Gan Kim Yong and Lawrence Wong are both looking forward to a good night's sleep and perhaps a round of golf when all this is over. I look forward to meeting them at the greens. Sir, there is an issue that I think deserves some discussion. The rush to stock up food items over that fateful weekend reminds us that getting communications right is very important. During SARS, there was no social media. Today, we are inundated by news of all sorts from various platforms and from friends and strangers alike. The fundamental question is whether we trust the Government in telling us what is the right thing to do, especially during a crisis. Rumours and misinformation about lack of supplies helped to fuel senseless hoarding. This shows a lack of trust. Chaos could have broken out leading to unimaginable losses. This is something we all do not want to happen in Singapore. Another issue of trust currently being debated is POFMA as some view this as an attempt to stifle dissent on the Internet.[+2 sentences] There is a sense among them that the Government is using this legislation for its own agenda rather than serving the needs of our people. I am all too familiar with this kind of concern. When I moved to license online news sites in 2013, several Internet groups alleged that this move would kill the diversity of voices on the Internet. As it turns out, the licensing scheme did not stifle the Internet at all.[+17 sentences] Many groups continue to flourish on the Internet. All we wanted, and I am sure all of us can agree to this, is responsible behavior on the Internet, especially when the issues affect the lives of so many Singaporeans. Sir, going forward, this issue of trust will continue to arise as we grapple with increasingly complex issues. Consider the effects of climate change on our small island. It is a long-term issue which requires us to put in place the solutions now. It means spending valuable state resources on matters which will affect future generations but does not bring immediate benefits. At the same time, if other countries do not put in place their own mitigation measures, climatic changes can affect us. Hence, dealing with the effects of climate change will raise many questions about how the Government should best use our limited fiscal resources for the good of our country. And the Government will need to build trust that it is doing what is right for our people, even though it means spending significant resources over a very long-term period to benefit future generations. Sir, consider our efforts at digitalising the economy and our society. When I asked some residents about the many cameras placed at the void decks and some common areas, they generally believe that the Government is doing so for their safety and security. People trust that our Government is using the data captured for good. But this is not the case in some other countries. In places like San Francisco, the residents have voted against having videos in public places. For our own digitalisation efforts to succeed, people must trust that their data is collected solely for the purpose of developing useful services for them. By all accounts, we have done well thus far. But it is not inconceivable for some to begin to raise the issues of privacy and how their personal data is being used. The Personal Data Protection Act (PDPA) has put in place several measures to protect personal data, but the emergence of data protection legislation that favours more to data owners, such as the European Union General Data Protection Regulation (GDPR) and California Consumer Privacy Act, will cause some to wonder whether PDPA is sufficiently rigorous to protect personal data. Similarly, since the Government's handling of citizens data is carved out from PDPA, a time will come when some will raise issues of privacy and accountability.[+21 sentences] Sir, my intent in raising these issues is for all of us to be cognisant of the potential hazards awaiting us in our journey towards digitalising our economy and society. I believe strongly that we must leverage technology, especially on those that will improve our quality of life. Internet banking, for example, means I do not have to queue up at bank branches anymore. Immediately, my quality of life has improved. So, too, for the many Apps that have been developed by both the private sector and our Government. But the flip side of all these new applications of technology are issues of accountability, transparency and trust. Can our Government protect us from being manipulated by the big tech giants? Can we trust our Government to use our personal data for the benefit of all Singaporeans and not some political agenda? These are questions of trust brought about by the use of technology in our everyday lives. Sir, trust between our Government and the people will undergo stresses as we grapple with these issues. The trust we have built over the past 60 years or so has given us a quality of life that is the envy of other nations. Going forward, what more can be done to nurture this trust? What can be done to meet the expectations of our people in an increasingly complex world we are living in today? We have seen how trust has broken down in other societies leading to the rise of populism. And with social media and the rise of misinformation and alternative facts, sometimes, it is unclear whether the lack of trust in Government is an effect of all these developments or it is the cause for the rise of alternative centres of trust. Our trust in public institutions in Singapore, such as our hospitals, schools, Courts and security agencies, are, indeed, very high. This is because these institutions have been well managed, staffed by capable and competent people, and are known to deliver good and fair outcomes. We trust that these institutions will do what is right and just. Similarly, as we digitalise our society, trust that these technologies will be used correctly is important. There are ethical issues associated with artificial intelligence (AI) and the use of machine learning algorithms. Can we trust that these technologies will be deployed in a manner that preserves the best interest of Singaporeans? Just like the guidelines for the use of AI which have been released by the Ministry of Communications and Information in Davos earlier this year, perhaps there is a need for a community wide conversation on how these technologies should be deployed. Should we not consider the creation of an independent Digital Commission that looks at these concerns from all sides dispassionately?[+4 sentences] Just like the trust we have in our other public institutions, should we not consider similar public institutions that can build trust in our people in dealing with these new technologies? Sir, I raise these concerns and suggestions out of the belief that continuing digitalisation of our economy and society is a good thing but we cannot avoid the nagging concerns of privacy and transparency that digitalisation will bring. If we do not deal with this early, then trust in the Government can be eroded. I hope creating an independent Digital Commission to look at these issues can help address these concerns. When human biomedical research raised some concerns, we created the Bioethics Advisory Committee to advise the Government on these matters.[+10 sentences] It is time we have a similar committee for the digital revolution. Sir, the COVID-19 challenge will pass, as other virus infections have gone in the past. How this challenge will unfold is unclear. But given recent reports of infections in South Korea, Italy and Iran and the warning raised by the US health authorities, it will be sometime before this is over. Our own teams in Singapore have assured us that we are ready with new measures if the situation worsens. Our best response is to continue to be vigilant, practise the proposed hygiene practices and make it our way of life and look out for one another in this difficult time. How would this moment in our history be remembered? After SARS, the then Ministry of Community Development and Sports proposed the Fabric of the Nation project. As a nation, including our then Prime Minister Goh Chok Tong and his wife, we stitched together patches of fabric to symbolise the coming together of people from all walks of life in overcoming that challenge together. Today, that Fabric of the Nation hangs quietly in the lobby of the Ministry of Social and Family Development, a reminder of who we are as a people in times of crisis. It is still early for us to think of such projects of closure. But one thing we can do as a nation is to adopt new norms of hygiene standards, work-life balance arrangements, more adoption of technological ways of doing things, such as running online classes and meetings, and other reasonable practices that can become our new way of life. I would add one more change and, that is, of our attitude towards those at the frontline in fighting this challenge.[+6 sentences] Someone has to keep Singapore clean, keep our transport system moving, ensure there are enough supplies in our markets and supermarkets, and attend to those who are sick and unwell as we battle this crisis. These are our fellow Singaporeans and workers who put their lives on the line for the sake of Singapore. They, too, have families anxious for the safety of their parents, siblings and loved ones either here or elsewhere. I am heartened by the responses of Singaporeans towards those at the frontline in this challenge. But can this be our way of life when all of this is over? The kindness and generosity we have shown to our frontline workers should be something history will remember us not just for this moment in our history but for defining who we are as a people. The dignity of every worker, no matter their occupation and station in life, must forever be maintained and cherished by all of us. Let us show to the world that these attitudes and behaviours are not a flash in the pan, but an integral part of our way of life. This is the legacy I hope we can bestow on succeeding generations that, out of this moment in our history, our better half triumphed over the other half and it became part of our enduring character.[+8 sentences] That is the Singapore Story. Sir, I became a Member of this House on 2 January 1997. I am into my 24th year as a Member of Parliament. Perhaps, it is timely for me to thank you, your predecessors and Parliament staff, both past and present, all my colleagues in this Chamber, both past and present. It has been an opportunity of a lifetime to be able to serve the people of Singapore as an elected Member of Parliament. I will always cherish this experience for the rest of my life. So, thank you all for a wonderful experience. Sir, on that note, I support the Budget Statement.
Mr Speaker3 words
[+1 sentence]Ms Denise Phua.
Ms Denise Phua Lay Peng (Jalan Besar)2016 words
[+4 sentences]I am only 14 years in the Chamber, so I am still a junior to the Member. Mr Speaker, Sir, I support the Budget. Accolades abound for Budget 2020. Budget 2020, as they say, has "something for everyone" from businesses to Singaporeans, young and old. Commendable are the agility and speed by which the Stabilisation and Support Package was put together to help sectors hit by COVID-19; the empathy to delay the GST increase this year, and the ability to keep an eye on both the short- and longer-term concerns of Singaporeans and businesses.[+7 sentences] Budget 2020 is responsive, prudent and balanced. The original draft must have been in the making for many months before the onset of the unexpected COVID-19 outbreak. I doubt if any other government can pull a focused Budget together like this with such agility and speed. So, kudos to Deputy Prime Minister Heng Swee Keat and the team for rising to the occasion! I would like to touch on five concerns arising from inputs of many Singaporeans I met. Concern one: an extended COVID-19 outbreak scenario. Not unexpectedly, the top-of-mind concern of Singaporeans is the "what-if" scenario of a longer-drawn COVID-19 outbreak leading to an extended global and local economic downturn. Many people are relieved and thankful that the Government acted swiftly to delay the expected GST increase and boldly decided on a larger than expected Budget deficit. But even with the Deputy Prime Minister's recent public assurance that the Government is prepared to do more if warranted, many people are nonetheless still worried about how long the Government will be able to sustain deficits of such a large quantum.[+5 sentences] What will an extended Stabilisation and Support package look like? How will it be funded if the impact is even more broad-based than the tourism, retail and transport sectors directly hit by the outbreak when the supply chain continues to be disrupted, when consumer sentiments and demands continue to decline and companies start to shed their local manpower? The anxiety is real and I seek the Deputy Prime Minister's insights on this concern. Concern two: strengthening our SMEs. SMEs play an important role in all countries. In Singapore, they make up 99% of total enterprises and employ more than 70% of the workforce.[+7 sentences] The success of Singapore's economic restructuring and industrial transformations hinges plenty on the ability of Singapore's SMEs to reinvent themselves for the long term. Since 2010, a slew of Government initiatives was launched to help move SMEs up the value chain, streamline and digitalise operations and to venture overseas. However, actions and results, too, lag aspirations and SMEs continue to be challenged, as observed by the Singapore Business Federation (SBF) in December 2019. Mindsets, talents or the lack of talents, especially in digitalisation and understanding of technology were cited to be key obstacles to business transformation. SMEs now face a more immediate challenge with the negative impact of the COVID-19 outbreak on businesses, except for perhaps the mask, disinfectant, sanitiser or even toilet roll manufacturers and the like. Besides tourism, the transport sectors and businesses that rely on the People's Republic of China (PRC) supply chain, many businesses that have little to do with China directly are also affected, like smaller businesses in food catering and even event management which are hit by cancellation or postponement of local events. There is a general anxiety amongst the SMEs that they may not be able to survive the short term. Some are asking for administration of Budget measures to be more expedient and some ask for the extension of measures, such as job support, to be extended to six months.[+16 sentences] Mindsets of many SMEs are still on the "here and now" survival issues. Training and work system redesigns, work process redesigns are hitherto not corporate habits. This has been the perennial struggle of SMEs. What is the prognosis that our local SMEs will be strengthened by Budget 2020’s suite of Enterprise Grow and Enterprise Transform Packages? Will Singapore's economic transformation ever be supported by a very strong base of local innovative SMEs? Under current circumstances, what more can be done by the Government and the rest of us to ensure that SMEs do come out of this crisis stronger? That is concern two on SMEs. Concern three: uplifting our vulnerable. Budget 2020 presents a galore of measures to help Singaporeans with cost of living in daily living, such as housing, healthcare, schooling and retirement. I am concerned about three particular groups who are still at risk: one, our low-skilled seniors who still take on jobs, such as cleaners, that challenge them physically; two, our younger Singaporeans who take on low-skilled jobs, such as food delivery and even private hire driving, jobs that offer them short-term gains and some autonomy but sometimes, little long-term prospects; and three, our disabled citizens who are still unemployed or are holding jobs that may disappear as a result of the disruption of technology. How can the Government and the rest of Singapore better support and uplift the vulnerable amongst us? Can more resources be invested to deep-dive and study their needs, create a spectrum of more suitable jobs and have more effective job placements? Can there be a more impactful and lasting way of signposting to guide them or even to create a jobs clearing house of sorts? For the disabled, which, thankfully, due to the Government’s eyeballing and ground advocacy, things are improving, but I feel it is still not enough. Is there a way by which the SkillsFuture movement can include them in a more substantive and systemic way? Concern four: income inequality. Income inequality is a hot topic for many societies, including Singapore. It is, indeed, good news that our Department of Statistics reported that household income inequality as in 2019 was at its lowest in almost two decades, with a lower Gini coefficient of 0.452 versus 0.458 the year before, and even lower at 0.398 after adjusting for Government transfers, such as Workfare and GST rebates.[+3 sentences] Experts are telling us that the difference between the Third Industrial Revolution and the Fourth is the impact of depth and breadth of technological change on everyday life and business. From food to retail to banking, you name it, industries are going digital. Singapore's SkillsFuture movement is a brilliant one, but the speed of change globally and in technology is formidable. The 500,000 or so citizens who tapped on their SkillsFuture Credit in the first tranche works out to be only about 20% of the resident labour force.[+9 sentences] Sir, while the issue of wealth inequality is as old as time, Industry 4.0 will make income inequality an even bigger issue. Research shows that innovators, investors and high-skilled IT workers benefit the most in the future economy, and the rest of the population may be at risk of being left out. To avert this scenario of a "winner-takes-all", how can we develop as many winners as possible amongst our people and businesses? The Government has moved several important chess pieces for our workforce to stay relevant and, indeed, of course, it is up to us Singaporeans to respond. But this is such an important topic. It still calls for a deeper dive, I believe, to remove the income inequality that will surely arise from the advent of technology. So, that is concern four on income inequality. My last concern in this speech is: SG Together. I wish to cover the important Singapore Together, or the SG Together, movement – a brainchild of Deputy Prime Minister Heng Swee Keat, and very typical of his style – at least to me – of listening and engaging others, including those not in the Cabinet or the Government. The Deputy Prime Minister, in January 2020, called SG Together the "new cornerstone of nation-building", a new model of partnership between the Government and Singaporeans in owning, shaping and acting on our future to expand what is called the "democracy of deeds".[+13 sentences] SG Together, indeed, I feel, is a significant and necessary direction. Issues of the day are so many and so complicated and complex that the Government no longer has the monopoly of ideas and action, and sometimes even resources. Many citizens, myself included, want to be part of the solution to make our society not just successful economically, but also significant in the world. Besides the concerns I mentioned earlier regarding strengthening SMEs, uplifting our vulnerable and reducing income inequality, I can think of so many other areas in which the Government and Singaporeans can work together: self-sufficiency in food production, impact of the rise of the robot workforce, more inclusive public housing estates, mobile or pop-up healthcare teams and clinics, living within our means in future Budget allocations, lifelong learning schools, grants for not just public housing but for private housing options, feeding the poor in a dignified way and many others. Some of us, as enthusiastic advocates, will need to acquire a broader understanding of not just our area of passion and needs, but also an understanding of the ecosystem and how different pieces affect other parts of society. If citizens want to harness resources, there must be a way by which the giver of resources, whether it is the Government or private donors, can count on the track record and reliability of us citizens and partners. Hence, our need to not only demand but to build our competencies and credibility. But on the part of the Government, I feel there are forces within the Public Service and political system that, if we are not careful, could lead to the SG Together movement becoming tokenistic and not very impactful. Some of the changes I would ask the Government to consider to take SG Together to newer heights are these. One is on vision. Can the Government and Statutory Boards cast a wider vision of their role beyond their traditional scopes? The Ministry of Education (MOE) should be envisioned as the Ministry of Lifelong Learning. The Ministry of the Environment and Water Resources should be our Ministry of Sustainability. The Ministry of Transport is no longer dealing with just transportation but connectivity.[+10 sentences] On deployment, can we get rid of the possible thinking that only the best executives are the thinkers and remain as the head honchos in the Ministries? Can we deploy more of the best brains to the ground and develop their execution muscles? I remember the days when I was starting a leadership training firm in China many years ago and I failed miserably at the start. The business only took off after I sent my best top staff to China and when I regularly worked with my PRC team on the frontlines. There ought to be a strategy to change the way the Government views and deploys its best. Station them on the ground to learn, facilitate, forge alliances through personally experiencing the challenges on the frontlines. Similarly, the Government should be bold enough to appoint good mid-career practitioners to leadership positions in the Public Service. Offer them a bridging learning stint if need be. That may make a big difference in the complexion and the DNA of SG Together. Third, in terms of culture: the culture that will drive SG Together to success will have to be one that learns to be less Ministry-centric and less controlling. The people of Singapore has trusted the Government for so long, it is time for the Government to also learn to trust the people, too – not blindly, not indiscriminately, but in a less controlling and more facilitative manner.[+1 sentence] Sir, I believe that SG Together is a very important direction for the Government. It can end up as a lofty aspiration, but if done right, it will be a powerful driver to a stronger Singapore that can weather many storms heavier than COVID-19 or more tragic crises.[+2 sentences] Sir, in conclusion, I fully support the Budget and I seek the Deputy Prime Minister's consideration of the inputs that I have made. I also thank again the Deputy Prime Minister and the team behind Budget 2020 for their great work.
Mr Speaker4 words
[+1 sentence]Mr Png Eng Huat.
Mr Png Eng Huat (Hougang)1181 words
[+2 sentences]Mr Speaker, monetary and fiscal policy can make or break a retirement dream. It would rather be meaningless for the working class to receive top-ups and transfers year after year at every Budget if there is no light at the end of the tunnel for them to realise their retirement dreams. In the illustration given in the Budget Annex, a retiree couple, both 65 years old, had only $570 a month in total to support their retirement needs, pre-Budget 2020.[+4 sentences] That is about $285 per retiree. A single person on the ComCare Long Term Assistance Scheme receives $600 a month for basic living expenses. There is no way for this couple to survive on $570 a month. The illustration went on to state that this couple has to supplement their retirement needs with family support and their own savings. What if this couple does not have family support and savings? There was a study released by two professors last year in which an elderly person aged 65 and above would need at least $1,379 a month to sustain a basic standard of living.[+1 sentence] That study has provided some food for thought about retirement adequacy. With the CPF system being the bedrock of our retirement plans, the Government expects seven-in-10 active CPF members from the 2021 and 2022 cohorts to be able to set aside their Basic Retirement Sum (BRS). That would mean that 30% of the members in these cohorts would not be able to live on their CPF payouts alone when they reach their Payout Eligibility Age (PEA) in 10 years’ time.[+10 sentences] But the more concerning part of the numbers highlighted in the Budget Annex is the six-in-10 CPF members who could not meet their BRS a decade ago. Some of these Singaporeans are on the old Retirement Sum Scheme and would have reached their PEA by now. I have met such members who are receiving less than $300 a month in CPF payouts. Some are still working as they do not have extended families or children to support them. So, for those with little or no savings for retirement, the measures announced in Budget 2020 should go some way to alleviate their hardship and uncertainty. The couple illustrated in the Annex at the beginning of my speech would receive $1,400 monthly, post-Budget 2020. Although this is a more meaningful payout per month, at $700 per retiree, it is still predicated on additional family support and their own savings, something policymakers should not presume when formulating policies on retirement adequacy. For Budget 2020, I welcome the Senior Worker Support Package to help keep jobs for our senior workers and to increase their CPF savings for their retirement needs somewhere down the road. I also welcome the Stabilisation and Support Package to help keep jobs for our workers in general during this period of uncertainty. Next, the enhancement to the Silver Support Scheme is also long overdue. The expanded criteria for lifelong wages from $70,000 to $140,000 in total CPF contributions and household monthly income per person are expected to benefit about 100,000 more Singaporeans aged 65 and above.[+33 sentences] A number of my residents were shut out of the Silver Support Scheme when it was introduced in 2015 as they had more than $70,000 in their CPF at age 55. Many of them wondered how long does the Government expect $70,000 in total CPF contributions at age 55 to last when housing alone would have taken a big chunk of it, if not all of it away. And these people would share that they were low-wage earners to begin with and were living paycheck to paycheck with little savings. Some of them would not qualify for the scheme as they are gainfully employed but homeless children are still living with them, for whatever reasons. The enhancements to the Silver Support Scheme is certainly a welcome move for elderly Singaporeans in these difficult times. Next, I have a small suggestion to make about the Grocery Vouchers scheme for Singaporeans aged 21 and above, who live in 1-room and 2-room HDB flats and do not own more than one property. These Singaporeans will receive $100 in Grocery Vouchers for 2020 and 2021. It was stated in the Budget Annex that these vouchers can be used at participating supermarkets and, to date, NTUC FairPrice, Giant and Sheng Siong have agreed to accept these vouchers. The Grocery Vouchers scheme is expected to cost the Government $16 million. Would it not make more sense for the Government to avail these vouchers for all the mom-and-pop shops instead, so as to help these small businesses tide over this difficult period at the same time? The $16 million budgeted for the scheme would go a long way to help these local provision shops but it would only be a drop in the ocean for the three big supermarkets combined. NTUC FairPrice alone had reported a group revenue of $3.45 billion for FY2018. I can understand these big supermarkets would need to agree to accept these vouchers as they would be doing a form of community service. But for those mom-and-pop shops, I am quietly confident none of them would reject these Government-backed vouchers if presented for use. I have piloted such a voucher scheme for needy residents in Hougang. Our vouchers could be exchanged for anything, including cooking oil, detergents, toothpaste, toilet rolls and so on, with the standard restriction on alcohol and tobacco products. At the same time, these vouchers would actually benefit two small, owner-operated kiosks in Hougang. I hope the Government would consider supporting our mom-and-pop shops in a meaningful way in addition to the measures announced in the Budget. Extending the Grocery Vouchers scheme to our neighbourhood shops will help bring some buzz and business to the community. This is a win-win arrangement for needy residents and local provision shop owners. Finally, if there is one lesson for me to take away from this coronavirus outbreak that is gripping the world right now, it is certainly not about the blame game, the discrimination or the name-calling. It is certainly not about the grocery run, the hoarding or the hunt for sanitisers and what-have-you. It is about helping a friend in need. When China sneezes, the world will catch a flu, whether we like it or not. The world’s factory will stop. No cheap raw materials. No cheap components. No cheap clothing. No cheap produce. And no tourists. The world has to be thankful to China for being able to provide all that for the benefit of consumers everywhere. So, it is imperative that we wish China a speedy recovery. It is also imperative for the world to help China to get back on its feet as soon as possible. The sooner China recovers, the better it will be for all. So, it is heartening for me to read that Singapore has dispatched a second round of humanitarian aid to China last week. It is important that, in moments like this, a sense of common humanity that transcends border, race, language or religion must prevail.
Mr Speaker45 words
[+5 sentences]Order. I propose to take a break now. I suspend the Sitting and will take the Chair at 4.20 pm. Sitting accordingly suspended at 3.58 pm until 4.20 pm. Sitting resumed at 4.20 pm
Mr Speaker9 words
[+2 sentences]Mr Gan Thiam Poh. Sorry, Mr Lim Swee Say.
Mr Lim Swee Say (East Coast)2582 words
[+12 sentences]Mr Speaker, Sir, having served 23 years in Parliament, I ask myself, "How have we done as an economy, society and nation?" First, as an economy, our challenge is to maximise the upside of globalisation. Globalisation has redefined the world of technology and innovation, market and competition. The implication can be "dua ho, dua pai" in Hokkien or in Chinese, "大好大坏". Either very good or very bad. "大好", very good for those good enough to move up the economic ladder. "大坏", very bad for those unable to compete as they would be left farther behind. We are determined to succeed, to be "大好". To beat those who are cheaper than us, we try to be better than them. To beat those who are better than us, we try to be cheaper than them. But the cheaper keeps getting better and the better keeps getting cheaper. So, we restructure our economy continuously, faster than them. In short, we try to be cheaper, better, faster, not by lowering wages, but by raising skills and productivity and developing new business capabilities, so that we can command higher wages for our people, and higher premium for our businesses.[+15 sentences] We stay the course not just in good times, but also in bad. During the Global Financial Crisis, other countries cut jobs to save cost. With tripartite partnership, we did the opposite. We cut costs to save jobs. They tried to survive the downturn. We upturned the downturn. So, with an L-shape recovery, many countries took years to recover from their massive job losses. But with a V-shape recovery, we took just a few months to return to full employment. Not many Singaporeans remember what we did right at a time when so much could have gone wrong for us. But for my brothers and sisters in the Labour Movement, we would never forget how much was at stake and how important it was, and always will be, that we get it right every time, including this time round with the Stabilisation and Support package. Sir, our local workforce is over two million. They need meaningful jobs and careers to take care of themselves and their families. It is never easy to compete globally for good jobs and investments. But because we dare to be different, we never say die, we have created not just over two million jobs for our people. In fact, we created more than three million jobs for Singapore. Out of the three types of growth – economic growth, employment growth and wage growth – many countries could achieve may be one out of three, or two out of three. But for Singapore, we have achieved three out of three, consistently, decade after decade.[+7 sentences] Indeed, we have done well as One Singapore Tripartism. We are winners, not losers in globalisation. Next, as a society, our challenge is to minimise the downside of globalisation. Globalisation has widened inequality globally. It has disunited nations, divided people and broken up societies. Countries and economies most affected negatively have one thing in common: they pursued economic growth as their end objective at the expense of social cohesion. Not us in Singapore. Our end objective in nation-building has always been social cohesion, not economic growth.[+1 sentence] Economic growth is just a means for us to generate the resources we need to improve the lives of our people. This is why we counter social divides with social transfers, billions of dollars in every term of Government. We counter rising healthcare cost with MediShield Life for all and we take extra care of our seniors with the Pioneer Generation Package (PGP) and Merdeka Generation Package (MGP).[+30 sentences] Again, billions of dollars. We also keep strengthening social mobility and people well-being, from upgrading of public housing estates, to the expansion and renewal of public transport, the upgrading of schools and the upscaling of preschool education. And the list goes on. Again, billions of dollars. In a world of growing divides, unrest and disunity, we, in Singapore, continue to live in peace and harmony. Because from the first generation (1G) to 2G and 3G, we never forget to channel the revenue generated from our competitive economy to take better care of our people. With this Unity Budget, our 4G is doing the same, and more. It will further strengthen our unity, cohesion and inclusiveness as One Singapore United. Last but not least, as a nation, we need to strengthen our sustainability for our long-term progress. Nation-building is a journey with no end. "人无远虑 必有近忧" in Chinese. That is, if one generation does not worry for the next generation, our future generations will have much to worry about. By then, it could be too late. Water supply is a prime example. Two-thirds of the world is covered with water, yet the world is short of clean drinking water. As an island, we could keep adding to our water supply with desalination. But it will be energy-intensive, costly and environmentally unfriendly. So, we came up with a same-same but different solution: not just adding, but also multiplying our water supply. We closed our water loop and we turned every drop of water into two drops or more with the advances in membrane technology. With the support of the entire nation, we achieved something unachievable in other places – the public acceptance of NEWater. And we pressed on for more, from NEWater to Green Sand to Zero Landfills. Indeed, despite our many limitations as a small country, we have done well as One Singapore Unlimited. Mr Speaker, Sir, looking ahead, "逆水行舟 不进则退". Nation-building is a journey against the flow. The global environment for trade and investment is changing, becoming more unconducive. Some countries may choose to continue to pursue globalisation – business as usual. Social gaps could widen more and the societies could become more divided. Some may choose to change track, towards deglobalisation. Their economies could become more inward-looking and, eventually, less competitive. For Singapore, our choice is clear. What we want is neither globalisation with a divided society, nor deglobalisation with a less competitive economy.[+18 sentences] We want the best of both worlds – a globally competitive economy and a locally cohesive society, both at the same time. "Globalisation" plus "localisation" give us "glocalisation", in short. How can we do better with "glocalisation"? First, for our Future Economy to be globally competitive, we must strive to be a pioneer and leader in the pervasive innovation with AI. AI is not new. The concept of thinking machine and machine learning has been around for 60 years. One of the early applications of AI is language translation. In the early days, someone keyed in "out of sight, out of mind". After being translated into another language and then back into English for verification, what came back was –"a blind idiot". AI has come a long way since then, not just in language translation, but in many areas, from banking to medical, engineering, data analytics and more. Together, AI and human intelligence (HI), "如虎添翼", can be like a tiger with wings, a powerful force to reshape our future for the better. The No 1 economy of today and the No 1 economy of tomorrow are competing head on to be the No 1 powerhouse in AI. Singapore, too, must do well in AI. And we can. When the First Conference on Innovative Applications of AI was held 31 years ago in 1989 in Stanford University, 30 pioneering AI applications worldwide were selected for presentation. And guess what? One of them came from Singapore! A group of AI engineers from the Information Technology Institute (ITI) presented the expert system they jointly built with the human experts at our PSA. With the recent launch of the National AI Strategy, we now have a national platform to innovate with AI faster and exploit AI better.[+5 sentences] We must run fast and excel in our ability to combine the complementary strengths of AI and HI, so that we can transform our future Singapore economy into one of the smartest in the future world. Next, for our future society to be locally cohesive, we must turn three growing social divides into social unities. First, "High versus Low". The success of a country is not judged by how well the people at the top are doing, but by how well the people at the bottom are helped by the government and treated by the general public. A widening income gap can and must be narrowed. The Progressive Wage Model (PWM) has four ladders of job, skill, productivity and wage. It can help transform every low-wage job into a better job, every low-wage worker into a better worker. I urge our 4G leadership to widen and deepen the adoption of PWM more proactively and more passionately to many more jobs in many more sectors so that the social divide of "High versus Low" can be turned into the social unity of "High and Low", moving up our employment ladder together.[+1 sentence] Second, "Young versus Old". Retirement age and re-employment age are set to move up progressively.[+4 sentences] This is good. But I hope much more will be done to transform many more jobs to be ESS – Easier, Safer and Smarter – for our older workers so that they can live more years of Happy and Healthy, Productive and Purposeful (H2P2) life as we live longer. Last but not least, local versus foreign. Competition for good jobs is global. Under SkillsFuture, we are doing much more to upskill and reskill our people.[+26 sentences] This is good. At the same time, I hope we will do more to transfer capabilities, especially new and emerging capabilities that are in short global supply from the foreign manpower, both local here and overseas, to our people more systematically and proactively. This is one best way to reduce the lose-lose mindset of local versus foreign – two-third versus one-third – and grow the win-win mindset of two-third plus one-third, equals greater than one. Mr Speaker, Sir, finally, for our future Singapore to be more livable, we need to forge a greater sense of pride and ownership in our living environment. Fifty years ago, we were a pioneer in embracing Clean and Green. Today, we are a pioneer in NEWater. Moving forward, I feel what we need is to create an environment where everyone in Singapore can participate everyday and everywhere in a more active and visible manner as part of our daily life. From more use of reusable bag and environmental-friendly car, to the separation of waste for recycling, returning of trays at the F&B outlets and so on, I hope we will strive to be a leading nation in our social behavior to improve our environmental performance and sustainability, so that our future Singapore will truly be a better Singapore in all aspects – more competitive, more cohesive, more socially responsible and more environmentally responsive. (In Mandarin): Mr Speaker, Sir, today, Singapore is a competitive economy, a cohesive society and a nation which can develop sustainably. This has been achieved through the collective efforts of all Singaporeans. The question is, why is it that most countries have capable and hardworking people but only a few countries can perform well? One of the key factors lies with the quality and style of leadership. In some countries, leaders are only concerned with "xiao wo" or self-interest. They jostle for power and put their self-interest above that of the country and its people. As a result, people’s lives are neglected and the country fails, with nothing being achieved. On the other hand, leaders from some countries adopt a "zi wo" or "self-centred" leadership style. They can perform well in the short run but are egoistic and lack successors. As a result, they may do well in the short run, but this success cannot be sustained for long. Fortunately, leaders from some countries adopt the "da wo" leadership style, or a selfless leadership style that focuses on the greater good. When they are in power, they work tirelessly to serve the country and its people. At the same time, they focus on the future and continue to groom their successors, because they know that no one can escape death and illness, and this is the law of nature. Every one of us will become old, but a country's leadership cannot become old. This is because nation-building is an endless journey. Therefore, while these leaders are serving the country and its people, they also spare no efforts in grooming leaders for the next generation. By doing this generation after generation, the country's leaders can keep up with the times and continue to do good for the people. Under their leadership, the country can achieve good progress, regardless of short-term or long- term developments. From the first to the current 3G leaders, Singapore has continued to grow from strength to strength under the "da wo" leadership style.[+5 sentences] I hope the 4G Leaders will uphold the same spirit and prioritise our country's long-term development and our citizens’ long-term interest above everything else. I also hope that our people will always treasure this leadership style. Only by doing this, can Singapore continue to progress and can generations of Singaporeans live better and be happier than their predecessors. (In English): Mr Speaker, Sir, a few months ago, I had a private dinner with Deputy Prime Minister Heng Swee Keat. He left a deep impression on me – not with his vast knowledge and deep knowledge about nation-building, because that I already knew. Minister Mentor once said Heng Swee Keat has one of the best brains in Singapore. And what came across clearly and strongly for me from that over four-hour dinner was that he also has one of the most caring hearts for Singapore and Singaporeans.[+5 sentences] We shared our views on many topics and many issues. But the one that stood out clearly was his passion and commitment in what is known today as "Singapore Together". At the dinner, Singapore Together had not been launched yet. But later on, the more I heard about Singapore Together, the more I understood what he is trying to do and why that night he was so passionate talking about this. Singapore would not be where we are today if not for the tripartite partnership (3P) in our economy and the 3P partnership in our society. Under his leadership, it is loud and clear to me that the Deputy Prime Minister wants the 4G leaders to do even better, to do even more – engaging with Singaporeans, consulting them, rallying them to contribute ideas and act in concert, because he wants to forge a national ownership that is shared by all Singaporeans in the future development of Singapore.[+1 sentence] Mr Speaker, Sir, I always believe all my life that "People do not care how much you know until they know how much you care". I am heartened that our 4G leadership not only knows a lot about challenges in nation-building but also cares a lot about the sentiment, anxiety, aspiration and inspiration of our people. I urge everyone in this House, and all our fellow Singaporeans, let us all put our hearts, our heads and our hands together, to jointly create our future Singapore, one that is more globally competitive, more locally cohesive and more sustainable with unlimited potential.[+3 sentences] One that all of us will co-own and all will be proud of. Mr Speaker, Sir, Singapore Together, Majulah Forever. I support the Budget.
Mr Speaker4 words
[+1 sentence]Mr Gan Thiam Poh.
Mr Gan Thiam Poh (Ang Mo Kio)1047 words
[+7 sentences]Mr Speaker, in Mandarin. (In Mandarin): Mr Speaker, Sir, firstly, I would like to take this opportunity to thank all the frontline healthcare workers, as well as frontline staff from the Ministry of Defence, the Singapore Civil Defence Force and the various agencies. Of course, we must also thank all Singaporeans for their support and cooperation. I am confident that we will be able to overcome this COVID-19 outbreak together. (In English): I join my Parliamentary colleagues in supporting this year's very substantial Budget. The size of the commitment will go a long way to tide us over a challenging and uncertain period. Just as our economy had seen its weakest growth since the 2008 Financial Crisis, the COVID-19 outbreak struck us out of the blue and there is not a single person here who has not felt its impact in one way or another. The $4 billion Stabilisation and Support Package will be a great help to businesses, with cash flow and jobs support.[+1 sentence] The Package is well-considered, taking into account the various aspects of employment so that we can help our workers retain their jobs and prepare for the future. JSS offers temporary wage offsetting, the Wage Credit Scheme enhancement co-funds wage increases and the extended Adapt and Grow Initiative will boost training and reskilling. I would just like to request that the Finance Minister consider disbursing the JSS payments earlier than the targeted date of end-July.[+6 sentences] Many of the smaller companies are already struggling to remain in business and it would be tough for them to wait for another five months. The timing of the payouts could mean the difference between survival and failure for some. Furthermore, we must consider the knock-on effects of company closures on other connected businesses. The potential chain reaction should not be underestimated. Hence, I urge the Minister to consider expediting the assistance. The Government's decision to target support for the five sectors directly hit by COVID-19 is understandable. Funds are limited and the amounts must be large enough to be impactful. I appeal for some support for businesses connected to the five supported sectors of tourism, aviation, retail, food services and point-to-point transport services as well.[+13 sentences] Suppliers to businesses in these five sectors are suffering, too, as it is common that these five sectors outsource services to vendors and suppliers. I hope the Ministry would consider introducing some measures to assist companies which are similarly affected, due to their dealings with firms in these five sectors. It is a great idea to encourage companies to send their employees for training and reskilling. However, many smaller companies are unable to do so. Some of these small companies are almost firefighting every day, they are also stretched for manpower, it is almost impossible to send workers for training. In addition, they may not have the financial means to do so. I would like to ask the Ministry whether they are able to assist such smaller companies with the kind of difficulties that I mentioned. The Government has committed to work with large anchor enterprises to support training for their sectors. May I ask if this plan would help to address the concern I have just mentioned? Some Singaporeans who were retrenched earlier would have greater difficulty getting jobs now. We sympathise with their difficulties. They express their desire to continue working, not receiving financial assistance. Companies should be incentivised and encouraged with rewards to give these Singaporean jobseekers the highest priority for available jobs in their firms, especially those in their 40s and above who are willing to take part in PCPs, before granting Employment Passes (EPs), S Passes or Work Permits (WPs). The proposed hiring incentive for employers, which provides 20% salary support to the employers for six months, is attractive and I hope the Government will monitor its effectiveness.[+5 sentences] How will the Government determine the scheme’s effectiveness and under what conditions will the Ministry review existing programmes to support the employability of Singaporeans? Next, I would like to share some suggestions about the support for the point-to-point transport service sector. Firstly, private hire car (PHC) drivers who drive an average of 6.7 trips per day will qualify for the $10 per day relief. For taxi drivers, the hirer will qualify for the $10 per day relief and each hirer, being a full-time taxi driver, typically has to drive 15 to 18 trips per day. Each hirer typically has a relief driver who also drives about 10 to 15 trips per day but relief drivers do not qualify for the $10 per day relief. Could the Ministry of Transport consider extending such an assistance scheme to support taxi relief drivers?[+16 sentences] Secondly, taxi operators, typically asset-heavy, carry higher costs and have to pay road tax, corporate tax and so on. Ride-hailing companies, which are asset-light, do not have to pay any such taxes as they are borne by the drivers. Hence, the cost structures of both are different. Taxi operators are matching the $10 a day relief fund by providing a rental rebate of $10 a day or more. Ride-hailing companies do not need to match $10 a day. PHC drivers typically pay 20% commission based on the total fare collection. For an average day, PHC drivers pay about $36 in commission and the $10 per day relief is equivalent to 27.8% of their expenses. On the other hand, taxi rental per day is about $100. Thus, $10 a day relief is equivalent to 10% of the expenses of a taxi driver. Would the Ministry consider reviewing the Special Relief Fund in view of the different cost structures of both? Finally, we should also note that we have a significant number of self-employed or freelancers amongst us who will not be eligible for the various assistance schemes, such as JSS. For example, many tourist guides are self-employed. Would the Government roll out measures to help them find other temporary and part-time jobs? This group of workers can be redeployed to other tasks, such as temperature-taking. I saw on television recently there were some who have taken it up. They would need job counselling and advisory to point them to available temporary jobs or even career changes so that they can continue to secure a livelihood.
Ms Joan Pereira (Tanjong Pagar)935 words
[+1 sentence]Mr Speaker, Sir, I am very grateful and relieved that our country is able to finance this $106 billion Unity Budget without having to draw on our Reserves nor burden future generations. We thank our predecessors for their thrift and wisdom in building up our Reserves and assets which provide the Net Investment Returns Contribution (NIRC). This year's NIRC is expected to remain the top contributor to our revenue, ahead of corporate and personal income tax and GST.[+2 sentences] In addition, we have benefited from careful and tactical planning which ensure that we accumulate and set aside surpluses for a rainy day. Thus, we are much better prepared to weather this storm of global uncertainty, economic shifts and the COVID-19 outbreak. The $4 billion Stabilisation and Support Package and $1.6 billion Care and Support Package will provide substantial help to businesses and households to deal with the short-term challenges ahead.[+2 sentences] Furthermore, this Budget goes beyond the immediate present and sets aside funds for mid- and long-term goals. Today, Sir, I would like to focus on assistance for the vulnerable and needy and request for more resources to be committed to help them. This is a topic very close to my heart. This year, the expenditure for Social and Family Development is expected to increase by 8.5% to $3.3 billion.[+5 sentences] Our Social Service Offices (SSOs) play an important role in coordinating social assistance for needy residents. Most vulnerable households face multiple problems. They need help with their finances, job seeking, family relationship problems, health issues, care for their children, elderly or disabled family members. Living from hand to mouth, struggling to just make it through the day, it is daunting for them to figure out where to ask for help, let alone approach different Government agencies. It is very helpful that SSO, the coordinating body, provides them with the necessary guidance and help, such as job matching and linking them up with the relevant Government assistance schemes and services and voluntary welfare organisations (VWOs). The SSO provides a customised social service, catering to the different requirements of each distressed resident or family. This is labour-intensive work and, not surprisingly, our SSOs are very much stretched in terms of resources, specifically manpower.[+20 sentences] This makes it hard for them to follow up with individuals or families to see if they are doing fine after help has been rendered and the cases considered closed. Many social workers and case officers would definitely want to follow up to ensure their cases are okay because, in reality, there are always lingering or recurring problems which pop up as this vulnerable segment goes through the different stages in their recovery or relapse. However, with new cases approaching the SSOs for help, the challenge is having to prioritise with the very limited resources. Presently, with so many touch and contact points, picking up and identifying cases are not so much of a problem. Doing a longer and more thorough follow-up is the real challenge. Our social workers and officers need time to build rapport with these families and establish trust. Over a long period, with greater and deeper understanding of their cases, they could be more effective at proposing more long-term solutions and detecting other underlying or potential problems. This is very important, particularly where children or the elderly are involved. These are two groups of people who may not be able to articulate their problems or speak up for themselves. Protecting and helping children are one of the most important things we should do because we want to enable them to grow up into healthy and well-adjusted individuals who can take care of themselves, break out of the poverty cycle and become contributing members of our community. I would like to propose that we tap on seniors and older workers to help in this area of work as they have good experience and wisdom. Besides providing more funding to hire them, we would also need to train those who are joining these positions mid-career. Allow me to share my constituency experience about a senior who has been volunteering in my Henderson Dawson welfare committee after his retirement. Mr Ho Yew Wai, aged 70, is my resident. He retired three years ago as a senior counsellor in the Family Court. He visits individuals and families in distress, patiently talks to them and understand their issues, then works with our SSO, various Government agencies and VWOs to ensure these families receive holistic help. After a couple of months of the case closing, he will get in touch with the families to ensure all is well. This goes on till he is confident that the family is alright. If something has gone wrong mid-way, he will work with SSO again. However, much time and resources are needed for such a follow-up, and there are just that many cases one can handle. If this follow-up portion can be delegated to people like Mr Ho, someone who loves people, enjoys working with people and who has such invaluable experience and, if a system can be put in place, the SSO officers can be freed up to do the earlier coordination and intervention work.[+6 sentences] Sir, in Mandarin. (In Mandarin): Investing in resources to take care of our less privileged groups will yield positive results many times over. The young will break free from the poverty trap, lifting their families with them. Those who are down will not remain down and out for long with many helping hands to pull them up. Together, we will build a stronger, more unified Singapore. I support the Budget.
Mr Speaker4 words
[+1 sentence]Mr Yee Chia Hsing.
Mr Yee Chia Hsing (Chua Chu Kang)650 words
[+1 sentence]Mr Speaker, Sir, I rise in support of Budget 2020. Deputy Prime Minister Heng Swee Keat announced the vision to phase out Internal Combustion Engine (ICE) vehicles and for all vehicles to run on cleaner energy by 2040. One of the measures to push more people to buy EVs is the introduction of the EV Early Adoption Incentive. This is a 45% rebate on the Additional Registration Fee (ARF), capped at $20,000.[+4 sentences] Sir, I would like to highlight that while the $20,000 is generous, I feel it may not be sufficient to push more people to buy EVs. A comparison of the price of EV versions with ICE or hybrid versions of the same car model shows that EV versions currently sells at a significant premium to their ICE or hybrid equivalent. This is mainly because lithium ion batteries are very expensive. Moreover, costs incurred by car distributors to bring in EV models are spread over a small number of cars, thus increasing the per car costs. For instance, a Hyundai Ioniq Electric currently sells for $152,000, a premium of $44,000 over its hybrid sibling.[+8 sentences] The story is the same for plug-in hybrids which allow charging as a source of energy. A Volvo S60 plug-in hybrid sells for $265,000, a whopping $90,000 over its normal S60 equivalent. Factoring in the higher road tax for EVs, which will be introduced to compensate for the loss of fuel excise duties, I think EV adoption will continue to be slow. Mr Speaker, another area which I think we have to look at is to push local car distributors to bring in more EV and plug-in hybrid models. While car manufacturers have introduced more car models with cleaner engine technologies, local distributors have been slow to bring them in. For instance, Volkswagen has an EV version of its Golf, called the e-Golf, but it is not available here. The story is the same for Japanese cars. Honda has a very cute EV called Honda E, again, not sold here. A check among the mainstream car brands sold here indicated that there are only eight EV car models which consumers can choose from.[+12 sentences] Last year, the top three car manufacturers are Honda, Toyota and, surprisingly, Mercedes. Together, they account for more than 28% of total car sales. Unfortunately, none of them brings in an EV or plug-in hybrid model. Sir, unless we can make car distributors bring in more EV models, our push towards EV is doomed to fail. To address this, I would like to suggest the following measures. While we have a longer-term view for the year 2040, we need short- and medium-term targets as well. I would like to suggest that for all mainstream car distributors selling more than 1,000 cars annually, 5% of their cars must be pure EV or plug-in hybrid models in five years’ time. In 10 years' time, by 2030, this will be raised to 20%. Frankly, if we cannot meet 20% by 2030, there is no way we can meet 100% by 2040. Without this push, our investment in charging stations will be wasted and the charging stations will become white elephants. To incentivise car dealers to bring in EV and plug-in hybrid models, there should be double tax deduction for expenses incurred to bring in these car models. Profits from such sales can also be taxed at a lower corporate income tax rate of 10%. For car dealers who are unable to meet the target, a $5,000 ICE tax can be levied on every ICE car model which they sell.[+3 sentences] Mr Speaker, the vision of 100% clean energy vehicles by 2040 is a bold one. In order to increase the adoption of cars running on cleaner energy, we need to look at the whole value chain and not just from the car buyers' perspective. I hope that both MOF and MOT will look into my suggestions.
Mr Speaker4 words
[+1 sentence]Dr Teo Ho Pin.
Dr Teo Ho Pin (Bukit Panjang)1488 words
[+17 sentences]Mr Speaker, Sir, I rise in support of the Budget. Sir, COVID-19 has shown and demonstrated that robust contingency planning is necessary to ensure that we can cope with the worst effects of crises. Singaporeans have expressed confidence in the foresight of our Government and its willingness to spare no expense in ensuring that sufficient provisions are made for times of emergency. Far-sighted and robust contingency planning has allowed us to prevail over crises in times past and will help us to tide over crises in times to come. Budget 2020 is testimony to the commitment of our Government to help businesses and Singaporeans to overcome the COVID-19 outbreak. Sir, I wish to speak on the importance of contingency planning. In particular, I wish to speak on how we can build capabilities in our Government, businesses and the community to ensure that we are prepared for future emergencies or crises. I would also like to propose some measures that the Government can facilitate to alleviate the strain placed on our nation by COVID-19. Sir, I would like to call on the Government, businesses and shareholders in the community to develop and implement business continuity plans (BCPs) to make Singapore and Singaporeans more resilient against threats of varying natures. BCPs have proven to be useful. Please allow me to cite two examples. On the government level, the Tourism Authority of Thailand was able to use its BCP to help the Thai tourism industry recover after crises, such as the 2004 tsunami and the 2009 riots. On the business level, Nissan’s contingency planning, which was reviewed and refined multiple times over the years, allowed it to minimise production disruptions following the 2011 Tohoku Earthquake. Its BCP includes measures, such as establishing a database to keep stock of supplies during an emergency, making its command structure mobile and drawing from a global supply chain made possible with alliances, such as the one with Renault. Sir, we should consider learning from best practices overseas and press for both our Government agencies and businesses in Singapore to develop BCPs. To facilitate the effective development of BCP in business, the Government can issue BCP guidelines to the private sector, as the Cabinet Office of Japan did in 2005. Sir, we should be as ambitious as them and aim to have 100% of our large-sized and 50% of our medium-sized enterprises formulate these BCPs and have them executable in 10 years. At this juncture, I wish to share that the 15 People's Action Party Town Councils are reviewing their respective BCPs to ensure that they are kept operational even during times of crises. Last year, we started to develop our BCP framework in accordance with international standards, that is, the International Organization for Standardization (ISO) 22301, to ensure that the plans are objectively consistent, credible and viable.[+19 sentences] In addition to the operational benefits this will yield, on a psychological level, this will inspire confidence in our residents that their needs will continue to be taken care of during a crisis. With COVID-19, it is patently clear that even the best-designed BCP may be found wanting, especially when global supply chains are disrupted and fear spreads within communities. There is no shortage of literature displaying the dismal effects of COVID-19 on our businesses. Firms in the aviation, tourism, retail, F&B and transport industries have been hit especially hard. Mr Speaker, Sir, I would like to propose some measures that the Government can undertake to help these businesses and restore confidence. First, by boosting consumer demand. This can be done by providing matching grants to businesses when they give discount vouchers to consumers. Sir, many customers are concerned with the situation and choose to stay at home. This has caused many businesses to hemorrhage money as there are significant overhead costs. To keep our businesses afloat, it is important that measures which incentivise consumers to consume are implemented. Businesses can entice consumers by giving them monthly discount coupons on air tickets, hotel stays and shopping vouchers. The Government can help by giving matching grants to these businesses to help soften the blow of COVID-19. Second, by boosting consumer confidence. This can be done by increasing the frequency of cleaning, disinfecting our surroundings and improving on hygiene. We can ensure that temperature checks are conducted at all shopping centres, hotels and tourist attractions. These measures will further boost consumer confidence to visit Singapore and our attractions. Sir, restrooms are a visible gauge of hygiene standards. An ill-maintained, dirty restroom is likely to evoke thoughts of disease growth and feelings of repulsion. As such, the maintenance of clean toilets in Singapore can reduce these unpleasant sentiments and incentivise consumption by boosting confidence that measures to reduce the risk of disease transmission are being taken. In January 2020, the North West Community Development Council (CDC) implemented a project named "Clean Toilets @ North West" to transform all toilets at coffee shops.[+5 sentences] Based on the experience and expertise of various stakeholders, such as architects, interior designers, coffee shop operators and users, we have developed a new benchmark for clean toilets at coffee shops. By using the correct designs and materials, toilets can be built to achieve these desired outcomes as follows: first, robust and vandalism-proof; second, easy to maintain; and third, clean and safe for users. This, together with the professional training of cleaners and continuously educating our users to be kind and gracious when using toilets, can transform the toilet culture in Singapore. At the same time, it will remove potential breeding spots for bacteria and diseases. Sir, we have adopted the Clean Toilet benchmark and upgraded a coffee shop in Bukit Panjang as a "show flat" for clean toilets. Details of the Clean Toilet project can be downloaded from North West CDC’s website. We are pleased to note that all the coffee shop operators in Bukit Panjang have agreed to upgrade their toilets to meet this new benchmark.[+5 sentences] This will transform our toilets to be clean and safe. Sir, the adoption of these standards will inspire confidence in our hygiene and safety standards and will continue to boost consumption. Sir, many will say that this is a pipe dream, given the current culture surrounding toilet usage. However, the South Korean government was able to enact huge and, more importantly, lasting changes within the span of eight years. Clean toilets are the norm today. The transformation has been permanent and successful, with South Korean toilets continuing to be some of the cleanest in the world, 26 years after the start of the South Korean Restroom Reform.[+6 sentences] We should learn from their experiences and start our own Singaporean Restroom Revolution. Sir, I have spoken on building capabilities on the Government and business levels. I wish to now speak on building capabilities in the community. The community forms the first and last bulwarks against threats. It is likely that members of the public will be the first responders in crises. As such, community participation should be factored into our contingency plans. It is imperative that we equip our people with the knowledge and skills to survive and to help others during a crisis.[+1 sentence] Sir, volunteers from North West CDC have developed a mobile application called "North West 911" to provide a mobile toolkit which one can access from the convenience of their mobile devices anywhere and anytime to better respond to emergencies. This app provides an emergency preparedness and response protocol guide for 14 crisis scenarios, such as fire, flood, bomb threats or infectious disease outbreak. It also has an illustrated first-aid guide, an emergency bag inventory checklist, a resource directory covering clinics, polyclinics, hospitals, police stations, civil defence shelters, community centres and emergency telephone numbers which Singaporeans can call to seek assistance when in Singapore or in the 10 most frequently travelled overseas destinations by Singaporeans.[+1 sentence] Sir, there is great potential with this app, given that there are 4.7 million smart mobile device users in Singapore. By having this app downloaded by these users, we can build a 4.7 million-strong community of lifesavers.[+3 sentences] I would like to urge Members of this House to download the app to your smartphones. Just go to your respective app store as the app is available on both the iphone operating system (iOS) and Android, key in "North West 911" and take the lead in preparing for emergencies. Mr Speaker, Sir, we should empower the community to come up with innovative solutions like North West 911 and build capabilities in our people to cope better during emergencies. In this regard, I would urge the Finance Minister to consider setting up an Emergency Preparedness Endowment Fund to continually train all Singaporeans to be prepared for crises which may occur in the future.[+1 sentence] In conclusion, I would like to reiterate my call to the Government, businesses and the community to develop robust contingency plans and for crisis management capabilities to be developed at all levels of Singaporean society.
Mr Speaker3 words
[+1 sentence]Mr Murali Pillai.
Mr Murali Pillai (Bukit Batok)1413 words
[+2 sentences]Mr Speaker, Sir, before I start my speech, I wish to congratulate the hon Member of Parliament Mr Lim Swee Say for his well-delivered speech in his special style, replete with new acronyms. He spoke from the heart and made many instructive points. One that resonated with me, which is worth repeating in this House, is that it is exceptional for a government to achieve real wage growth, real employment growth and economic growth, all at the same time.[+22 sentences] He also reminded us that growth is not just for its own sake but it is, ultimately, about making Singapore stronger together as a society, for now and the future. His clarion call to work together to progress forever is something all Singaporeans must join in. Sir, in my speech, I will make two suggestions, seek one clarification and then I will end off with an observation. Turning to suggestions, on the Stabilisation package, the hon Deputy Prime Minister and Finance Minister Heng Swee Keat expressed gratitude on behalf of the Government to all frontline officers and then he outlined the Stabilisation package. Many hon Members, including Mr Seah Kian Peng, and Senior Minister of State Koh Poh Koon today also echoed the sentiments of gratitude to the frontline officers. I wish to draw attention not just to these officers but their families. A few weeks ago, I met Mdm Jorah. She is 57 years old. She is a nurse with Bukit Batok polyclinic. She was accompanied by her husband, who is a stroke patient. Her husband shared with me that on occasions, Mdm Jorah came back and shed tears. This was because she was scolded at the clinic by patients who were demanding surgical masks even though they did not have symptoms. Her husband was the one who provided emotional support for her and, as a result, Mdm Jorah was able to carry on with her duties. I am sure there are many such examples of families supporting frontline officers. I believe these families must be recognised and supported, and to this, I make two suggestions. First is, if they are put to expense because of these deployment requirements, then I think it is only fair for them to be recompensed. One example is if they have to cancel a travel arrangement because leave had to be cancelled. Alternatively, if there had to be some care arrangement like, for example, Mdm Jorah's husband is stroke-ridden and she had to make arrangements so that he could be taken care of while she goes back to the clinic. Perhaps this can be considered. The other thing is, it would be good if we can put together a package of discounts and even gifts for goods and services for the families. We could use perhaps the Courage Fund, with participation from Singaporeans and the private sector. The Government can play a role in providing the funds and funding incentives for organisations to honour our frontline staff and their families. My next suggestion involves the Enabling Employment Credit (EEC).[+4 sentences] I laud the introduction of this EEC to incentivise employers to employ and retain persons with disabilities (PWDs). Just a short clarification, I would seek to understand what is the definition of PWD for this scheme? Would it, for example, include persons with mental disabilities? I know voluntary organisations, such as Bizlink, which do good work on this front, would benefit if this is so. Returning to the point I want to make: I wonder if a similar credit could be provided to employers of ex-offenders?[+6 sentences] Now, ex-offenders still have a problem in securing decent jobs. I met Mr R who is 66 years old. He has just been released from prison after serving five years for selling contraband cigarettes. He is exceptionally fit and looks much younger than his age. He has Secondary 2 education and speaks good English. He told me that he could only secure a part-time job as a coffee shop attendant earning $40 a day. His salary seldom goes beyond $800 a month.[+1 sentence] Many ex-offenders are underemployed. I wonder if EEC could be extended to provide incentives to employers to employ or give full employment to ex-offenders.[+5 sentences] We can even work the EEC such that it can be crafted to reward ex-offenders if they were to stay on working and fully rehabilitate themselves. That would translate to some level of savings on behalf of the Government as well, because they do not re-offend. This would strengthen the "Unity" element of the Budget. Before I go on to seek my clarification, I also want to acknowledge the good work of the Singapore Corporation of Rehabilitative Enterprises (SCORE) in securing employment for ex-offenders. But we can do our part to help SCORE to do its work to get better jobs for ex-offenders. On the clarification, Mr Yee Chia Hsing spoke about EVs. I note the Deputy Prime Minister's bold vision of phasing out ICE vehicles and having all vehicles run on cleaner energy by 2040.[+11 sentences] The incentives appear to centre on encouraging EV adoption as opposed to other options, such as Hydrogen Fuel Cell Vehicles (HFCVs), which are favoured by countries, such as Japan and South Korea. The Deputy Prime Minister said, and I quote, "The Government is placing a significant bet on EVs." Deputy Prime Minister Heng does not seem to me like a betting person, but may I please ask what is the basis of optimism over EVs as opposed to HFCVs? Also, what kind of infrastructural development is required to achieve the aim of 28,000 charges by 2030? Do we need to build more substations, for example? What is the expected cost? Would there be cost recovery from users and, if so, how do you do so? I wish to share one point though from personal experience. There is a potential for municipal issues to creep in during the transition period when you convert parking lots for ICE cars to EVs. I have dealt with situations where there have been complaints that EVs take the more accessible parking lots as opposed to ICE cars. So, sometimes, there is scope for such complaints to come up. Going forward, it may be better for a transparent, demand-driven model for conversion of lots. Next, on the vehicular tax structure, I note that the Deputy Prime Minister is contemplating a lump sum tax for EVs to account for loss in fuel excise duties.[+7 sentences] I appreciate that fuel excise duties generate revenue and are also imposed to discourage excessive driving. It also has another element: it promotes less pollution. So, I take it that in relation to this lump sum tax that the Deputy Prime Minister contemplates to impose, at least there will be certain savings for EV users because it promotes less pollution. I welcome a clarification. I end off with an observation. I had the chance to gather feedback from residents and committee leaders in Bukit Batok following Deputy Prime Minister Heng's delivery of the Budget Statement. The observations that were shared were that it was very comprehensive, that it deals with "live" issues on the ground, particularly the fears of mid-career workers, cost of living and, of course, the economic challenge posed by COVID-19. This reflects the extent of consultation that Deputy Prime Minister Heng and his colleagues engaged with people on the ground. I understand from his speech that about 1,000 leaders from different parts of society were engaged and their ideas were incorporated into this Budget. Truly, this is a "Unity" Budget from conception.[+1 sentence] The $106-billion expenditure is a headline grabber. I do not recall many other Budgets crossing this $100-billion mark.[+5 sentences] But we were able to do it without drawing on our Reserves. Mr Liang Eng Hwa highlighted this point in his speech and he highlighted that the prudent expenditure policy of the Government helped in this regard. But one thing which I thought is worth highlighting is that, over the years, this Government had been making a heavy investment to grow the collective capabilities of our people and this, in turn, allowed us to achieve the real income growth as well as the economic growth. As a result, operating revenue actually went up. I checked the figures. At the start of the term of Government this year, it was about $64 billion.[+3 sentences] Now, it is about $75 billion. So, that is real growth resulting in revenue increase and I laud the Government for that. With that, I end my speech.
Mr Speaker3 words
[+1 sentence]Mr Saktiandi Supaat.
Mr Saktiandi Supaat (Bishan-Toa Payoh)2414 words
[+12 sentences]Mr Speaker, Budget 2020 is a balanced Budget with a two-pronged approach. There is a clear short-term focus on fighting the impact of COVID-19. This takes the form of protecting local jobs, lowering corporate cost structures and household stimuli to mitigate the worries concerning the day-to-day expenses. Structural transformation of the workforce continues to be the mid-term focus. It is important that even in the midst of a crisis, we must not lose perspective of the future. By recovering faster than the rest, we can leverage on a stronger headstart in the long-term, not to mention the efforts focused on climate change. Mr Speaker, I will focus on three topics. The first topic is on help for businesses. Businesses are the bread and butter of our nation. The Deputy Prime Minister is right to address the immediate cash flow needs of businesses, and wages are a big part of this. JSS will certainly help to encourage enterprises to retain their local employees during this period of uncertainty. I have two concerns. Eligible employees will receive the payment by 31 July 2020 for wages paid out from the months of October to December 2019.[+13 sentences] Can this duration be shortened? Otherwise, it is almost half a year from now, which may not come in time for SMEs facing liquidity challenges. I urge for efforts to be made to prioritise payouts to companies whose finances are in poorer shape. Another concern is the period that we are basing the wages off. Let us say an employer has hired an employee through the months of October to December. He lays off the said employee in March. I assume he will still receive his JSS payout. However, does that not defeat the primary purpose of this scheme, which is employee retention? Ultimately, helping businesses is also indirectly helping employees, so I am still glad that there is this scheme. Nevertheless, I hope the Ministry will consider the efficacy and timing issues of such disbursements to ensure they achieve maximum intended results. Next, property tax rebates have been a common offering in Budgets in times of uncertainty. While the intention is for commercial landlords to pass on the savings to their tenants, this is not guaranteed. Time is needed for landlord-tenant discussions to take place and then the administrative work involved to update the tenancy terms. Has any outreach been done in the past years to determine how much of the savings from the rebates are passed on to the tenants?[+3 sentences] Moreover, we can consider increasing the quantum of property tax rebates if the economy is projected to undergo a U-shaped or a slightly deeper U-shaped recovery. In light of the difficulties experienced across many sectors, we have to ensure that the continued shift away from employment of foreign workers is also conducted in a sustainable manner. This is especially so for sub-sectors or firms which (a) have a high reliance on foreign workers, (b) are facing external headwinds from the earlier global economic tensions, and (c) are now further burdened by COVID-19 pressure on margins. Will it be possible to introduce a waiver of the Foreign Worker Levy for the five directly affected sectors as well as other industries which are not doing so well?[+5 sentences] I also hope more can be done to support sectors directly affected by COVID-19. An example is the Temporary Bridging Loan Programme which was introduced to the tourism industry. Can we also consider this for the other four directly affected sectors? I observe that the current measures are focused on retention and retraining of workers. But if the business fails to pick up or if businesses are unable to revise their business model, it is only a matter of time before they have little choice but to let go of workers. In the alternate worst-case scenario of a protracted global pandemic situation, can the Deputy Prime Minister share with us if we have enough to undertake an off Budget package, if needed, to help businesses and workers?[+2 sentences] Mr Speaker, my second topic is on targeted assistance for those in the 40s and 50s group. I was extremely delighted to hear the Deputy Prime Minister mention in the Budget that he has introduced a SkillsFuture Mid-Career Support Package for locals in their 40s and 50s to help them stay employable and move on to new jobs or new roles. The Deputy Prime Minister has highlighted the aim to double the annual job placement of locals in their 40s and 50s to around 5,500 by the year 2025 via increasing the capacity of reskilling programmes, such as the PCP under the Adapt and Grow initiative, plus other sector-specific and career transition programmes.[+11 sentences] I am in this 40 to 50 age group. So, hopefully, I will benefit from some of this. It is good to know also that employers will be supported to recruit, retain and retrain our local mid-career workers. So, I strongly support the effort to increase the capacity of reskilling programmes, such as PSP, by 2025. This, in my view, is pertinent, because a skills-restructuring exercise is very important for Singapore in this transition phase that we are facing. So, can we hasten and intensify the efforts on this and focus a bit more to provide more targeted help for those who are in their 40s and 50s and provide incentives for companies to absorb more of them into the PSPs, which we already had, but we can actually widen a bit more and focus on them in a faster way. Many existing SkillsFuture programmes require employees to be employed and nominated by their employers. For those who are not employed by a participating company, they sign up and hope they are shortlisted. As with the typical job applications, there is no guarantee. It is not unreasonable to believe most companies will put their interests before anything else and that could mean choosing an applicant who is perceived to have greater potential, someone with better qualifications, younger and so on. This may result in the more vulnerable groups, the ones who need the training and reskilling most, being left in the lurch. Last year, I proposed in my Adjournment Motion to the Tripartite Alliance for Fair and Progressive Employment Practices and MOM to enhance the Capability Transfer Programme (CTP) to incentivise companies to train more of their local workforce by sending them for training overseas or have them trained under a foreign specialist with the aim of transferring or sharing the new job scope.[+18 sentences] Companies should build their 40s to 50s Singaporean Core through this programme. Their experience in the workforce, along with excellent work ethics, make them exemplary employees to invest resources in. I hope this can still be considered by the Government, going forward. COVID-19 also underscores the vulnerability of income sustainability for the 40 to 50s gig and contract workers. Freelancers across various industries are also affected, from trainers whose class attendances are slashed, to event organisers, emcees, photographers whose events are cancelled and so on. If COVID-19's impact lasts longer than projected, a second round of stimulus may be required to provide more direct help to these individuals. Regardless, job retrenchment and job transitions are inevitable. Besides current measures, how can we better support in these situations? How do we develop our people so they seize opportunities in this fast-changing economy? For every success story of someone who discovered their new calling, there are others who feel discouraged from months of seeking. Mr Speaker, my third topic is on the cost of living. Cost of living is a perennial concern even amongst middle-class Singaporeans. Over the years, the Government has come up with new measures, raised income ceilings, provided relief to the sandwich middle-class who have children and elderly to take care of. But in this climate of uncertainty, the current measures may be insufficient. One major concern is inflation. Singapore imports more than 90% of our food. Climate change and natural disasters around the world threaten our food security. With demand exceeding supply, this drives up food prices everywhere. Since 2013, food prices have gone up by about 10%, while 2019 saw the fastest increase in food prices in a decade.[+1 sentence] COVID-19 brings about many knock-on effects. With the Singapore dollar hitting a three-year low against the United States (US) dollar and weakening against regional currencies, costs of our imports will go up.[+11 sentences] Shipping costs, too, are going up due to logistical difficulty in shipping out supplies from China. And with sudden waves of COVID-19 infection in certain countries resulting in city lockdowns, people are panicking and stockpiling food and necessities. I fear this may also contribute to further price increases in our food and essentials. In a typical middle-income family, both husband and wife work, so most Singaporeans would dine out and order delivery. Higher rentals and labour costs as well as increased water and electricity bills have all led to increased operating costs. With prices of food and food services going up, a typical sandwich middle-income family can certainly feel the pinch from feeding their children, especially those with larger families. Many parents have shared with me that one of their greatest concerns is paying for their children's tertiary education. So, primary and secondary education in Singapore are, indeed, extremely affordable, but the same cannot be said for universities and polytechnics, where tuition fees and textbooks are hefty. There are bursaries and scholarships, both from the Government and community, but availability and eligibility are limited. Healthcare, too, is a natural concern. Today's sandwich generation are worried about the healthcare costs of their elderly parents. Despite all the existing measures and schemes to keep healthcare costs affordable even for the very poor, it is apparent that healthcare costs will keep going up with the increased demand for better-skilled healthcare workers and medical equipment and pricing power of the pharmaceutical companies. So, the announced $1.6 billion Care and Support Package provides assurance and support to Singaporean households during this period of uncertainty, by helping to defray some of their household expenses via various cash outlays, special Workfare payments and others.[+2 sentences] So, it is a substantial amount for a large number of Singaporeans. But beyond these, can the Government share how it will mitigate rising living costs or the perception of it, so that Singaporeans will feel assured to build and grow their families? One avenue that comes to mind is to ensure that we have adequate measures for a start to monitor as a whole-of-Government to ensure prices of food, necessities and energy-related products do not see profiteering and asymmetric price adjustments that could affect general households during periods of crisis or shocks.[+1 sentence] The asymmetric price adjustments are quite key because, sometimes you adjust prices lower and sometimes you adjust prices higher. But typically, when you adjust prices lower, energy companies tend to take a lag effect. So, besides the MTI-related workgroup and committees, the Consumers Association of Singapore (CASE) and Competition Commission of Singapore (CCCS) looking at profiteering, can we set up a single enforcement unit to address profiteering and price adjustment asymmetries in a more sustained manner or embed it more explicitly to address inefficient pricing practices within the CCCS mandate?[+3 sentences] Mr Speaker, in Malay. (In Malay): Income inequality. In the midst of all the worrying news about COVID-19 and rising economic uncertainties, there is a silver lining. A Department of Statistics' Key Household Income Trends report states that household income inequality here last year was at its lowest in almost two decades.[+20 sentences] The improvement over time is commendable. Our key strategy to ensure access to good education opportunities for all has likely contributed significantly to this. There has been heavy investment in education and, more recently, in early education, with a deliberate effort to level the playing field at the early stage. But we must not rest on our laurels. Today, there are still vulnerable people who require support to gain access to nutritious food, healthcare and even shelter. We read about them in the news, we hear about them from social service organisations, we see them at the Meet the People sessions. Labels like "high socioeconomic status (SES)" and "low SES" are being bandied around. We are familiar with the stereotypes applied to different aspects of life in Singapore, from what sport we play to the food that we eat. Our society is becoming increasingly status-conscious, and we need to put a stop to this. We need to prevent an underclass from forming. Plenty has been said and done about empowering people through education and skills-upgrading. The fact remains that there are many amongst the low-income group who are in low-wage jobs with little career prospects and wage growth. Due to family circumstances, such as caregiving duties or being in ill-health, some of them are simply unwilling or unable to sink additional time and energy into attending courses. Yet, the only way forward is through renewed opportunities and upskilling. One way is to redesign or change these jobs, and this is already done through automation. The other way is to develop workers to switch career paths. However, we need targeted help and handholding to make renewing opportunities possible for the vulnerable. Some social enterprises create job opportunities for the vulnerable. I have no doubt that they, too, are affected by COVID-19. Given the nature of their business model, they may be harder hit than other businesses, as are their workers, if they have to be let go during this period. Has the Government done any outreach to social enterprises to find out what kind of assistance they need? How effective have social enterprises been in offering sustainable and stable employment to the vulnerable group? Can the Government work more closely with social enterprises to uplift this vulnerable group?[+6 sentences] (In English): Mr Speaker, in conclusion, the best laid-out plans need a sound and sustainable fiscal strategy. The challenges facing Singapore in the 10 years ahead will grow in complexity. We will need all Singaporeans to come alongside to find solutions to these challenges and chart a new course for the future. It is reassuring that the Minister has committed expenditures beyond COVID-19 to measures ensuring our sustainability in the short, medium and long term. I am confident that with the Government, businesses and the people working together and playing our part to support one another, we will pull through the challenges together, stronger and better than before. I support the Budget.
Mr Speaker3 words
[+1 sentence]Mr Henry Kwek.
Mr Kwek Hian Chuan Henry (Nee Soon)1734 words
[+5 sentences]Mr Speaker, Sir, I will start with our response to the COVID-19 crisis. First, most Singaporeans are heartened by the speed and scale of our initial economic response. The pressing issue now is effective implementation of the short-term economic package and a dynamic response as the crisis unfolds. Effective implementation requires all parties to partner one another in the spirit of SG Together. We must also respond dynamically as events unfold. A prolonged U-shape economic situation is becoming more likely.[+10 sentences] Why? When major societies manage the pandemic in a decisive, clear and transparent way, the economic impact is limited to a short-term supply shock as well as deferred demand, all leading to a V-shape rebound. On the other hand, if major economies fail to implement containment and mitigation efforts, widespread fear and uncertainty will trigger a second level economic impact leading to a U-shape scenario. Governments will need to coordinate economic responses within and beyond their borders. And if a coordinated economic response fails, in an extreme scenario, global economic contagion could happen. The global financial markets are starting to price in a U-shape scenario. Investors are beginning to wonder: in the US, with the upcoming Presidential elections, can the Democrat-held House of Representatives and the Trump administration partner effectively on healthcare and fiscal responses? And also, if Northern Europe can mitigate a pandemic more effectively than Southern Europe, will the former want to bear the burden of a large EU fiscal response? It is still too early to tell. Nevertheless, businesses, and many of them from my constituency, would like to contribute ideas on how we can implement effectively and respond dynamically. One, for the next 12 months, MOF, MTI and MOM can have monthly meetings with the key TACs and unions.[+5 sentences] Key areas to track include bank lending levels by sector and company size, short-term grant utilisation and efforts to help affected workers. This allows for a dynamic response. For example, if companies withhold wage across the board, there could be less take-up on the Enhanced Wage Credit scheme. Could we then perhaps redeploy funds to other short-term measures so as to achieve the intended positive fiscal impulse? Two, some companies in badly affected sectors hope for more assistance in a prolonged downturn. Some ideas – the Inland Revenue Authority of Singapore (IRAS) can also consider implementing the Jobs Support Programme for them immediately. Some deeply impacted companies are asking for a short-term waiver of the Foreign Worker Levy.[+13 sentences] If we do so, our objective must be to protect the jobs of the Singaporeans in these companies. Also, during SARS, the Singapore Tourism Board prepared an excellent marketing campaign so that we were one of the first to pitch for tourism when travel resumed. Even as things look bleak for tourism today, we can do similar preparations. Three, our banks must live up to the social and moral responsibility to lend to viable companies, especially now that the Government has done its part to take on more default risk. Many banks are digitalising their relationship and risk management approach. In fact, many smaller SMEs told me that they no longer know who are the champions within their banks, which is critical during tough times. Our Singapore banks have a strong reputation of being responsible in supporting viable companies during tough times. Now is the time for them to earn that reputation for many more years to come. Four, MAS can consider accelerating the banking licensing process for new entrants, if they can bring different perspectives on credit-worthiness, for example, through supply chain and data analytics so that more viable firms can benefit. Five, some foreign workers are thinking of returning home. After the Little India riot, I saw firsthand how our frontbench went systematically to major dormitories to calm the ground. Our TACs, businesses, the Government and unions can consider doing something similar. Also, if there is an exodus of foreign workers from any particular country, perhaps MOM can consider temporarily expanding the countries our firms hire from. Lastly, some Singaporeans are wondering if there will be a second economic package.[+13 sentences] Could MOF share the likely criterion to determine if a second package is needed, and the considerations and determinations on the scale and scope of further actions? I also hope the TAC leaders, who are usually respected elders in their industry, play the difficult role to counsel owners, when their businesses are no longer viable and on how to move forward, so that they can seek social assistance early and move quickly to new opportunities, before their finances deteriorate beyond the point of no return. Next, I would like to speak on MOH's and the taskforce's exceptional response to the coronavirus. I recently ran into my family general practitioner of many years. Like many Singaporeans, he commended MOH for the excellent response so far. He shared that during SARS, we had limited medical resources. The Communicable Disease Centre (CDC) 1 was a pre-war building and CDC 2 was a converted ward. Today, we have an excellent system, with a state-of-the-art NCID at the heart of it. Well-informed foreign investors also shared with me that should a global pandemic happen, Singapore is best placed regionally to weather the storm. I am also heartened to see MOH's additional $800 million of funding, on top of the large post-SARS investments. As a comparison, the US is seeking additional funding of US$1.2 billion for their CDC, for a population of 300 million. Clearly, our Government spares no expenses when it comes to protecting the lives of Singaporeans! With globalisation and climate change, we must expect more pandemics. Yet, over the years, the global healthcare supply chain has become overly lean for even crucial healthcare essentials. According to WHO, the widespread inappropriate use of face masks and protective suits globally by those not at the frontline caring for patients, further contributed to the unexpected shortage and price surge. Therefore, changing global circumstances require us to do an immediate review of our medical stockpile and resilience policy, both for basic drugs and medical disposables commonly used in pandemics. If necessary, we should anchor relevant manufacturers in Singapore on strategic and not purely economic considerations.[+32 sentences] And if that is not possible, we can explore prepositioning materials and manufacturing capabilities within Singapore. Next, developing our Singaporeans. We are making wonderful progress for our seniors to age with purpose and dignity. Our urgent task now is to strengthen the employability of mid-career Singaporeans, especially in a protracted downturn. Here are some suggestions. First, I hope mid-career Singaporeans will fully embrace the SkillsFuture NextCareer Package, now that they have an additional $1,000 credit. I also hope to see stronger publicity by all for SkillsFuture. Second of all, I hope some industries and TACs can step up. A sector is more viable if the companies actively steer industry development. Some industries have yet to come up with compelling visions, despite the additional help that the Government has provided to TACs. Without a compelling vision, Singaporeans will struggle to identify meaningful paths for upskilling within those sectors. If things do not move in some of these sectors, I hope the existing companies and Government can partner to create alternative TACs to drive industry development. Too many jobs, especially from mid-career Singaporeans, are at risk if we do not do this transformation well. Lastly, in a protracted downturn, I hope the Government can actively work with certain established industries to absorb more mid-career Singaporeans. These include the construction, engineering services, healthcare, social work, which usually face difficulty recruiting Singaporeans. Companies can tap on MOM's many excellent initiatives to attract Singaporeans. I also hope that affected Singaporeans will also keep an open mind for these jobs. Yes, career transitions are hard. But I am confident that Singaporeans will rise to the occasion. And if things do not move, I hope the Government can consider further DRC reduction for these specific sectors and implement the Fair Consideration Framework vigorously. Tough actions could be necessary because our sectors that usually absorb mid-career Singaporeans, whether they are heartland enterprises, the Integrated Resorts (IRs), airport, hospitality and private hire transportations, may not be able to do so now. We must give our mid-career Singaporeans the best fighting chance to stay employed. Beyond current concerns, we must also look out for longer-term trends. I hope our House, as a whole, can start tracking developments in Base Erosion and Profit Sharing (BEPS). Our tax incentives for income within and beyond Singapore are important tools to anchor major investments in Singapore. The Group of Twenty (G20) has turned on the pressure on hub economies, such as Singapore, Switzerland and Hong Kong. Singapore has weathered Phase 1 of BEPS well through quick adjustments. But there is a Phase 2 coming along two dimensions. One, the EU and the United Kingdom want a cut of their own citizens' e-commerce revenue, even though existing rules dictate that tax revenue should largely reside in locations generating economic activities. The US currently stands in the way of this proposal, as they benefit from e-commerce. But one cannot rule out a future compromise, to the detriment of hub economies. Two, some major developed economies are pushing for a minimal global tax so that they can tax their companies more, even if companies get a preferential tax rate elsewhere, regardless of the justification. If these developments take place, the impact on our revenue base could be swift and sizable – billions of dollars of lost corporate income tax, additional spending to keep and attract current and future investments, loss tax revenue and spending by a reduced international workforce, and less job opportunities for our people. I hope that within this Chamber, as we discuss about meeting current and future needs, we can keep in mind the possibility of a sudden revenue drop.[+6 sentences] Let me now conclude. In troubled times like this, we can see the mettle of a country's governance system. Yes, Singapore is undoubtedly the canary bird for globalisation. Pandemics, trade wars, terrorism, climate change, fake news can hit Singapore hard and fast. Nevertheless, the world can expect Singapore, in the spirit of SG Together, to emerge stronger from every crisis because they know that the hallmark of Singapore is our ability to implement effectively and respond dynamically to short-term, medium-term and long-term challenges all at the same time. With that, I stand in support of the Budget.
Mr Speaker3 words
[+1 sentence]Mr Douglas Foo.
Mr Douglas Foo (Nominated Member)1280 words
[+8 sentences]Mr Speaker, Sir, please allow me to declare my interest as Chairman of Sakae Holdings Limited, President of the Singapore Manufacturing Federation (SMF), Vice-Chairman of the Singapore Business Federation (SBF) and Vice-President of the Singapore National Employers Federation (SNEF). I rise to affirm my support for the recently delivered Singapore Budget Statement 2020 and to provide a response from the manufacturing and business community. The general sentiment from the manufacturing and business community is that this is a Budget that recognises the current challenging local and global economic climate and which seeks to provide for a better short- to medium-term economic future for Singapore. In this regard, as one of the local TACs, and as one which represents an important contributor to Singapore's GDP, SMF wishes to state unequivocally that it will stand united and work with other TACs and Government agencies to drive our businesses through the current challenging times and forge better futures for enterprises. We stand ready to assist wherever we can and will do our utmost best to prepare our members to be in the best possible condition to take advantage of the opportunities that will come with the upturn of the economic cycle. Mr Speaker, Sir, I will divide my speech today largely into two parts – one on the relief measures and the other on business capability enhancements. Relief Measures. In relation to the relief measures for COVID-19 announced by Deputy Prime Minister Heng Swee Keat, the feedback is that many are glad that attention is given to both enterprises and to individual workers. Wage relief in the form of the New JSS and the Enhanced Wage Credit Scheme, as well as enterprise cash flow relief in the form of Corporate Tax Rebates and enhancement of the Enterprise Financing Scheme, will go some way towards assuaging society’s fear of lost livelihoods and shuttered enterprises. SMF is also glad that the Government has taken on board the feedback from our members and stated that Government landlords are willing to exercise some form of flexibility with rentals during this difficult time. However, while the above is indeed welcomed, the community wishes that the Deputy Prime Minister can consider going further by providing a more structured framework for rental relief which provides for more immediate relief directly to the tenants, rather than through the landlords.[+6 sentences] This would aid businesses greatly by allowing them some degree of certainty in adjusting their budget amidst the current climate of uncertainty. Another aspect which is causing much anxiety and worry for the manufacturing and business community is that of the disruption of the worldwide supply chain. As manufacturers, the worry is two-fold: one, the difficulty of attaining raw materials; and, secondly, even if products can be manufactured, how would goods reach the customers. This would, in turn, affect the manufacturing service providers downstream. Sir, while our members appreciate that there is no easy common solution across the different industries, there is hope that the Government will extend a further helping hand by suspending or waiving the collection of foreign worker levies during this period for existing Work Permit holders. In a recent dialogue session with members from the SMF family, there are many who voiced real and genuine concerns over the current economic conditions. However, many are optimistic that the economy will start to show signs of recovery six months from now. It would, therefore, be commensurating with such expectations and hope that relief measures factor in an efficacy timeline of between six months to a year.[+9 sentences] Next, deepening business capabilities. In relation to preparing our businesses and economy for the future, SMF is extremely heartened that feedback from our members has been acknowledged by Deputy Prime Minister Heng in the Budget speech. SMF has always prided itself on being a collaborative TAC, working with the Government as well as commercial entities to broaden and open new opportunities for our members. It is pertinent to note that Deputy Prime Minister Heng mentioned in his speech the hope that Singapore companies digitalise and internationalise. SMF strongly believes in exploring new frontiers, which refers not just to new physical geographical locations, but also to the very much evolving digital realm. I have always communicated to our business leaders whom I have the privilege of meeting, that digitalisation is important for both society and businesses to advance further than what Singapore is today. It is ever important that as the cyber world progresses, Singapore cannot be left behind as a third world nation or even as a developing nation because the speed of progression is simply too rapid. In this regard, I am happy to share with this House that SMF has already embarked on several programmes, working alongside the Government, to encourage our members to transform, innovate their business models towards Industry 4.0 and explore new frontiers. These corporate transformational programmes include conducting hands-on knowledge and capability-building courses at our Centre for Corporate Learning, leading business missions to both local and overseas markets, organising Free Trade Agreement talks and seminars and being the first TAC to administer the SMEs-Go Digital – Digital Project Management Service. Where workforce transformation and training are concerned, SMF has recently created a course to help businesses examine their business models and identify ways of changing these models towards Industry 4.0. We are focusing on facilitating mid-career switches and are the first Programme Manager for the Professional Conversion Programme (Broad-based) to achieve 1,000 placements.[+3 sentences] We also seek to attract young talent into the manufacturing community by being on board the Global Ready Talent Programme. Mr Speaker, Sir, such initiatives reflect the commitment of the Federation in supporting our members and comes from the dedication of the staff. This is what I like to say is an example of how individuals coming together, which is aligned with the SG Together movement driven by a common aim, can indeed make a difference. The commitment by the Government to allocate $8.3 billion in this Budget to drive Singapore’s transformation and growth strategy is, indeed, heartening as it will continue to support the work and initiatives of TACs.[+1 sentence] It is my sincere hope that other TACs will also join in and work together in a concerted effort to drive our economy onwards and upwards. One concern which the manufacturing community has from Deputy Prime Minister Heng's speech is that of the superseded decrease in the DRC for the manufacturing sector. The community is relieved that the Government has prudently decided not to implement such a measure in such difficult times. However, there is always an innate and recurring fear of the shortage of suitable local manpower. It is the community’s hope that if and when the Government decides to effect the decrease in the DRC for the manufacturing sector, more lead time can be given for our members to prepare and plan ahead.[+6 sentences] Mr Speaker, Sir, in conclusion, this is a Budget that seeks to assist and encourage Singaporeans to do more for themselves and for the country. The wise leaders of generations past of this country have practised financial prudence which has allowed for such a generous and decisive Budget today. I humbly urge my fellow Singaporeans to not take this for granted. In such uncertain economic times, the ability of the Government still to seek to deepen capabilities at every stage of growth and provide for every segment of society is, indeed, laudable. I am confident that, working together in unity as a united country, our Singapore flag will rise above all the uncertainties as a stronger, more resilient nation that will continue to thrive and succeed on the global stage. With this, Sir, I affirm my support for Budget 2020.
Mr Speaker3 words
[+1 sentence]Minister Josephine Teo.
The Minister for Manpower (Mrs Josephine Teo)1255 words
[+10 sentences]Mr Speaker, a grassroots leader shared with me how, during a previous downturn, his employer had rushed to trim its workforce by rolling out a Mutually Agreed Departure (MAD) scheme. Employees who signed up for the MAD scheme received generous payouts. Unexpectedly, less than a year later, business picked up again. Some of his former employees – the same ones who had received payouts under the MAD scheme – were rehired at their previous salaries and went on to work many more years. Now, we may laugh at the unfortunate name of the scheme and the apparent short-sightedness of the employer. But when business is down and the bottom nowhere in sight, it must cross the minds of bosses to cut jobs and save costs. Fortunately, most employers have not done that. Last year, despite the uncertain outlook, retrenchments were maintained at 2018 levels. Today, with the COVID-19 outbreak casting a pall, concerns have heightened. The recent announcements by Deputy Prime Minister Heng Swee Keat, therefore, provide welcome relief. Of the $4 billion Stabilisation and Support Package, a whopping 60%, or $2.4 billion, will go towards JSS and the enhanced Wage Credit Scheme.[+1 sentence] All businesses with local employees will benefit. Jobs Support will provide companies an 8% cash grant based on the gross monthly wages of their local employees for three months, subject to a monthly wage cap of $3,600 per employee.[+1 sentence] This means that an SME with 10 local employees earning median salaries would get about $8,000 in Jobs Support. Over the next three months, the Government will inject about $1.3 billion to employers and help keep 1.9 million local employees in their jobs.[+3 sentences] With the greater sense of uncertainty, employers may hold back or even reverse wage increases. Through the enhanced Wage Credit Scheme, the Government will co-pay 20% of qualifying wage increases in 2019 and 15% of increases in 2020 if this higher wage is sustained. Effectively, more than four months of the wage increase is borne by the Government over two years. The enhanced scheme has also raised the qualifying salary from $4,000 to $5,000, with $1.1 billion going to about 90,000 employers, benefiting more than 700,000 local employees.[+18 sentences] Why so much emphasis on jobs and wages? Neighbourhood stores have already noticed a sharp drop in revenues as shoppers cut back on spending. When livelihoods are at stake or incomes stagnate, even necessary spending on essentials like healthcare and education may be delayed. Individuals will also have limited capacity to upgrade their skills and stay relevant. Moreover, employers would need time to mobilise and train manpower. When the upturn comes, businesses could easily find themselves shorthanded and unable to respond to opportunities. This will result in the drag on our business community persisting longer than necessary. The recovery will be slower. Understandably, besides jobs and wage support, businesses that hire foreign workers had hoped for levies to be waived. Members of Parliament like Mr Seah Kian Peng and Mr Arasu Duraisamy asked about it, too. We are waiving levies for employers whose foreign workers are required to serve quarantine, Leave of Absence or Stay-Home Notices when they have a travel history to China. But we have not done so for foreign workers in general because it will not benefit the many employers who only have local employees. At the same time, we have not raised levies either. In fact, levies have remained the same since 2017 for the construction sector and 2016 or earlier for other sectors. There are two other important reasons for not waiving levies. First, in supporting businesses, our priority was also to preserve local employment. Second, as much as we want to help businesses, measures to deal with the short-term fallout should not negate longer-term efforts for companies to become less reliant on foreign manpower for growth. Levy waivers or reductions would have run counter to both objectives. In addition, after much careful consideration, we have announced forthcoming cuts in the S Pass quotas for construction, marine and process sectors, but we will give these sectors a longer period to adjust.[+15 sentences] Some commentators are troubled by the difficulty of attracting locals to these sectors. Others believe these moves are painful but necessary; they say it is "tough love". I thank Ms Sylvia Lim, for example, for supporting it. I should point out that, unlike for the services sector, the quota cuts for the construction, marine and process sectors are at the S Pass level and not at the Work Permit level. S Pass jobs are skilled jobs which polytechnic graduates and even ITE upgraders are able to perform. Mr Saktiandi Supaat and several Members of Parliament asked that flexibility be provided to employers who find it difficult to attract Singaporeans to certain jobs. Today, employers can already enjoy short-term flexibility in meeting foreign workforce criteria under the CTP and the Lean Enterprise Development Scheme. At a structural level, too, we recognise the differing appeal of sectors. In the construction sector, out of 100 employees, up to 87 can be foreigners, of which 15 can be S Pass holders, even after the changes kick in by 2023. A company in the services sector of the same size can have up to 35 foreign employees, of which 10 can be S Pass holders starting from January 2021. Beyond these gradations, we should be realistic. Which subsector or occupation will accept having more restrictions compared to others that have less? Looking at it from a different lens, which local employees would feel it is fair that their employers need not worry or try as hard to improve job quality to retain them because of more access to foreigners? Consider the longer term, too. Can we be so sure that foreigners will always accept the work conditions our own people find unappealing or that will they not find better jobs back home in time to come? For all these reasons, Workforce Singapore and SkillsFuture Singapore have been working closely with agencies like the Building and Construction Authority to help employers reach out to fresh graduates as well as mid-career switchers. Employers, too, can help themselves by enhancing job quality and widening the pool of potential recruits.[+2 sentences] Mr Kenneth Loo, former President of the Singapore Contractors Association and Executive Director of Straits Construction, acknowledged this point and talked about the need to "…try to make jobs more meaningful and attractive through digitalisation, so that processes can change and the environment will be more palatable to workers". If I may suggest to Mr Douglas Foo, employers in the manufacturing sector should plan ahead, too. I hope that SMF, of which he is the President, will help them to do so. These efforts to make jobs more attractive to skilled Singaporeans go hand-in-hand with an overall emphasis on business transformation. Waiving or cutting levies would blunt the motivation to restructure, improve job quality and become more manpower-lean.[+5 sentences] We would not have seen how industries can rise to the occasion. The hotel industry is an excellent example. One lunar new year about a decade ago, when I was still serving as a Labour Member of Parliament, Prime Minister Lee Hsien Loong visited a leading hotel to thank the workers for sacrificing time with family to give tourists a great guest experience. Sensing an opportunity not to be missed, the hotel's general manager literally ambushed the Prime Minister and gave an extended presentation on the hotel's manpower woes. I am not sure whether the Prime Minister remembers it.
The Prime Minister (Mr Lee Hsien Loong)2 words
[+1 sentence]Yes.
Mrs Josephine Teo1865 words
[+4 sentences]As in many sectors, he cited the unappealing nature of work and asked for "flexibility". In contrast, my visit to Copthorne King's Singapore Hotel last Friday was a breath of fresh air. Our main purpose had been to understand how the hotel was coping with the sharp fall in occupancy due to the COVID-19 situation. General Manager Kung Teong Wah, however, took delight to also outline the many ways in which work had been redesigned to raise productivity, easier and more satisfying for his employees. For example, housekeepers no longer waste time knocking on doors to figure out which room was ready to be cleaned and are instead notified through a mobile app.[+1 sentence] The mobile app is linked to an in-room control unit which also turns off electrical power when guests have left the room and alerts facilities managers when light bulbs or other amenities need fixing. Bedding was changed so that it takes 20% less time to tidy up each room. A new vacuuming system has halved the time to get the job done.[+10 sentences] Cross-training of staff to handle expanded job roles have led to manpower savings, better wages and increased job satisfaction. Even the cleaner I met, 58-year-old Pari, is happy that the washroom renovations and upgrading of cleaning solutions will help him to work more years. As a matter of fact, in the last few years, I have witnessed the resolve and creativity of hoteliers to overcome their manpower constraints. Yotel at Orchard Road allows guests to check in themselves easily and get items delivered by a friendly robot. Andaz Hotel no longer has a team of confectioners in its kitchen. Instead, it keeps customers happy with supplies from Tiong Bahru Bakery and cleverly brands this as part of the heritage experience for guests. Lyf at Funan replaced the usual laundry services with a hipster corner where guests can chill out while the washing machine does its job. These transformations have not always been easy. But they also show how important it is for us to stay the course and not give up too easily. Productivity has improved greatly in some sectors, but not fully caught up with the best in the world. Instead of levy reductions or waivers, we have put together a multi-agency support package worth more than $15 million that also involves our tripartite partners, for businesses in the tourism sector to use the downtime for more training and transformation.[+24 sentences] Likewise, for other sectors, we should try our best to position ourselves for the future even when the chips are down. This is exactly why we have focused on Jobs Support and Wage Credits, so that businesses and their people can continue with operations and press on with restructuring with help from the Enterprise Transformation Package. At this juncture, allow me to commend the tremendous efforts of NTUC in support of these aims. Starting with Secretary-General Ng Chee Meng, Labour Members of Parliament have outlined specific initiatives like CTCs and the Jobs Security Council. MOM, MOE and MTI and all the lead agencies for the relevant sectors will certainly work closely with unions in the spirit of SG Together to make it a success for businesses in terms of their transformation for the benefit of all workers. Ms Sylvia Lim asked whether these efforts will be enough and whether unemployment insurance will be needed. This is not a new suggestion. In fact, we had discussed this in Parliament extensively in May 2017. Countries with unemployment insurance typically have persistently high unemployment. In contrast, Singapore has consistently had full employment. Willingness to pay for unemployment insurance is not the same as most people do not expect to need it and also have other buffers, for example, a working spouse or child. While we keep an open mind on unemployment insurance, we should also be aware of its serious downsides, such as reducing employers' willingness to pay retrenchment benefits. Studies have also found that unemployment benefits can have the unintended consequence of reducing motivation to find work. Our current approach of focusing on employment support has shown encouraging results and is likely to be more sustainable. As Mr Lim Swee Say has pointed out, Singapore's way of managing the opportunities and challenges of globalisation has produced not just economic growth but, more importantly, employment and wage growth. As long as jobs are still being created, our focus on employment support helps both individuals and businesses. We will continue to provide short-term financial relief to the needy. Programmes like Adapt and Grow and SkillsFuture help workers reskill and seize better opportunities in the longer term. This approach has the full support of the unions and employers which other countries find harder to do. As to the question of using CPF monies to fund reskilling, the key question is whether the lack of training funds is the main barrier to career transitions. The Government directly subsidises a very wide range of training programmes, up to 90% in some instances. To fund the unsubsidised portion of reskilling or self-improvement courses, Singaporeans have access to workplace sponsorships and schemes, such as SkillsFuture, Mid-Career Enhanced Subsidy and Workfare Training Support. At present, it does not appear that the lack of funds is a significant barrier. As Ms Sylvia Lim herself has also acknowledged, we are redoubling support to both employers and individuals. The employers can now access SkillsFuture Enterprise Credits up to $10,000 while the employees themselves have SkillsFuture Credit top-ups.[+3 sentences] I suggest that we focus on these initiatives instead of putting at risk the Retirement Savings of our people. At the same time, focus on issues that matter to mid-career persons, which Mr Liang Eng Hwa, Ms Jessica Tan and several Labour Members of Parliament talked about. Mr Deputy Speaker, with your permission, I will say a few words in Mandarin. (In Mandarin): Mr Deputy Speaker, of the $4 billion Stability and Support Package in this year's Budget, 60% of the funds will be used to help Singaporeans retain their jobs.[+3 sentences] It demonstrates the Government’s resolve to help businesses and workers ride out the challenges amidst economic uncertainties. Focusing on helping Singaporeans retain their jobs and providing Wage Credit so that businesses can maintain the momentum of transformation will have a profound impact on our economy when it recovers. Amidst economic uncertainties, some businesses that employ foreign workers might ask, why does MOM not reduce or even waive foreign worker levies? The fact is that since 2016, levies have not been raised for the vast majority of sectors. Apart from that, levies are waived for employees under Leave of Absence, Stay-Home Notice or Quarantine Order. We do not intend to reduce or waive the Foreign Worker Levy across the board because of two key reasons.[+23 sentences] First, as the saying goes, those who do not plan for the future will find trouble on their doorstep. Although we want to help companies ride out the current economic uncertainties smoothly, we also hope that companies will sustain their transformation efforts and thereby reduce reliance on foreign workers. Second, we must, first and foremost, ensure that all Singaporeans can keep their jobs. Hence, from the long-term point of view, companies must quicken the pace of transformation, improve productivity and create more jobs to attract Singaporeans. As a whole, our measures must take into account two sets of considerations: reducing business costs in the short term, and keeping up with transformation efforts over the longer term. I am heartened to see that many companies are planning to use this lull period to send their employees for training. I think these companies have an eye on the future, because once the economy picks up, they will be in the forefront of the starting line and raring to go, and they would be able to take their businesses to greater heights. (In English): Mr Deputy Speaker, in the meantime, even with all the help provided, I acknowledge that some businesses may still have to manage excess manpower. Is there a right way of doing it? Yes, but let me tell Members of one wrong way. An employer claimed she was recently told by MOM to lay off employees much against her own wishes. This sounded really odd to me. Well, it turns out the employer did not tell the full story. In fact, she had decided to shut operations temporarily and told her workers to go on no-pay leave until further notice. It is unfortunate if she has to close even with Jobs Support and Wage Credits. But asking the workers to bear the uncertainty of waiting for her business to restart makes matters worse. For those workers without savings, they will need other jobs to pay their bills. It is one thing to ask if her employees would like to volunteer for no-pay leave; it is quite another to force it upon them. As the employer had stopped paying salaries, it would also not have been fair to expect her foreign workers to stay in Singapore with limited means of supporting themselves. Instead of seeking levy waivers, MOM advised her that it would be more appropriate to repatriate the foreign workers responsibly and to reapply for Work Permits in future when business picks up. In fact, the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment recommends other options besides no-pay leave and layoffs. This could include redeployment to other work areas, shorter work weeks, job sharing or adjustments to certain wage components. These options would at least maintain most, if not all of the workers' past incomes. For employers with excess foreign workers, SBF will also administer a temporary scheme to help the workers to be transferred to employers with manpower shortages.[+12 sentences] This will help employers whose Chinese workers have not gotten approval to return to Singapore and also cannot hire new Chinese workers because we have suspended approvals. I am heartened to see that businesses are paying attention. In their own ways, they are responding to these challenging times in the spirit of SG together. Some are asking their workers to clear their annual leave or time-off. Others are exploring shorter work-weeks while sending their workers for skills upgrading. NTUC Health Co-operative shared with me that this virus situation has sparked a viral interest amongst its workers in leveraging technology for alternative work arrangements. Almost overnight, even if they are mature workers who were struggling to pick up digital tools, had found ways to hang out and engage in discussions virtually with their younger colleagues. Kudos to the companies that are proactively considering such sensible measures not just to cut costs, but to save jobs as well. Mr Deputy Speaker, next week, I will say more about support for self-employed persons and how we can tackle medium-term challenges through the SkillsFuture Mid-career Support Package and the Senior Worker Support Package. This is our commitment to Singaporeans in their 40s and 50s – that they, too, can have an extended runway; and that everyone, at every stage of life, will get the fair chance they deserve to grow and progress at work. After all, every worker matters. Mr Deputy Speaker, I support the Budget.
Mr Deputy Speaker4 words
[+1 sentence]Yes, Ms Sylvia Lim.
Ms Sylvia Lim136 words
[+4 sentences]Deputy Speaker, I have two clarifications for the Minister. First, it is regarding my suggestion on the use of CPF. I have actually filed a cut for the MOM Committee of Supply (COS), so please let me elaborate more at the time, and I will be interested to hear the Minister's response then. The second clarification is that I am glad to note the Minister saying the Government still keeps an open mind on solutions, including insurance. On the ground, we are getting feedback that some of the mid-career professionals who try to tap on the existing Adapt and Grow Schemes are still finding difficulties getting a job after some time.[+1 sentence] So, how confident is the Government moving forward that you will be able to handle and find solutions for everyone who applies under those schemes?
Mrs Josephine Teo731 words
[+2 sentences]Mr Deputy Speaker, I am very conscious of the concerns that some of our mid-career professionals have expressed. I understand their anxieties and they matter very much to me. Not long ago, MOM published a report which shows over the last 10 years what the employment outcomes have been for PMETs.[+11 sentences] We looked at it, at the level of all local PMETs. We looked at it also at the level of all citizen PMETs. So, it is quite a comprehensive report and it is publicly available. It was also quite well reported in the media. We do not take the improved employment outcomes of our citizens for granted. It is not a given. We have to work very hard for it. In fact, in the last Parliament Sitting – actually, I think it was the same Parliament Sitting that Deputy Prime Minister Heng Swee Keat delivered the Budget Statement – Mr Pritam Singh had filed a question specifically on how we are helping these PMETs enter into areas of job growth, enter into occupations that they may have been unfamiliar with. The results that we have so far are quite encouraging. How will the situation evolve? Our approach in handling this challenge is to go at it from different angles. First, it is really important to sustain the momentum of job creation.[+10 sentences] If the engine for job creation goes flat, all bets are off. Which is why, in terms of how we think for enterprise growth, enterprise transformation, because ultimately it is businesses that create jobs. We are very mindful to help make sure that they can upkeep a certain momentum. We are very focused on that. So, the first thing to do is that we must always keep creating jobs and not just any jobs, but good jobs. That is the first thing. What that means is that you need to keep ensuring that the business environment is pro-business. Mr Lim Swee Say earlier talked about the importance of AI. I think it is AI plus many other domains where we want to make sure that our businesses will be able to develop a competitive edge in. So, that is the most important foundation for ensuring good employment outcomes – PMETs and non PMETs. The second, which is also very important, is to maintain a sense of motivation on the part of individuals to keep upskilling.[+3 sentences] For this, I find the attitudes of Singaporeans very commendable. Most people are very aware of it and they are personally invested in it. In fact, I think that is the reason why there have been so many calls consistently, "Please top up our SkillsFuture Credits" and so on. Third, it is important to keep promoting Fair Employment, promotion of Fair Employment, letting businesses know that they have to keep recruitment open and to consider all candidates fairly and not discriminate against anyone, particularly our locals, particularly those who are not necessarily so young anymore.[+15 sentences] I think that is also another very important part of the effort. So, you have the three things that are necessary. Then, at the same time, we also need to ensure that there is continued Government support for reskilling and job creation. Those pieces, you need to have in place. Will there be individuals who still find difficulty? I acknowledge there will always be. Mr Liang Eng Hwa, earlier in his opening speech to kick off the debate, highlighted how difficult it is to go through transition, the sense of insecurity, perhaps a sense of not being able to navigate. Ms Jessica Tan talked about it, too. We are very cognisant of it. In Workforce Singapore as well as e2i, quite apart from doing job matching, we are very mindful that sometimes just getting jobseekers to a place where they are receptive to the different opportunities, that is also a very important part of the work. One significant barrier – I think much more so than the lack of funds for training – is that there is a concern about moving into new occupations or sectors that individuals are unfamiliar with. So, how can we provide the scaffolding and the handholding to help people to make those transitions? That is very much a part of the effort. But the Member is right. There is the MOM COS debate coming up next week and we can speak more about that.
Mr Deputy Speaker3 words
[+1 sentence]Ms Irene Quay.
Ms Irene Quay Siew Ching (Nominated Member)928 words
[+4 sentences]Mr Deputy Speaker, Sir, I thank Deputy Prime Minister Heng Swee Keat and his team for planning this comprehensive and strategic Budget, which aims to tackle a wide scope of upcoming challenges, such as the gloomy economic outlook, further complicated by COVID-19. This Budget aims to provide Singaporeans with new job opportunities as well as care and support for those in need of financial and social assistance. Just as important, I admire the foresightedness and proactiveness in safeguarding our future against the potential harm brought about by climate changes. The decisive move of providing financial assistance to help businesses, especially those heavily impacted by COVID-19, is also critical and timely. The Budget set aside to prepare our youths to be more globally ready through overseas exposure is also a step in the right direction. However, I would like to ask for the effectiveness of the SkillsFuture credit top-up of $500 scheme for adult Singaporeans aged 25 and above and the special SkillsFuture credit top-up scheme for Singaporeans aged 40 to 60.[+1 sentence] May I know what is the percentage of the originally allocated funds that have been used so far and what is the participation rate across the nation over the years, especially for the individual participants? For those who have utilised the SkillsFuture Credit, what percentage has actually resulted in successful career switches or career progression?[+7 sentences] I believe that a one-time funding of $500 may not be sufficient in paying for a fully effective, upskilling course as lifelong learning requires continuous, ongoing support. Furthermore, not everyone has the desire for upskilling and should there be much of these funds left unused, there will be misallocation and underutilisation of resources. While I understand that these courses are already highly subsidised, I am wondering if it would be more effective to further subsidise it, but add a limit to the number of courses each individual can take up per year, instead of mass distribution of these funds. This would allow interested citizens to reap the full benefits of the subsidy while we continue to encourage those who have not signed up. Secondly, while I support the financial assistance schemes, such as ComCare and MediFund top-ups, which aim to provide support for our needy families, I am concerned about the central checks and governance that ensure appropriate utilisation of these funds. At this juncture, I would like to declare my interest as the President of the Pharmaceutical Society of Singapore and the Head of Pharmacy at KK Women’s and Children’s Hospital. As a healthcare professional working in public over the past 20 years, I foresee potential loopholes. For example, what is in place to prevent a MediFund applicant from going to different healthcare institutions seeking more-than-required medical supplies, nutritional supplements and medications? Can the applicant ask for waiver from the National Electronic Medical Record sharing, quoting PDPA rights, to avoid detection?[+15 sentences] How can we tell if each claim is within reasonable limits and not excessive? And f there are excess claims, how are these rechannelled to help other needy patients and not inappropriately disposed of? There is a need to tighten how these funds are used to ensure that the taxpayers' money is spent appropriately. Without central audits and controls in place, there is a potential for misuse. Thirdly, Deputy Prime Minister Heng Swee Keat and Minister Josephine Teo spoke about foreign worker policy and the need to further restrict S Pass holders for the identified industries. While we agree that we should always put Singaporeans first and give them the best possible opportunities, but we know that there are jobs out there that are really challenging to find locals to take on. An example of healthcare-related jobs are pharmacy technicians, whose service is required 24/7, including public holidays and weekends. Although we have polytechnics that specialise in training and educating diploma holders to support this pipeline of pharmacy technicians, most of our youngsters aspire to take on higher qualifications after their graduation, leaving a constant vacuum in the system. I am concerned that if this persists, pharmaceutical care for our patients will be significantly impacted. To overcome this long drought, pharmacists are actually standing in to take on pharmacy technicians' duties. This is extremely cost-inefficient, especially in view of rising healthcare cost, as we are not fully utilising their advanced skills and knowledge to serve our patients. I believe that service industries in other fields are also facing similar problems. While the Government may advocate for automation to improve productivity, there are situations where automation, for various reasons, is not feasible. In healthcare, a lot of frontline patient care activities require healthcare professionals to display empathy and compassion to each individual patient. Such duty of care simply cannot just be easily replaced by machines, and I think similar sentiments can apply to many service industries. As such, instead of a blanket policy to limit S Passes with minimal exceptions, I would still like to appeal for MOM to consider showing flexibility to employers trying to hire locally with failed attempts to turn to foreign workers.[+3 sentences] I believe that if we want to reserve jobs for Singaporeans, we should reserve jobs that they prefer – jobs with good career upside and work-life balance. And if the intent is to avoid over-reliance on foreign workers, then there is a need to ensure that the solutions provided to solve current problems are feasible, for example, if there is good headway with mid-career transition programmes, before we further cut S Pass quotas. Mr Deputy Speaker, notwithstanding the above, I stand to support the Budget.
Mr Deputy Speaker5 words
[+1 sentence]Minister Josephine Teo, go ahead.
Mrs Josephine Teo326 words
[+1 sentence]Thank you, Mr Deputy Speaker. Can I provide a quick response to Ms Irene Quay? I understand where the Member is coming from, but can I just say that at today's stage of development for Singapore, especially when it comes to seeking productivity improvements and finding manpower savings in the services sector, we have gone far beyond the idea of simply automating things. It is a much more sophisticated approach towards becoming more manpower-lean.[+5 sentences] I shared earlier the examples of hotels. Not all of them have to do with automation at all. Even in some areas where automation can play a part, it does not mean that we are asking companies in the services sector to automate human interaction or automate the customer experience. I give Members an example. In manufacturing, I visited a company making noodles. They make hokkien noodles that we eat, they make kuay teow that we also eat. So, I asked them, "Where are you finding business opportunities?" And they told me that one of the things that they discovered was that in F&B outlets, quite often, two staff spend two hours everyday doing one thing: portioning out noodles that were delivered to the outlet in three-kilogramme packs into smaller portions of 150 grams.[+4 sentences] Why? Because at peak hours, when the customers start arriving in the restaurant in droves, you have no more time to do portioning. You must be able to cook very quickly. So, what do the restaurants do? They get two workers standing there – maybe around 10 o'clock, nine o'clock – and for two hours, they do nothing but portioning out the noodles. So, he said, "This is a business opportunity for me." The outlet has got a lot of manpower constraints, but actually this portioning can be done by the machine.[+2 sentences] Hokkien noodles are produced using the extrusion method. You extrude the noodles, then you cook it in a big pot of water and then you —
Mr Deputy Speaker16 words
[+1 sentence]Minister Josephine Teo, are you giving another speech or are you providing a very extended clarification?
Mrs Josephine Teo93 words
[+3 sentences]I apologise, but very quickly, let me just summarise. Actually, there are many of these things that are backroom. Retail outlets – same. Stocktaking – the customer does not care about you taking stock, taking note of inventory.[+5 sentences] So, we have gone far beyond automation. There are so many more things that we can do. And credit to the businesses – they are much more creative. I just want to share that with the Member. I hope that, as the leader of your professional association, you can consider trying out these ideas, too.
Mr Deputy Speaker6 words
[+1 sentence]Mr Muhamad Faisal Bin Abdul Manap.
Mr Muhamad Faisal Bin Abdul Manap (Aljunied)1381 words
[+3 sentences]Sir, I will deliver my speech in Malay. (In Malay): Sir, the theme for this year's Budget is a Unity Budget, or in our national language "Bajet Perpaduan". I welcome the efforts to provide more support to Singaporeans during a time when the people are facing the challenge of the COVID-19 outbreak. In this Budget, measures are taken so that the industries, businessmen and those affected by the current situation are given help and support to mitigate their financial burden and, at the same time, help to maintain financial resilience in an increasingly gloomy economic outlook. Help and support are also provided for those affected in society so that they can rise up and rebuild their financial capabilities during the recovery phase.[+30 sentences] Such financial assistance and support are essential because it will make those affected feel that their needs and their future are looked after and not neglected, and this will eventually preserve and strengthen social unity. Sir, financial resilience is an important factor in preserving and strengthening social unity. This is seen in many studies where social class divide has an impact on social unity. This is because those who lead a disadvantaged life will feel dissatisfied, because while they have to go through a difficult life and there is no one looking after them, there are others who live a life of luxury. Sir, although financial resilience is important, what is more important and foremost in preserving and strengthening social unity is psychological resilience. Building and maintaining psychological resilience is no easy task, as it requires patience and sustained efforts. Building psychological resilience can only be achieved by inculcating positive thinking and values within society. We can all agree that any society that possesses strong psychological resilience will not easily crumble when going through challenging times like the one right now. Sir, in this speech, I would like to briefly touch on the importance of psychological resilience when undergoing challenging situations and, at the same time, how we can learn important lessons from a crisis. When any crisis happens to a nation, society, family and individual, it has always been good practice or good culture if some introspection or self-reflection was done on its causes and the lessons that can be gleaned from it. My experience as a family counsellor has taught me that we can choose whether we want to go through a crisis positively or negatively. If we choose to see the crisis from a positive aspect, we will be able to learn many lessons behind each episode. Conversely, if we choose to see it negatively, then there will be a lot of grievances, sadness, anger and even depression. This situation is best described through an analogy called "The Eyes of a Fly" and "The Eyes of a Bee". Sir, a fly, upon entering a garden full of fragrant flowers, will still look for something filthy to land on. On the other hand, when a bee flies into a place full of trash and other kinds of filth, it will still try to find a fragrant flower to land on. This analogy, to me, is the best example that can be used to guide us whenever we face an undesirable situation. We can choose whether we wish to view a situation using "The Eyes of a Fly" or "The Eyes of a Bee". Sir, when an undesirable situation happens, the question on everyone’s minds is usually what could have caused it? Whose fault caused this to happen? When looking for answers, finger-pointing and accusations often take place. Finger-pointing is one of the negative traits that can exist in a person. It is human nature to have such negative feelings, and while it is not wrong to have such feelings, it is definitely wrong when we express those feelings through remarks, words and actions that hurt the feelings of others and make them angry. Sir, it is worse when snide remarks are made by individuals who have a certain standing in society. Leaders in politics, community and organisations, including heads of households, have a duty to set a good example so that those under them will follow their lead. As the bearer of this responsibility, a leader must be big hearted and view certain incidents with a sincere and compassionate heart. In doing so, a leader will be able to make a positive and objective assessment whenever an adverse incident takes place, and thus will be able to think about and work on ways to improve the situation as much as possible. This is no mean feat, but it is the duty of any leader to continue trying and developing the values that I mentioned earlier. Sir, lately, we have seen and heard Singaporeans' reactions when faced with the challenge of the COVID-19 outbreak. Praises and words of encouragement have flooded social media channels and the mainstream media, directed towards fellow Singaporeans who are in the frontline in the fight against the COVID-19 virus outbreak. Healthcare workers like doctors, nurses, paramedics and other healthcare officers were honoured as heroes for carrying on with their duties sincerely and diligently even though they face the possibility of getting infected.[+6 sentences] It was amazing and heart-warming to hear about some F&B establishment owners coming forward to provide free food and drinks as a token of appreciation and support to those working in the frontline. We also witnessed wonderful efforts from Singaporeans who wish to contribute positively to promote community spirit by distributing free masks and hand sanitisers to the public. This is something that we can be proud of and it is touching. Sir, these are just some commendable examples of unity shown by Singaporeans. The unity on display in the situations I mentioned earlier is something positive that can ignite a community spirit that makes them stand united in the face of challenges. Unfortunately, Sir, there had also been some incidents that were less pleasant and could erode this spirit of unity. Several posts shared on social media channels showed incidents where healthcare workers received cynical comments and were treated poorly.[+1 sentence] Some members of the public also shared that they received sharp stares when they coughed or sneezed in public places. This is an unhealthy situation and it must stop.[+1 sentence] Sir, we have also seen certain Singapore Citizens and residents who were so worried that they participated in panic buying due to their concern about food shortage, as soon as the Health Ministry changed the DORSCON level from Yellow to Orange. This incident caused many people to make comments that rebuke and criticise, that described those who took part in panic buying as people who only think of themselves and as kiasu people.[+1 sentence] Many also gave their take on the reasons behind this situation. Some felt that panic buying was a reaction to a previous situation, where the stocks of masks and hand sanitisers were depleted despite assurances by the Government that there are enough supplies of masks and asked Singaporeans not to worry.[+1 sentence] Sir, words that hurt feelings and are insulting should not be said by anyone, either by the people or the leaders. Accusations and finger-pointing are unwarranted and may further aggravate the anxiety that was already there. These kinds of negative actions like condemnations, criticisms and finger-pointing will weaken psychological resilience and have an unhealthy impact on social unity.[+3 sentences] As a society, we must try to practise the following pearl of wisdom, that is, “It is Better to Stay Silent if One Does Not Have Anything Good To Say”. Sir, let us all, leaders and followers, including myself, do some self-reflection and introspection, and stop doing things that can worsen the situation. We should all take a constructive and positive approach. Avoid any finger-pointing because, as the saying goes, 'When you point one finger at others, the rest of your fingers are pointing at yourself." Sir, it is true that the practice of advising one another, reminding others to be good and patient with others, is a good practice that should be encouraged. This practice is a constructive effort that should be done at all levels of society in order to inculcate, preserve and strengthen psychological resilience so that social and national unity will not be shaken or become tainted during challenging times.
Mr Deputy Speaker3 words
[+1 sentence]Dr Intan Mokhtar.
Dr Intan Azura Mokhtar (Ang Mo Kio)1564 words
[+1 sentence]Thank you, Mr Deputy Speaker, for this opportunity to speak on Budget 2020. This year's Budget is, indeed, generous, particularly with the Stabilisation and Support Package, which helps to mitigate current economic challenges, partly fueled by the COVID-19 public health situation.[+5 sentences] Employment and employability support measures are needed as jobs become more challenging to be created or retained. Hence, any form of support for both employers and employees to continue to hire and be hired, is very much welcomed. For my speech on the Budget, I wish to speak on employment-related matters and will focus on three aspects: one, support for older workers to continue working; two, support for persons with disabilities or special needs to be employed and be financially independent; and three, flexi-work provisions and support. First, on support for older workers to continue working. As Singaporeans live longer and the proportion of older Singaporeans increase relative to younger residents, we have to make provisions and review our policies to ensure that older Singaporeans can continue to stay actively employed and engaged in our society. The Government has done well in this and there are many initiatives, programmes and policies that have been revised and implemented to cater to this. Hence, I am heartened by the The Next Bound of SkillsFuture announced in this year's Budget, which will help provide Singaporeans with opportunities to develop to their fullest potential throughout life and not only when they are young. I laud the SkillsFuture Mid-Career Support Package and the SkillsFuture Credit Top-up for Singaporeans in their 40s and 50s, which, essentially, means they get a total of $1,000 per person.[+14 sentences] Both initiatives will help older Singaporeans remain employable and provide opportunities for them to continue to learn and upskill. At this juncture, Mr Deputy Speaker, please allow me to speak in Malay. (In Malay): A part of this year's Budget is for the allocation and assistance to Singaporean senior workers as well as mature workers in Singapore. I welcome such allocation and support for workers. Therefore, I hope that our senior workers and mature workers will seize the opportunity to enhance their skills and continue training in their respective jobs and careers. Certainly, the journey and the effort towards upskilling and continuous training are not easy. It takes time, it requires determination and hard work, it requires more expenditure and it also involves personal sacrifice. However, this sacrifice will result in a wealth of benefits and opportunities that will be enjoyed in the future – the chance for job promotion, job opportunities or higher pay, as well as growing our self-worth. As the saying goes, "You have to undergo hardship and difficulties before you can enjoy the fruits of your labour". And let us not give up too easily if things get tough when undergoing upskilling and continuous training. As the saying goes, “In for a penny, in for a pound”. At the same time, we must also acknowledge that the times are changing rapidly and we cannot ignore the impact of disruptive technologies, as well as economic transformations that have and will change the way we work or do business. Therefore, we must be ready to ride through this inevitable change. Mr Deputy Speaker, I will continue in English. (In English): I also laud the Senior Worker Early Adopter Grant and the Part-time Re-employment Grant that will help companies and employers review their hiring policies to help older workers stay employed.[+8 sentences] I look forward to the details of these two initiatives during MOM's Committee of Supply debate. While numerous provisions, schemes, grants and initiatives have been introduced, implemented and led by the Government and Government agencies, employers need to also do their part to facilitate the training, continued employment and contributions of older workers in Singapore. For a start, the jobs that older workers do have to be meaningful and cannot simply be menial work that younger Singaporeans shun. Taking on the role of mentors, trainers, coaches or supervisors would be more meaningful for older workers who have a wealth of experience to draw from and impart to younger workers. Employers need to explore ways to redesign jobs for older workers so that they can continue to contribute and draw from their experience, skills and knowledge meaningfully. Let me move on to the next segment of my speech on support for persons with disabilities or special needs. Persons with disabilities or special needs have always found it more challenging than most of us to be gainfully employed, stay employed and have opportunities for career progression. For some of them, finding employment is a seemingly insurmountable hurdle. Not many employers are willing to employ persons with disabilities or special needs even though there are Government-funded employment grants to facilitate this, such as the Special Employment Credit, Workfare Training Scheme and the Open Door Programme.[+6 sentences] Employer contribution and support are still substantially required and not many employers are willing to go that extra mile to invest in persons with disabilities or special needs. Other than employer support, persons with disabilities or special needs seem to earn relatively lower salaries than typical hires. While there is insufficient data to confirm this, the anecdotal evidence is already quite disturbing. Do we expect persons with disabilities or special needs to be able to fend for themselves with much less disposable income? Do we expect them to be dependent on others for the rest of their lives? Can we not accord them greater recognition, as well as remuneration, for their abilities and talents out of the goodness of our hearts as fellow human beings and not just depend on numbers reflecting positive returns on investments? While there have been improvements made to making our society and workplaces more inclusive towards persons with disabilities or special needs, there is still a long way to go in ensuring they can be financially independent, recognised for their abilities and talents and not be judged for being atypical and that they can very much be a part of our community, society, schools and workplaces as every one else.[+5 sentences] I will speak more on providing the necessary employment support for persons with disabilities or special needs in the MOM COS debate. Let me now move to the last segment of my speech on flexi-work provisions and support. The current COVID-19 public health situation has been a very challenging one. Our daily work routines are drastically changed and remote interactions and communication have replaced physical interactions or face-to-face communication. However, with every challenge comes an opportunity for us to learn and initiate and embrace change. Flexi-work provisions, arrangement and support have been extensively rolled out during this period.[+5 sentences] We find that even with some initial inconveniences, we are able to work remotely, flexibly and still fulfil our daily work or meet our daily business targets, with some creative provisions and solutions, to ensure business and work continuity. Flexi-work is not too difficult to implement after all. Necessity is truly the mother of all inventions. I hope that once we are able to ride out the current COVID-19 public health situation, we will remember the lessons we have learnt during this period and we will continue to implement flexi-work with the support of employers and companies. Just as we trust our workers and staff to work remotely or on a flexible work arrangement during this period, we must continue to trust them to give the same amount of commitment and effort when the worst is over. In addition, as I have mentioned in my Budget speech last year, FWAs can provide for better employment opportunities for persons with disabilities or special needs to work from home or to gradually adjust to their work environments and work commitments at a pace they are comfortable with. Being gainfully employed and being able to be remunerated for doing meaningful work is a start in helping persons with disabilities or special needs live independently like many others and it accords sufficient opportunities to develop that much-needed self-belief and self-dignity. Hence, I urge employers and companies to carry on with their FWAs that we already have in place now during the current COVID-19 public health situation so that our society, communities and workplaces can be a lot more inclusive, especially for those who are less privileged or who face more challenges in life.[+7 sentences] To conclude, Mr Deputy Speaker, I reiterate my support for the various provisions, as well as the employment and employability assistance measures provided for in this year's Budget. While there are still areas in which the necessary provisions and assistance can be even further enhanced, the Government is cognisant of the various needs of the different segments of our society and has done much to ensure there is some help for everyone. Beyond the dollars and cents the Government will be spending on helping the different segments of our society, including for employers, we have to continue to work together to make our society, communities and workplaces better, stronger and more inclusive. Let us continue to build our "democracy of deeds". This is what SG Together is all about. If I may end with a quote by Winston Churchill: "We make a living by what we get; We make a life by what we give." Notwithstanding the suggestions I have for future provisions and assistance by the Government, I support this year's Budget.
[+9 sentences]Mr Deputy Speaker, I would like to first thank Deputy Prime Minister Heng Swee Keat and his MOF team for the hard work they had put in with a generous Budget that aims to address the storms in sight, whilst at the same time prepare us for the tectonic shifts ahead. Last year, I asked for mental health to be a whole-of-Government priority. It was unintentionally prescient then to see this in action now with the multi-Ministry task force set up to tackle the COVID-19 outbreak. The psychology of our people became more than a priority for the Government to understand so as to manage the panic buying, hoarding and shunning of healthcare workers, all coping mechanisms to deal with underlying fear and anxiety. Research studies have found that these deficiencies of community resilience can be caused by poor mental health, leading affected communities to be less cohesive, adaptive and more vulnerable to shocks and disruption. The near-term uncertainties and long-term structural shifts that the Deputy Prime Minister highlighted should, therefore, alarm us to the need to prioritise mental health. I was very encouraged in the recent month by Prime Minister Lee, the Deputy Prime Minister and several Ministers rallying Singaporeans around the need to strengthen social and psychological resilience, both critical pillars of our Total Defence strategy. So, Mr Deputy Speaker, you will understand why I was disappointed that mental health was not mentioned at all by the Deputy Prime Minister during his speech, despite mentioning "resilience" four times. The ability to adapt to significant and adverse changes we call resilience is not happenstance; it is enabled by good mental health. As a nation, we clearly struggle with mental health. There has been a steady increase in the lifetime prevalence of mental illness in Singapore over two decades – 10% or more when it was first tracked in 1998 and 2007, to 12% in 2010 and now 13.9%.[+3 sentences] To put into perspective, which I also did last year to limited success apparently, the prevalence for diabetes in Singapore was 8.6% in 1992, peaked at 11.3% in 2010 and has seen remarkable improvements since the "war on diabetes", decreasing to 8.8% today. As one doctor shared with me, "Until the Government starts taking the stand that mental health is as important as diabetes, there is a limit to what individual organisations can accomplish". Mr Deputy Speaker, despite two decades of increasing prevalence of mental illness in our society, the Government still seems to be struggling to do more for the mental well-being of our people. In fact, the Health Minister has previously shared in this House that we only spent 3% of our healthcare operating expenditure in FY2017 on mental health, compared to 11% for diabetes. Under our FY2020 expenditure estimates for healthcare, there are only three expenditure items targeted to support mental health.[+13 sentences] In comparison, many other developed countries, such as New Zealand, Scotland, Iceland, Finland, Canada, Norway and Australia, have identified mental health as a budget priority with significant resources dedicated to support mental well-being in their societies. Sir, at this juncture, Members may think that I am recycling my speech from last year. But let me assure Members that I am not, although that would be clearly so much easier for this part-time Nominated Member of Parliament with no institutional support! Last year, I shared the mental health struggles of those near and dear to me, including my own close shave with depression more than a decade ago. Perhaps, these sharings did not seem substantive or representative enough to persuade our policymakers. So, earlier this year, my amazing team of volunteers and I decided to launch the first-ever public consultation on mental health in Singapore. Rudimentary it may be, given less-than-limited resources, we were surprised and heartened by the more than 400 responses received from Singaporeans, 70% with lived experiences whilst the rest from caregivers and mental healthcare professionals! Many of these personal stories are heart wrenching. We even ended up doing "case work" with some! But since personal stories did not seem to move policymakers last year, I decided I will focus this year’s speech on where we are falling short in the specific areas of affordability, accessibility and quality in mental healthcare and concrete urgent actions that I hope the Deputy Prime Minister and relevant Ministers will take. First, on affordability. It broke my heart when I read one respondent "having to starve to afford therapy". At least 10 respondents shared they stopped seeking help because of financial struggles. Sixty-six percent of the respondents shared that mental healthcare costs were high, with more than half of them being users of public healthcare services.[+4 sentences] How is it that our world-class healthcare system has denied so many people the mental healthcare that they need? Sir, you may not know that as much as a seven-time difference still exists between MediSave and MediShield Life limits imposed on treatment for physical health versus mental health conditions. A respondent shared, I quote, "I paid over $10,000 total for inpatient care after deduction of MediSave and MediShield Life for the past two years", even after "opt for class B2 and C wards to save costs". It is time to remove this entrenched stigma by bringing these limits to parity for both mental and physical health conditions. MediSave should also be allowed for services at Government or quasi-Government-funded community organisations, because how can we have a community health approach if it is not?[+1 sentence] Next, on accessibility. There are around 248 psychiatrists and 473 psychologists practising in Singapore, or 4.4 psychiatrists and 8.3 psychologists per 100,000 population which may explain why the overall median waiting time for new subsidised appointments across the public hospitals is 27 days to see a psychiatrist and 28 days to see a psychologist .[+2 sentences] Seventy-one respondents also shared that lack of relevant and trusted information was a prohibitive factor against seeking help. I was, however, encouraged by the 23 respondents who commended the Community Health Assessment Team (CHAT), a public healthcare initiative by the Institute of Mental Health (IMH) located within the community. CHAT provides a unique combination of: one, free and confidential mental health check service that guarantees data will not be entered into the public health system; and two, care navigation that includes subsidised referral for public mental healthcare services if required.[+3 sentences] Unfortunately, CHAT currently only serves the youth segment but I hope this model could be adapted and expanded to support all ages. Now, quality. First, let me commend our mental healthcare professionals for their hard work, many of whom I know personally. More than 50 respondents, however, indicated grave dissatisfaction with the quality of public mental healthcare. Thirty-six percent explicitly mentioned lack of empathy in the professionals they interacted with and the dismal environment of psychiatric wards in our public hospitals.[+10 sentences] Mr Deputy Speaker, we are not saying all mental healthcare professionals are incompetent or without heart. In fact, many respondents indicated that the poor quality could be attributed to the excessive workload which strains both professionals and the system. As one respondent puts it, "While the Government is ostensibly pushing campaigns that aim to reduce the stigma of seeking help for mental health issues, there is a lack of parallel funding for actual mental health services, such as the hiring of more counsellors and mental health professionals". Twenty-six respondents cited the importance of feedback on treatment to improve their health outcomes. One respondent lamented, I quote, "They never asked me for feedback. I would like them to ask for feedback." Continuous improvements happen when we empower clients and patients by recognising that they are part of their care process, too. In the same vein, strategic plans, such as the Community Mental Health Masterplan, must involve extensive public consultation, especially those with lived experiences and their caregivers, while ensuring that aggregated public health data continues to be shared transparently. This helps to improve local research on mental health issues and better coordinate efforts in supporting mental well-being of our communities. The recent launch of a multi-agency consultation effort on youth mental well-being is a wonderful start. Yet, to truly facilitate an SG Together response, we need such conversations to move beyond only the youths, especially since the average age of subsidised patients for the different mental health conditions was between 40 to 50 years old in the last three years.[+9 sentences] Incidentally, in the spirit of SG Together, my team of volunteers created a simple website called SGMentalHealth.com, so that we can also share what we found from the public consultation. We also received responses on other policies, ranging from confidentiality, support in schools and workplaces to issues surrounding mental healthcare for marginalised or vulnerable communities like the differently-abled, Lesbian, Gay, Bisexual, Transgender and Queer (LGBTQ+) and migrant workers. I will highlight these issues separately with the relevant Ministries during the COS debates. These fundamental issues in affordability, accessibility and quality of our mental healthcare must be addressed by the Government with a fierce urgency or we risk another decade of increasing prevalence in mental illness, despite the well-meaning awareness and anti-stigma efforts. Mr Deputy Speaker, this brings me to my last point on the paradigm shifts we need to make to move beyond mental healthcare to total well-being for every Singaporean. The structural and policy issues discussed earlier aim to close the treatment gap. But what if we could reduce the number of people getting ill in the first place? What if we paradigm-shift mental health as a public health issue? What would our policies for mental health promotion and illness prevention look like? Would we then start to ask what are the causes of rising levels of mental distress in childhood that saw calls made by five- to nine-year-olds to the Samaritans of Singapore (SOS) jumped by 500% over a three-year period?[+23 sentences] And the spike in the number of teenage suicides in 2018? Might we not insist on conducting mental health screening for our students every year, like physical health and dental checks? Will we begin to study the role of social justice, family and schools in mental health so that we can address the underlying social determinants? Will we also start to understand the impact of public policies on the psychological capital of our people and endeavour to create a psychological safety climate for innovation and well-being to flourish that truly binds Singapore Together? Another paradigm shift we urgently need to make, Sir, is the long overdue recognition that mental health is a critical part of total well-being. Mental health is a continuum. It is not "I'm mentally sick, or I'm not". It’s not "I'm over it, or I'm still in it". It's not "I got it, I will never get it". We may think that mental health challenges only affect certain people, or some segments of our society. But if we just pause and have an honest conversation with ourselves, we will realise that we are navigating along this continuum at any point in time through our life. Because who has not suffered a loss? Who has not had a major life transition? Who has not felt overwhelmed with responsibility for another? Who has not been marginalised in some way? Who has not been made to feel like a failure? None of us in this House can pretend that we have not struggled with a dearth of mental health at some point in our lives. Changing this paradigm of thought will help us think about how we can strengthen the support available within our communities. When asked what helped them most in their mental health journey, many respondents shared the importance of community support. When we translate these paradigm shifts into strategies across the system, we may then see why it makes sense to expand physical health education to total health education in schools to include mental health; why workplace health and safety must be beyond physical health and safety, which I am very happy to note that the Tripartite Oversight Committee on Workplace Health and Safety – of which I declare I am a member of – has started doing good work in this area with employers and employees; why there is merit in making it explicitly clear to employers that the Sick Leave entitlement for each worker can also be used for mental health treatment and recovery and that mental health insurance is not a luxury but a necessity for employers to support their employees' total health. Strong mental health support at schools and workplaces directly impacts how we show up for our roles in our family and community – which contributes to how we support our children as parents, our elderly parents as caregivers and how we build strong ties and connections with our friends, colleagues and neighbours. This returns us to the importance of resilience as individuals and communities, Mr Deputy Speaker. The mental well-being of our people – man or woman, young or old, rich or poor, working or jobless, straight or gay – forms the bedrock of our psychological resilience and social cohesion, which may be the only sure way to secure our future in Advancing as One Singapore against the headwinds ahead. Already, a late 2019 study found that stress-related illnesses cost Singapore's economy $3.2 billion annually. So, I would like to earnestly ask the Deputy Prime Minister what needs to happen for mental health to be a national and budget priority? Do we have to wait for one in four Singaporeans with mental health conditions, like the current global average, for us to take urgent action?[+1 sentence] Do we need to see more parents lose their children to suicide or more young people in distress for mental health to be a public health priority? Can we afford negative growth in productivity and innovation before realising how mental well-being is intricately tied to human performance?[+1 sentence] Mr Deputy Speaker, this is likely my last Budget speech. So, I wish to conclude by imploring the Government to take action now to make quality mental healthcare accessible and affordable for all Singaporeans, to bring this on par to the world-class public healthcare system for all that we are proud of.[+1 sentence] This is surely the loudest anti-stigma signal to send! In addition, I challenge the Government to boldly take a strategic and preventive approach to deliver mental well-being and total health to our people as it has done spectacularly with economic well-being, so that we can bring and build the social resilience and psychological capital to thrive as a nation and flourish as human beings.[+9 sentences] I also urge all Members of Parliament in this House to support the mental health needs of their constituents so as to create resilient communities as part of this SG Together effort. To Singaporeans, I invite you to remember that wherever you are on the mental health continuum is not solely a matter of personal agency but also largely determined by your social support structures, or lack of. So, if you are struggling right now, I hope you know it is not a personal failing. We are all responsible for one another's mental well-being, including the Government and institutions. You have, in fact, shown us what true resilience is by fiercely living each day with less-than-adequate state support in mental healthcare whilst constantly dealing with structural stigma and discriminative behaviours. Mr Deputy Speaker, I look forward to the Deputy Prime Minister's response to the hopes of the 400 Singaporeans and many hundreds more who have reached out to me over the years, including my tireless team of volunteers. They have bravely come forward to share their struggles. Their generosity and courage keep me going on this crusade for change. I share the same hope as this respondent who said, “I hope that the day comes soon where no one has to feel alone in their mental health journey.”
Mr Deputy Speaker4 words
[+1 sentence]Miss Cheng Li Hui.
Miss Cheng Li Hui (Tampines)1150 words
[+3 sentences]Mr Deputy Speaker, Sir, I rise in support of the Budget. Twenty-twenty started with a lot of uncertainty. The US-China trade war was still not settled and technology continued to disrupt businesses and threaten jobs. Against this backdrop, COVID-19 came along and slammed our economy and our way of life and threatened to bring us into a recession. To help us overcome these challenges, Deputy Prime Minister Heng Swee Keat and his team have put together a very generous Budget 2020 with a wide-ranging package of measures to support and sustain businesses, workers and families in the short term.[+4 sentences] At the same time, it allows us to focus on the longer term to transform our economy and reskill our workers for our long-term sustainability and success. This is a good reminder that the reason why we have been able to put together such a package is because of the surplus generated and Reserves accumulated over the years by our previous generations. Successive generations of Government and Singaporeans have worked hand in hand to get to where we are today. Our Pioneers led the way and the Merdeka Generation worked hard and transformed our country. A wealthier Government today is showing their appreciation with generous packages and top-ups. Therefore, I am especially happy that our seniors have been given special attention in this Budget: more Silver Support Scheme beneficiaries, higher payouts and dollar-for-dollar matching when their families top up their CPF accounts.[+7 sentences] One of the values that have got us this far is resilience, as a nation and as individuals. This year's Tampines East Edusave Merits Bursary (EMB) ceremonies coincided with Total Defence Day. I took the opportunity to remind the audience that Total Defence is more than just military deterrence. Home team agencies and institutions, such as our hospitals, play a critical role, too. The COVID-19 crisis has shown us once again that defending Singapore against threats often requires a whole-of-Government approach. It involves coordination among multiple Ministries and agencies, with an eye always on the bigger picture. Our response to the COVID-19 emergency has been admired by many. The researchers of a Harvard University study said, "Singapore set the gold standard for COVID-19 detection around the world”.[+31 sentences] This entire response and operations that the taskforce has mounted are not something we should take for granted. On behalf of my residents, may I say "thank you" to all involved in dealing with the COVID-19 outbreak. What is heartening is that during my house visits, I met several residents who told me “we have to play our part against the virus”. Some of them, I learnt, sanitised the lifts daily on their own accord and their neighbours were not aware. They also realised that the cleaners were busy cleaning common touchpoints and so swept their own corridors. At EMB ceremonies, I noticed some of the children were having stage fright. I encouraged parents to share with their children their own fears and insecurities. Let our children know that everyone has fears and we must try and overcome them. I told the audience I do not like public speaking. I still do not. But I am really glad I did not let that stop me from doing my work now. I love my work. Likewise, parents can share meaningful lessons in their lives so that their children get to understand difficult situations and decisions. They can learn to think through some of the challenges and build resilience. These lessons often come in everyday scenarios. In Tampines, we have a free bowling programme during the school holidays. We deliberately mix students of different races and schools during the game. One of the girls went home crying because she was afraid and uncomfortable mixing with students she did not know. Her mum took leave to bring her for the next session and shared with her that she will not be able to choose her own secondary school classmates or work colleagues in future. She told her to try and adapt and she will be there to support her. We watched the girl as she finally enjoyed the company of her lane mates and even forgot about our presence. She just needed the morale booster. We love and protect our children, give them the very best we can, put them first. But the most important value we can teach is to instill strength, the tenacity to try things, be adventurous in thoughts if not actions. Sir, our people strive to be the best they can be – acquiring knowledge and skills, possessing determination and drive, working hard to get ahead. Striving is a fulfilling process but it is not an easy one. I am heartened that this Budget signals that the Government is standing with all Singaporeans in their determination to build a better future for themselves and their children. And coupled with resilience, we will all emerge stronger and better together. Resilience is only one face of the Singapore Spirit. The other equally important face embodies the graciousness and kindness that many Singaporeans are displaying every day. I witnessed that firsthand in Tampines earlier this month. Just two days after the raising of the DORSCON alert to Orange, and amidst reports of panic buying at supermarkets island-wide, our volunteers continued their monthly food donation drive to help needy residents.[+6 sentences] Not only did more volunteers turn up to help, we also saw more residents, including new faces, approaching us to donate food items. Some thoughtfully added bottles of hand soap in their donations. During the same period, I visited a family in Tampines which has a member who was infected. The rest of the family members were quarantined at home. We delivered some daily necessities to the family. I also took the opportunity to visit the other residents in the block. While I sensed some residents had uneasiness and questions about the virus outbreak, I was especially heartened when I witnessed neighbours rallying around the infected family. One neighbour offered to buy the family their daily necessities while another offered to deliver meals.[+3 sentences] My heart swelled with pride as I witnessed our residents putting aside their concerns to step forward to help fellow residents in need. Sir, before I end, I do have one suggestion for the Finance Minister to consider. Budget 2020 has many schemes and enhancements. Some people, such as our seniors and smaller enterprises, may be overwhelmed by all the information.[+1 sentence] May I urge the Government to step up on engagements and communications to targeted groups like families, companies, workers, especially seniors, so that they can better understand and benefit from all the available schemes? I am optimistic that this Budget will resonate with Singaporeans and set us on a firm footing for our continuous nation-building journey.[+2 sentences] So, let us persist and continue to strive together for our people and our country. SG United. On this note, Sir, I support this Budget.
[+9 sentences]Mr Speaker, Sir, I support the Budget and I applaud what is being done for Singaporeans in this Coronavirus Disease 2019 (COVID-19) situation. I dedicate my speech today to two important issues close to my heart, caregiving and ending sexual violence. It is my hope in 2020 that we dedicate more attention to addressing these critical issues and make greater strides towards a more inclusive society and a safer society for all. Today, my parents are 65. They lead active lives, but 10 years down the road, their lives could possibly be very different as they enter their golden years. As a child to my ageing parents, the prospect of assuming some caregiving responsibilities sometime in the near future weighs on my mind. I am hardly alone in this. Around me, peers of my age share similar concerns. The old age dependency ratio in Singapore has been declining over the decades. In 1990, it was 10.5 younger persons to an elderly person. In 2019, the ratio has halved to 4.5.[+6 sentences] As our loved ones grow older, there are fewer of us to share the labour and responsibilities of caregiving with. How will we continue to lead the lives we have when we potentially also have to be caregivers? Would our work schedules allow us to juggle work and care? Would we be able to afford hiring professional help? What other options are there for our parents to age with dignity? For women, the pressures are felt even more acutely as societal norms continue to promote caregiving as women's responsibility. A 2011 national survey on caregiving for elderly individuals, those above 75 years old requiring help with at least one activity of daily living found that 97.9% of all informal caregivers in Singapore are immediate family members, with more of them being female and between 45 and 59 years old.[+2 sentences] The female caregivers are also usually wives or adult daughters of the care recipient. The pressure on women to be caregivers has a great impact on their ability to engage in paid work. In 2018, over 280,000 women were outside the labour force primarily because of caregiving to relatives or family members apart from children.[+4 sentences] In comparison, just over 15,000 men cited the same reason for being outside the labour force. The compromises that women make to their work lives negatively impacts their financial security. According to Central Provident Fund (CPF) statistics, about four in 10 active CPF members who turned 55 in 2017 did not meet the Basic Retirement Sum (BRS) of $83,000 in their Retirement Accounts. Among them, women have more difficulty meeting the BRS. Similarly, a recent study shows that female family caregivers to older persons experienced a change in work situation because of caregiving, suffering a 63% loss in income on average, which translated into an average annual loss of more than $50,000.[+23 sentences] Ask any caregiver around you and you will know that it demands a great deal of energy, time, resources and attention. You could find yourself waking up several times throughout the night to attend to your loved ones' needs, or having to spend hours persuading them to take their medication, or even straining your back trying to physically move them. For the hundreds of thousands of caregivers out there, stress, burnout and feelings of resentment may not be uncommon. Not only do they have to contend with the physical stress of caregiving, they are also struggling to balance the demands of paid work and dealing with care-related expenses which they are also now responsible for. When you become a caregiver, it very often becomes the central identity and the focal point of your life, and you find that the other aspects of your life: your job, friends, hobbies, leisure time have to accommodate caregiving, not the other way around. How can we better redistribute caregiving responsibilities between men and women, but also between the family, community and state? How can we, as a society, ensure that caregivers are not compromising on their own health and financial security as they carry out this often invisible and thankless work? Over the years, the Government has introduced numerous policies to support family caregivers, including most recently the Caregiver Support Action Plan. Many of these initiatives, such as the subsidies for long-term care services and foreign domestic worker levy, have no doubt been of tremendous help to those who benefited from them. However, I believe that our efforts can still be strengthened and would call for even bolder moves. To start, we need up-to-date and more robust data on caregivers in Singapore. The last national survey on informal caregiving was conducted almost a decade ago. There should be regular systematic tracking of the number of caregivers in order to understand the scale of challenges they are facing. Next, I highlight two workplace policy suggestions that have been raised by various experts and civil society organisations like the Singapore Alliance of Women in Ageing. Workplaces need to accommodate care, not the other way around when we recognise and accept the fact that all workers, including those who are employers, will likely find themselves with caregiving responsibilities at some point in their lives. Can we consider legislating the right for employees to request for flexible work arrangements (FWA)? Such legislation has already been successfully introduced in the United Kingdom (UK), New Zealand, Canada and Australia. Research shows that current utilisation of FWAs is low due to bias by middle management and requirements for "facetime" at the office for performance appraisal, bias against part-timers and reluctance to change the status quo. Without equal mandated access, those most in need, like caregivers, are likely to be denied access to FWA and will have no choice but to exit the workforce. Second, childcare leave should be converted to family care leave so that all workers have the option to utilise it for their dependants. Those with children and other older dependants should be given a longer quantum of leave. Unpaid caregiving leave is not sufficient for caregivers as they must use up their own personal and medical leave, leading to caregiver burnout and health problems. Currently, family leave that allows for caregiving of relatives is voluntary, unlike childcare leave that is mandated at six days paid per parent for Singapore Citizens. In 2018, only 20% of companies offered some type of paid family care leave.[+2 sentences] Finally, we need to continue expanding care options, whether it is through hiring a professional homecare nurse, going to a daycare centre or living in a retirement home. We need to make these options affordable for families. According to a local study, they found that lower- and middle-income households would spend between 23% and 59% of their household income on long-term care services after subsidies.[+18 sentences] The figures are 24% to 63% for upper middle-income households. I hope the Government can review the subsidy system to ensure that the cost of these services are not prohibitively high to families, including middle-income ones. On to the next topic, having just graduated from Singapore Management University (SMU) in the recent years, I am particularly concerned about the recent spate in campus sexual violence cases as well as how the use of technology has enabled new forms of sexual violence to be committed. This next part of my speech would focus on how we can better address these two forms of violence. But first, I would stress the importance that sex education plays in ending violence against women. Efforts to address sexual violence are usually focused on legislation, punishment and remedying the effects for survivors. However, there is a crucial need to address social norms and attitudes which enable sexual violence. The prevalence of sexual violence, committed overwhelmingly by men against women, reveals an ugly truth about the way society views women: that women are not human. Sexual violence is fundamentally rooted in the idea that women are objects, devoid of agency, rights and feelings, that women exist for men's pleasure, that women are not equal to men. Education on consent, sexual violence, gender equality, is, therefore, absolutely necessary to transform society's understanding and views for the better. In this vein, I believe that the sexuality education children and young persons receive in schools is a powerful tool to catalyse change from young. Is the current sexuality education curriculum reflective of and relatable to young people's experiences with sex, sexuality and gender-based violence today? Are students themselves consulted to find what they need and want to learn from sexuality education? What needs and gaps in knowledge do they have that are not being met by the curriculum? According to the United Nations, comprehensive sexuality education, apart from providing scientifically accurate information about sexual and reproductive health, also importantly includes discussion about gender roles, human rights, gender equality and threats, such as discrimination and sexual violence. Our sexuality education syllabus should be inclusive and explicitly address these topics. I now turn my attention to campus sexual violence. News headlines have recently been dominated by sexual offences committed within education institutions. From the Academic Year 2015/2016 to 2017/2018, 56 cases of sexual misconduct were reported to autonomous universities in Singapore and 37 of these cases were reported to the Police.[+8 sentences] Given the stigma around sexual violence, it is reasonable to assume that many more of such cases go unreported. Students have a right to feel safe in schools. In 2016, it was asked if the Ministry of Education (MOE) would formulate guidelines and provide anti-harassment training to staff in tertiary institutions in Singapore based on the recommendations of the Tripartite Advisory on Managing Workplace Harassment. Then, they responded that institution-specific codes of conduct were already in place to prevent harassment on campuses across the nation. However, in the wake of Monica Baey's brave sharing last year, it has become apparent that relying on individual institutions to develop their own policies and protocols is often inadequate. There is an uneven level of protection across institutions, with differing definitions of what constitutes harassment, and varying complaint, investigation and disciplinary processes. This means that whether students get their case investigated, how it will be investigated and what the outcome may be, and what support they receive as victims would differ, depending on where they go to school. This should not be the case. Violence is violence, and should be dealt with in the same way, regardless of institutional setting. Therefore, I believe the way forward is for the development of a national code or guideline addressing campus sexual violence that all education institutions can adopt.[+2 sentences] This code should set out the duties of the schools to ensure zero tolerance of sexual harassment, provide adequate victim-care support and set out standards and principles for investigating and managing complaints. Another worrying trend is the rise of sexual violence involving the use of technology, such as social media, spy cameras and mobile recording devices. According to the Association of Women for Action and Research (AWARE), the number of technology-facilitated sexual violence cases they have seen had increased threefold in the last three years. In 2018, they saw 124 cases, more than half of which involved sexual images of the survivors that were non-consensually shared, obtained or created. The effects of technology-facilitated sexual violence on the survivor can be just as traumatic as other forms of sexual violence.[+3 sentences] Having one’s privacy being invaded and intimate images of themselves shared publicly without consent render a distressing sense of helplessness. Even with the successful conviction of the perpetrator, the traumatic effects of having one’s intimate images and recordings still circulating in the public domain will still be felt by survivors. I hope that survivors of such offences can be better protected. Perhaps mechanisms could be set up for the swift removal of non-consensually shared intimate materials, even before conviction.[+1 sentence] In Australia, complaints about one’s intimate recording being shared non-consensually can be made to the eSafety Commissioner online. The Commissioner is then empowered to issue removal notices for the end-user or service provider to remove the materials in question within 48 hours. We should consider having such a similar mechanism in place.[+1 sentence] I hope that Deputy Prime Minister Heng Swee Keat and the team behind the Budget will take these suggestions into consideration.
Mr Speaker3 words
[+1 sentence]Mr Louis Ng.
Mr Louis Ng Kok Kwang (Nee Soon)2199 words
[+17 sentences]"Daddy, why don't I take the school bus so that you do not need to rush anymore?" Those words by my daughter Ella cut through my heart like a knife. My six-year-old daughter taught me an important lesson that morning when I was sending her to school last year, a very painful lesson. She made me realise that it was time to slow down and not rush all the time, especially in front of her, how my actions had made her feel bad and a reminder about how precious time is. "Spend time with those you love, one of these days you will either say I wish I had or I'm glad I did". I used this quote in this House a few years ago and I am sharing it again not just because it is a beautiful quote to live by but also as a timely reminder to myself and to all of us. I do enjoy sending Ella to school. I love singing all the Disney songs with her on the way to school, I love listening to her talk about her dreams, how she was at the ice palace and enchanted forest and met Elsa. I love listening to all the gossips and playground politics in her school and, my goodness, there is so much politics. But, most of all, I love just spending time with her, precious Daddy-Ella time. Time we can never get back. Sir, we gave out a lot in this year's Budget, helping our workers, enterprises, parents and their children, seniors and our environment. Many are appreciative of Budget 2020. But if there is one thing we did not give out, it is time. Time, which is priceless and time which our Government can give out. We need more precious time with our loved ones. We need more time with our children who desperately need us. I am glad we provide childcare leave, which "will provide sufficient time for working parents to care for and spend quality time with their children". But it has been more than a decade since childcare leave provisions were increased and it is time to review this again.[+9 sentences] Are the current six days sufficient? We already know that the vast majority of childcare centres have six days of annual closure. This means that, for most parents, the entire six days of childcare leave could be used just for these annual closures. Let us not forget about the additional three half-day closures on the eve of any of the five stipulated public holidays. What happens when your child falls sick or for any other times when childcare leave is needed? Sir, my first suggestion is that we have specific childcare sick leave. Applications for such leave must be supported by a medical certificate. This is much needed as parents should be there to look after their children when they are sick. Out of all the illnesses, including chicken pox, influenza, stomach flu and the list goes on, let me focus on the Hand Foot and Mouth Disease (HFMD) as an example of why we need more childcare leave. In Singapore, 90% of children have had HFMD infection by 12 years of age.[+9 sentences] This is something almost all parents face and we should help them. We must help. It is extremely difficult for parents to find help to look after their children as the infection can last for up to two weeks. It is also hard to find someone to look after your child as the caregiver has a good chance of being infected. I was infected by my children when they had HFMD. From the employers' standpoint, do they really want their employee who may also be infected to come to the office and possibly spread the disease or any other illness to other employees, resulting in everyone going on medical leave? Also, do we honestly think that the employee can concentrate at work and be productive? Would they not be worrying about their child who is sick? How is this beneficial to the company? Having childcare sick leave will help the children, the parents and, ultimately, the employers.[+5 sentences] Sir, my second suggestion is that we provide this childcare sick leave on a per-child basis. Our current childcare leave does not make sense. Surely, we can all agree here that if you need six days of childcare leave for one child, you cannot also only need six days of childcare leave for two, three or four children. It may make sense if you can make sure all your children fall sick at the same time, which is not quite possible. Sir, having childcare sick leave and having it on a per-child basis is not something foreign to this Government. The Public Service, one of the largest employers in Singapore, already gives some officers childcare sick leave and it is on a per-child basis.[+11 sentences] For example, officers with two children, one of whom is below age seven is eligible for four days of childcare leave per year with a medical certificate (MC). An officer with three or more children, has nine days of childcare leave per year with MC. This is on top of the six days of childcare leave per year. The Government clearly feels that childcare leave is important for people who work for the Government, why then would it not be important for the people we serve? Let us level the playing field. There may be an argument that giving more childcare leave can inadvertently affect the employment prospects of parents with more children. But this is not the case for the Public Service and, surely, this cannot be a reason for us to not do what is right for our people. Surely, the Tripartite Guidelines on Fair Employment Practices can be used to address this concern. If we want Singaporeans to have kids and have more kids, then we need to give them more time to look after and be with their children. It is not just about making preschool more affordable. That is important. But many I spoke to feel that if they are going to have kids but just leave them at childcare centres most of the time, then what is the point of having kids? We are trying hard to increase our total fertility rate (TFR) and, beyond looking at the dollars and cents, we also need to look into providing parents with more time to spend with their children.[+12 sentences] The reply to my suggestions might be that we rather focus on FWAs. But this is not a zero-sum game. We can work on providing more FWAs for our people but also legislate more childcare leave. Sir, Deputy Speaker Charles Chong gave me one of the best advices just before the last General Elections. I used to help out at his Meet-the-People Session (MPS) and he always made sure I go home as early as possible once MPS ended. He said to me, "Louis, make sure you don’t go home one day and your daughter calls you uncle!". That advice is not just for me but for everyone and a timely reminder that while we work hard, we should also spend quality time with our loved ones. And it is not just about spending time with our children but also with our parents. Sir, I am glad that all civil servants are eligible for up to two days of parent-care leave per year and that a growing number of civil servants are using both days of leave. The Government has stated, "With a rapidly ageing population and smaller family units, officers with elderly parents will need time to take care of them. The new parent-care leave reflects our position as a family-friendly employer." It is encouraging that an increasing number of private companies are providing this. In 2018, 20% of private sector companies offered such leave benefits, up from 15% in 2012.[+13 sentences] But 20% is still really a small percentage. Our parents are the reason we are here today. They worked hard to bring us up and looked after us when we were young. We should be there for them when they are ageing and now need us to look after them. Sir, I lost my Dad five years ago. On 11 May 2015, I was getting ready to go to work and I told my wife I was going to inform the Animal Concerns Research and Education Society (ACRES) team that I needed to take some time off to spend with my Dad who was in hospital. I was already visiting him every day but I decided I should spend more time with him. As I was about to leave my house, my sister called and told me that Daddy had lost consciousness. He passed away that day. I really wish I can turn back time. I made a mistake and I regret it till today. I wish I had spent more time with Daddy and I miss him dearly. Perhaps, through sharing this with everyone, this wound might finally heal and, through sharing, I hope that others will not make the same mistake I made. Spend time with those you love and remember that life is a one-way ticket.[+1 sentence] Sir, this Government recognises that we need to spend time to look after our parents. It has been eight years since we introduced parent-care leave in the Civil Service and it is now time for everyone else to have this.[+3 sentences] It is time to legislate it. The Government's statement: "With a rapidly ageing population and smaller family units, officers with elderly parents will need time to take care of them", holds true for all of us and not just civil servants. If the Government feels that it is important for civil servants to have parent-care leave, then why not others? We are a family-friendly employer and now we should be a family-friendly Government. I understand that the tripartite partners have also encouraged more employers to adopt the Tripartite Standard on Unpaid Leave for Unexpected Care Needs, regardless of whether they already provide parent-care leave.[+1 sentence] But this is unpaid leave. Why do civil servants get paid parent-care leave and others have unpaid leave?[+1 sentence] Again, can we level this playing field? I also understand that caregivers have given feedback that they prefer FWAs over parental leave as a more sustainable way to balance work and caregiving responsibilities. But the parent-care leave we provide to everyone can, again, be the same as those provided to civil servants where they have the flexibility to take this leave in full or half-day blocks.[+25 sentences] This will address the feedback we have received and, if we want to, we can take it a step further and offer parent-care leave in blocks of hours. It is, ultimately, a personal choice to take leave to spend time with those you love but this Government can help make things easier for employees and I hope we do so. Sir, the Prime Minister said a few months ago that, "We will always stand with workers (and) ensure your well-being. We will always do our best to help you and your children progress with Singapore and have a better life". Let us also stand with our workers when it comes to childcare leave and parent-care leave. Time is the most precious commodity. I hope this Budget is not just about the economy but also about giving our people precious time to rest and to spend with their loved ones. In conclusion, I hope that we can (a) introduce a new childcare sick leave; (b) provide this childcare sick leave on a per-child basis; and (c) legislate the provision of parent-care leave. Minister Vivian Balakrishnan once said, "Life is a one-way ticket. A baby will only remain a baby for a very short time. They will grow up before we even realise it. The thing about life is we cannot rewind time. So, my advice to young parents here is, your children need you, they need you desperately and they need you only for a very very transient time in their lives. If we miss it, we can never get it back." Sir, I thought I should end by saying that I am still sending my daughter to school and picking her up. A few months ago, she made a card in school for me and gave it to me when I picked her up. This time, she melted my heart with her words. She said, "I love you, Daddy, because you always take me to school". I am now a part-time school bus driver as I now have to send our twins, Katie and Poppy, to school as well. They, too, melt my heart with their words. I picked Poppy up the other day and she gave me a big hug and said, "Daddy, I really missed you". I look forward to more previous Daddy-Ella, Daddy-Katie and Daddy-Poppy time. I look forward to more hugs, more laughs and much more sweet words from them that give me that warm fuzzy feeling. Sir, let us give our people more precious time to spend with their loved ones. Thank you and I support this Budget.
Mr Speaker3 words
[+1 sentence]Mr Dennis Tan.
Mr Dennis Tan Lip Fong (Non-Constituency Member)2349 words
[+6 sentences]Mr Speaker, regrettably, I had to turn down my daughter's request to bring her to school today because I was rushing out to work. Mr Speaker, Sir, during last year's Budget Debates, I spoke of building resiliency in Singapore in economic and security matters. This year, I would like to devote my time to speak on environmental resiliency. The world today is at a crossroads facing down the existential threat of human-induced climate change. Over 11,000 scientists worldwide now warn that the world "clearly and unequivocally faces a climate emergency". Singapore's vulnerability to climate change is also evident. Our island is now being heated up twice as fast compared to the world, and maximum temperatures, we are told, could reach 35°C to 37°C by the year 2100.[+15 sentences] Many countries seek to take concrete action. One in 10 people on the planet now live in a place that has declared a climate emergency and have effectively used it as a jumping point for real action. Inspired by young Swedish climate activist Greta Thunberg, youths across the world are rising up and demanding immediate action to address the climate emergency we are facing. Singapore's recent SG Climate Rally is a cry for action from our youths, one that the leaders of today ought to heed. My colleagues and I in the Workers' Party have heard it loud and clear. We agree with them and have sought actively to raise concerns about climate change and the policies that can be taken by the Government. We are glad that some policies have been looked into and taken up. Yet, it would be prudent to recognise that there is a long way to go in building environmental resiliency in view of the lessons the world has learnt and is continuing to learn about our relationship with our environment. With the certainty of climate change, we, as a nation should be daring and set a bold Green Agenda to guide Singapore's trajectory of development. Please allow me to put forth some ideas to this House. We need a holistic view on climate emergency. We need a holistic response to all issues of climate change. In other words, the success of efforts to combat climate change must not solely be measured by the effectiveness of any one policy narrowly. We must also invest in and track efforts to address the wide-ranging impacts of climate change and our policies on society at large, whether be it on urban drainage systems, food security, water security, waste management, urban liveability or public health, to cite but a few impact areas. An example of this is coastal adaptation and flood protection. Thirty percent of Singapore's land area lies less than five metres above mean sea level. Even under an optimistic emissions scenario, there has been projected that sea level in Singapore could rise by about half a metre by 2100, posing a coastal flood risk. Therefore, the establishment of the new Coastal and Flood Protection Fund with an initial injection of $5 billion is a timely move.[+14 sentences] As the Government commits to investing more in coastal adaptation and flood protection though, where will this money be spent on? Will the money be invested in the best science so that better projections of sea level rise can be made for Singapore? Will investments be made in the best social science, so that the prioritisation of coastal land uses can be better assessed? Will soft-engineering, nature-based approaches, such as the restoration of intertidal ecosystems, which have the potential to protect our coastlines, be considered for use under this fund, or will only hard-engineering approaches, such as polders and land reclamation, be chosen? It would be useful if the Government could give a sense of its spending priorities in this regard. Preparing to adapt to climate change alone would be unwise. There must also be a move to mitigate climate change while we still can. Even as we have committed to the 36% cut on emissions intensity by 2030 in our first pledge, how have our efforts been to date? Perhaps the Government can provide an update. The Workers' Party also welcomes both the announcement by Minister Masagos Zulkifli at the Madrid Climate Conference last December that Singapore will submit its long-term Low Emissions Development Strategy soon, and the announcement by the Deputy Prime Minister that Singapore's commitment to the Paris Agreement will be updated this year. We look forward to the Government's updates, and to understand how they represent progress beyond our current commitments and strategies. Next, Greening our Transport Infrastructure. Climate change has also accelerated the need to calibrate Singapore's infrastructural development to meet environmental challenges. Transport is a major sector which requires such calibration. The Workers' Party, therefore, welcomes the Government phasing out all internal combustion engine (ICE) vehicles by 2040.[+7 sentences] However, many practical electric vehicle (EV) issues are to be hammered out in the interim and I would like to ask what actions the Government will take on them. The biggest elephant in the room is on rebuilding an infrastructure currently tailored for ICE engines. The power grid, in particular, will be taxed. While Singapore is in a power glut now, electricity demand will only go up as Singapore moves on in its Smart Nation ambitions. One looks to Sweden with a ban on ICE vehicles slated for 2030, where demand for electricity is currently outgrowing capacity in local grids, forcing EV charging networks to compete with other infrastructure projects for electricity. This is not to mention that Singapore currently generates upward to 95% of its energy via natural gas. While it is the least-polluting fossil fuel and has higher efficiency compared to ICE vehicles, there will continue to be a carbon footprint generated. While our current power generation mix will improve by 2030 due to more solar capacity, how are we moving to lowering the carbon footprint of our power generation in 2030 to 2040? Also, with regard to charging points, the Government expects to have 28,000 charging points by 2030. But even assuming a 30% conversion from the current vehicle population to EVs, it still means about one charging point to 10 EVs by 2030.[+20 sentences] Should we even be contented with this ratio? Besides intelligent charging solutions, should the Government also consider the alternative of battery swap stations which have the advantage of speed, ensuring load on our power grid can be managed well, as well as providing a ready infrastructure for battery recycling? This has been tested in China and should be a key consideration here. How soon can we electrify our public bus and private hire infrastructure to EVs will also be important as many Singaporeans rely on such services. Would the Ministry of Transport give a timeline on this happening separately from the 2040 overall target? The Association of Southeast Asian Nations (ASEAN) internal combustion engine cooperation is also needed if we are to successfully electrify our transport system. A key consideration here is Malaysia, where people and trade currently travel via the Causeway and the Tuas Second Link on ICE vehicles currently. If we do phase out ICE vehicles here, are we also implementing a ban on foreign ICE vehicles from entering Singapore? If there is no infrastructure in place in Malaysia to support commercial EVs, would that also impact our businesses with a top partner in trade? This is important to get right as, on one hand, foreign ICE vehicles and how we handle the issue, may have a significant impact on our EV plans and, on the other hand, we should not be seen to export our green problems away with unilateral bans. Indeed, we can work with Malaysia's state and federal authorities to build a sustainable and inclusive ecosystem for EVs. To go one step further, we can propose an ASEAN Autonomous Vehicle and Electric Vehicle project that holistically looks at all the challenges of EVs that my colleague Mr Leon Perera had previously mooted in this House. This will help to focus minds towards a target and benefit interconnectivity across the region. The effective solving of these issues I have highlighted in the adoption of EVs can turn us into the bellwether state in ASEAN for EV adoption, just as Norway is for both the Nordic region and the world. Next, Green Housing Initiatives. Housing is another area where calibration is required. If urban planning is right, we can reduce the Urban Heat Island effect, increase energy efficiency and promote better waste management in our towns. We, therefore, welcome the Housing and Development Board (HDB) Green Towns Programme as it encourages sustainable living. However, will the benefits afforded by this concept be accessible only to new towns, or will our current HDB estates in places, such as Hougang and Aljunied, be retroactively upgraded to enjoy these benefits? We should also not forget about private properties and improving green efforts there. Even as they make up around 21% of the total resident households in Singapore, they account for 41.4% of the total electricity consumed in 2018.[+14 sentences] Therefore, improved greening efforts there can help net bigger gains. Would the Government consider expanding the Estate Upgrading Programme to include greening items for private estates? This may include solar-friendly installations in common areas and greening up shelters or building community gardens that act as carbon sinks. Also, could there be further incentives to push for solar installations across private households that allow excess power to be sold back to the power grid? Currently, payment is made by way of a credit adjustment based on the prevailing nodal prices. However, there does not seem to be incentives beyond that for private households. If private property owners can buy into such plans, this can help us reach the two gigawatts-peak (GWp) capacity target sooner and give further sustainability and robustness to our power grid. Let us next talk about Protecting our Green Areas and Redefining Development. In addition to gearing up our economy and infrastructure to prepare for the climate emergency, it is worthwhile to ask ourselves whether we are doing our best to reap the benefits of environmental sustainability for our society. The Government often lauds its green accomplishments under the City in a Garden paradigm – on increasing accessibility to parks, on the upkeep of community gardens, and on projects like Gardens by the Bay, for example. Each of these efforts bear their own positive outcomes for environmental education, community involvement, ecotourism and liveability. But amidst the continual urban greening of Singapore, are we prepared to risk undermining the benefits provided by the relatively more natural and more sensitive green ecosystems in our country? These ecosystems benefit us in a plethora of ways, from helping us store carbon and cool Singapore, thus aiding our response to climate change, to acting as havens for biodiversity with educational value. In addition to their potential as sites for low-impact, sustainable ecotourism, they provide Singaporeans with recreational value and with relief from our stressful urban environment, a benefit that is much harder to quantify but is nonetheless important. Already, a National Parks Board (NParks) study indicated that Singapore's land became a net carbon emitter in 2014. Over the past few years, we have seen the prioritisation of development projects over the benefits afforded by sensitive ecosystems due to such projects as the Cross Island Line, the Tengah HDB project and the Mandai Project.[+1 sentence] The latter two of these have been styled as a "forest town" project and a "nature destination", respectively. Thankfully, environmental groups, academics and public agencies have come together seeking to reduce the negative impacts these projects will have on the environment, in particular on our local biodiversity and forest cover, even after mitigation measures. However, the question remains whether the Government will commit to securing the inviolability of our nature reserves and greater protection of the little that is left of our more natural, green ecosystems in the future, while finding better ways to plan land use for housing, transport and tourism.[+14 sentences] I will speak more on this in the Ministry of the Environment and Water Resources' (MEWR's) Committee of Supply (COS) debate next week. I will now move to Shifting Mindsets. Beyond good policy, Singaporeans also need to come together in buying in to this Green Agenda. Mindsets must shift in the way we consume, to only use what we need to use. Just to cite a common example: single-use plastic bags. Can we take or use what we really need? Can we pack more things into each plastic bag? Do we really need to double bag all our groceries at the checkouts? If we only need to use, say, one or two plastic bags for refuse disposal a day, do we need to take 20 bags from the supermarket a week? We can also reduce the number of single use plastic bags we need to take for our refuse by concurrently using good quality reusable shopping bags. We may end up using fewer single-use plastic bags and may still have enough bags for our refuse. To encourage Singaporeans, we should ramp up our public education to reach out to Singaporeans of all ages and educational levels and in different languages. We should even encourage easy accessibility to the latest research on climate change by the average citizen. Translating this research into readable, digestible commentaries for Singaporeans gives further buy-in and builds awareness. As the lead Government agency on climate change, the National Climate Change Secretariat should consider working with public and private research agencies and researchers on this so that easy-to-access facts and evidence on climate change can be in the public domain to build further buy-in for green policies.[+2 sentences] Mr Speaker, Sir, in conclusion, Singapore's environmental resiliency is being tested in ways unprecedented. We should spare no effort to lead the region and the world in this effort, not only as an honest broker but also as an innovator in the space. As such, a bold Green Agenda should be considered as Singapore moves to the next chapter of nation-building.[+1 sentence] We owe it to our future generations to do so.
Mr Speaker3 words
[+1 sentence]Mr Cedric Foo.
Mr Cedric Foo Chee Keng (Pioneer)1819 words
[+3 sentences]Mr Speaker, Sir, Singapore's success is evident. Whether it is the Programme for International Student Assessment (PISA) scores of our 15-year-olds, our economic competitiveness, our healthcare outcomes, our CPF system or our public housing, the world looks to us as a model of a highly-functioning and thriving country. To be sure, we are still a young nation and we, too, look to other nations for examples of how to do better here. Singapore's per capita income was about S$1,600 when we became independent in 1965 – just S$1,600. Today, in 2019, our per capita income is about S$90,000.[+15 sentences] This is more than a 50-fold increase in a short span of 54 years. Put it another way, we have achieved a Compound Annual Growth Rate (CAGR) of about 8%, on average, each and every year over the last 54 years. How did we manage to do this? I believe the preconditions of success are, firstly, the peace and stability afforded us by an effective Ministry of Foreign Affairs, our Singapore Armed Forces and our Home Team. Beyond that, an effective and honest Government, which is sometimes quite rare, and working hand-in-hand with our employers and workers. These preconditions are necessary but not sufficient. I can think of two key principles that have served us well and have brought us here. The first is fiscal prudence. Achieving fiscal prudence starts with having a balanced Budget during every term of Government. Unlike in many other countries, Singapore has been building up its Reserves, instead of running deficits. How we achieve this is to ensure that recurrent revenue – those that are built into our system and are not one-off in nature – equals to or exceeds recurrent expenditures – those that we expect to incur year after year after year and not one-off in nature. So, recurrent revenue must equal or exceed recurrent expenses. That is a formula for a balanced Budget and that is very important for fiscal prudence. As pointed out in this House, Singapore is facing rising healthcare costs for two reasons – advances in medical technology and, specific to Singapore, a very rapidly ageing population. And also because we did so well in healthcare, our life expectancy is getting longer and that also means that medical costs will go up. Singapore’s healthcare expenditure is budgeted at S$13.4 billion for this year's Budget and that is an increase of 16% just from last year's Budget.[+1 sentence] This figure is expected to further increase over the next decade for the reasons I cited. This means that we have to address such increase in healthcare costs soon if we do not want to kick the can down the road for a future government to deal with and, to do so, in a way, by using recurring revenue because rising healthcare costs is a recurring expenditure. Therefore, the Finance Minister has recommended a Goods and Services Tax (GST) rate increase of two percentage points to take place between 2022 and 2025.[+4 sentences] Now, the need for more recurring revenue becomes even clearer if we also consider two other risks to our fiscal revenues. First, our Net Investment Returns Contribution (NIRC) and, secondly, the OECD's proposed Base Erosion and Profit Shifting (BEPS) regime. First, let me talk about the risk of a lower NIRC. Today, the NIRC from our Reserves is the biggest component of our revenue. In fact, NIRC is expected to be S$17 billion in our 2020 Budget, but lower than the S$19 billion in FY2019.[+43 sentences] Going forward, it will be increasingly challenging to achieve a similarly high NIRC due to the very low interest rate environment all around the world. In fact, last night's 10-year treasury is about 1.35%. So, 1.35% for 10 years' money. In some other countries like Germany, Switzerland, Japan and so forth, they are even experiencing negative interest rates. The Government of Singapore Investment Corporation's (GIC's) mission is to beat inflation by investing in non-Singapore dollar assets and one of the instruments that they would use would be bonds. And if interest rates remain low, the risk of achieving high NIRC over the next decade or so may become more challenging. Secondly, there is a proposed OECD BEPS regime. What it means is that the OECD seeks to change the current corporate tax system from one which is based on the "residency of the company". So, if you are a company incorporated in Singapore, you pay taxes here. If this company has a subsidiary in the UK, it pays taxes in the UK. The proposal here is to change that concept of "residency of the company" to one where the "consumer is based". So, even if you are a company based in Singapore but if you sell digital services or other products or services to another country, say, in the United States (US), which has a large consumer base, then the US will be the country collecting the taxes. Singapore is a small hub economy with a lower consumer base compared to larger economies with higher consumption. Should the OECD's BEPS proposal be adopted, we could end up with lower corporate tax revenues. So, the two risks are our NIRC facing challenges to generate high returns and, secondly, if the OECD's BEPS is adopted, then our corporate tax revenue will be negatively affected. It is understandable that raising GST is very unpopular. But as an honest Government, we need to level with our people and we need to continue to abide by the principle of fiscal prudence, having recurring revenue matching or exceeding recurring expenses. And this is the formula which has secured Singapore's success so far and we should not throw that away. Of course, this Government can ignore it because I do not think we will run into deep problems any time soon. But this is like kicking the can down the road and letting future generations deal with the problems. I do not think this is the right way forward. However, I hope that the Finance Minister, when raising GST, would design the Assurance Package in such a way that makes GST progressive. So, while we raise recurrent revenue, we also try to reduce the income inequality here in Singapore. But some have argued to forget about raising GST. After all, we have big Reserves. So, why not dip into it to fund our expenditure? Again, our Reserves are finite and, if we have recurring expenses, we need to think about recurring revenue in the system and not dip into a finite savings pool. But more important than that, we should not forget that Singapore is a country without natural resources. We have no oil, no natural gas, no minerals, no gold, no silver, the list goes on. We just have no natural resources, period! Our financial Reserves are our only reserve. If we deplete it, Singapore has no fallback. We have no backstop facility to draw upon. We have no European Union equivalent to bail us out. And if we have to resort to the International Monetary Fund, as past examples have shown, we would have to go "hat-in-hand", and such rescue package will come with many, many onerous conditions that will bog us down for many, many years to come. This is not where we want to be. It is, indeed, the fiduciary duty of the Government, as stewards, to ensure the fiscal sustainability and not to squander away the Reserves, which, strictly speaking, we did not earn in totality but our forefathers and past governments have earned it for us. We inherited it. Therefore, squandering it would be leaving future generations ill-equipped and vulnerable to deal with future crises and to continue to bring Singapore forward. The second important principle other than fiscal prudence, is long-term planning. In fact, we should not look at Budget 2020 in isolation. But we should look at all such Government Budgets across the years, and you will see a theme emerging. This Government has, over many years, built up our infrastructure. Today, our tree-lined roads, our air and sea ports and our skyline are the envy of many. We are continuing with such long-term planning and are putting aside S$5 billion now to address rising sea levels and climate change.[+16 sentences] This is a problem that would probably only happen maybe in 100 years, maybe in 50 years, but this Government now, today, is dealing with this, and this is what long-term planning is about. The other sterling example is Marina Bay where we had to reclaim land, let it settle for 25 years, and then solving a water problem and also creating a beautiful skyline at the same time. And that would not have happened had we not adopted long-term planning. But beyond physical infrastructure, we also invested in digitalisation, which is a very important aspect of transforming our economy. Again, looking into the future, looking forward. Most importantly, for many years now, the second largest expenditure item in our Budget, after defence, has been education. Healthcare is catching up. This is testament to our commitment to develop Human Capital. In fact, many economists have said that investing in human capital is perhaps the best way forward. Because the more you invest in infrastructure, the more maintenance cost you will incur, and the risk of obsolescence is high. So, I am glad that we have put education right up there as the second biggest budget item in many, many Budgets of the past. Equipping the Singaporean worker with the ability to be more productive and employable will enable them to earn higher wages. This is the best way to becoming a more equal society. Education affords social mobility. It gives hope and it allows our citizens to have a higher quality of living. In conclusion, I have talked about fiscal prudence and about why we should be careful – in fact, very, very careful – about dipping into our Reserves. I have also talked about adopting a long-term planning horizon when it comes to Government budgeting. But beyond these issues, this year’s Budget has also set aside an additional $4 billion to address short-term immediate challenges like cushioning the impact of the COVID-19 outbreak.[+1 sentence] And I applaud the Deputy Prime Minister and Finance Minister for looking into this. Although we do expect an overall Budget deficit of $10.9 billion for 2020, there is still a S$7.7 billion surplus for this term of Government commencing from 2015. Therefore, all the capital and operating expenditures as well as Government transfers, including the transfers into the Merdeka Generation (MG) package, are all earned by the respective terms of Government.[+1 sentence] And this is no mean feat. In fact, the total recurring cost of the Merdeka Generation package as well as the Pioneer Generation package are all paid for upfront and all earned by the respective terms of Government.[+1 sentence] Mr Speaker, this is a Budget I believe we can all support!
Mr Speaker3 words
[+1 sentence]Mr Darryl David.
Mr Darryl David (Ang Mo Kio)1062 words
[+5 sentences]Mr Speaker, Sir, it is not an exaggeration to say that we are living in somewhat unstable, uncertain times. The magnitude of global events has increased and the impact of these events is far-reaching. For example, just as the world saw a potential improvement in the global economic landscape last year with the inking of Phase 1 of the trade agreement between the US and China, along came the COVID-19 virus to make an unforgettable impact on the international stage. The true impact of COVID-19 on countries and economies is hard to estimate, and it is likely that the long-tail impact of the outbreak could be significant. I am thus heartened to know that the Singapore Government has put forth an expansionary Budget to cushion the impact of COVID-19 and help Singapore-based companies and our citizens emerge stronger from this episode. The Government has come up with the Stability and Support Package to help key sectors of the economy – Tourism, Aviation, Retail, Food and Beverage (F&B), and Point-to-Point transport services – that are hit hardest by COVID-19. I am encouraged that the Budget will cater for tax and rental rebates to defray the cost of businesses, as well as wage-support schemes and training incentives to upskill Singaporeans and keep Singaporeans employed during these difficult times.[+5 sentences] Based on current medical knowledge, COVID-19 is more infectious than the Severe Acute Respiratory Syndrome (SARS) and current epidemiology models seem to predict that the outbreak is likely to last longer than SARS. But even when the worst is over, it will take many more months before it is "business as usual". Would the Government cater more funds to support businesses and Singaporeans if the downturn period turns out to last longer than expected? Also, will the Government consider extending help to other industries, besides the five already mentioned in the Budget, if the economic fallout spreads to other industries? Moving on to the topic of supporting families, Mr Speaker, Sir, building on the momentum of the past few Budgets, the current Budget continues the trend of investing in our children and youths by enhancing the level of support for the preschool and early childhood sector. In 2018, the Government committed $1 billion to the early childhood sector and I understand that it will invest almost twice this amount per year for the next few years to further support this sector.[+1 sentence] Part of this investment will be used to enhance grants to ensure that quality preschool remains accessible and affordable for young parents and that every young Singaporean child will be able to have a good headstart in education to maximise their potential and human capital gains regardless of their family's socioeconomic situation. While we have raised the income eligibility for additional subsidies for the Kindergarten Fee Assistance Scheme (KiFAS) to $12,000 a month to benefit a larger number of families, would the Government consider putting in place more support and subsidy for after-school student care once the child graduates from preschool and enters primary school? I believe this will help support families, especially by providing working parents alternative care arrangements for children, while they are at work It was announced in the Budget that over the next 10 years, the Government will also set up a Community Capability Trust of up to $350 million to support our Social Service Agencies (SSAs) to strengthen their organisational capabilities and enhance their levels of service provision.[+4 sentences] This is part of the overall effort to transform the social services sector so that the SSAs can better meet the complex needs of our evolving society, especially when Singapore is experiencing a rapidly ageing population. I believe that this is a step in the right direction towards building a more caring society. We also need to constantly encourage and incentivise our companies to employ people who are differently-abled. An example of one such company is Foreword Coffee that employs people with special needs as their baristas and cashiers or fast-food restaurants that hire differently-abled individuals as wait staff and service staff. As announced in the Budget, the Enabling Employment Credit (EEC) will replace existing schemes to support the employment of differently-abled individuals by providing wage offsets for employers.[+11 sentences] Can we further incentivise companies to employ differently-abled individuals by providing more direct incentives to these companies, perhaps in the form of tax rebates? I believe these direct incentives will provide a strong impetus for companies to offer fair and equal employment opportunities to everyone. Mr Speaker, Sir, the theme of a caring society is a significant and powerful one. Indeed, the COVID-19 situation, though challenging, has brought out and continues to bring out some of the best behaviour from Singaporeans from all walks of life as Singaporeans and local communities have come forward to support their fellow citizens. Some have left masks and sanitisers at lift landings for their fellow residents. Others have come forward to organise food delivery and even social programmes for those who are under quarantine or those who have to stay at home. Many Singaporeans have also extended similar courtesies not only to their fellow countrymen, but also to the foreigners in our midst. Non-government organisations have come forward to distribute masks and sanitisers to migrant workers, to educate them on proper hygiene to prevent the spread of COVID-19 among the migrant communities, and some have even raised funds for those who need it. These are examples of the indomitable spirit and resilience of our people. So, instead of sharing pictures of empty shelves at supermarkets or showing videos of residential storerooms that are stacked with hoarded goods, let us showcase more positive examples of how Singaporeans and Singaporean residents have rallied together to weather through this storm as one people. Mr Speaker, in many ways, this is a Budget for everyone and every segment of the society. More importantly, this is a Budget to help Singapore get through the economic uncertainties during COVID-19 and to ensure that we emerge stronger from this entire episode. The current Budget demonstrates the decisiveness of the Government and its commitment to Singapore and Singaporeans as it has acted quickly and decisively to come up with a budget to deal with the many challenges that have arisen due to COVID-19.[+1 sentence] I am thus confident that this Budget is well-designed for such extraordinary times and end my speech in support of the Budget.
Mr Speaker3 words
[+1 sentence]Ms Rahayu Mahzam.
Ms Rahayu Mahzam (Jurong)1610 words
[+7 sentences]Mr Speaker, the Budget reflects the Government's priorities and directions for the country. It has to be visionary to prepare our economy and people for the future, but yet also address immediate needs. To me, the Budget is also an opportunity to nudge behaviours and shape norms. The Government's schemes and policies send an important signal on key issues and should encourage efforts that make Singapore better as a nation. For example, the support given to firms to train and redesign jobs for workers would hopefully translate to businesses and a workforce that is more productive and future-ready. Incentives for energy-efficient appliances or cleaner energy products should encourage better adoption of such products and, in the long run, create a greener Singapore. Support for employers to hire Singaporean persons with disabilities (PwDs) should encourage more to be inclusive and allow more space for PwDs to participate and contribute to the economy. I am always keen to see the initiatives in the Budget that will help shape our values as a people.[+1 sentence] I am happy to note that the Government is building on the efforts from previous years to build a caring and inclusive society. This year, the Government introduced the EEC to provide stronger support for employers of PwDs. The intent is to provide help for PwDs to find employment and remain in the workforce. To me, this is important as it is a signal to be inclusive and normalise PwDs' participation in our society.[+6 sentences] In recent years, I have had the great privilege of engaging with family members and caregivers of people with different abilities. There is a whole range of disabilities, including intellectual and physical disabilities, and PwDs come from a broad spectrum of age groups, from infants to the elderly. In my speech in 2018 on the Motion in support of inclusive education, I shared some of the challenges faced by parents of children with disabilities and called for more support for these families. Last year, as part of the People's Action Party Women's Wing paper on supporting parenthood and families, my colleagues and I engaged many parents to hear their views on the support needed. Dr Intan Azura, Miss Cheryl Chan and I had carried out an online survey to get a sensing of the needs of these families and we also held a dialogue to hear their stories. We had to summarise much of the information we received to fit the paper, but we shared our insights with the relevant Ministries after the paper was finalised. Through this experience, we have found that: firstly, there is still a lack of awareness of the different types of support available for families with children with different needs.[+10 sentences] Secondly, there are specific circumstances in each family and thus the support extended needs to be more customised to be more meaningful. Some families, for example, may have more than one child with special needs and may need more support. Thirdly, the infrastructure and services available need to be more pervasive and accessible to families. Facilities, like playgrounds, should ideally be equipped for children with different abilities. We may have a few of such inclusive playgrounds but only in certain parts of Singapore. We also have a hub at Enabling Village in Bukit Merah where parents and caregivers could get assistance with some services. There is also a Caregivers' Pod in the village meant for caregivers' use. However, those living in the east or north of Singapore may find it to be too far from them and are not able to benefit from the support and facilities available. Much have been done in the sector, through the Enabling Masterplans, various policies and schemes as well as through the formation of workgroups to review the support to address different aspects of disabilities. However, there is still some way to go in closing the gaps to better support PwDs and their families. More significantly, one theme that repeatedly comes up from the feedback from parents and family members is the need to build a culture of care and compassion towards PwDs.[+14 sentences] Parents, especially, worry about the world they would be leaving their differently-abled children in when they pass away. Could their children be meaningfully integrated within the community and be given opportunities like others? Will the society be kind, patient and understanding of their child's needs? Will they be taken advantage of? Will someone stand up for their rights? There is, therefore, a fervent hope that the Government continues to make effort to create awareness, build infrastructure and implement policies that would normalise inclusiveness and allow for people with different needs and abilities to be truly embraced as part of the community. This may sound like a lofty ideal to some, but not one which we should shy away from. We need to constantly and relentlessly participate in such efforts and seek partners from amongst the community. In seeking partners for causes that matter to humanity, I have found hope in the youths. I feel that the youths of today are very accepting of differences and have a strong sense of social fairness. Over the years, I have continued to be involved in the youth sector efforts, especially through my engagements under M3, the collaboration among the People's Association Malay Activity Executive Committees Council (MESRA), the Council for the Education of Muslim Children (MENDAKI) and the Islamic Religious Council of Singapore (MUIS), and as a council member of the National Youth Council. In my dialogues and discussions with young people, many of them have shown much desire for a more inclusive, more compassionate society. I am very heartened by their passion and I feel that it is so important to continue to engage them and seek their views as we build this nation. In this regard, I laud the Government's efforts through the Ministry of Culture, Community and Youth (MCCY) and the National Youth Council (NYC) to meaningfully engage our young people. Now more than ever, young people are given opportunities and are empowered to make the change they want to see. There are many support mechanisms, for example, through the National Youth Fund, the SG Youth Action Plan and NYC's Young Changemakers Programme, which not only provide monetary grants but connect youths with mentors and like-minded peers to help implement ground-up projects. Aside from providing support to youths for their causes and to carry out their projects, it is also important to support them to achieve their aspirations. I note the provision in the Budget to ready our youths for various opportunities by providing more overseas exposure.[+2 sentences] This is very welcomed. I am hoping that many youths from different backgrounds can take up this opportunity. We should also continue to build on the efforts to support youths through empowerment and mentoring programmes. I oversee the youth engagement efforts under M3 and one of the key initiatives is to create a culture of mentoring within the community so that the Malay/Muslim youths have somewhere to turn to for guidance as they navigate through challenges and choices in life. There are also resources like the MENDAKI Future-Ready Toolkit and the M3 Resource Directory which are available online for youths to refer to for information on various matters.[+8 sentences] Mr Speaker, at this juncture, allow me to continue my speech in Malay. (In Malay): It is very important for us to continue engaging and supporting our youths because they are the next generation who will inherit our nation. We must empower them and help them achieve their aspirations. I oversee the third workgroup under M3 related to youth matters, and one of the focus areas in our current projects is the development of a culture of mentoring within our community, so that our young can receive guidance and knowledge from those who are more experienced. This will hopefully help our youths grow their confidence and seize any available opportunity so that they can continue to progress. At the same time, we also encourage our youths to get involved and give back to society, regardless of race, religion or background. I hope that our community will continue supporting this effort and we can achieve our objective to develop youths who are highly competent, competitive, confident and show concern towards the people around them. (In English): Indeed, the efforts to empower, mentor and engage youths should continue. We should involve young people in discussion of key issues and policies and find opportunities to work with them to create positive social norms within the community. There should, therefore, be an appropriate budget allocated for these efforts as well as provision of the necessary platforms for them to implement their ideas and work with people from different ages and backgrounds.[+8 sentences] I believe that if we work together, we can harness our diverse strengths and bring Singapore to greater heights. It is akin to what we see here in Parliament. The Budget season is one of the more exciting periods for the House. The House is abuzz with anecdotes, findings and information about a myriad of issues. Members of this House pour our hearts and souls to the issues we champion because they matter to us, to the people we represent. I have seen the views that we raise in Parliament make their way to the formation of policies and I trust this will continue to be how the Singapore Government improves and builds on its framework for the future. This Budget is aptly named Our Unity Budget as we stand together, united by our desire to make Singapore stronger and better for generations to come. Mr Speaker, I stand in support of the Budget.
Mr Speaker4 words
[+1 sentence]Mr Lim Biow Chuan.
Mr Lim Biow Chuan (Mountbatten)1246 words
[+5 sentences]Mr Speaker, I support the Budget Statement by the Finance Minister. The past year has been a challenging year for many Singaporeans. Many businessmen whom I had spoken to lament about the slowdown in their business due to the ongoing trade war between China and the US. They worry whether their business will be able to sustain in the long term. When the COVID-19 virus outbreak hit Singapore, it was an even greater blow to these businesses. The Ministry of Trade and Industry (MTI) reduced its projected growth rate to a lower range of -0.5% to 1.5% for 2020.[+4 sentences] The drop in tourist figures, the fact that more Singaporeans are staying at home have affected the confidence of many. Thus, the expansionary Budget announced by the Deputy Prime Minister and Finance Minister last week is a real confidence booster. As stated by many in the media, the Budget was generous and provided for several measures to help affected Singaporeans and businesses cope with the economic slowdown. There were also many long-term measures to help affected Singaporeans prepare for the future. Individually, many Singaporeans are happy with the Care and Support Package of $1.6 billion because it puts money directly into their pockets.[+11 sentences] This will help alleviate the cost of living pressures for the residents. I support the principle that those who are in the lower-income group should receive more. I am also glad that the cash component of the Care and Support scheme is pegged to their income and not tied to the property type of the Singaporean. Last year, I had called on the Government to do away with distribution of Budget benefits based on home type alone. I believe this will benefit many retirees or seniors who are living in private properties but without any income. So, my appeal to the Government is to consider extending other benefits like the U-save vouchers and GST vouchers to retirees or seniors without income but staying in private properties. Again, here I wish to stress to the Minister that these retirees would not have income. The fact that they stay in private property does not in any way mean that they are rich or are able to sustain themselves. What they are looking for is also whether the Government can do more to recognise them for their contribution to nation-building when they were younger. Sir, I also support the measures to help keep our workers employed. For many Singaporeans whom I meet, their main concern is whether they can get a good job which pays them commensurate with their skills and experience. Most workers prefer not to be on any form of welfare. Hence, the Jobs Support Scheme (JSS), the Wage Credit Scheme, the corporate tax rebate and the rental waivers for some of the tenants would help businesses to survive the economic slowdown and allow them to retain their staff. I am also pleased that the Finance Minister had remembered the hawkers in the food centres and markets.[+18 sentences] The majority of such stall licensees are small businesses and the rental waiver for them would go a long way to helping them sustain their small businesses during such trying times when the food centres are quieter and business has dropped drastically for them. However, in the long term, what is important is not just cash handouts to affected Singaporeans or tax rebates to help businesses tide over difficult times. These payments cannot be permanent and moneys will eventually run out some day. Thus, I support the Government's emphasis on helping business to transform and grow; to help our workers to upgrade and learn new skills; to help our students venture overseas so as to be better equipped to face challenges in the future. This is akin to the old Chinese saying that if "you give a man one fish, you feed him for a day. If you teach him how to fish, you feed him for a lifetime." We must not ease our efforts in pushing our local enterprises to change and grow into efficient and competitive businesses that can make Singapore proud. I long for the day when Singapore can boast of our own large corporations like Alibaba, Samsung, Apple and Google. Sir, I have three points for the Government's consideration. I support the provision of Enhanced Housing Grant (EHG) to first-time flat buyers. The purpose of EHG is to allow Singaporeans to own their own home and this is important for nation-building. However, the quantum of EHG given is currently based on the monthly income of the flat buyer. If the applicant’s income is higher, the EHG will be lower. This means there is less incentive to buy a resale flat because you will get a lower EHG if your income is higher. This may result in Singaporeans with higher income always applying for a Build-To-Order flat where the subsidy will not change based on their income level. I urge the Government to review the tagging of the amount of EHG based on the income of the applicant. I also urge the Government to consider providing the EHG based on per capita basis and not just based on gross income. Otherwise, a Singaporean who may have a higher income will get less EHG even though he may have more expenses and need to provide for more children or retired parents. Next, I appreciate the intent of the Government to help Singaporeans stay employable and to use the SkillsFuture Credit to learn new skills. However, may I ask the Finance Minister how many Singaporeans have not used the 2016 SkillsFuture Credit of $500?[+2 sentences] Are the unutilised figures within the expectation of the Government? Will the Government consider targeted useful courses that would help nudge Singaporeans to apply to use these funds to improve themselves to upgrade their skills? Otherwise, the 2016 and now the 2020 SkillsFuture Credit may remain untouched for a long period of time.[+1 sentence] Finally, in this year’s Budget, the expenditure on healthcare has jumped to $13.4 billion. It now accounts for the second largest expenditure of the Government's Budget, just before Defence.[+2 sentences] And it used to be Education when the Minister for Finance was Minister for Education. I acknowledge that healthcare costs have gone up and the recent COVID-19 outbreak has caused Singaporeans to be more aware of the need to ensure that our healthcare system works. Although the Minister has assured us that the GST hike will not take place next year, the reality is that healthcare costs will continue to rise. The Government needs to decide how to apportion the taxes which is collected and what resources to allocate into Healthcare, compared to Defence, Education, Housing and Transport.[+1 sentence] Nobody likes a tax hike. But Singaporeans must understand that increased spending on healthcare must come from somewhere. I urge the Government to reach out to more Singaporeans to help them learn about the GST offset packages which are intended to help the lower-income cope with the GST eventual increase. Overall, I am of the view that this is a good Budget to take care of affected Singaporeans and to prepare the country for the future. It shows that the Government deeply cares for its citizens and the deferment of the GST increase is a clear signal that the Government is responsive to feedback from the citizens.[+1 sentence] Mr Speaker, I affirm my support for the Budget and wish to thank the Finance Minister for an excellent Budget that seeks to bring Singaporeans together.
Mr Speaker4 words
[+1 sentence]Mr Chong Kee Hiong.
Mr Chong Kee Hiong (Bishan-Toa Payoh)1167 words
[+1 sentence]Mr Speaker, Sir, I am heartened that the 2020 Budget has been carefully calibrated to cater to the COVID-19 situation which has had an unexpected but swift and severe impact on our economy and society. This is a big, bold Budget which comes at the price of a $10.9 billion deficit, responding to the need for help by Singaporean households and businesses.[+1 sentence] This crisis has shown the importance and relevance of our Government's tradition of prudence. With an accumulated surplus of $18.7 billion over this current term of office, there remains a war chest of $7.8 billion, which is very reassuring.[+5 sentences] We should be prepared for a protracted outbreak as the situation is still evolving with growing cases reported globally. The solution does not lie in just successful containment in Singapore. It is a global effort by all countries to find a solution, as indicated by the World Health Organization (WHO). Should the COVID-19 outbreak become more prolonged and have an even greater impact on households and companies than what is currently experienced, we believe that the Government would draw upon the surplus funds to finance further measures to help. I would first like to touch on support measures. The Government's Care and Support Package will go some way to provide relief to individuals who have experienced income disruptions due to the impact of COVID-19 on businesses.[+12 sentences] The combination of cash, rebates and grocery vouchers will help households to manage their living expenses for a period of time. For Singaporeans living in 1-room and 2-room HDB flats, the $100 Groceries Vouchers provided to assist them are limited for use at participating supermarkets. May I ask whether the Ministry would consider allowing them to be used at provision shops or even markets? This will also be a way of supporting small businesses in our housing estates. I welcome the widening of qualifying criteria for the $100 cash support to citizens who earned more than $100,000 in 2019 or who live in private properties. This recognises that the COVID-19 situation is a challenge that all Singaporeans are facing and may be affected in one way or another regardless of their income level. It would be good if the Ministry would share how it arrived at the various financial assistance figures. This will help to illustrate the intended impact of the financial assistance and also the timeliness of the payouts. Deputy Prime Minister Heng Swee Keat has said that the Government "…will be prepared to do more when the situation warrants it". Has the Ministry also set for itself some indicators internally to decide on when further assistance would be rendered should the outbreak crisis deepen? In such a scenario, the cost of certain essential goods may increase, as disruptions in supply chains may create shortages in supply. Singaporeans may then suffer the double whammy of lower or even loss of income, and a higher cost of living. Under JSS, employers will receive the 8% cash grant on the wages of local employees for the months of October to December 2019.[+7 sentences] What about businesses that started operating this year which are also affected by COVID-19? Would the Government consider helping them as well? In addition, may I request for the grants to be given out earlier, especially for smaller businesses which operate on tight cash flows and are already severely impacted? I would like to urge the Minister to review if the current reliefs are sufficient to prevent the loss of jobs, particularly in the retail and F&B sectors. With the decline in sales, operators will immediately look at cost-cutting. Operating hours will be shortened, the number of part-timers hired will be reduced, full-time staff will be placed on part-time shifts and asked to clear their leave or take no-pay leave. In the event of a prolonged crisis, what can be done to support businesses so that job losses are kept to a minimum? Feedback from various businesses indicated that the rent rebates of one month for National Environment Agency (NEA) hawker centres and markets, and half month for commercial tenants in Government-managed properties are insufficient as they expect that the situation will take at least till the second half of the year before it returns to normal.[+13 sentences] It is good for the Government to elaborate on the working assumption of the timeframe for these rebates. If the rebates are meant to cover serious business earnings loss for February to April, one or half-month rental rebates put in this context does seem reasonable. However, businesses seek the assurance that more help would be available if the situation prolongs or deteriorates further. I would also like to request for more support to be given to companies embarking or expanding their sales via e-channels. This crisis provides the impetus to push small and medium enterprises (SMEs) which have been reluctant to consider this sales avenue. With the current cost structure and labour situation, it is inevitable that e-commerce would become the norm and form an essential part of any business. Next, I would like to touch on positioning for the longer term. This Budget, like previous Budgets, have schemes to support the transformation of our local enterprises. Many of these incentives have a preset time period, for example, three years, or are subject to renewals or extensions. Companies change and transform at different paces, depending on the maturity of the industry and support available, especially for smaller ones. To encourage companies to plan ahead and remain continuously invested in the future, would the Government consider setting longer-term horizons for selected incentives? For example, when Pioneer Tax Incentives were first introduced, longer durations, up to 15 years, were given. As we continue on the digital transformation of our economy, more support would be needed to help smaller companies adopt new technology, not only with respect to the technical aspects but also with the costs. Perhaps tax incentives for the telecommunications or selected sectors can be provided so that they can lower the fees for the ecosystem to promote adoption and switchovers. Closer cooperation between MOM and institutes of higher learning (IHLs) will be necessary to ensure that the SkillsFuture courses are of high quality and are relevant to industry to support our economy’s transformation. The course materials, modes of instruction, quality of instructors, just to name a few, should be constantly reviewed and audited to ensure that they are up to par. The courses could also be broken down into mobile modular sections for the workers to learn on the go and achieve accreditation over time.[+3 sentences] Mr Speaker, Sir, while we are now facing an intimidating combination of challenges which include a global health concern, economic transformations and geopolitical tensions, I remain optimistic that we will be able to emerge from this victorious and become even more competitive and nimble. The trust among our people, our businesses and the Government is strong and that is the main reason for my belief. I would like to conclude with my hearty support for the Budget.
Mr Speaker3 words
[+1 sentence]Mr Alex Yam.
Mr Alex Yam (Marsiling-Yew Tee)1827 words
[+21 sentences]Mr Speaker, this is a responsive, responsible and remarkable Budget. Responsive because it addresses an immediate crisis, responsible because it remains fiscally sound, and remarkable because it took all of a few weeks to prepare. This is a Budget for extraordinary times. That we are facing potential global financial instability is moot. What we face is not just an invisible enemy but also the real visible damage it causes to the economy. Last Sunday, I stopped by Marina Square at about 1.20 pm between my events. I wanted to pick up some things from a maternity shop. I was somewhat apprehensive because I knew how crowded Marina Square can be on weekends. Yet, I entered a car park that was sparse. From the car park to the shop, I consciously counted a total of only 38 shoppers. At one of the empty children's playgrounds in the shopping centre, I saw the counter staff staring blankly into space because there was never one shadow of a child within the space. At Jewel, outlets famous for their long queues were momentarily famous for non-existent queues. Although the crowds and confidence have returned in the last week, the damage has been done. Heartland malls have fared a little bit better but still report lower numbers than usual. People are taking precautions. Food and grocery delivery services perhaps have benefited most from this crisis. But tourism and service sectors hit directly will take time to recover. This is also no longer a regional problem. It is not a regional illness anymore. It has global reach. A responsive expansionary Budget is a needed assurance. The $5.6 billion Stabilisation and Support Package, even if adjusted for inflation, far outstrips the $230 million SARS package in 2003.[+1 sentence] This is not just for business but for Singaporeans. The $1.6 billion Care and Support Package not only provides a leg up but also goes towards, hopefully, stimulating the economy through spending.[+5 sentences] There are not many governments that can do this and do this quickly, and be so detailed in its response to a crisis. Yet, questions remain. One, is it enough? Two, can we do more? And three, when will we do more? MTI has downgraded the 2020 economic growth forecast, projected between -0.5% and 1.5% on the impact of COVID-19, just slightly better than Hong Kong’s projected -1.5% to 0.5%. According to Standard and Poor's (S&P) Dow Jones, the S&P 500 has wiped out $2.138 trillion since last Wednesday with $1.737 trillion or 63% loss in two days of trade since the start of the week.[+12 sentences] And this is just on fear of COVID-19 impacting the American economy. We need, therefore, to buffer ourselves against a potential recession. The two packages are significant, but how much will the needle move? How much does the Government expect the worst downside to be? Are we able and prepared to do more? Can we still be as responsive as we are currently? People are worried for their livelihoods. They have taken to heart what this Budget has provided. But it may take more than care, support and stabilisation to shore up, if this drags on. During the Ministerial Statement on COVID-19, I asked if more can be done quicker. I am heartened by the Budget announcements but urge more haste and more heart for those who are affected. And I hope the Deputy Prime Minister can provide further reassurance on this. While we need to be responsive, we also need to be responsible. We expect to run an overall Budget deficit of $10.95 billion.[+35 sentences] This is about 2.1% of our gross domestic product (GDP). Yet, our fiscal prudence means we will not be drawing on Past Reserves. This is a hallmark of stability and a responsible Government. There are not many governments that can do this. We only need to look around us and observe how things can go wrong. Getting our politics right is key. Looking north in the last few days, we are lucky to be spared the intrigue and drama in our system. Perhaps we should be thankful to the late Tengku Abdul Rahman that we are no longer party to this. We wish our northern neighbour well but we also wish that such distractions may never plague us. In fact, despite the major interruption posed by COVID-19, we have not allowed ourselves to be distracted. While responding to the crisis decisively, this Government has also not shifted focus. With an eye on the future, SkillsFuture prepares us as a people for future challenges, gives us both the resources and also encourages personal responsibility. However, we also need to be mindful of how we implement the schemes. I heard feedback from SkillsFuture Workforce Skills Qualifications (WSQ) course providers of the challenges they face in claims, especially when participants do not complete or fail their course. Many end up not being able to pay and providers cannot claim. Some providers have also been told that if a trainee does not complete, they should factor the trainees as part of attrition or bad debts to be written off. We are all in this together. Honest course providers commit resources to develop and maintain these courses and hope to be reimbursed in a timely manner. I hope that while we care for our workers and help them upgrade, that course providers, being mostly SMEs, are also aptly protected for playing their part and not to be left without recourse or assistance. Beyond the short to mid term, the Budget also looks far ahead to an existential threat brought about by global warming. The problem is not immediate, but committing an initial $5 billion to Coastal Protection does show our commitment. Mr Speaker, being responsible also means telling the hard truth, even if sometimes unpalatable. Yesterday, it was said in this House that, "If you have nothing good to say, then best to keep quiet." That, Mr Speaker, is the easy thing to do. It is easy to only say nice things. It is easy not to have to make hard decisions. It is easy to be popular and likeable. But being a good and effective leader is not easy. The difficult task is to tell it like it is. The difficult task is sacrificing personal standing to say the needful. And the difficult task is calling out bad behaviour when required. This Government knows that hard truths hurt but does not shy away from it. Without these hard truths and hard decisions, Singapore would not be where it is today. That, to me, is the mark of true leadership and wisdom. When someone takes his or her duty seriously to make hard decisions, that is true responsibility. Credit is due to the Deputy Prime Minister and the Ministry of Finance (MOF) team as well as the other Ministries for being able to respond to this crisis so rapidly.[+2 sentences] This Budget would have been a long process. But to turn it around in face of a crisis takes mettle. It is, therefore, remarkable because it is responsive. It is also remarkable because it remains responsible.[+9 sentences] A government that can respond to trouble and not fall to the temptation of being populist in the process, all this is because we also have a remarkable people and a remarkable country. Our common response to COVID-19 is mirrored in the Budget. When DORSCON Orange was declared, many banded together to do something for the community. We have heard many examples over the course of the many speeches in this House. My own volunteers in my constituency asked what we could do to encourage our frontline heroes. In three days, we managed to pull together a programme which we called "Cookies for SG Heroes". We started off wanting to bake cookies and progressed to preparing care packs for the staff of Tan Tock Seng Hospital and Ng Teng Fong General Hospital. Within hours of putting the word out, the Girl Guides responded, donating their famous biscuit tins, Hock Hua Tonic responded offering their herbal tea at cost, the Singapore Kindness Movement responded providing encouragement decals, Gain City came on board offering the use of their show kitchens, residents, Singaporeans responded. By the morning, we had so much that we needed bigger bags to pack the care bags. A total of 136 residents came together and we baked close to 11,000 cookies that day.[+24 sentences] The feeling was moving. One of our baking coordinators, Pey Yng, was interviewed for a video. She had moved out of our constituency a few years earlier but responded immediately when we asked for help. When asked why she wanted to help and stepped forward, she said, almost tearing, "Instead of discriminating, we should be encouraging them." Mr Speaker, these frontline heroes include our medical staff, allied healthcare workers, cleaners, conservancy workers, security personnel, back office staff and many, many others. These are our fellow Singaporeans, our brothers and sisters. We are battling a stealthy enemy that does not discriminate. Yet, a small minority do. Yesterday, a former colleague of mine shared his wife’s experience. She works in the frontline and she was helping with contact tracing and temperature taking. Yet, someone felt that, even amidst the heightened alert, that he was entitled to take it out on her and her colleagues, throwing the pen at her and shouting at her colleagues. Because? Actually, there is no need for a because. Another resident confided in me, sending me a Facebook message. I asked for her permission to share this with everyone. She wrote: "Sir, I do not know why people treat us like this. Why is my uniform, which I aspired to and was inspired by others to don, now deemed as a mark of shame? Why do people stand away from me even when I am on the way to work, and not the other way around? Why do people look at me with a glint of horror? Have I committed a crime? It hurts. But I will keep doing what I love. I will keep on saving lives because many Singaporeans are not like them. And when those who shun us arrive in my hospital, I will care for them just the same as the others. With love, respect and to the best of my ability because, just like the Nurse's Pledge I took, I will uphold my integrity.” Mr Speaker, when this crisis comes to pass, when we get back to normalcy, I ask that we commit ourselves to doing something meaningful to recognise our frontline workers.[+1 sentence] Let us do right by them. Give them back the dignity they deserve and, in the process, earn on behalf of all Singaporeans the forgiveness we all need for shunning them.[+3 sentences] We salute you, our brothers and sisters. Mr Speaker, I apologise for the lengthiness of my speech because there is a lot of good to say about this Budget. I, therefore, add my voice in support of this Budget.
Mr Speaker5 words
[+1 sentence]Er Dr Lee Bee Wah.
Er Dr Lee Bee Wah (Nee Soon)1669 words
[+13 sentences]Mr Speaker, Sir, I congratulate our Finance Minister for presenting this very caring and heart-warming Budget which will take us through the difficult circumstances caused by COVID-19. It is like a very much needed vaccine to support our economy, especially the badly affected sectors, and also to protect jobs for our people. Having said that, I would like to raise a few pointers for the Minister to consider. In Mandarin, please. (In Mandarin): Currently, many people are concerned about the impact on the economy brought about by COVID-19. Employers are worried that they are unable to carry on with their businesses. Employees are worried about their job security. I would like to thank the Government for providing a half to one month’s of rental rebate to hawker centres and Government-managed commercial tenants. If the outbreak continues, is this enough? Will the Government introduce more measures? For example, will the Government reduce the rental until the DORSCON level returns to Green? JTC or HDB, for example, can take the lead to reduce rentals of their commercial tenants and office spaces. I believe this will be able to reduce the impact brought about by the outbreak. Of the $4 billion assistance, how much will be used to help SMEs? How can we make sure that landlords will share the savings with the SMEs?[+5 sentences] Besides tourism-related sectors, many other industries, such as manufacturing, maritime and construction, are also affected severely due to various extra expenditures and the fact that China's manufacturing industry has come to a standstill. They asked if the foreign workers' levy could be temporarily waived. Why is everybody looking to the Government for help in times like these? The outbreak has no mercy, but there is warmth in the world. Have faith in our Government, which is a caring Government. (In Malay): I have also received feedback from several Grab and Gojek drivers who said that they are not eligible for the support package for full-time drivers, because they do not meet the minimum number of trips made due to reduced demand within that period, Will the Minister be able to take a look at this group?[+23 sentences] I would also like to urge taxi companies to consider reducing the taxi rental rates until the DORSCON level returns to Green. Many taxi drivers have shared with me that their income has dipped by 50%. A reduction of the monthly taxi rental rate by 50% will help them get through this difficult period. (In English): Mr Speaker, I will now move on to climate change. Are we exploring our full potential for photovoltaic (PV) systems? A PV system employs solar modules, each comprising a number of solar cells, which generate electrical power. Are we ready to allow Town Councils to install PV panels on roofs and vertical areas, such as lift shafts? A case in point is MPC@Khatib, our covered multi-purpose court that can accommodate four basketball courts. During its design, we enquired if PV panels could be installed to harvest the solar energy. As usual, I always explore ways to make Nee Soon South cleaner and greener. Unfortunately, the answer from HDB then was no. Maybe at that time, they were not ready. So, I would like to urge them to review this. Many residents welcome the SkillsFuture top-up which is very useful. I urge the Government to monitor if course providers raise their prices as a response. I note there is a reduction in S Pass sub-dependency ratio ceilings (DRCs) for the Construction, Shipyard and Process sectors. It is good that the Government has a long-term view to reduce Singapore’s reliance on foreign labour. But if we do not have a pipeline of Singaporean labour for construction and shipyards, then cutting the DRCs might be an additional burden on companies. This could leave the companies no choice but to relocate out of Singapore, especially the shipyards. May I ask what are the plans to ensure that we continue to create good jobs for locals and have a steady pipeline of local PMETs for the Construction, Shipyard and Process sectors? In facing the COVID-19 difficulties, it is important to have the entire industry, that is, developers, contractors, consultants, subcontractors, suppliers and all stakeholders, tackle the challenges cohesively as a whole. In the same way as how the relief measures are rolled out for the hospitality and retail sectors, the same should be done for the Property and Construction sector. This sector also holds a lot of jobs and should not be neglected. Many local contractors also told me that they feel discriminated in the recent few contract awards. In the Land Transport Authority (LTA) Jurong Regional Line Projects, for example, four out of seven contracts were awarded to foreign contractors.[+2 sentences] Another example, LTA awarded contract N112 tender to a foreign contractor though our local contractor submitted the lowest tender. The lowest tenderer is an established homegrown contractor. Why pay $6 million more to a foreign contractor?[+13 sentences] I know there is such thing as PQM (Price Quality Method) scoring. But if there is a gap in the capabilities of our local contractors, then we should handhold them and nurture them. We need our homegrown contractors to grow, to build up their experience, their portfolio, so that they can venture overseas. If we do not even support our own contractors, who will support them? Can we consistently apply the policy of Buy Singapore First? New Budget measures aimed at boosting the retirement incomes and employability of seniors are a step in the right direction, but I feel we need to understand residents' needs better and get the priority right. I had seen cases where residents do not have enough money to service their mortgage loan or no roof over their heads, but they have money in the retirement accounts. To many residents, having a roof is more immediate and a more important need than providing for retirement. How can we help them? And I feel financial incentives alone may not be enough to encourage businesses to hire and retain older workers. This requires a more in-depth study. I move on to issues that residents are facing. Noise pollution from vehicle engines is a common occurrence faced by Nee Soon South residents and I am sure in many other parts of Singapore, too. If I may refer to a Swedish report published in 2009, which found people who were regularly exposed to traffic noise in excess of 50 decibels were 40% more likely to suffer a heart attack than those who lived in quieter neighbourhoods.[+2 sentences] So, the implication is that besides the noise nuisance, they also create health issues and a cost to society. There are technologies used in other countries. The UK use Automatic Number Plate Recognition (ANPR) tech to dish out fines to drivers over excessive noise. Calgary, a city in Canada, is using Sound Camera and fines motorists with excessively loud vehicles. Similarly, Abu Dhabi Police have invented a noise-measuring camera which will help officers take action against abnormally loud cars.[+9 sentences] There are also intelligent speed bumps that flatten when you are driving within speed limit. Is Singapore exploring some of these new technologies? Any Budget allocated for these? And will there be more stringent action against car workshops which do illegal modification to the motorcycles and cars? Town Councils are essential in improving the environment of HDB residents. But often, Town Councils are hampered by regulations. For example, Nee Soon Town Council has been flying drones for its estate inspection. But due to the regulations, our drone inspection could only be carried out during weekends. Can these regulations be relaxed? Another example, some Town Councils have been asking the HDB since January 2018 to allow Town Councils to procure our goods and services online.[+20 sentences] Currently, the Government is on the Government Electronic Business System (GeBIZ), but Town Councils are not allowed to make use of GeBIZ for procurement. There are e-procurement platforms that we could adopt. But HDB has not come back to us on our request. Can we get some timeline for this? Also, can I ask the Ministry of National Development to consider providing additional grants to Town Councils for older flats or flats built for the silver generation for the maintenance of silver-friendly facilities, such as the Alarm Alert System? Such systems and others are expensive to maintain. I am happy to hear that Home Improvement Programme (HIP) II is being implemented. On this note, I would like to request for those flats in Nee Soon South which were built in 1987 to be among the first few batches. My residents have been waiting for the programme for a long, long time. Mr Speaker, Sir, despite the issues I have raised, I want to put my speech within the right context. I fully appreciate the Deputy Prime Minister's thoughtfulness and insightfulness to swiftly get into the thick of things, given that this COVID-19 only came to attention in January. He was able to adroitly dribble his way and roll out so many measures across so many fronts. He was able to assess the impact on our economy and the ramifications globally, and work out the packages, without forgetting the packages for our seniors and for families. And while doing all these, the coronavirus was still evolving. No one knows how severe it would pan out. Even as we gather here today to debate, the virus is rearing its ugly head in many places worldwide. I think it is very fitting that we assure the Deputy Prime Minister that we stand behind him and he is not alone. Perhaps, my thoughts would be best expressed by quoting the lyrics from the Liverpool Football Club song: "When you are walking through a storm, hold your head up high. Don't be afraid of the dark because, at the end of the storm, there's a golden sky." Mr Speaker, I would not sing, I cannot and I do not want!
Mr Speaker4 words
[+1 sentence]Thank you very much.
Er Dr Lee Bee Wah45 words
And I do not want to empty this House. But I will say this to the Deputy Prime Minister: "Walk on, walk on With hope in your heart And you'll never walk alone You'll never walk alone." Mr Speaker, Sir, I support the Budget.
Mr Speaker34 words
[+3 sentences]I was about to say that the HIP II flats should come to Kembangan-Chai Chee first, before Nee Soon. But because you quoted that song, I will let you go first. Mr Terence Ho.
Mr Terence Ho Wee San (Nominated Member)1548 words
[+28 sentences]Speaker, Sir, the arts have always played an important role in defining our nation's cultural identity in Singapore. The arts bring diverse communities together. For the arts to remain sustainable and accessible for all in Singapore, giving plays a vital role to allow arts to live strong, develop and grow. Amid the evolving coronavirus COVID-19 outbreak, the arts community brings people together, spreads love and positivity. My colleague in the Singapore Symphony Orchestra (SSO), the Chief Executive Officer (CEO) of SSO, Chng Hak-Peng, shared "three reasons why the arts in general, and classical music concerts in particular, are essential even during times of crisis for a modern and complex society like Singapore", in The Straits Times on 25 February 2020. The arts is an essential part of life. As shared by Hak-Peng, firstly, it is important to maintain an environment of normalcy as life goes on. Secondly, music feeds the soul. And it re-energises and allows audiences to breathe. Lastly, the arts help us to cope with uncertainty. Allow me to quote him in his article, "For me, this is like building our psychological resilience. The arts help you to surrender yourself to the unknown, and the beauty of a piece of art or music reinvigorates your belief that, as human beings, we have the ability to transcend today’s problems and attain greatness." The current measures to limit the spread of COVID-19 have led to a number of shows and performances being cancelled or postponed. This has spurred arts groups to consider creative alternatives, such as digital performances, to bring some comfort during this trying time. Ding Yi Music Company held a very first digital concert Together We Stand with local artistes, and our Minister for Community, Youth and Sports Grace Fu sang in the finale piece. It was a touching and inspiring piece to battle COVID-19. Prime Minister Lee also shared a special music video of "Home", performed by the Singapore Chinese Orchestra (SCO) in tribute to our healthcare and frontline workers, on both his Facebook page and Instagram. In his post, he mentioned that he was glad the arts community is doing its part to rally Singaporeans during the outbreak, including the National Arts Council. They produced a very interesting and inspiring video called "#StayStrong and #DontKancheong" video, which involved many local artists and they shared what they have been up to and what they have to say to Singapore. Other than tapping on online platforms and social media, some arts groups and individuals continue to perform and bring the audiences some encouragement and positivity. When a group of people see others appear calm and able to appreciate the arts, it reinforces a sense of peace and chill in the community. This is more positive and encouraging than seeing one another rushing to buy daily necessities like rice and toilet paper and develop a sense of panic. Just over the weekend, SSO organised two full-house concerts at The Esplanade. Just last evening, two young gentlemen – Wong Qin Kai and Goh Shunta – held a recital, "The Erhu Works" which I had the honour of attending; I was there at the performance. This is the flyer. And it was almost full house, even during this trying period. I hope such examples will inspire more to come forward to build a more caring, cohesive and confident society, together. Giving to the arts and culture has been significant in the past few years. For instance, Deputy Prime Minister Heng Swee Keat shared that the Government will set aside $250 million to boost efforts to partner the community in projects during the recent Budget announcement. This includes the $20 million that will be used to top up the Our Singapore Fund (OSF), which supports projects in the social and community domains initiated by citizens. The Fund will also be extended for five more years from this year.[+1 sentence] I am heartened by the news and I thank the Government for putting aside this sum of money to boost community partnership and efforts, to bring forth more opportunities for all and to empower the arts. Since OSF was announced in Budget 2016, I understand that it has committed nearly $4.3 million to more than 240 ground-up projects in areas ranging from heritage to sports.[+7 sentences] This Fund continues to help create access and opportunities to arts of different forms and engage Singaporeans of all ages. The arts build a more cohesive society and I wonder how this Fund can be further extended to help arts and culture companies and enterprises to bring more Singaporeans together, groom and grow attendance and participation for the arts. The COVID-19 outbreak has also an impact on the worldwide economy. Economists believe that the growth of the economy has slowed down and, in the case of a downturn, it would have an impact on arts giving and sponsorship. I believe that a more targeted and well-defined Cultural Matching Fund (CMF) policy can help small, medium arts groups in Singapore to enjoy the benefits. To battle the economic downturn, I propose to review and reconsider CMF. This could be a long-term measure, instead of a short-term or mid-term measure. Perhaps, the Ministry can consider matching not only for funds raised, but also for earned income, such as the ticket proceeds.[+22 sentences] This would help many of the smaller-scale arts groups with less fundraising power to be able to tap on the matching fund. I will share more during the COS debate. Mr Speaker, Sir, in Mandarin. (In Mandarin): Arts have always played an important role in defining Singaporeans' cultural identity. With the increasing number of artists and people involved in arts groups in Singapore and a vibrant arts sector, every Singaporean is able to enjoy the arts. The COVID-19 outbreak has sparked worldwide concern and impacted public life. With the DORSCON outbreak alert level raised to Orange, many Singaporeans inevitably felt anxious. Quite a number of arts performances were also cancelled or postponed. In an attempt to uplift public spirit amidst the outbreak, local chamber music group Ding Yi Music Company held a digital concert on Valentine's Day to spread positivity to frontline healthcare workers and members of the public who are feeling uneasy. In fact, online platforms have become a channel for many arts groups which seek to be heard. The National Arts Council also launched a video with the theme "Stay Strong, Don't Kancheong" on 20 February, with many local artists joining in the video to boost the morale of Singaporeans. The video has been well-received. In addition, SCO produced a heartwarming music video in a tribute to healthcare workers battling the COVID-19 virus at the frontlines. The music video, featuring one of Singapore’s national songs "Home", was brimming with emotions. Although everybody is feeling anxious amidst the outbreak, healthcare workers braving the storm deserve special support and care from the community. The music video by SCO received a "like" from Prime Minister Lee Hsien Loong who said he was glad the arts community is doing its part to rally Singaporeans to fight the outbreak and is able to continue performing for the public by going online. The value of arts in the daily lives of Singaporeans has also been recognised. During this extraordinary period, arts groups have sought to encourage and unite the nation, as well as pay tribute to healthcare workers, through arts and music. In times of crisis, arts and culture can uplift spirits. For example, last weekend, SSO performed two sold-out concerts; two young Erhu musicians Wang Qin Kai and Wu Fu Jun also performed to a full-house audience last night. I personally attended this concert and am heartened to see the huge turnout. The music does not stop, and life must go on! In the Budget Statement announced recently, Deputy Prime Minister Heng Swee Keat shared that the Government will set aside $20 million to top up OSF and extend the fund to 2025.[+1 sentence] This is to encourage Singaporeans from a wider range of domains to initiate and launch more meaningful community projects. The Government will set aside $250 million to boost efforts involving community partnerships, with $20 million earmarked for OSF top-ups to encourage more ground-up community initiatives. The sustained development of arts groups is not only dependent on strong Government support, but also the support of companies and foundations that identify with them, as well as the active participation, sponsorship and donation of our people. I hope that the Government will consider exercising greater flexibility and adopt a more targeted approach in the administration of CMF. For example, besides providing matching funds for donations, the Government could perhaps consider providing matching funds based on proceeds from performances and ticket sales. I believe that this would help many small to medium-sized arts groups, such as the Siong Leng Musical Association, Nam Hwa Opera and Singapore Traditional Arts Centre, so that they can benefit from CMF despite limited fundraising resources.[+4 sentences] Arts knows no boundaries in terms of age and background, everyone can enjoy the arts. Arts help to build confidence, enhance one’s image and attractiveness. Looking ahead, I hope that culture and the arts will continue to bring diverse communities together and contribute to a more cohesive society. (In English): I am in support of Budget 2020.
Mr Speaker3 words
[+1 sentence]Mr Mohamad Irshad.
Mr Mohamed Irshad (Nominated Member)11 words
[+1 sentence]Mr Speaker, allow me to begin with a moment of self-reflection.
Mr Speaker6 words
[+3 sentences]Sorry. My apologies. Mr Vikram Nair.
Mr Vikram Nair (Sembawang)1246 words
[+3 sentences]Sorry to interrupt the self-reflection. Mr Speaker, I rise in support of this Budget. A government has many competing needs for expenditure and it is always a difficult exercise to allocate scarce resources to these competing needs. Singapore has, for many years, faced structural challenges that each Budget has had to address, including an ageing population, ever-increasing demands for social spending, particularly in healthcare, and a risk of falling revenues as the workforce shrinks. This year, we had an added spanner thrown into the works with the COVID-19 virus threatening lives, but which has also had a withering impact on our economy.[+17 sentences] Against this backdrop, this Budget does an excellent job of both addressing our short-term needs in relation to cushioning the economic impact of COVID-19 while continuing to invest in our people and meeting our country's long-term structural needs. I will focus on the implications of COVID-19 for us in this speech, as I believe it is an important area in which the Government can send the right signals and messages, but ultimately, the entire population needs to come together with the right mindset to weather the storm. The situation in relation to COVID-19 is rapidly evolving. Singapore has dealt with pandemics before in recent memory. These include the SARS outbreak in 2002 and the Hemagglutinin 1 and Neuraminidase 1 (H1N1) outbreak in 2009. COVID-19 appears to be less deadly than SARS but more infectious, but less infectious than H1N1. And while it has killed many people in Wuhan and China, the overall death rate appears to go down as more cases are diagnosed and we have evidence of more people making recoveries. Singapore had taken very firm measures to try and contain this, led by the Fourth-Generation (4G) team of leaders, and its efforts have won praise from many quarters. We had to develop a strategy for dealing with the virus in very short order, including developing protocols for confining those at risk, treating those who were diagnosed and, at the same time, trying to keep the economy going. Businesses were encouraged to test out Business Continuity Plans and many businesses are now experimenting with teams working remotely, and these include banks, financial institutions, law firms, including mine, and even the Courts. I have to admit I was a little sceptical at first about the need for trying out such plans, but having tried working from home, I have actually found it is quite workable and, in some respects, even more productive as you have less distractions and do not have to spend so much time travelling to and from the office. All in all, I think we can come out stronger. However, this does not detract from the very real harm that COVID-19 has done to many sectors of the economy. Air travel and tourism, in particular, have been very badly hit. Changi Airport, one of the busiest airports in the world, has been relatively quiet, including the Jewel, where I understand you can now get an A&W meal without much queuing. F&B places are not getting their usual crowds, particularly those in town, and employers and workers in these sectors are clearly worried. In this respect, the Government's measures to assist businesses are timely and send the right message. Rental is a big concern for many businesses, and the provision of rental rebates as well as property tax rebates to property owners sends a strong message that the Government is helping to buffer some of this pain.[+1 sentence] I am also heartened that many of the bigger landlords have also taken the cue and have confirmed they will be passing on these rebates to their tenants. The Wage Support Scheme helps to cushion employers from wage costs, and I hope they take the message to try and keep their employees for as long as possible.[+17 sentences] Ultimately, I hope we can come through this episode building stronger relationships with one another, whether it is with landlord, employee or customer and do not just see these relationships as transactional ones. The Budget sends the right signal, but we need everyone to work together to make it work. Mr Speaker, with your permission, I will speak in Tamil. (In Tamil): COVID-19 has created slowdowns throughout the economy. F&B, retail, transport and events-related businesses are all suffering. Workers in these businesses also face uncertainty. This Budget plays an important role in helping businesses and workers tide through this difficult period. It is important though for us to look out for one another during this time. For property owners getting tax rebates, please pass this down to your tenants. For businesses that get rental rebates and wage support, please keep your workers. If business is down, this will be a good time to go for training. For older workers, please use the additional SkillsFuture grants wisely, and go for training that may help you pick up the skills that will be helpful at work or to transition to new work. The Government can create opportunities, but you need to come forward and use them. It is my hope that we will come out of this adverse time stronger than before, like we had done during our previous challenges in 2008 during the Global Financial Crisis and in 2002 with SARS. (In English): In Singapore, we have had some good news over the last week. While in the early days, we were getting more and more news of people infected and some in critical condition, now we get more news of people being discharged. According to a Channel NewsAsia report yesterday, we now have 58 cases of people who have made full recovery. Of the 33 confirmed cases who are still in hospital, most are stable or improving although seven remain in critical condition and in intensive care.[+2 sentences] However, COVID-19 is now spreading rapidly outside our borders. Cases are now emerging all around the world, including in Europe, South America, the Middle East and the US. China’s economy has already been hit hard by the virus, with its growth forecast revised down to 4.5% in the last quarter, the lowest since the Global Financial Crisis. If this becomes a global pandemic and different countries take different measures, the economic impact could have longer-term implications for Singapore. As it is, the drop in business from China has hurt our economy and many others in the world as China is the world’s second largest economy.[+1 sentence] If other countries start closing borders or restricting business activities in response, there could be serious economic repercussions. If large numbers of businesses fail or close during this period, the implications on growth could be significant and Singapore will not be cushioned.[+2 sentences] In this respect, it will be important for our companies to be braced and prepared for the implications of significant disruptions in global trade and supply chains. In the short term, for companies that need to pay wages, bills and rentals on a monthly basis, it may appear existential, but in the long term, most analysts believe this will be a bump on the road. For workers who may lose their job during this period, please understand it is a difficult economy, but please make use of the wide range of measures available, including the SkillsFuture top-ups, to retrain and try and pick up new skills.[+2 sentences] I believe if we ride the storm together, we can come out stronger. And this Budget is a big help in that process.
Mr Speaker3 words
[+1 sentence]Mr Mohamed Irshad.
Mr Mohamed Irshad2265 words
[+1 sentence]Mr Speaker, allow me to begin with a moment of self-reflection. Over the current term of Government, this House has accumulated a Budget surplus of over $17.4 billion.[+23 sentences] In the preceding years, many Singaporeans have expressed concerns over the size of this surplus. They have always wondered whether we could invest more in our people. Sir, Budget 2020, partly influenced by COVID-19, provides a timely answer to this perennial question. Mr Speaker, I will be focusing on three areas from this year's Budget. First, our ability to quickly respond to crises; second, creating a future-ready city; and third, continued investments in our fellow Singaporeans. Sir, I begin by speaking about our nation's ability to quickly respond to crises. As Members are aware, COVID-19 spread like a wildfire. Without doubt, COVID-19 is one of the biggest crises Singapore has faced in over a decade. As the impact of COVID-19 continues to unfold, Budget 2020 addresses several of our immediate macro-economic concerns and, with such a forward-looking Budget, I am confident that, together, we will overcome this crisis and emerge stronger. However, Mr Speaker, in my conversations with our fellow Singaporeans, many have expressed the views that the crisis management aspect of the Budget will only last a few months. Sir, I understand their concerns. Those of us who experienced SARS keenly remember its impact. Given the uncertainty behind the long-term progression of COVID-19, I wish to ask the hon Minister what further measures can we expect in a Supplementary Budget. In the event that the war against the virus becomes protracted, how will this House respond? I am sure that a positive response will allay the anxieties of many. Next, I wish to speak about the individuals fighting on the frontlines. As we continue to manage the outbreak, we are witnessing many companies tightening their belt. Reports of companies freezing staff salaries, implementing pay and bonus cuts are increasingly surfacing in the media. To my understanding, our healthcare system is not immune to these financial pressures. Our hospitals have understandably been forced to shelve their revenue-generating cases to deal with this outbreak. It is understood that this decrease in revenue will have an impact on the bonuses that our healthcare workers will receive. Sir, given the extraordinary circumstances, I hope the Finance Minister will consider extending financial support or even bonuses to our nurses and doctors who are on the frontlines. In this regard, I echo the suggestions made by Member Murali Pillai yesterday. Ultimately, Sir, they not only had to work longer hours, but literally put their lives on the line.[+1 sentence] Sir, I turn to focus on our economy as a whole. I am keenly aware of the Government’s announcement that GST will remain at 7% for 2021 and the $6 billion Assurance Package for Singaporeans to cushion the projected increase in GST. While I understand that we cannot put off the increase indefinitely, can the Minister give an indication of when the eventual hike will be implemented?[+1 sentence] Additionally, would the Minister consider increasing GST in stages, from 7% to 8% and, eventually, from 8% to 9%? Lastly, turning away from GST, I also note that the Deputy Prime Minister has announced a Corporate Income Tax Rebate of 25% for 2020.[+20 sentences] In view of the economic crunch that we are facing, I wonder if the Government would consider granting a similar tax rebate for Personal Income Tax to help Singaporeans with their cash flow. Sir, let me close this segment on our response to COVID-19. The rationale behind our Budget surplus has always been twofold. First, to ensure that Singapore has room to manoeuvre in times of crisis; second, to ensure that future generations can have a share in the fruits of our growth. We are facing a clear and present crisis with COVID-19. It is imperative that we do not lose sight of the big picture, avoid knee-jerk reactions, and respond swiftly for the well-being of fellow Singaporeans. Next, I turn to speak about creating a future-ready Singapore. As the COVID-19 crisis shows us, Mr Speaker, our nation's success is not something which occurred in a vacuum. We are successful because we have continually planned ahead. Given our time constraints, I will focus on our national efforts in preparing for climate change. Today, I aim to spark a deeper conversation about whether Singapore has the infrastructure to survive. I begin by speaking about our nation’s food resilience. In particular, I will speak on our investments in future technologies. Sir, it is fair to say that the changing climate will have a serious impact on our food supply. The rising temperatures and concurrent decline in global fish stocks are an existential threat to Singapore. I remind this House that over 90% of the food consumed in Singapore is imported. In this vein, Singapore must ensure that we are food-resilient. As the recent panic buying episode reminds us, we have the capacity to withstand sudden shocks in our supply chain. However, what happens if we face a long-term disruption? Mr Speaker, I note that the Government has announced that MEWR will adopt a "Grow Local" strategy. The Budget commits to setting aside a portion of the $300 million under the Startup SG Equity in supporting agrifood-related deep-tech startups.[+16 sentences] I support these measures. However, I have three questions. First, what success did previous programmes aiming to encourage the production of local produce have? If those successes were limited, what changes are we making to ensure that our "Grow Local" strategy will be successful? Second, do we have a local pool of agri-tech startups which will benefit from the increasing funding set aside for them? Third, does the Government intend to support and encourage deeper integration of research and development (R&D) processes between business and our tertiary education institutions in this regard? If so, what funds are being allocated to this in order to catalyse the process? Sir, the point of these questions is simple. As we continue to invest in creating a food-resilient Singapore, simply setting money aside is insufficient. We must create an innovative ecosystem with positive feedback loops. It is my vision for future generations of Singaporeans to be able to consume local produce daily. Looking closer to our immediate future, Sir, I speak about our transition to electric vehicles (EVs). First, I state for the record my support for our efforts in encouraging cleaner modes of transport. After years of investment, the electric future is almost upon us. However, I have some concerns about the overall impact of the scheme. I raise them in the form of questions for the Minister to address. First, 95% of our electricity is generated from natural gas. Insofar as we do not transition toward cleaner sources of electricity generation, what will be the impact of incentivising EVs be?[+22 sentences] Are there any proportionate investments being made in transforming our energy mix? Second, it is not disputed that public transport is more efficient and less polluting, compared to personal vehicles. A perennial problem preventing greater utilisation of public transport is "first-mile and last-mile" connectivity issues. In this regard, does the Government intend to accelerate our investment in our park connector networks to ensure greater access to public transport hubs and to encourage alternative modes of transport via cycling? Lastly, as we even transition toward EVs, how can we ensure that even less pollutive technologies, such as hydrogen fuel cells, are not locked out of the market? Ultimately, I submit that simply transitioning to EVs is not enough. If we want to have a significant impact, we must be prepared to think boldly. We must transform our mindsets. We must transform our infrastructure. We must take the lead in moving towards a fossil fuel-free future in our region. Thus, over the next few years, I hope that this House will seriously consider adopting alternative power sources, including nuclear energy, given the advances in technology and to look beyond EVs. Sir, I move to the final segment of my speech. Mr Speaker, one thing which unites all Members of this House is our desire to serve fellow Singaporeans. In this final segment, I will focus on how we can continue to invest in our fellow citizens. In this segment, I will first address our SkillsFuture programme. Following that, I will speak about how we can further invest in our fellow Singaporeans. In order to succeed, our people must be adaptable to changes. They should be able to ride the structural waves that are disrupting the world. Our aims of becoming a global node of innovation and enterprise will materialise when we can ensure that our Singaporeans who are locally trained are globally framed. On to SkillsFuture, Mr Speaker, I welcome the Government’s proposal to top up the individual SkillsFuture funds. This sends a strong signal about our priorities. However, beyond topping up our SkillsFuture funds, I raise the following questions for the Minister to consider. Although we have done well to promote the ethos of lifelong learning in Singapore and with Singaporeans' take-up rate of SkillsFuture being at 49% in 2019, how can we incentivise more of our workers to upgrade themselves? Second, and related to the first point, I am concerned that the current SkillsFuture programme does not maximise the potential of all Singaporeans. I note that Budget 2020 does not provide any SkillsFuture top-ups for workers aged over 60. Given our increasing longevity, I wonder if the hon Minister can extend the additional top-up to those aged over 60?[+29 sentences] In this regard, Sir, I have two potential solutions which this House can consider moving forward. The first involves tapping on the existing expertise of our local SMEs. The second will require us to leverage existing technologies. Firstly, I propose creating a framework for a Structured Apprenticeship Programme as implemented in the UK and Germany. In this programme, students will undergo apprenticeships which will eventually culminate in a full bachelor's degree or industry recognised standards or qualifications. All these while earning a real wage and being trained in the skills employers want. Sir, this idea is not without precedent. We currently have the Institute of Technical Education (ITE) Traineeship programme. This is an apprenticeship programme that benefits both employers and employees where students can work towards their ITE qualification while gaining practical experience. In the Singapore University of Social Sciences (SUSS) and SMU, part-time degree programmes are also available to individuals who wish to work and study. Sir, a natural progression would be to tap on these existing frameworks and expand the work-study offerings in our system. I am confident that our SkillsFuture programmes will see higher participation rates if we are able to provide practical pathways to success. More than a specific programme, Sir, I suggest that we leverage existing technologies to enhance our SkillsFuture experience. Currently, our SkillsFuture programmes exclude workers with little control over their schedule, such as shift workers. Singapore is poorer for the fact that a segment of our population cannot upskill themselves adequately. Sir, I wonder if the adoption of Massive Open Online Courses (MOOCs) or similar e-learning technologies may be a potential solution to this issue. Over the last two years, our IHLs have seamlessly transitioned to e-learning following the COVID-19 situation. Thus far, many lessons and tutorials have gone online. For instance, in our local universities, even group work and presentations are being held virtually. This move clearly shows that the required infrastructure, platforms and systems are well in place. Indeed, there are many models available for the Public Service to consider. Such a synergy has the potential to lay the foundation for a public, open university that offers alternative structured higher education pathways for those seeking to upgrade themselves for their career progression. At the end of the day, Sir, I hope that SkillsFuture will be made more accessible for our fellow Singaporeans. We should enable them to upskill, no matter the circumstance. My last point on investing in our fellow Singaporeans, Mr Speaker, can be summarised with this phrase "Locally Trained and Globally Framed". Since our separation from Malaysia, we have always recognised that Singapore cannot be insular in our economic approach. We have invested heavily in ensuring that we are an attractive place to do business. However, as the current crisis demonstrates, it is not enough that we create jobs in Singapore. Sir, I believe that our nation’s long-term economic survival depends on Singaporeans being able to compete overseas. This is where the phrase "Locally Trained and Globally Framed" comes in. We need to ensure that our students acquire the cross-cultural skills and deep international understanding which would enable them to compete with the best in the world. I am heartened that Budget 2020 sets a target for 70-70 exposure in our IHL students. In this regard, the New Colombo Plan initiative by the Australian Government is a model worth studying.[+5 sentences] Sir, we must prepare our young people to succeed in the new economy. They must be relational. They must possess an international outlook and must hold their own in this ever-changing world. In conclusion, Mr Speaker, a hallmark of Singapore’s Budgets is that in good times, we are prudent and sensible; in tough times, we demonstrate our mettle and sensitivity. Budget 2020 is a clear and unambiguous reflection of the latter. In this time of crisis, Budget 2020 provides some much-needed stability. However, we must always look towards the future by making long-term investments in our infrastructure and our people to ensure Singapore is staged for success.[+1 sentence] On this note, Mr Speaker, I state my support for Budget 2020.
Mr Speaker3 words
[+1 sentence]Mr Leon Perera.
Mr Leon Perera (Non-Constituency Member)2817 words
[+9 sentences]Mr Speaker, Sir, in 2019, we were considered by the World Economic Forum (WEF) to be the country closest to the frontier of competitiveness in the world. However, instead of giving in to the temptation to vaingloriously bask in such rankings, we looked critically at the report on real shortcomings so that we can reflect on them. The WEF report highlighted room for improvement in respect of promoting entrepreneurship and improving the skills base, for example. Sir, I should, therefore, focus my speech on three aspects of national life that pertain to the longer-term outlook that we face – vibrancy, meaning the quality of the economy; liveability and the well-being of the people, and sustainability of our fiscal resources – before concluding with some directional suggestions that attempt to speak to the challenges we face across all these three dimensions. Before I begin, I declare my interest as the CEO of a research consultancy that undertakes work in a variety of business arenas, including industry 4.0 spaces. Firstly, on vibrancy. Mr Speaker, Sir, on the back pages of The Economist magazine, they track economic indicators of various countries. Decades ago, Singapore's GDP growth was consistently among the highest in the region and the world. In recent years, it has been more modest but still better than or the same as other developed countries in this region. In 2019, however, our GDP growth was low against even developed Asian economies like Korea, Taiwan and Australia, let alone the US, and this was before the coronavirus.[+3 sentences] The Government's forecast for 2020 is roughly the same rate of growth. Sir, while we face the short-term challenges of dealing with COVIC-19, in the mid-term, our economy faces deeper structural challenges. Firstly, our economy is now heavily dependent on China, which was experiencing a growth slowdown even before the coronavirus. Second, our productivity performance goes up and down, but it is also bifurcated between high productivity, manufacturing and other externally oriented sectors and some less productive sectors, and between a multinational corporation (MNC) sector with higher productivity and an SME sector that employs two-thirds of our workers with less.[+1 sentence] Thirdly, our SMEs and, particularly micro businesses, will face headwinds, not only from the coronavirus, but also the more general China slowdown. In fact, it is argued in a recent letter in the media from the Chairman of Credit Counselling Singapore, many micro businesses may become ensnared in a cycle of chronic indebtedness as a result of the economic impact from the coronavirus episode, as happened with SARS in 2003.[+16 sentences] Fourth, while the GDP share of R&D is decent, it is not as high as in some developed countries, and there is some evidence that R&D GDP share is linked to Total Factor Productivity. More importantly, beyond the MNC sector, it is not at all clear if R&D is being taken up and commercialised successfully on a substantial scale by our local companies, notwithstanding some take-up of licences from the Agency for Science, Technology and Research (A*STAR) by local enterprises, for example. Fifth, we continue to be successful in attracting foreign direct investment (FDI). But we have all come to acknowledge that future FDI inflows may be under threat from anti-globalisation trends that my party Chairman Ms Sylvia Lim spoke about yesterday, in particular, the deliberate efforts some countries may take to pull back supply chains to their domestic economies in light of things like the coronavirus and US-China geopolitical tensions. To insulate against this risk, we face the challenge of raising the game of our local firms. Sixth, with the rise of uniquely disruptive technologies like artificial intelligence (AI), autonomous vehicles, the Internet of Things and drones, whole categories of employment may be wiped out practically overnight. The advent of autonomous vehicles may put at risk the jobs of drivers in the taxi and private car hire industry. Many jobs in backend operations and frontend services are also at risk from AI, robots and chatbots. So, one additional challenge is to ensure that our people can keep their heads above tomorrow's rising waters of employability amidst the sea of economic disruption not seen in generations, not only in respect of skillsets like deep tech and coding but also soft skills like creativity, leadership, entrepreneurial acumen and resilience. In fact, the authors of the WEF report cited room for improvement for Singapore in skills like critical thinking. Sir, how do we meet the challenge of enhancing our vibrancy, which implies stimulating homegrown innovation and entrepreneurship? The next broad point I will speak on is livability. A blind chase for vibrancy of an economy is no full guarantee of the well-being of its citizens. Putting effort into livability, therefore, is one of the most crucial challenges facing Singapore. What else can be done to breed confidence that our system will manage livability in the future? Our total fertility rate has been one of the lowest in the world for years. Twenty-nine percent of young Singaporeans in a recent survey said that they would consider migrating in the next five years.[+4 sentences] I suspect that getting livability right would make a difference on these fronts. The approach to managing the cost of living is a case in point. Why not develop an approach to policymaking that commits the state to adjust for future conditions by building the adjustment mechanism into policy design, rather than leaving it to future acts of Executive discretion, which may or may not happen? Right now, this is done in some cases, like permanent GST Vouchers, but not in others. One example of this would be adjusting Silver Support for inflation from time to time based on policy design rather than leaving it to the Government and Parliament at its discretion.[+16 sentences] Parliament can still vote against inflation-based increases should fiscal resources be insufficient. So, the mechanism can still contain an element of evaluation. But the fact that the design of the policy has a built-in mechanism to recommend changes and adjust based on inflation at certain defined time intervals creates some assurance that, yes, society will not leave me stranded in the future one day. This is not just a benefit for today leaving me uncertain about tomorrow. This is a very specific example to make the general point that if more well thought through social protections and stabilisers are built into policy design, it may assure Singaporeans that the society has their back. And this may reduce risk adversity and the focus on short-term income rather than long-term income. This, in turn, may promote a culture of being more willing to take risks to reskill, start a business and, possibly, even to have children, because one is more confident about the future. Some research suggests that our economic outlook and our sense of economic security does impact these behaviours. And if we fail to address the challenge of livability like parts of the US and England, our people may turn against globalisation which would damage prospects for vibrancy. Let me note in passing, one could respond to this point by saying that this is a call for profligate spending because it requires spending commitments before we know we have the money to fund it. It is not. It is a call for building into policy design mechanisms that self-correct and have built-in adjustment processes rather than leaving it purely to future Executive discretion. The Executive and Parliament can still decide not to go ahead if the money is not there. Next, Mr Speaker, Sir, I want to talk about sustainability. Vibrancy and livability are already difficult challenges in themselves. But we must ensure that policies aimed to address these challenges are sustainable and are responsible. To be sure, it is a good thing that we have large Reserves that yield Net Investment Returns (NIR), the largest state revenue stream today and that can be drawn down in emergencies.[+6 sentences] Many countries do not have this and have high levels of fiscal debt relative to GDP. But are there not also dangers in going to the other extreme and being too prudent as it were? Could that also lead to a failure to seize opportunities to develop the capacities of our people for the future? Clearly, we have to find the Goldilocks zone between these two extremes. An analogy from the business world might be the two extremes of spending too much and running into a cash crunch on the one hand and not investing enough in the company to develop the capabilities of the employees, new business strategies and intellectual property (IP) on the other. Sir, our Reserves have been estimated at over a trillion dollars. Every year, these Reserves grow from half of the NIR as well as from land sales and any unspent surplus from each term of government, among other things.[+2 sentences] I am not suggesting drawing down on the Reserves at this point. But in the longer term, is there more scope to slow the rate of Reserves growth, so as to release more funds to invest in our people and address the challenges we face in terms of livability, employability, innovation and so on that I spoke about in the first part of my speech? Let us bear in mind that during the worst global economic crisis the world had ever seen since the Great Depression of the 1930s, during the Global Financial Crisis of 2008, we drew down only a tiny fraction of the Reserves.[+16 sentences] Should our Reserves always go up and up at the same rate? Can we not have reasonable conversations about how to vary the slope of Reserves growth while agreeing that the principal should only be drawn down in an emergency? And how, in doing that, we can invest in our people and companies so as to help them become the most creative, resilient, innovative and entrepreneurial that they can possibly be so that they can deal with any challenges the world can throw at us with confidence? If we do use more fiscal resources to do that, we should also recognise that if our efforts are successful, we may be able to save social safety net spending further downstream and we may also raise GDP and, hence, tax revenue which are good fiscal outcomes. My analogy here would be spending more to make vaccines free or close to free, a subject that I have raised a few times in this House, which may have the effect of reducing state spending on hospital subsidies, MediFund and so on further downstream. And this is just an analogy. Mr Speaker, Sir, the three dimensions of national life I mentioned are very much interconnected. However, as formidable as the challenges are, they are not insurmountable if we tackle them earnestly. Therefore, I would like to conclude with just a few directional suggestions on how we might address these future challenges from where we are at this point in time. Firstly, investing more in local enterprises that can deliver. This was how the Japanese built up their world-beating giant firms – the Japanese and Koreans I should say. For those local firms which can consistently deliver financial and economic growth while safeguarding or growing domestic jobs to those firms that significantly enhance our economic vibrancy, more support could be provided beyond the caps and limits associated with current economic schemes. I had an exchange on the subject in this House with the then Minister for Trade and Industry, Mr Iswaran in 2017. I understand his counter argument that we do not want to go too far down the path of picking winners. There is a grain of truth there. But some of our existing efforts like state-backed co-investment, for example, could be seen as picking winners anyway. And why not let the winners pick themselves? This was the philosophy of Korea in the 1960s and 1970s, where the state insured provision of loans to chaebols or large firms, which could consistently grow exports and hard currency earnings and loan support was withdrawn from those that could not consistently deliver those results. While to be sure that not everything Korea did in those decades was correct in hindsight, that policy contributed to the emergence of giant companies like Samsung and LG today.[+9 sentences] Conversely, support to local firms that do not demonstrate ambition and performance can be disciplined and focused on competitiveness improvement, job safeguarding and business succession planning. Sir, this is a call for strategic results-based spending to develop local entrepreneurs in ways that benefit domestic employment. This is not a call to give away state monies to local firms irrespective of outcomes, and I trust that it will not be referred to as the latter. Secondly, Sir, we know that productivity is partly a function of investment and we cannot depend only on FDI for this investment in the long term. Can we not do more to tap on our fiscal resources to channel substantial R&D investment into creating IP that is then seeded to local companies in a very substantial and systematic way, but with the IP owned by the state and licensed to the firm's so that the state can nudge these firms to grow in ways that benefit the domestic economy and locals? The area's earmarked for R&D investment in this way could be targeted so as to fill gaps in the global IP landscape in future-ready fields like AI so as to ensure maximum "commercialisability", so to speak. I know that there are limits to how much we can do under WTO rules and other treaty obligations, but surely there are ways to navigate these obstacles to some degree. And, as I referred to earlier, A*STAR has licensed IP to SMES, but the question I am raising here is how to upscale this to enhance the commercial impact and provide enablers to ambitious local firms to become world-beating. Thirdly, many of our talented youths go into the Civil Service. Twenty-six percent of autonomous university graduates go into the Public Service as their first job, according to a Parliamentary answer given in 2018. Can we create a programme that mentors and coaches civil servants in their 30s, 40s or 50s who wish to leave the service to become entrepreneurs?[+3 sentences] Such a programme could help them develop skillsets relating to fundraising, employee recruitment and retention, marketing and so on, not so much training but coaching and pointing them in the right direction as well as connecting them with funding sources, including state-backed ones. After all, we do not only want locals to get the $7,000 jobs and the $10,000 jobs. We also want some locals to create such jobs. Fourthly, can we undertake a project to map out the categories of jobs at risk from Industry 4.0 and then initiate a programme to inform workers in these sectors of the imminent risks over the mid and long term and nudge them to engage in reskilling and career switches to high-growth disruptive industries? Perhaps an incentive scheme could be deployed to attract local workers into Industry 4.0 sectors, like renewable energy, drones, AI and deep tech, especially those sectors where the Singaporean Core is weak.[+2 sentences] Having a pool of workers with such training could also help attract both foreign and domestic investments in these high-growth sectors. Of course, any such move has to be done in tandem with the growth of investments in these sectors to ensure the jobs and career paths are available to those who join such industries. Lastly, as part of the Singapore Public Sector Outcomes Review (SPOR), can we adopt independent measures that regularly track the capacities of our people versus other countries in terms of attributes, like resilience, entrepreneurship and creativity?[+6 sentences] Beyond just hard skills and cognitive intelligence, it is these capacities that we need to nurture in the long term. It is these capacities that will be our surest defence against whatever economic and technological evolutions bring; and tracking them in the SPOR report is a nod to the fact that our policies do play some role, not the main role, or the only role to be sure, but some role, in nurturing these capabilities and capacities among our people. Mr Speaker, Sir, in conclusion, the future is always uncertain but there are some epochs in history where it is more uncertain than average and we are probably living through one of these. We are dealing with huge geopolitical shifts, massive economic disruption, changing demographics, the existential threat of climate change and the possibility of Black Swan events like disease pandemics. But uncertainty is never a reason not to make projections and not to make plans. Times of change and crisis are also moments for the agile, the resilient and the creative to find new opportunities, anticipating and adapting to those moments in history like our own that see non-linear change can bring immense benefits not only in economic terms.
Mr Speaker3 words
[+1 sentence]Miss Cheryl Chan.
Miss Cheryl Chan Wei Ling (Fengshan)1883 words
[+13 sentences]Mr Speaker, by now, it is no surprise to hear many saying that Budget 2020 is a timely relief for workers and some specific business sectors impacted by COVID-19. It also addresses short-term inadequacies while setting out plans for our strategic long term. I am thus encouraged by this Budget and glad the Government has prioritised assistance for different groups of citizens across our society. Over the years, we have seen significant financial packages announced to address long-term healthcare needs for our ageing population, GST offsets for the lower-income groups, housing support, education subsidies to level the playing field for improved social equality and much more. These packages seek to enhance social mobility, provide care for those more in need and promote greater wealth distribution across society. Without doubt, these packages, which have a long tail, will have a hefty price tag as they cater for increasingly larger groups of Singaporeans. In this regard, I wholeheartedly agree that the responsibility of the Government is to provide for those who have less resources and are less able to sustain their daily needs. But the cost of living has been a perennial concern amongst Singaporeans, and even more so as we age. How can we better address this in the current uncertain times? Are the financial packages that we see now an indicator of the Government on what is to come in future? Are we moving towards more of a welfare state? And to what extent can the society safety net provide if self-sufficiency from family and personal means remain as the first line of support in our country? This is a topic that we should begin to consider – retirement adequacy. In 2017, MoneySENSE commissioned a Financial Planning Attitudes Survey that showed only one in five surveyed felt they are knowledgeable about investing.[+1 sentence] Some Singaporeans also had misconceptions about when to start planning for their finances. Half of the young working adults aged between 17 and 29 have not started thinking about financial planning because they think it is still too early to do so. And just 20% of those surveyed felt the need to do financial planning only when they are looking at retirement.[+5 sentences] Whether the number of survey respondents were in the thousands or less, this is reflective of a worrying trend and the existing mindset of the young working class. It is totally understandable that our current Pioneers and some Merdekas will need all the support that can be given as they earn lower wages in their lifetime and thus limited savings, much less a decent CPF savings to depend upon. But this cannot be the case for the younger generation. Today, most seniors rely on their CPF, housing, personal savings and some income from work if they are still gainfully employed or if their children are willing or able to provide for them. However, we need to recognise that this landscape is changing for the middle-aged individuals. First, family sizes have shrunk, with each family having at most one to two children.[+7 sentences] Parents are naturally more indulgent in their expenditures for every child. From enrichment classes, tuition, gifts, holidays and more, it is impossible to imagine any parent will give less to their offspring even if they do not compare with others in society. Through growing affluence, changing lifestyles and personal aspirations, it is par for the course today that each family has more expenses outlay over time. While the general income level has risen and, theoretically, should be more for dual income families, it appears that meeting immediate financial needs are already a problem for some. To plan for retirement which may be two to three decades down the road, may be a tall order for many of them. For some, the necessity to plan is just before they are about to enter retirement or have less certainty in being employed. The issue will be further exacerbated with fewer children in each family and for those whose children may be able to but are less willing to provide financially for their parents. Second, an increasing proportion of our younger generation are gaining overseas exposures at study or work, and some are involved in the gig economy.[+20 sentences] For their benefit, we encourage more to internationalise to learn and capture broader experiences and opportunities globally. But with a rising percentage of such families living overseas, their retirement support pillars will inevitably change. For those living and working overseas early in their career, they may not have invested in housing within Singapore, and the CPF contributions differ depending on their compensation package or the nature of their work. When they choose to return to Singapore in the later years, the cost of building their retirement nest will take a different starting point. By then, some may face different challenges in their ability to accumulate sufficiently for their retirement. On one hand, I support and feel it is necessary for the country to continue to provide for its citizens. But on the other hand, I think it is time for us to consider if and how we can continue to afford these long term, larger support packages for every generation. As working and income patterns change, increased exposure of living or working in more than just the home country before retirement, and investments in the next generation burgeoning for each family, I cannot help but ask if our citizens should plan their financial and retirement needs more holistically and earlier. Sir, I would advocate that, as a nation, we should begin this awareness on financial retirement planning when each worker still has an active income and as they begin different stages of their lifecycle decisions. This has consequences on how and when we provide subsidies for those who cannot afford or those who are more vulnerable. How can we measure who qualifies or not for any scheme? That may need redefinition in future. Simply means testing by per capita income for each household may see the need for a different yardstick, or how intrusive would it be for the state to assess deeper on their situation beyond funds availability or even immediate family support. These are areas worth pondering and better sooner than later. On this issue of retirement adequacy, I would also like to draw attention to the group of special needs individuals. There is a large spectrum of people with varying needs and the type of support required. As able-bodied persons, it is typical for us to have our own concerns about growing up, education, livelihood, family and occasional thoughts of what life might be like in our senior years. But for individuals with special needs, these may not even be fleeting thoughts for some of them. Some lack the ability to plan and fend for themselves, others could be limited for different reasons, thus, becoming an added worry for their parents who are ageing. The Ministry of Social and Family Development (MSF) has also continuously engaged different groups to understand and assist through provision of integrated support services aimed at promoting inclusion of persons with disabilities in the community and to enhance their quality of life. The third Enabling Masterplan for 2017 to 2021 spells out some of these enhancements. In my conversations with my residents and having attended focus group discussions for people with special needs, their families, caregivers and employers, I realised that there is still much we can do as a society to assist them.[+1 sentence] How are we ensuring opportunities for all via our social strategies in education, healthcare and housing? While some would argue that many recognise the need to include people with special needs and acknowledge their existence, I cannot agree that we have truly taken actions to be more inclusive in embracing people with special needs. There seems to be a lack of in-depth lifecycle planning support pillars for people with special needs from childhood to adulthood to their old age.[+13 sentences] If we must begin the process, it starts from helping and partnering them, allowing them to be a part of our community from young. Indeed, this is a much-needed step to provide their parents, family and themselves a little more comfort that they can live, work and socialise as a part of the community while comfortably being themselves. There are a number of supports that we can provide for them. I will cover more of this in the COS debate on their living environment in public housing, their employment post-schooling age and how the community and businesses can partner them. Here, I will focus on two aspects. One, rally the society to be inclusive from young. As a start, we must recognise the presence of people with special needs and their ability as an individual. Preschools and formal schools can do more to educate the children in embracing differences and welcoming them from within the school community. As individuals, all of us, too, can be more gracious, accepting and forgiving to families who have children of special needs. They deserve a place in our community, from the neighbourhood playgrounds to public transport and common dining places. There is no need for cold stares, harsh words or social media commentaries for any special needs individual. They are individuals with their own rights and well-deserved to be treated with dignity like any other person. We should have campaigns that counter such negativity and give more room for families with special needs to be out in our community to share our common spaces and feel at ease that they are one of us. Second, provision of affordable legal support and streamline the search process of assistance schemes suitable for their needs.[+7 sentences] For special needs individuals, some may have disabilities or are cognitively challenged to handle legal matters on their own when their legal guardians are no longer around with them. Be it a Will, having an acting Attorney-in-fact or managing other legal matters that involve their daily lives, they are more likely to need better access and support at affordable cost on a regular basis. Having trusted parties who have a long-standing relationship with them and being able to defend their interests are crucial for those with special needs. With the extensive assistance schemes available across the Ministries or specific to their special needs, it is not an easy task for them to navigate and know how to seek help. It is uncommon today for each special needs person to have been assigned to a social worker or being supported in network groups. When their legal guardians are no longer able to extend the help in organising their life needs, this will be an escalating concern and possibly more pressing for them apart from financial aids. Mr Speaker, as a country and Government, we always begin with good intent to support and provide the best possible care for our citizens. This continues to be the guiding principle in our process of extending financial and broad-based support to the society. But as we progress in our nation-building, it is also our responsibility to deliberate how much more we can do, whether a fiscally sustainable assessment is made for support packages and how do we address the future state of support that we hope it to be.[+1 sentence] My concerns, notwithstanding, Sir, I stand in support of the Budget.
Mr Speaker4 words
[+1 sentence]Ms Tin Pei Ling.
Ms Tin Pei Ling (MacPherson)2686 words
[+20 sentences]Mr Speaker, Sir, the COVID-19 outbreak is a test of our nation's social fabric, our collective strength and character. Around the world, we observed how the deficit of trust in government and public institutions prevented or worsened efforts to contain and control the outbreak. In one Asian economy, hundreds rallied for days to protest against plans to turn some buildings into quarantine centres. In one European economy, hundreds in a town protested having their fellow countrymen who were COVID-19 evacuees from China from being quarantined in their town despite assurances by the government that none had symptoms of infections. They put up roadblocks, burned tyres and hurled stones at buses, resulting in several injuries. Out of desperation, the health minister declared she would spend the next two weeks locked up in quarantine with the returnees. In other places, government attempts to refute false rumours, although backed by medical experts, were ignored at best and stoked fear at worst. People hoarded critical supplies and deprived them from people in high-risk environments who needed them the most. In a public health crisis, it is heartbreaking to see such anti-social behaviours. Where has the “leave no one behind” belief gone to? It is a different scene in Singapore, thankfully. In Singapore, we see some of the ugly behaviours, too, but there is a lot more of the good acts that we have observed. Where we saw frontline workers being discriminated or denied service by some individuals, we see an even stronger response from many Singaporeans who wrote messages and prepared gifts to express their support. We also see ground-up initiatives by groups of volunteers who engaged seniors and the more vulnerable within our communities to give out practical items, such as hand sanitisers. Of course, another example is when the silent majority seemingly came to life during the recent "Twitter Parliament", suggesting that hoarding and, therefore, depriving others of essentials, should not be encouraged. With decisive leadership and strong public institutions, we have so far kept the situation under control. Our leaders regularly inform the public of the latest developments in Singapore, and the Government responds to queries with clarity and transparency. Civil servants worked tirelessly every day since before Chinese New Year to ensure "no stone is left unturned". Medical frontliners bravely stepped up to care for patients, and cleaners worked extra hours to ensure a clean and safe environment for Singaporeans. In fact, our efforts to combat the COVID-19 virus has been widely recognised. A Harvard study described Singapore as having "gold standard" for case detection; WHO was "very impressed" by Singapore’s response to COVID-19.[+9 sentences] Kudos to our Government and frontliners! Kudos to my fellow Singaporeans who demonstrated calm, reason and compassion in the face of uncertainties that allowed us to control the outbreak quickly. Thank you for showing us and the world how beautiful Singapore is. These would not have been possible if not for the trust between our Government and the people, as well as the strong social cohesion forged over time. We must cherish this and never be complacent. Speaker, Sir, I see Budget 2020 as one that preserves jobs and social cohesion. In the midst of our battle against the coronavirus, we have this Budget Debate. I am glad that in his Budget, the Deputy Prime Minister addressed the impact of COVID-19 on our economy as well as the long-term needs of Singaporeans. Budget 2020 is a responsive Budget that prepares Singaporeans for the challenges ahead. The $4 billion Stabilisation and Support Package helps companies to stay liquid, thus preserving the jobs of Singaporeans.[+1 sentence] Against uncertainties arising from global headwinds, it is essential to ensure that Singaporean workers remain supported and adaptive, with measures to encourage them to be more productive and innovative. In particular, SMEs – comprising 72% of our employment – are most in need of supportive measures to help them retain local employees.[+10 sentences] Jobs are important to Singaporeans' livelihood, important to keeping families financially buoyant and important to social cohesion. Various studies, including one by the World Bank in 2013, have shown that job access has a direct impact on a society's trust and civic engagement. The same 2013 World Bank report also stated that jobs and the types of jobs influence people's aspirations, social beliefs and their sense of belonging to the country. I, therefore, applaud the decisive move to set aside a whopping $4 billion to help Singapore companies and Singaporeans in this time of difficulty. To ensure that the Government's intent of providing our citizens with strong and reliable support is achieved, I have two suggestions, based on feedback from my residents and grassroots leaders. First, ensure the goodwill that comes from these Budget measures ultimately flows through to the micro and small enterprises. For instance, passing on cost savings from commercial landlords to tenants and ensuring access to the Enterprise Financing Scheme by micro enterprises. Banks may be less motivated to serve individual micro enterprises, even with a greater risk-share by the Government, but these enterprises can band together if facilitated by the respective merchant associations. Of course, it is not just the Government that can help the smaller enterprises. I note the recent launch of an “SME Help Fund” that aims to help SMEs whose businesses are struck by the COVID-19 outbreak. Member companies pooled together $5 million and leveraged technology platforms to offer low interest loans to affected SMEs, which must also be majority owned by Singaporeans. From application to disbursement, the process is as fast as 48 hours. I was told that the responses from SMEs have been overwhelmingly positive.[+14 sentences] When I spoke with one of the fund's founders, JL Family Office CEO Andy Lim, he said they wanted to help SMEs and that this is one practical way of how Singaporeans help Singaporeans. I was very heartened to hear this. This is an example of how different groups in the society can take the initiative to help fellow Singaporeans in times of need. Their efforts complement the Government's and, collectively, these efforts help to strengthen our social cohesion. Second, provide more recognition and support for freelancers. Freelancers are especially vulnerable to changes in the economic conditions. Many events and work assignments are cancelled or deferred as a result of the COVID-19 outbreak. A number of them have taken their own initiative to band together online to support one another as they are hit by the outbreak. I trust that the unions are actively reaching out to them. Freelancers are especially vulnerable to changes in the economic conditions. Many events and work assignments are cancelled or deferred as a result of the COVID-19 outbreak. They have little savings or "fats" to see them through this period of work drought. Worse, if they have a family to support. Many of the financing options available now are not readily accessible to them as they are not registered companies and have no GST registrations. Could the Government consider extending the working capital loan to this group of freelance workers? Or help them access the other measures aimed at helping businesses with cash flow to keep them afloat as well?[+20 sentences] As we address the immediate impact of the COVID-19 outbreak, we should also not lose sight of investing for the future. I am glad that the Government continues to have a firm grip on this, evident in the other components in the Budget. Still, I would like to reiterate the importance of investing in our people to ensure a high concentration of high-quality talents in Singapore, for Singapore. During this period of economic uncertainty, it is a precious opportunity for us to reskill and upskill our workforce, catalyse the transformation and get ready for the future economy. Singapore is clear about our future economy direction. We need talents to fulfil this. Technological disruptions have resulted in jobs becoming obsolete. But with technological advancements, many more new jobs will be created. We need to provide good and meaningful jobs, where workers are empowered and have agency. But to take on these future jobs, Singaporeans need to be equipped with the right skills and possess international perspectives. I support the Industry Transformation Maps (ITMs) and welcome the next bound of SkillsFuture initiatives. Singaporeans should be encouraged to work with employers to determine what courses to attend to ensure job relevance and be guided along as well. However, I wonder if these measures are enough. Also, to attract top enterprises to Singapore to create good jobs, we need a high concentration of skilled workers with a critical mass of world-class talents. Singapore excels in the biotech sector now after 20 years of investments. A critical success factor is the large pool of high-quality talents that we built up over the years, enabling Singapore to lead in this sector ahead of competition. Similarly so for other sectors. Looking ahead, Singapore needs to offer an abundance of talents who not only meet existing demands but also attract future unicorns to Singapore from the region and beyond. As talents beget talents, there is a virtuous cycle to this. Yet, global competition for skilled workers is stiff. In a February 2020 McKinsey article, it was reported that 87% of companies surveyed around the world say they either are experiencing manpower gaps now or expect to experience it within a few years.[+2 sentences] Respondents expect market and technology trends to play a big part in these shifts. More dramatically, the WEF describes the world as facing a "reskilling emergency". One billion people globally need to be reskilled by 2030.[+17 sentences] Companies and countries are motivated to close the skills gap fast. Singapore needs to be even faster – one to two years' window of opportunity, according to some prominent business leaders I encountered from within and outside of Singapore. The Government has been investing and introducing targeted programmes to build up our talent pool. As the Chinese saying goes, "百年树人", talent cultivation takes time. But we are racing against time. Topping up with foreign talents may be part of the solution, but strengthening our Singaporean Core is, of course, the core solution. Therefore, to reinforce the momentum, may I suggest the following. First, we need a stronger push for Singaporeans to reskill and upskill, and right-skill from young. I am happy to know that coding is now compulsory for all upper primary students, in the form of a 10-hour coding enrichment programme. This is a good step, but I hope the Government can consider taking an even bolder step and recognise it as part of formal curriculum. This signals the importance of this subject. Furthermore, some would argue that computer language is increasingly akin to English or mother tongue languages that we learn in school. As the digital future is inevitable, why not take that step further and recognise coding as our third language? We also need stronger incentives to encourage adults to take on future economy-oriented courses. The additional SkillsFuture credits in this year’s Budget are a welcome addition, but to help Singaporeans pick up essential skills that allow them to compete globally over the long term, there should be stronger guidance and more targeted initiatives. Second, we must continue to encourage international exposures for students and younger working adults. It is essential for young adults to be given full internship opportunities as well in countries like the US, China, Israel and other emerging economies with a vibrant tech scene, such as Indonesia and Vietnam, for them to gain a global perspective and foster meaningful networks that will benefit them and their professional community. In this year's Budget, the Asia Ready Exposure Programme, together with the Global Ready Talent Programme, are timely. Business China, too, is working closely with MOE and other agencies to promote internship opportunities for our tertiary students and young working adults to intern in China, and the response was encouraging.[+19 sentences] We need to work on availing more of such overseas opportunities for our young, so that we can cultivate a critical mass of young Singapore talents with a world view. Third, we need to deepen our relationships with global top talents and facilitate value transfer to our own local talents. Could we consider a mentorship programme that attracts top talents and company founders from around the world to mentor our youths and startups? Singapore is a hub for many top technology and professional talents, and we should make use of this opportunity to groom our younger generation and benefit from their mentors' expertise, experience and networks. This initiative will also increase Singapore's mindshare among these top talents and foster our youths' image as motivated, hardworking and bright young individuals who are globally competitive. (In Mandarin): Mr Speaker, through this COVID-19 crisis, we can see the composure and decisiveness of Singapore leaders, the efficiency and meticulousness of organisations within the Government, the bravery and kindness of our frontline workers, as well as the generosity and mutual concern that Singaporeans have for one another. It has shown what Singapore is capable of, and how beautiful this country is. In comparison, we have seen how citizens from other countries have lost faith in their government, discriminated against their fellow countrymen, prevented disease control measures from being implemented, resulting in the spread of the disease. It is, indeed, disheartening. Hence, the deep trust between our people and the Government is especially valuable. This was built over the years, with Government policies that have always put the long-term interests of Singapore and Singaporeans at the core, allowing Singaporeans to enjoy a good quality of life and stable jobs. There should be no let-up in efforts to build this trust. In difficult times, the ability of governments to figure out the root cause of problems and implement targeted solutions to minimise impact on the people is very important. Hence, I am very happy that the Deputy Prime Minister has introduced a Budget to deal with the situation during this critical period. Besides ensuring adequate supplies for frontline workers, funds have also been set aside to reduce the impact on companies' cash flow, so as to protect jobs. Although it is important to deal with the current situation, it is equally important to plan for the future. Singapore has experienced many rounds of economic transformation and ventured into new emerging industries at different junctures, maintaining its lead successfully. The key to our success is the high concentration of good quality talent here who can meet the skills demand of new industries. With Singapore moving towards the future economy, there will definitely be a strong demand for talents. In view of the shortage of talent around the world, some corporate big wigs believe that Singapore may only have a window of opportunity of one to two years to get ahead in AI and blockchain technology.[+3 sentences] Attracting talent is a short-term solution. But more importantly, we need to ensure that Singaporeans upgrade their skills and that we nurture our young to equip them with future skills and global mindsets. Although talent development schemes have been included in both last year’s and this year’s Budgets, I hope that the Government can consider the suggestions below. One, incorporate coding into mainstream curriculum, ensure that all Singaporean children have a basic understanding of coding so that they can have a headstart. Two, instil the spirit of lifelong learning in our people and encourage them to make use of the SkillsFuture Credit to take up courses relevant to the future economy.[+6 sentences] Third, continue to encourage students and young working adults to intern in countries where technology development is more rapid. Aside from gaining experience, these internships will also broaden their horizon and their networks. Fourth, set up mentorship programmes where top-notch talent and entrepreneurs can be matched with young local talents and startups with potential, to build capabilities, share experiences and network. (In English): As we enter more uncertain times, with pressure on our community from the COVID-19 epidemic and global financial turmoils, I am heartened to learn that this year’s Budget is comprehensive and inclusive. This is a Budget for our people and our future. I support the Budget.
Mr Speaker4 words
[+1 sentence]Prof Lim Sun Sun.
Prof Lim Sun Sun (Nominated Member)1435 words
[+7 sentences]Mr Speaker, our Deputy Prime Minister and Finance Minister has delivered a remarkable Budget this year. In this regard, I wish to speak on 3Ms pertaining to the Budget. You might think, given the generosity of the Budget that my 3Ms stand for Massively More Money. But no, the 3Ms I will speak on today are mobility, maturity and mentality. First, mobility. Social mobility is the holy grail of governance. In Singapore, we have made persistent efforts to boost social mobility with significant injections of social spending, especially within the past decade. Budget 2020 is no exception, especially with its Care and Nurture and Stabilise and Support Packages. I welcome the various measures, including grocery and GST Vouchers, kindergarten, transport and school meal subsidies, that will certainly help lower-income families ease their financial burdens.[+8 sentences] We cannot underestimate the impact of such subsidies. I recall that when I volunteered at the charity Food from the Heart, children from poor families who received monthly food goodie bags saw improved grades. Why so? Once their parents stopped bickering over where the next meal would come from, and there was money left over for transport, the children started to attend school more regularly and this translated tangibly into improved academic performance. Beyond these financial measures, however, what more can we do to ensure that our society is not overly stricken by the proverbial Great Gatsby Curve? This curve describes how family resources and social networks influence a child's future earning potential. When this curve is too pronounced, the advantages conferred by family wealth and connections get entrenched over time, leading to social stratification. As the World Bank's Fair Progress report argued, low mobility, both real and perceived, can dampen an individual’s aspirations for the future. To more directly address such discouraging perceptions, we need to initiate more systematic mentorship for children of less advantaged backgrounds so that they are inspired by role models who have successfully risen from similar circumstances.[+13 sentences] As the saying goes, "you cannot be what you cannot see". We, therefore, need to invest more strategically in more after-school programmes where students from lower-income families are offered targeted academic support and career guidance in order to bridge the privilege gap. My second "M" is maturity. As our economy matures and digitalises ever more intensively, we are at a critical crossroads to consider future growth directions. Clearly, in our well-connected society where we are bound together by the Internet of people and also the Internet of Things, a promising path for us to explore is the one illuminated by big data. The application of data analytics in virtually all aspects of life, including finance, business, urban planning, healthcare and education, can generate powerful insights for enhancing resource optimisation, service delivery and efficiency gains. With data to fuel AI and Machine Learning, we can forge a culture of data-driven innovation that aims to raise our quality of life. But that begs the question as to who should own the data and be allowed to profit from it. The social compact between people and corporations which are collecting data about us is riddled with inequity. Indeed, the "compact" is one of distinct asymmetry between the big technology companies and consumers. Hitherto, technology companies, such as Facebook, Amazon and Alibaba, have selfishly hoarded their data, from which they distill critical insights to create market dominating products and services. If we continue to let these Goliaths have exclusive rights to exploit the data that they harvest essentially for free from all their users, what chance is there for the scrappy startups of the world to innovate for the greater good? We must leave the door wide open for startups to compete against the incumbents. Oxford University professor Viktor Mayer-Schönberger, co-author of Reinventing Capitalism in the Age of Big Data, suggests adopting a “progressive data-sharing mandate” that forces companies above a certain size to share some of their data with smaller competitors.[+1 sentence] In the same vein, the European Commission recently issued a document titled “European strategy for data” which outlined potential steps it may introduce to require companies to share and pool data. Just as Singapore was a frontrunner as one of the first countries to launch a Model AI Governance framework, we should also consider blazing the trail and pioneer regulation on the collection and use of big data.[+12 sentences] This will have the twin benefits of levelling the playing field between first movers and startups and fostering a vibrant pro-innovation environment. Importantly, too, academics should not be left out of the data game. At this point, let me declare my interest as a professor at the Singapore University of Technology and Design and a member of the Social Science Research Council. Mr Speaker, our world is beset by a host of wicked problems, such as sharpening income inequality, climate change, rising populism and the damaging scourge of online falsehoods. The best and brightest talents in our world-leading universities have much to offer by way of problem solving, as the multifaceted COVID-19 crisis has highlighted. With more concerted regulation around data sharing, we can ensure that universities are well-equipped with robust data to conduct research for societal benefit. I would like to further suggest that there be greater data sharing by the Government, for example, from its national level surveys. Such data can help to facilitate productive and evidence-based policy analysis by academics and researchers in our universities and research institutes. Concerns around data security can be addressed through the generation of synthetic data that realistically represents authentic data but that protects privacy and confidentiality. I am glad that plans are apparently underway for such data sharing and I welcome further details as soon as they are available. Moving forward, we should also consider studying the experience of countries, such as New Zealand and the UK, that have advanced data sharing infrastructures and procedures, to identify best practices that we can seek to emulate. Data sharing by the Government is a strategic shift we must undertake to fully realise our Smart Nation ambitions. Precisely because our economy is maturing and transforming, change is, indeed, the only constant, and our workforce has to be prepared for that reality. I, therefore, applaud the SkillsFuture Credit top-ups in Budget 2020.[+16 sentences] However, this infusion of funds will be for nought if attitudes to upskilling do not shift. My last "M" is, therefore, mentality. Our collective mentality around upskilling must change from "nice to have", to "must do". And this mentality has to be shared by workers, employers and educators. During a recent conference, I had the benefit of exchanging insights with practitioners and researchers in the adult learning ecosystem. We all converged around several sobering points, that while our workers need to constantly upskill, they do not find the necessary motivation to do so. This arises from a combination of work-life pressures, inertia and resistance to change, and a sense of defeatism that the new skills they acquire will not translate into concrete improvements in their salaries or job prospects. Separately, when employers are dismissive of their employees’ needs or interest to upskill, their motivation is further undermined. Such negative mentalities around upskilling must be addressed, be it through nudges, support programmes or public education efforts. Importantly, too, we cannot expect Singaporeans to develop an inherent drive to learn unless they associate schools and other learning environments with positive experiences. As I mentioned in my Adjournment Motion in Parliament last month on the fear of failure, the overwhelming achievement orientation in our education system does not imbue an intrinsic love for learning. Instead, students become Machiavellian and grade-oriented, while instructors then teach to the test to meet key performance indicators. To become a nation of lifelong learners, we need to accelerate our transition away from a focus on grades towards broader and more enduring learning outcomes. Students should not just be learning but learning how to learn. With greater attention to these three "Ms" of mobility, maturity and mentality, I am confident that we can overcome the challenges ahead, both distant and immediate. I wish to, therefore, conclude by underlining my strong endorsement of the subsidies announced in response to the current COVID-19 crisis. The $4 billion package announced to help workers remain employed through three months of offset wages offer a vital lifeline in current climes. By helping an estimated 1.9 million local workers through this key Jobs Support Scheme, we can help to allay the anxieties of these workers and their families and demonstrate that ours is an inclusive society where we have a head but also a heart.[+1 sentence] Mr Speaker, I support the Budget.
Mr Speaker4 words
[+1 sentence]Mr Ang Wei Neng.
Mr Ang Wei Neng (Jurong)1966 words
[+11 sentences]Mr Speaker, Sir, I rise in support of the Budget. I would like to, first, declare my interest as the CEO of ComfortDelGro Taxi Business. Given the concerns over COVID-19, I am proud that Budget 2020 is the result of quick response, built on a deep understanding of what Singaporeans are feeling and going through. The Budget is one which will help us all to ride through this period of global panic in a calm manner. At this juncture, I would like to thank the frontline staff, especially the healthcare heroes, the Ministry of Health's (MOH’s) team and all involved in fighting the COVID-19 for their sacrifices, dedication and determination. I am also heartened that in preparing Budget 2020, Deputy Prime Minister Heng Swee Keat and his team had spoken to more than 1,000 people, including corporate chiefs, to collect feedback. As someone who is active in both the public and private sectors, the issue of balancing regulations to take care of the interest of the regulators and the companies being regulated, is one which continues to be of concern to many. Following my speech during the 2019 Budget Debate about cutting red tape, I was heartened that there were anecdotal improvements. But apart from extraordinary situations, it is important for the policymakers to consult the stakeholders regularly. Such consultation is a continuous process and a never-ending journey. One area that catches my attention is the Singapore Exchange's (SGX's) competitiveness. Following my Parliamentary Question in January 2020, last month, I am glad that SGX has relaxed the need for quarterly reporting and announced that half-yearly reporting will suffice.[+3 sentences] This is a good move to reduce compliance costs. However, SGX seems to be losing its shine. I understand that many local companies are listing on other stock exchanges in New York, London and, especially Hong Kong, over SGX. In 2019, 10 Singapore firms were listed in Hong Kong, raising US$155 million.[+6 sentences] This is a 25% increase from 2018, according to data compiled by Bloomberg. Computer gaming accessories company Razer chose to list not in Singapore but in Hong Kong in November 2017. Some of these firms listed overseas are apparently drawn to better liquidity and higher valuations. I have personally spoken to the head of two companies that listed their companies in Hong Kong last year. They have also affirmed the same. Worse, according to Euromoney.com, delistings over the last five years have outnumbered listings. The number of companies registered on SGX fell to 741 at the end of 2018, from a peak of 782 in 2010.[+8 sentences] From the reply to my Parliamentary Question in January 2020, I understand that SGX is not tracking the number of local companies that choose to list in other countries. It may be wise for SGX to connect with some of these companies to find out why they choose to list their companies overseas. This would also have implications on Singapore’s ambitions to become a prime financial hub. Next, Mr Speaker, I would like to touch on the issue of sustainable transport. As a person intimately involved in the management of a large fleet of more than 10,000 taxis, sustainable transport is an issue which I am most concerned with. On a yearly basis, ComfortDelGro Taxi replaces more than 1,000 vehicles on average and we are keen to replace them with cleaner vehicles that emit less carbon dioxide. Currently, we are trying to speed up the replacement of diesel taxis with petrol-electric hybrid taxis. Meanwhile, we also have four full electric taxis. Thus, we are fully supportive of Singapore’s drive to move towards a sustainable and "green" transport and phase out petrol and diesel vehicles by 2040. I am heartened by MOF’s announcement to launch an EV Early Adoption Incentive (EEAI) by providing 45% rebate off the Additional Registration Fees (ARF), capped at $20,000 and subject to a minimum ARF of $5,000. At the same time, the Government will impose an additional road tax of up to $700 per year for EVs.[+10 sentences] When we do a calculation based on the more popular Korean full electric passenger car, the EEAI scheme does not appear to be attractive. In fact, the current Carbon Emission-Based Vehicle Scheme (CEVS) which offers a rebate of up to $30,000 off the ARF is more attractive than the EEAI scheme of only $20,000. The additional road tax makes EEAI even less attractive. In addition, cabbies who drive EVs have to endure the inconvenience of taking 30 minutes to one hour to fully charge their electric taxis. The promise of halving the charging time and halving the cost of car battery every three years still remain a promise. In fact, some in the car battery industry point out that "exaggerated claims are commonplace, and that not everyone is convinced” that planned car battery breakthroughs will become a reality. Thus, I would like to clarify with MOF whether they really think that the EEAI will entice fleet owners like us to choose EVs over hybrid vehicles. Do not get me wrong, I am supportive of having more "green" and "clean" vehicles. It is just that we do not want Singapore to bet on the wrong "green" car, like the experience we had with compressed natural gas (CNG) cars. Rather than putting all eggs in one basket, I would like to suggest considering other alternatives to not replace, but supplement EVs, like fuel cell or hydrogen vehicles. China, Japan and South Korea are already working to put millions of hydrogen-powered vehicles on their roads, because it is not only cleaner, its driving range and refuelling time are comparable to gasoline cars. We understand that in the second half of 2019, that is, last year, the Prime Minister's Office (PMO) awarded a hydrogen feasibility study to American engineering giant Kellogg Brown and Root, to assess the feasibility of importing hydrogen for downstream uses, ranging from vehicle fuelling to power generation.[+8 sentences] Can PMO or the Land Transport Authority (LTA) share their preliminary thoughts while waiting for the full report of the study? This year's Budget, Mr Speaker, is the Unity Budget with an eye on COVID-19. Mr Speaker, Sir, please allow me to speak in Mandarin. (In Mandarin): The COVID-19 outbreak has seriously impacted many Singaporeans, including taxi drivers. When people talk about the smaller crowd in downtown areas, I lament the fall in businesses for taxi drivers. During the SARS outbreak, even though there was a drop in foreign tourists, locals still go to work as usual. But today, many office workers take turns to work from home and this has worsened the situation for taxi drivers. We thank the Government for launching a special relief package for taxi drivers on Valentine’s Day. Taxi drivers will receive a rental rebate of $10 per day from the Government, and another $10 per day in rental rebates from taxi companies.[+2 sentences] In total, taxi drivers will receive rental rebates of $20 per day. Yet, taxi drivers still complained. Taxi companies then decided to provide another $16.50 in daily rental rebates to taxi drivers.[+7 sentences] In other words, taxi drivers will enjoy up to $36.50 in rental rebates per day. Even though taxi companies will be running at a loss by doing so, for the sake of taxi drivers and the taxi industry, taxi companies still decided to go ahead with the rental rebates. But still, many taxi drivers are unable to make a living. We, therefore, hope that Deputy Prime Minister and Finance Minister Heng Swee Keat will consider providing more assistance for taxi drivers. Thank you! (In English): For taxi drivers, their loved ones are most impacted by the outbreak. All the taxi companies are providing additional help over and above the Government's Special Relief Fund (SRF) of $10 per day. Some taxi companies, including ComfortDelGro Taxi, is providing additional rental rebate of up to $26.50 over and above the SRF. That is, cabbies are getting a total rental rebate of up to $36.50 per day until the end of March 2020.[+22 sentences] With these additional rebates, the taxi companies will go into the red over the next few months. Even then, the cabbies are still suffering a significant drop in their net income. Thus, I call on the Government to do more for cabbies. Perhaps the Government can consider matching what the taxi companies are doing for the cabbies by increasing the quantum of the SRF. Singaporeans will remember the good deed by the Government. Just a couple of days ago, one cabby by the name of Robert Chew wrote me a touching email. Let me read out an excerpt of what he wrote: "I would like to thank you as Member of Parliament for bringing our feedback to our Government and working with them to offer us some financial assistance by way of supplementing our daily rentals. These are, indeed, very hard times for us as our incomes have been severely hit and many drivers have given up. Not to mention also the daily stress of fearing for our own health as we are frontline service providers who do not want to be a problem to our loved ones. Sir, I would like you to know that we appreciate any help your company and the Government are providing us to help us survive this episode. This fight is far from over and may last several more months. Let us work together in our fight against this epidemic as we look forward to coming out of this crisis stronger and better. We most certainly will overcome. We must! May you and your loved ones stay safe and healthy." Robert summarises nicely the sentiment of many taxi drivers. Other than point-to-point drivers, the livelihood of Singaporeans working in the private sectors have been badly affected by the negative impact of the economy. Those working in the tourism industry are the worse hit. Gig workers and freelance workers are also badly hit. Many freelance workers are engaged by Government departments. For example, fitness instructors engaged by Active SG, orchestra music instructors engaged by MOE schools are having their earnings significantly reduced when organisations are cancelling activities involving more than 50 people. While there is a cancellation clause which is included in the contracts of some legally savvy freelancers, many others do not. For such cases, I would like to appeal to MOF to allow the Government agencies to pay up to 50% of the fees charged by freelancers even when their engagements are cancelled due to COVID-19.[+11 sentences] Such help will go a long way in keeping them afloat. Another vulnerable group are those in society who receive help from charities and non-profit groups. As fundraising has almost come to a standstill, this is because many businesses are more concerned with survival than corporate philanthropy. Thus, we must do what we can to help keep these charities and non-profit groups going and stretch their fundraising dollars. I would like to suggest the Government extend the Bicentennial Community Fund (BCF), where the Government matches $1 for each dollar of donation. It was supposed to end on 31 March this year in 2020. But I strongly advocate that it be extended until the end of 2020 so that the beneficiaries whose lives depend on the money raised from well-wishers can continue to get help. In conclusion, Mr Speaker, Sir, Singapore has done a very good job of managing COVID-19, putting in all resources in finding and healing the sick. The greater challenge now is how we can pull together and help one another. Those who can must help those who cannot to tide over the economic crisis. The Budget has made a very good first step and the rest of the journey is for us to walk together and, together, we can overcome the odds.
Mr Speaker49 words
[+5 sentences]Order. I propose to take a break now. I suspend the Sitting and will take the Chair at 4.20 pm. Sitting accordingly suspended at 4.00 pm until 4.20 pm. Sitting resumed at 4.20 pm
Mr Deputy Speaker4 words
[+1 sentence]Assoc Prof Walter Theseira.
Assoc Prof Walter Theseira (Nominated Member)2546 words
[+10 sentences]Mr Deputy Speaker, from the 14th to the 15th century, wages in Europe doubled and inequality declined significantly. Inequality would not rise to the same level until the 1700s. The cause was not productivity improvements or upskilling. Unfortunately, the cause was the Black Death, also called the Plague, which killed, by some estimates, more than one-third of the population in Europe. The demand for labour went up and land was redistributed amongst the survivors. The Plague is a zoonotic disease. The bacterium is endemic to rodents and carried by the fleas that infest rats. The Plague originated in China, was carried west along the Silk Road by traders and spread thence to Europe, most famously, by Italian traders fleeing the Mongol siege of Caffa by ship. The Plague destroyed not only populations, but also the existing social and economic order throughout Europe. Governments of the day responded with novel and extreme measures. In England, the Statute of Labourers 1351 made it illegal for workers to demand pay greater than those wages prevailing before the Plague. While there is little evidence it was effective, it appears to have contributed to a major English peasant revolt in 1381.[+10 sentences] Governments also realised, perhaps belatedly, that inequality itself weakened society's ability to resist the Plague. The poor could not afford treatment, but they could pose a risk to all if they contracted it. As a result, towns hired plague doctors to treat rich and poor alike without payment. Necessity is the mother of public health. I tell this story in the hope that history does not repeat itself. But it is startling what the parallels are between the Plague and COVID-19. The policy questions have changed little over the years. COVID-19 is more than a public health risk: it is a threat to the present global political, economic and social order. China's strong policy of containment has essentially decoupled China temporarily from the global economy. Singapore has suffered more than most. In 2018, 3.4 million tourist arrivals – nearly one in five that year – were from China, and China is our largest trading partner. The efforts of Budget 2020 to address the economic impact of COVID-19, and beyond that, to restructure the economy, are timely and I fully support the intent behind them.[+10 sentences] But even if, as we hope, the impact of COVID-19 will be short-lived, it would be irrational to plan to return to the same apparently prosperous world that we inhabited just a few months ago. Countries and companies are assessing whether economies and supply chains should be so tightly coupled. So, for our part, we should take this opportunity to strengthen weaknesses in our economy and society that may yet affect the course of the outbreak and our resilience to future ones. International experts, Mr Deputy Speaker, have judged that Singapore's approach to COVID-19 is a model for public health systems worldwide. We should be proud of the hard work that our healthcare and Home Team institutions have put in to protect our society. We can afford the tremendous costs of containing COVID-19 because we have a highly successful market-based economy. But there is a paradox there. Our efforts to contain COVID-19 now depend on many people in the frontline who have benefited much less from the market economy than others have. Our efforts also do not depend on the private healthcare sector. They instead depend on the strength of our public healthcare institutions which are paid for outside the market. The key contradiction which the present crisis has highlighted is the growing and invidious divergence between market prices and social value.[+23 sentences] To understand this, we need to deconstruct the ideology or the myth of market forces. In crude terms, the myth is the idea that the price and distribution of goods and services, determined by competitive market processes, must be efficient and socially appropriate. This model of market forces underlies our policy thinking about economic restructuring because, for the most part, it works well. It is impossible to protect all jobs or industries in economic restructuring, because doing so would cripple the efficiency of the economy and harm ourselves in the long run. However, we should never assume that the market price is equivalent to social value. Market prices may be efficient, but that says little about it being equitable or socially desirable. What comes to mind to illustrate this is how the frontlines of our war against COVID-19 have been increasingly manned by people whose market prices are low but social values immeasurable, especially during a public health crisis. Rosalind, one of the cleaners at my university, does more on a daily basis to protect our students and staff from COVID-19 than I possibly can. She and her colleagues go into our offices and classrooms and toilets daily to make sure that they are disinfected. The cleaning frequency has been stepped up. She bears the risks of cleaning up dirt and spills and worse things and she has more work now but the same pay. Our Town Councils, likewise, largely depend on foreign workers and elderly local cleaners who do jobs that few of us would accept for the same pay. This disconnect between market prices and social value is not a problem confined to those of the lowest incomes. Security officers put themselves at risk serving quarantine notices and screening for sick persons at our institutions. One such officer did, in fact, contract COVID-19. Our emergency medical responders and nurses put themselves at risk every day as their work puts them in direct physical contact with the sick. And our general practitioners (GPs) are working under very difficult circumstances to screen and treat the sick, to make the judgement call if a patient is a suspect COVID-19 case. Yet, the rewards for GPs have never been very high compared to that for specialists and surgeons, to say nothing of the pay for nurses and first responders. There may be market reasons why elective aesthetic surgery gives a doctor a much better living than primary care, but surely, there are few social reasons why this is so. A second reason for interrogating the myth of market forces is that there is no guarantee that market prices and allocations reflect efficiency. In theory, prices in a competitive market track the marginal productivity of any resource closely. This implies the market allocation of resources should be efficient at producing the greatest useful output for society at the least cost. But this need not be true, especially once we consider the importance of resilience in maintaining social functioning in difficult times. Market forces have concentrated the production of medical personal protective equipment, such as surgical masks, in a relatively small number of factories worldwide, many of them in China.[+3 sentences] Medical institutions worldwide do not keep significant reserve stocks because the supply chain is usually swift and reliable. In normal times, yes, the globalised system of production is superbly efficient. We would, in fact, question normally whether it is good value for money if MOH were to start subsidising the costly production of surgical masks in Singapore, or the creation of a stockpile that far exceeds that of projected clinical use. The COVID-19 outbreak, however, demonstrates the limitations of efficiency as the sole judgement criterion.[+4 sentences] The Straits Times reported on 21 February, just last week, that private hospitals in Singapore have seen big drops in foreign patients. Usually, they get about 40,000 medical tourists a month. But now, many have cancelled their appointments. Now, normally, it is a good thing to have a thriving private medical sector in Singapore. It gives patients choice; it makes Singapore a medical hub. But it is likely, if the COVID-19 outbreak worsens, that our GPs and public hospitals will continue to be severely stretched with a high caseload while the private specialist sector may well be short of work.[+22 sentences] This is neither resilient nor efficient. And yet, it is the market outcome, because there is market demand to pay for excess capacity in the private sector. There is none to pay for it in the public sector. Our public healthcare system is under pressure, as are healthcare systems worldwide, to be more efficient, to cut waste and slack. To keep public healthcare prices low, we schedule appointments for subsidised healthcare as tightly as possible, to extract the most out of our manpower and equipment. This comes at a hidden cost to the resilience and morale of our healthcare workers. In a crisis, these effects become more salient. Any lack of slack means that, in a crisis, we risk having insufficient spare capacity to deal with unexpected surges in demand. We must then rely on our healthcare workers to work overtime to keep us safe. China and now Korea’s experiences in managing the current crisis are important reminders of how vulnerable our public healthcare system could be. We are just one unlucky "super spreading" incident away from severely taxing our public hospitals. To be sure, the Government has done well in planning ahead. The National Centre for Infectious Diseases (NCID), which has been a mainstay of our fight against COVID-19, is proof that we have taken the lessons of SARS to heart. But we must guard against the short-sighted pursuit of efficiency at the expense of resilience. We may have to prepare for a new normal where increased globalisation and the disintegration of public health systems worldwide mean that we will face imported disease outbreaks more frequently than ever before. Let me now turn to inequality, Mr Deputy Speaker. The COVID-19 outbreak is likely to hurt the livelihoods of those who already live precarious economic lives – the freelancers, the workers in SMEs. The market forces myth explains inequality through the argument that pay is equal to productivity. This, in turn, forces us to emphasise improving our productivity in order to raise wages, which, in the long run, is more sustainable. But there are any number of market distortions which would explain why the productivity-to-pay relationship. While it may hold on average and in the long run, it does not always hold for the individual or even the sector. In Singapore, wages for low-income workers stagnated for much of the 2000s. The occasional paper on "Income Growth, Inequality and Mobility Trends in Singapore" published by MOF in 2015, documents that from 2004 to 2009, cumulative per-member household income growth was only 4% for the the lowest quintile, as opposed to 19.5% for the top quintile.[+4 sentences] Were the prices right for low-wage labour in the mid-2000s? If we believe fully in price theory, the answer is yes and there is nothing that can be done about it beyond Government support and transfers. But, fortunately, wiser heads prevailed. In 2012, the former Chairman of the National Wages Council, Prof Lim Chong Yah, called for "wage shock therapy" to raise the wages of the bottom income earners while freezing that at the top. While the Government did not agree with Prof Lim's approach to the problem, it nonetheless worked through the tripartite framework to introduce the Progressive Wage Model, which provides an explicit framework for pushing salaries up in key low-wage sectors.[+1 sentence] We have seen a strong reversal of formerly stagnant wage growth for low-income Singaporeans. As reported in the latest Key Household Income Trends 2019, cumulative real growth in per-household member income was 29.5% and 31.8%, for the first and second deciles, from 2009 to 2019. Top decile income growth, meanwhile, slowed to 15.9% for the same period.[+5 sentences] Does this mean that productivity for low-wage workers has jumped by 30% over the last decade? It is difficult to take at face value without more study the price theory implication that cleaners have suddenly become hugely more productive, even with the benefit of training. I suspect it is more likely that wages were simply too low, possibly because of the easy access back then to low-wage foreign workers and our low-wage workers' lack of bargaining power. In any case, the solution to being a nurse is not for that nurse to become a doctor, and the solution for cleaners is not to hope that our children do not have to take up that job or to depend on an inexhaustible supply of low-cost foreign labour. Society needs both nurses and doctors, cleaners and lawyers. The solution is to pay and respect low-wage workers better.[+6 sentences] Mr Deputy Speaker, in recent days, key corporations in Singapore, starting with Temasek Holdings and now including Singapore Airport Terminal Services, Singapore Mass Rapid Transit (SMRT) and Capitaland and perhaps more, have decided to restructure and reduce the wages of senior management staff in light of the COVID-19 outbreak. I applaud these moves to demonstrate solidarity with Singaporeans on the ground. They are important not just for the morale of frontline staff, who may yet face cost-cutting, but also send a signal that the risks and costs of COVID-19 should be socially distributed. Let me suggest that, this year, we orient all efforts towards protecting and even increasing the wages of lower-paid Singaporeans, and paying for it by restraining and restructuring the wages of those higher up, which would include I would suggest, hon Members, as leaders in their own professions. Today, we commend our cleaners, security guards, nurses and public health workers for being on the frontline of protecting us against COVID-19. We acknowledge the work of our public transport workers, hawkers and shopkeepers in keeping our supply lines and life running as normal. Can we give them a tangible increase in their salaries to acknowledge their sacrifices? If we do not have the words to express our gratitude, then at least, let us have the dollars.[+12 sentences] More fundamentally, COVID-19 and the demands of economic restructuring should have us question whether our social risk-sharing institutions for unemployment, housing and healthcare provide sufficient protection and resilience. There was a lively debate yesterday on unemployment insurance in the Chamber and the discussion should continue. We cannot depend just on charity for filling in the gaps, especially since charitable activity may also be hurt by an economic or social crisis. In particular, our resilience today to major shocks, such as COVID-19, depends very much on the Government of the day enacting strong and tailored measures, because we do not have many automatic risk-sharing measures in place. This is both a strength and a weakness because resilience depends on the performance of the political leadership of the day. Events near to us show that this cannot be guaranteed. I started this speech by noting how the Black Death fundamentally reshaped economic and social institutions in Europe. The long-run history of economic inequality is that significant reductions have only occurred in the wake of huge disasters, such as the Black Death, the collapse of empires, the First and Second World Wars. Left unspoken is whether inequality played a role in precipitating these collapses. At the moment, it seems, if we are fortunate, COVID-19 will only be a shock, not a disaster, for the global economy. But we have to continue the work of strengthening and restructuring our economic and societal institutions to ensure that when the next test comes, Singapore will stand as resilient as it has today. Mr Deputy Speaker, I support the Government’s Budget.
Mr Deputy Speaker6 words
[+1 sentence]Senior Parliamentary Secretary Low Yen Ling.
The Senior Parliamentary Secretary to the Ministers for Education and Manpower (Ms Low Yen Ling)1742 words
[+9 sentences]Mr Deputy Speaker, the emergence of COVID-19 has in recent months placed several threats in our horizon near and far. However, we take heart that since SARS, we have built up our defences and are better prepared to deal with this virus outbreak today. We are deeply thankful to our healthcare workers, Government agencies, cleaners and many frontline personnel who have put their duties first, to protect us. Apart from these, we have a strong foundation of community help and network to respond to challenges that come our way. Since its formation, the Community Development Councils (CDCs) have played a critical role in partnering the community to strengthen bonds and help vulnerable groups. We have the “ABC" mission – A stands for Assist the Needy, B stands for Bond the People, C stands for Connect the Community. The mission is even more crucial than ever in a time like this. Each of the five CDCs – Central Singapore CDC led by Mayor Denise Phua; Northeast CDC led by Mayor Desmond Choo; Northwest CDC led by Mayor Teo Ho Pin; Southeast CDC led by Mayor Maliki Osman; and Southwest CDC helmed by myself – has its own set of local assistance schemes to meet local needs, as well as programmes to foster community development and ownership. A diverse range of partners from the community contribute to improving the welfare of the community and those in need. For example, in 2019, the CDCs rolled out 111 local assistance schemes that benefited close to 156,000 beneficiaries. Deputy Prime Minister Heng Swee Keat has, in this year’s Budget, provided $20 million for the CDCs to better meet the needs of their residents through local initiatives.[+7 sentences] To this end, the five CDCs have been working together to launch an island-wide initiative to provide meals in the heartlands for vulnerable families. This effort not only complements the Care and Support package to help Singaporeans who need extra support with the cost of living, it will also bring business to many heartland food joints and coffee shops which are feeling the effects of the slowdown due to COVID-19. Yesterday, Member Mr Png Eng Huat had suggested that the grocery vouchers for low-income families be extended for use in small retail shops. In the past few years, our local constituencies have been working with heartland retailers and businesses to meet the nutritional needs of low-income families. The mayors and the CDCs welcome the timely $20 million injection of funds which will provide additional resources for us to scale up these efforts across the nation and reach out to more of those in need, as well as boost the support for local businesses and heartland enterprises. The upcoming Free Meals and Drinks scheme will be redeemable at participating coffee shops, participating food courts and participating heartland enterprises. Details are currently being worked out and will be released in due course. The $20 million Meals in the Heartlands initiative is expected to benefit some 100,000 vulnerable families and each CDC will administer the scheme accordingly to meet the needs of its residents.[+12 sentences] Mr Deputy Speaker, Sir, being able to have a decent meal is a form of security and support key to boosting the resilience of families in need. Earlier, Prof Lim Sun Sun also talked about the importance of nutritional meals. These are important for the kids to start the day right. For example, the ability to have a simple breakfast of kaya toast and eggs – whether with Milo for the kids and Kopi-O for the parents – as a family can start the day right, and put parents and kids in a better mood to bond, talk and share. These kinds of moments can often be elusive for those preoccupied in making ends meet. So, it is even more important for them to receive greater help in this area. Taking a ground-up approach, the CDCs will work closely with partners in the community, merchant associations, F&B outlets, self-help groups, Social Service Organisations, grassroots leaders and volunteers to form a cohesive network of support to shore up the nutritional, physical and psychological needs of this group of Singaporeans. This win-win solution not only provides businesses with additional revenue during uncertain times, it serves the families in need and brings the community closer together in mutual support. This type of collaboration benefits the community at large and the CDCs have often involved volunteers and organisations who reach out to those in need. For instance, we have had the Central Singapore Milk fund for children; we have the NorthEast Community Vouchers; we have the NorthWest Food Aid Fund that provides food vouchers, cooked meals and food rations; we have the SouthEast Roxy Family Fund for daily expenses like diapers, food or medicine; and we have Food Connect@SouthWest and Meal Service@SouthWest. In the coming months, we will see the CDCs widening our outreach and deepening our engagement with partners as we work together to beat the COVID-19 storm. SMEs form the lifeblood in our economy. SMEs make up 99% of our enterprises and SMEs hire close to 70% of employees in Singapore.[+2 sentences] Since 2013, seven years ago, CDCs have partnered Enterprise Singapore, key trade associations and business chambers to each set up an SME Centre in each of the five CDCs. The SME Centres reach out to heartland enterprises and support them through capability workshops, Government schemes, advisory services and help them improve productivity. Last year, 6,800 SMEs benefited from the business advisory sessions from the SME@CDC centres and another 2,400 companies took part in 60 capability workshops to enhance their brand, productivity and marketing.[+3 sentences] The CDCs will continue to do more for our SMEs as they face the need to constantly evolve to stay relevant in today’s disruptive climate. From training and talent development to business advice and community partnerships, we will continue to deepen our efforts with heartland businesses to energise their growth and survival as SMEs provide the majority of jobs in Singapore. Apart from working alongside SMEs, the CDCs are dedicated to improving the future and prospects of Singaporean workers. In 2017, we started SkillsFuture Advice to help Singaporeans navigate their lifelong learning journey and capture opportunities to skill up with courses that they can attend with their SkillsFuture Credits.[+1 sentence] The CDCs have since surpassed the initial outreach target of 80,000 individuals in three years. By 2019, more than 100,000 Singaporeans have participated in over 3,700 SkillsFuture Workshops in the heartlands, in the community.[+12 sentences] Building on this strong foundation, the five CDCs look forward to closer collaborations with SkillsFuture Singapore, Workforce Singapore and the National Trades Union Congress' Employment and Employability Institute to expand our SkillsFuture Advice outreach. All five CDCs will intensify our momentum to help Singaporeans, especially mid-career and also mature workers, to be better equipped and resourced to cope with the impact that COVID-19 may have on their careers. Mr Deputy Speaker, Sir, please allow me to continue in Mandarin. (In Mandarin): Neighbourhood shops and micro businesses in the heartlands are important members of our community and are important to the larger community as well. Over time, many residents and shopkeepers have become friends, and the entire neighbourhood feels like a close-knit family. The merchants' associations are important organisations that represent merchants and they exist in many constituencies. Grassroots organisations, CDCs and various merchant associations have always been in close communication, working together to organise various activities and events to inject vibrancy into the neighbourhoods, boosting pedestrian traffic to bring in more business. Here, I will share an example. In the Bukit Gombak constituency where I serve, a Chinese New Year (CNY) event that is similar to the River Hongbao is organised every year. Businesses in the neighbourhood would participate in the CNY bazaar, and there would be large lantern displays and Getai to attract residents to the town centre to shop, eat and enjoy Getai performances. Both residents and neighbourhood merchants benefit from this win-win event, and I know that many constituencies have similar CNY bazaars. From this example, we can see that maintaining the vibrancy of communities and neighbourhoods can help to ensure a sustainable business environment for heartland merchants. In terms of funding, besides the $1.6-billion-dollar Care and Support Package, the Government will also set aside $20 million for ComCare schemes under the CDCs.[+4 sentences] This will allow CDCs to work with neighbourhood merchants to help low-income families through their individual platforms. At the same time, this will help to boost residents’ spending at neighbourhood shops and coffee shops. More details will be revealed by the five CDCs soon. The mission of the five CDCs is to build a caring and cohesive society, and many assistance schemes by the CDCs are people-centred. In 2019, we implemented 111 measures that helped more than 150,000 beneficiaries.[+1 sentence] To better assist our neighbourhood shops in achieving success, the CDCs, Enterprise Singapore, trade associations and merchant associations have banded together to set up SME centres to provide advisory services for heartland merchants. In 2019, about 6,800 shops have made use of this advisory service.[+11 sentences] Another 2,400 small and micro businesses have also participated in workshops to improve their operations, management and promotion strategies. Although large merchants have the advantage of providing new and diversified offerings, neighbourhood merchants have the advantage of providing personalised services, as well as friendships and mutual understanding with customers built over the years. This is extremely valuable. People say that there will be business for shops as long as the community is vibrant. One crucial factor is taking proactive measures to drive customer traffic in the neighbourhood. It is the shared responsibility of everyone to ensure that the community and neighbourhood remain vibrant, to build a pro-people, pro-business and friendly neighbourhood. (In English): Mr Deputy Speaker, Sir, although the months ahead may hold uncertainties, we can be sure that, on the ground, the five CDCs are fortifying the network of support across the heartlands and strengthening our local businesses, our vulnerable families and Singaporean workers. With concerted and specific measures as well as fresh resources, we are closing ranks with fellow Singaporeans and heartland enterprises as well as local businesses. As we fight back, as we steady our ship, as we hold our ground, we can get through this together. For no matter what the odds may be, we stand as one – SG United – overcomers, to emerge even stronger. Mr Deputy Speaker, Sir, I support Budget 2020.
Mr Deputy Speaker4 words
[+1 sentence]Mr Ong Teng Koon.
Mr Ong Teng Koon (Marsiling-Yew Tee)1565 words
[+9 sentences]Mr Deputy Speaker, this year’s Budget Debate is taking place under the dark clouds caused by a global pandemic. But Singaporeans can take heart that we are better placed than almost any other country to deal with this crisis and to mitigate its impact. The Government has gone all out to address the potential fallout from COVID-19, and my residents would like to express their thanks to the Government for this Budget and all the help that it has been offering. My residents have also asked me to express thanks to our frontline workers whose bravery, commitment and calmness have inspired all of us to carry on. However, COVID-19 is a once-in-a-decade threat to the economy and the full effects are not even apparent yet. Even if it does not get worse, it has already blasted a hole in the world’s supply chain. Chinese manufacturers have shut down for a month and many industries are hurt because of lower Chinese demand and because of the broken Chinese supply chain. To cushion the impact on local businesses, the Government has introduced a comprehensive set of measures in this year's Budget. Protecting businesses means protecting jobs and protecting families. This is why I support the Government’s efforts to inject additional stimulus in the economy. I am especially appreciative of the Stabilisation and Support Package where $4 billion will be made available to local businesses to tide over short-term dislocations, and the Transformation and Growth Strategy where $8.3 billion will be made available to local businesses to position for the future.[+2 sentences] Mr Deputy Speaker, nevertheless, I would like to make four additional suggestions for the Government to consider. The first point relates to feedback from the SME community. The Stabilisation and Support Package will help small enterprises but it is really too small for medium enterprises.[+1 sentence] There is a "sandwich" class of companies where it is too big for such small help to matter but too small to survive for long periods of negative cash flows. The Corporate Income Tax rebate of 25% of tax payable is a welcome measure, but it is capped at $15,000.[+8 sentences] This is a small drop in the ocean for such companies. Even a $600,000 loan guarantee by the Government may not be enough for a medium enterprise whose revenue may be up to the region of $50 million to $100 million a year. I would like to urge the Government to calibrate and scale this assistance according to the size of the company. The second question relates to the timing of the help. What can the Government do to speed up cash flow assistance to these companies? It has been almost six weeks since the virus started to impact travel and commerce. Many businesses are already running down on their reserves and they cannot depend on their suppliers to extend credit because their supplies are similarly impacted. Cash flow is the lifeline of every business. From what I heard from the banks, it will take until mid-March to approve new loans and these loans will not be disbursed until mid-April.[+23 sentences] For some, this will be too late. So, I would like to ask the Government what more can we do to open the spigot to make sure that these companies do not go down because of the virus in the short term. The third point relates to what we must do to prevent short-term pain becoming chronic, in the form of long-term unemployment among mature professionals, managers, executives and technicians (PMETs). If companies go under because of COVID-19, many jobs will disappear and may never come back. Even if they come back, they might go to a different, younger crowd. Employment for mature PMETs exhibits a ratchet effect. It only goes one direction. It is much easier for a mature PMET to lose a job than to be hired back into one. So, the emphasis on SkillsFuture 2, SkillsFuture Enterprise Credit and the SkillsFuture Mid-Career Support Package in this year’s Budget is, therefore, much welcomed. I am also gratified to learn from the Deputy Prime Minister's Budget speech that in the last three years, productivity has risen by 2.6% per year and real median income has risen by 3.6% per year. These are positive developments for the Singaporean worker. But I would also like to ask how we can get Singaporeans to do the relevant training, instead of spending their SkillsFuture money on new skills and interests that might not help them to stay employed. I totally agree with the Deputy Prime Minister when he said that enterprises know best what are the skills needed for their businesses to transform. But under the Enhanced Training Support for SMEs, the Government already pays for 90% of the course fees and 80% of workers' salary while employees are undergoing training. Minister Josephine Teo also said in her speech that funding is not the constraint or the impediment that is preventing workers from getting training. But I know that SMEs are unwilling to send their workers because it is just too difficult for them to take their workers away from day-to-day work. Therefore, the new SkillsFuture Enterprise Credit that is capped at $10,000 per year might see a very low take-up rate. I would like to suggest for the Government to intensify efforts to help businesses to find replacement manpower to cover their employees when they are undergoing training. And this might even include having to pay the salary of such temporary replacements. This would encourage them to upskill their workers while not compromising their day-to-day activities. Residents have also given feedback that it is difficult to get placement into the Professional Conversion Programmes which operate on a "place and train" basis. Place and train means that you have to get placed in a job first before you can undergo training. But it creates a catch-22 situation for mature PMETs. They need the training to get a job, but need to get the job to get the training.[+1 sentence] So, they are stuck. I would urge the Government to provide more than the hiring incentive of 20% salary, capped at six months that is announced in the Budget, in order to further incentivise companies to make the first move.[+1 sentence] The fourth point is what do we do for the longer term, how do we increase the resilience of our economy and our workforce? A key lesson learnt from the COVID-19 virus is that even when you have money, you cannot buy a mask. Similarly, in the area of manpower, we need to build up our self-sufficiency.[+1 sentence] We need to reconsider outsourcing. I would encourage the Government to identify areas of critical need or essential services, and to build up a core of local talent.[+1 sentence] The speed and ability of the Government Technology Agency to swing into action and update from "gov.sg" or "maskgowhere" are testament that inhouse ability matters in times of crisis. Another example would be the need for experienced engineering tech talent, experienced engineering staff during the SMRT crisis in 2015. It might be cheaper to outsource in the short term, but the strategic value of insourcing would be very apparent and outweigh the cost when disaster hits.[+17 sentences] One way of doing so is to build up a local ecosystem of SMEs with the requisite local expertise to operate these industries to become our version of Mittelstand. Germany has its famous Mittelstand – the heart of German industry. The unifying mindset is a focus on social, intergenerational and community responsibility. Mittelstand companies contribute to the local economic and social welfare. They also offer stability and loyalty to their staff by investing heavily in training and retaining staff in times of crisis. This stands in contrast to the more common Western style of capitalism, with an exclusive focus on profits. Their overriding obligation is to their shareholders, not to other stakeholders like workers. This "winner takes all" mentality might have also contributed to the growing inequality problem that we see in the world today. From a societal perspective, it is not always clear that unbridled capitalism will lead to the best outcome. Perhaps it is time for us to explore how we can build a core of locally-anchored, stakeholder-conscious Singapore businesses that can help our economy in both good times and bad times. Singapore already has many of the ingredients to cultivate our own Mittelstand ecosystem. We are uniquely placed to work together as a Government and as a society to achieve a bold vision. Enterprise Singapore and the private sector can work together to identify the right industries. The Economic Development Board can bring these businesses to Singapore. Innovation can be driven by research and academic institutions, with funding from the National Research Foundation (NRF) and the Research, Innovation and Enterprise (RIE), and there can be tripartite collaboration with the unions to make sure that our workers have a voice. Trade associations can also help to mobilise the workers. Our emphasis on lifelong learning will provide a skilled workforce of craftsmen and domain experts. Perhaps what we really need is for the Government to invest in a Mittelstand fund or to start a Mittelstand development bank to catalyse the entire SME ecosystem. Give it an inspiring name, articulate the bold vision, set an ambitious timeline and make it happen.[+2 sentences] Let us show our pioneering spirit once again. Mr Deputy Speaker, I support the Budget.
Mr Deputy Speaker4 words
[+1 sentence]Ms Foo Mee Har.
Ms Foo Mee Har (West Coast)1700 words
[+1 sentence]Mr Deputy Speaker, Sir, this year’s Budget is set in one of the most uncertain times of Singapore’s history. Our economy grew by a modest 0.7% in 2019, its weakest growth since the 2008 Global Financial Crisis.[+7 sentences] With the current COVID-19 outbreak fast spreading across the world, the outlook for 2020 is even bleaker and more uncertain. Deputy Prime Minister Heng Swee Keat has provided much-needed assurance, by announcing a rock-solid Budget that inspires confidence to press ahead. People say money cannot buy happiness. But I can think of many things money, in the right hands, can provide: peace of mind, opportunities to better one’s circumstances and hope for the future. Budget 2020 offers us that. Let me elaborate. Singapore’s economic foundations have been and continue to be strong. The fiscal strength has enabled the Deputy Prime Minister to announce one of the most expansionary Budgets in 20 years – $106 billion to support families, seniors, workers and businesses.[+4 sentences] Budget 2020 will provide "Stabilisation and Support" for the current COVID-19 outbreak, enable Singapore to seize opportunities to transform and grow, as well as to build and secure our future. The money will come from diversified sources of tax, NIRC from our Reserves as well as accumulated surplus from previous years’ fiscal prudence and discipline. It is at times like this when we really appreciate having this reservoir of financial resources to keep Singapore on an even keel, come what may. It is at times like this when we should also reflect on the significant contributions made by NIRC. Its contribution to fund total expenditure has grown from 13% in 2015, it is now 22% in 2020 – projected to be 22% in 2020.[+1 sentence] So, in five short years, it has gone from 13% to 22%. Besides being the single largest source of revenue, NIRC is also projected to grow at 9.3%, compared to only 1.7% total increase in all the taxes in financial year (FY) 2020.[+28 sentences] I am worried about calls from some quarters for the Government to take more from our Reserves, rather than to safeguard our strategic "asset". Is it not unwise to kill the "goose that lays the golden egg”? I am even more worried about the growing dependency on NIRC. As NIRC is subject to volatility from tough investment environments, I would like to ask the Deputy Prime Minister whether it might be prudent to consider setting a threshold on NIRC dependency, beyond which recurrent spending should only be funded through recurrent revenue. I thank the Deputy Prime Minister for responding to my call to delay the increase in GST. Whilst he has assured us that GST will not increase for at least another two years and has also provided support in the form of the GST Assurance Package, some Singaporeans are still wondering why would we need to raise GST at all, given the apparent Budget surpluses and additional capacity of $6 billion of GST offsets? Increases in cost of living is foremost in the minds of many people, particularly retirees. Sir, I would like to repeat my call to the Deputy Prime Minister to continue looking for other sources of revenue. Even though the wealthy are already contributing substantially to our taxes through a progressive Personal Income Tax, GST, property tax, Additional Buyer's Stamp Duty (ABSD) and so on, I really believe there is still room to consider wealth tax and estate duties, all aimed at building an even fairer and more equal society. Some may be concerned that a reintroduction of estate duties, previously abolished in 2008, may harm Singapore's status as a leading wealth management centre and incentivise wealth and business owners to engage in complex structures for tax avoidance. As other forms of wealth taxation are now being considered by a number of other countries, the notion of wealth taxes generally do give rise to concerns about how taxpayers might react. But income and wealth inequality are global issues and there are wide recognition amongst governments and wealth and business owners of the need to address them. As the world moves towards considering broader and fairer tax systems, Singapore should maintain its principles of keeping tax structures simple and tax rates low whilst meeting the interests of all stakeholders, particularly of those who are most in need. So, now we live in a new era of automatic information exchange under the Common Reporting Standard and other global requirements to disclose beneficial ownership across the world. Transparency in ownership and value of assets is rapidly becoming a new norm. When tax is well structured at competitive and fair rates, together with tax treaties similar to those to which other jurisdictions are parties, an effective estate duty and perhaps accompanying wealth tax regime, may actually be an allure for assets to be maintained in Singapore. In a world of turbulence and uncertainty, Singapore's world-class infrastructure, rule of law, financial and political stability are priceless for peace of mind of the wealthy. This is especially so when the environment in Hong Kong, Asia's other leading wealth management centre, has been marred by months of street protests and instability, and long-term uncertainties regarding its tax and legal systems. Mr Deputy Speaker, Sir, I thank Deputy Prime Minister Heng Swee Keat for a very generous Budget with measures to help with cost of living, training, jobs and retirement adequacy. Whilst there is a really "feel good" sentiment on the ground, more needs to be done to help Singaporeans understand exactly how these measures will benefit them. And I am picking this up when I am on the ground trying to explain. There are many different schemes to keep track of, from the new schemes, such as Care and Support Package, Matched Retirement Savings Scheme, GST Assurance Package, to enhancements to existing programmes, such as the Silver Support Scheme and SkillsFuture top-ups. On top of existing support programmes, they all have very different qualifying criteria, some based on housing type, individual income, household income, age criteria and, often, combinations of criteria. And I do agree these multifaceted targeted schemes are more cost-effective than broad based ones. But together, they can become too complex for the average person on the street to digest. I would like to suggest that the Government provide a Personalised Budget Statement or make available a Budget Calculator on how Singaporeans and their family, based on their unique circumstances, can stand to benefit from Budget 2020. Sir, regarding support for businesses, I urge Deputy Prime Minister Heng to really stand ready to do more. The coronavirus outbreak has hit the businesses hard. The general feedback is that many businesses are experiencing up to a 50% drop from their usual volume, and the Budget measures are too small and too short term to address these challenges.[+5 sentences] Besides the dramatic impact on tourism, aviation and retail sectors, COVID-19 has significantly disrupted supply chains in manufacturing to even vegetables for the restaurants. Locked-down Chinese cities are unable to supply the parts that have become integral components of the supply chains here. Many workers are stuck in China, unable to return. Activation of Business Continuity Plans, extra cleaning, medical leave, leave of absence and so on have put additional pressure on costs and manpower. It will be especially crucial, I agree with Member Ong Teng Koon, to provide relief for cash flows to tide them over this difficult period. With $7.7 billion of Budget surplus left for this term of Government to tap on, Deputy Prime Minister Heng has ample ammunition to do more, I hope.[+1 sentence] I would like to ask if he would consider a second package if circumstances warrant it. Would the Deputy Prime Minister consider extending the Jobs Support Scheme to six months and increase offset of wages to 12%, as what was done during the Global Financial Crisis? Would he consider extending the support package to more sectors?[+18 sentences] Would he also consider coordinating efforts with banks to restructure loans, so that SMEs and affected individuals can get a moratorium on repayments for, say, up to six months, just to ease their cash flow? In the meantime, it is heartening to see large corporations and landlords rise to the occasion in support of the smaller ones, including rental rebates by Changi Airport Group to retailers, and the Hope fund, put together by the Young Business Leaders of the Singapore Business Federation (SBF), to support SMEs with immediate working capital. This is the time for the big boys to chip in and help their smaller brothers. Sir, long-term transformation and growth remain the key focus of this Budget. The issue of manpower constraint continues to be a major struggle for businesses across the board, even as we are resolved to reducing our dependency on foreign workers. We need to urgently develop new ways to find, train and retain the talent necessary to sustain growth. Learning from the Swiss, industry associations can play a pivotal role in galvanising players in the sector to join forces in curating and delivering impactful training for the industry. I believe that Singaporeans will become more accepting of supplementary foreign labour if we actualise the systematic plan to train and develop them for attractive careers. Mr Deputy Speaker, Sir, finally, Budget 2020 showcases Singapore's capacity to build a bright and sustainable future. The Deputy Prime Minister had set an ambitious goal to tackle climate change and has put aside a $5 billion Coastal and Flood Protection Fund. The spark in Singapore's climate change journey has been lit in this Budget. Singaporeans can look forward to a sustainable future and participate in exciting new developments as we manage Singapore's transition to a low carbon, low emissions, clean economy. In conclusion, Budget 2020 inspires confidence in uncertain times. It has provided Singaporeans with peace of mind, ample opportunities and a sustainable future. The concerns over COVID-19 will eventually fade over time, but the efforts to transform Singapore as a Global-Asia Node of Technology, Innovation and Enterprise will ensure Singapore remains exceptional. I cannot agree more with Deputy Prime Minister Heng Swee Keat when he says that the Singapore Spirit is strong and growing. Together, we will advance as One Singapore. I support the Budget.
Mr Deputy Speaker4 words
[+1 sentence]Mr Christopher de Souza.
Mr Christopher de Souza (Holland-Bukit Timah)2376 words
[+40 sentences]Sir, I had my speech finalised on Tuesday night. On Wednesday, I found out that I was speaker number 48 out of 48. What can you say after a list of 47 esteemed speakers? So, I decided to rework my speech. The past two days' speeches – many made passionately – reminded me of a British Broadcasting Corporation (BBC) documentary which I had listened to last month while I was on the way to work. The documentary was called "disagreeing better". No. It was not a guide about how to better disagreements. Rather, it was a guide about how to resolve disagreements better. Hence, the title "disagreeing better". Why is this relevant at all? Because the documentary touched on the negative repercussions on societies when they are polarised. The danger the BCC documentary sought to point out is the very danger so many of us in this House seek to battle. In short, in Singapore, we do things quite differently. We seek unity here. Hence, the Unity Budget. Why is this important, especially at this time? Because the crisis can bring out the best or the worst in society. Will there be disagreements along the way? Of course. These will relate to fiscal measures, social policy and issues of societal values. But how we resolve these differences, and come out of a large crisis or mini crisis, is key. The willingness to listen, to be open with one another, to share and risk empathy, and then to decide. These are all essential for an efficient decision-making body and have been so aptly displayed by so many of the 47 speakers before me. So, many of us in the Chamber regard the unity of Singapore and the united response to the crisis as the priority. Ms Jessica Tan gave real-life examples from her constituency as to why providing opportunities in education is key. Ms Denise Phua shared how these opportunities should be extended to SMEs. Mr Desmond Choo talked about giving working mothers and mothers on maternity leave the best shot in their careers. And you see characteristics of each in Budget 2020 – the umbrella of opportunities for reskilling, retraining and advancement for the Singaporean workforce. You see the undercurrent of unity in so many of the speeches. You see that in Mr Png Eng Huat's speech where he talked about the need to unite rather than point fingers and stigmatise, how we should not ostracise China, and that it was good that we sent them a second humanitarian shipment. So, the BBC documentary sought to point to the danger of disunity. Yet, in this House, through the 47 speeches before me, you see an overarching priority to unite, and that is quite novel in the world today. And it is, in fact, inspiring and encouraging. Hence, the Unity Budget. If we look at the globe, there is sectarianism, I versus you, hardly any effort to build the common ground or common paths forward. Yet, so many of the speeches in this debate here have had as their foundation the topic of unity. But it is not only about unity. There is also the need for transparency, honesty, as Mr Cedric Foo emphasised, and being open with difficult facts, too. A "framework of honesty", if you like. And I see how that framework is being deployed in the Budget. For example, being upfront with Singaporeans early about the future hike in GST, being open about why over reliance on the NIRC may not be fiscally prudent and why, at this stage, we need to think of raising GST in the future.[+3 sentences] This is being open and mature. It makes for the politics of trust and honesty. It makes for a reliable decision-making process. If I may be bold enough to say, it is the same framework that we see being deployed within the COVID-19 task force – sharing the infection numbers, the discharged numbers, the intensive care unit (ICU) numbers, sharing information about the clusters and, importantly, readying Singaporeans for the method we will use to deal with the virus in the longer time, whichever of the scenarios plays out.[+5 sentences] So, as with Budget 2020, as with the debate of the 47 speakers before me, as with the manner in which the Ministerial task force in COVID-19 is addressing the difficulties facing our country today, facts discussed candidly and openly, and a sharing of ideas and suggestions and then, importantly, decisions. This is what we are doing in this Chamber. This is our Singapore way. Singapore is like a steady ship in the ocean. We have gone through storms together before and we can go through them again. Perhaps, in this moment of the COVID-19 outbreak, we should also take the opportunity to try to remove the hierarchical way that some in our society view jobs and professions, with certain professions viewed as more prestigious while other jobs are viewed as less dignified.[+2 sentences] In my view, such stratification is not the way it should be. This was also a point raised by Prof Yaacob Ibrahim and Mr Alex Yam, and I agree with them. If anything, the COVID-19 crisis is proof to all of us that everyone is important, everyone has a role to play, everyone is needed.[+24 sentences] Allow me to explain. In order to stem the spread of the COVID-19 virus, office buildings carry out temperature-taking. Those manning the temperature booths, often security guards, are important as they provide a first line of defence. But the guards are putting themselves at risk. Other measures that have been taken are the increased cleaning and disinfecting of places, such as playgrounds and high touchpoints, such as lifts and hotel rooms. Our housekeeping staff, uncles and aunties in the hotel industries, frontline staff, cleaners – they all play such an important role in the prevention of the spread of the virus. Many have had to work overtime due to the crisis to meet the increased rate of cleaning common areas. And yes, these diligent and determined workers also put themselves at risk. In a Straits Times' interview entitled, "Coronavirus: It’s a dirty job, but if I don’t do it, who will?", one of the cleaning companies has had their teams work seven days a week these few weeks, all hands on deck, including the manager Mdm Tay. I quote from the article, "Few Singaporeans are interested in working in the cleaning industry, but Madam Tay hopes that through the work they do, especially during this outbreak, people will learn to respect the job. We are helping to prevent the spread of the virus in Singapore", says Mdm Tay. The immigration officers are on the frontline. So, are the enforcement operations managers of MOM. The nurses and those working at the service counters at hospitals and healthcare institutions play a crucial and important role. Their professionalism is inspiring. All workers on the frontline should be appreciated. None of us asked for this to happen. None of us wants this to happen. But since it has happened, we need all hands on deck. There should be an appreciation that everyone, even those who play less visible roles, is important to our society. We should be less focused on hierarchy and more focused on appreciating each member of our society, especially as we battle COVID-19 in a singular and united determination. And I hope that we will also retain this experience, that everyone in our society is important, even after we overcome this crisis, as we forge our collective future. Sir, even as we are in a ship together, we need to ensure that the Budget has in place measures that are of practical help to our people. This is especially important to the hotel, tourism and F&B industry. According to a snap survey done by Restaurant Association Singapore, close to 60% of restaurants in Singapore stated that they are not prepared and equipped enough to deal with the impact of COVID-19 on their operations. For those who rely heavily on tourists, the estimated loss could go up to 80%. To help the food and services sector during this period, the Adapt and Grow initiative was expanded. In relation to rental costs, for F&B and retailers, it is good that there are full month rental waivers for some hawkers and half a month of rental waivers for commercial tenants of Government agencies.[+36 sentences] However, for those on private property, it is the landlords of those retailers on private properties who are given property tax rebates and encouraged to pass on to the retailers. Instead of relying on the goodwill of landlords to pass on savings to their lessees, is there no other more direct way we can alleviate the challenges that those in the F&B industry are facing? For example, will the Ministry consider requiring landlords to declare whether they have passed on the rebate to their lessees? And if so, how much has been passed down in dollar terms? Already, it has been reported by the Restaurant Association Singapore that 200,000 employees have been affected since the outbreak. As Business Continuity Plans already need to be in place, it may also be a good opportunity for businesses to test and hopefully prove that flexible working arrangements work. If it works, more firms may be ready and confident to try adopting it as an available standard practice to support our working parents with young children and working caregivers. For some of the enterprises which want to take this opportunity to change the way they work, this Enterprise SkillsFuture Credit may come in useful. Furthermore, in relation to using this crisis as a place to plan for the future, there is one particular area that we have announced our intention to look for new sources of supply and look into the capabilities for local manufacturing, that, is, masks. It would be especially useful since epidemics will spread among countries more quickly. But the issue of masks also points to a larger priority, namely, the diversification of our supply sources. I have spoken about food security before. Currently, the coronavirus or COVID-19 is affecting the world trade of goods and supplies. In light of this, we need to take stock of what other items, besides masks, we potentially need to manufacture on our own in the future, and if we do manufacture them, whether our supply sources for the materials are sufficiently diverse. Secondly, for our businesses which are facing problems with diversification of supply sources, what support from the Government is available for them to facilitate the making and establishing of connections with more diverse trade partners? Budget 2020 also has its eye on the future. Businesses have been given incentive measures to take this opportunity to reskill and retrain workers to increase future productivity. We also need, however, to instil measures that make learning something that is embedded in the way things are done in Singapore long term. This is crucial as we are facing an economy characterised by disruptive technology. Change will come. Just like COVID-19 presented itself to us as a disruption, or another phrase by Deputy Prime Minister Heng, as "a spur and a test" that COVID-19 has presented to us, we cannot run away from such a change, disruption, spur or test. We need to change the way we think about learning. Year after year, we cite the Chinese saying "live until old, learn until old", that is, lifelong learning. We learn that in primary schools, too. But do we really live it? Do we see learning as a chore rather than a joy? Do we see learning as a burden rather than a privilege? I would like to suggest that we think about the way we can build lifelong learning into the curriculum of students. It is not just a good attitude to have in life but necessary in the kind of economy Singaporeans will face in the future. A good example of what could be done is what is already being done at SMU. We could broaden what is being done at SMU. At SMU, disruption is built into part of the syllabus through the way the core curriculum is designed. The core curriculum has three pillars: capabilities, communities and civilisations. Under "capabilities", students pick up skills, such as numeracy and management lessons, to navigate the modern world. Internships are integrated with the other pillars, with a work-study scheme available so students can take up longer internships and earn credits at the same time. Under "communities", students discover Singapore's Asian context through courses under the areas of economy and society, technology and society, cultures of the modern world and community service. SMU's core curriculum was designed to nurture a generation of "adaptive and adroit graduates who are technically competent and agile, socially conscious and adept in their communities and inspired by the timeless puzzles and challenges confronting humanity." This instills in students the aptitude for and attitude of lifelong learning.[+3 sentences] That is something other schools could consider so that their students will not be theorists only but be able to handle both theory and practical, having the dexterity to apply strong foundations of theory into new real-world applications. Sir, I move on to my third and last topic – climate change – and why I stand in strong support of the $5 billion set aside to shore up our coastal defences. Although there are some in Singapore who disagree with the use of the phrase "climate change" as they are of the view that the climate is and always has been changing, allow me to just use the phrase to point out some trends we should be concerned with, particularly relating to the rise in sea levels. Historical data measuring average sea levels of the Singapore Strait from four research-quality data points at Tanjong Pagar, Raffles Lighthouse, Sultan Shoal and Sembawang, indicate that there was a 2.9-millimetre yearly increase of our sea levels from 1984 to 2011.[+1 sentence] So, sea levels have risen and ice in the ocean has been melting and physics will say that there will be an increase in sea levels. What this means is that low-lying small nations, such as the Maldives and Tuvalu may face, or, in fact, are facing existential crisis.
Mr Deputy Speaker9 words
[+1 sentence]Mr Christopher de Souza, you have three minutes more.
Mr Christopher de Souza220 words
[+2 sentences]I will take two, Sir, leaving one spare. Thank you. Because of the dire consequences rising sea levels have on Singapore's future, it is good that the Budget takes these longer-term challenges into account and prepares for them. The $5 billion investment to ameliorate the effect that sea levels have on Singapore is thus commendable and far-sighted.[+2 sentences] In my speech, Sir, I compared Singapore to a steady ship in the ocean. As a country, we have weathered storms together. The Budget Statement and the debate on it are important to train our focus on how to ensure we get through the storm as one united people.[+2 sentences] As Deputy Prime Minister and Minister for Finance Heng Swee Keat wrote on his Facebook page the day before he delivered the speech, "we would not have been able to act quickly and decisively if not for our deep Reserves. I do not mean only our financial Reserves... I also mean the reserves of strength, resilience, empathy and resourcefulness among our public servants and fellow Singaporeans". It is such resilience that allows us to plan well into the future, well beyond this storm.[+2 sentences] It is our Singapore way – responding as one people, tirelessly safeguarding our country’s Reserves and future. It is for these reasons that I stand in support of the Motion.
[+1 sentence]Mr Speaker, we are at the tail end of this Government's term. From 2016, all the titles of each Budget emphasised "unity" – partnering for the future, moving forward together, together a better future, building a strong and united Singapore, and finally, this year, advancing as one Singapore.[+21 sentences] But unity in the context of a democracy, along with the Fourth Generation (4G) leadership seeking to engender a Singapore Together movement, must also encounter varied, diverse, edgy and even contradictory views in the effort to find common cause. This is to be encouraged, not discouraged. It is that process of embracing diversity and accommodating political differences that gives meaning to a democracy of deeds for the 21st century and not for a one-party Parliament of decades past. Mr Speaker, Parliament is an august forum which is one manifestation of Singapore Together. My colleagues in the Workers' Party (WP) and I thank all Singaporeans for sharing their views and coming to us to bring up issues to Parliament over this term of Government, particularly, those that Government Members of Parliament (MPs) cannot be expected to raise, not out of an inability of their own but because of the nature of politics and political contestation. WP MPs agree with the Government when we have to, disagree where we must, in the knowledge that we endeavour for the best outcomes for Singapore and for a unity of purpose when politics must take a backseat, like during this current COVID-19 outbreak. My speech will be divided into three parts. I will first speak of the geopolitical environment and the response of some businesses to the Budget announcements. Next, I will talk about our fiscal position, with some points on our revenue and expenditure position before finally concluding with my views on the enhanced SkillsFuture Credits and the climate change-related announcements. Sir, the Finance Minister's Budget speeches on the external environment and developments that affect Singapore's geopolitical developments over this term of Government have been prescient, illuminating not just upon the challenges but imperatives ahead for Singapore. In his 2018 Budget speech, the Finance Minister outlined three major shifts in the coming decade: the shift in global economic weight to Asia; the emergence of new technologies that will change the way we live, work and play; and finally, ageing – themes which were repeated in the Minister's 2019 Budget speech as well. Sir, the last few years have witnessed tectonic geopolitical shifts. The United States (US) Attorney General William Barr's speech at the Department of Justice earlier this month captured the mood of the times ahead, at least from Washington's perspective. In reminiscing about the days of the Cold War, Barr remarked, "Russia wants to conquer the world. We can deal with that. China wants to own the world. That is going to be more challenging to deal with." American policy towards China is on a very different course and with a bifurcation of the world looking like an almost foregone conclusion, not just a technological decoupling, but with differences in values and norms at the heart of things. More so than before, shaky US-China relations are threatening to force invidious choices upon Singapore, choices which the political leadership not just within the People's Action Party (PAP) but all political parties and citizens in Singapore would have to negotiate with greater judiciousness and sensibility without compromising an absolute commitment and loyalty to Singapore. However, this circumspection does not just extend to the superpowers. We must also resist the urge to engage in gloating when our closest economic partners like Malaysia and competitors like Hong Kong negotiate their own unique political circumstances; circumstances which are historically apart, completely different and, in many cases, take place in a more complex and significantly larger country many times our population size. My brief discussions, after the Budget was announced, with a few members of the various local Chambers of Commerce informed me that there has been a general acknowledgement of the relief provided by the Stabilisation and Support Package in the Budget.[+5 sentences] Separately, I understand that Chamber Members are also continuing the work on longer-term efforts at internationalisation and bringing businesses up to speed with new initiatives, particularly training and growth opportunities. Sir, one specific group of Singaporean businesses and individuals reached out to me in the aftermath of the Budget. They are our private hire bus companies and drivers who are bearing the brunt of cancelled trips and tours arising from the COVID-19 outbreak. These are the bus drivers who bring our residents to Malaysia for durian trips and even National Servicemen around Singapore for local tours or training. I understand that an industry briefing was held on 21 February by the Singapore Tourism Board on a relief package for travel agents and tour operators. While the briefing was appreciated, private bus companies feel the Budget support package is not targeted enough, in view of the nature of their business.[+6 sentences] I thank Minister Josephine Teo for her speech during the course of the Budget Debate, explaining the policy reasons why foreign worker levies were not reduced or waived. Nonetheless, I hope the Government reconsider this and extend some support by way of a one-month or partial waiver of the levies for companies that have no choice but to hire foreign manpower, on the condition that these companies consciously seek to increase their local headcount, by way of job redesign going forward. Some conditional support and consideration for them in these difficult times may provide greater impetus on all our companies overly reliant on foreign manpower today to make a greater effort to hire locals, including senior citizens, and even those on a part-time basis, tomorrow. Mr Speaker, I move on to the second part of my speech on fiscal prudence and sustainability, a subject which is a feature of practically every one of Deputy Prime Minister Heng Swee Keat's Budget speeches. One hard truth that we do not hear in this House, notwithstanding greater demands on expenditure, is that the current Government has had the privilege of far more budgetary elbow room, both political and fiscal, than any previous government in Singapore's history. Just think about it. After the inclusion of Temasek in the Net Investment Returns Contribution (NIRC) component of the Budget from 2016, monies for the GST offset package can be set aside for the introduction of higher taxes for the next term of Government.[+1 sentence] Compared to 2015 when the NIRC component of the Government's revenue was about $9 billion, today, the figure is almost double. Separately, the package to support the economy in light of COVID-19 was not funded from a draw on the Reserves, unlike the support package during the Global Financial Crisis about a decade ago.[+6 sentences] Sir, when the WP made inquiries on the Reserves over the course of a few Budgets in this term of Government, it was to explore and consider different approaches and prospects to improve the lives of our people, particularly the lower- and middle-class. At the last Budget, the Finance Minister provided a lengthy reply on why the dollar value of the Reserves could not be disclosed. But the answer remains unsatisfactory, particularly when the same argument could apply to the overwhelming majority of other democratic societies, who nonetheless err on the side of fiscal scrutiny and accountability. At last year's Budget, I brought along a Business Times article that saw Singaporeans calling for a greater discussion on the Reserves. These calls for greater transparency are not out of place and they will continue in years to come. They run in parallel with the Singapore Together spirit, with Singaporeans taking ownership, exploring fiscal solutions, seeking to co-create not just today's Singapore but a sustainable and equitable tomorrow that future generations of Singaporeans will inherit. More specifically, in the Finance Minister's 2018 speech, the prospect of borrowing by Statutory Boards and Government-owned companies to build infrastructure was first raised to help spread the cost of larger investments over many years. This prospect of borrowing was raised again by the Finance Minister in his 2019 Budget speech where the Finance Minister confirmed that the Government is studying the option of using Government debt as part of the financing mix for long-term infrastructure projects.[+15 sentences] Mr Speaker, it has been two years since these plans on debt-financing were raised. Can the Government share more details on these plans, as this year's Budget does not communicate the results of the Government studies on the borrowing or debt-financing framework and their fiscal consequences on future Budgets? This year's Budget also saw the Finance Minister once again making reference to the Base Erosion and Profit Shifting (BEPS) project, an initiative that seeks to ensure companies are taxed where substantive economic activities are performed. The Finance Minister first raised BEPS in his 2017 Budget speech. Then the House was informed that the Government was in consultation with businesses on scheme refinement and implementation of the relevant standards. What has been the results of these consultations from three years ago? BEPS was raised again in the Finance Minister's speech this year and the Minister shared that there are discussions to revise international tax rules and that Singapore was actively participating in them. However, reference to BEPS this year was in the context of a subpoint of another sentence, which warned there were uncertainties and downside risks to the Government's revenue position, a matter which should be of interest to all Singaporeans. I have a query with respect to BEPS. Before that, it is useful to recap the Government's argument on proposals by Singaporeans to raise taxes of higher income earners, who do enjoy the safety and security offered by Singapore. The concern was that high net-worth individuals would be able to structure and move their assets to avoid higher tax obligations. What is the impact of BEPS on this prospect and the Government's assessment of the impact of BEPS' developments on our tax policies? Is there an upside, nonetheless, by way of other taxes on the ultra-rich to maintain our progressive tax system? What are the best and worst case scenarios to the developments in BEPS on our revenue position? Mr Speaker, the Finance Minister's Budget speech confirmed that GST will not be going up next year. Notwithstanding the offsets announced, the GST is a regressive tax that will hit the low- and middle-income, retirees and seniors particularly hard as they would have to manage their expenditures more frugally because offsets do not last forever, particularly for the middle-class.[+7 sentences] At this year's Budget, the Finance Minister said that the Government put off the rise in GST after considering the state of the economy, but more critically, I quote, "...after reviewing our revenue and expenditure projections". Sir, when the WP objected to the rise in GST in 2018, amongst other things, it was on account of a lack of information about alternate revenue streams. The Finance Minister's position then was that one did not need to have information on everything to make a decision on anything. But from the Minister's speech this year and the announcement not to raise GST next year, it is obvious that the Government relies on revenue and expenditure projections to make these decisions. Would the Government make public these projections so that Singaporeans can critically evaluate the necessity of a GST hike? I believe this openness would contribute to a more substantive conversation and understanding of our fiscal tradeoffs. This can only advance and mature conversations that take place in Singapore. Until this clarity is provided, the WP's position has not changed. We cannot support a GST hike, especially since this is to be raised in advance and before the Government's projections have been put to this House.[+5 sentences] The third segment of my speech is a short one, Mr Speaker. I refer to the Government's call for special SkillsFuture Credit top-ups for Singaporeans between the ages of 40 and 60. WP supports this move, but urges the Government to track the use of these credits for this age group to job- and employability-related outcomes closely. More generally, while SkillsFuture subsidised courses can range from, in the words of the Finance Minister, "cooking to coding", it does not bode well if taxpayers' money are expended on courses that are underweighted with regard to real improvements of skills, job prospects and employability of our workers, in view of the workplace disruptions to come. We know from previous Parliamentary replies that there is an upper limit to certain entrepreneurial prospects in Singapore, such as the opening of cafes. An audit of the courses our people are taking up, particularly younger- and middle-aged Singaporeans, must be reviewed every so often in consultation with inputs from the Industry Transformation Map (ITM) stakeholders, so as to evince the best outcomes possible for our workers in the medium term.[+2 sentences] Lastly, Mr Speaker, I expected some strong incentives or subsidies in this year's Budget on climate change outcomes, particularly in the aftermath of the Ministry of the Environment and Water Resources' (MEWR's) efforts towards greater climate change awareness over the last few years, including designating one year as a year of climate action. To this end, I would urge the Government to move more decisively to incentivise changing behavioural norms to reduce the overuse of plastic bags. For example, a transitional subsidy amounting to $20 for households to subsidise the purchase of plastic bags at supermarkets could be considered as a bridge for Singaporeans before a charge is levied for every bag by all retailers.[+3 sentences] Mr Speaker, incentivising the reduced usage of plastic bags is not just about our over-consumption of plastic bags per se. It is also about the amount of waste we generate and dispose of which usually ends up in a plastic bag that is thrown down our bin chutes. A plastic bag charge is far from representing mere climate change symbolism. It is a clarion call to us all to alter our social norms to equally, if not more importantly, reduce the amount of waste we generate. This is a pressing issue as there are infrastructural constraints on the amount of space we have to dispose of our incinerated waste on Pulau Semakau which is expected to be full by 2035 or thereabouts.[+1 sentence] That is only a mere 15 years from now. Correct as of Monday, there were 342,304 pledges on the MEWR website to fight climate change.[+8 sentences] There is a window to move more decisively and we should move fast. To conclude, Mr Speaker, the Finance Minister is correct to say that many Singaporeans are coming up with and acting on ideas to make Singapore a better place on their own initiative. For the first time in his Budget speech in this term of Government, the Minister has spoken about the democracy of deeds. But whatever deeds our people underwrite, they take place within the context of our democracy, a democracy where alternative views, criticisms and disagreements shape the outcomes that give meaning to the phrase one united people – united in a vision for a better and more confident Singapore, no matter what our political beliefs. It is like that anthem that was referred to in this House, during the course of this Budget Debate, "You Will Never Walk Alone". But how many of us know that it is not just the anthem of one club but others, too, like Glasgow Celtic, Borussia Dortmund and many others? Sir, Singapore's diversity is its strength. As long as our people – youths, businesses, individuals – engage the issues of the day civilly in our democracy and treat their fellow Singaporeans and foreigners within our midst with dignity and empathy, and endeavour for a more caring society, the best years of Singapore – a Singapore for all – are ahead of us.
Mr Speaker4 words
[+1 sentence]Mr Sitoh Yih Pin.
Mr Sitoh Yih Pin (Potong Pasir)845 words
[+5 sentences]Mr Speaker, Sir, I rise to speak on an issue that I have raised before in previous Budget Debates – the importance of fiscal sustainability and financial prudence. Sir, my friends often accuse me of being obsessed with numbers. I tell them it is an occupational hazard because I am a chartered accountant by training. But, I have found over the years, in practice, that numbers give us the most precise and clearest indication of one's financial position. Sir, this year's Budget Statement is no different. Overall, we estimate our position to be in deficit of $10.95 billion.[+16 sentences] Year on year, we hope for increases in our operating revenue amid very challenging global competition. For example, our tax collections can increase if our companies do well and pay more corporate taxes. At the same time, we also hope for more revenue from our NIRC. Our NIRC only became possible because of the prudence and wise investment decisions made by our earlier generation of leaders. Against this backdrop, our estimated expenditure is expected to increase much larger because we need to fund our healthcare needs and infrastructure developments, like our Mass Rapid Transit (MRT) lines, to bring a better life for Singaporeans. Sir, talking about healthcare amenities, I have, for the last many years, been asking for a polyclinic in my constituency of Potong Pasir. I even filed a Parliamentary Question for that. In my discussions with the Ministry of Health (MOH), they informed me that there is no more space in Potong Pasir estate because it is all built up. That is true. But MOH is building Kallang polyclinic, which is connected to Kwong Wai Shiu hospital. I see Dr Yaacob Ibrahim had a thumbs-up because that is in his Jalan Besar constituency. So, that is also good for Potong Pasir residents because that is one MRT station away. However, I think I found some space for MOH. The residents of Bidadari are moving in and I think there should be some space in Bidadari estate to build a polyclinic for our Potong Pasir residents. So, if you can, Sir, please. Sir, let me continue with the Budget. A large part of the estimated Budget deficit for 2020, as Deputy Prime Minister Heng Swee Keat has explained in his Budget Statement, it should fund measures to address the impending difficult economic landscape that confronts Singapore as a result of the COVID-19 virus outbreak. This includes the $4 billion Stabilisation and Support package for workers and businesses and also the $1.6 billion Care and Support package to help Singaporeans with household expenses. In the Budget Statement, the sentence that captured my attention the most was when Deputy Prime Minister Heng announced that there will be no draw on our Reserves; no draw on our Reserves. For financial year (FY) 2020, we have an expansionary Budget with an estimated $10.5 billion deficit, but we need not draw on our Reserves.[+14 sentences] Why? Only because the Government had accumulated sufficient Budget surpluses during this term of Government. As we have read in recent international media of other jurisdictions, similarly announcing support packages in their respective economies, I doubt you will find a jurisdiction that can say that they are able to fund such support packages in the manner that we have. I have not seen any. During previous Budget Debates in this term of Government, I am sure Members of this House will also recollect repeated calls for more spending of the surpluses or the use of more income derived from our Reserves. There was even a suggestion that the Government had a political agenda behind more prudent spending in the early years of a term of Government. Had the Government done as what was popularly asked – spend more in the good years – then, this year, we could very well have had to dip into our Reserves in order to introduce first-instance measures to support Singaporeans as a result of the COVID-19 virus outbreak. I used the term "first-instance" because I worry that we may not have seen the eye of this particular storm. Even as we speak, we continue to see worrying signs of the COVID-19 virus outbreak seriously affecting many countries, such as Japan, South Korea, Italy, Iran and many others. We can anticipate further adverse headwinds against Singapore's globally interconnected economy. We could very well require even further measures from the Government to support and assist Singaporeans in the days ahead. Sir, in my mind, there is another term for consistent financial prudence in our Budgets and, that is, always be ready and prepared for any eventuality. And I am sure I am not alone when I say that I am glad we did so for the past five years and, indeed, for many terms of Government before. In the premises, Sir, I would invite our Deputy Prime Minister and Finance Minister to share with us the Government's intentions and plans to further support Singaporeans and businesses in the event that the situation is drawn out over a prolonged period of time.
Mr Speaker4 words
[+1 sentence]Mr Teo Ser Luck.
Mr Teo Ser Luck (Pasir Ris-Punggol)2023 words
[+10 sentences]Mr Speaker, Sir, as the Budget Statement was read by Deputy Prime Minister Heng Swee Keat, I felt very privileged to be on both sides of the fence. I had been a part of the team that was trying to figure out some of the schemes and programmes to be rolled out each Budget and I am now on the other side of the fence as a beneficiary of some of the programmes and schemes themselves. When I left the Ministry in the middle of 2017, I had wanted to set up my own ventures and businesses and I chose the most difficult path to do so. I chose businesses and ventures of a Business-to-consumer (B2C) nature, which is to create a consumer product, a consumer brand, starting from zero and I wanted to see if I could do it with the environment that Singapore offers, with all the different measures, grants and schemes that the Ministry offers. So, it has been a very good two-and-a-half years, but with a lot of grinding, a lot of pain and also a lot of risks taken. It was not easy. But at the same time, I felt assured because I know that Singapore's business environment is one of ease of access as well as one that you could approach and give feedback, where you could actually have help and assistance. But, of course, many in the business circle would say, "Well, you had been an officeholder, you were a Member of Parliament. So, you have an advantage." Not so. On the other hand, I took a lot of measures and also a lot of different ways to hide and not show which companies I owned and how I did it and actually worked behind the scenes really, really hard in order to grow those businesses. So, piece by piece, layer by layer, I built my business and I am very lucky, very blessed that, today, my venture in the consumer product business is profitable.[+7 sentences] I know many fall by the wayside and, out of 10, probably nine will fail. I am just lucky to be able to do so. I would not deny that some grants and programmes were made available for me or my company to be able to tap on them. But at the same time, it is very much dependent on ourselves, as business people, to do so, to be able to come up with solutions with what the market needs and what the consumer wants and we can build a successful business from there. Sir, the Government grants, schemes and programmes throughout each year are not an end-all and be-all. They cannot be the most critical function or most critical part of the business. I know that many businesses apply for those grants and schemes, hoping for additional cash flow. Yes, they are temporary relief measures, but they are not permanent. At the end of the day, someone must want to buy your product, work with you and believe in your company in order to invest in it in order for it to grow.[+2 sentences] Sir, when I went through some of the speeches in the previous two days, I understand that Mr Leon Perera actually mentioned about slowing down some growth of the Reserves and maybe putting in more investment into our people to be more creative, entrepreneurial and innovative. I do not disagree with that. But I think slowing down the growth of the Reserves is not the way to go because, no matter what, we need to build up the foundation in order to take on the rainy days or challenges to come and deal with COVID-19.[+7 sentences] It is very clear that we have the facility and resources to handle some of these challenges. But, without which, we will find it a struggle to manage. It is like running the day-to-day business in every other way; you would want to have the reserves in order to handle some of these rainy days. Sir, more importantly, these Reserves and how we use them are extremely important. How the grants are rolled out is extremely important. A smart allocation of these resources and what kind of outcomes that we can get, those are the first things. And those schemes must be targeted to help, to be able to do so. I think more and more of those schemes for businesses are now very targeted. But having too many of those grants and schemes and we risk going into a welfare state for businesses.[+37 sentences] That, I would not encourage. Secondly, we must make sure that we define success carefully. What is business success? Some people say, "Raise as much capital as you can if you are a startup so that you have millions and millions", but you make losses. If you are a unicorn, it is okay to make losses and you raise a lot of money. Well, I do not buy that. I am pretty traditional in some sense, maybe a Teochew businessman type, which is that all businesses still have to be profitable. You can raise a lot of money, you can make a lot of losses, but no end to come, you would not see the tipping point. You will struggle. You will still struggle. So, you will hone your skills in fundraising but not hone your skills in building the business. That is a worry. So, how do you define success? Is success an exiting of the business when you gain or what? I believe that success in business, to me, is about building a business with a social conscience. The product or services that you provide must have some social impact in order to make it very meaningful but, at the same time, commercially viable. That, to me, is the most important. Thirdly is to have the environment. So, whatever Reserves and schemes we have are to be able to create the environment for some risk-taking, embracing failures, so that our people do not give up. They try and keep trying. I think that is the most difficult part in terms of culture. But you can see our Government is so pro-business. Every which way, when there is a crisis, it will come up with more and more schemes. COVID-19 is a great example. You see a comprehensive slew of schemes and measures. Sometimes, I wonder, so many of them, I am also confused. Right? And I was also a culprit – creating those schemes and programmes as well. But at the end of the day, it is with good intention. The question is whether we are cushioning and detaching businesses from reality. Would they be more competitive when they go overseas? In COVID-19, I faced the same problem. I have both business-to-business (B2B) and B2C businesses, especially B2C business, dealing with consumers who are facing demand issues because the whole environment has been affected. So, there are a few things that go through my mind when it comes to COVID-19 – the crisis itself, how it affects businesses. A few points here. First, when I review my own businesses, all SMEs should ask ourselves whether we have the capital and resources like cash that can last us for the next two to three months if we are in the worst-case scenario – no demand, no revenue or minimal revenue. Can we handle or sustain? If we cannot, well, there are schemes where the Government is taking up a greater risk of the bank loan.[+26 sentences] So, borrow money, right? You can try. But I also know that, on the ground, sometimes it is difficult because the banks are not changing their risk assessment to let you have access to the capital. So, you have to keep trying. The first thing is to ask ourselves whether we have enough; second, maybe look for big companies. Right? And I am glad that Minister Chan Chun Sing, in one of the dialogues, said that big companies should help small companies. I hope so. But big companies have their own objectives, too. Unless a small company has value for the big companies, it is very hard to have a big company wanting to help a small company. So, what do you look for? Maybe an exit through the big company – let the big company acquire your small company or you just close it down, move on and move along. Secondly, COVID-19 does offer opportunities, too. For example, I had wanted to recruit this talent for a long time. But because of COVID-19, his company retrenched him. Suddenly, I have him available. Immediately, I recruited him. I would like to pay him the market rate, but I also could not afford it. So, he was willing to lower his salary and, suddenly, I have a great talent for information technology (IT) in my company today and we are growing. He is glad that he joined a growing company. But he was willing to be able to say "I joined the company. I managed my expectations. Let us grow it together", which was an opportunity. So, the talents are out there. Whilst I know the Government tells us, "Let us train our workers, people and executives". Well, also look out for some of this access to talents. NTUC actually came up with the Job Security Council. Maybe it is something that we can have access to some of the professionals, managers and executives (PMEs) over there to see where we can do the matching.[+16 sentences] So, it is not all about retrenchment but about growing, too. So, this COVID-19 is not exactly all gloom and doom for many companies. Some of us are actually growing. Thirdly is to focus on the demand. Companies should focus on the demand. Is your product really having that demand? Maybe during this time, there are a few things that you have to do. First, lower your price, right? Second, refine your product again. Third, reposition your product. A lot of times, when it comes to this kind of crisis, we will look up to the Government to see what schemes to apply. I was telling my staff and my team this morning I do not think we want to do that. We look for competitiveness. We lower our price and we have to expand our market. Go overseas, go to new markets. Of course, I am already overseas. But where are the newer markets to expand your market and expand your revenue base?[+1 sentence] Because that is where we can help. And we realised that one of the markets that we are going to used to be 30% higher cost and is now 30% lower cost if I were to launch my product there and I thought "Why not?" That offers an opportunity.[+10 sentences] At the end of the day, it is important to know that a lot of these things that we are doing today, we have to change. We may call it "transformation". But I will just say that it is just a transition, it is just a change. If you have been selling your product from a shop, then it is time for you to think about selling it online, without the sunk costs, without additional labour, you sell it online, figuring out how to do the logistics and delivery. I think a lot of people say "We want to do it" but, at the end of the day, they may not do it. Most importantly is that at the end of COVID-19 or any other crisis or challenge, let us not give up. Let us not give up on what we can do because Singapore is in a much better shape not just in tackling the COVID-19 issues, the virus itself and making sure of healthcare but business-wise as well. I still see vibrancy in our businesses; I still see revenues rising for some of the companies. It is not everybody is doing badly. So, because of that, we can work together, both public and private sectors, as well as all of us in the House, to help bring this economy back up again.
Mr Speaker6 words
[+1 sentence]Deputy Prime Minister Heng Swee Keat.
The Deputy Prime Minister and Minister for Finance (Mr Heng Swee Keat)14206 words
[+36 sentences]Mr Speaker, Sir, I thank Members of this House for the thoughtful debate over the past two days. In particular, I would like to thank the 54 MPs, including all nine Nominated MPs, who rose to offer your perspectives and suggestions. I do not have 57 files; just two. I have also learnt many new terms, including Mr Lim Swee Say's H2P2 or Happy and Healthy, Productive and Purposeful; Prof Lim Sun Sun's 3Ms, which is not massively more money, but "mobility, maturity, mentality"; and Mr Ang Hin Kee's "woon woon jiak beehoon" or steadily, we eat the beehoon. My special thanks to Mr Liang Eng Hwa who opened the Debate as Chairman of the Government Parliamentary Committee for Finance and Trade and Industry. Beyond this House, I also appreciate the many helpful, constructive perspectives shared by fellow Singaporeans. They have enriched the national conversation on this Budget and the issues it seeks to address. This year’s Budget takes place under exceptional circumstances. It is a trying moment for businesses, workers and households, having to deal with both the softening of the global economy and the sudden COVID-19 outbreak. How we respond to moments of challenge and crisis is a test of our individual resilience and the strength of our character. Even more, it is a test of our social cohesion and solidarity. It is a test of who we are as a people, as a nation. Do we panic and become self-centred or do we stay calm, band together and look after one another? Since I delivered the Budget Statement last week, some have asked why we call it "Our Unity Budget"? My answer is simple. It expresses our confidence that Singaporeans will rally together to meet our challenges head-on. It expresses our conviction that we will emerge from this test stronger, more resilient and more united than ever before. It expresses the spirit shown by many Singaporeans – of staying united as one people through thick and thin. Beyond fighting the COVID-19 outbreak, our unity will be the foundation for Singaporeans to press forward and write the next chapter of the Singapore Story. United, we can overcome the longer-term challenges of ageing, technological disruption, social inequality and climate change. United, we will make sure that the Singapore Story endures and goes from strength to strength. We should not take our unity for granted. Around the world and closer to home, we have seen societies torn by forces that foment polarisation, communal conflicts and political turmoil. These have weakened their social cohesion and the sense of togetherness that are so essential for societies to meet the complex challenges of the day. We need, as many thoughtful commentators pointed out, a whole-of-society response. I will round up this Budget Debate by addressing Members' contributions along four key themes. First, how we will overcome our immediate challenges and the COVID-19 outbreak together. Second, how we should manage our finances collectively to provide for our future. Third, how we should tackle the long-term challenge of climate change and turn our constraints into strengths. Finally, how we can create opportunities for all and build better lives for Singaporeans in changing times. First, let me speak on our present challenges. Having gone through SARS 17 years ago and other outbreaks like H1N1 since then, we are much better prepared for COVID-19 today. With systematic and long-term planning, we have developed new facilities, like the National Centre for Infectious Diseases (NCID), deepened research capabilities in health and biomedical sciences, built up our networks of experts and honed our effectiveness in contact tracing and quarantine. Most importantly, we have well-trained and dedicated people. These capabilities are now deployed to good effect to deal with the COVID-19 outbreak. Although we have kept the outbreak contained so far, it has already had a significant impact. In these challenging times, we have acted decisively to protect families and workers through the Care and Support Package and the Stabilisation and Support Package.[+11 sentences] I have received a wide range of feedback about the support. Many are relieved that we have a strong and decisive Budget, with both broad-based and targeted support. Many Members of this House have asked if we are doing enough, particularly for businesses in the sectors directly affected and those feeling the knock-on effects. On the other hand, some economists have wondered if we are doing too much. We must not fight the current war simply based on the lessons of the last war. Every crisis and downturn is different. So, we should, to the best of our ability, make a sound diagnosis of the current challenges and apply a decisive course of action, or as one says in Chinese, "对症下药", fit the remedy to the case. At the same time, we must bear in mind the caution that Ministers Gan Kim Yong and Lawrence Wong have given – this is a fast-moving, fluid situation. While the evidence is that the impact of the COVID-19 virus is more like H1N1 than SARS, its rapid spread through places like Iran, Italy and South Korea demonstrates the fluidity of the situation. We must maintain a state of dynamic vigilance and be prepared to adjust course as new information comes in. Let me address whether we are doing enough and in a timely manner. The overall size of our spending in Budget 2020 is appropriate for now. We have calibrated it to put sufficient purchasing power back into the economy, while injecting a boost of confidence. In fact, our Budget is higher than what most economists had expected.[+7 sentences] This took into account the context of the global slowdown and wider uncertainties. We are applying the support to where it matters most. Our first priority is jobs. The two biggest items in the Stabilisation and Support Package – the Jobs Support Scheme (JSS) and the Wage Credit Scheme (WCS) – are focused on preserving and enhancing jobs. With greater job assurance, workers are in a better frame of mind to go for training. It will also avoid them having to cut down too much on consumption. SMEs, which employ the bulk of local workers and whose concerns were raised by Ms Denise Phua and Mr Ong Teng Koon, are a key focus of these two schemes. As a percentage of revenue, SMEs will receive payouts that are, on average, five times as much as the average for all enterprises.[+4 sentences] This is on top of the help they will also receive through the Corporate Income Tax Rebate and other measures. Second, we are giving support to those sectors which are most directly impacted by COVID-19. Our sector-specific measures are calibrated according to the extent to which each sector has been affected. Tourism, accommodation and aviation have been hit hardest and are, therefore, given additional support. In total, these sectors will receive over $400 million, in addition to the broad-based support that they will get through JSS, WCS and Corporate Income Tax Rebate.[+3 sentences] This will include enhanced absentee payroll support for workers, an issue that Mr Seah Kian Peng raised. Ministries will announce further details on this. Third, we have extended support to other groups which have felt the ripple effects, including Self-Employed Persons (SEPs). We have provided additional measures to support taxi and private hire car drivers, hawkers, tourist guides and operators of food and beverage and retail outlets. This additional support totals over $200 million and is over and above the support from broad-based measures, which form the bulk of the support for them.[+7 sentences] Mr Desmond Choo, Ms Tin Pei Ling and Mr Gan Thiam Poh asked if we could do more to take care of other groups of SEPs and freelancers who are more affected by the outbreak. Mr Pritam Singh raised the issue of bus drivers. The relevant Ministries will announce details for these other groups subsequently. Fourth, we have designed our measures to be able to reach enterprises as quickly as possible. Mr Saktiandi Supaat, Mr Seah Kian Peng and Mr Gan Thiam Poh asked if we could expedite the flow of the JSS payout to businesses. The disbursement of the JSS payout is operationally more complex due to the need to check and validate information on workers, employers and payment mode. Hence, we had initially projected for the JSS payout to reach companies by the end of July. In the last few weeks, the agencies involved have redoubled efforts and are now targeting to bring forward the payment for JSS from end-July to end-May.[+31 sentences] Employers using bank crediting will get the payout about a week earlier. Enhancements to WCS will be provided in the second half of this year. This way, we can also spread out our support for enterprises in a more sustained way. These measures in the package also come on top of the existing support schemes for firms. For example, there will be a WCS payout of more than $600 million to firms next month, based on the parameters announced in Budget 2018. We should also look at the measures in the Stabilisation and Support Package in totality. We are providing a Property Tax Rebate to qualifying commercial properties, for which property owners will receive their revised tax bills in April, and refunds of any excess property tax paid by the end of May. We are also providing rental waivers for Government commercial tenants, the majority of which will apply to March and April rentals. For the Corporate Income Tax Rebate, companies will receive their revised tax bills by the end of March. These will provide not just financial relief but also help with enterprises' shorter-term cash flow needs. Many, including Mr Arasu Duraisamy, Ms Denise Phua, Dr Teo Ho Pin, Mr Chong Kee Hiong and Mr Alex Yam, have asked if we can do more for businesses and for a longer period of time. We hope that will not be necessary. But if it does, for example, if the outbreak becomes a worldwide pandemic and the global economic impact is deeper and longer, we have the fiscal resources to do so and the will to act. But, for now, let us go forth and make the fullest use of the support available out there before we review what more needs to be done. As I have said, this is a fluid and fast moving situation. There are many stories of businesses and workers who are not just making full use of the Government's support, but taking it a step further to help each other and share the burden during this time of fear and uncertainty. Landlords, including CapitaLand and Frasers Property, have promised to pass on the Property Tax Rebate to affected tenants. The taxi and private hire car companies have taken steps in partnership with NTUC, the National Taxi Association, National Private Hire Vehicles Association and the Government to care for their drivers in their hour of need, even as they face challenges themselves. I thank Mr Ang Hin Kee for playing a key role in facilitating this. Many businesses have also responded to the challenge with resilience and foresight, taking the opportunity to accelerate innovation and invest for the future. This is exemplified by ParkRoyal at Kitchener Road. I visited ParkRoyal this Tuesday. I was impressed by the measures they are taking during this downtime to renovate the hotel, redesign processes, retrain their workers and redesign jobs. They are able to do this because even before the COVID-19 outbreak, they had been making plans to transform their operations to cope with manpower constraints. Now, they are accelerating their transformation efforts, fully utilising the support that we are extending to them. Our Labour Movement has also been hard at work to help workers cope and emerge stronger from this difficult period. I thank Secretary General Ng Chee Meng, Mr Heng Chee How and Dr Koh Poh Koon for NTUC's strong leadership and partnership in this period and all his NTUC colleagues who are here in this House. This is a time for all of us do our part. As Mr Vikram Nair put it, the entire population needs to come together to weather the storm. People from all walks of life have come together to help others at a time when it is tempting to just look out for oneself. Some are pooling their money. Young leaders from six business families in the Singapore Business Federation Young Business Leaders Network (SBF YBLN), has set up a $5 million fund called the Helping Our Promising Enterprises (SBF YBLN) and Hope Fund to provide financing help for local enterprises hit by COVID-19.[+20 sentences] In another example, Maturity Trust, a charity, is raising $500,000 under the Singapore Strong Fund to fund ground-up projects that help the community stay strong amid the COVID-19 outbreak. Many are also pooling their time. Mr Delane Lim started the initiative Ops Hands-On to provide free masks and hand sanitisers to seniors and vulnerable residents in neighbourhoods across Singapore in collaboration with local Residents' Committees and Community Clubs. Even our children are doing their part. Students and staff from Wellington Primary School and several other schools made personalised cards to show support and appreciation for our frontline health workers. Several Members of this House have shared heartwarming stories of how the community has banded together to cheer on our frontline workers as it combats the COVID-19 outbreak. Mr Alex Yam talked about how volunteers in Yew Tee baked cookies for our frontline heroes. Ms Tin Pei Ling talked about Singaporeans who wrote messages and prepared gifts to express their support and cheer them on. Our frontline health workers deserve our fullest support and encouragement. Indeed, our frontline workers, especially healthcare workers in the restructured hospitals, have shown outstanding courage and dedication. They are out there making daily sacrifices to fight this war against the unknowns. As Mr Seah Kian Peng put it, they act not because they have no fear but in spite of it. Senior Staff Manager, Ziadah Zainudin, has worked more than 12-hour days at Singapore General Hospital's Isolation Ward. Despite missing her birthday celebration with her family, she did not let COVID-19 stop her from doing her job. Dr Melissa Tien responded to NCID's call for volunteers at its 24-hour Screening Centre, even though it meant sleeping in a different room from her husband and forgoing time with their two children. Dr Margaret Soon, the Director of Nursing at NCID and a veteran of SARS cancelled the family trip to work at the frontline. But her family understood and supported her, including her daughter whom she was pregnant with during SARS 17 years ago. The selflessness and commitment of our healthcare workers have shone through as they bravely care for those affected and tirelessly work to contain the spread of the virus. They are an inspiration to all of us and their spirit of excellence has been recognised around the world. While we cannot thank them enough, we can show our appreciation and support in a tangible way. The Government will award public officers on the frontline who are directly battling with the COVID-19 disease up to one additional month of special bonus.[+1 sentence] This will include many healthcare officers in MOH and the restructured hospitals and some officers in other frontline agencies who have been directly involved. Other public officers who have contributed significantly will be recognised in appropriate ways. We will also make a one-off COVID-19 grant to the Public Health Preparedness Clinics to support them in their active role caring for patients with respiratory symptoms.[+13 sentences] This gesture, plus the many words of encouragement and acts of consideration and kindness, is our way to express to you that we salute you. We will win this war over the virus by fighting as One United People. Our citizens and institutions all play a part. Enterprises and senior management standing with unions and our workers, landlords supporting tenants, neighbours looking out for one another, political leaders working hand-in-hand with the Public Service and the people to do everything that will help. They will help us see these problems through together. Singapore has been able to respond strongly and effectively to COVID-19 because there is strong trust between the people and the Government, and the sense that we are all in this together. The Government can make decisions quickly and carry them out effectively because Singaporeans have confidence that those responsible know what they are doing, care about their health and safety and share their worries and concerns. We do not hide bad news. We do not flinch from doing the right thing. We will go the extra mile to help everyone of us come through this together. That is why people comply with stringent quarantine orders, people accept reassurances about masks, people feel safe and carry on with their lives. The fundamental basis for this is trust and solidarity between the Government and the people. The political leadership will do our part. To show solidarity with fellow Singaporeans, all political officeholders will take a one-month cut in their salary.[+15 sentences] All MPs will also take a one-month cut in their allowance. The President has informed me that she will join in to take a similar one-month pay cut. Senior Public Service officers will take a half-month pay cut. In the weeks and months to come, we will need to draw deeply on Singapore's reserves of resilience, trust and solidarity. This unity of purpose across our whole society is what will see us through these challenging times. If we conduct ourselves well in this crisis, we will replenish those Reserves and strengthen our resilience and unity for another generation. As Er Dr Lee Bee Wah said yesterday, in Singapore, "You Will Never Walk Alone". Budget 2020 provides critical support to Singaporeans and businesses in this hour of need. We are able to do so because we have managed our finances prudently and planned ahead to make sure that we always have enough to meet our people's needs. COVID-19 will not be the last challenge that we will face. When this passes, we will continue to face the longer-term structural challenges of an ageing population, technological disruption, social inequality and climate change. We will continue to face sudden and unexpected situations, be it new virus outbreaks, threats to our security or financial crises. A responsible Government must ensure that the nation has the resources to meet these challenges and unexpected events, so that present and future generations of Singaporeans have the wherewithal to survive and thrive. As Mr Sitoh Yih Pin put it so well, we must always be ready. We must always provide for our future. Two years ago, I announced that we will need to raise the GST some time from 2021 to 2025.[+1 sentence] Various parties have questioned this plan. Some have called for the GST rate increase to be delayed or dropped completely after I announced that it would not take effect in 2021 and that we have prepared a $6 billion Assurance Package. In place of the GST rate increases, some have suggested alternatives, including raising income and wealth taxes as well as spending our Reserves and more of its investment returns.[+14 sentences] Which path we choose and how we decide to share the burden of providing public services and building our collective future will define us. Will Singaporeans stand together to share the responsibility of providing for our collective future? Or will we pass the cost to our children and grandchildren? In many societies, such tensions have divided communities and created fault lines between millennials and Baby Boomers. So, it is critical that we make a collective and informed decision to share the efforts and cost fairly, with citizens appreciating the reasons and values behind this decision. Many have been advocating that I give out more "sweets", more "M&Ms", more and more, be a generous "财神爷" or God of Fortune. It will be easier if I could deliver every Budget with just more good news, more spending on everything, more subsidies, more universal handouts and keep quiet about how we will pay for all of these. But this will be irresponsible. It has never been the Singapore way and I hope will never be. Because Singaporeans deserve better. So, I will spend some time explaining the rationale and the hard choices and tradeoffs that we have to make. I hope that Members will understand and appreciate the care and concerns behind the careful planning. If we did not care as much for our collective future, we would not have thought so long and hard and expended so much political capital. Let me speak on two sets of issues in turn. First, I will explain why raising GST remains the responsible way for all of us to meet our society's future needs.[+33 sentences] Second, I will explain why we should continue to steward our Reserves well, to safeguard the interests of future generations of Singaporeans. First, let me reiterate why we need to raise taxes. Nobody likes taxes, not even Ministers for Finance. As a Government, our approach is to tax lightly, so that people can keep most of what they earn and so that they can decide how best to spend it for themselves, for their families or to donate it. But there are many critical national needs that are better met by government provision through taxes. These include building up healthcare facilities and services, and providing subsidies to ensure that our healthcare needs are well taken care of. These include important priorities like mental health which Ms Anthea Ong spoke about passionately, and which will be discussed further during the Committee of Supply (COS) debate. I agree with the Member that good mental health is a foundation for well-being and resilience and we have already started including this as part of our work on human potential that we have added to our national research and development (R&D) budgets. These include developing good and affordable preschool services and education to give all children, including our children with special needs, a good start in life and the best chance for success, regardless of background. These include building up the Singapore Armed Forces (SAF) and Home Team to support our way of life in an era of emerging external, digital and terrorist threats. These are all issues that many of us in this House care deeply about and made eloquent pitches for the Government to spend more on. There must be a role for the Government to redistribute resources in the right way, so that everyone shares in the fruits of progress. Our way to do this is through schemes that enhance the capability of our people – through investments in education, healthcare and the provision of housing, as well as schemes to mitigate inequality like Workfare and Silver Support. Mr Pritam Singh asked earlier whether I could provide more details about our expenditure. In fact, I noticed that several MPs have gone through my Budget Annexes and looked at how much spending has increased for various Ministries. So, let me just take this occasion to cover one important area, an important area because the big shift in public expenditure in the next decade will be in healthcare spending. It will grow significantly as our population ages and as medical technology improves. Now, let me show Members a chart that shows Singapore's and other countries' public health expenditure as a percentage of gross domestic product (GDP) against the share of the total population that is over 65 years old. On the "x" axis is the percentage of total population which is more than 65 years old; and on the vertical axis is public health expenditure as a percentage of GDP. The triangle shows the year 2000 and the circle the year 2015. So, in other words, a period of 15 years. When Members look at the green line, South Korea; the purple line, the US; New Zealand, Germany the blue line; and Japan, the yellow line, you can see how they have all gone up sharply as population ages and as technology improves. As a percentage of GDP, the US is at the highest at almost 14%, Germany at about 9% and Japan at also about 8% or 9%. In Singapore, it has also risen. The dotted line represents the future, projections by the Organisation for Economic Cooperation and Development (OECD). OECD had made similar projections for others. So, we did a similar projection to look at what would Singapore's numbers be, if we used MOH's projections. And that is the bottom, the lower dotted line. And then the upper dotted line is if we were to use OECD's methodology or OECD's trends. As the share of seniors increases over time, public health expenditure has simply increased. And as I said, medical technologies will continue to improve. This trend has been played out in Singapore and all the other countries, as shown in this chart. Over the past two decades, our healthcare expenditure has grown rapidly. In 2000, Government spending on healthcare was about 0.7% of our GDP. By 2015, it had tripled to about 2.1% of our GDP. This additional spending has gone towards significant improvements in healthcare accessibility and affordability. We have introduced new schemes, such as MediShield Life, and expanded the Community Health Assist Scheme (CHAS) to cover all Singaporeans for many chronic conditions.[+11 sentences] Since 2010, we have opened or expanded eight hospitals. We have built two new polyclinics and redeveloped three existing ones. Now, do not get me wrong. The spending is not just on the infrastructure. For every hospital that you build, the capital expenditure (capex) that we put in, the operating expenditure (opex) is even more. So, it just tells you the trend that we are heading towards. And healthcare spending is not just about treating the sick. It is also about giving our seniors a better quality of life. The number of cataract operations per year on seniors increased from around 10,000 in the year 2000 to almost 30,000 last year. Such procedures were less common in the past because people did not live as long as they do today to need them. And because of advances in medical sciences, previously incurable diseases, like cancer, can be better managed, and patients can continue to live for more years with a good quality of life. The number of citizens aged 80 and above has almost doubled, from 63,000 in 2009 to 112,000 in 2019, and will increase further.[+26 sentences] Going forward, healthcare spending will continue to grow significantly. So, while this is a very good thing that our people are living longer, we must be prepared that we will have to spend more on healthcare. So, we expect public healthcare spending to grow by around one percentage point of GDP over the 15 years from 2015 to 2030. This is, in fact, as I mentioned to you earlier, less than the average increases projected in the OECD countries, partly because of our efforts to keep healthcare costs sustainable and because Singaporeans have increasingly adopted healthier lifestyles. But our healthcare spending may rise by more than this one percentage point if medical costs rise throughout the world and we do not bring problems like obesity and diabetes under control. As Mr Lim Biow Chuan said, Singaporeans must understand that increased spending on healthcare must come from somewhere. Some have wondered if we can spend less or spend more efficiently. Indeed, it is not just about how much we spend but how well we spend. Today, we achieve good outcomes at a lower cost than many other countries. In health, we have the highest life expectancy in the world – almost 85 years – but still spend less of our GDP compared to other countries, as Members can see in this chart, our life expectancy compared against public health expenditure as a percentage of GDP of various countries. In fact, former World Bank President Jim Yong Kim said that it was "stunning" that Singapore had achieved its current outcomes despite relatively low spending. So, I will thank our people and our healthcare workers for taking care of their own health and for doing such a good job. Similarly, for education, our 15-year-olds do well in international indices of educational attainment like the Programme for International Student Assessment (PISA) test despite Singapore spending less than other countries. We are able to achieve this only because of a whole-of-society effort. On the Government’s part, we have carefully designed our education and healthcare systems to deliver good services in a cost-effective manner. We have dedicated and passionate educators who believe in developing every child to their fullest potential. We have committed healthcare professionals who believe in delivering the best care to all Singaporeans. There is strong support for Singaporean families from community groups and social service agencies. And Singaporeans themselves play an important role in taking responsibility for their own learning and health. We are always looking for ways to improve outcomes in a cost-effective manner. Minister Lawrence Wong will elaborate on some of these efforts during the Ministry of Finance's (MOF's) COS debate. But efficiency savings will never be enough to fully offset the growth in healthcare spending as the population ages and medical sciences improve. Efficiency savings can only mitigate it. To believe otherwise is wishful thinking. Ms Foo Mee Har shared that some Singaporeans have questioned the need to raise revenues to meet the expenditures I mentioned, pointing at surpluses seen in this term of Government. But our healthcare spending needs are not one-off needs. They are recurrent needs, meaning that these needs will be there year after year.[+1 sentence] In fact, growing year after year. So, we need to fund them using recurrent revenues, not one-off surpluses seen in this term of Government, which arose from the unexpected rally in global financial markets and the unexpected buoyancy in the property market.[+2 sentences] We cannot hope to keep on being so pleasantly surprised. Things can very quickly swing in the opposite direction, as we have seen from the COVID-19 outbreak. The outbreak reminds us why we need to plan ahead to raise revenues.[+3 sentences] We must ensure that we have enough resources to meet our people’s needs, driven by structural factors. Otherwise, we will find ourselves short and have to raise taxes or cut spending in difficult times, precisely when businesses and people need a boost. Planning ahead entails being honest with ourselves and with citizens, and having the discipline to raise revenues in a timely manner. Yet, even among those who agree in principle on the need to raise taxes, some have asked, "Why GST?" As I have explained before, a broad-based tax like GST is an appropriate and responsible way to pay for major societal needs like healthcare spending.[+26 sentences] Such spending benefits all Singaporeans. So, it is fair for everyone to bear some part of the cost. This is about all of us taking shared responsibility to pay for our needs and our society’s needs and sharing in the effort to provide for them. It is at the same time a Singapore-style GST that comes with offsets to ensure that those with lower incomes pay much less than those who are well-off. In fact, at the individual level, many Singaporeans are willing to chip in to meet these needs. In my conversations with my constituents, I have asked if they would be willing to contribute just 20 cents more out of $10 that they spend a day, if this would help to ensure that their healthcare needs and those of their parents were adequately taken care of. Many were willing to accept this small cost for peace of mind. The compact does not change when we project it to the national level. This is ultimately about us collectively chipping in to look after the healthcare needs of our families. Each generation must pay for its own spending. Ms Foo Mee Har and some others have asked if we should raise income and wealth taxes instead of GST. In fact, we have been doing so in recent years. In 2010, we made our property tax regime progressive by introducing higher tax rates on owner-occupied residential properties with higher Annual Values. We enhanced the progressivity of our property tax system in 2013, with higher property tax rates for homes and non-owner-occupied residential properties. In 2015, we raised the top marginal personal income tax rate from 20% to 22%. The following year, we introduced a cap on the personal income tax relief to make our regime more progressive. In 2018, we raised the Buyer’s Stamp Duty for residential properties in excess of $1 million in value. In all this time, when we were raising income and wealth taxes to support the country’s growing expenditure, the GST rate remained at 7%. The last time we raised it was in 2007, more than 10 years ago. But we should bear in mind that there is a limit to raising income taxes. If we keep raising income taxes, it will eventually hurt middle-class Singaporeans, who presently pay very light income taxes. It will also risk losing our ability to attract talent and keep our own talents. As Ms Tin Pei Ling said, "Talents beget talents. There is a virtuous cycle to this." It is important to have a critical mass of talent in Singapore to create jobs and economic vibrancy, which will benefit Singaporeans. That said, as important as raising the GST is, it is only one way to meet our revenue needs. An increase of two percentage points in the GST rate will provide us with additional revenue of almost 0.7% of GDP per year.[+23 sentences] But the increase in annual Government healthcare spending alone that I mentioned already exceeds the amount of additional revenue. So, we will continue to adjust our income and wealth taxes to raise revenue in a progressive and fair manner. We should keep international tax developments in mind as we review these taxes, both personal income tax as well as corporate income tax. As Mr Cedric Foo and Mr Henry Kwek noted, there are ongoing international discussions to revise tax rules under the BEPS project. Hub economies with small markets like Singapore stand to lose corporate income tax revenue if the new rules are adopted. This is because the new rules allocate taxes to where the customers are rather than where the underlying economic activity is conducted. Businesses are highly mobile in today’s global economy. Companies, especially multinationals, have the flexibility to relocate their businesses out of Singapore to elsewhere. Singaporeans may lose their jobs. So, Mr Pritam Singh asked me earlier about the status of BEPS. Well, in fact, I am glad that MOF officials have been very involved in this international discussion. Some of these discussions are confidential in nature. Some of them have been made public. But I assure Mr Pritam Singh that hub economies will have to bear some negative in this exercise for the reasons I mentioned – where you tax the activity. Is it where the consumers are or where the underlying economic activities are? That change in principle alone, you can work out what the effects will be for us as a hub economy. We, therefore, need to strike a fine balance between our corporate income tax rate and economic competitiveness. Ultimately, how much we spend depends on how much we collectively have to pay in the form of taxes. This chart shows the standard GST or value-added tax rates that other jurisdictions adopt, compared with our future rate of 9%. Among the Nordics, for example, the value-added tax rates are as high as 25%. They also have top personal income tax rates as high as over 50%. They have accepted higher taxes as the price for their higher social spending. Even as we seek to keep the GST rate low, we have to make tradeoffs as we increase our spending for our healthcare and other needs. After raising the GST to 9%, it will still be lower than the average rate in Asia and less than half of the average rate in OECD countries today.[+8 sentences] Many countries in the region and elsewhere have standard GST rates that exceed 9%. Even Saudi Arabia, a country with huge oil reserves, is carefully planning ahead and introduced a 5% value-added tax from 2018. Do we have oil? No. So, let me address concerns raised about the impact of the GST hike on the lower-income and the impact on cost of living. In designing our fiscal system, we have always sought to achieve a fair and progressive balance where the better-off contribute more and the lower-income receive more support. This overall philosophy is a key consideration in how we design the GST and how we will implement the GST hike. This is why I have announced an Assurance Package to cushion the increase for all Singaporeans when the revised GST rate kicks in by 2025. This provides a bigger and thicker cushion to the lower- and middle-income, including many seniors. The package effectively delays the impact of the GST increase for the majority of Singaporean households for at least five years. For lower-income Singaporeans, the offset will be even higher and, hence, there is effectively no increase for them for 10 years.[+10 sentences] There have been questions over the logic of raising GST and providing a $6 billion Assurance Package for GST, and whether we can just delay or not even increase the GST rate at all. Delaying the GST increase is not the same as raising the GST and providing offsets. This is because of the design of our system and the resulting incidence of the GST burden. Today, we flow part of the GST revenue back in the form of a GST Voucher that gives more to those who need it most, particularly the lower-income and retiree households. This is a permanent part of our system and will be enhanced when the GST hike takes place. The GST Voucher reduces the net GST borne by lower- and middle-income households. Net GST is the amount of GST borne by each household, after accounting for the GST Voucher they receive. With the GST Voucher, the bottom 40% of resident households are estimated to account for less than 10% of the net GST borne by all households and individuals. On the other hand, a significant part of the net GST is borne by foreigners and higher-income households. Mr Liang Eng Hwa asked what proportion of the GST is borne by this group. Foreigners residing in Singapore, tourists and the top 20% of resident households are estimated to account for over 60% of the net GST borne by all households and individuals.[+21 sentences] This is after taking into account GST refunded under the Tourist Refund Scheme for goods bought here for consumption abroad. This is partly because foreigners do not benefit from the GST Voucher and offsets, which are available only to Singaporean households. When we eventually increase the GST rate to 9%, foreigners pay the higher rate immediately. In contrast, Singaporeans receive offsets to cushion the impact, through both the permanent GST Voucher and the Assurance Package. And as I said, for some households it is equivalent to not having the GST increase for five years, and for some even 10 years. All in, the GST increase, implemented together with the Assurance Package, will achieve several different objectives. Most importantly, we delay the impact of the increase on most Singaporeans, by five years or more, and even longer for the lower-income. We can start collecting revenue from foreigners residing in Singapore and tourists, and our businesses make the changes to their IT systems only once. The GST is only one part of our fiscal system. When you look at the system of taxes and benefits as a whole, it is a progressive one. Those who are better off, contribute more. The top 10% of taxpayers pay about 80% of our personal income tax revenue. As shown in this chart, lower- and middle-income households receive proportionately more benefits than the taxes they pay, whereas higher-income groups contribute a far higher share of taxes than the share of benefits they receive. So, as you can see, the top 20% pay 55% of the taxes and receive 12% of the benefits. The bottom 20% pay 9% of the taxes and receive 28% of the benefits. So, let me summarise what I have explained in three points. First, we care for fellow Singaporeans and want to support them, especially in healthcare. To fund this spending, we need to raise the GST. Second, we will take collective responsibility to look after one another. Raising the GST, a broad-based tax to meet a broad-based need, is a sustainable approach. Third, we ensure that we are fair when the GST is raised. Through the Assurance Package, we will effectively delay the increase for almost all Singaporeans by at least five years; and over and above the transitional support, the permanent GST Voucher will further help the lower- and middle-income.[+6 sentences] Let me address questions that have been raised over the use of our Reserves and suggestions that it should be used to fund our needs instead of GST. The Reserves are our nest egg, borne of hard work and discipline. During the earlier years of economic catch-up, Singapore experienced fast growth and had a young working population. Our founding fathers made the decision to save the country’s surpluses and invest it for the long term to build up Singapore’s nest egg. They could have just spent it to gain immediate political advantage. But they were principled and had the long-term interests of our people and our nation at heart. In FY2019, our NIRC was $17 billion, or 3.3% of GDP, the largest single contributor to the Budget.[+10 sentences] This is a highly unusual and a very fortunate position. Most advanced countries, shown in the lower half of this chart, pay about 2% of their GDP in debt servicing of accumulated debt. They collect taxes to pay off the debts of previous generations. As you can see from that graph, the red line is the US and the green line on top is France, and Germany in between at about 2%. In Singapore, as shown in the top half of the chart, it is the opposite. Our Reserves generate substantial returns, which help to keep our taxes low. In other words, in most advanced countries, citizens today pay for the spending of the past generations. In Singapore, it is the reverse. Citizens today enjoy the benefits of the savings from the past, thanks to the foresight and policies of our founding generation of leaders and people. You can work out the sums simply. Today, NIRC, at $17 billion, is more than personal income tax at $12 billion, and GST collections at $11 billion. So, if we did not have NIRC, even doubling personal income tax, or doubling the GST rate to 14%, would still not be enough.[+37 sentences] Tell me, in which other country are citizens able to reap the benefits of past savings in this way? So, let us never forget that what we have inherited is very unusual and very precious. Let us be responsible and steward this properly for our future generations. Mr Leon Perera asked if we can slow the rate of growth of our Reserves and release more funds to invest in our people and companies. I am sure he is aware that in 2008, we introduced the Net Investment Returns framework and, in 2015, we passed a constitutional amendment to add Temasek in the framework. This has resulted in a significant increase in NIRC that has gone towards various spending, including investments in our capabilities to generate future growth. Put it in another way, today at $17 billion, the NIRC is able to cover almost the combined budget of the Ministry of Education (MOE) and and the Ministry of Trade and Industry (MTI). More importantly, our Reserves give us the confidence, as a small country with no natural resources of any kind, to deal with the ups and downs in the world. This is why we have a robust set of rules to safeguard and manage the use of Reserves. The President plays a critical role in guarding against profligate spending and to ensure proper use of our Past Reserves to safeguard Singapore’s interest when needed. During the Global Financial Crisis more than a decade ago, with global financial markets in turmoil and governments around the world scrambling to protect bank deposits, then-President SR Nathan approved the provision of $150 billion from our Past Reserves to guarantee bank deposits in Singapore from October 2008 to December 2010. That calmed our depositors. I was the Managing Director of the Monetary Authority of Singapore (MAS) at that point. And I can tell you that our officers in MAS worked day and night to safeguard the stability of the banking system, and were totally conscious that we were using our Past Reserves as a guarantee, but we were also confident that the guarantee will be put to good use because it is to stabilise the confidence of depositors. So, throughout that period, we had a very difficult time but, towards the end of it, we did not have a single bank run. And the $150 billion remained untouched. It went back to our Past Reserves. Singaporeans’ money was safe. In 2009, then-President SR Nathan approved a draw of $4.9 billion from our Past Reserves to fund the Resilience Package to help us overcome the Global Financial Crisis. A year later, after the economy rebounded sharply, the Government decided to return the money used to our Past Reserves. It did not have to, but did so, to maintain the discipline that has allowed this unusual move in the first place. This year, we have not had to tap our Past Reserves. But it was the same spirit of prudence that allowed us to have enough surplus this term to provide the fiscal support for our economy and our people. But if the situation deteriorates significantly and calls for us to tap on our Past Reserves, I will make a case to the President to seek her approval to do so. We can do the easy thing and avoid the pain for ourselves today. We can decide not to raise GST to pay for our own spending, but to tap on our Reserves and its investment returns instead. But by doing so, we will soon deprive future generations of the benefits that we enjoy today. What would that, then, say about us? During a Parliamentary hearing in 2001 on the Bill to allow the Government to use part of the returns of investment from our Reserves, our founding Prime Minister Mr Lee Kuan Yew said, “What is the deepest obligation of any government? It is not to the present, and certainly not the past, but to the future.” Let me repeat that: "What is the deepest obligation of any government? It is not to the present, and certainly not the past, but to the future". We have a duty not just to those who make their views known today, but also to the young and the future Singaporeans. They are not here today to represent their interests because they are not born yet! But we have a responsibility to them, and to take decisions which are difficult for us but which will safeguard their interests. Let us continue to keep the discipline and keep the faith and promise to future generations of Singaporeans, by stewarding our Reserves well in our time. Climate change is another area where we may not live to reap the benefits of our decisions but our children will. In this Budget, I have set aside $5 billion for a Coastal and Flood Protection Fund. I could have chosen instead to spend it on more "hong baos" or red packets to make myself more popular. But by making the commitment today, these resources will go towards pumps, tidal gates and infrastructure that will keep our children and their children safe from rising sea levels in decades to come.[+10 sentences] Climate change threatens our very existence as a small low-lying island state. But Singapore has always risen to the challenge in the face of adversity. We have never accepted our fate or our starting circumstances meekly. Instead, we adapt, innovate, mitigate and overcome. We turn constraints into opportunities and strengths. Dealing with our water and land constraints has made us leaders in water technology and urban planning. Our manpower constraints constantly push us to automate, digitalise and be more productive. Now, we have a plan to address our carbon and energy constraints. We are meeting the challenge head-on, with an ambitious plan to tackle climate change. We are not only securing our coasts but also transforming our sources of food and water and remaking our entire economy and city for a green and sustainable future. Several agencies are working in concert to execute this, coordinated by the National Climate Change Secretariat. This year, we will update our commitment to the Paris Agreement and submit our Long-Term Low Emissions Development Strategy to contribute efforts to mitigate climate change.[+1 sentence] MTI and MEWR will prepare our economy and society for the low-carbon transition by working with various stakeholders and partners to reduce our greenhouse gas emissions and seize opportunities in the circular economy. Just as it had done with water, MEWR is embarking on ambitious plans to develop our own food production capabilities with its "30 by 30" target.[+37 sentences] The Ministry of Transport (MOT) is working on our vision to phase out internal combustion engine (ICE) vehicles and have all vehicles run on cleaner energy by 2040. The Ministry of National Development is making efforts to make our towns greener and more sustainable, and transform Singapore into a City in Nature. These are ambitious plans and we are bringing our R&D investments in urban solutions and sustainability to bear to realise this vision. The respective Ministers will speak more on these efforts and, in fact, Senior Minister Teo Chee Hean will speak on this in the COS debate. I hope their explanations will give Mr Dennis Tan a fuller picture of all that we are doing to tackle this serious challenge. He and Mr Yee Chia Hsing, Mr Ang Wei Neng and Mr Murali Pillai gave their perspectives on the adoption of electric vehicles (EVs). The Government is playing our part. We already have the Vehicular Emissions Scheme and, in this Budget, I announced the EV Early Adoption Incentive. This will help to close the cost premiums between EVs and ICE vehicles. Over time, as technology improves, we expect the cost differential to close further. However, while we want to encourage drivers to replace their ICE vehicles with EVs, we should bear in mind that the cleanest and most efficient mode of transport remains public transport. A car-lite vision that Mr Khaw Boon Wan has articulated continues to be the main focus of our transport policy. And MOT will provide further comments later. This is a whole-of-society, multi-generational effort and its success will depend on all Singaporeans taking action. I am very happy that many young Singaporeans are passionate about this cause and want to be part of the solution. We are in for the long haul, and our journey to tackle climate change will span 50, even 100 years. It is, as one commentator pointed out, a big audacious goal. But if we do not have the courage and determination to tackle challenges that threaten our very existence, what is our ambition for? Such long-term investments, together with our Reserves, represent our commitment to future generations of Singaporeans. If we take the long-term view and each generation plays its part, Singapore can face the future with confidence, the confidence that we will always have the capacity to overcome every challenge, be it a virus outbreak, recession or rising sea levels; confidence that we will be able to provide for our families and community; and confidence that our children will have the best chance of a better life, come what may. I have not finished. I told Members I have two files. Now, let me touch on how we will strengthen the social compact and continue to fulfil the promise of opportunities for all in changing times. Ms Denise Phua, Assoc Prof Walter Theseira and others spoke on the need to tackle inequality and preserve social mobility. Singapore was founded on a vision of a "just and equal society" – broad-based prosperity and equal opportunities for all – a society where every Singaporean, regardless of background and starting point, has a good chance to do better. Today, this remains this Government's mission to enable all Singaporeans to enjoy the fruits of growth. Over the years, we have made good progress in fulfilling this goal. But we will confront complex new challenges ahead, including the pressures of technological and demographic change and the growing inequality of starting points, as our society matures. Our response to these challenges will define us. A growing number of societies have responded by turning inwards from the world, even as they grow more polarised and divided within. For Singapore to stay successful, we must have the courage to take a different path. We must continue to anticipate and respond to change, plan for the long term, and find practical solutions to create better lives for Singaporeans. We must continue to stay open and connected to the world. A Singapore turned inwards cannot survive. We must continue to foster trust in society, a point which Prof Yaacob Ibrahim spoke yesterday. Above all, we must stay united as one people. Our unity is what makes Singapore's story exceptional. Mr Lim Swee Say, in his trademark pithy way, said we need "Glocalisation" – both a globally competitive economy and a locally cohesive society. This calls for us to do three things: to transform our economy to be globally competitive, to develop our people to seize these opportunities, and to strengthen our social compact by ensuring that all benefit from the fruits of progress and no one is left behind.[+5 sentences] This will require us to put in place synergistic fiscal, monetary and structural policies. With sensible and prudent fiscal policies that promote growth and social equity, appropriate monetary policy to promote macroeconomic stability to maintain price stability and promote steady growth, and structural policies that expand the capacity of our firms and labour force for growth. Let me touch on the actions that we are taking in our structural policies, starting with how we will transform our economy to keep it globally competitive. The global economy is undergoing tectonic shifts today and many countries face a new economic landscape. Singapore must move fast to secure growth and jobs in the next bound, or face irrelevance. We have, therefore, embarked on an urgent journey to transform Singapore's economy. We started our work four years ago in 2016 when the Committee on the Future Economy was formed.[+1 sentence] First, we are moving quickly to secure our external economic space, to create new opportunities and room for manoeuvre in an increasingly fragmented economic order. To ride on Asia’s growth, we are working to position Singapore as a Global-Asia Node of Technology, Innovation and Enterprise, as a trusted and valuable part of the network of global cities that are driving innovation and growth globally.[+10 sentences] We have enhanced our economic connectivity through our network of trade agreements and avoidance of double taxation agreements. We have also created new linkages with other economies through digital agreements and new platforms and networks, such as the Networked Trade Platform and Global Innovation Alliance. These moves diversify our markets and supply chains and have made us more resilient in times of rising protectionism. Second, we are increasing the capacity of our enterprises and industries to innovate, grow and transform. As Mr Ong Teng Koon pointed out, building up strong local capabilities and ecosystems for innovation is critical to our economic success and resilience. We are, therefore, helping enterprises to deepen their capabilities at every stage of their growth. So, I am very happy to hear Mr Teo Ser Luck sharing his personal entrepreneurship journey by making use of the grant but cautioning not to overdo it or you will destroy the spirit of enterprise. To strengthen our competitive advantages, we have expanded our R&D investments into new areas and technologies. Through these investments, we are harnessing the latest technologies to transform our manufacturing and services sectors and creating new growth clusters in areas, such as urban solutions and sustainability, health and human potential and agri-food tech. We have brought industry and the research community together to experiment and collaborate with the Government in test-bedding solutions in areas like urban mobility. Third, we are mobilising and partnering our industries and enterprises to take ownership of their own economic transformation. We have brought industry stakeholders together via Industry Transformation Maps (ITMs) across 23 sectors.[+17 sentences] But the success of each ITM comes down to the strength of leadership in our enterprises. Business leaders must have the mental agility and dynamism to experiment and the resourcefulness to overcome constraints. That is why, in this Budget, we are supporting business leaders through the Enterprise Leadership for Transformation (ELT) programme. Our institutes of higher learning (IHLs), such as the Singapore Management University, have joined hands with Enterprise Singapore to support this effort. Enterprise Singapore will bring more partners on board the ELT programme in the coming months. At the industry level, partnership among businesses is key. So, even as businesses compete with one another and seek to differentiate themselves, cooperation can help them do better, such as by forming alliances to capture opportunities overseas or collaborating to testbed sector-wide solutions. And this is exemplified by the Singapore Manufacturing Federation, which, under Mr Douglas Foo's leadership, is making a concerted effort to transform the manufacturing sector. The Singapore Poultry Hub is another example. A joint venture among five poultry producers and processors, the Hub's smart factory will deploy emerging technologies to increase productivity by 26% and production capacity by 70%. By working together, these poultry producers were able to achieve the scale needed to transform a labour-intensive process. So, though they remain competitors, they certainly did not chicken out from working together! As Minister Josephine Teo reminded us, economic transformation is not painless. Businesses must be willing to bear the transitional pains, to be creative and resourceful, and to seize opportunities where others see challenges. Encouragingly, we are starting to see the fruits of our moves to transform the economy. Productivity has grown in the last three years and our enterprises are entering new markets. We are also seeing continued confidence and investments in Singapore despite economic headwinds. Investment commitments attracted by the Economic Development Board in 2019 amounted to $15.2 billion in Fixed Asset Investments and $9 billion in Total Business Expenditure per year.[+2 sentences] These show that we are taking steps in the right direction. Most importantly, our efforts are creating more and better jobs for all. Over the last 10 years, local employment has grown steadily, adding more than 41,000 jobs each year on average. Local unemployment has stayed low, at about 3.2% of resident labour force in December 2019, on a seasonally-adjusted basis.[+2 sentences] Above all, locals are benefiting from the jobs created. Earnings have increased. Since 2010, real incomes have risen by about 3% each year for the median full-time employed local worker.[+35 sentences] And more locals are employed in higher paying jobs. In 2010, 37% of full-time employed local workers earned a gross monthly income, excluding employer Central Provident Fund (CPF), of at least $4,000 in today's dollars, adjusting for inflation. In 2019, 51% of local workers earned at least $4,000. So, 51% in 2019 compared to 37% in 2010. At its heart, economic transformation involves the courage to brave transitional pains as we change the way we do things. And if we can all move forward with this can-do spirit of initiative and partnership that we have shown in the past weeks, I am confident that we will build strong firms that can grow and compete in the global arena and create good jobs for all Singaporeans. As our economy undergoes structural changes, our labour market is also facing profound structural changes. As our population ages, our resident workforce will shrink rapidly, tightening our labour market. People are living longer and expect to have longer, even multiple, careers. And rapid advances in technology and business models will bring more frequent and disruptive changes to skills required at jobs. As Prof Lim Sun Sun and Mr Christopher de Souza put it, change is the only constant and we cannot run away from it. Our collective mentality towards upskilling must change from nice-to-have to must-do, a point that Mr Teo Ser Luck also mentioned earlier. We are responding to these changes by taking a three-prong tripartite approach with the Government, workers and enterprises working in close concert to deal with these structural changes in our labour market. The first prong is for the Government to invest in critical enablers of skills upgrading and in career support. We have shifted our approach to education to one that enables learning throughout life. We are investing heavily in our IHLs to build up a future-ready ecosystem. Together with other training providers, our IHLs offer a large suite of Continuing Education and Training (CET) courses, many of which are industry-relevant. And together with those provided by other training providers, our IHLs' CET courses provide a key pathway for individuals to gain skills and confidence to make career transitions and to realise their aspirations. The Government subsidises these courses heavily, with subsidy rates as high as 90% of course fees. Beyond education, we are enhancing our support to help workers make the transitions smoothly, and this is especially important for mid-career workers. Ms Sylvia Lim spoke about their anxieties. We must turn these anxieties into actions that improve lives. Our Adapt and Grow initiative helps workers find opportunities, refresh their skills and transition to new roles faster. Professional Conversion Programmes (PCPs) help workers take on new job roles and our career coaches give career guidance and help jobseekers secure new jobs. When I visited Workforce Singapore's (WSG's) Careers Connect last September, I met Mr Lam Kong Chai, 58 years old. Mr Lam had been job hunting for two years. With WSG's help, he was hired as the Finance Director at Asia-Europe Foundation. His hiring manager herself had previously received career advice from WSG and approached WSG to fill the role that Mr Lam took on. In turn, Mr Lam worked with WSG to fill a vacancy in his team. So, all three individuals ended up getting jobs. The outcomes of our Adapt and Grow initiative are encouraging. About nine in 10 of those who went through our PCPs remained in employment 24 months after placement. And about seven in 10 also earned higher wages after starting their new jobs. Our coaches work with about 27,000 jobseekers every year. In 2018, they managed to place about seven in 10 jobseekers into new jobs within six months. In this Budget, we have built on these initiatives, paying special attention to the needs of mid-career workers in their 40s and 50s by introducing the SkillsFuture Mid-Career Support Package. We are also increasing the capacity of our reskilling programmes by providing a hiring incentive to employers and providing a special SkillsFuture Credit top-up of $500 to every Singaporean aged 40 to 60 in 2020.[+14 sentences] I would like to thank Mr Patrick Tay, Mr Melvin Yong and Mr Liang Eng Hwa for their suggestions on how we can help our mid-career workers and improve SkillsFuture. These will be discussed further during the COS debate. The second prong of this approach is to enable our workers to take ownership of their own learning and growth through the SkillsFuture movement. Initiatives, such as the SkillsFuture Credit, encourage each individual to take charge of their learning throughout life. Together with Government subsidies for CET courses, our workers can access quality programmes with low or zero out-of-pocket payment. Take, for example, a Big Data Engineering for Analytics course which costs about $4,500 before Government subsidies at a SkillsFuture Singapore-appointed CET centre. A Singaporean worker aged 40 or older enjoys a 90% course subsidy. The remaining $450 can be fully met from the worker's existing SkillsFuture Credit or the top-up that this worker will get in this Budget. So, the SkillsFuture Credit works in conjunction with the broader CET ecosystem of support that we have built up. I hope this assures members like Mr Arasu Duraisamy and Ms Irene Quay, who raised queries on the credit and concerns about whether it can really make a difference. Our Labour Movement is innovating and exercising collective leadership to strengthen individual workers' efforts, for example, the Job Security Council initiated by Secretary-General Ng Chee Meng as well as the Company Training Committees. The third prong of our tripartite approach is to get our enterprises to step up their own enterprise transformation and, in tandem, to redesign jobs and upgrade their workers. With this synergy, we can achieve more. As Ms Jessica Tan pointed out, leadership must come from employers. The Next Bound of SkillsFuture announced in this Budget, therefore, mobilises businesses to upskill their workers and redesign jobs through the SkillsFuture Enterprise Credit and the expansion of the Productivity Solutions Grant for job redesign consultancy services. Enterprises which hire local workers aged 40 and above, with no upper age limit, through reskilling programmes will also get hiring incentives.[+7 sentences] Mr Ong Teng Koon was concerned that it may be hard for SMEs to take workers away from the day-to-day business needs. In fact, there is no better time than now to do so. Many businesses are already using this downtime to accelerate change. This three-prong approach, building on our tripartite framework, is our structural response to the structural changes in the labour market. We are able to do this because we have been investing significantly in our education upstream, to build a strong foundation to enable our people's success. Investing upstream means supporting every child to reach their fullest potential. Today, over 90% of the total cost of educating our children from primary to pre-university level is subsidised by the Government. In all, by the time a Singaporean child reaches 16, he or she would have received more than $180,000 in education subsidies, including preschool subsidies.[+25 sentences] Then, when they go on to an IHL, which most students do, they get an additional $15,000 to $22,000 in subsidies per year. Students from lower- and middle-income households receive additional bursaries and subsidies on top of this, which I have enhanced in this Budget. We are now investing significantly more in affordable, quality preschool education while giving low-income families additional support for early childhood development through KidSTART. We are also equipping young Singaporeans with skills they need for the new economy, including cross-cultural skills. In this Budget, I announced our "70-70" target, Asia-Ready Exposure Programme and enhancements to the Global Ready Talent Programme. Another key area where we invest upstream is housing, so that everyone has a home. We provide generous housing subsidies to keep Housing and Development Board (HDB) flats affordable. New HDB flats are sold at prices below their market rate. Over and above subsidies, we provide substantial housing grants, depending on the income of the buyers. Eligible first-time buyers who buy resale flats get grants of up to $160,000. Today, a resale flat can cost less than five times the annual salary of a median-income household. This is much lower than international cities like Hong Kong, Sydney, London or New York. This chart compares the median house price as a ratio of the median household income in major cities before accounting for grants. The ratio will be lower with grants. You can see the numbers yourself. By intervening upstream in these areas, we provide a foundation of broad-based opportunities that enables everyone to earn their own success. As a result, Singaporeans have been able to enjoy the fruits of progress. Now, I will show Members another chart that shows resident-employed households have experienced sustained real income growth at the median, growing by 3.7% per year over the last decade. Members can see the numbers for yourselves versus other developed economies. While the data are not perfectly comparable internationally, the growth that we have experienced is higher than that of many advanced economies. In short, our approach in these changing times is to take structural measures to strengthen opportunities at every stage of life, with individuals, employers, unions all doing their part. For this to succeed, the change must come from within. For all the programmes that the Government puts in place, each individual will have to take responsibility for their own growth and learning. If we can all take on a mindset of growth and a spirit of resilience, we can be assured that we will emerge stronger and better to face the future ahead. I have spoken on our first two strategies of transforming our economy and developing our people to enable opportunities for all. But for all our efforts to maximise opportunities for everyone, there will be some who will continue to face difficulties. So, our third strategy is to strengthen our social compact by ensuring that all benefit from the fruits of progress.[+7 sentences] This Budget provides further support for those who may face greater pressures. First, some face difficulties with employment and ensuring that growth in their income keeps pace with inflation, despite their best efforts. Assoc Prof Walter Theseira, Mr Zainal Sapari and Mr Png Eng Huat have spoken on the vulnerabilities of low-wage workers. The Care and Support Package, which includes Grocery Vouchers to provide help with daily necessities, will help them and their families. It builds on our efforts in recent years to strengthen social support and safety nets for low-income workers and their families through enhancements to Workfare, the Progressive Wage Model, and ComCare. The mayors and the five Community Development Councils (CDCs) have local assistance schemes to support the heartlands, as pointed out by Mayor Low Yen Ling. These local efforts, done in partnership with community partners, local merchants and many others, bring warmth and support from fellow Singaporeans and business owners who are also our neighbours. Second, there are retired seniors who had lower incomes in their working years, with little or no family support. We have announced substantial enhancements to Silver Support to benefit 100,000 more seniors and raised payouts by 20%.[+3 sentences] These enhancements go beyond inflation growth to provide stronger support. Third, Mr Melvin Yong and Mr Saktiandi Sapaat spoke about the stresses faced by middle-class families that are "sandwiched" financially because they have to care for both their children and their elderly parents. Mr Louis Ng, Ms Yip Pin Xiu, Mr Desmond Choo and Mr Darryl David also pointed out that they may face pressures in terms of time from balancing their caregiving responsibilities and work. Financially, we have given additional help for such families in this Budget by providing those with young or school-going children with an extra $100 cash payout per parent, more GST Voucher – U-Save rebates for larger households and PAssion Card top-ups for their parents.[+9 sentences] Last year, we also announced measures to support parenthood and caregiving, including enhancements to preschool subsidies, and the Home Caregiving Grant under MOH's Caregiver Support Action Plan. Supporting and strengthening families will always be a priority for us and we will continue to look at how we can do so effectively. I thank Members for their suggestions. These issues will be discussed further at the COS debate. These measures come on top of the extensive subsidies that I mentioned earlier in education, healthcare and public housing. These benefit all Singaporeans, including the middle-class. Middle-income households – those in the middle 20% by household income – benefit substantially from this system. In 2019, they received $2 in benefits for every $1 in tax paid. Overall measures that we have put in place over the past decade to provide good jobs for our people, develop them at all stages of life and support the vulnerable, have made a decisive impact in narrowing the income gap. The Gini co-efficient after taxes and transfers fell to 0.398 last year, the lowest since 2001.[+40 sentences] This is encouraging, but our work is not done. We will always continue to look at practical, effective moves to tackle inequality and ensure that all Singaporeans progress together. Critically, businesses and the community have growing roles to play. A caring and cohesive society begins with everyday acts of kindness, of philanthropy and volunteerism. These are better antidotes to inequality than the politics of class warfare that we have seen around the world. As Miss Cheng Li Hui put it, graciousness and kindness are, indeed, part of our Singapore spirit. There is much we can do to build an inclusive society for all, including those with special needs and persons with disabilities. Miss Cheryl Chan, Dr Intan Azura Mokhtar and Mdm Rahayu Mahzam reminded us. This is why it has been my priority to support, enable and amplify the efforts of citizens and businesses to help those in need through Singapore Together. These efforts are growing. In 2018, individuals collectively donated $2.1 billion through registered organisations, more than double the $960 million donated in 2008. Each donor gave, on average, about $660, which is more than twice the amount in 2008. In addition, one in two businesses in Singapore gives back through philanthropy and volunteering. Our social service agencies have been doing good work for the community. They, too, have been going through their own transformation journeys, building up technological capabilities to be more effective in helping those in need. For example, the Cerebral Palsy Alliance Singapore has invested in an anti-gravity treadmill, so that clients can practise moving and walking in a fall-free environment. Going forward, we will partner the community to support more of such capability-development efforts, through the Community Capability Trust that I announced in this Budget. Such investments and partnerships will help social service agencies to overcome the manpower constraints that Ms Joan Pereira spoke on. This good work is not just confined to organised sectors. Our democracy of deeds permeates every level. Many MPs have also shared stories embodying the spirit of Singapore Together. Mr Liang Eng Hwa and many others shared about the spontaneous and thoughtful acts in many housing estates, such as fellow residents coming together to bottle hand sanitisers and placing them in lifts for residents to use. Mdm Rahayu Mahzam shared about the passion among young people for a more inclusive, more compassionate society and reminded us of the importance of engaging young people as we build this nation. I thank Mr Pritam Singh for his support for the Singapore Together movement in his comment about MPs giving diverse views in this House. And I would say that we can go a step further, that the democracy of deeds means each of us taking action to realise the good. It is also very inspiring to hear how several Members of this House are taking the lead to serve our community in their own diverse ways. Let me just highlight some of our Nominated MPs. Assoc Prof Walter Theseira, an economist, has been doing a lot of work on the labour market; Mr Douglas Foo leading the SMF effort; Mr Terence Ho, using the arts to enable and empower individuals from underprivileged backgrounds; Ms Anthea Ong, fighting to raise awareness of mental illness among us and to promote mental wellness; Ms Irene Quay, who has served the public passionately in healthcare, volunteering in a hospice despite her many commitments; Ms Yip Pin Xiu, who is inspiring young athletes and showing Singaporeans and the world what it truly means; Mr Mohamed Irshad, who is fostering religious harmony and helping to build a more caring society; Prof Lim Sun Sun for her work on the need to educate our young even better. This embodies the spirit of Singapore Together. And as Ms Denise Phua said, there are so many other areas that we can work together to take action to build a better society and improve lives. She herself has taken so much action and devoted so much effort in uplifting people with special needs. This is how we should rise to the challenge of inequality in this day and age – by coming together as one people to uplift the less privileged amongst us, with the state providing strong foundations of opportunity and support. I do apologise that this is longer than what everyone had been expecting. But there have been so many good stories I thought it is bears telling. So, thank you all for your patience in this Singapore Together effort. You sit together to listen to my long speech. Mr Speaker, Sir, let me say a few words in Mandarin before I conclude in English. (In Mandarin): There is a Chinese saying, "前人种树，后人乘凉", which means that the current generation plants the seeds which eventually grow into trees that provide shade for the next generation. Our Reserves are akin to a tree planted by our earlier generations. Today, this tree is well-grown and we are able to take shelter under it, benefiting from the stable income that it generates for our country. NIRC is already the largest source of revenue for our country, more than the revenue collected from corporate income tax, personal income tax or GST. Without NIRC, even doubling the GST rate to 14% would not be enough to meet our expenditures.[+4 sentences] To draw on the Reserves or become overly reliant on NIRC to meet recurrent expenditure is akin to damaging or even cutting down the tree. Our recurrent expenditure, especially on healthcare, is increasing. We need to continue developing healthcare facilities and providing healthcare services to ensure that elderly Singaporeans are well taken care of. Such spending benefits all Singaporeans. Therefore, it is fair for everyone to bear some part of the cost. I have announced that the GST rate will remain at 7% in 2021. But the Government will still have to raise GST by 2025.[+27 sentences] Not only does this allow us to increase revenue in a sustainable and effective manner, it also reflects our value of collective responsibility. As we raise the GST rate, we will ensure that our taxes remain fair. The permanent GST Voucher Scheme mitigates the impact of GST on lower- and middle-income Singaporeans. In addition, the Assurance Package for GST will offset at least five years' worth of additional GST expenses incurred for most Singaporean households. For lower-income Singaporeans, the Package can offset about 10 years of the additional GST expenses. When we eventually increase the GST rate, tourists and foreigners residing in Singapore will pay the 9% GST immediately. In fact, a significant part of net GST is borne by foreigners and higher-income households. Foreigners and higher-income households are estimated to account for over 60% of the net GST borne by all households and individuals. In addition, we are also committed to ensuring that our future generations continue to enjoy a sustainable living environment. This is our commitment to Singaporeans. The risks brought about by climate change are one of the challenges that we must tackle. As an island nation, Singapore is highly susceptible to the impact brought about by rising sea levels and floods. Besides managing the impact of climate change, we must continue to build a liveable, caring and vibrant home for ourselves. The 2020 Budget is a Unity Budget. In the face of the COVID-19 outbreak, we must unite as one people. I would like to especially thank our frontline workers for their selfless contribution and for carrying out their duties steadfastly with professionalism. To express our respect and gratitude, the Government will be providing up to one additional month of special bonus for frontline healthcare workers and public servants who are directly battling with the COVID-19 disease and facing higher risks. In addition, we will provide a one-off grant for Public Health Preparedness Clinics. During this difficult period, our Government leaders will stand in solidarity will all Singaporeans. This year, all political officeholders will take a one-month cut in their salary, and all MPs will take a one-month cut in their allowance. President Halimah Yaacob is also supportive of the move and has volunteered to take a one-month pay cut. Senior Public Service officers will similarly take a half-month pay cut. As we progress, we will meet many challenges. Some will be for the longer term, while some will be more immediate. I can understand that Singaporeans are worried about the impact of the COVID-19 outbreak. However, as we tackle the immediate challenges, we must also set our sights on the future. Zaobao commentator Giam Meng Tuck aptly described this Budget as three prescriptions, namely, "定心丸" (assurance pill), "润肺散" (lung moisturising powder, to ameliorate ill-effects) and "提神三味汤" (three-flavoured soup to invigorate the spirit). The Assurance Package for GST, Stabilisation and Support Package, Care and Support Package and Transformation and Growth Strategy constitute the multi-pronged approach that ensures that Singapore does not lose sight of the direction that we are heading towards, as we tackle immediate challenges. These measures will also allow Singaporeans and companies to prepare for the economic recovery during this period of economic slowdown. We are able to do this because we have been prudent in managing our finances over the years, preparing for rainy days and setting aside sufficient funds. At the same time, we have been using our Reserves in a responsible manner.[+26 sentences] The values conveyed by the Chinese saying, "前人种树，后人乘凉", remains a cornerstone of Singapore's long-term fiscal planning. We have to continue protecting and nurturing the tree planted by earlier generations, to take care of our future generations and ensure that generations of Singaporeans after us will have enough resources to face future challenges, seize opportunities and build a better Singapore. (In English): Mr Speaker, Sir, I will now conclude in English. Mr Speaker, Sir, I have spoken on the vision and mission of this Government, on the shifts we need to make to thrive in the world ahead and how we need to work together to reach our goals. We began our journey as a nation with a mission – seeking the welfare and happiness of Singaporeans in a more just and equal society. Through rain or shine, we have never wavered from this mission. We live in a time of change and uncertainty today. But it is precisely in such times that our strength and resolve as a nation shine most brightly. Let us not be paralysed and divided by anxiety and fear, but let us be energised and united by optimism and a common vision for tomorrow. Let us rise to the occasion and overcome the COVID-19 outbreak together, stepping up to take care of one another in these trying times. Let us share the effort to build our future and nation together. Let us build a sustainable Singapore, where we and our children can live our best lives in a safe, green and livable environment, for all time and seasons to come. Let us grow as a city of possibilities – an open, globally-connected city, where each Singaporean can live to the fullest, and bring our aspirations, hopes and potential to life. Let us continue to build a society of opportunity for all where we have the freedom to determine our own destiny, based not on our starting points, but through our own choices and efforts. And let us continue to foster a caring and cohesive community, living as equals, uplifting the most vulnerable among us and taking care of our fellow men and women. All of this is within our reach, if we work as One Singapore. With collective action and leadership at all levels of society and with our diverse strengths and passions combined, we can build a society that we can all be proud of. This is the spirit of Singapore Together, and it is alive today, as shown by many Singaporeans, including Members of this House, who are leading change in diverse ways. Above all, let us never stop thinking for tomorrow. In the long and never-ending journey of nation-building, each generation of Singaporeans are relay runners. May we always take good care of what we have inherited, run our best race and pass on a better future to those who come after us. This Budget is about one step in this long race, building upon the sweat and toil of generations who have run the race before us. It seeks to do right by Singaporeans, both present and future, through the financial plans and provisions that we make today. I thank all Members of this House for your support for this Budget. Let us unite and forge ahead as One Singapore to build a better Singapore for tomorrow. "Singapore Together, Majulah Forever!"
Mr Speaker36 words
[+1 sentence]Any clarifications?
Estimates of Expenditure of Singapore for the Financial Year 1 April 2020 to 31 March 2021›Budget2 turns · 269w
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budget-1296
Speaker not recorded20 words
[+2 sentences]. (proc text)]
The Chairman249 words
[+1 sentence]Main and Development Estimates of Expenditure of Singapore for the financial year 1 April 2020 to 31 March 2021, contained in Paper Cmd 24 of 2020. For convenience, I shall take the totals for each Head of Expenditure in the Main and Development Estimates as they appear in the last columns of the schedules of estimated expenditure under the Main and Development Estimate outlays for financial year (FY) 2020 on pages 6 and 7 respectively of the Command Paper. A total of 531 amendments to the Estimates of Expenditure have been submitted for this year. The "guillotine times" to the discussion of the Heads of Expenditure under Standing Order 92(7)(a) have taken into consideration the earlier commencement time of a Sitting, the reduction of Question Time and the extension of sitting times of the Committee of Supply for each allotted day.[+6 sentences] I must remind hon Members that the total time for discussion of each Head of Expenditure includes the replies from the front bench. With the assistance of the digital timer in the Chamber, I trust that hon Members will be able to keep to the speech times indicated against their amendments. I would urge hon Members both from the back and front benches to adhere to their time limits, as I will be very stringent in my timekeeping. I shall deal first with the Heads of Expenditure in respect of which amendments stand on the Order Paper Supplement. Head U – Prime Minister's Office. Mr Seah Kian Peng.
Committee of Supply – Head U (Prime Minister's Office)›Budget70 turns · 23,251w
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budget-1297
Mr Seah Kian Peng (Marine Parade)447 words
[+3 sentences]Chairman, I beg to move, "That the total sum to be allocated for Head U of the Estimates be reduced by $100." The tragedy of climate change is not that it is not severe or insignificant. The real tragedy is that few people think of it urgently and deeply. Too often, it is a flashy speech or some performative act that grabs attention for a brief moment and then it is back to business as usual. So, it is heartening that even in the middle of a high profile and salient public health crisis, our Government has set aside funds in the Budget to deal with climate change, including $5 billion for coastal and flood protection measures.[+5 sentences] I have been speaking in the past about how Singapore has, over time, built up its water security as well as various measures to reduce our weight on the environment. A few years ago, we set up the Singapore Centre for Climate Research in 2013. We are a member of the 2015 Paris Climate Agreement. Last year, we put in place a carbon tax. But climate change requires all of us across different departments and Ministries to work together. For example, efficiency in energy consumption and waste disposal requires there to be strong collaboration across the housing and transport sectors. We have already put in place guidelines for critical infrastructure, such as air and seaports, to be at least four metres above sea level.[+4 sentences] Given our long memories of floods, we have pump houses that transport storm water from reservoirs to the sea. Our beautiful Marina Barrage is actually a glorified anti-flooding pump. Meanwhile, we have seen one of the largest players in Singapore's built environment, that is, the Housing and Development Board (HDB), making a big difference under the Greenprint programme, where solar panels and waste conveyance systems are embedded or will be embedded into HDB estates. On roads, there is now a determined push into more and better public transport systems – new service lines, larger bus fleets and bike-sharing initiatives. In policy, the Carbon Emissions-based Vehicle Scheme has been launched. In business, Waste-to-Energy plants reduce waste volumes by 90% and allow conversion to reusable energy.[+5 sentences] In the way we live, move and make money, Singapore is turning green. This is not by chance. We started life as a nation as a Garden City as a way to distinguish ourselves as a disciplined and well-ordered society. So, it goes without saying that we need a whole-of-nation effort to deal with climate change. How is our Government working to foster collective action by businesses, the community and individuals to tackle this issue together?
The Chairman5 words
[+1 sentence]Er Dr Lee Bee Hwa.
Er Dr Lee Bee Wah (Nee Soon)106 words
[+7 sentences]Chairman, we have heard much about Singapore's commitment to climate change and this is, indeed, encouraging. There was a consultation exercise on our long-term low-emissions development strategy last year. Can Senior Minister Teo Chee Hean share what is the outcome of this? Could Senior Minister Teo Chee Hean also share if we are on track to meet our commitment to the Paris Agreement? As we transit to a low-carbon future, what is the expected impact on our economy? Will it add to the cost of doing business in Singapore and, therefore, drive away some investors? On the other hand, how is Singapore leveraging green growth opportunities?
Mr Ong Teng Koon (Marsiling-Yew Tee)242 words
[+3 sentences]Mr Chairman, I am gratified that Singapore has always been conscious of the drastic impact that climate change has on our generation and, more importantly, on future generations. I am in support of the bold and proactive steps that the Government has taken over the last few years to reduce our carbon emissions. I would like to ask the Minister what strategies and plans will be put in place for Singapore to continue to reduce our future emissions? Currently, 1.3% of Singapore’s generation capacity is from solar photovoltaic (PV) generation.[+5 sentences] Given that there are limited alternative renewable sources viable in Singapore, I would like to ask the Minister how Singapore will further reduce the emission from our energy consumption. As Singapore builds, a proposal would be to consider the entire lifecycle of building materials and choose to use materials that can be recycled or reused, such as, for drains and roads. It would also be in our future vision to build and convert existing buildings to zero-energy or net-zero energy buildings. I would like to ask the Minister what efforts and initiatives there are to make our nation-building more sustainable. As a whole country effort is required to reduce emissions, I would also ask the Minister if we can create a National Green Mark to recognise local projects and businesses with initiatives and practices which reduce emissions and grant incentives to the finance sector to provide funding to such businesses and projects.
Mr Desmond Choo (Tampines)288 words
[+8 sentences]Climate change is a substantial threat to Singapore. Not only must we protect our shores from rising waters. We must also fulfil our international obligations towards low carbon emissions development. We cannot survive on a moral island burning fossil fuels while the rest of the world struggles to keep the cities above rising waters. The core to this must be a national strategy and blueprint that guide our agencies and people preparing for the city's future. Yet, the journey to protect ourselves is fraught with dilemmas and tradeoffs. Controlling carbon emission through carbon taxes increases business costs. Protecting our coastlines might have permanent ecological impact. The fossil fuels business is estimated to be 3% of Singapore's gross domestic product (GDP). Weaning off fossil fuels requires a fundamental change to Singapore's economic strategy. The current generation would have to foot the coastal protection bill, but they might not live to see the benefits.[+8 sentences] I would like to ask the Government what are the principles that it has adopted in developing our national strategy? How are the key stakeholders, such as businesses, green groups and academics, consulted? We must develop a strategy that balances tradeoffs and brings together generations of people to pursue our climate change objectives sustainably. This meant that inter-generational tradeoffs must be balanced carefully. I believe that there are also opportunities. As we have turned water scarcity into valuable knowledge of market value, what are the strategies that we pursuing to turn these threats into opportunities? The severity and enormity of the challenge require us to plan way ahead but execute quickly. What are the concrete plans and programmes that have already been put in place since the Prime Minister’s announcement during the last National Day Rally?
Mr Pritam Singh (Aljunied)336 words
[+1 sentence]Sir, it came as welcome news late last year to read of the Government-owned company, SP Power, looking to decarbonise our electricity sector in favour of renewables by potentially working with neighbours, such as Malaysia and Indonesia. With spare land to install solar panels or wind turbines, something practically impossible to undertake on a large enough scale in land-scarce Singapore, building transmission lines to connect to our neighbours would allow Singapore to readily tap on clean power and significantly reduce our reliance for fossil fuels for electricity generation.[+9 sentences] It would also significantly enlarge our green footprint and boost our contribution to reduce the debilitating effects of climate change. In addition, on the prospects of a pan-Association of Southeast Asian Nations (ASEAN) electricity grid, an SP official was quoted as saying that Malaysia already has connections to Thailand which, in turn, has connections to Laos. Hypothetically, therefore, Singapore could invest in clean energy projects in neighbouring countries beyond our immediate neighbours and use renewable energy credits to receive the same amount of electricity from Malaysia, for example. Sir, could the Prime Minister's Office (PMO) share more details about these initiatives and confirm the timeline of these projects that look at tapping electricity from regional power grids? What does this mean for the consumer and power generators in Singapore, not to mention the price of electricity? I understand some discussions have already taken place with Malaysia for greater cooperation in this regard. What risk does the Government anticipate in reducing our carbon footprint by diversifying and tapping on regional electricity grids and how can these be overcome? Finally, the regional and global consequences of climate change provide a unique opportunity to look into further ASEAN-wide collaborations that promote green policies. In view of easier access to the markets and our research and development (R&D) sector, how can Singapore contribute to addressing regional climate change challenges and imagining commercial solutions in view of the active interest in addressing climate change, a top policy priority for younger Singaporeans in particular?
Miss Cheng Li Hui (Tampines)177 words
[+1 sentence]Sir, climate change is one of the greatest challenges facing the world. On 9 February 2020, a Brazilian-run research station recorded an extreme temperature of 20.75 degrees celsius in the Antarctic.[+10 sentences] The first-ever temperature recorded of over 20°C. Temperatures around the world continue to rise, melting ice into oceans and causing sea levels to rise. This poses existential challenges to our island state. We have to act decisively on climate change. I am heartened that the Government has carried out a public consultation in 2019 to discuss how we could formulate our long-term low-emissions development strategy. Can the Government share its plans to reduce our emissions? What are the various factors the Government took into consideration? Moving ahead, we also need to look into achieving sustainable development, continue to create good jobs while ensuring a well-managed transition to a low-carbon future. The transition, while challenging, also poses various opportunities in the green economy-related innovation. How can Singapore leverage green growth opportunities and how we plan to rally businesses, the community and individuals to be part of it?
Mr Saktiandi Supaat (Bishan-Toa Payoh)236 words
[+4 sentences]Mr Chairman, climate change is a global issue that requires collective efforts on a united and international front. Beyond mitigating our domestic emissions, how can Singapore contribute to international efforts? What are the key areas of international cooperation needed to achieve Singapore's climate goals? I have, in a Parliamentary Question before, expressed my concerns on our role in Coal-fired and Gas-fired Independent Power Producer (IPP) Projects in the ASEAN region. The biggest environment problem amongst some ASEAN members is the plan to increase such projects, which will emit large amounts of carbon into the atmosphere, and I think that the way forward is to boost renewables financing in ASEAN, which is currently taking place at a very slow rate.[+4 sentences] Can the Senior Minister also share how they have been supporting our financial sector to make the transition to promote more green financing in Singapore? I hope we can explore my proposal to kickstart a first loss fund for renewables projects in ASEAN, with other ASEAN sovereign wealth funds, including Singapore's, chipping in later on. This is certainly something I have discussed on other occasions at various forums for investors and financial institutions. But for the Singapore Government, in this case, to spearhead the efforts, will be a very good opportunity to boost our international profile and it will be a more effective way for ASEAN and Singapore to reduce carbon emissions globally, more effectively and fast.
Ms Rahayu Mahzam (Jurong)197 words
[+1 sentence]Chairman, the Government's commitment to a low carbon future and reduction of greenhouse gases is welcomed. One key effort was passing the Carbon Pricing Act, which took effect last year. However, there has been some doubt about the effectiveness of carbon taxing in Singapore as some say it does not guarantee the desired level of emissions reduction.[+4 sentences] I understand that the Young People's Action Party (PAP) conducted a focus group discussion recently with climate activists and experts from the sustainability sector. Amongst the issues discussed was the perceived over-emphasis on economic metrics as a means of calculating growth. Some felt that such metrics encouraged excessive production and consumption. Also, the current calculations of emission levels against GDP value may not truly reflect current performance levels. Can the Government consider a review to measure absolute carbon emission levels against holistic progress indicators, such as the Human Development Index or the United Nations Environment Inclusive Wealth Index? I note that the Government had also carried out a public consultation exercise last year to discuss formulating Singapore's long-term low-emissions development strategy and the findings were released in early February.[+1 sentence] Can the Government give an update on Singapore's plans moving forward?
The Senior Minister and Coordinating Minister for National Security (Mr Teo Chee Hean)973 words
[+9 sentences]Mr Chairman, Sir, across the globe, the effects of climate change are clear and present. Weather patterns have become more extreme; ice sheets and glaciers are melting. Singapore, too, has experienced more episodes of unusually heavy rainfall accompanied by some flooding. Prolonged dry weather exacerbates the smoke haze that affects our region. As a low-lying island, we remain fundamentally vulnerable. The Inter-Ministerial Committee on Climate Change (IMCCC), which I chair, was formed in 2007. IMCCC coordinates, formulates and monitors the execution of our national plans to reduce our carbon emissions, referred to as mitigation, and to prepare for the consequences of climate change, referred to as adaptation. In his Budget speech, Deputy Prime Minister Heng Swee Keat stated Singapore's intention to chart our vision for a low-carbon, sustainable future. Allow me, Mr Chairman, to inform this House of our plans. Later this year, Singapore will submit our enhanced 2030 Nationally Determined Contribution (NDC) to the Paris Agreement. We will also submit our Long-Term Low Emissions Development Strategy (LEDS) for 2050 and beyond to the United Nations (UN) Framework Convention on Climate Change (UNFCCC).[+30 sentences] Our enhanced 2030 NDC and LEDS build on policies and initiatives we have progressively implemented over the years. They demonstrate our seriousness and commitment to support international climate action and a low-carbon future. Setting out our vision well in advance will provide a clear sense of direction and give ourselves and our various stakeholders the time to effect a well-managed transition to a low-carbon economy. This will also allow us to grow new sectors in our economy and create new jobs and opportunities. Er Dr Lee Bee Wah, Mr Desmond Choo, Mr Ong Teng Koon and Ms Rahayu Mahzam asked about the Government's approach and strategies for climate change. The development of our enhanced NDC for 2030 and our LEDS aspiration for 2050 and beyond, is guided by a principled approach. It is considered, it is committed and it is collective. We fully appreciate the significance and impact of climate change. This is why climate change policy is being strongly coordinated as a key whole-of-nation issue under PMO. Our climate policies and strategies are carefully and thoroughly considered. At the same time, we are not exclusively focused on climate change. We look at realistic and practical policies and measures we can implement, taking into account the best available science and technology, and fully integrated with the larger context of the entire range of challenges we face in our national policy framework. This is the approach we take to ensure a smooth and well-managed transition to a low-carbon economy. We have always believed that the pursuit of economic growth can be compatible and mutually reinforcing with environmental objectives. This approach has allowed Singapore today to have one of the lowest carbon emissions per GDP dollar, or emissions intensity. We are ranked among the 20 best countries out of 141 countries in 2017. Our performance on the Human Development Index and the UN Sustainable Development Goals are also very commendable. This has been a collective effort. We invited views and consulted Singaporeans on important climate issues, such as the carbon tax, achieving zero waste and our LEDS. We received many suggestions on how to reduce our emissions, in fact, over 2,000. At the same time, our contributors also recognised that there are practical constraints and potential tradeoffs. In particular, we are very mindful of our limited alternative energy options. Singapore's geography is a key limiting factor in our ability to harness renewable energy at scale. We do not have great rivers for hydropower. Wind power is limited both by space as well as light and variable winds. We continue to study the potential for nuclear power, but we assess that the current generation of nuclear power plants are not suitable for deployment in Singapore. So, these are serious constraints compared to better-endowed countries. Nevertheless, we are committed to doing our best and doing our part to combat climate change. Our enhanced NDC and LEDS set out realistic but challenging and ambitious goals for Singapore, drawing on citizens' suggestions and taking into account our national circumstances. Let me elaborate. In 2015, we set our 2030 NDC target to reduce our emissions intensity in 2030 by 36% from 2005 levels, and to peak by around 2030.[+1 sentence] We are on track to meet this commitment. Ms Rahayu Mahzam will be glad to know we will be enhancing our NDC by committing to an absolute peak emission level of 65 million tonnes of carbon dioxide equivalent around 2030. All countries are also now required to report on the 7th greenhouse gas, Nitrogen Trifluoride (NF3) by 2024. We will go beyond reporting NF3, and commit to including NF3 in our pledge, within this same emissions ceiling.[+4 sentences] Constraining our total emissions within this absolute cap up to 2030 means that every sector in Singapore will need to put in significant efforts to limit our emissions. We will need to do so in order to move towards a low carbon nation in the coming decade, with new commercial and industrial enterprises and new growth areas, such as the digital economy. We all have a part to play in reducing our emissions to meet our 2030 commitment. But we aim to do better than that beyond 2030. Our Long-Term Low Emissions Development Strategy aspires to halve the emissions from our 2030 peak, to 33 million tonnes of carbon dioxide equivalent by 2050, with a view to achieving net-zero emissions as soon as viable in the second half of the century. This will be very challenging, given our limited alternative energy options. We have studied the matter very carefully and developed a strategy to do so.[+1 sentence] And with your permission, Mr Chairman, may I display a slide on the House's screens and request the Clerks to distribute a document to Members?
The Chairman9 words
[+1 sentence]Please do.
Mr Teo Chee Hean2273 words
[+1 sentence]There are three thrusts in our strategy. First, we need transformations in our industry, economy and society. Second, we have to draw on technologies which are not yet mature, such as carbon capture, utilisation and storage (CCUS), and low carbon fuels. And third, we will need international collaboration in areas, such as well-functioning carbon markets and regional electricity grids.[+10 sentences] So, this will help take us from the left-hand side, where we have our 2030 NDC through these three thrusts to the right-hand side, which is our LEDS for 2050 and beyond. Each thrust will contribute to halving our emissions. We will pursue all three vigorously to achieve our aspiration. The extent to which potential emission reductions from each thrust can be realised will become clearer in the coming years, as we gain experience from implementing our programmes, as technology evolves and as the modalities for international cooperation and collaboration become formalised. If the actual reductions from each thrust are larger than we now assess, or are available sooner, then we can realise our aspiration earlier. On the other hand, if the potential reductions turn out to be less promising, we will still strive to meet our LEDS aspiration to the best of our ability even though the task becomes more difficult. So, let me now provide some details of the various programmes. Keeping carbon emissions low from electrical power generation, which currently accounts for 39% of our emissions – that is the yellow sector on the right. This is very important, especially as we push for greater electrification of our nation. In October 2019, Minister Chan Chun Sing outlined how we will harness the four supply switches of "natural gas”, "solar", "regional power grids and "low carbon alternatives", together with greater efficiency in energy use on the demand side to accelerate our energy transformation. While we are limited in hydro, wind and nuclear energy, we are pressing ahead with solar deployment. We are significantly accelerating our deployment of solar, from 350 megawatt peak (MWp) by the end of this year, to at least two gigawatt-peak (GWp) by 2030.[+26 sentences] To achieve our current goal by the end of this year of 350 MWp, we are deploying solar panels on about one in two HDB rooftops, and in several reservoirs. To achieve two GWp, we will do more. We are deploying offshore solar farms, and HDB aims to install as many solar panels as feasible on HDB rooftops. As an example, in Pasir Ris town, almost all HDB rooftops will have solar panels by 2030 and deployment is already progressing. Minister for National Development Lawrence Wong will say more about greening our towns in the Ministry of National Development's (MND's) COS debate. Even at such a scale, two GWp of solar power will still only meet around 4% of our current annual electricity needs and 10% of our current peak daily electricity needs. To go significantly beyond this, we need technical breakthroughs, for example, to deploy safe and highly-efficient and cost-effective solar panels on vertical building surfaces, not just horizontal ones. These building surfaces will only receive solar radiation for part of the day. So, this is why we still need the other three switches to decarbonise our grid. To provide our base load power generation, we had decided early on, in the early 2000s, to switch from fuel oil to natural gas, the cleanest fossil fuel available. Many countries are still highly dependent on coal. We moved away from that in 1956 and we moved to natural gas in the early 2000s. We are exploring tapping regional power grids and studying emerging low or zero-carbon alternatives, such as solar-derived hydrogen to further reduce emissions from power generation. Having regional power grids is an alternative, but we also have to examine the issues of diversity and resilience. We have diversified the way for piped water and piped natural gas. We should also have diversity when we are considering piped electricity. For industries with sizeable electricity consumption, the progressive decarbonisation of our power grid will help to reduce emissions. But we will also need to reduce emissions all across our economy. The industry sector, at 60%, is our largest contributor to carbon emissions. We will work closely with the industry to make the necessary adjustments, capture new business opportunities and build up their competitive advantage in this transition. We want to be at the forefront of the global move towards environmentally sustainable production and seize the new opportunities this creates. Our industries produce not just for Singapore but also to meet the needs of the global market. We will work with our industries so that they are known to be among the best-in-class in global energy and carbon efficiency as we produce for the rest of the world. Last year, we enhanced our grant schemes to help companies improve their energy efficiency. We are also going beyond individual companies to bring companies together to achieve systems-level efficiency gains. We are also working with industry and our research community to study new technologies, such as CCUS and low-carbon hydrogen, to evaluate and plan the next steps for Singapore. The carbon tax, which we have introduced, will collect roughly $1 billion over the first five years.[+2 sentences] We intend to invest more than that into helping our companies adapt, move and transform for a low-carbon future. In urban transportation, we are already a global pioneer in limiting vehicle population and reducing traffic congestion. Major investments in public transport and active mobility infrastructure will pave the way for nine in 10 of all peak period journeys to be made using "Walk, Cycle, Ride" transport modes by 2040.[+4 sentences] These policies tackle the urban transport issue systemically, not just individual pieces of it. We tackle this issue at its root. This is where most of the gains in energy and carbon efficiency are reaped. But we will also move towards enhancing the overall carbon efficiency of our urban transport through large-scale adoption of green vehicles. As announced by Deputy Prime Minister Heng Swee Keat, we will phase out internal combustion engine (ICE) vehicles by 2040 and have all vehicles running on cleaner energy.[+9 sentences] The Ministry of the Environment and Water Resources (MEWR) and MND will say more about how we will provide incentives and lay the enabling charging infrastructure to achieve this. These efforts will make a significant difference, but how quickly they can be realised depends on technological advancements and how quickly manufacturers can bring attractive, cost-efficient electric vehicles (EVs) to the market. Our commercial and residential buildings are also major users of energy. Since the launch of the Green Mark Scheme in 2005, we have greened more than 40% of our buildings by gross floor area. We will push on to achieve our goal to green 80% of our buildings by 2030 and beyond that, we aim to increase the number of buildings that are even more energy-efficient. All of us have a part to play. We have introduced minimum energy performance standards (MEPS) and mandatory energy labelling (MELS) for common household appliances. By purchasing more efficient appliances, consumers save on their energy costs while reducing emissions. This is truly win-win. With all our light bulbs as energy-efficient as light emitting diode (LED) bulbs from 2023, our households will save about $3.5 million annually in energy costs and reduce carbon emissions by around 6.3 million kilotonnes annually.[+16 sentences] Just by this step alone, we can save money and reduce carbon emissions. MEWR and MND will provide more details. Miss Cheng Li Hui, Mr Pritam Singh and Mr Saktiandi Supaat asked how Singapore is contributing to international efforts on climate change. Singapore will do our utmost to work with the international community to tackle climate change. We need effective international cooperation. Every country must do its part or the efforts of each country will be nullified. Singapore works actively in international forums to strengthen consensus among countries, especially at a time when the multilateral system is under strain. Singapore is often called upon as a constructive and trusted interlocutor to help forge solutions for difficult issues at international climate negotiations. For example, Minister Masagos Zulkifli played key roles in co-facilitating the topic of mitigation at COP-24 in Katowice in 2018 and the key outcomes of the climate negotiations in Madrid last December. We look forward to working closely with the United Kingdom, which will be hosting COP-26 in Glasgow this November. We are also well-positioned to support abatement efforts globally. As a major maritime and aviation hub, we work actively with the International Maritime Organization and International Civil Aviation Organization to address international transport emissions. These are counted separately from national emissions. The Ministry of Transport will share more details later. Mr Saktiandi Supaat asked about green financing. As a leading financial centre, we aim to be a green finance hub to spur investments in low-carbon solutions and drive climate action. The Monetary Authority of Singapore (MAS) recently established a US$2 billion green investments programme to anchor green activities of asset managers in Singapore and support the mainstreaming of green finance.[+10 sentences] MAS also collaborated with the industry to develop environmental risk management guidelines. These guidelines will set standards on governance, risk management and disclosure, and encourage the right-pricing of loans and investments to promote new green investments. MAS will issue the guidelines for public consultation in March 2020. I think Mr Saktiandi Supaat will be happy to know that our three local banks have stopped funding regional coal-fired power plant projects and all three of them are very active in financing regional alternative energy projects, such as solar power. Through our Research Innovation and Enterprise 2020 plan, we are investing close to $1 billion in urban solutions and sustainability in areas, such as new urban mobility solutions and a next-generation energy grid. As a "living lab", we will continue to serve as a testbed for innovative solutions that can be exported globally. Singapore also collaborates actively with international partners, such as the UNFCCC and ASEAN, to build capabilities and share experiences. Since 1992, Singapore has trained more than 130,000 officials from fellow developing countries under the Singapore Cooperation Programme (SCP) in key areas, such as sustainable development, urban planning, water and transport management. While Singapore's efforts to reduce emissions on our own may be modest, our collective efforts with all nations can be substantial. Mr Chairman, for small-island nations like Singapore, climate change poses an asymmetrical challenge. On the one hand, our impact on global emissions is small but, on the other hand, the effect of climate change on us is disproportionately large and, indeed, existential. We must thus plan seriously for the real prospect that sea levels will rise by up to one metre by 2100, in line with what climate science is telling us.[+2 sentences] We need to implement these adaptation plans to protect our country and people, and we cannot rely on anyone else to do this for us. We are already taking action. In 2011, we raised the platform level for all reclamation projects by an additional one metre, from three metres to four metres above the Singapore Height Datum (SHD).[+2 sentences] The highest tide ever recorded in Singapore is about two metres above SHD. Raising the level from three metres to four metres gives us an additional one metre of clearance and gives us a two-metre buffer, so that if sea levels rise by one metre, we still have one metre left. For key new facilities, such as Changi Airport Terminal 5, we are raising the platform level even higher, to at least five metres above SHD.[+3 sentences] The Marina Barrage, which was completed in 2008, already provides some flood protection for our city, but we are planning to see whether we can raise that further and even increase the size of the pumps. Protecting ourselves from sea level rise is a large-scale and long-term effort requiring considerable resources. Our assessments and plans are based on studies which have been commissioned by the Inter-Ministerial Committee on Climate Change over the past several years. In his National Day Rally speech last year, Prime Minister Lee outlined the threats from sea level rise and our plans estimating that this will cost $100 billion over the next 100 years. Deputy Prime Minister Heng Swee Keat announced in the Budget a new Coastal and Flood Protection Fund, with an initial top-up of $5 billion to start setting aside the resources that we will need for this. We have divided our coastal areas into hydraulically-distinct segments to study different options for each area.[+9 sentences] We will now develop these studies into detailed plans and phases in our coastal protection measures. We must start implementing our plans and be prepared to adjust and adapt them according to the latest sea level rise projections. The Minister for the Environment and Water Resources will say more about this in the debate in his COS. Mr Chairman, Sir, I have just outlined our whole-of-Government strategy for climate action, which is considered, committed and collective. The relevant Ministries will provide more details on specific plans under their charge. But as Mr Seah Kian Peng has highlighted, this is a collective effort. We need all Singaporeans – the Government, individuals, households and businesses – all of us, to do our part and work together as a whole of nation. As part of Singapore Together, the Government will create more partnership opportunities for Singaporeans to advance climate action. So, let us work together to secure the future of Singapore as a climate-resilient nation, with a competitive economy, sustainable environment, an environmentally responsible and active citizenry, and a good quality of life for all.
The Chairman4 words
[+1 sentence]Dr Lim Wee Kiak.
Dr Lim Wee Kiak (Sembawang)320 words
Mr Chairman, according to the Department of Statistics, Singapore's total population stands at 5.703 million as of 2019.[+3 sentences] This is a 1.2% increase from the previous year. The number of Singapore Citizens is 3.5 million and the number of Permanent Residents (PRs) is 525,000. There is a slight increase of 0.8% and 0.6% respectively. What is worrisome is the decline of old-age support ratio from 4.8 in 2018 to 4.5 in 2019.[+15 sentences] It means that we only have 4.5 residents who are between the age of 20 and 64 for every resident who is 65 and above. What is the Government doing to increase or at least to maintain our Singapore Citizens' numbers? Can we do more to support young families and encourage more Singaporean families to have more babies? What is the Government doing to slow down the increase of old-age support ratio? Immigration has for a very long time been a touchy issue, not only in Singapore but many other countries as well. Generally, most Singaporeans accept that immigration can contribute certain expertise that is lacking in Singapore. Many of them chose to make Singapore their home and become citizens. They take their pledge at citizenship ceremonies that are held across different constituencies. A survey by the Institute of Policy Studies (IPS) released at the National Integration Council (NIC) Convention last August showed that many Singaporeans feel that immigrants can do more to integrate into Singapore. This survey covered about 4,000 Singapore Citizens and PRs. Six out of 10 of the respondents felt that the immigrants were not doing enough to integrate. Is there any study or survey on our new citizens on how they feel about their new citizenship journey? Do they feel adequately integrated by our programmes? Can we do more to make them be more integrated? What is the Government doing to further enhance the integration of new citizens into our society and our communities?
Mr Pritam Singh656 words
[+2 sentences]Sir, Singapore's economic circumstances and multiracial meritocracy are unique features of our country. While the Finance Minister's Budget speeches in this term of Government focused consistently on security, economy, society and Singaporeans, we know that our evolving population policies are existential to the future of the Singapore Core. The vast majority of residents are permanently invested in this country and do not have the luxury of imagining a home away from Singapore, nor would we have it that way.[+1 sentence] Sir, the total fertility rate (TFR) numbers are weakening with the Budget Book estimating the number for FY2020 to hover around 1.1 to 1.2. However, the Population in Brief 2019 data released by the PMO Strategy Group reveals that the TFR numbers for the Chinese and Indian residents have fallen to around 0.98 and one respectively, compared to 1.14 and 1.19 a decade ago.[+1 sentence] The same document, however, records an encouraging rise in the TFR for the Malay community. From a high of 1.91 in 2008, the number fell to 1.66 in 2013, before steadily and consistently moving up to 1.85 in 2018.[+14 sentences] Has the PMO team assessed the policy reasons behind this upturn for the Malay community and are there insights that can be highlighted or even ported over to the other communities? Similarly, the latest data also records a rise in the number of citizen ever married females deciding to have no children, or only one child compared to 10 years ago. Likewise, the proportion of married females with three children or more has fallen considerably over the same period. Fortunately, most ever married citizen females who have two children has hovered around the 43% mark, similar to 10 years ago. While the decision to have children or no children is a deeply personal one and one that we must respect, what new strategies and plans does PMO have to push couples or encourage couples to have at least two or more children? Has the Government engaged couples who have only one child to find out what their key concerns are? I believe work-life balance, costs of living concerns have been raised previously as major impediments. It would be important to see what more can be done in this area with buy-in from private sector employers. After all, without a thriving Singapore Core, it is hard to foresee a thriving and confident Singapore. Sir, as previously announced by the Government, our population plans and policies are due for review this year. Numbers aside, the Government needs to take a relook at our integration efforts. PRs and foreigners who we hope will take up citizenship are connected through technology to their motherlands more so than earlier generations of immigrants. Therefore, integration may not just take more time, but may not be as linear as previously imagined with schools and institutions, such as National Service, our major agents of adhesion. In addition, as alluded to by Minister Chan Chun Sing recently, unlike in the past, even in the economic realm, Singapore may not be able to attract the quality of individuals it seeks. Does this anticipate some changes to our population plans with a desire to attract immigrants from further afield, specifically non-traditional countries classified as "others", which currently account for about 6.3% of Singapore citizenships and PRs granted in 2018, as compared to 62.5% from Southeast Asian countries and 31.2% from Asian countries?[+4 sentences] What shifts in our population strategies is the Government planning so as to deal with the new challenges in supplementing our population through immigration? Has the Government conducted surveys of new citizens over the last 10 to 20 years, for us to have a better perspective on how we can improve integration? Finally, Sir, can the Government share how many PRs have transited to become citizens over the last 10 years and 20 years respectively, and how many choose to remain PRs? What are the their main reasons for not transiting to citizenship?
Mr Alex Yam (Marsiling-Yew Tee)679 words
[+32 sentences]Chairman, this is Clare. She is 17 days old today. A wonderful bundle of joy. She is our fourth child and our first daughter. Each time the experience is the same. Having lost two of our six children, Peter and Maria, to miscarriages, every time we go through a pregnancy, we have an equal measure of worry and joy. Each time our gynaecologist says, "She’s doing fine", we let out a sigh of relief. Clare's birth has changed our lives, just as her three older brothers have. The home is a little bit noisier, the floor is, of course, a lot messier and sleep is now even more a luxury commodity at home, but, more importantly, the immeasurable joy of parenthood. I do not wish to glamourise parenthood. Like everything else, it comes with its own burdens. But Jocelyn and I believe that it is a burden worth carrying. At the same time, I wish the burden were lighter, not so much with benefits, but for society to be able to reinforce a culture that recognises the family as important. My wife is a stay-at-home mother. For our three older boys, she took care of them herself without any help. And often, I am asked, "What does your wife work as"? My reply that she is a full-time mother often elicits odd responses. They go along the lines of, "Oh, she is so lucky, she doesn't have to work", or on the flipside, "You have to work harder." Often enough, I respond quite quickly to those statements, as if to justify our situation; that in addition to her love for our children, she also runs a small online business at home that twins her passions. She sews infant clothing and accessories. But it also hits me after that that there is no need to justify why my wife stays at home. She, like other stay-at-home mothers, make a conscious decision, that a sacrifice of her career was weighed and that spending time with the children was worth it. A fellow parliamentarian from Europe, whom I have known for a few years, was in Singapore for a conference last year. He made an observation, perhaps a little snidely and a little bit snarky, "The Minister-in-charge of your country's population strategy is the Minister for Manpower? Should it not be the Minister for Family?" I explained to him that our Minister-in-charge only happens to be the Minister for Manpower. She is also a mother, and also a Cabinet Minister who is deeply passionate about children. But there might be a small grain of truth. Often, we couch our policies on families with the view on our workforce, our dependency ratio, so much so that our culture has been shaped by that; that the true joy and happiness of family are clouded by numbers. So, I urge, as I have in the last three years, for us a return to basics, that we ask ourselves beyond policies, beyond benefits, how can the whole of society help to build a family-friendly culture that is supportive of families in Singapore, that allows stay-at-home mothers to be proud of what they do? And also for mothers who choose to continue their careers to have the support that they require. That said, I also wish that we level the playing field and recognise fully the role of mothers. Whether in or outside of employment, mothers play an important role in our society. So, in all our non tax-related benefits, such as for early childhood education subsidies, child relief amongst others, I hope that we can have more equity between working and non-working mothers. There will be some benefits that we will need to segregate and have some amount of additional help for those who have children but have decided to go back into the workforce, but the rest, especially, benefits for the children, should be equalised.[+2 sentences] Mr Chairman, families are the backbone of society. If we do not take care of this backbone, we will not be able to stand straight and strong as a country.
Mr Christopher de Souza (Holland-Bukit Timah)197 words
[+3 sentences]Marriage and parenthood can be a joyful journey. Yes, there are challenges, but the joy of bringing up children is fulfilling and lasting. Last year, the Government conducted public consultations on the needs and concerns relevant to marriage and parenthood. Some areas that are often talked about are flexible work arrangements (FWAs), having a conducive work culture, parental leave and, importantly, increased childcare leave and more childcare leave for the mothers and the fathers who have more children. How have the enhancements provided by the Government to support marriage and parenthood benefited young Singaporeans and their families?[+1 sentence] And will there be further enhancements based on feedback received? What measures are we putting in place to encourage an increase in our TFR?[+4 sentences] Younger Singaporeans may be delaying marriage and parenthood in pursuit of other life goals. Of course, these are very personal choices. But, how can the whole-of-society contribute to building a culture that emphasises the importance and significance of family and, in so doing, foster an environment that is supportive of families in Singapore? This will help also to promote the desire to have children – a joy for the parents and also, importantly, for our country.
Mr Desmond Choo (Tampines)147 words
Enhancing marriage and parenthood is critical to addressing our ageing population and low TFR problems. The Government has rolled out important measures, such as shortening the time to get housing and defraying child-raising costs.[+5 sentences] How have the enhancements benefited young Singaporeans and what was their feedback, especially from the Citizens Panel? Core to singles not getting married and married couples not having children is the intricate balance between work and family. Having FWAs can help our families cope better, especially after maternity. The Coronavirus Disease of 2019 (COVID-19) episode has shown that broad-based FWA is possible whereas the previous pre-outbreak thinking was that it simply was not. Would the Government consider granting women on maternity the right to FWA? If businesses could do it for large swathes of the workforce during the outbreak now, certainly allowing 40,000 women to go on FWA each year must be manageable.
Mr Louis Ng Kok Kwang (Nee Soon)95 words
It has been more than a decade since childcare leave provisions were increased and it is time to review this again.[+2 sentences] There is clearly insufficient childcare leave provided. Will PMO consider having specific childcare sick leave and providing this on a per child basis? The Public Service already gives officers childcare sick leave and it is on a per child basis.[+2 sentences] If the Government clearly feels that childcare sick leave is important for people who work for us, then why is it not important for the people we serve? Let us level that playing field.
Ms Rahayu Mahzam (Jurong)257 words
[+6 sentences]Many of us spend a large part of our day and, in fact, our lives at work. It is, therefore, important for both our mental and physical well-being that there is a healthy culture in the workplace environment. Social norms and the workplace culture can impact Singaporeans' decisions on important issues like marriage, having children and career progression. One of the key challenges faced by parents with young children is managing their work and family responsibilities. If they find this too challenging, they may not want to have more children. On the other hand, we must also ensure that those who are single at the workplace are not the ones having to pick up the workload of their colleagues who have children, because this may prevent them from having opportunities to have relationships and eventually marry. Some singles may also have elderly parents to care for and need the flexibility to take some time to perhaps bring their parents for check-ups. I am grateful for the Government's efforts in giving out the Work-Life Grant and in encouraging employers to adopt FWAs, but I believe we would all like to see the adoption of such arrangements to be more pervasive.[+3 sentences] I am happy to learn that last year, the Government convened a Citizen's Panel of Work-Life Harmony. It was indicated that the Government would seriously study the recommendations. How will the Government be following up on the Panel's recommendations, and how can employers and other stakeholders play a bigger role in implementing solutions to make workplaces more family-friendly?
Ms Sun Xueling (Pasir Ris-Punggol)149 words
[+6 sentences]The Citizens Panel was convened to gather views from Singaporeans from all walks of life on how work-life harmony can be strengthened in Singapore and how a more supportive society-workplace culture can be created that is family-friendly. Given that youths will shape the future workplace culture of Singapore, what has been the feedback from youths from the Citizens' Panel on how they see work-life balance? Have they shared how they can balance pursuing their aspirations with starting a family and how they see society supporting them in achieving this balance? In recent conversations with youths, some have shared their interest to work and study overseas. The Government is also promoting this, so that youths have a wider perspective and can also gain international experience which is extremely helpful in their careers and personal development. How do youths reconcile the internationalisation message with settling down with a family in Singapore?
The Chairman3 words
[+1 sentence]Minister Josephine Teo.
The Minister for Manpower and Second Minister for Home Affairs (Mrs Josephine Teo)554 words
[+6 sentences]Mr Chairman, I appreciate the views and suggestions of Members on matters concerning our population. Our policies aim to help Singapore maintain a stable population, to keep our society cohesive, our economy vibrant, and our nation strong. Population policies are not just for today, but tomorrow. We are always thinking about future generations of Singaporeans. I will focus on two areas: first, making Singapore a great place for families; second, integrating immigrants into our Singapore community. We aim, first and foremost, to support young Singaporeans to get married and become parents. Similar to most developed economies, our TFR is below replacement – at 1.14 for last year and the year before.[+4 sentences] Globally, many countries are like Singapore, where birth rates have been declining since the 1970s. Some Nordic countries that had previously reversed the decline, have seen birth rates falling again in recent years. However, there are some positive signs in Singapore. The average number of citizen births in the last five years is higher than previous five-year periods. From 2015 to 2019, we had around 33,000 births annually. This is higher than the average from 2010 to 2014, of around 32,000 births annually.[+3 sentences] I believe Mr Alex Yam, Mr Desmond Choo, Mr Christopher de Souza, Mr Louis Ng, Ms Rahayu Mahzam and also Ms Sun Xueling, perhaps Mr Pritam Singh as well, all contributed to this. Thank you very much. Please keep going. On top of this, as some Singaporeans live overseas, we welcomed about 1,600 Singaporean babies born overseas each year, over the past five years.[+2 sentences] This is also higher than the average in previous five-year periods. So, to Ms Sun Xueling's question, it is not incompatible – your overseas ambitions and raising a family – this can be done. Similarly, the average number of citizen marriages in the last five years is higher than previous five-year periods.[+14 sentences] I hope these positive trends will continue as more young Singaporeans enter their prime marriage and parenthood ages. But we will need to continue tackling the factors that shape marriage and parenthood decisions together, not just as a Government, but as one Singapore. At the Committee of Supply debate last year, I indicated that we would embark on a consultation process to better understand Singaporeans’ needs and concerns around forming families. The aim was to move beyond feedback and suggestions to work with fellow Singaporeans on practical ways to address marriage and parenthood issues. This is what the Singapore Together movement is all about. We are heartened that many Singaporeans stepped forward to take part. We launched a series of online polls, inviting Singaporeans to give suggestions on how to better support young families. As Mr Christopher de Souza and Ms Sun Xueling mentioned, Singaporeans believe that making Singapore a great place for families requires partnerships across society. At home, most Singaporeans viewed parenting as a shared responsibility between spouses. At the workplace, Singaporeans felt that having supportive bosses and understanding colleagues were critical factors that enabled them to meet their work and family commitments. Respondents also raised concerns about the cost of having children. We have listened carefully to their views. Last year, we announced significant enhancements to support young families. With your permission, Mr Chairman, may I ask the Clerks to distribute a booklet showing the key marriage and parenthood benefits today?
The Chairman2 words
[+1 sentence]Yes, please.
Mrs Josephine Teo1954 words
[+4 sentences]Mr Chairman, Mr Christopher de Souza and Mr Desmond Choo asked how these enhancements have benefited young Singaporean families. Let me elaborate on three major moves. First, couples can now more easily enrol their child in an affordable and good quality preschool. We have increased the amount of preschool subsidies, and made them available to even more families. Today, after subsidies, a working couple who earn a combined $5,000 a month, pays $130 per month per child for full-day childcare at an Anchor Operator preschool.[+4 sentences] This is about a third of what they would have paid previously. To ensure that quality preschools are accessible to all families, we have kept fees affordable at all Government-supported preschools. Fee caps for Partner Operator preschools will also come down next year. In addition, the Early Childhood Development Agency (ECDA) has been growing the number of preschool places. By around 2025, eight in 10 preschoolers can have a place in a Government-supported preschool, up from just over five in 10 today.[+10 sentences] In the medium term, we aim to make full-day childcare at Government-supported preschools as affordable as the cost of primary school plus afterschool student care. This is not even including the means-tested preschool subsidies, which will allow low- and middle-income families to pay even less. At the same time, we will ensure good quality learning and care across all preschools. These are significant steps that we are taking to ensure that we continue to give every Singaporean child a good start in life. Second, housing is now more affordable for newly married couples. We have heard couples’ feedback on the importance of getting their own home before starting a family. We have made it faster for them to get a Build-To-Order (BTO) flat. HDB has launched more than 3,600 BTO flats with shorter waiting times. The wait of about two and a half years is shorter than the usual three to four years. Couples can also more easily own a flat with the Enhanced Central Provident Fund (CPF) Housing Grant (EHG). First-timer families now receive up to $80,000 in grants when purchasing a new HDB flat, and up to $160,000 when purchasing an HDB resale flat. Since its inception, about 1,000 first-timer families have benefited from EHG.[+17 sentences] In addition, the income ceiling was raised. More couples are able to purchase subsidised HDB flats and Executive Condominiums. Third, we improved the affordability of healthcare for children and fertility treatments. By the end of this year, every Singaporean child will enjoy subsidies for all nationally recommended childhood vaccinations and developmental screenings at polyclinics as well as Community Health Assist Scheme (CHAS) general practitioner (GP) clinics. The Minister for Health will share more details at the Ministry of Health's (MOH's) Committee of Supply debate. We have also enhanced Government co-funding for assisted conception procedures to better support couples who need them. These enhancements reinforce our strong support for marriage and parenthood in Singapore. They have also been well-received by many Singaporeans. Ms Rahayu Mahzam was concerned that many Singaporeans find it a challenge to balance work and family. Mr Christopher de Souza asked whether there would be further enhancements based on feedback received. We have been working on ways to help families achieve better harmony in work and life, including whether to have longer leave for parents. At present, working couples have a combined total of 20 weeks of paid parental leave and two weeks of unpaid leave in their child’s first year. In addition, each parent receives six days of paid childcare leave annually until their child turns seven, and two days of paid childcare leave until the child turns 12. We announced the three-year Public Sector pilot on Unpaid Infant Care Leave in 2017. The pilot enables public officers to take up to four weeks of Unpaid Infant Care Leave in the first year after their child’s birth. This benefit has been well-received by parents who need it. Their supervisors and colleagues have also been supportive and feel that it has not affected their teams’ productivity. As such, we will formalise it as a permanent human resource (HR) leave provision within the Public Service.[+19 sentences] We hope that more private companies will be encouraged by the Public Service’s positive experience, and initiate similar support to their employees. There have been calls from time to time, including from Mr Louis Ng, to further enhance leave schemes for parents. We will continuously review all support measures for parenthood. We had prioritised housing, preschool and healthcare because these were what young families said mattered most. Of course, when conditions allow, young families would welcome more paid leave being mandated. However, it would be unwise for us to ignore the impact on employers. While the public sector is in a position to do more than current legislation requires, we cannot assume the same for all businesses, especially small and medium enterprises (SMEs), which are the single largest group of employers and already facing manpower constraints. In the face of economic uncertainties and the pressure for businesses to transform, the tripartite partners are also mindful not to add further to employers' burdens. Instead of imposing higher obligations on all, we will provide greater support to businesses that are able to do more, such as supporting them in implementing FWAs. After all, working parents have consistently given us feedback that FWAs are key in supporting them to manage work and family commitments. I should add that when companies implement FWAs, other employees who are not parents also benefit. They tend to feel a greater sense of fairness. For example, if some do not have young children but have elderly parents who, from time to time, have medical appointments that they also need to take them to. As it turns out, a focus on promoting FWAs was also the preference of the Citizens’ Panel convened last year. The Panel brought together 55 fellow Singaporeans of diverse backgrounds to develop ways to improve work-life harmony in Singapore. I was heartened by their enthusiasm and commitment to build a future Singapore that would be more supportive of work-life harmony. The Panel recommended thoughtful solutions, such as promoting FWAs and introducing more progressive HR practices. These would help employees, especially those with more caregiving responsibilities, to better juggle their family life and work. Ms Sun Xueling and Mr Desmond Choo will be glad to know that both younger and older Singaporeans in the Panel called for wider societal change to address social norms that affect work-life harmony and for shifts in workplace practices. The Government and tripartite partners fully support the Panel’s intent to create conditions for better work-life harmony, and will do so by "making it easy", "making it known" and "making it accepted".[+8 sentences] Let me elaborate. "Making It Easy". We will introduce new tools and guides to facilitate the adoption of FWAs and work-life harmony initiatives by employers and employees. "Making It Known". We will increase the recognition of employers who adopt FWAs and work-life initiatives. Senior Parliamentary Secretary Low Yen Ling will provide more details on these moves at MOM's Committee of Supply debate. "Making It Accepted". We will work together to shift societal norms and the mindsets of employers, employees and individuals in the larger community. The Ministry of Culture, Community and Youth (MCCY) will provide support through Our Singapore Fund, for Singaporeans who wish to organise meaningful projects that encourage these shifts.[+13 sentences] I hope these efforts will rally Singaporeans to work together, towards a more family-friendly society. Supporting marriage and parenthood is the Government's top priority for the population. Our policies and enhancements over the years attest to that. However, I agree with Mr Alex Yam that beyond policy, a whole-of-society approach is needed to build a family-friendly Singapore. For instance, when we see parents with young children struggling with their prams in public spaces, do we step forward to lend a helping hand? When a colleague goes on paternity leave, do we say supportive words of encouragement or do we cast aspersions on this necessity? Quite often, it is societal values, workplace and cultural norms that determine whether raising a family is achievable, enjoyable and celebrated. Let me turn now to immigration matters which Dr Lim Wee Kiak raised. This is a delicate issue in many places around the world. With current birth rates and as our society ages, our citizen population will likely decline. For many years now, we have taken in a carefully controlled number of new citizens each year to keep the citizen population stable over the long term. As immigrants are mostly from younger age groups, this also helps to moderate our pace of ageing. The Government has kept the pace of immigration calibrated, in line with our commitments. Over the past five years, we granted about 22,100 new Singapore Citizenships on average each year. We also granted about 31,700 Permanent Residencies on average each year. We have kept the total size of the PR population at around half a million for many years now.[+23 sentences] It is not easy to become a new citizen or PR. Many applications are rejected. We have high expectations of those who join our community. Newcomers who want to make Singapore their home have the responsibility to adapt to our way of life, and must continue to contribute to our society and economy. One good example is Mr Trieu Dang Huy, who works as a senior projects executive at Singapore Airlines. He has lived in Singapore for 14 years and became a Singapore Citizen last year. When Mr Trieu first moved here, he took it upon himself to learn English, Mandarin and Singlish, so much so that when he speaks now, it is hard to tell that he was originally from Vietnam. Mr Trieu met his wife while studying at the National University of Singapore (NUS). Together, they believe it is important to contribute to society and donate blood regularly. They also have a young son who is Singaporean. Members of this House would know of other examples. Mr Pritam Singh and Dr Lim Wee Kiak asked how we can ensure that newcomers make an effort to integrate into our society. The National Integration Council is doing a lot of commendable work on this front in the community, workplaces and schools. Let me just highlight one new initiative. As part of the Singapore Together movement, we are inviting Singaporeans to help craft the content for the Singapore Citizenship Journey – a compulsory programme for all who seek to take up Singapore citizenship. I am happy that many have stepped forward. This will complement our existing efforts. For example, the People's Association appoints Integration and Naturalisation Champions to help new citizens and PRs settle into their neighbourhoods. They organise chit-chat sessions, interest groups and learning journeys to nudge newcomers to make new friends and get involved in the community. We continue to welcome Singaporeans' views on how we help newcomers to better integrate into our society. As we start the new decade, the Government remains committed to working with Singaporeans and to keep Singaporeans at the heart of our population policies. Mr Pritam Singh asked for an update on our population outlook. We reviewed this two years ago. As I informed the House then, our total population in 2030 – at the end of this decade – is likely to be significantly below 6.9 million.[+1 sentence] This remains the case today. Mr Chairman, on population matters, there are no easy solutions but the Government will do its best to chart the way forward that keeps our society cohesive and our economy vibrant. We will always have Singaporeans' best interests at heart, now and in the future, and we will never stop progressing as one united people.
Mr Cedric Foo Chee Keng (Pioneer)168 words
[+2 sentences]Mr Chairman, my cut is to ask about the tangible benefits to citizens and local businesses arising from our Smart Nation initiatives. Digitalisation has opened up new possibilities for businesses and for our society. Singapore has been at the forefront of digital transformation since we launched the Smart Nation initiative in November 2014. Today, Singapore is globally recognised as a smart city, with the Institute for Management Development (IMD) Smart City Index ranking Singapore as the smartest city in 2019, and several other reputable organisations also place Singapore within the top 10 smart cities globally.[+3 sentences] But the prestige of being a globally recognised as a "smart city" is scant success if our citizens and businesses are unable to reap tangible benefits. Can the Minister share with us how our Smart Nation initiatives have created an efficient and competitive environment for our businesses? Can the Minister also share with us how our Smart Nation policies have engendered inclusiveness and improved the convenience and quality of interactions with our citizens?
Dr Teo Ho Pin (Bukit Panjang)430 words
[+10 sentences]Chairman, Sir, the Smart Nation initiative was first announced by Prime Minister Lee in 2014. It aims to make Singapore into an outstanding city where people live, work and play in an innovation-rich environment. Building a Smart Nation requires a concerted national effort which comprises three pillars: digital Government, digital economy and digital society. As the central coordinating agency for e-Government services, the Smart Nation and Digital Government Group has implemented a number of online services to benefit both businesses and our people. These include services pertaining to CPF services, parking, libraries and SkillsFuture. At the town level, I wish to share some initiatives undertaken by the People's Action Party (PAP) Town Councils to support Smart Nation initiatives and to seek support from the Government to expedite the implementation of Smart Town technologies and features to benefit three million HDB residents. Over the years, the PAP Town Councils have developed and implemented various information technology (IT) and digital solutions to better serve our residents. These include, first, the computerisation of our financial system known as the Town Council Management System (TCMS) which integrates our system with those of various Government agencies, banks and service providers. Second, the computerisation and digitisation of our Complaint Management System called the Integrated Estate Management System (IEMS) which collects feedback from residents and stakeholders for maintenance and improvement purposes. To support this objective, we have also developed the iTown mobile application for residents to provide feedback on Town Council matters and a dashboard management system for IEMS. Third, a telemonitoring system (TMS) for the monitoring of lift breakdowns and also a lift performance dashboard management system to monitor and improve the reliability and safety of 24,000 lifts in the 15 PAP Town Councils.[+1 sentence] In addition, Holland-Bukit Panjang Town Council has embarked on a number of Smart Town initiatives to improve township management services for residents. For example, we have digitalised over 90 blocks of our flats using Building Information Modelling (BIM) to build a digital database of as-built drawings to facilitate and augment maintenance and improvement works.[+3 sentences] We have developed a Smart Barrier-Free Access (BFA) application to enable users of personal mobility aids to navigate BFA routes and facilities in Bukit Panjang Town. We are also exploring other smart town features, such as smart locks, for roof access, e-procurement and payment, and sensors for improving lift performance. Sir, at this point, I wish to ask the Minister to update the House on the progress of the Smart Nation initiatives and to call for more support for the implementation of smart technologies in our HDB towns.
Mr Pritam Singh339 words
[+1 sentence]Sir, it was previously reported in the media that in the last quarter of 2018, Singapore Technologies Engineering had won a $7.5 million tender for the "Lamp Posts as Platform" project to "fit lamp posts here with sensors and cameras that can collect a wide range of citizen surveillance data". The new camera system was able to analyse faces down to race, gender and age, and a trial was to be held at one-north and Geylang before the project could potentially be extended to more than 100,000 lamp posts in Singapore.[+9 sentences] Sir, there has been a wide range of feedback, both on the upside and downside potential of the Smart Nation Sensor Platform with different countries and jurisdictions taking different views of the problem. In fact, some jurisdictions, like San Francisco, have banned such smart technologies, other than seriously looking at how best to balance and manage the privacy concerns that accompany such platforms. On the flipside, in light of manpower constraints and the prospect for effective monitoring and deterrence – the public's difficult relationship with some users of PMDs come to mind – the benefits of these new technologies are readily apparent. We have also read about rogue public officers, including Police officers, illegally accessing Government information in our newspapers in the past. While these numbers are very small, new technologies and smart platforms host so much more information and data of a personal nature that people can lose confidence and trust in public service very quickly should an untoward incident occur. There is also the attendant risk of cybersecurity incidents. It has been two-and-a-half years since the Prime Minister announced details on the Smart Nation digital platform at the 2017 National Day Rally. What have been the results of the pilot so far, not just from the technical data acquisition perspective but the processing, handling and control perspective? Is it the PMO's view that our data protection laws are fit for purpose to accommodate the advent of these new technologies which have significant repercussions on individual privacy?
Mr Darryl David (Ang Mo Kio)258 words
[+6 sentences]Mr Chairman, the Fourth Industrial Revolution (4IR) has transformed the way we collect, store and use data. It has heralded in an era characterised by the blurring of digital and physical boundaries, and the growing use of new technologies, such as artificial intelligence (AI), cloud computing, robotics, 3D printing and the Internet of Things (IoT). In the push for a Smart Nation, the Singapore Government, through the Government Technology Agency (GovTech), has introduced various initiatives to streamline the provision of Government services online and through digital platforms. While we have been making steady progress towards realising the vision of a Smart Nation Singapore, the complexity and amount of data that the Government has to manage has also increased correspondingly. In recent years, we have seen several instances where Government data was compromised. In 2019 alone, two high-profile breaches surfaced where medical data of individuals were leaked online. First, the personal information of more than 14,200 HIV-positive individuals and there was also a case of a loophole in the Health Sciences Authority's (HSA's) system resulting in the compromise of data that affected more than 800,000 blood donors.[+1 sentence] Clearly, data security is everyone's business. I understand the Public Sector Data Security Review Committee (PSDSRC) has submitted a slew of recommendations to the Government last November and the Government has accepted those recommendations, which are to be fully implemented by 2023.[+1 sentence] Can the Government provide an update on the action plan to implement the recommendations, and how is the Government ensuring robust data security, even as it uses data more extensively?
Mr Vikram Nair (Sembawang)231 words
[+13 sentences]Mr Chairman, Singapore's Government is leading by example in making Singapore a Smart Nation, with more and more Government agencies providing services online and more and more services being automated. One good example is immigration. One is able to apply for passports online and collect with minimal fuss. Clearing immigration is also automated for Singaporeans at the various checkpoints, making clearance a breeze. Filling out taxes is a painful process in many places, but, here, for most people, it is just a few clicks on an online system and our tax form for the year is done. As a National Serviceman (NSman), a reservist, it has become increasingly easy to get things done, including going for medical check-ups, taking the Individual Physical Proficiency Test (IPPT) and even acknowledging call-ups. So, as service users, life for us has become very easy, so much so that we may even take it for granted. Some of us even followed this example. For this speech, for example, I am actually using my smartphone, rather than the paper I normally use. So, we are all trying to go smart. But, of course, we recognise this requires significant state resources. What is the Government doing to build up public sector capabilities in harnessing digitalisation? And how can it ensure that it is able to attract enough engineers and people of the right calibre to develop these systems?
Mr Teo Ser Luck (Pasir Ris-Punggol)174 words
[+8 sentences]Chairman, I am a heavy user of technology. And when I started on a technology project, I created a first layer of programming and algorithm where the machines started to learn. With more data collected, more and more, the machine gets smarter and it could make intelligent decisions or informed decisions for me. As it goes on, I realise that some of my staff actually were being replaced for the role that they played but they could co-exist with the technology itself, and I realise that that is AI. AI was extremely helpful for the companies that I run. The staff themselves found that they could co-exist and become more productive and more clever in making the decisions. I am excited about the national AI project and I hope that the national AI project is not just internally focused, but externally focused as well. As long as it enables and strengthens companies and individuals and helps Singaporeans in their daily lives, I think this AI Project will be very exciting instead of replacing jobs.
Mr Ong Teng Koon241 words
[+4 sentences]Mr Chairman, businesses are often faced with processes that require approvals from multiple Government agencies. This is time-consuming and expensive for businesses when they have to make physical visits to different agencies, provide similar information repeatedly on separate application forms and track the status of applications on different agency portals. It could become frustrating when business owners uncover additional regulatory requirements that they were unaware of, resulting in delays to their application process. I would like to ask the Minster what is the Government doing to streamline such G2B processes and if there is an ongoing dialogue with businesses to review the current G2B processes and identify their painpoints. With the launch of the GoBusiness Licensing Portal by GovTech in October 2019, business owners in the food industry now experience a seamless application process that requires only one form with 90 data fields instead of 14 forms with 845 data fields.[+1 sentence] I would like to ask the Minster what is the reduction to cost, time and effort for business owners from this successful process optimisation and if this has reduced the total application fees paid by businesses. Also, what are the future plans on the rollout of the integrated licensing portal to other industries? What will be the expected savings from these efforts?[+2 sentences] Currently, GovTech has launched the GoBusiness Licensing Portal and the Business Grants Portal. Can the Minister advise if are there other touchpoints with businesses that will be streamlined?
The Chairman9 words
[+1 sentence]Ms Tin Pei Ling, take your two cuts together.
Ms Tin Pei Ling (MacPherson)376 words
[+1 sentence]There has been tremendous effort to implement measures to realise our aspirations of a digital economy, Government and society. Apart from blueprints and action frameworks, basic "building blocks", such as MyInfo, on which personalised services and applications can be built are in place. We have experienced applications, such as OneService, Parking.SG and Moments of Life, offering conveniences to citizens as we go about our daily lives. Moments of Life, for example, allows me to monitor what vaccinations my two sons have specifically taken and will have to take coming up.[+2 sentences] As the Government presses on, what new Smart Nation initiatives are there to deliver more personalised and inclusive services to citizens of all ages and of all backgrounds? Could we enhance citizen autonomy and interactions with the Government by digitalising some of the functions or decisions we take in the community? For example, instead of just giving feedback, could we enhance the OneService to allow citizens to vote on Home Improvement Programmes or the colour schemes for their block during the cyclical Repair and Redecorations?[+9 sentences] Our Government probably has an application for anything somewhere. But it would perhaps make better sense to consolidate and streamline so that citizens are clear about where to go for what. Or simply, just go to one platform for everything they need. In the course of our constituency work, we would have observed that, within the community, there are many ideas and resources. For example, we have multiple voluntary welfare organisations (VWOs) and informal volunteer groups, all of which have lion-hearted volunteers who want to do more for our people. In MacPherson, the creation of the MacPherson Cares app is an example. Amongst the many things we hope to achieve, we wanted to draw the volunteers into a central pool and seniors can tap on them for requests as simple as helping them to read letters. In our drive towards a Smart Nation, the Government's effort alone is not enough. Hence, I would like to ask how can the Government better partner citizens in the co-creation of Smart Nation? Could the Government give an update on the use of Our Singapore Fund for Digital Readiness so far? What are some of the fruits of our labour in cultivating digitally ready citizens?
Mr Png Eng Huat (Hougang)16 words
[+1 sentence]Sir, the number of scams involving e-commerce loan, credit-for-sex and impersonation rose by 83.5% last year.
The Chairman16 words
[+3 sentences]Mr Png, my apologies. Dr Vivian will give his reply. Your cut will be after that.
The Minister for Foreign Affairs (Dr Vivian Balakrishnan)2400 words
[+11 sentences]Sorry, if the Member does not mind. Minister Ong Ye Kung could answer your points. Mr Chair, we are four minutes behind. So, I am going to rush. When COVID-19 broke upon us, you may have noticed that apps like MaskGoWhere or even the gov.sg Whatsapp channel were up and running almost overnight, literally within days. I think Members all know that this is only possible because, over the last couple of years, we have assiduously built up the talent and capability. And this is one clear and present example where it has enabled us to do things quickly in an agile way and in a way that matters for real life. I want to assure Mr Cedric Foo that we are exquisitely conscious that Smart Nation has to benefit citizens in tangible ways. We have reorganised our services around the needs of citizens, we have made it easier and faster for citizens to access all Government services. A prime example I would cite is the Moments of Life (MOL) app. When this app first started, we were aiming to enable parents to quickly register their child’s birth and apply for the Baby Bonus that Minister Josephine Teo was providing and to reduce the time that parents needed to apply for this. By having this app, we estimated we are able to reduce the total waiting time and all that from 60 minutes to 15 minutes. Last year, I shared that 2,000 births had been registered through this app. A year on, this number has increased tenfold, now almost 20,000.[+10 sentences] I think Minister Josephine Teo will appreciate that it is much easier to improve productivity in apps than it is the TFR. Nevertheless, we are trying to facilitate matters. In September 2019, MOL was expanded to serve the needs of our seniors as well, and MOH will elaborate on this in its COS debate. As we expand the suite of services we provide through MOL, we will continue to improve the app through constant user testing and citizen engagement. The Smart Nation has to be about solving problems innovatively in both simple and complex issues. We introduced the concept of a digital medical certificate (MC) in 2018. If Members think about it, it should be easier to submit and to keep records for digital MCs. It saves paper and time. We first tested this at the National Heart Centre. The GovTech team worked with the healthcare practitioners in the Heart Centre to improve the pilot solution, before rolling it out to more places. Today, we have issued over 400,000 digital MCs for all patients who visit SingHealth hospitals or polyclinics.[+9 sentences] We will be expanding this to other hospitals and clinics, in particular, into the private sector, starting with Raffles Medical and Mount Alvernia Hospital. I agree with Mr Teo Ser Luck and Mr Ong Teng Koon that building a Smart Nation should also help businesses to succeed in this digital era. Over the past few years, we made it easier for businesses to transact digitally with the Government through the various initiatives like the Intellectual Property Office of Singapore (IPOS) Go app and Business Grants Portal. We are extending our support for businesses to help them through their different phases, from starting up a business, to seizing opportunities to grow, to running it more efficiently on a day-to-day basis. To give you an example, we launched the GoBusiness Licensing portal in October 2019, using the customer journey approach, to help food and beverage (F&B) businesses start. Some Members may know that, in fact, applying for the right licence to start a business – and, in particular, the F&B business – can be an extremely onerous process, with 14 different licences and 800-over fields to fill. When we launched the portal for the F&B processes, we were able to simplify not only the application process but, more importantly, the backend re-engineering that would save time and, ultimately, increase the opportunities for them to get online and to conduct their business instantly. I agree with Mr Lim Swee Say and Mr Teo Ser Luck that AI should be one of Singapore’s key strengths. If you think about the transition from having computing power in the 1980s to connectivity in the 1990s, today, the fact that computer systems can now engage in pattern recognition, whether it is facial recognition, speech or hearing, this is transformative. And in the same way that computing and communication were made available to all, we need to make this ability available to everyone – people and businesses. That is why we have to embark on our own National AI Strategy for Singapore and I give Members this commitment that we are working with companies and the research community to focus our efforts on deploying AI.[+12 sentences] I want to emphasise the word here is "deployment" because we will never have the oceans of data that China has, or the depth and unique ecosystem that Silicon Valley has. But I think we have a niche when it comes to deployment, especially in areas where we already have a competitive advantage, for instance, in healthcare, education, logistics, Smart City, Urban Solutions and security. We are also putting in place ecosystem enablers to facilitate this AI deployment across the board. This includes making it easier for companies to adopt AI solutions and we have programmes like SMEsGoDigital and AI Singapore’s 100 Experiments programme and these are available to the private sector. We will continue to take a human-centric approach to AI to bring tangible benefits to citizens and businesses – I am trying to address Mr Pritam Singh's point here – whilst putting in place a strong AI governance structure to ensure that these new fangled abilities are used responsibly, the risks are managed appropriately and public trust is maintained. To ensure benefits to citizens and businesses are widespread and sustained, we have also invested heavily in digital infrastructure at the national level. There is a lot of behind-the-scenes work, often unnoticed and under-appreciated. But, like physical infrastructure, these are fundamental to our ongoing digital transformation. Let me give Members one example. The National Digital Identity (NDI) – this is one piece of digital infrastructure that most people would probably not have heard of. But Members would have heard of SingPass Mobile. We launched it one-and-a-half years ago. Today, it has close to one million users.[+1 sentence] It has enabled us to make it easy and secure to verify identity and I am sure many Members of this House have used SingPass for a variety of log-ons in order to use Government services. For example, since CPF launched its online nomination service in January, over 9,000 CPF members and their witnesses have used it to complete the entire process online, securely and conveniently.[+4 sentences] Mind you, in the past, it would require you to go down to the branch with your witnesses and beneficiaries, sign in front of someone. Now, with the NDI system and Government systems online, you can do all these entirely online but securely because of the NDI system. Businesses have also used this NDI system to innovate and to raise the quality of their own digital services which are provided to customers at large. For instance, online retailers like Carousell which have promoted users as verified buyers or sellers when they sign up using MyInfo, thereby building up trust in online transactions and the marketplace. Businesses also report saving up to $50 per transaction and processing transactions five times faster when their customers use MyInfo to prefill forms.[+3 sentences] I should have explained MyInfo is basically linked to the NDI so that people do not have to repeatedly fill forms. As long as I have verified that online user, a carefully curated set of information which the user authorises is then made available to that business. Apart from digital identity, we have also made significant improvements in digital payment infrastructure to support more use cases and to make sure it remains interoperable and competitive. Today, over three-quarters of Singaporeans between the age of 20 and 75 are registered with PayNow.[+2 sentences] Monthly transaction volumes nearly doubled over the course of last year, from 4.2 million to 8.1 million transactions. We are using PayNow more pervasively in our Government services and we are seeing high take-up rates. For instance, last year, 20,000 CPF members conducted over 90,000 CPF withdrawals using PayNow, which amounted to over $600 million being transferred almost instantly, in real time.[+28 sentences] Through these efforts, citizens' and businesses' satisfaction rates have gone up. Members know that we conduct regular surveys on this. We discovered that there has been an eight percentage point increase from 2018 to 2019. Currently, those who are indicating satisfaction with Government digital services have gone up to about 86% and 77% respectively. These are the highest scores since we started measuring them in 2012. I say this not to blow our trumpets but to tell people that we are focused on the citizens' experience and on making sure we deliver real value to citizens. We will continue to improve digital services for both citizens and businesses. At the last count, we have about 100 Government apps. I do not take joy in that number, because citizens often tell me, "There are so many. Which one do I use?" To remedy this, we will systematically streamline the number of apps and our digital offerings. For a start, we will improve and reorganise the MOL app, which I described just now, with the eventual aim of personalising it for each user, as Ms Tin Pei Ling had suggested. If Members think about it, we may all carry smartphones, but everybody's home screen is unique. That is what individualisation, customisation is. And in a sense, the question is not the number of apps but whether those apps are customised and are suitable for you. Citizens will soon be able to access common Government services on MOL, like managing taxes and CPF matters, or even to make event bookings. These processes will continue to be reviewed and, as I said, do not pay attention to the number of apps, pay attention to whether it meets your needs and, more importantly, whether at the backend, the Government is using this as an opportunity to re-engineer our processes to be more efficient, to be more cost-effective and to be more responsive. For businesses, we will be extending the user-centric approach that we have taken in setting up the GoBusiness Licensing portal to help more businesses meet their different needs as they start up, as they grow and as they run. We will streamline our digital transactions, make them even more user-centric, and provide businesses with information and tools so that they can capitalise on opportunities and to reduce cost. The Ministry of Trade and Industry (MTI) will elaborate on this during its COS debate. We will also be exploring more NDI use cases for businesses in order to make it cheaper, easier and faster for them to go digital. We are testing the use of SingPass by businesses so that they do not have to build and secure their own digital identity verification systems. Union members can currently access the U Portal via SingPass and Republic Plaza grants building access when visitors enter via SingPass Mobile. No more surrendering your National Registration Identity Card. We also ran a 12-month pilot last year for MyInfo Business to help SMEs prefill their Government-verified data for bank account opening and loan applications. Later this year, we will extend such prefilling to more business-to-business (B2B) services. Of course, a Smart Nation must go beyond just fancy online services and apps. It must improve the daily lived experience, as emphasised by Dr Teo Ho Pin. Punggol Town will be our testbed to implement smart technologies, such as the Open Digital Platform and smart energy grids in our towns. Later this year, we will share more about how smart features in residential estates and community facilities will benefit Punggol residents and, ultimately, I must emphasise, all other towns.[+12 sentences] Mr Pritam Singh has asked about the trials of Lamppost as a Platform in one-north and Geylang, and I thank him for asking that. Let me just take a step back and explain why lampposts. Lampposts are ubiquitous. There are 100,000 of them in Singapore. They have the advantage of being in a fixed location. Lampposts do not move. They are always powered. These attributes have made them very convenient to deploy sensors on. We are deploying sensors and testing out some use cases. For instance, to keep track of environmental quality sensing, traffic congestion and crowd safety. Let me assure Mr Pritam Singh, I listened carefully to his speech. I think that the key point that the Member made is balance: that we must get the balance right between acquiring data, using it and protecting privacy and security. If we get the balance right – and we have to maintain public confidence – then we can truly reap the benefits that come with it. So, I need to assure Members that we have very stringent data management and protection standards to govern the access, use and disclosure of all collected data by the Government and our vendors. In particular, only officers with legitimate use of the data will be able to access the data, and the data will be de-identified for data analysis and for planning work.[+3 sentences] It will be identifiable only when absolutely necessary. For instance, in service delivery or in the case of facial recognition, if the Police need it to identify missing persons or for the purposes of investigation, then, under carefully controlled circumstances, that will be enabled. I would like to remind the House that public officers are subjected to the Public Service (Governance) Act, which makes mishandling and unauthorised access of data a criminal offence. Going forward, we will find more opportunities to deploy sensors on lamp posts, but we will ensure that the collected data is stored and used securely, and Senior Minister of State Janil Puthucheary will elaborate on this later.[+4 sentences] Let me conclude. Smart Nation has benefited citizens and businesses. There is increased capacity to deal with rapidly changing circumstances and emergencies in the real world. We will continue to evolve how the Government operates innovatively in a digital environment and we will work even more closely in partnership with our people.
The Chairman6 words
[+1 sentence]Senior Minister of State Janil Puthucheary.
The Senior Minister of State for Communications and Information and Transport (Dr Janil Puthucheary)1416 words
[+1 sentence]Mr Chairman, to support our fight against COVID-19, many GovTech engineers worked with the rest of the Public Service to build new digital services. One team put together MaskGoWhere almost overnight, giving citizens up-to-date information on where to collect their masks.[+17 sentences] This was identified as an urgent need to allay fears, provide accurate, reliable and real-time information. It needed to be created very quickly. Other teams worked on providing accurate information through the Gov.sg WhatsApp channel, Ask Jamie chatbot and developing software to help the Ministry of Manpower (MOM) monitor Leave of Absence compliance – just to name a few of these digital efforts to support our fight against COVID-19. I recently met Mr Ryan Tan, who was part of the team that put together MaskGoWhere. He has been with GovTech for five years, having joined us through the Technology Associate Programme immediately upon his graduation from NUS. He volunteered to help put MaskGoWhere together. He was part of an initial team. The team started with three people, scaled up to 30 people over a weekend and then, back down to three or four when it became stable. He applied his skills in cloud architecture and app development and deployment. He also applied the analytics tools that he works on in his normal job, embedding them within MaskGoWhere so that the team was able to optimise their service's response in real time, as it received almost a million unique views over a very short time. This story of Ryan and other members of the MaskGoWhere team is an example of how we are transforming digital Government. Their willingness to step forward and rapidly put together what they understood was a solution to an urgent problem and the fact that they had the tools and capabilities to do so immediately demonstrates that we are well on the way to becoming a Government that is "digital to the core" and "serving with a heart". These outcomes are only possible because we decided to build up the digital engineering capability of the Government into a strategic capability a few years ago. With this strong engineering core, we can internalise within our service the capabilities and the skills, to use technology to transform our core businesses as well as develop the confidence to integrate with external stakeholders and the private sector, building platforms, such as MyInfo, not just for ourselves but to enable our whole economy to innovate and digitalise. Finally, as in this example with COVID-19, we can respond swiftly and decisively to unexpected national contingencies. So, to Mr Vikram Nair's question, we will continue to invest in engineering capabilities, create the right environment and exciting opportunities for engineers to apply their ingenuity to serve the public good. More than developing good people, we have had to re-engineer how we use technology. To enable better and secure use of data, we have established the Government Data Architecture. It has been delivered, cutting the time needed to share the first tranche of core datasets to just four weeks when, previously, it was several months.[+1 sentence] It will shorten further. We commit to getting it down to seven working days within this year, with more datasets for public officers to improve operations and service delivery.[+3 sentences] As Prof Lim Sun Sun has mentioned, more data will also be shared with companies and researchers in the future. The progress that we have made in allowing this type of data sharing and the use of cloud-based services were also key factors that have enabled the MaskGoWhere team to deliver their swift and effective response. I agree with the suggestions made by Mr Darryl David and Dr Yaacob Ibrahim on the importance of maintaining public trust in our use of data and I would like to assure Members that the implementation of the Public Sector Data Security Review Committee (PSDSRC) is on track. Many of these technical safeguards have been built into our Government Data Architecture, ensuring that there is consistency in the compliance of these standards. We will publish an annual update on the Government's efforts in safeguarding personal data, starting with the first report later this year.[+17 sentences] We have also migrated non-sensitive IT systems to the cloud to take advantage of the latest technology and to improve cost-effectiveness. Similarly, we are adopting the best practices in software development by building a technology stack with modular software components for reuse and sharing across agencies. Putting all these together, we can more effectively harness digitalisation to serve our citizens and businesses better. Despite the Coronavirus Disease of 2019 (COVID-19), work continues on many platforms, products and services. Moments of Life (MOL) is one example and GoBusiness is another which embody how we use digital technology to integrate services across agencies to be more user-centric. The Public Service Division (PSD) will give further elaboration on this. But we must also create new value for citizens to be "digital to the core". One example is Workforce Singapore's MyCareersFuture. This portal uses machine learning, matching jobseekers to relevant opportunities. Its job recommendations are personalised to the preferences and skills of each jobseeker, and it will get better and improve its performance over time. We hope that, with this approach, we can also design better policies. This has started and a team from the Ministry of Manpower (MOM) has used a cross-agency administrative dataset to review how Workfare can strengthen retirement adequacy of lower-income workers. Their analysis informed the Workfare enhancements that were announced in the last Budget and implemented since the start of this year. To best serve the needs of our society and citizens, we need to actively partner Singaporeans in building our Smart Nation, a point made by Ms Tin Pei Ling. Ours is a digital version of SG Together comprising two broad strategies. Firstly, we will develop more avenues for citizens to experience technology first-hand, learning more about how all these work. Secondly, we have to create opportunities for Singaporeans to join us in designing better products, services and platforms. To support the first experiential strategy, we are launching two major Smart Nation showcases – in July, the CityScape@URA exhibit, to give citizens an interactive experience of digital technology and, in December, the PlayScape@Science Centre, leveraging the role that the Science Centre plays in our education, to bring the experience of being able to touch and feel and play with technology to everyone.[+6 sentences] We hope to demystify technology and to encourage as many citizens as possible to visit these exhibits. For the second collaborative design strategy, we have previously launched with an initiative called Smart Nation Co-creating with Our People Everywhere (SCOPE), where citizens try out early prototypes of our products and share their thoughts on how they can be refined. This has been very useful. It has allowed us to continually test our ideas and improve them over time. One example, when we were developing the Active Ageing features for MOL, many seniors suggested that the app should help them find exercise events nearby. This was not something that we had prioritised, but we adjusted our plans and now this is one of the most popular features of that service. To date, more than 23,000 Singaporeans have participated in SCOPE and it is not a small effort.[+1 sentence] I would like to thank our community of more than 1,000 Smart Nation Ambassadors for bringing these Smart Nation projects to Singaporeans from all walks of life. This year, we will expand the scope of SCOPE in two ways.[+1 sentence] First, we will start further upstream. Instead of just giving feedback on specific projects, we invite the public to join in the entire process of the development of Government digital services, from conceptualisation to deployment.[+6 sentences] Second, we will bring SCOPE closer to residents by holding the sessions on board a Smart Nation Builder mobile truck, which will slowly make its way around Singapore. Please look out for it when it comes to your neighbourhood. We will continue to make sure that we build digital readiness in Singaporeans so that they can take advantage of these opportunities. The Ministry of Communications and Information (MCI) will share more on this. Mr Chairman, Sir, our swift response to the COVID-19 situation is a glimpse of how Smart Nation is already here to impact our daily lives. We must continue to transform how Government works by re-engineering our digital resources, investing in our people and co-creating with the public. In doing so, we hope to galvanise everyone to build our Smart Nation together.
The Chairman4 words
[+1 sentence]Mr Png Eng Huat.
Mr Png Eng Huat924 words
[+1 sentence]Sir, the number of scams involving e-commerce, loan, credit for sex and impersonation rose by 53.5% last year. There were about 9,500 scams reported in 2019, up from 6,000-over cases in the previous years. The total amount cheated in the top 10 types of scams came up to a staggering $168 million.[+6 sentences] Scamming is not only lucrative, it is also getting more sophisticated. Some scams do not put it on the nature of greed. They are disguised as service calls from telecommunications companies (telcos), banks or Government authorities. These scams capitalise on the victims' lack of knowledge on how things function in the Internet age. An innocuous call is all it takes for the scammer to try to gain remote access to the victim's computer, bank account information, personal identification number and one-time password. The end results are often heart-wrenching. Victims of tech support scams lost $13.9 million of their hard-earned savings in 2019. Just last November, a 65-year-old woman picked up a call on her landline thinking it was a customer service call from a telco. She spent over two hours on the line with the scammer and, by the end of the call, over $300,000 of her savings were wiped out from her bank account.[+31 sentences] It is very painful and sad to read in the news about elderly Singaporeans being scammed in this manner time and again, despite all the efforts by the Police to educate the public about such crimes. In the pursuit of a cashless society and a Smart Nation, have we made life a breeze for one generation and more vulnerable for another? I am for progress, but I am deeply concerned that some Singaporeans would be exposed to untold dangers in the digital jungle. Most of the scams leverage one thing in common to make a clean getaway – the speed of online banking transactions. By the time a Police report is made, the victims' money would have disappeared into thin air. Even if anyone is caught here or overseas, there is very little hope for the victim to see his life savings again. Would it not be possible for the Ministry to mandate the banks to offer more protection for the elderly and vulnerable from falling victim to such scams? Would it not make sense for the gatekeeper of the conduit for interbank transfer to play a bigger role in combating such crimes? Let me relate another case. One of my residents was tricked into giving out his OTP in a similar tech support scam and ended up losing his life savings in two local banks. The scammer did his homework and contacted the resident late on a Friday night. By the time this resident realised that something was not right, the bank had closed and he could only call the after-office helpline for assistance. The perplexing part of this case is that only one bank would stop the illegal transfer while the other could not, and both financial institutions are using the same international remittance network. Another one of my residents was so spooked by such scams that he asked the bank to issue him an ordinary bank card with no wireless payment feature or linked to any international debit or credit service provider. He was told there is no such card anymore, but he could request the bank to limit the transaction amount or disable the debit feature. If such features can be disabled with a phone call, what safeguards are there to prevent scammers from reversing it? This is exactly what the elderly resident was worried about. He just wanted a simple bank card for cash withdrawal. This educated resident told me he needs to be careful because he knows his reflexes, cognition, memory and everything else he took for granted in the past are ageing, too. Sir, could we not ask the banks to institute additional safeguards that are designed specifically for this group of users so that they will not fall victim to scammers and their hard-earned monies will not be stolen so easily in the blink of an eye? While the scammer may work on this victim for hours, the success of such scams hinges on the split-second transfer of money out of the victim's bank account. If we have a cooling-off period for direct sale, can the banks offer such feature for interbank transfer on demand as well? Any change of mind for such a cooling-off service will require a visit to the bank in person. Although this sounds like a low-tech approach, you can certainly buy some time, and time is what scammers do not want. I am not asking the authorities to slow everything down. I am only asking the authorities to get the banks to provide an option for the elderly and vulnerable to protect their life savings. The Police can only do so much to investigate after the crime has been committed. It does not have the weapon of choice to stop or slow down the scammer from laying hands on the ill-gotten gains. Sir, such scams are not going away when there is easy money to be made. It was reported in the news yesterday that the number of banking scam calls or messages went up sharply in January this year with 105 cases reported, compared to 38 cases in the previous three months combined. To me, that is a red flag for the authorities to take the lead to fight scammers that capitalise on the banking system to steal from the elderly and vulnerable.
The Chairman4 words
[+1 sentence]Minister Ong Ye Kung.
The Minister for Education (Mr Ong Ye Kung)741 words
[+2 sentences]Online scams and crimes are, indeed, on the rise, Sir. I agree with the Member that each case is very painful, very sad. Every one of us can be targeted and the elderly are especially vulnerable. Such scams and crimes typically trick individuals into handing over monies through fake investment schemes or by using their personal information to access their bank accounts.[+10 sentences] The few cases that Mr Png Eng Huat mentioned fall into the latter category. The criminals can reach out to their victims either through phone calls, messages, emails, even cyberattacks. The Monetary Authority of Singapore (MAS), the Singapore Police Force (SPF), the National Crime Prevention Council (NCPC) and our banks, have been working together to protect Singaporeans against these online scams and crimes. Our efforts have focused on the following four areas. First, raising public awareness. Public agencies have stepped up educational initiatives through media campaigns, roadshows and community outreach programmes. MoneySENSE, our national financial education programme, regularly puts out public messages to caution the public against online crimes and scams. Banks also regularly remind their customers, "Do not disclose your account details, user IDs, passwords or SMS One-time passwords (OTPs) to anyone, no matter who they claim to be". Bank customers have also been encouraged to maintain strong cyber hygiene by installing anti-virus software and regularly updating it. Second, MAS has issued various regulations and guidelines related to the security of online transactions. For example, banks must implement multi-factor authentication so that scammers cannot perform online transactions using only the user IDs and passwords of their victims.[+4 sentences] You must have the OTPs as well. Fraud monitoring and detection systems are another prerequisite to facilitate timely detection and blocking of suspicious transactions. On a real-time basis, transaction alerts are sent to customers to allow them to quickly notify their banks of any unauthorised payment transactions. These security measures to curb unauthorised transactions have become industry norms in Singapore. Third, we freeze accounts suspected of receiving the proceeds from online scams.[+7 sentences] Where specific bank accounts have been identified to be associated with scams, the SPF's Anti-Scam Centre will freeze the relevant bank accounts as soon as possible. Doing so disrupts the scam operation and increases the chances of recovering victims' monies. In this regard, Mr Png Eng Huat suggested a possible cooling-off option and feature for elderly customers to opt-in, so that when they make a transfer, maybe it will happen 24 hours later. This is something that we can discuss with the banks as a possible way to help, as an option for elderly customers. Fourth, where the scam is cross-border in nature, SPF will seek the cooperation of their foreign counterparts. The Transnational Commercial Crime Task Force (TCTF) was set up in October 2017 to investigate transnational scams, such as China Officials Impersonation Scams, Internet Love Scams and Credit-for-Sex scams. It actively shares information with foreign law enforcement agencies and, where possible, works with them to mount joint operations. Nine operations have been conducted since the set-up of TCTF, which resulted in at least 440 cases solved and the arrest of over 100 suspects regionally.[+8 sentences] But as Mr Png Eng Huat mentioned, the sophistication of scams will continue to evolve. The criminals are getting smarter and smarter. The cross-border nature also poses additional challenges and limits what our public agencies and banks can achieve on their own. That is why core to our anti-cyber scam strategy has to be public awareness and education, so that all of us remain vigilant and do not fall prey to cybercrimes. During this COVID-19, we are all constantly reminded to, first, wash our hands frequently; second, do not touch our faces unnecessarily; and third, when we are unwell, go see a doctor and do not go to school or do not go to work. These are the three key pieces of advice that we should heed. Likewise, the three key pieces of advice to fight cyber scams are: one, never draw money from our account to pass to anyone, even if they claim to be from the authorities; two, never share your personal and banking details, especially your OTP with anyone; and, if in doubt, three, consult your loved ones, call the anti-scam helpline or visit NCPC's Scam Alert website at scamalert.sg. As the Police advise – "Don't Panic, Don't Believe, Don't Give", "别慌。别信。别给。" The Ministry of Home Affairs (MHA) will elaborate about its strategies to address scams at its COS debate.
The Chairman3 words
[+1 sentence]Mr Patrick Tay.
Mr Patrick Tay Teck Guan (West Coast)339 words
[+9 sentences]Just as SkillsFuture is crucial for the private sector, it is also vital for the public sector to embrace SkillsFuture. This is especially so today, with technology and digitalisation disrupting work, workers and workplaces regardless of where you are in the world and what you do. Today, we have seen several traditional jobs being automated completely, for example, services that are now online and where customers can do self-checkout and self-help. On the other hand, we also see some jobs that are performed very differently today, for instance, through deploying Robotic Process Automation (RPA) and "training" robots, as opposed to performing the manual tasks ourselves. What this means for Singapore is that as a small and open economy, we need to be able to transform and innovate new products and services to maintain our competitiveness while working within manpower constraints. Technology and longer career spans are two positive opportunities that can help us overcome our constraints. This underscores the importance of Industry 4.0 and SkillsFuture to ensure that the public sector stays ready, relevant and resilient. To achieve a win-win-win outcome for workers, employers and the economy, we must continually upskill our workers to equip them with in-demand skills of today and of the future. This will help them take on quality jobs and better jobs should their jobs become automated or replaced by machines. The public sector has taken the lead in extending the retirement and re-employment age a year ahead of schedule. It has also been working with the National Trades Union Congress (NTUC)-affiliated unions to form Company Training Committees in its push to promote skills upgrading.[+3 sentences] In this vein, how does the public sector intend to help its officers achieve lifelong employability, given that the skill requirements and jobs would evolve throughout a longer career span? How has it been engaging the Labour Movement to help officers understand, embrace and thrive in a new environment that is increasingly dynamic and even disruptive? What has been the progress in terms of skills upgrading within the Public Service?
Dr Teo Ho Pin315 words
[+1 sentence]Sir, at the last COS, I sought an update on the skills development of public officers. As the problems of today are becoming more complex, nuanced and require different solutions from the problems of the past, it is inevitable that our public officers will be required to learn new skills and sharpen existing skills. This is a real concern in light of the findings by the Auditor-General’s Office of recurring lapses in the bureaucracy which have raised concerns on public accountability, especially in the areas of procurement and contract management, project management and facilities management.[+11 sentences] There are several reasons why these lapses have occurred: first, outsourcing of work, with price as the greatest determining factor of selecting contracts. Second, lack of expertise, especially among mid- to high-level bureaucrats. Third, high frequency of staff rotation and poor protocols in relation to the handing over of duties. Fourth, insufficient use of technology to reduce human error. Fifth, a lack of accreditation or standards for public officers. Sir, as Singapore becomes a world-class city with world-class infrastructure, our public officers must have the skillsets to manage increasingly complex projects. Our public officers also need to possess the relevant expertise in order to carry out their responsibilities and plan, staff and supervise projects closely. This is so that we can ensure that our public officers can work closely with stakeholders in the various industries to ensure quality delivery of public services, public projects and smooth completion of private sector projects. It is, therefore, imperative that our Public Service pushes itself to continually improve and keep up with the times. Sir, I wish to seek an update from the Minister on the skills upgrading and development of public officers as well as aspiring public officers, especially in the three areas which I have mentioned. Can the Government also consider giving out scholarships to nurture and attract talent in these fields?
Mr Leon Perera (Non-Constituency Member)290 words
Mr Chairman, Sir, when I first entered this House in 2016, the Estimated Budget for PMO was $488 million.[+9 sentences] In the latest Estimates, this has risen to $1.05 billion. PMO houses functions that cut across Ministries relating to climate and population, for example. But over the years, PMO has also come to acquire coordinating and leadership roles in a number of areas where there would seem to be a more natural fit with domain Ministries. For example, why is National Research Foundation (NRF) programme under PMO rather than MTI since research should be pursued in such a way as to maximise and multiply its benefits to industry and to the economy, which is MTI's purview? A similar point could be made for the National Security and Intelligence Coordination programme vis-a-vis the Ministry of Defence (MINDEF) which would seem the natural location for the ownership of Total Defence programmes, and the Smart Nation and Digital Government Office (SNDGO) vis-a-vis the Ministry of Communications and Information. In the debate on the GovTech Bill in 2016, I asked why the Cyber Security Agency (CSA) was at that time located in PMO rather than within MINDEF, the answer was, "this is to give CSA the ability to oversee cybersecurity at the national level, and so on". Does this mean that all policymaking fields that function at the national as opposed to sectoral level and cut across Ministries to some degree will eventually come under PMO? And if so, how do we ensure that the duplication of functions and expertise is minimised vis-a-vis domain Ministries, which generally have more staff with expertise in the domains? How would we also ensure that due weight in policymaking is given to subject matter experts in the domain Ministries?
Mr Lee Yi Shyan (East Coast)228 words
[+3 sentences]Sir, our Public Service has long been recognised for its efficiency and transparency and as a key factor underpinning Singapore’s success. Worldwide, technology is disrupting business models, reshaping supply chains and creating new jobs. In this creative disruption process, those who cannot keep up will be left behind. Going forward, Singapore's future depends on the support of a forward-looking and technology-savvy Public Service, one which is wary of the speed and scale of competition, hungry for new ideas, has the capacity to learn and undertakes its tasks with a sense of urgency.[+6 sentences] Given this context, I would like to ask the Minister, over the years, how has our Public Service reinvented itself to keep up with competition? How has the Public Service embraced technology to render itself more efficient and to serve its clients more effectively? What has the Public Service done to encourage, induce and catalyse large-scale innovations among businesses and society at large? According to a Zaobao report, Mr Lan Shaomin, the current Party Secretary of Suzhou, when he was the Mayor of Taizhou in 2016, gave out "Snail Awards" (蜗牛奖) to 57 individuals and organisations for their "slow work" or "non work". Such is a city in a hurry. Does the Public Service, perhaps, in a different but no less urgent way, reward its internal innovators and change agents and punish the procrastinators and non-performers?
Mr Cedric Foo Chee Keng368 words
[+6 sentences]Mr Chairman, my cut today is to discuss how our Public Service can show greater care and empathy in designing and delivering services to citizens. In the past few years, the Public Service has embarked on digitalisation to transform the way it delivers services. This was elaborated by Minister Vivian Balakrishnan and Senior Minister of State Janil Puthucheary. This is, of course, to be encouraged. However, there is still a group of citizens who may be unable to transact digitally, such as some elderly who may be unfamiliar with computers and smart phones or others from low-income families who cannot afford such smart phones or broadband access. It is great that the Government seeks higher effectiveness and efficiency of service delivery. But the more "digital" Singapore's public sector becomes, the more challenging it is for those who are ill-equipped. I am proposing that we try out a programme called "digital buddy". Such a programme would have digital buddies, who are volunteers, to partner those who are not digitally savvy to assist them in navigating Government digital services.[+3 sentences] They could be relatives, college students, grassroots members, corporate employees on corporate social responsibility (CSR) or just helpful neighbours. Beyond guiding those who are not digitally savvy in society to cope with our nation’s digitalisation journey, such buddy interactions would also promote community bonding and forge a more cohesive society, one where no one is left behind. As for hardware, smartphones or laptops and broadband access at home may be taken for granted by many. But to a lower-income family, this could be a burden. And I would urge the Government to aim for a position whereby those who want it but cannot afford it can have it through subsidies.[+3 sentences] I am also particularly concerned with school children from lower-income families who may not be able to afford a computer or broadband access at home. In today’s learning environment, a computer and broadband access are like the "paper and pen" of the past and, therefore, no child should be denied that. I would like to ask the Minister how the Public Service can improve on the way it serves and supports citizens, especially those who are vulnerable and not digitally savvy.
Mr Liang Eng Hwa (Holland-Bukit Timah)237 words
[+11 sentences]Businesses around the world have increasingly been using digital technologies to upscale their operations, seek better efficiencies and create value for their entities. There are now countless mobile phone apps and online platforms where businesses can use to acquire, engage and transact with their customers. This has brought about better conveniences, accessibility, outreach and also, importantly, lower transaction fees to their customers due to efficiency gains. The cost savings from better efficiency and outreach benefited both the businesses and customers. Can I ask if the Public Service would do likewise to tap on digital technology in a bigger way to transform service delivery to citizens and businesses? The Public Service is not starting from ground zero. It has launched the MOL app for birth registration a couple of years ago and it has just been announced that there will be an enhanced version. Such service apps can help eliminate the unnecessary inconveniences where businesses or citizens need to go to more than one agency to get things done. If properly designed, it can also avoid duplication in resources or situations where different sets of officers are serving the same customer in different agencies. The Public Service should look towards integrating its services and, where possible, establish a one-stop user-friendly digital platform, which can also reduce the need for manual delivery of services. I would like to seek an update from PMO on the progress in this area.
The Chairman4 words
[+1 sentence]Minister Chan Chun Sing.
The Minister for Trade and Industry (Mr Chan Chun Sing)1498 words
[+16 sentences]Mr Chairman, Sir, I will deliver my reply in half the time that I was supposed to. Mr Chairman, Sir, a strong, competent and forward-looking Public Service has been central to Singapore's success. It has been so and it will continue to be so. Let me, first, deal with Mr Leon Perera's question on how PMO decides which programmes come under its purview. There are usually three sets of considerations. First, if it deals with strategic issues with long-term consequences. Second, if it requires close coordination across many agencies. Third, if it is a nascent new capability where we need to incubate that capability development before we pass it on to a relevant Ministry. So, the Member is right. Over time, those agencies that fall under PMO would have satisfied one or more of these criteria. When the capabilities mature, they will be passed on to the relevant Ministries that best house them. Let me now deal with the rest of the questions from the other Members. I would just like to organise them into two sets of answers. First, what can the public expect from our Public Service? Second, what can the Public Service officers expect, going forward? Let me deal with the first. The first and most fundamental mindset shift required before we even talk about all these technologies is this: the Public Service is committed to design our services and processes around the people whom we serve, around the businesses whom we serve.[+7 sentences] Now, this is fundamental. The rest will follow from here. So, as mentioned, digital is a tremendous opportunity for the Public Service to embrace to better deliver our services in a more integrated fashion, at a faster speed, at a lower cost. And we have heard many examples of this with the MOL app and also the GoBusiness app and I will not repeat what Minister Vivian Balakrishnan and Senior Minister of State Janil Puthucheary have mentioned. The second thing that we can expect with this mindset shift would be the cross-training of our officers to deliver services in an integrated manner. Our Tampines Hub is a great example. Various public agencies have come together to, first, co-locate and provide convenience to residents seeking services across different agencies. Today, we have moved on whereby a single officer has been cross-trained to provide services across different agencies.[+5 sentences] This is the direction that the Public Service will continue to go in order to deliver quality services to the residents who need help. So, someone who needs help, from financial assistance to housing to employment, can approach the same officer with the same understanding so that he does not need to repeat the story over and over again. So, this is the second example of how the mindset shift has gone on in the Public Service. The third shift that we can expect from the Public Service is this. The Public Service is no longer just an agency trying to prevent things from going wrong or bad things from happening. When the Public Service partners our businesses, we are in real partnership with them to catalyse new ideas to enhance their competitiveness for Singapore.[+2 sentences] Now, this is a very different mindset shift. When we work with a startup, it is not about the startup trying to fit into the current regulations. The regulators also need to change their mindset whereby they embrace the startup culture to see how regulations can evolve to become a key competitive advantage for Singapore.[+18 sentences] So, the public can certainly expect a more integrated and more efficient Public Service. But what I want to end off on this part is what Mr Cedric Foo mentioned. No matter how technology-dependent we will be, we will never forget that at the core of the Public Service is the heart for our people. The way we design the services, the way we design the app, be it for the young or the old, is to make sure that the service is delivered with the heart. For people who need the service but are unable to access technology, we will make sure that the processes are simplified, the service delivery is integrated, so that they will never be left out. And that is how we want to design an inclusive Public Service. The second part of my speech will, therefore, touch on what the Public Service officers can expect. With the changes in public expectations, with the change in job scopes, we will certainly need to change the skillsets of our Public Service officers. I have mentioned this on various occasions and the Prime Minister has also mentioned this during the inaugural Annual Public Service Leadership Dinner in the earlier part of this year. Today, we expect Public Service officers not just to be savvy in policymaking, but we also expect them to be good in translating policies into operations, have the ability to communicate and mobilise the public to come and work together to deliver results. And we want our public officers to have a sense of what is going on beyond Singapore, beyond the Public Service. These are the new skillsets that we expect all Public Service leaders to have and this will be how we form leadership teams within the Public Service. One of the things that we will also change is to more regularly rotate Public Service officers across different domains and even within the same domain. Across different domains, I have mentioned, in that four domain areas – policymaking, operations, communications and mobilisations and international or beyond Public Service exposure. The second thing that we want to do is to make sure that they have the ability to rotate more even within the same domain and this will address one of the points that Dr Teo Ho Pin mentioned. How do we make sure that we check our own blind spots even if we are doing the same job? For example, in regulatory matters, by being able to go to different agencies and see how different regulatory ideas are applied, will allow our public officers to be much more responsive, much more agile. The third thing that we can expect our public officers to do is this. If we have a 50-year career for the Public Service officer, we must make sure that they have the training that can allow them to have lifelong employability, as Mr Patrick Tay has also mentioned.[+3 sentences] And this will require us to structure their training such that every few years, there will be a booster jab in their skills. When we ask our Public Service officers to be agile, it cannot be at the age of 40s or 50s. It must be done systematically, from age 20 and above. Next, we will also challenge our Public Service officers, especially those in leadership positions to go beyond the Public Service, that they will have regular stints beyond the Public Service to expose themselves to the challenges that the private sector and the people sector have.[+1 sentence] But at the same time, to also bring back good ideas that the public sector may not yet have that are now in the private sector or the people sector or, for that matter, also even in the international organisations. PSD will make sure that we organise ourselves to systematically rotate our officers within the Service, across domains and beyond the Service. Next, we will also make sure that there is greater porosity in the Public Service, from the way we recruit people, beyond just academic qualifications, to the way we develop people and post people throughout the entire lifespan that they are here.[+11 sentences] Having dealt with all the changes that we can expect from the Public Service, I must reiterate one point. While the methods can change, the technology can change, the values of the Public Service will not change. The values of service excellence and integrity will never change in the Public Service. Service beyond self, the interests of the country and our people must always come before the interests of the individual officers. The pursuit of excellence is not just for today but always being able to anticipate the challenges of tomorrow, put in place systems and processes before the challenges even arise. And finally, integrity. Integrity to do what is right for this generation and for the next. Just as Deputy Prime Minister Heng Swee Keat says, our definition of success is not just how well we deliver for this generation but also for the next. Integrity also to know that there is no such thing that we are at our best. That is, only that we will continue to improve to bring about a better of life for Singaporeans and for a better Singapore. So, we will keep engaging the ground, keep improving our processes, keep improving the skillsets of our Public Service officers, in order for us to deliver on a better Singapore, a stronger Singapore and a better future for all of us.
The Chairman5 words
[+2 sentences]Any clarifications? Mr Louis Ng.
Mr Louis Ng Kok Kwang150 words
[+8 sentences]Sir, I just wanted to ask Minister Josephine Teo about the childcare sick leave. I understand that we are reviewing it but I am just wondering if we can also review and look into what other countries are doing. There is a long list of countries that are providing the childcare sick leave – I would not read the whole thing – there is Australia, Canada, Denmark, France, Germany, Israel, Italy, Japan, New Zealand, Norway, Russia, South Africa, Switzerland. It is a much longer list. In the interest of time, I would not read them all. But I am just wondering whether PMO can study what other countries are doing, see how successful it is, see how they implement it and then we can do a proper review. I think the Minister once said that all good things will be considered. This is a good thing that should be considered.
Mrs Josephine Teo121 words
Mr Chairman, the short answer to Mr Louis Ng is yes.[+2 sentences] We do actually study and we study them holistically, too. The Marriage and Parenthood Support measures, they do work in concert with one another and they have to work within the context of each country. And in our case, what is even more relevant is to reach out to the young people themselves and ask them what is it that they are looking for. And they have been consistent in telling us: help us with housing, help us with preschool, help us with healthcare and, very importantly, help us to achieve more FWAs.[+1 sentence] So, we will look at all good suggestions in the context of what our young people want.
The Chairman3 words
[+1 sentence]Mr Leon Perera.
Mr Leon Perera109 words
[+7 sentences]Sir, just a small clarification to Minister Chan Chun Sing. If I understood Minister Chan correctly, he said that there are three considerations for determining the functions within PMO. And I think the third point was that functions are sometimes incubated and then transferred to a Ministry where there is a more natural fit with the domain of that Ministry after a certain period of time. So, firstly, is that understanding correct? Secondly, where does that leave us in terms of functions that have been there for a very long time, for example, NRF? It is under PMO. I think that has been there for quite sometime vis-a-vis MTI.
Mr Chan Chun Sing147 words
[+1 sentence]I thank Mr Leon Perera for that. On NRF, I would just like to clarify that NRF does not just serve economic functions.[+6 sentences] The NRF also conducts research in many other things, for example, ageing and societal forces as well. So, there is a good reason why NRF resides under PMO. Having said that, NRF works very closely with MTI and, of course, the Agency for Science, Technology and Research (A*STAR) which is under MTI for the economic portions of it. So, whether it is the future of decarbonisation, the future of our bio-medical industries, they work very closely. We have also a very simple way to make sure that this is coordinated closely between NRF, A*STAR and MTI because the Chairperson of A*STAR is also the Permanent Secretary for NRF. If the two organisations have any issues, then it is actually internalised within the leadership team.
The Chairman3 words
[+1 sentence]Mr Pritam Singh.
Mr Pritam Singh219 words
[+16 sentences]Chairman, I have two questions and one clarification. The two questions are for Minister Josephine Teo. I thank the Minister for her speech at the PMO COS debate covering population issues. Two points I raised in my cut. The first was the number of PRs that do not transition to citizenship. I think there was some very helpful data that was released in the Population in Brief document from September last year that tells you at what age group these PRs are at. But what about those who do not transit to citizenship? What are those numbers like? The second clarification pertains to the question I had on integration. I think the Minister also restated the point that new immigrants have to play their part and get involved. But on the flip side, we have two or three decades now of immigration experience. What are some of the points that the immigrants themselves raised? What are the issues that they had in integrating with the community? The third point is a clarification for Minister Vivian Balakrishnan. I think Minister Vivian Balakrishnan said that Senior Minister of State Janil Puthucheary was going to say something about smart lamp posts but I do not believe the Senior Minister of State said anything about that. So, I am just clarifying that point.
The Chairman11 words
[+2 sentences]I think they were running out of time. Minister Josephine Teo.
Mrs Josephine Teo281 words
Mr Chairman, with regard to PRs, I think the important thing is that the PR population has been quite stable.[+18 sentences] It has been about half a million; we have basically kept it at that level. There will always be a certain number that may take a while before they decide to become citizens. If they leave Singapore and do not return for a long period of time, then their re-entry permits could be cancelled. As they become citizens, the length of time they take to become citizens does not matter. Some take a shorter time; some take a longer time. Sometimes, it is a matter of thinking about it themselves, because it is hard to eventually make that transition. In some cases, they move faster. I think the important thing is that we have kept the PR population stable. Then, to the Member's other question, I think this is with regard to integration as to what do the new citizens themselves say about the challenges of integration. The practical thing will be that social habits are different. Singapore has high density living, and most will live in public housing, very close to their neighbours. That is why a lot of the emphasis on integration is carried out through the People's Association, which has the ability to reach to a large number of citizens. This includes new as well as long-time citizens. The other is a very interesting observation. It is almost certainly that second generation citizens acquire the features of local life very quickly. And it is through the second generation that they themselves become naturalised. I think this is not unique to Singapore. It is true of many different countries.
The Chairman3 words
[+1 sentence]Minister Vivian Balakrishnan.
Dr Vivian Balakrishnan72 words
[+3 sentences]I hope collectively, we have addressed the Member's concern about data security and privacy, and the need to get that balance right in order to maintain public confidence. Senior Minister State Janil Puthucheary may not have mentioned lamp posts specifically, but he did talk about security. And I think this House is also aware of the overarching policy and legislative framework for data security, both within Government and in the private sector.
The Chairman3 words
[+1 sentence]Mr Cedric Foo.
Mr Cedric Foo Chee Keng57 words
[+4 sentences]Chairman, this question is for Minister Chan. Historically, many Government agencies and Ministries design systems and processes from their points of view. I think the public will be well-served if Government agencies can think "the other way around" and try to design processes from the citizens' or businesses' points of view. Does PMO intend to achieve this?
Mr Chan Chun Sing493 words
[+3 sentences]Mr Chairman, indeed, we totally agree with what Mr Cedric had said. And that is my point. We need to turn this around. It is easy, it is usual for people to think from their own perspective – how do people fit into my Ministry's policy objectives? So, from the exercise in designing the MOL and equivalent apps, we have turned this around.[+3 sentences] We have asked people, "If you are a parent-to-be, what are the questions that you would want answered? What are the services that you would want?" We do what we call a Service Journey. The officers, together from different Ministries and agencies, will walk the entire journey and imagine themselves in the shoes of the people that they are going to serve.[+2 sentences] And from there on, all their services will be designed around making it more convenient for the people that they are serving. That is how we have been able to achieve breakthroughs in the MOL app and even Our Tampines Hub. But there is another very important element that we are putting our officers through. It is what we call empathy training or empathy design.[+14 sentences] How we lay out the services to welcome the residents whom we serve, how we design the processes that they have to go through. That requires training. It is not an after-thought. How our officers speak to the residents is also an acquired skill. In order to do that, we make sure that our Public Service leaders walk-the-talk. We make sure people, right from the leadership level, take the lead, by going onto the ground to serve the residents. So, we have many examples of this whereby even Chief Executives and the leadership team will be at the service counter serving the residents, seeing how the residents respond to the policies from different agencies, what are the challenges and how we can redesign the processes to do better. We have senior officers, for example, in the communications department and various other public officers walking the ground on weekends, talking to ordinary Singaporeans, hearing their feedback first-hand, unfiltered. This is part of the work that the feedback unit Reaching Everyone for Active Citizenry @ Home (REACH) officers are doing. But it is not just the REACH officers that are doing this. Actually, many of our officers whom I am very proud of volunteered to do this so that they can go to the ground and hear for themselves first-hand how people are responding and reacting to the changes that they make. So, it is design upfront, change in their mindset and training of the officers in order to deliver a much more empathetic Public Service. Sorry, Mr Chair, can I just give an example to Mr Leon Perera? I talked about incubation and then, subsequently, we transfer it. The Municipal Service Office (MSO) is one good example.[+1 sentence] MSO started in PMO; now, it has gone on to MND when the capabilities have been matured.
The Chairman9 words
[+1 sentence]Mr Seah, would you like to withdraw your amendment?
Mr Seah Kian Peng167 words
[+3 sentences]Mr Chairman, on behalf of all Members who spoke, I wish to thank Senior Minister Teo Chee Hean, Ministers Dr Vivian Balakrishnan, Mrs Josephine Teo, Mr Ong Ye Kung and Mr Chan Chun Sing, and Senior Minister of State Janil Puthucheary, for their comprehensive and assuring responses on matters ranging from climate change, population challenges, Smart Nation initiatives and the Public Service. I would like to take this opportunity, too, to thank all the men and women, not just in PMO, but the entire Civil Service for their good work, their hard work and their consistent work, day in, day out, 366 days in a year – this, being a Leap Year. With that, I beg leave to withdraw my amendment.
Mr Speaker57 words
[+4 sentences]Order. I propose to take the break now and I will take the Chair at 4.40 pm. Sitting accordingly suspended at 4.20 pm until 4.40 pm. Sitting resumed at 4.40 pm
Committee of Supply – Head M (Ministry of Finance)›Budget36 turns · 10,467w
· 71 highlighted
budget-1298
Mr Liang Eng Hwa (Holland-Bukit Timah)465 words
[+3 sentences]Mr Chairman, I beg to move, "That the total sum to be allocated for Head M of the Estimates be reduced by $100". Sir, I sit in Parliament’s Public Accounts Committee (PAC). Every year, the Committee would scrutinise the findings listed in the Auditor-General's report. While we do not expect zero gaps and weaknesses for a government machinery of this scale and complexity, what concerns the PAC Members is that many of the audit issues brought up in the Auditor-General's report were recurring items that happen year after year.[+1 sentence] For example, lapses in procurement and contract management, weaknesses in information technology (IT) controls and gaps in management of grant programmes. Some of the lapses this year concerned the PAC Members so much that Permanent Secretaries from four Ministries were also asked to meet the Committee to explain the reasons for the lapses and what are the detailed follow-up measures taken to address the lapses. The PAC was concerned that given the increasing size and complexity of the work in the public sector, such lapses, if not addressed fundamentally, may compound over time and weaken the governance and accountability over the judicious use of public funds and resources.[+10 sentences] Can I ask the Minister on the role that the Ministry of Finance (MOF) plays in ensuring good governance and accountability within the Public Service? How does MOF ensure that value-for-money practices and culture are strongly embedded in the Public Service? Also, does the Public Service track and measure the effectiveness of Government spending for better decision-making? Sir, Budget 2020 clearly demonstrated that prudence and disciplined financial management will always pay off for Singapore. The accumulated surpluses in the last four years for this term of Government gave the Finance Minister the fiscal firepower and the critical resources to decisively respond to the virus outbreak and help businesses and Singaporeans that are impacted by the crisis in a timely way. We have very ambitious spending programmes and plans in the decade ahead, including big-ticket infrastructural items like the Cross Island Mass Rapid Transit (MRT) line, Terminal 5, the ramp-up in healthcare infrastructure, climate change adaptation projects and so on. How do we ensure that the Government will spend carefully and prudently on these mega items? Given its complexity where the projects may cut across Ministries and agency lines, how would the Government ensure that there will be no overlapping of efforts and costs? Are there clear working protocols established to streamline and harmonise the whole-of-Government efforts here? Finally, I would like to ask the Minister to update on efforts to transform the Public Service processes, in particular, how MOF intends to leverage digital capabilities as well as the community partners to deliver more thoughtful and joyful services to businesses and to citizens.
Mr Saktiandi Supaat (Bishan-Toa Payoh)145 words
[+2 sentences]Mr Chairman, fiscal sustainability and accountability and the use of public funds are important. So, good financial stewardship is essential for Singapore for the years ahead, given the more challenging environment we have for many years down the road. In the Budget, the Deputy Prime Minister highlighted plans to set aside funds for an initial injection of $5 billion for the new Coastal and Flood Protection Fund, $1 billion for building up the Government’s cyber and data security capabilities and there are also further plans to build new housing estates, increase the green cover in the residential estates and so on.[+2 sentences] These are all major projects that will be implemented over a number of years. How are we ensuring that the Government spends prudently and appropriately on big-ticket infrastructure and IT projects such that our financial stewardship would be put in good stead, going forward?
Ms Foo Mee Har (West Coast)346 words
[+4 sentences]Mr Chairman, with the anticipated rise in expenditure, it is important that the Government ensure fiscal sustainability and accountability. Singapore's strong financials have been instrumental in enabling the country to carry out audacious development projects, as Deputy Prime Minister Heng Swee Keat said just now. So, what is the scope, within our budgetary mechanisms, to ensure this trajectory and to ensure inter-generational equity, balancing the needs of current and future generations, especially for big-ticket items like infrastructure and climate change? Most fundamentally, a healthy and growing economy will be crucial to ensuring a healthy revenue stream. The Government has invested substantial funds to support firms to transform and grow under the Industry Transformation Programme (ITMs).[+9 sentences] The Government has also allocated a significant share of the Budget to research and development (R&D) and Research, Innovation and Enterprise (RIE) investments. I would like to ask the Minister what measures are used to determine if these investments are, indeed, bearing fruit: what key performance indicators (KPIs) are used to track progress and success? What has the impact of investments in R&D been in elevating and positioning Singapore for the future and in supporting industry transformation? Sir, Government Ministries can also contribute to the sustainability of Government finances. They should be expected to practise prudence in their spending and seek the best value for the money they put into their projects. I would like to ask the Minister what budget mechanisms and controls are deployed to manage expenditure growth in Government, ensuring efficient and effective spending of public monies and the sharing of best practices. How does MOF ensure value-for-money is the responsibility of every Ministry and every public officer? I would like to ask the Minister what incentives there are for Government officers to under-spend their budgets and continuously achieve savings in projects and initiatives for which they are responsible? What mechanisms are in place to ensure budgets are efficiently and effectively allocated, and to what extent can the whole-of-Government approach be used to explore cost synergies and cross-agency collaboration, in order to avoid duplication of effort and cost?
Mr Leon Perera (Non-Constituency Member)496 words
Mr Chairman, Sir, in 2017, I asked a Parliamentary Question about succession planning in Temasek Holdings.[+4 sentences] The reply was that these matters are to be dealt with by Temasek's Board and the Government does not interfere because Temasek operates as a commercial entity. In 2019, my Parliamentary colleague Mr Png Eng Huat asked about whether remuneration bands can be disclosed for senior officers in sovereign wealth funds (SWFs). And again, the reply was similar. The reason this is problematic is that the two entities are not privately-held commercial entities in which case the stance would be understandable, but public ones managing public funds. The public has a legitimate interest in understanding, for instance, why Chief Executive Officer (CEO) succession was deemed to be enough of a priority in 2009 to appoint a CEO-designate, and yet, there has not been any concrete movement or succession on the 11 years since then, in spite of what one must assume would be no lack of suitable candidates internally or externally, or whether remuneration given to top executives is consistent with market norms and represents good value. In contrast, the Singapore code of corporate governance calls on listed companies to disclose total remuneration paid to the top five key management personnel.[+12 sentences] A 2018 study found that close to 70% of Singapore-listed companies did so. The Singapore Exchange (SGX) and most of the exchanges do not take the view that the disclosure of such information is unnecessary in the public, and shareholders only need to know past financial performance and nothing else, because such disclosure has a bearing on likely future performance and risks, among other reasons. SGX Regulation Chief Executive Tan Boon Gin said, and I quote, "Shareholders, especially minorities, deserve to know why company directors and executives are paid the way they are." "The Board and Management, therefore, owe it to investors to explain the link between performance and remuneration." The same reasoning would apply to our SWFs because the Government is the shareholder, the people of Singapore are, by implication, stakeholders. In the case of the Norwegian SWF, the government questioned the rising operating expenses of the SWF publicly. The compensation of the CEO and Chief Information Officer (CIO) of the Norwegian fund are publicly known. In passing, let me note that I am not holding up the Norway model as one we should emulate in all respects. That is not my point. I am also not calling for Government interference in the commercial operations of the SWFs. That is not my point. I would like to ask how Singaporeans are able to obtain a reasonable degree of accountability and transparency over matters relating to business succession and top executive compensation at our SWFs which manage hundreds of billions of dollars of public funds. Would the Government consider, at the very least, allowing a bipartisan Parliamentary Committee to interview the key personnel from these SWFs once a year so that there is some degree of accountability to legislators?
Mr Lee Yi Shyan (East Coast)277 words
[+1 sentence]Mr Chairman, Sir, one of the key trends shaping Singapore's future is the rapid advancement of technology. artificial intelligence (AI), fifth-generation (5G) high-speed mobile connectivity, robotics and blockchain and so on, are poised to disrupt existing industries, eliminating jobs and create new ones. According to McKinsey, applying AI to nine business functions in 19 industries has the potential to create between US$3.5 trillion and US$5.8 trillion in value annually.[+7 sentences] Growth projections for 5G, robotics and blockchain technology applications are similarly breathtaking. Traditionally, economic development is predominantly the responsibility of the Ministry of Trade and Industry (MTI), but increasingly, several other Ministries are overseeing vertical domains which are filled with opportunities for innovation, technology applications and industry development. For instance, the Ministry of National Development (MND) has deep knowledge of planning a smart and sustainable city, the Ministry of Communications and Information (MCI) for smart nation, the Ministry of Transport (MOT) for driverless transportation, the Ministry of the Environment and Water Resources (MEWR) for clean energy and water solutions, the Ministry of Finance (MOF) for Fin Tech, and the Ministry of Health (MOH) for telemedicine. In all these areas, problem-solving will require multidisciplinary knowledge employing the new technologies I just mentioned. These Ministries are in a very good position to champion R&D applications and industry development in their respective domain expert areas. Would MOF, therefore, consider, when allocating budgets to Ministries, set aside a certain percentage of the Budget for Ministries to take on mandatory industry development roles, including technology planning, R&D and enterprise development within their vertical domains? After all, building an advanced knowledge economy is a complex task well beyond the expertise of any single Ministry.
The Chairman10 words
Mr Louis Ng, you can do both your cuts together.
Mr Louis Ng Kok Kwang (Nee Soon)218 words
[+1 sentence]Sir, MND stated that "single unwed parents are valued citizens and, like all parents, are respected for the love and care they provide for their children. They are no less a mother or a father just because their child was born outside of marriage." Why do they not then get the parenthood tax rebates like other parents?[+10 sentences] MND also stated that "every parent, regardless of their marital status, ought to be treated with respect." Our policies can help end the discrimination. It is time to level the playing field and treat single unweds with respect. As citizens, they should qualify for the Parenthood Tax Rebates like all other parents. The Working Mother's Child Relief rewards families with children who are Singapore Citizens. Why leave out single unwed families? Why only encourage married women to remain in the workforce after having children? It is strange that we do not want single unwed women to remain in the workforce after having their child. Why discriminate, even after MND has stated again that "every parent regardless of their marital status, ought to be treated with respect"? Let us respect single unwed mothers who look after their children single-handedly and remain in the workforce despite all the difficulties. Will MOF consider allowing single unweds to qualify for the Working Mother's Child Relief?
Mr Png Eng Huat (Hougang)343 words
[+8 sentences]Sir, no one likes to raise a child alone, be it the mother or the father who has to take on the role by choice or by fate. Whether it is the case of a failed marriage or the untimely death of a spouse, the burden and responsibility of single parenthood is a long and arduous journey to undertake. I have seen a number of single parents at my Meet-the-People sessions over the years. While most of them were women, there were single fathers who came along with the children in tow. The story they share about raising their children all by themselves is a story of love and perseverance. A story that highlights the need and importance to have a support network comprising their extended family, friends and even enacted policies to make single parenthood work for them. Recently, a single father wrote to me to share his experience about raising his two young children. While he works hard to put bread on the table for his young family and to provide for his aged parents, he found out that the taxman does not really recognise his role and effort as a single father. While the role and responsibility of being a single parent are not any lesser for a single father, the taxman does not treat a male taxpayer in the same light as the opposite gender when it comes to claiming for Foreign Maid Levy (FML) Relief.[+4 sentences] While this single father can work out the apportionment of the Qualifying Child Relief with his ex-spouse, there is no levy relief for him if he hires a foreign domestic helper to look after his young children. This single father would fit the criteria for FML relief to the letter, except for the fact that he is of the wrong gender. Anyone in his shoes would certainly use whatever that is out there to stretch his hard earned dollar to feed his family. I hope the Ministry can look into addressing this disparity soon. The Foreign Maid Levy Relief has to be gender-neutral.
Ms Foo Mee Har134 words
[+7 sentences]Chairman, Sir, the Public Accounts Committee observed, in its latest report to Parliament, that it is concerned about recurring lapses in procurement and contract management. Government agencies were directed to urgently address these recurring lapses and basic mistakes. They need to prevent weaknesses from compounding over time, and thus weakening governance and accountability for usage of public funds and resources. I would like to ask the Minister how can Government procurement policies and processes be made more streamlined and effective, so that the value of spend is maximised? What training do Government procurement officers undergo, in order to ensure that they are fully conversant with the relevant policies and processes? What consequences do the officers-in-charge and management face for lapses in enforcing controls? How can the identified lapses be addressed at a whole-of-Government level?
The Chairman10 words
[+1 sentence]Mr Henry Kwek, you may take both your cuts together.
Mr Kwek Hian Chuan Henry (Nee Soon)264 words
[+4 sentences]Mr Chairman, Sir, the Singapore Government is at the forefront of public policy formulation and implementation. It is also one of the largest procurers of goods and services. Naturally, it constitutes an important demonstration platform and springboard for many companies, especially for small and medium enterprises (SMEs) and startups, that want to deliver innovative solutions for Singapore and beyond. This is especially so for smart city, climate change and e-services. Can MOF share how we can enhance the Government procurement approach to enable SMEs and startups to develop innovative solutions and, in doing so, also help them to grow?[+10 sentences] This is especially so, as it is imperative to grow new companies in Singapore for the next phase of our economic development. Can MOF also share on how we will inform companies of such efforts? As the needs of our society grow more diverse and complex, it is inevitable that more regulations are needed to safeguard Singaporeans in different ways. At the same time, more regulations mean more processes and greater compliance costs. This represents added costs and, potentially, lost productivity to businesses. I have spoken on this issue on a number of occasions in the past. I am heartened that over the years, the Government also recognises this issue. It has formed the Pro-Enterprise Committee and achieved positive results in cutting red tape. Nevertheless, this is a never-ending marathon. Can MOF share on how, as part of the Singapore Together movement, MOF and the greater, larger Government agencies can partner businesses on co-creating solutions to reduce compliance costs and streamline processes for greater productivity?
The Chairman8 words
[+1 sentence]Mr Saktiandi, you may take both cuts together.
Mr Saktiandi Supaat248 words
[+4 sentences]Mr Chairman, the Coronavirus Disease 2019 (COVID-19) situation we are facing now has highlighted the importance of digitalisation for work and daily household processes. Being able to perform many tasks from home has helped to reduce the necessity of gathering and queuing in public places. In regular times, digitalisation of existing Public Service processes has brought extensive convenience to citizens and businesses. Checking our Central Provident Fund (CPF) balances, obtaining information about housing grants, submitting a tender for a public project and so forth have become so easy they can be done from our computers and smartphones. How has MOF tapped on digitalisation to enhance its service delivery and interactions with businesses and citizens?[+4 sentences] How does it engage the older generation who may experience a steep learning curve and may need the necessary devices to benefit from this digitalisation? During COVID-19, we saw many heart-warming instances of individuals, organisations and businesses performing acts of kindness, from individuals setting up hand sanitisers for their communities, to businesses giving away masks and organisations persevering with their regular food distributions. Singaporeans also donated generously to organisations in need. It is a reminder of how much we can achieve together. As part of the Singapore Together movement, how has MOF increased partnership and co-creation with citizens, businesses and the community in delivering solutions?[+1 sentence] How can the Government work together with Singaporeans, stakeholders and partners to ensure that we can inculcate the society and people with empathy, care and strength to overcome challenges?
Miss Cheryl Chan Wei Ling (Fengshan)485 words
[+7 sentences]Chairman, Sir, the number of ground-up initiatives supporting the community and underprivileged have increased over the years. In part, it was contributed by greater social awareness, corporate social responsibility and more funding channelled to support these causes. I commend all the immense good efforts and initiatives that everyone across the country has contributed to benefit the different individuals amongst us. I ask that we do not stop here and continue to do more. We have been on the journey of promoting digital services. For a while, the focus had been on our seniors and keeping them abreast of digital application. As we continue to bring more on board this digital journey, I feel that another group of people who will benefit immensely are people with special needs. Under the Singapore Together movement, how can the Ministry enable more partnerships with the community and businesses to co-create, deliver solutions and build a more caring and resilient society?[+8 sentences] I encourage the community and businesses to use their knowledge, technology, tools and people network to strengthen this partnership in helping people with special needs. I ask we particularly look at some aspects in their life journey. First, lifeskills for independent living. People’s adaptability to changes varies. For those with special needs, more patience and efforts are even required on their part. To assume responsibility in managing their life, they need more intuitive systems and aid. With big data, there can be analysis done to provide reference for them on how to do certain things or automate it for them. Second, healthcare insurance. Today, people with special needs face insurance discrimination for declaration of their medical conditions.[+2 sentences] It is not easy for them to get coverage for some basic investment policies, much less medical coverage. By precluding them, they are not just financially worse off but it makes it even harder for them to take stewardship of their health in old age. MediShield Life and soon-to-be-introduced CareShield Life will help, but they may not apply for all, depending on conditions.[+9 sentences] Further, not all their health issues require hospitalisation. Finally, for regular check-ups and therapies, what additional funding and support are available? Third, financial management. Planning is of utmost importance and how to do it becomes critical for people with special needs to learn in order to minimise risk and disruption in their lives. Before investments and housing needs, they could require lessons on financial budgeting around necessities versus good to have, understanding what is genuinely good for their well-being, and prioritising to prevent straining their own resources. Lastly, social life. Moving out of the comfort zone in communal setting is not the easiest for many of them. We should try to break through social stigma at the workplace, community and family, and increasingly integrate them into our society. Build emotional and relational connections with people of special needs and give them a safe and respected environment to be in.
The Chairman4 words
[+1 sentence]Second Minister Lawrence Wong
The Second Minister for Finance (Mr Lawrence Wong)2729 words
[+4 sentences]Mr Chairman, I thank the Members for their questions and comments for MOF. Members’ cuts cover three broad topics: first, fiscal sustainability and accountability; second, transformation of Public Service processes; and third, enhancing service delivery to be more business- and citizen-centric. I will speak on the first topic, as well as the questions on Reserves and tax matters. Second Minister for Finance Indranee Rajah will cover the other two topics. The COVID-19 virus outbreak and its economic fallout are a timely reminder of why it is critical to ensure long-term fiscal sustainability.[+25 sentences] We are a small country with no natural resources, exposed to global forces beyond our control. As Mr Liang Eng Hwa highlighted just now, our prudent fiscal strategy has provided us with the resources to respond promptly and decisively to crises, and also to continue investing for the future and for the long term. Such resources did not come about overnight. They were built up over several decades. They were the result of prudent fiscal policies put in place by our pioneering leaders. So, it is imperative that we continue to uphold this sound fiscal approach in order to maintain our strong financial position. In particular, as Ms Foo Mee Har mentioned just now and I think Mr Cedric Foo also said earlier in the Budget Debate, every generation must contribute its fair share and not leave an undue burden for the next generation to bear. This is why we must continue to pay for recurrent needs with recurrent revenues. That is why, every year, when we prepare the Budget, we do not come to Parliament to appropriate monies just for the sake of spending every cent. Instead, we look at each project on its merit, we spend on what we deem to be cost-effective, and then if there are any savings, we set these aside for anticipated future needs, as we did this year. We set aside some amount of money for climate change. Upholding such financial prudence and discipline is a reflection of our commitment to Singaporeans, not just the present generation of Singaporeans but, as Deputy Prime Minister said just now in the Budget round-up speech, it is also a reflection of our commitment to future generations of Singaporeans. A key part of our prudent fiscal system is to have a resilient and diverse revenue base, as well as to have effective and value-for-money public spending. So, I will elaborate on each of these. First, on the revenue side. As Ms Foo Mee Har highlighted, a healthy and growing economy is crucial to sustaining our revenues. This is why the Government invests upstream to build capabilities of Singaporeans and to provide maximum opportunities for Singaporeans to excel. This is how we can continue to enlarge and grow our economic pie. Mr Lee Yi Shyan asked whether Ministries play a role in industry development and contributing to economic growth. In fact, this is already the case. While MTI is the lead agency for the economy, various Government agencies do take on sectoral lead roles. For example, as all Members would know, MAS oversees the financial services sector; the Infocomm Media Development Authority (IMDA) looks at industry development for the IT sector; and the Building and Construction Authority (BCA) takes care of the built environment, and so on. All in all, we have 23 ITMs and we have set aside budgets for the respective lead agencies to support the implementation of the ITMs that would include technology adoption, R&D and industry development. All of this work is coordinated under the Future Economy Council. To Ms Foo Mee Har’s question on the progress of our investments into economic transformation, we are starting to see these efforts bear fruit. In the last three years, overall productivity growth, as measured by real value-added per actual hour worked, rose to 2.6% per year, up from the 2.2% per year in the preceding three-year period.[+3 sentences] Real median wages have also gone up. Ms Foo Mee Har also asked about the impact of our R&D investments. The National Research Foundation (NRF) recently completed its mid-term review of the RIE2020 Plan, and this RIE2020 is on track to meeting its outcomes, such as in supporting industry growth and catalysing greater innovative activities in the private sector. As at end March 2019, our RIE investments have supported the creation of more than 5,500 industry jobs. Business expenditure in R&D has grown steadily since the start of RIE2015, from $4.5 billion in 2011 to $5.6 billion in 2018, or an increase of about 25%.[+7 sentences] In less than two years, RIE2020 has also exceeded the target of supporting more than 250 successful startups. So, we are seeing positive results, but there is always room to do better. And all Government agencies are fully aware that they must continue to achieve maximum value from the public funds they are entrusted with, so as to keep transforming our industries and sustaining economic growth. Next, on the expenditure side. Just as we want to grow our revenues, it is equally important to ensure that our spending is prudent, efficient and cost-effective. Ms Foo Mee Har asked about the Budget mechanisms in place to manage expenditure growth and to incentivise public officers to achieve savings. Our Block Budget Framework sets a spending cap for Ministries. In 2017 and 2018, we reduced both the spending cap and the annual growth rate of the block Budgets, to further manage expenditure growth.[+3 sentences] Within this Block Budget Framework, if Ministries have any savings, they can roll over part of the savings from the operating budget to the next financial year. For big-ticket items, such as infrastructure and infocomm technology (ICT) projects, which Mr Saktiandi Supaat and Mr Liang Eng Hwa spoke about, MOF applies additional scrutiny to evaluate such projects for their worthiness and cost-effectiveness before embarking on them. Large infrastructure projects, like the coastal protection infrastructure that Mr Saktiandi Supaat mentioned, would be reviewed by a panel of technical experts from the private and public sector and academia, before they are given the go-ahead. Over the past five years, these processes have led to design improvements and generated savings of about $3.5 billion for infrastructure projects.[+3 sentences] Take the Cross Island Line (CRL), for example. The depot for CRL at Changi East was initially planned to be underground to optimise above-ground land use. After working with the Land Transport Authority (LTA) and agencies to evaluate the costs and benefits of this approach, agencies found a way to site the depot above ground with reduced engineering risks and at lower cost. Similarly, through the review processes for ICT projects, we have been able to achieve cost savings of about 6%, or $900 million, over the past five years. To further strengthen our scrutiny over ICT spending, we will be inviting industry experts to form an ICT advisory panel to benefit from their private sector perspectives in the evaluation of major Government ICT projects.[+11 sentences] For issues that may not fall neatly within a specific agency’s domain or area of responsibility, we agree with Ms Foo Mee Har and Mr Liang Eng Hwa that agencies do need to collaborate to avoid duplication of efforts and costs. To facilitate this, MOF has set up joint programme budgets for cross-cutting areas, like ICT and Smart Systems, cybersecurity and RIE. For example, the cybersecurity programme budget was put in place by MOF, Cyber Security Agency of Singapore (CSA) and Smart Nation and Digital Government Office (SNDGO) to improve coordination, discipline and prioritisation for the build-up of whole-of-Government cybersecurity programmes. So, this sort of partnership helps the Government to make more informed and robust resourcing decisions as a whole. MOF will continue to identify areas that warrant such multi-Ministry or multi-agency approaches and set aside joint programme budgets, where necessary, to get agencies to work together for more effective outcomes, rather than to do so in their individual agency silos. Ultimately, while budgeting mechanisms can facilitate discipline in the way we use public monies, the best way to ensure prudence and effectiveness is to instil a value-for-money (VFM) mindset in every public officer, as Ms Foo Mee Har and Mr Liang Eng Hwa rightly highlighted. Again, this is a continual work in progress, but we have seen improvements over the years. Take MOT as an example. It sets outcome-based KPIs, such as percentage of commuters' journeys completed within 45 minutes. So, there are clear outcomes for its spending. MOT also conducts VFM workshops for its officers to share ideas and best practices, and has its very own Ministry’s VFM Awards for projects that generate significant dollar savings and benefits for citizens. One LTA project that recently won the MOT VFM Distinguished Award is the Smart and Energy-Efficient Street Lighting System which provides higher energy efficiency, as well as reduced manpower and time to detect and rectify defects. This led to cost savings of about $4 million every year.[+5 sentences] A key part of ensuring every dollar has been well-spent is tracking and evaluating the effectiveness of our spending, and we do so by setting KPIs upfront during policy design so that spending is tied to the desired outcomes. Then, we review the policies regularly to ensure that they are on track to fulfil the outcomes. Take the KidSTART programme as an example. The Early Childhood Development Agency (ECDA) started this as a pilot in 2016 targeting to benefit about 1,000 children, with carefully designed indicators and a clear evaluation plan. Since then, the team has been monitoring outcomes, such as child developmental milestones, preschool attendance and quality of parent-child interactions, to assess the programme's effectiveness. Based on the preliminary results and positive feedback, the Government and MOF had the confidence to expand KidSTART to benefit another 5,000 children over the next three years.[+15 sentences] Thereafter, we will take stock again to see how we can expand KidSTART further. So, this example illustrates the approach we take, how we scale up progressively, relying on data, evidence and learning points to improve the programme, and then, constantly review the effectiveness of public spending. Mr Liang Eng Hwa earlier shared about his work as a Member of PAC. Let me thank him and PAC for their hard work in scrutinising public expenditure. Addressing lapses that Mr Liang Eng Hwa and Ms Foo Mee Har mentioned is a continuing effort that requires balance between controls and efficiency. Like any large organisation, we recognise that it will not be possible to achieve zero lapses, given the high volume of transactions across the Government. Nevertheless, where lapses are found, our agencies will take immediate steps to address them and strengthen their controls to minimise recurrence. This may include relooking at our policies, practices and systems, as well as stepping up training of public officers. I assure Ms Foo Mee Har that the Government adopts a zero-tolerance approach to fraud and corruption. Those who commit wrongdoing will face the full measure of the law. Where appropriate, disciplinary actions are also brought against officers responsible for lapses. MOF will spare no efforts as we work with agencies to ensure that the Government remains responsible, open and accountable in our use of public funds. We will continue to strengthen our system of checks and balances and instil discipline in every officer to make sound spending decisions. Next, Mr Leon Perera asked about succession plans and disclosure practices of SWFs, particularly of the Government of Singapore Investment Corporation (GIC) and Temasek. The Government has explained its position clearly on these issues. Both GIC and Temasek are commercially-run entities, and the Government maintains an arm's-length relationship with them. The boards of these entities are ultimately responsible for their respective operations, performances as well as succession for leadership. For these two entities, the focus and the mandate that we have put on them are to generate long-term financial returns for the benefit of Singaporeans.[+15 sentences] The two entities put out a lot of information every year in their annual reports, highlighting not just their performance, but also extensive information and commentary on their investment approach and their outlook. In fact, over the years, GIC and Temasek have progressively put out a lot more information than they used to. We will continue to encourage the two entities to review and examine what additional information they would like to put out in their annual reports. From the Government's point of view, our key consideration is this: whatever disclosure requirements that the two entities put out should be part of an overall system that enables these two entities to maximise their ability to secure long-term returns for the benefit of Singaporeans. That is our overall objective. We want to have a system that allows our two entities to succeed in achieving their mandate and we have to be very mindful of what kind of disclosure requirements we place on them, and be careful of not leading them to pursue indicators that can lead to undesirable behaviours. For example, if we were to insist, as some have suggested before, on publishing annual indicators of performance, some of these entities may then be driven towards short-term performance. That would not be in our interest because these are entities that are looking at achieving long-term financial returns. If we are insistent on them disclosing indicators of fees and expenses to a great level of detail, it may lead these entities towards minimising expenses, potentially eroding capabilities or diminishing their talent pool, which would also not be in our interest. So, we are quite careful and deliberate in thinking about what sort of system we want to put in place and, ultimately, it is a system that enhances the performance of the two entities in securing long-term returns. That is why if Members look at what is published, it is the long-term returns, net of all expenses incurred, and the information is published for both GIC and Temasek in their annual reports. Ultimately, we want to preserve the competitive advantage of our two investment entities vis-a-vis other market players and we want to maximise their ability to secure long-term returns for the benefit of Singaporeans. Lastly, let me touch on tax-related matters. Mr Louis Ng and Mr Png Eng Huat suggested extending existing tax reliefs to unwed parents and single fathers respectively. Again, let me explain the Government's considerations here. Where there are Government benefits that support the child's growth and development, we will extend them, regardless of their parents' marital status. That is why all Singaporean children today receive over $180,000 of education subsidies by the time they turn 16, at least $6,000 in their Child Development Account (CDA) Grants and $4,000 in MediSave Grant for Newborns.[+1 sentence] In this way, we support all parents, including unwed parents, to give their children education opportunities, good healthcare and a conducive social environment, so they can realise their fullest potential in life. For the Parenthood Tax Rebate and Working Mother's Child Relief, these were intended to support parenthood within marriage and for married mothers to continue working after childbirth.[+13 sentences] Likewise, for the Foreign Maid Levy Relief, this was specifically granted to encourage married women to continue working. So, there were specific objectives tied to these schemes. Having said that, all Members would know that our schemes are never cast in stone. We continue to review and recalibrate them from time to time. Members will recall that we have reviewed and extended support to unwed parents in recent years, including the CDA benefits as well as the full 16 weeks of Government-paid maternity leave. These things will continue to progress and evolve. I would encourage Members also to consider this. Besides looking at specific tax reliefs and comparing the benefits for one group versus another, it is important to take a step back and look at the broader picture. Ultimately, we all share common objectives. We want to give every child a good start in life, provide support for all parents and build strong families in Singapore. We have different schemes and policy tools to achieve these multiple objectives and we will continue to finetune and review our schemes to achieve the optimal balance. Mr Chairman, MOF is committed to ensuring that our spending is effective and sustainable over the long term and we will do so in partnership with the community. I will let Second Minister for Finance Indranee Rajah address the other questions raised.
The Second Minister for Finance (Ms Indranee Rajah)1789 words
[+6 sentences]Mr Chairman, I will now address Members' questions which fall under two broad topics: first, how the Government is transforming Public Service processes to better serve our people; and second, how we are enhancing service delivery to be more business- and citizen-centric. Minister Chan Chun Sing spoke earlier about transforming the Public Service for the future. I will cover MOF's efforts in transforming Government procurement through rule reviews and the pervasive use of technology. This contributes to being more nimble, innovative and effective, as urged by Mr Liang Eng Hwa and Ms Foo Mee Har. First, MOF has used regulatory sandboxes to lift procurement rules and allow agencies to test new approaches. One such sandbox enables Government agencies to negotiate with the most qualified bidders in open tenders to identify alternative solutions that provide better value for the Government. For instance, through this approach, we were able to secure a more cost-effective solution for a large ICT contract at tens of millions of dollars lower than the original bid price.[+4 sentences] Second, we are introducing more dynamism in some of our bulk contracts to be responsive to market changes. While current ICT bulk contracts allow suppliers to refresh their prices, we are introducing further dynamism by allowing new requirements and new suppliers to be added throughout a multi-year contract. This is especially pertinent in an environment of rapid technology changes. Suppliers will be able to offer new products and services to the Government, without waiting for bulk contracts to expire. Agencies can have faster access to newer technology and capabilities, leading to time savings of about three months each time this feature is used. We have piloted the use of dynamic contracts for two ICT bulk tenders amounting to more than $700 million and will scale this up to three more bulk tenders this year.[+4 sentences] Third, public officers can soon make small value purchases directly from e-commerce sites, which will enhance speed and convenience. Today, the Public Service spends more than $60 million annually on small value items, such as pantry supplies, stationery and small electrical appliances. By the end of this year, MOF and the Government Technology Agency (GovTech) will enable public officers to make small value purchases from e-commerce sites seamlessly, without having to claim reimbursement. A fully automated e-commerce model will lighten the processing workload on our corporate staff. Audit controls will be automated and monitoring done in the background. This will save our public officers more than 100,000 mandays a year, freeing up their time to focus on delivering better services to the public.[+5 sentences] We are partnering our vendors in this digitalisation journey, particularly our SMEs. By bringing their businesses online, SMEs can digitalise their processes from order to invoice to payment and improve productivity. It also opens up new opportunities. SMEs can access an additional channel to supply Government agencies and other buyers and expand their reach beyond Singapore's shores. Mr Henry Kwek asked how we are enhancing the Government procurement approach to enable SMEs and startups to develop innovative solutions and help them grow. More than 80% of the total number of procurement opportunities are awarded to SMEs and startups.[+6 sentences] We will continue to look at how we can facilitate their participation and support their growth. Mr Henry Kwek also asked how we inform companies of such efforts. One key way is to partner our Trade Associations and Chambers to reach out to them. For instance, MOF regularly engages the Singapore Business Federation to gather feedback from their members and provide clarifications on Government procurement matters. GovTech, as the Government’s lead for ICT procurement, has regular platforms with SGTech to facilitate collaborations with the tech industry. One of the initiatives shared with SGTech is IMDA's Open Innovation Platform (OIP), which enables smaller enterprises to better access Government opportunities. Since its launch in July 2018, agencies have posted 13 challenges on OIP to invite the public to submit solutions, with prize monies of more than half a million dollars.[+16 sentences] This attracted 191 proposals, with more than 90% coming from SMEs, startups and individuals. The National Environment Agency (NEA), for example, has posted a challenge on addressing air pollution from vehicles' smoke emission. Twenty SMEs, startups and individuals submitted proposals. NEA is now working with the awarded startup to co-develop a proof-of-concept where video analytics capabilities will be used to detect smoke emissions remotely yet accurately. If the solution proves to be effective, it can be piloted and scaled up without the need for further tenders. For the ICT sector, we have gone a step further to list promising Singapore-based tech startups in a panel for Government agencies to consider first. The SG:D Spark programme gives these startups priority access to Government projects to build capabilities and track record for further growth. Impress.ai is a local SME on the SG:D Spark programme which helps companies automate their recruitment process using AI. It has grown its clientele to 10 Government agencies in its two years on the programme. These agencies, in turn, have benefited from a more efficient and effective recruitment process. For example, Ngee Ann Polytechnic reduced the time taken to review over 4,000 applications, from 470 hours to just two hours. Mr Saktiandi Supaat and Mr Liang Eng Hwa asked how MOF has tapped on digitalisation to enhance its interactions with businesses and citizens. Mr Henry Kwek also talked about reducing business compliance costs. Earlier this year, the Accountant-General’s Department announced that the Government has taken the lead to adopt the Nationwide e-Invoicing Network. This provides our 20,000 vendors currently on e-invoicing arrangements with an additional channel to transmit invoices from their accounting systems to the Government. Being on the network also allows vendors to exchange documents seamlessly with one another, including overseas counterparties. As part of the Digital Government Blueprint, all Government interactions with businesses and citizens will include an electronic signature option by 2023.[+6 sentences] This will make it easier, more convenient and less costly to transact with the Government. Within the Public Service, we have conducted reviews to digitalise processes and do away with signatures. Where signatures are still required, electronic signatures will be the norm. We have gone one step further to integrate digital solutions across platforms and agencies to create seamless digital touchpoints. In partnership with software providers, the Accounting and Corporate Regulatory Authority (ACRA) and Inland Revenue Authority of Singapore (IRAS) are enabling seamless filing for smaller companies. Using source data from accounting records, financial and tax returns can now be automatically generated and submitted directly to ACRA and IRAS. With the launch later this year, about 200,000 companies can potentially benefit from this initiative.[+3 sentences] Even as we seek to create seamless digital touchpoints with citizens, we must also help those who might require more customised assistance, as Mr Saktiandi Supaat and Miss Cheryl Chan highlighted. IRAS has been working with taxi and private hire car (PHC) drivers on a chat-filing initiative to simplify tax filing. Through this collaboration, IRAS developed a conversational-style form to help drivers understand the information they need to report. The form was piloted last year with over 600 drivers who found this tax filing process more intuitive. They also spent 30% less time filing their returns. Given its success, IRAS is working with GovTech on a prototype chatbot to benefit about 6,000 taxi and PHC drivers during this year's tax filing season.[+16 sentences] We recognise that the Government does not have a monopoly of ideas or resources. For Singapore to succeed, we must harness the collective wisdom and ideas of our people. I am glad that Mr Henry Kwek, Mr Saktiandi Supaat and Miss Cheryl Chan highlighted the SG Together movement, which will anchor our nation-building going forward. Budget 2020 is a good example of SG Together in action. We engaged and received suggestions from about 6,000 contributors, almost 40% more than last year's Budget. We will continue to step up our engagement efforts so that all Singaporeans can have a say in our Budget. Beyond engagement, we seek to actively partner our businesses, community groups and citizens to create policy solutions together. Take, for example, the Matched Retirement Savings Scheme under Budget 2020. This had its origins in early discussions between the Tsao Foundation and the Government. The Tsao Foundation did a pilot study to provide dollar-matching on CPF savings for a small group of older women. We then scaled up the idea into a nation-wide programme to boost the retirement adequacy of eligible lower- and middle-income seniors with little retirement savings. We also leveraged data sharing via Application Programming Interface (API) exchanges and crowdsourcing through hackathons to co-create solutions. For instance, IRAS' API Marketplace and ACRA's API Mall allow developers and businesses to harness data and create applications that interface seamlessly with Government systems. These APIs are currently used by over 150 organisations to develop business and productivity solutions. We have also taken a further step to partner businesses and empower the community to co-implement solutions. For example, our banks and telecommunication service providers are valuable partners under IMDA and Enterprise Singapore's Start Digital initiative, who help introduce business solutions through their touchpoints with SMEs. With their support, the scheme has benefited over 10,000 SMEs since its launch in 2019.[+7 sentences] We also leveraged partnerships to promote inclusive growth, and foster a caring and resilient society, which Miss Cheryl Chan spoke about. Tote Board's Enabling Lives Initiative, managed by SG Enable and the National Council of Social Service, is one example of how various stakeholders, such as social service agencies, academia and corporates, work together to deliver projects that improve the well-being of persons with disabilities and caregivers. As Miss Cheryl Chan mentioned, people with special needs will benefit immensely from the use of digital tools. Under Tote Board's initiative, a social enterprise called Digital D.R.E.A.M. pioneered the use of virtual reality systems to provide immersive learning opportunities for students with special needs, such as learning about road safety in a safe environment. Digital D.R.E.A.M. has since partnered various Special Education schools to develop tailored content materials for their students. Later this year, Tote Board will launch the second tranche of the initiative. We look forward to more collaborations with our community partners to deliver impactful and innovative solutions in various aspects, such as lifeskills and assistive technology, for persons with disabilities. The Ministry of Social and Family Development (MSF) has formed three Enabling Masterplan work groups to guide us in building a more inclusive society.[+1 sentence] More details will be shared at MSF's COS debate later. Mr Chairman, our work is not done in creating a better Singapore for all. We encourage our businesses, community groups and individuals to come forward and work together with us to build and sustain Singapore's success for future generations.
The Chairman3 words
[+1 sentence]Mr Louis Ng.
Mr Louis Ng Kok Kwang250 words
[+2 sentences]Sir, just three points regarding the single unweds again. We have MND saying that every mother and every father is equal. It does not really matter whether the child was born out of marriage. But here we are now saying that they are not equal, that because the child was born outside of marriage, they will not qualify for the Parenthood Tax Rebate and the Working Mother's Child Relief.[+3 sentences] Why do we do that? Second, with these two rebate and relief, there are single parents who qualify for it, who are the divorcees. So, why can we not just extend it to the single unweds, unless, of course, we are saying we want that as a form of deterrent so that people do not have children out of wedlock? But again, as I raised in my Adjournment Motion, I doubt this will be a deterrence, unless, just before they have sex, they think about the Parenthood Tax Rebate and Working Mother's Child Relief, which we know, will not happen.[+1 sentence] And that comes to my third point. I am not really fighting for a lot of money here and I do not think actually a lot of single unweds pay a lot of taxes, because we know their median income is $600 for those under 35.[+4 sentences] We are not fighting for the money here. We are fighting the stigma and the discrimination. And I know MOF will support this as this is a Unity Budget. It should be for all Singaporeans.
Mr Lawrence Wong323 words
[+5 sentences]Mr Chairman, I think Mr Louis Ng is talking about the support for single unwed parents in the context of MND's issues on housing; and certainly, if I were to wear my MND hat, we have said that we want to provide housing even for single unwed parents in the interest of the child. So, there is no issue there. But the question here is a different one. I think the question here is: do we want to provide support for parenthood in the context of marriage? Singaporeans have asked for this support. Various Members of the House have asked for such support, too. And if you were to provide that support, there will invariably be a gradient between incentives and encouragement for parenthood within the context of marriage versus outside of marriage.[+13 sentences] That gradient exists today in our schemes. But it does not mean that we are not supporting children. As I said, schemes that provide support for children, we will ensure that the children have them. It does not mean that we are not supporting parents, whether you are a single father, a single mother or whether you are a divorcee. We have support for them. But so long as we take the view that we want to provide support for parenthood in the context of marriage, that gradient will exist. How do we manage this going forward? Do we still want a gradient? Do we not want the gradient and treat all as equal? I think that will evolve. It is a continuing journey, as I alluded to earlier. I think in this House, we have heard calls for more support for parenthood in the context of marriage, too. So, obviously, there are different views and we will have to manage these different views and continue to refine and improve our schemes over time to manage this diversity of views and to address the different objectives, as I highlighted earlier.
Mr Liang Eng Hwa96 words
[+3 sentences]Sir, I noticed in the revenue estimates that the Net Investment Returns Contribution (NIRC) has grown from $17 billion last year to $18.6 billion for financial year (FY) 2020. So, can I ask the Minister if this continued growth in NIRC is realistic, sustainable, given the grimmer outlook now, not just because of the current COVID-19 fallout but also of more concern are the longer-term global structural stresses that we saw and the persistent near-zero interest rate environment that is still there? Can we expect this NIRC to grow to fund our Budget in the future?
Mr Lawrence Wong246 words
Mr Chairman, NIRC will be an important source of revenue over the long term.[+13 sentences] As Mr Liang Eng Hwa is fully aware, NIRC is tied to the long-term expected returns of our investment entities. So, the critical words are "long-term expected returns". It is not linked to short-term performance. It is not impacted by immediate market volatilities. So, we are not so concerned about that. But looking ahead, looking at the long term, there are, indeed, reasons for concerns. And we do expect more pressures in the longer-term investment environment. For example, geopolitical tensions will be a long-term issue between America and China. That contestation for power will be with us for quite a while and it may lead to a more bifurcated world over a period of time. We will likely see more nationalist and protectionist pressures continuing, which means that the pace of globalisation will slow. We may even get deglobalisation, which will cause global growth to be lower for longer periods of time. In developed markets, we see ageing populations, lower productivity, stagnating growth. So, those trends are continuing. If we think about these long-term trends, then indeed, there will be continued pressures on our long-term expected returns.[+3 sentences] So, we are very mindful of that. We stay vigilant. We do not assume that our NIRC will always be able to keep pace with our spending needs and that is why all the more we must not take our current fiscal strength for granted.
The Chairman9 words
[+2 sentences]Okay, Mr Louis Ng, one more time. Last one.
Mr Louis Ng Kok Kwang126 words
[+7 sentences]I try one more time, Sir. I hope the Minister will agree with me that it is not a deterrence. Not providing single unweds with the Parenthood Tax Rebate and Working Mother's Child Relief is not a deterrence. And I also hope that the Minister will agree with me that it is not an incentive. It might be this worry that if we provide the single unweds with more benefits, all of a sudden, there is going to be a huge population of children born out of wedlock. I do not think that will happen as well. And if we do not think that it is going to incentivise or discourage, then again, what is stopping us from levelling this playing field and ending the discrimination?
Mr Lawrence Wong72 words
[+5 sentences]Mr Chairman, I respect Mr Louis Ng's views. I think there are many in this House who will feel like that. There are many who will also ask for additional support for parenthood in the context of marriage, as has been the case before. So, like I said, there will be a range of perspectives on this matter. We take all this into consideration in continuing to review and update our schemes.
Ms Foo Mee Har146 words
[+10 sentences]I actually would like to continue the clarification started by Member Liang Eng Hwa and the Minister's eloquent reply. It is regarding the return from NIRC. I noted the same strong growth projected for 2020. It is 9.3%. And I do understand we project long-term expected returns. To me, that is a very big achievement and we are very grateful, because we can then use it to fund our Budget. But then, what would the trend be in terms of percentage increases, or 9.3% this year versus last year, right? In wealth management, if you can achieve 9.3% for long-term expected growth, that would be an amazing achievement. I would like to ask the Minister whether there was some special adjustment from 2020 versus 2019, because I would imagine, for the long term, probably it would look more like 4%. That would be a good achievement.
Mr Lawrence Wong222 words
Mr Chairman, there are two figures which we should not conflate. One is the growth of NIRC but that does not equate to the long-term expected rate of return, because NIRC is the base multiplied by the rate of return.[+1 sentence] So, the base changes, too, in order to get your NIRC. As far as the rate of return is concerned, this is evaluated every year.[+5 sentences] We have a rigorous process to go through what that rate of return should be. The investment entities will review it. MOF will review it as well, and then we put it up to the Council of Presidential Advisers and the President finally has to approve the figures. We have explained the process, it is a rigorous process that goes through quite a bit of scrutiny before we finalise the figure. The trends which I talked about earlier, what Mr Liang Eng Hwa had asked for, are concerns that we have, looking ahead. It need not impact on the immediate long-term expected rate of return. But we are concerned indeed that over a period of time, if these trends were to continue, if you see continued geopolitical tensions, if you see a growing trend of deglobalisation, then indeed, expected returns over the longer term may be impacted.[+1 sentence] So, we are mindful and we are watchful over this.
The Chairman3 words
[+1 sentence]Mr Pritam Singh.
Mr Pritam Singh (Aljunied)51 words
[+3 sentences]Mr Chairman, I did not file a cut for this Head, but if there are questions, I am prepared to give way. I am assuming that there is no one behind me who has raised his or her hand. If it is fine, I will just proceed to ask my question.
The Chairman7 words
[+1 sentence]What are you requesting, Mr Pritam Singh?
Mr Pritam Singh31 words
[+1 sentence]I am going to ask a question but I did not speak during for this Head, Mr Chairman, so I feel that those who had filed cuts should have first priority.
The Chairman23 words
[+2 sentences]If you can couch it as a clarification, I will allow it. If it is a new question, I will not allow it.
Mr Pritam Singh171 words
[+10 sentences]Sure. I will put the clarification to Minister Lawrence Wong following up on the question on NIRC. I remember when we had the debate in this House in July 2015 on the amendment to the Constitution, we confirmed that the formula that was derived, the figures the NIRC reflects is very conservative. Even more so when the broader economic environment is poor. It could be structurally or cyclically poor. Can I confirm then that the prospects of a "famine and feast" of NIRC, as a budget line item, actually is very, very minimal? That is the first clarification. The second clarification is pertaining to the question I had put in my Budget speech about the formula that the Government was proceeding with insofar as debt financing was concerned and the implications that has on some sort of fiscal room in subsequent Budgets. Is there any clarity on that particular point, because the repayment period is stretched, instead of a lumpy one-time or two-time payment? Thank you for the indulgence, Mr Chairman.
Mr Lawrence Wong515 words
[+1 sentence]Technically, the second question is a new question not a clarification, but I will answer it anyway. On the first part, the NIRC or the long-term expected return is looking at long-term what the investment entities are expecting in terms of their returns over a long period of time.[+1 sentence] So, it is not tied to immediate short-term market performance. For example, if this year's market performance ends up negative, stock markets everywhere were to crash and overall returns are negative, it does not impact on our NIRC.[+7 sentences] Conversely, if it is a bonanza year and markets were to go up, it does not impact on our NIRC because we are looking at expected long-term returns. So, to the first point, it is not so much a conservative element. It is simply that we look at a long-term figure in order to derive the NIRC. We do not look at short-term market changes. So, that is our focus for deriving the NIRC. And that is also why we have continually emphasised that we hold our investment entities to the performance measure of their long-term returns, rather than looking at year-to-year performance. Because year-to-year performance can vary, depending on the market, but we look at long-term trends. On the second part, we are still working out the debt financing arrangement.[+1 sentence] MOF will reveal the details of the debt financing arrangement in due course. The idea is that we will borrow for selected major infrastructure.[+12 sentences] Rather than to fund this entirely from the Budget, we will do it through borrowing. We think this is a more equitable arrangement for major infrastructure that spans a long period of time, then both current and future generations will pay for the payment of that infrastructure through its useful life. Doing so may provide you some fiscal space in the interim, of course, compared to the alternative of funding everything upfront. But I think it would also be wrong to assume that this fiscal space can be entirely spent away because you need to pay for it later on anyway. If you were to spend all of that fiscal space immediately on something that carries a long tail, down the road, you will end up with difficulties paying for the debt repayment. So, the idea of borrowing is not so much to provide fiscal space. It is really one where we look at the infrastructure spending we will need to incur going forward, it is likely to be another lump that is coming up in terms of infrastructure needs, like we did when we first financed our first MRT project. We borrowed for it as well. So, now, in the new phase of development, there will be major infrastructure projects coming up. We think it is more equitable that the Government borrow and then spread out the repayment over the lifespan of the project rather than to fund everything upfront, which would then present too much of a burden on the current generation. That is the thinking around debt financing. It is not so much to provide fiscal relief or fiscal space.
The Chairman9 words
[+1 sentence]Mr Liang, would you like to withdraw your amendment?
Mr Liang Eng Hwa193 words
[+6 sentences]Sir, on behalf of the Members of this House, I would like to thank the Deputy Prime Minister and Finance Minister for a massive and far-reaching Budget befitting the challenging environment that we are in today. He has not only shown fiscal firepower but also standing power – speaking and standing for more than two hours in both speeches. I also want to thank Minister Lawrence Wong and Minister Indranee Rajah for responding to our cuts and also the various engagements that we have with the Government Parliamentary Committee for Finance and Trade and Industry. And finally, to the MOF colleagues, they must have worked really hard this time with the fluid circumstances. I hope the young officers can now make up for their Valentine's Day that they missed out as the Deputy Prime Minister has mentioned. With that, Sir, I beg leave to withdraw my amendment.
Committee of Supply – Head B (Attorney-General's Chambers)›Budget9 turns · 2,134w
· 13 highlighted
budget-1299
The Chairman7 words
[+3 sentences]Head B. Attorney-General's Chambers. Ms Sylvia Lim.
Ms Sylvia Lim (Aljunied)639 words
[+1 sentence]Chairman, I beg to move, "That the total sum to be allocated for Head B of the Estimates be reduced by $100". Chairman, I filed this cut to suggest a review of the role of the Attorney-General, with a view to making our legal system even more robust.[+2 sentences] I would like to suggest that the Government consider a change in the Constitution, to split the current dual role of the Attorney-General into two separate offices, to be held by different officeholders. Let me explain why this would improve the current arrangements. Currently, under Article 35 of the Constitution, the Attorney-General is entrusted with two roles that require him to behave quite differently.[+11 sentences] On the one hand, under Article 35(7), he is the chief legal advisor to the Government. It is provided that the Attorney-General is to "advise the Government upon such legal matters and to perform such other duties of a legal character, as may from time to time be referred or assigned to him… and to discharge the functions conferred on him". In this advisory role, the Government is his client and it is the Government who will decide what should be done. The Attorney-General may have to take certain courses of action even if they go against his own advice. On the other hand, he has a pivotal public role in criminal matters. Article 35(8) provides that the Attorney-General is the Public Prosecutor and vested with power, exercisable at his discretion, to institute, conduct or discontinue any proceedings for any offence. Sir, the extent of this power, and the responsibility associated with it cannot be overstated. The AG has the responsibility to decide on criminal prosecutions on behalf of the state: who should be charged, who should be let off with a warning, who should have their charges reduced or compounded and so on. He is arguably more powerful than a High Court judge, as his exercise of discretion is done in private and is unappealable. As Public Prosecutor (PP), the Attorney-General is expected to be fiercely independent and have no hesitation to bring charges against the most powerful officeholders if the circumstances warrant. The rule of law, which we hold so dear, depends on it. In order to further strengthen the system and shore up the independence of the Public Prosecutor, I ask the Government to consider splitting the two roles I have described, to reside in two different offices, so that the person who is Public Prosecutor is not the same person taking the Government's instructions in non-criminal matters.[+9 sentences] I believe this separation exists in other countries to enhance the independence of the Public Prosecutor's office. From my understanding, the dual role of the Attorney-General was drafted into the Constitution at a time when our legal manpower was more limited. Today, we have many senior legal minds. Already within the Attorney-General's Chambers organisation, besides the Attorney-General himself, we have two Deputy Attorneys-General and a Solicitor-General. It would appear that we can assign the role of Public Prosecutor to the Attorney-General and the role of the Government's legal advisor to one of the Deputy Attorneys-General or to the Solicitor-General. Sir, in addition, to further buttress the standing of the Attorney-General, he should enjoy some security of tenure. The Constitution originally envisaged the Attorney-General to hold office until 60 years of age, and was later amended to allow Attorneys-General to hold office for a specific period. In the recent past, some Attorneys-General had held office for short terms of two to three years. I suggest that the Government introduce a minimum term of appointment to enable the Attorney-General to enjoy some security. As to what period is suitable, we could take reference from the period currently set for the appointment for the Auditor-General, which, under the Constitution, is a six-year term.
The Chairman6 words
[+1 sentence]Senior Minister of State Edwin Tong.
The Senior Minister of State for Law (Mr Edwin Tong Chun Fai)777 words
[+8 sentences]Mr Chairman, Ms Sylvia Lim spoke about decoupling the dual roles of the Attorney-General as Public Prosecutor and also chief legal advisor to the Government, and granting security of tenure to this office, to strengthen the system, and also made reference to systems in other countries. Let me respond to the points raised. I understand the thrust of Ms Sylvia Lim's speech. The Government fully agrees that public confidence is important. And because of the way we have built up our institutions, public confidence in our institutions is high. Our institutions work well and have worked well. Survey statistics referred to during the 2016 Committee of Supply debates showed that public confidence in the legal system is, indeed, high. Let me cite some numbers. Ninety-two percent said they had trust and confidence in Singapore's legal system, and that the system is fair and efficient. Ninety-six percent agreed that Singapore is governed by the rule of law. The same survey also revealed that 90% said they had trust and confidence in the Attorney-General's Chambers.[+5 sentences] The public's confidence in the Attorney-General's Chambers did not develop by chance. It was the result of prudent legal safeguards, as well as the integrity of those in the system. Let me elaborate. First, the Constitution itself has robust safeguards to protect the Attorney-General's independent exercise of prosecutorial discretion. It provides that the Attorney-General has the discretion "to institute, conduct or discontinue any proceedings for any offence". Second, on top of that, we have a dual-key system for the appointment of the Attorney-General.[+22 sentences] What does this mean? Both the President and the Prime Minister must agree on the appointment. The Presidential veto contributes to a more robust system compared to other major common law jurisdictions which I believe is a reference point that Ms Sylvia Lim has taken, such as England and Wales, Australia and New Zealand, where the officers in charge of prosecutions in those countries are appointed solely by the government Minister. In Singapore, the Attorney-General does not hold a political office. This further reinforces the independence of the Attorney-General, and is also unlike other jurisdictions, such as England and Wales, Canada, Australia and New Zealand, where the Attorney-General holds a political office and is, therefore, subject to political pressures. Separation of the role of the Attorney-General from that of the Public Prosecutor in those jurisdictions is, therefore, necessary to ensure the independent exercise of prosecutorial discretion. The Constitutional safeguards in Singapore ensure that the Attorney-General is protected from such pressures and allows him to discharge both his roles as Public Prosecutor as well as the Government's legal advisor without fear or favour. Ms Sylvia Lim suggested that the Public Prosecutor should have security of tenure. Again, if Members look at and compare our system with that of mature common law jurisdictions, the officers in charge of prosecutions in England and Wales, Australia, New Zealand and Hong Kong do not have security of tenure and typically serve predetermined renewable terms. What is more important is that it is very difficult to remove the Attorney-General in Singapore. The President, the Prime Minister and a tribunal of three Judges, which must include the Chief Justice, must all agree that the Attorney-General is unable to discharge his functions, or that there has been misbehaviour. In some of the other mentioned jurisdictions, the requirements for removal are considerably less stringent. In total, these safeguards are important. But I am sure Ms Sylvia Lim knows that that alone cannot itself maintain public trust. The Attorney-General's actions are also important. Attorney-General Lucien Wong recently said that the Attorney-General's independence is "enshrined in the Constitution and is an established rule of practice within Chambers". The Attorney-General has also not shied away from prosecuting individuals who may be well-connected or, indeed, hold high positions. Ms Sylvia Lim has, in her speech, said that a Prosecutor must have no hesitation. Some examples of more recent and those further back prosecutions include actions against a Minister of State; against sitting and former Members of Parliament; against at that time, the Singapore Civil Defence Force Commissioner; the then-National Kidney Foundation Chief Executive Officer and also the then-Deputy Chief Executive of the Public Utilities Board. The public trust the Attorney-General and the broader legal system because we appoint individuals of the highest calibre and integrity and they exercise their discretions independently. The high levels of public trust in our legal system and the Attorney-General's Chambers speak for themselves. I would like to take this opportunity to reaffirm the Government's fundamental commitment to and respect for the Attorney-General's independent exercise of prosecutorial discretion, which is essential to a society governed by the rule of law.
The Chairman3 words
[+1 sentence]Ms Sylvia Lim.
Ms Sylvia Lim272 words
[+1 sentence]Sir, I have some clarifications for Senior Minister of State. First, may I just get the Senior Minister of State's confirmation that he actually acknowledges that this principle of separation between the Chief Prosecutor and the Chief Government legal advisor is taken in other jurisdictions?[+5 sentences] That is one. Secondly, the Senior Minister of State would probably be aware that a former Attorney-General had actually written an article about this issue in The Straits Times in 2017. And he actually suggested also that the separation be introduced into the system as a matter of design, not because currently there are major issues now, but to pre-empt future problems, citing that, in other countries, pressure on prosecutors, perhaps by an unscrupulous Executive, is not unknown. So, from a systems design perspective, it is something that is good to consider. The third point is that he mentioned that it is quite difficult to remove the Attorney-General and cited the Constitutional provisions. But at the same time as well, if the Attorney-General is appointed for a short term, then his contract will just lapse and, in that sense, he will be removed after a short period of time or his service will be terminated. So, is it not worth considering actually to introduce a certain continuity in the term of the Attorney-General, so that he can see through certain matters that are of concern to public interest?[+2 sentences] At the same time, the former Attorney-General who wrote the article highlighted a frequent change of Attorney-General does affect the morale of the Deputy Public Prosecutors (DPPs). So, I would like the Senior Minister of State's comment on that.
Mr Edwin Tong Chun Fai334 words
[+6 sentences]I will address all three questions at the same time because I think they fundamentally centre on the question of trust in the independence of the Attorney-General and, of course, the functions of that office. What other jurisdictions do, they do it for the reasons best known to themselves, or perhaps a design that is in response to the system that they themselves have. I highlighted the differences that I think Ms Sylvia Lim is very familiar with in other jurisdictions. Some of the Attorneys-General hold political office, others have affiliations, and yet others, as Ms Sylvia Lim will be aware from my speech, also do not have security of tenure and go by a fixed term. So, it is different processes for different systems, and each country, each jurisdiction, must decide what works best. In our context, we look at it from the perspective of what the broad institutional protections are in terms of the appointment, in terms of the removal, in terms of the fact that the Attorney-General has no political affiliation and holds no political office. But more than that, we also look at the individual, persons of integrity, utmost integrity, discharging those functions. And finally also, the proof of the pudding is really in the eating – in looking at the conduct, looking at the fact that, with no fear and no favour, there have been high-profile prosecutions, including those that I have outlined, which demonstrate that our system is working.[+5 sentences] And that I think is manifestly clear from the surveys that have been done. So, yes, we constantly review this system that we have. We understand that other countries look at the separation. We look at our system and we constantly evaluate it and we will make adjustments as appropriate. But at the end of the day, what drives the decisions that we make ultimately has to be the output, the performance and the way in which the public retains and reposes confidence in the functions of the Attorney-General.
The Chairman10 words
[+1 sentence]Ms Sylvia Lim, would you like to withdraw your amendment?
Ms Sylvia Lim86 words
[+1 sentence]Chairman, I do believe that this matter is worthy of further consideration, but at this juncture, in the interest of time, I would like to thank the Attorney-General's Chambers for its work and I beg leave to withdraw the amendment.
Committee of Supply – Head R (Ministry of Law)›Budget25 turns · 10,528w
· 74 highlighted
budget-1300
The Chairman17 words
[+2 sentences]Head R, Ministry of Law. Mr Christopher de Souza, you can take all your four cuts together.
Mr Christopher de Souza (Holland-Bukit Timah)798 words
Mr Chairman, I beg to move, "That the total sum to be allocated for Head R of the Estimates be reduced by $100." The Ministry of Law (MinLaw) plays an important role in developing Singapore as a hub for international legal services. In 2018, the Singapore International Arbitration Centre (SIAC) emerged as the third most preferred arbitral institution in the world and the most preferred arbitral institution based in Asia.[+1 sentence] While SIAC draws a strong demand for arbitration from parties in Asia, there are trends and developments that indicate that the demand for arbitration in Singapore will move beyond Asia. For instance, in 2018, the United States (US) topped the foreign user rankings for the first time.[+4 sentences] Last year, the field of arbitration in Singapore was given a further boost to widen its global influence through the opening of Maxwell Chambers Suites with a whole suite of arbitration offices and facilities. Dignitaries from 12 countries and more than 350 guests from various facets of the legal industry attended the official opening. It houses the local offices of top international dispute resolution institutions, such as the International Chamber of Commerce's International Court of Arbitration (ICC) as well as the Permanent Court of Arbitration (PCA). Allow me, Sir, at this point to declare for the purposes of this Committee of Supply (COS) debate, this cut and all cuts after this, that I am a lawyer whose practice covers arbitration, litigation, advisory work and intellectual property (IP). Moving back to the cut, Maxwell Chambers Suites currently has the highest concentration of case management offices in the world.[+2 sentences] It also houses INSOL International Asia Hub. INSOL International is the International Association for restructuring, insolvency and bankruptcy professionals. The INSOL International Asia Hub in Maxwell Chambers Suite is INSOL International's first-ever physical expansion since the establishment of its London headquarters in 1982.[+22 sentences] Would the Minister share with us how the Ministry plans to help Singapore as a legal services hub, drawing to Singapore the demand for international legal services across key practice areas? Sir, in a country where the rule of law is a bedrock of society, maintaining the people's trust in the justice system and increasing access to justice are key. To further these objectives, our civil, community and family justice systems have gone through several refinements. Launched in 2017, the State Court's Community Justice and Tribunals System (CJTS) is an electronic case filing and management system which helps promote access to justice by allowing parts of the legal system to be accessed by lay persons online. Through it, claims at the Small Claims Tribunal may be filed and negotiated, reducing the need to appear in Court where an e-settlement is reached. Without needing to go to Court, neighbours can also try to resolve disputes with the help of a Court mediator through e-mediation. We also passed the Protection from Harassment Act so that victims obtain protection from harassment more easily. Will the Minister elaborate on what has been and will be done to further enhance our civil, community and family justice systems? Mr Chairman, the criminal justice system is critical in maintaining law and order in Singapore. More than just a tool for ensuring that law be abided by and that there be order in Singapore, the criminal justice system is important for justice to be carried out, meted out in Singapore. The state has the proper mandate to mete out penal justice, punishing those who do wrong. Otherwise, there may be increased vigilantism, mob justice and a descent into chaos and disorder. The corollary of that mandate is preventing the injustice of punishing persons for wrongs they did not commit. Otherwise, the law may be seen as arbitrary. It is, therefore, important that trust in our criminal justice system is maintained. Will the Minister, therefore, explain what has been done to ensure the continued efficacy of our criminal justice system here in Singapore? Although it is not my last cut for the COS, it is on a formidable fortress for IP, being Singapore. The Industrial Revolution 4.0 and the Digital or Information Age, rely heavily on intangible property rights, that is, IP rights, to protect the way systems are designed, codes are written, products are created. IP rights allow innovation to be sold, bought, traded and incentivises research and development (R&D) of technology. IP rights also allow businesses to protect their reputation and reap from investments made in the quality of their products and services. Would the Minister elaborate on how the IP regime will be used as a means to help our companies remain competitive in a challenging global environment? Importantly, how will Singapore further fortify its position as a country and jurisdiction in which IP rights can be well protected and enforced?
Ms Jessica Tan Soon Neo (East Coast)773 words
[+2 sentences]Mr Chairman, in a fast-changing and competitive global landscape, we do appreciate that one of a company's competitive advantages is its brand, ideas and innovations. Singapore has come a long way in developing our IP capability and ecosystem. Singapore is ranked second in the world and the highest in Asia for having the best IP protection as stated in the World Economic Forum's Global Competitiveness Report 2019.[+4 sentences] In fact, this is one of the reasons why Singapore is selected by many multinational corporations to invest their business and research development in Singapore. The Intellectual Property Office of Singapore (IPOS) has been pushing the boundaries to support businesses in using IP to grow. With IPOS’ strong reputation, credentials and capabilities in IP strategy protection and management, could the Ministry share how IPOS is helping Singapore companies, especially small and medium enterprises, understand the value of their IP, protect their IP and innovations, as well as leverage their IP for competitive advantage? I welcome the Government’s move towards enhancing Singapore’s standing in becoming an even more established IP hub and the launch of IPOS International last August. IPOS International, a wholly-owned subsidiary of IPOS, has over 100 IP experts in areas of IP strategy and management, patent search and analysis, and IP education and training.[+2 sentences] IPOS can provide customised programmes, and this provides valuable assistance to many businesses. The use of technology by IPOS is also very encouraging. IPOS International’s suite of tools related to IP assets, for example, Illuminate for Enterprises, which is an online diagnostic tool developed by IPOS International, assists users to obtain a quick overview of their company’s IP, the health of their intangible assets, as well as any management gaps and risks.[+6 sentences] Are Singapore small and medium enterprises (SMEs) actively leveraging the suite of tools and engaging IPOS International to better understand and develop their IP strategy for competitive advantage? What is MinLaw’s assessment of the progress that Singapore companies are making in leveraging IP for their business growth and the commercialisation of IP of Singapore companies? Mr Chairman, could the Minister also touch on what has been done to improve our criminal, civil, community and family justice systems to make access to justice for citizens simpler and more affordable? Could the Minister also inform us on the key priorities in enhancing access to justice that we look forward to? I would like to highlight areas where some of my residents have sought assistance as they face challenges in their access to justice and equitable outcomes in one area of unscrupulous contractors. While the law does allow for legal recourse to be provided to consumers who have been cheated by contractors who do not perform their duties to the required standard, there are cases where my residents have been let down or shortchanged by contractors who have done shoddy work. Under the current legal framework, if my understanding is correct, an offence is committed only if money has been paid by the consumer and no work has been done at all.[+7 sentences] This may not be altogether satisfactory, as the services rendered may be due to poor workmanship or left unfinished. If the contractor, despite being given reasonable time, does not rectify the works, what it leaves the consumer to do is to have to hire another contractor to rectify the works and then obtain legal redress which might take some time. In one of the cases that my resident has sought my assistance, the said contractor has cheated others. When she made a Police report, she was told that the Police could not assist and that they had to pursue their own cases. The concern is that as they did this, besides recovering the money, whether the contractor was continuing to cheat others. This somehow did not seem right. Another area is maintenance. While the provisions of the Women’s Charter provides for sanctions or, in extreme cases, even imprisonment terms, to those who default in maintenance, by the time the law takes its course, it could provide cold comfort to the wives and children, many of whom live with relative financial strain. So, could the Ministry consider imposing measures of sufficient deterrence, so that defaulters who breach Court orders in maintaining their families will think twice, such as imposing fines of appropriate severity, in addition to any existing penalties?[+1 sentence] I would also like to request the Ministry to share on what steps are being taken to educate and inform the public of their legal relief, especially in cases where Singaporeans do not have the financial wherewithal to afford legal representation and, hence, would be less cognisant of their legal rights.
Mr Pritam Singh (Aljunied)336 words
[+12 sentences]Sir, legal design is the application of human-centred design to the world of law to make legal systems and services more human-centred, usable and satisfying. By its very nature, the law can be intimidating to navigate for the common man. To many, it can be dense or verbose and inflexible and jargon-laid. How many of us have blindly clicked on compliance boxes or lengthy forms when we download the latest version of whatever software we need, or even signed Personal Data Protection Act (PDPA) forms without reading them? To that end, does the way companies and commercial entities and even the Government seek consent in today's digitalised world ensure that our people are informed about their rights, the rights they are giving up or responsibilities and obligations they are signing up to? Sir, I believe there is room for better legal design in view of the digital tools available today. One Ministry whose website and mobile site have caught the eye for excellent legal design and user friendliness is that of the Ministry of Manpower (MOM). Their mobile site is intuitive and captures all the critical information citizens will access in a simple and easy to read format. I was made to understand from a public officer at MOM that there is a team that analyses user behaviour with a view to improve online interaction and how to make online services easily understandable and easily understood. Chairman, Sir, the Budget Book lists the key performance indicators of the Ministry, some of which include a sound and progressive legal framework and access to justice for the low-income. While the tech-related outcomes in our march towards digitalisation may more appropriately come under the Government Technology Agency (GovTech) or the Smart Nation Office, legal design inputs can help many other Ministries and Statutory Boards improve the delivery and quality of services, and ultimately, outcomes for Singaporeans. I hope the Ministry plays a part with legal design tools to make the law more easily understandable and understood by the layman.
The Chairman10 words
[+1 sentence]Mr Patrick Tay, you can take your three cuts together.
Mr Patrick Tay Teck Guan (West Coast)470 words
[+1 sentence]Chair, my first cut is on the Employment Claims Tribunals (ECT) judgments. With ECT having jurisdiction to adjudicate both salary-related disputes as well as wrongful dismissal claims, it now hears more cases.[+1 sentence] Having a deeper understanding of the rulings of the ECT would benefit not just practitioners and lawyers, but claimants and respondents, too, when presenting their respective cases. Past decisions of ECT would be extremely useful as a source of reference and precedents and should thus be made available. For a start, I would like to suggest that the more landmark and instructive judgments be selectively published.[+4 sentences] ECT now has jurisdiction to adjudicate both salary-related disputes as well as wrongful dismissal claims, making it more convenient for parties to resolve employment disputes via a single forum. However, an ECT judgment that is not satisfied would still need to be enforced in the same manner as an order made by a District Court. This would involve detailed processes set out in the Rules of Court pertaining to the filing of relevant forms/documents as well as the payment of Court fees. A worker who has successfully obtained a judgment may thus still be subject to a protracted enforcement process. Workers’ lack of knowledge of the workings of our Court system exacerbates this problem. There is thus a need to simplify and expedite the enforcement mechanism to facilitate workers’ recovery of moneys. One suggestion, in the context of an insolvent company, is for MOM to look at issuing cash advancements, which could be used to pay part of the worker’s unpaid wages, and thereafter to stand in place of the worker as a preferred creditor to recover the advanced moneys upon distribution of the insolvent company’s assets.[+8 sentences] For civil Court proceedings, even though registration for such legal aid can now be done online, a full means-test with a means-test officer is required if representation in Court proceedings is required. Depending on the urgency of the case, it appears that it can take between seven days and a month to get an appointment and, thereafter, another appointment for statement-taking. I suggest giving applicants the option to do means-testing as well as submit copies of required documents online in advance. For the Criminal Legal Aid Scheme (CLAS), similar measures, such as allowing for registration and the means-test to be done online, can also be implemented to speed up the application process for CLAS cases. Further, a central online legal aid portal can be set up. Depending on whether legal aid is required for civil or criminal proceedings, potential applicants can then be directed to the relevant organisation’s website and resources. This would make it easier and less confusing. Similarly, can the means-test to qualify for CLAS consider similar factors, such as those used with the new means-test administered by the Legal Aid Bureau (LAB)?
Ms Rahayu Mahzam (Jurong)237 words
Legal aid schemes provide assistance to those who are unable to afford legal advice or representation. Legal aid, however, is only available to those who meet the criteria and some people may not be eligible. The claims may have merit but the legal costs may be prohibitive and so they decide not to pursue their cases.[+9 sentences] The concern becomes even more pertinent when it involves matters, such as those relating to divorce, applications under the Mental Capacity Act or criminal matters. In this regard, what has been done to improve the legal aid schemes to enhance access to justice? Could the Ministry look at how to further assist individuals who are not eligible for legal aid to get the help they need? I declare that I am a lawyer in private practice. I raised previously the need to incentivise low bono efforts by lawyers. Many lawyers are already doing pro bono work but this often comes at a cost to the lawyer’s earnings, and thus not sustainable. I had asked if a framework could be developed to support low bono efforts by lawyers to augment existing legal aid schemes. I note from the response last year that MinLaw is working with partners like the Law Society Pro Bono Services and the Singapore Academy of Law to study how it could enhance support for pro bono and low bono efforts. Could MinLaw give an update on these efforts?
Mr Murali Pillai (Bukit Batok)204 words
[+12 sentences]Sir, I had raised the suggestion of simplifying procedures for non-contentious probate and administration matters in the past COS debates. I still get feedback on cumbersome processes from people. One example is Mr Chan, whose wife recently died intestate suddenly. He is a caregiver of his autistic son aged 16. Based on the current rules under the Probate and Administration Act, there was a need for him to get another person to agree to be a co-administrator to administer his late wife's estate to protect his minor son's interests. This was not an easy task. In comparison, he was appointed as a single deputy by the Court to take care of his son and deal with his son's property and affairs under the Mental Capacity Act. I understand that the Government has been reviewing this matter since 2017. I seek an update. I will also be grateful if the Government could please consider the interplay between the various statutes in its review, too. Separately, I had pushed for Singapore to accede to the Hague Apostille Convention so as to rationalise the process involved in legalisation of documents for use here and in other countries. I would be grateful for an update on this matter.
Mr Sitoh Yih Pin (Potong Pasir)416 words
[+10 sentences]Mr Chairman, I think mediation is a good dispute resolution mechanism for commercial disputes. I had once personally participated in a mediation under the auspices of the Singapore Mediation Centre (SMC) as my firm was involved in a commercial dispute that resulted in litigation. I was, at the time, quite impressed with the mediation format. It was less contentious and driven by parties instead of lawyers to seek a win-win solution where both parties are in a position to accept. It also makes sense from a commercial perspective. Mediation is more efficient than litigation in terms of time and cost. There is no need for commercial entities to be distracted from their day-to-day businesses by being embroiled in long drawn out and costly litigation. Sir, I was, therefore, extremely pleased to note that, in August 2019, Singapore facilitated and was also among the first to sign the Singapore Convention on Mediation. This House has also passed the Singapore Convention on Mediation Bill earlier this month. We could be one of the first signatories to ratify the Convention. This will pave the way for cross-border enforcement of mediated settlement agreements, give businesses greater certainty and assurance and encourage the greater use of mediation to resolve international commercial disputes. I note that in the past three years, SMC has conducted under its auspices close to 1,500 mediations with a recorded settlement rate of between 65% and 69% each year.[+5 sentences] This means that almost seven in 10 commercial disputes referred to mediation are resolved amicably. This is an excellent rate of return. It is a reflection of the good work that SMC puts in to resolve a majority of the disputes referred to them. If more litigated commercial disputes are referred to mediation, this could also potentially reduce the caseload burden of the Singapore Courts. On the arbitration front, the Singapore International Arbitration Centre (SIAC) has also seen a steady rise of cases over the years. Based on information from its website, 80% of SIAC’s caseload is international in nature and they have an experienced international panel of over 400 expert arbitrators from over 40 jurisdictions around the world.[+2 sentences] It, therefore, appears to me that Singapore is well-placed to capitalise on these developments and resources to position ourselves as a leading global dispute resolution hub. In the premises, Sir, I invite the Minister to share with this House the Ministry's larger strategic plans to promote Singapore as a leading global dispute resolution hub to resolve international cross-border commercial disputes.
Ms Rahayu Mahzam275 words
In May 2019, MinLaw, together with the Law Society, Enterprise Singapore and Infocomm Media Development Authority (IMDA) launched Tech-Celerate for Law. This is a scheme for Singapore law practices to get funding support of up to 70% for the first-year cost of adopting baseline and advanced technology solutions.[+5 sentences] This scheme is supposed to prepare law practices for future disruptions beyond baseline technology adoption, empower them to focus on delivering enhanced legal services, strengthen their capabilities and increase their competitiveness in the global landscape. This is, indeed, a meaningful endeavour. Law firms, like other businesses, need to equip themselves with the necessary technology to be efficient and productive and be ready for trends and changes in the future. However, as I had highlighted in my speeches in previous years, there is often hesitation on the part of small firms to invest time to review and adopt new technology because, unlike bigger firms, they cannot afford to dedicate resources and time to this effort in the midst of continuous and ongoing legal work. I am also not sure if awareness of the various support programmes and schemes is high amongst the lawyers in the smaller firms. This may lead to some of these lawyers feeling left out of the efforts that MinLaw has been making in supporting the profession build capabilities. I am, therefore, wondering how MinLaw is preparing small law firms, which may not have sufficient resources, including time and money, to be future-ready. If awareness and interest in such technology adoption is not high, would MinLaw consider having more engagement and sharing sessions with smaller law firms to encourage the move towards adopting new technology?
The Chairman9 words
[+1 sentence]Mr Patrick Tay, you can do both your cuts.
Mr Patrick Tay Teck Guan (West Coast)384 words
[+15 sentences]Technology is increasingly being felt in the legal fraternity. AI and machine learning have already been tapped to review contracts and conduct research in other countries. I submit that existing stakeholders in the legal sector, such as practising lawyers and inhouse legal counsel, will also need to be brought up to speed in this global move towards adopting legal technology solutions to improve productivity, accuracy as well as enhancing access to justice. It is inevitable that technology will continue to disrupt and change current work processes in law firms as well as the legal departments in the organisations. Funding of legal technology implementation and solutioning as well as training and upgrading subsidies should thus be set aside for continuing legal education in this area of legal tech solutions. I suggest that such funding should be extended to all relevant stakeholders in the legal sector, including inhouse legal departments and counsel of private companies and organisations as well as the public agencies. Para-professionals, commonly known as paralegals, are invaluable to the legal industry. They are employed by law firms as well as the legal departments in private companies and public agencies. Depending on the needs of the employer, a paralegal's role can range from conducting research and managing routine files to even knowledge management. Notwithstanding the wide scope of responsibilities undertaken by paralegals, their professional development as well as interests and welfare are often not given due priority, save for the Chief Justice's recent mention of the increasingly important role of allied legal professionals trained in skillsets relevant and complementary to the core responsibilities of a lawyer. I submit that more can be done to encourage employers of paralegals to set out clear career progression options for paralegals. These could include more diverse roles, such as project management, business development, legal innovation and legal technology, as well as understanding foreign legal jurisdictions to enable internationalism. To help paralegals take on such roles, a skills framework, backed up by both the industry and regulators with nationally endorsed training providers, must be promulgated and made available to all paralegals. Further, an association or union can be specifically set up to better engage paralegals, look after their interests as well as facilitate their professional training, development and progression. This must come with support from the industry and regulators.
Mr Christopher de Souza74 words
[+2 sentences]Sir, land is a valuable resource. Would the Minister elaborate on how we can optimise state properties to meet social and community needs? One excellent example is what was done to the former Henderson Secondary School. This state property has been transformed into an integrated space comprising a childcare centre, a nursing home and dialysis centre as well as an urban farm.[+1 sentence] How can we optimise state properties to meet social and community needs?
The Chairman6 words
[+1 sentence]Senior Minister of State Edwin Tong.
The Senior Minister of State for Law (Mr Edwin Tong Chun Fai)5465 words
[+21 sentences]Mr Chairman, I thank the Members for their speeches and for the queries that they have raised. I will address them. MinLaw's mission is, broadly, two-fold: first, to continually update our legal framework to meet both today's and tomorrow’s needs; second, to work together with our stakeholders to strengthen Singapore's position as a leading international legal services hub for Asia and, of course, the world. In the past two years, we had passed many pieces of legislation to achieve these objectives. We have redoubled our efforts at establishing Singapore as a legal services hub. This has included, as Mr Sitoh Yih Pin has said, the signing of the Singapore Convention on Mediation. I will touch more on that in a moment. Our focus for the coming year will be to implement the changes that we have put in the place, to ensure also that every Singaporean can be confident of effective access to justice in Singapore. Our legal system must be user-friendly, affordable and provide effective solutions. It must also be accessible to the most vulnerable amongst us. We will, therefore, continue to grow the legal services sector to ensure that more can enjoy the benefits of this growth whilst at the same time ensuring that those who require and need those services will have access to those services. Let me begin by speaking about my Ministry's efforts to strengthen the overall legal framework. Mr Christopher de Souza, Ms Jessica Tan and several others have touched on this. First, family justice. Those who use the family justice system are usually in a state of emotional turmoil, mental anguish and have seen their families break up. It is not a legal proceeding that they wish to be in. They are often also vulnerable, especially those families with children, whose interests, above all, must be looked after. That is the design focus of our laws – to look after the children in any matrimonial or family proceedings. This awareness has driven our revamp of the family justice system since 2014, as Members would be aware. Our aim is to reduce time, cost and, perhaps most importantly, unnecessary acrimony and to recognise and protect the interests of the children, so that the acrimony does not affect and adversely weigh on the outcomes for the children. We have moved significantly to improve the process. For example, in 2019, more than 55% of divorce cases were decided on the simplified track, which is faster, less costly and, obviously, less painful through the process, up from just 24% in 2015.[+1 sentence] These are encouraging numbers, but we do want to go further. The Government has, therefore, accepted the recommendations of the committee to Review and Enhance Reforms in the Family Justice System (RERF).[+10 sentences] The committee was tasked to look beyond just legal proceedings and, instead, focus on designing a robust ecosystem of support for families. The committee made recommendations on mental capacity issues to address the needs of our ageing population as well. We are working with our stakeholders to implement these recommendations and put them into place. Ms Jessica Tan spoke about the enforcement of maintenance orders. This is an important concern and we do not want someone to have to spend time running from pillar to post to try to recover something that the Court has already granted by way of an order. We have taken steps, however, over the years to address this issue. Where the spouse cannot find work, perhaps due to poor health or other reasons as a reason why the orders have not been fulfilled, we should recognise that support services rather than legal proceedings will provide more effective relief for the wife and the children concerned. Nevertheless, at the same time, our laws must also have the tools to deal with a spectrum of options, different situations, including imprisonment, if necessary, so that we can enforce and give teeth to orders that have been made in Court. This serves as a strong deterrent. But, overall, Members should be assured that where there are genuine financial difficulties, circumstances that the family faces, the Courts will more likely order mediation or financial counselling to find a solution rather than to just simply impose the hard law. The Government is also considering how to make the overall maintenance regime, both in terms of the orders made as well as the enforcement, simpler and more effective.[+1 sentence] Moving on to civil justice. Members will know that two committees – one convened by my Ministry, the other by the Judiciary – made broad-ranging recommendations to enhance the efficiency, affordability and overall effectiveness of our Court system. We have completed public consultation and further discussions with key stakeholders and will introduce legislation to implement some of these changes in due course. Mr Patrick Tay raised concerns with the enforcement of Employment Claims Tribunal (ECT) orders. We are studying recommendations to streamline and simplify the enforcement of judgments and orders and will announce more details in due course once we have completed that.[+2 sentences] Mr Patrick Tay also suggested that in the case of insolvent companies, or companies that either cannot or have been unable or refuse to pay the wages, that MOM could advance money to the worker and thereafter stand in his place as a preferred creditor. I understand that MOM has looked at this proposal before and Mr Patrick Tay will probably know that while doing so might well help that specific worker in the immediate short term, it may also inadvertently create a larger problem of a viable company defaulting or owing the salaries in knowledge that the workers could find an alternative avenue to obtain those payments using Government funds. Overall, this leads to a potentially bigger problem in the system for a longer time. That said, for workers with no other alternative to recover unpaid salaries, the Short-Term Relief Fund (STRF) and the Migrant Workers' Assistance Fund (MWAF) can be tapped on.[+17 sentences] These provide ex-gratia payments to low-wage employees whose employers were unable to pay salaries due to financial difficulties or business failure. On the publication of certain ECT decisions, Mr Patrick Tay would know that, today, ECT judgments or grounds of decision are available to the public upon request. Why upon request? Because the original proceedings in the first place under the statute are held in private to protect the confidentiality of the parties. So, it follows that whatever takes place in those proceedings is not reported as of right. But the ECT will assess requests for either the judgments or the grounds of decision and, where appropriate, such as when it would help future cases or there is strong precedential value, then those would become available. I understand that MOM also makes applications to the ECT to publish judgments or grounds of decision that become useful reference points for parties in the same vein as I have outlined. Next, let me touch on criminal justice. On this, we have worked closely with the Ministry of Home Affairs (MHA) and other stakeholders in the past two years to make wide-ranging amendments to both procedural and substantive criminal law. Much legislation has been passed in this House on this aspect over the past two years. In particular, the Penal Code amendments have kept our legislation apace with emerging crime trends developing here and around the world and strengthened protection, in particular, for vulnerable victims. We have implemented most of these changes. This year, my Ministry is supporting the work of the newly-formed Criminal Procedure Rules Committee chaired by the Chief Justice. This committee will ensure that the Court procedure remains nimble and also adaptable to adjust and meet evolving needs. Mr Christopher de Souza and Ms Jessica Tan asked about supporting the efforts of Singapore enterprises to thrive in an innovation-driven economy. We have several initiatives. In the interest of time, let me just highlight a few. First, IPOS and the Singapore Exchange (SGX) have launched a new Intangible Disclosure Evaluation and Audit Scheme – a bit of a mouthful, so we have short-formed it to IDEAS. IDEAS provides a subsidy of up to $10,000 for companies to undergo an intangible asset evaluation and audit.[+7 sentences] This identifies intangible assets that are critical to the companies' businesses and recommends how to report them in a way that best communicates the business value of these intangible assets to their investors and the market, obviously, to try to realise the full value of such intangible assets. This helps companies when they raise financing. Second, IPOS' subsidiary, IPOS International, helps enterprises develop strategies to protect, manage and also commercialise the intangible assets and IP. To date, IPOS International has helped about 100 enterprises, with close to 95% of them being SMEs and startups. That is in answer to Ms Jessica Tan's question as to what help has been given to companies in Singapore. It has also developed a series of IP management business guides, which around 1,000 enterprises have accessed. Around 70 enterprises have used IPOS International's diagnostic tool, illuminate® for enterprise, to assess their IP and intangible asset risks and gaps, and perhaps they will be working on them and, eventually, can also take advantage of IDEAS. Third, we have expanded our patent acceleration initiatives last year to cover AI patent applications. AI patent applications can now be granted as early as six months after filing.[+21 sentences] This supports the development of innovative AI technologies and helps companies with these technologies to remain competitive ahead of the curve. And as we know, technology sometimes gets outmoded very quickly. So, the quicker we can deal with the patent applications, the more value it is to the companies. Finally, the newly-launched IPOS Go mobile app enables businesses to register their trademark in just 10 minutes, down from the previous average of about 45 to 60 minutes. To date, over 150 businesses have used the IPOS Go app to protect their brands. These points would also be of interest to Mr Pritam Singh who asked about design processes and systems with the end-user in mind. Let me also turn now to address Ms Jessica Tan and Ms Rahayu Mahzam's points about access to justice. First, on civil legal aid. One change we have implemented is the increased flexibility to grant aid. Applicants who do not satisfy the means criteria but are otherwise unable to afford basic legal services without causing significant hardship to themselves and their families, these persons may have their applications reviewed by an independent Means Test Panel. Previously, the moment an applicant failed the means test, then the application was rejected. Now, we look at whether or not this person has failed it only because he had circumstances that might cause hardship to himself or to his family. The panel may waive the means criteria for these deserving applicants. The grant of aid will, of course, still be subject to the merits test, to ensure that applicants have good reasons to bring or defend their cases in law. Mr Patrick Tay asked about improving service delivery for legal aid. We will do so through a number of key initiatives. Let me just quickly outline them. First, we have just launched the revamped Applicant Portal for civil legal aid and new features will be included over the next few weeks. When completed, this portal will do away with the need to appear in person to complete the means testing and also the statement-taking so that it can be done remotely without having to make a trip to the office. It reduces the need for applicants to provide information that the Government already has. So, for a start, we will tap on MyInfo to provide personal details and income information. These are the key criteria in assessing an application for legal aid. This will reduce processing time by at least two weeks, speeding up the process so that access to legal aid can be granted more quickly.[+1 sentence] It also, at the same time, is two-way, allowing the applicants to check on the status of their application and be updated as to its progress. Second, LAB has just launched the first phase of its new chatbot, "iLAB".[+22 sentences] It will be able to provide basic legal information to LAB's potential applicants. It will also be able to triage them based on the nature of their case. And in most cases, this will save the applicants a trip to LAB to discuss it with the case officers in person. Finally, we are working to include a feature which will allow users to generate simple legal documents. Potential applicants can use these documents to self-help. They do not have to go to see lawyers. With iLab, these simple standardised documents commonly used can be generated. We hope to launch this in the next few weeks. Mr Pritam Singh spoke about design thinking. I think these are all features which fit towards that. And it is a good reminder by Mr Pritam Singh that we should be looking at the various enhancements to ensure that they are designed around our clients' needs. And I take the point that it ought not be dense or verbose, and we will endeavour to avoid that. Putting information online, enabling online applications, making it two-way, the process being dynamic, will make it easier for our clients who may find it difficult to be away from their families or take time away from work. We also undertook three rounds of rigorous user testing with LAB clients on the Portal and also on iLAB because we recognise that it can also be very frustrating if it does not work, the portal is not intuitive and not interactive enough. So, we have been fairly rigorous in the way which we have tested it before it goes out to market. The broader legal system also designs access to justice and legal awareness with the end-user in mind. For example, the Courts have pioneered an online dispute resolution system which litigants-in-persons can use to conduct negotiations and mediation for claims online for the Small Claims Tribunal (SCT). Mr Sitoh Yih Pin would be glad to hear that as well – you can now mediate your case online as well. And we are also exploring new features, such as asynchronous hearings to make it more convenient for Singaporeans to resolve their disputes. So, rather than to have parties at the same time at the same place, these facilities make it easier, facilitate claims before the SCT and also allow for some mediation to take place. I shall elaborate more closely on the law firms' adoption of technology, a point raised by Ms Rahayu Mahzam, later in my speech. Let me touch now on criminal legal aid. MinLaw has also been working with our partners on the Criminal Legal Assistance Steering Committee (CLA SC), including the Law Society as well as the Criminal Bar, to review the means criteria for the Criminal Legal Aid Scheme (CLAS). We will adopt the new means criteria and limits for civil legal aid, what I have just outlined, for CLAS as well.[+6 sentences] These changes will simplify and, therefore, shorten the application process while, at the same time, maintain the rigour of the means test which we need to have, given that these are public funds that are being used. We will be working with the Law Society Pro Bono Services (LSPBS), which administers CLAS, to implement the changes in the coming year. Despite these changes, I wish to assure Members of this House that there will be no material impact on the number of households eligible for criminal legal aid. We will also continue to support the efforts of LSPBS to improve the administration of CLAS. This includes using technology to make the application process more efficient and user-friendly. At this juncture, let me acknowledge the strong support of members of the Bar, without whom the scheme would not have been quite so strong. Since 2015, the five largest law firms, Allen & Gledhill, Dentons Rodyk, Drew & Napier, Rajah & Tann and WongPartnership, have generously sponsored the CLAS Fellowship to enable lawyers to join LSPBS exclusively to handle criminal legal aid cases.[+14 sentences] Sixteen law firms have also signed Memoranda of Understanding (MOU) to pledge to take on CLAS cases. And I thank the lawyers, the legal fraternity for their support of this programme. Ms Rahayu Mahzam asked about support for Singaporeans who cannot qualify for legal aid. To do so, we continue to forge strong partnerships with stakeholders to provide affordable legal help. So, even if you cannot qualify for these programmes, what else do we do? We work with LSPBS, the legal fraternity and our community partners to provide legal help through Community Legal Clinics and various legal literacy and legal assistance programmes. The Government also works with the Law Society and the Law Schools to cultivate a strong pro bono culture within the legal profession. For example, law students are exposed to pro bono work from an early stage. They have structured internships with LAB to inculcate not just the spirit but also to allow us to tap on the law students to assist in our pro bono programmes. There have also been efforts by the wider legal ecosystem. For example, the Singapore Academy of Law will be launching a collaborative workspace called "CLICKS @ State Courts", which will help firms adopt technology by providing them with shared amenities and facilities, such as meeting rooms and office equipment. And by reducing operational costs, firms can then consider providing accessible and affordable legal services. But I think Ms Rahayu Mahzam will agree with me when I say that access to justice goes beyond legal aid and just providing low bono or pro bono services. It is equally important that we see access to justice as understanding the problems in daily life, understanding at what stage there should be legal, and perhaps also social intervention, so that we can provide simple yet effective and, as far as possible, long-lasting solutions to the problem at hand and not just fix the surface, leaving the underlying problems to continue to rear its ugly head. My Ministry has put in place various legal frameworks to deal with these issues. We have, over the last year or so, established a new Protection from Harassment Court.[+10 sentences] It will have specialised expertise and processes. Cases will be heard by specially trained judges. Volunteers will be on hand to assist victims, including from a social aspect and not just from a legal aspect. These changes are intended to minimise anxiety and stress, and to ensure that the victims of harassment can obtain effective remedies. Second, the Community Disputes Resolution Tribunal (CDRT). We continue to monitor its effectiveness as part of the broader framework that we have to resolve community disputes and also study areas for improvement of the processes. However, I would stress that mutually agreed solutions between two neighbours, for instance, should always remain the first port of call, that is, should always be the first base that one goes to instead of triggering a process in Court. CDRT, as far as possible, should be a measure of last resort. So, we encourage Singaporeans to engage their neighbours in an amicable manner, when disputes arise – use community mediation services, use grassroots leaders who can facilitate the process. On community mediation, I should stress that the approach has been effective. In the past three years, more than 80% of the cases mediated before the Community Mediation Centre (CMC) has resulted in a successful resolution arising from the mediation.[+25 sentences] Third, the Government is also reviewing the processes and requirements for the application of probate and letters of administration. Mr Murali Pillai asked for an update on this. Amongst other things, we are considering digitalising the process, in sort of the same fashion that I have been outlining, to make it simpler, easier and faster, and linking up Government systems to facilitate the retrieval of information. At the end of the day, information has to come through so that the applications can be processed and that, sometimes, is a chokepoint. So, we will work on digitalising the process. And also streamlining the legal requirements imposed on applicants. These, I believe, will improve the experiences of Singaporeans dealing with end-of-life issues. But even as we streamline, we must be careful that the law will continue to protect the interests of beneficiaries. This is one area where the original stakeholder or perhaps owner of the assets is not around to say how it should be done or what his intentions were. So, we do have to be careful. But within this rubric, strike an appropriate balance so that we can look out for the interests of both the convenience of the parties applying as well as also the rigours of what the interests of the beneficiaries ought to be. We will provide more details in the coming year. Ms Jessica Tan asked about unscrupulous contractors. We have seen one or more of these types of individuals at some stage and it is frustrating. Let me give some suggestions as what can be done. There is the Consumers Association of Singapore (CASE) which Mr Lim Biow Chuan can share more information on. CASE publishes a Consumer Alert List on its website. That is a useful first port of call. It lists companies that have multiple complaints made against them and operates to warn consumers about contractors with poor track records. So, to those cases that Ms Jessica Tan has spoken about where there have been repeated cases, it ought to be on this list. If not, we will try and find a way to better police it so that members of the public can be warned. If there are unfair practices, for example, false and misleading claims and so on, CASE may refer the matter to the Competition and Consumer Commission of Singapore (CCCS) for further action under the Consumer Protection (Fair Trading) Act. There will be sanctions against errant suppliers. Where an amicable settlement is not possible even with CASE's assistance, consumers can file claims with SCT. SCT provides a forum that is low-cost, no lawyers are involved. For example, claimants are only required to pay $10 for claims up to $5,000 in value.[+7 sentences] And SCT may order one party to pay money to another party arising from these claims and also order a party to make good on deficiencies, as in the Member's example, the construction contract, for instance. Moving on, Mr Christopher de Souza and Mr Sitoh Yih Pin spoke about strengthening Singapore's position as a premier international legal services and dispute resolution hub. Members will know that we are constantly looking at how we can enhance this, what we can do, what other spaces we can fill or other opportunities there will be for the Singapore brand. We look at what we can do to create value for our economy, what we can do to enhance Singapore's value-add as a business hub and, of course, ultimately, providing good jobs for Singaporeans. We also want to support our people and businesses in exploiting these opportunities as far as possible. Let me touch on a few initiatives. One area in which we shall move to keep pace with the competition is in the area of conditional fee agreements (CFAs). Following public consultations last year, we are working on introducing a CFA framework for certain categories of proceedings. The framework will help our lawyers and law practices by levelling the playing field for Singaporean lawyers and law practices, as against foreign lawyers who may already be able to offer such agreements in their own jurisdictions. We are also studying whether allowing CFAs for a wider range of proceedings can further promote access to justice.[+1 sentence] Second, we are also promoting the use of Singapore law. Our initiatives include increasing free access to Singapore judgments. Steps have been taken to make more Supreme Court judgments from 2000 freely available online, and also potentially even earlier judgments, earlier than 2000.[+18 sentences] Second, encouraging published research on areas of Singapore law that are relevant to commercial parties internationally, and finally, promoting standard forms, that is, use of straightforward, standard forms, governed by Singapore law. Mr Sitoh Yih Pin asked about progress in dispute resolution. Singapore remains one of the leading hubs for dispute resolution in the world today. We have flagship institutions that Mr Christopher de Souza mentioned providing a full suite of such services. We have best-in-class hearing facilities at Maxwell Chambers. We will continue to strengthen that framework by supporting the ecosystem for viable international dispute resolution services. We have various reviews underway, including a review of the International Arbitration Act. I had earlier mentioned the Singapore Convention on Mediation. Yes, indeed, we were one of the first two countries, together with Fiji, to ratify the Convention. This took place a few days ago in New York. These efforts, not just to get the countries to sign and to ratify, but to promote more countries to come on board, have broader implications for Singapore's place in the world. It is a powerful statement for multilateralism and has also enhanced our reputation in the international arena. We will build on the signing of the Convention last year. We will host a second annual Singapore Convention Conference in September this year. This will be part of a week-long series of events related to international dispute resolution services. This conference and, indeed, the week, will continue to position Singapore as a thought leader in this field and also a forum that parties can choose to come to, regardless of whether the ultimate contract or the subject matter of their agreement is in Singapore or not, to choose Singapore as a forum. In the area of civil cooperation, Mr Murali Pillai asked about the legalisation of documents. It is a point that Mr Murali Pillai has raised several times. On the Hague Apostille Convention, we agree that this will be useful and we are currently working towards its accession.[+16 sentences] This will include preparing the necessary draft legislation domestically in order to accede to the Convention, and thereafter, we will be in the position to do so. All these efforts will create opportunities for those in the legal sector and also for those who want to enter the legal sector. On this note, Ms Rahayu Mahzam asked what the Government is doing to support lawyers and law firms to exploit these opportunities. Let me again, in the interest of time, outline a few initiatives. First, we will be launching a Technology Innovation Roadmap. What does this do? This roadmap is the product of intensive consultations with more than 80 stakeholders. These include law firms, companies, law schools, research institutes and other Government agencies. It will help Singapore law firms understand and embrace technology to improve productivity and the quality of their legal services. Let me give one example. Altum Law Corporation is a five-lawyer strong Singapore law firm. Under the Tech Start for Law and the Tech-celerate for Law initiatives, MinLaw and the Law Society curated a shortlist of technology solutions and also vendors to help address common problems, common issues amongst smaller law firms. Grants to support up to 70% of adoption costs were available under the schemes. Strong efforts have been made to promote these schemes. The Law Society reached out to at least 450 Singapore law practices through workshops and seminars to promote this programme and Altum was one of those who was a participant in these events. They were able to upgrade from the standard suite of computer services – they were using Microsoft Office, I believe – to legal technology solutions that were more curated and were better suited to their needs. The firm achieved time and cost savings from automating routine but important tasks, including shortening the time required to complete the checking of references in documents by up to 66%.[+9 sentences] The Roadmap will include plans to help to continue to fund law firms, help them to understand what technology can do for their efficiency and also expand support to inhouse legal teams to adopt legal technology. As Mr Patrick Tay mentioned, this reflects our belief that both those in practice as well as those in the inhouse role have much to benefit from adopting legal technology. So, we will support the development of cutting-edge legal technology relevant to their work and also reform legal education to build a pipeline of tech-ready legal professionals to support the legal industry. More details will be announced later this year. Let me touch on Mr Patrick Tay's other point on mid-career professionals, managers, executives and technicians (PMETs). We will help such PMETs to exploit new opportunities that will be created. The Law Society and Workforce Singapore have developed a Professional Conversion Programme (PCP) to help employers hire and reskill mid-career PMETs to join the legal sector as paralegals or legal secretaries. Paralegals and support services do play an important role in Singapore's legal industry. We note Mr Patrick Tay's suggestions and we will continue to work with the relevant stakeholders so that we can support this segment of the legal industry more closely. Third, we will be conducting the first run of the China-Ready Programme for Singapore lawyers this year.[+9 sentences] The programme will expand the pool of Singapore lawyers who understand Chinese culture, the way in which business is done, the legal system and laws, are conversant with Mandarin in the legal context, and can also work with Chinese companies and law firms to better meet clients' needs. This is one element of the Ministry's strategy to help Singapore lawyers seize new opportunities in different jurisdictions. Finally, before I run out of time, let me touch on some of the questions relating to the work of the Singapore Land Authority (SLA). SLA optimises land resources to support the economic and social development of Singapore. That is its overall mission. It plays a number of roles, including, as Mr Christopher de Souza outlined, optimising the use of state land and, of course, also developing Singapore's geospatial capabilities. Let me elaborate on some key initiatives. SLA is intensifying its efforts to engage and collaborate with stakeholders, members of the public, on the interim use of vacant state land and properties. For example, Members may be aware that SLA and the Urban Redevelopment Authority (URA) launched the Power-Up Pasir Panjang ideas competition in April 2019, and reached out to members of the public, professionals and students to co-create ideas for the Power District. A total of 79 submissions were received, which demonstrates the interest of the public and the professional sector in trying to contribute to ideas as to what can be done. These ideas will be distilled into design principles guiding the Power District's development for the next 15 to 20 years, including the former Pasir Panjang Power Station A.[+2 sentences] In the coming weeks, SLA will also be launching engagements with stakeholders to rejuvenate the Old Kallang Airport. This is part of the Reinventing Spaces into Vibrant Places initiative that was launched with URA in 2019. SLA is also partnering the National Parks Board to develop a site at Tanglin Road into a community use space with a playground, benches, something that will appeal to members of the public.[+1 sentence] Let me now quickly finish up with the geospatial front. There will be a full launch of the OneMap 3D that will take place later this year.[+2 sentences] The map will allow users to visualise Singapore in 3D. This will support the efforts of businesses and the public who require these services to have new platforms to support their services and products as well as also develop services for the community at large. SLA will be launching the 3D Singapore Sandbox this year.[+4 sentences] It will facilitate private sector access to 3D geospatial models and data on a restricted basis and, through this, we hope to encourage the private sector to experiment with innovative solutions and services for their customers and the general public using 3D geospatial models. The Sandbox will enable SLA to obtain feedback from the private sector to enhance the experience and to improve the geospatial models. Mr Chairman, in conclusion, my Ministry will continue to ensure that Singaporeans continue to enjoy effective access to high quality justice – that is a fundamental – and also to build on Singapore's attractiveness as a legal services hub, ensuring that the benefit of the ensuing growth will be shared by more. Importantly, we do all this not on our own but through working closely with so many stakeholders – the bench, the bar, the legal industry, the universities, law students and the wider community – and for that, we are very grateful.
The Chairman4 words
[+1 sentence]Mr Christopher de Souza.
Mr Christopher de Souza151 words
[+7 sentences]I thank the Senior Minister of State for his comprehensive responses. On my particular cut about Singapore being a leading international dispute resolution hub, one of the flagships we have, apart, obviously, from our Court system, is SIAC. The Minister would know, my question is really a nuts and bolts on how we get the model clause out. In a model clause, there is the centre, there are the rules, there is the seat and there is Singapore law being the relevant law. So, my question really is: how are we able to advance Singapore law, advance the seat of Singapore, through these clauses such that international parties come? And when international parties come, they do not come with lawyers, they come with their experts, they come with their decision-makers and their witnesses. So, how can we use that space to enhance Singapore law and Singapore as an international legal hub?
Mr Edwin Tong Chun Fai309 words
I can speak a little more slowly now.[+1 sentence] The clock is not running. So, a model clause is useful but parties must want to come to Singapore.[+3 sentences] So, having a model law is one thing. But what we want to do is to really build the ecosystem that supports why a party from outside Singapore will want to choose Singapore. So, if I may summarise some of the points from my speech earlier. First, we have to make sure that Singapore law is accessible, that it is first-rate, it is commercial.[+1 sentence] Our high-quality jurisprudence coming out of our Courts helps a lot in that regard for parties who want to choose Singapore law. Second, we must build a system that is neutral, that is based on the rule of law, that parties, when they come into Singapore, when they make their investments into Singapore or they choose Singapore as a forum, they know that they will get first-class hearings, hearings that will not be unduly interfered with, hearings that will be governed by the rule of law and, as far as possible, in our best-in-class facilities as well, in Maxwell Chambers.[+2 sentences] Third, we want to look at the way in which our stakeholders – law firms, lawyers, those who practise here, those who practise abroad – are equipped with this information, so that when they do the negotiation, persons, such as yourself, Mr Christopher de Souza or Mr Murali Pillai, can then take these learning points, take these model clauses and persuade external parties that, in Singapore, we do not only have the best facilities, but we have the best, most neutral system that will ensure a fair adjudication of the disputes. I think all of these parts must come together in order for us to build a first-class hub and continue to sustain that first-class international dispute hub.
The Chairman11 words
[+1 sentence]Mr Christopher de Souza, do you want to withdraw your amendment?
Mr Christopher de Souza18 words
[+1 sentence]I was hoping to ask for another clarification, but that is all right, I can withdraw the cut.
The Chairman12 words
[+2 sentences]You have a few minutes to ask your further clarification. Last one.
Mr Christopher de Souza81 words
[+5 sentences]Thank you, Mr Chairman. I thank the Senior Minister of State for the response. My next question is on a different cut, which is, Singapore as a formidable IP fortress. I think we can provide a lot of protection and enforcement, but how is IPOS and MinLaw working with the R&D outfits to ensure the commercialisation of IPs? So, it is not only a portcullis or a fortress where we protect it but where we can enhance it into commercial terms.
Mr Edwin Tong Chun Fai354 words
I am not sure that is capable of a short answer but I will try. We have to, first, realise that no one will choose Singapore to file their patents in or to enhance or enforce their IP rights if we do not have a strong neutral legal system.[+6 sentences] So, at the baseline, that is always something that we look at, frankly speaking. What else do we do? We want to make sure that our laws are updated. So, as I mentioned on several occasions and also earlier, we will look at enhancing and revising the Copyright Act, an experience that we have had after we did extensive consultations. What else can we do? What else can we say to people about how their ideas, their patents, their innovations will be better protected in Singapore and also enforced, should the case be necessary? Third, we also want to make sure that we be with the system from start to end. So, I mentioned in my speech earlier, IDEAS, for instance.[+6 sentences] How do you monetise the value in intangible assets, assets that would otherwise be difficult to look at in terms of valuation? We look at how it can be done so that we can help companies raise capital, raise financing and leverage the value of such intangible assets. When you bring all these together in the ecosystem, you will then have, in Mr Christopher de Souza's words, a formidable fortress, in which to not just register but enforce and eventually enjoy filing of the patents in Singapore. When we provide the whole spectrum of services, that is when we can then go out there and tell the major companies, inventors and innovators of the world to come into Singapore. We have the entire suite of services for you and, should there be any disagreement, any dispute over the services, they will be resolved in a firm, fair and completely aboveboard, neutral, rule-of-law fashion. That assurance that we give to investors would be the best assurance we have in growing perhaps not just the IP sector but overall in our key development areas in Singapore.
The Chairman18 words
[+1 sentence]Mr Christopher de Souza, it is about three minutes before guillotine time, so you may have to withdraw.
Mr Christopher de Souza96 words
[+3 sentences]I am grateful, Chairman. I join my fellow parliamentarians in thanking the Senior Minister of State for his comprehensive responses and also all the hardworking officers in MinLaw and the various arms and bodies which report to MinLaw. With that, I seek your leave, Mr Chairman, to withdraw my amendment.
The Leader of the House (Ms Grace Fu Hai Yien)26 words
[+1 sentence]Mr Chairman, may I seek your consent to move that progress be reported now and leave be asked to sit again on Monday, 2 March 2020?
The Chairman53 words
[+2 sentences]I give my consent. (proc text)]
Ms Grace Fu Hai Yien36 words
[+1 sentence]Mr Deputy Speaker, I beg to report that the Committee of Supply has made progress on the Estimates of Expenditure for the financial year 2020/2021, and ask leave to sit again on Monday, 2 March 2020.
Mr Deputy Speaker3 words
[+1 sentence]So be it.
Adjournment›Motions1 turns · 26w
· 0 highlighted
motion-1302
Speaker not recorded26 words
[+1 sentence](proc text)] Adjourned accordingly at 7.18 pm.
Plans for Allied Educators in Schools for Learning and Classroom Support›Oral Answers to Questions8 turns · 993w
· 9 highlighted
oral-answer-2164
Mr Leon Perera28 words
[+1 sentence]asked the Minister for Education whether changes are being planned with respect to the current numbers of allied educators in schools for both learning support and classroom support.
The Senior Parliamentary Secretary to the Minister for Education (Ms Low Yen Ling) (for the Minister for Education)210 words
[+4 sentences]Mr Speaker, Sir, the Ministry of Education (MOE) currently employs around 2,000 Allied Educators (AEDs) in our mainstream schools. They comprise School Counsellors, Student Welfare Officers, AEDs in Learning and Behavioural Support (AEDs(LBS)), and AEDs in Teaching and Learning (AEDs(T&L)). Each school is typically resourced with one to two School Counsellors to support the socio-emotional and mental health needs of our students, and one to two AEDs(LBS) to provide structured intervention support to students with special educational needs. Some schools also have a Student Welfare Officer to support our students who struggle with attendance issues. Over the last five years, we have grown the number of School Counsellors, Student Welfare Officers and AEDs(LBS) by over 30%, and we intend to expand this further to meet the growing needs of our students.[+1 sentence] For the existing AEDs(T&L), we are encouraging and also facilitating them to still remain as AEDs, but in the other specialised roles. For example, over the last two years, we have sponsored around 100 AEDs(T&L) to a 10-month full-time Diploma in Special Education (DISE) at the National Institute of Education (NIE) and plan to train another 100 this year. MOE will continue to review our AED numbers and workforce profile to ensure that we respond effectively to students’ needs.
Mr Speaker3 words
[+1 sentence]Mr Leon Perera.
Mr Leon Perera (Non-Constituency Member)60 words
[+4 sentences]Sir, I thank the Senior Parliamentary Secretary for the answer. Just one supplementary question. There is some anecdotal feedback – it may or may not be the correct perception – that AEDs for classroom support are being reduced in number. Is that actually taking place or are there any plans to do that or is that just an incorrect perception?
Ms Low Yen Ling463 words
[+10 sentences]Mr Speaker, Sir, I want to thank the Member for his supplementary question and I also want to assure him that the AEDs form an integral part of our teaching force, to guide the growth and development of our students, especially students with special educational needs. MOE remains committed to deepen and also to expand our mainstream schools' capacity to support our students with special educational needs. On the Member's specific supplementary question on AED(T&L), earlier on, I cited the four types of AEDs. Let me briefly explain the differing job roles and responsibilities. There are four types of AEDs in our schools. First, the School Counsellor provides counselling services to meet the socio-emotional and also the mental health needs of our students. The second type is the Student Welfare Officer, who supports students with long-term absenteeism issues and is sometimes involved in managing their family-related issues as well. The third is the AED(LBS) who provides learning and behavioural support for students with special educational needs, mainly students with Autism Spectrum Disorder (ASD), mild ASD, Attention-Deficit Hyperactivity Disorder (ADHD) and dyslexia. The fourth type, the one that the Member specifically highlighted, is the AED(T&L) who provides teaching and learning support for our students in and outside of the classroom. Within the AED pool, we are committed to growing the number of School Counsellors, Student Welfare Officers and also AED(LBS) because we see that they are well-positioned to support the changing profile and the new and growing needs of our students, especially students with special educational needs. The number has grown for these three types of AEDs. It has grown by more than 30% and we are still recruiting.[+2 sentences] From time to time, MOE will review the profile of our teaching force, including the AEDs. We do need to reshape the profile of our teaching force, including the AEDs, to be able to better support the changing needs of our students. For example, with smaller student enrolment and with a healthy teaching force, in general, our teacher-to-student ratio has come down, has improved, which also means that now, the teachers rely slightly less on the AEDs(T&L) to provide generic classroom support than many, many years ago.[+4 sentences] In order to future-proof our AED(T&L) to better support them in terms of career development, career advancement, we are also facilitating them in terms of taking up the training or even sponsoring them in relevant diplomas, so that they can also take on specialised roles. We are happy to see that in the past few years, AEDs(T&L) have successfully transited to AEDs(LBS). They have done well also because of their previous experience supporting the teachers in the classrooms. I want to give the assurance that we remain committed to the professional development of our AEDs, including the AEDs(T&L).
Mr Speaker3 words
[+1 sentence]Mr Leon Perera.
Mr Leon Perera70 words
[+3 sentences]I thank the Senior Parliamentary Secretary for the answer. Sir, just one last supplementary question, really just to confirm if I understood the Senior Parliamentary Secretary correctly, the thinking of the Government is that AEDs(T&L) are less necessary now and, therefore, the numbers are going to be reduced and then, those AEDs(T&L) are going to be transited to other roles and so on. I just want to confirm that understanding.
Ms Low Yen Ling156 words
Earlier on, I did mention that from time to time, we will look at reshaping our teaching workforce, including the AEDs. And moving forward, we are looking at ramping up the recruitment of School Counsellors, Student Welfare Officers and AEDs(LBS). For existing AEDs(T&L) who are keen to make the transition or career switch to any of these three roles or even other roles in the teaching force, we will support the AEDs(T&L) in doing so with the necessary sponsorship or diploma courses in NIE or even very specialised courses to support them, so that they can continue to support students, whether it is students with special educational needs or students who need counselling and so on.[+1 sentence] In the next few days, during the MOE Committee of Supply debate, we will share more details about how we are boosting the professional development of our teaching workforce, including supporting teachers to better support students with special educational needs.
Cases of Undeclared Peanut Allergens in Food Products›Oral Answers to Questions6 turns · 281w
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oral-answer-2165
Mr Leon Perera47 words
asked the Minister for the Environment and Water Resources (a) to date, how many cases of undeclared peanut allergens have been found in food products sold in Singapore; and (b) whether any adverse health effects associated with peanut allergy have been noted from these or other cases.
The Minister for the Environment and Water Resources (Mr Masagos Zulkifli B M M)120 words
[+1 sentence]Mr Speaker, food manufacturers and traders in Singapore must comply with the Singapore Food Agency's (SFA's) food safety standards and requirements. These include labelling requirements where food manufacturers and traders must ensure that known allergens, such as peanuts, which are found in prepacked food products, are declared on the labels of the products. From 2015 to 2018, there were no cases of undeclared peanut allergen in prepacked food products. Since 2019, there have been five cases of undeclared peanut allergen in prepacked food products. Upon detection, SFA issued directions to recall the products, given the food safety concerns to consumers who are allergic to peanuts. SFA has not received feedback or information on adverse health effects arising from these cases.
Mr Speaker3 words
[+1 sentence]Mr Leon Perera.
Mr Leon Perera (Non-Constituency Member)35 words
[+3 sentences]I thank the Minister for his answer. Just one supplementary question. Does the Ministry also work with the food and beverage sector to encourage them to declare peanut content in the food that is served?
Mr Masagos Zulkifli B M M71 words
All these five cases came from overseas, all over the world. As Members know, we import 90% of our food.[+1 sentence] And we also take instructions from food authorities around the world. When they find out that these allergens are not declared, then we do the recall. But for Singapore food manufacturing companies, it is a requirement for them to do so.[+1 sentence] We check randomly to make sure that they do so.
Mr Speaker5 words
[+2 sentences]Order. End of Question Time.
Commencement Time of Committee of Supply›Announcement by Speaker1 turns · 77w
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speaker-1295
Mr Speaker77 words
[+5 sentences]We have completed the Debate on the Budget Statement. We are now going into the Committee of Supply to debate the Estimates. I have revised the commencement time of the Committee of Supply to start immediately. With the change in commencement time, the revised "guillotine time" for Head U – Prime Minister's Office is 4.50 pm which includes a tea break. Hon Members will be notified of the revised conclusion times for the subsequent Heads of Expenditure.
Median and Mean Road Taxes Paid by Owners of Electric, Hybrid and Petrol Cars in Past Three Years›Written Answers to Questions2 turns · 64w
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written-answer-5772
Mr Louis Ng Kok Kwang59 words
[+1 sentence]asked the Minister for Transport (a) for each year in the past three years, what was the median and mean road tax paid for a car owner of (i) an electric car, (ii) a hybrid car and (iii) a petrol car respectively; and (b) whether the Ministry will start collecting such data if it does not currently do so.