Laying low eh, Mr Minister Gan?
I would like to remind Singapore voters that you are the Minister responsible for the large influx of white-collar foreign workers.
Lax immigration and PAP labour policy is a hot button issue in this election and yet this article is not available online. I have reposted this article together with the original print version.
NSP's white-collar job idea won't work: Gan
By Cai Haoxiang
RAISING the salary threshold for Employment Pass (EP) applicants to $4,000 from $2,800 now will not protect white-collar workers from global competition they are already facing, Manpower Minister Gan Kim Yong said yesterday.
He was commenting on an argument by the National Solidarity Party (NSP) that such a move would protect the majority of local workers who earn less than $4,000.
The opposition party's idea is part of a broader strategy in its manifesto to raise local wages by restricting the supply of foreigners.
Asked for his view during a visit to residents in his Chua Chu Kang ward, Mr Gan said: 'It is important for us to recognise that many better-educated Singaporeans, especially at the higher-income level, are in jobs that don't face local competition, but competition with companies and enterprises around the world.
'A better way to strengthen their resilience against global competition is to give them training, upgrade their skills so they are competitive not just against EP holders here, but also against millions and millions of highly qualified talent globally.'
The Government already has a more comprehensive set of policy instruments in place, he added.
These include a recently introduced skills training programme for white-collar workers, policies to encourage firms to introduce productivity-enhancing measures in the workplace and tightening requirements such as academic and skills qualifications for EP holders.
The NSP manifesto, released on Thursday, targeted several hot-button issues, including the foreign worker policy. Other than raising salary thresholds, it suggested a foreign worker quota of 25 per cent for jobs that pay below $4,000, except in industries unpopular with Singaporeans.
Mr Gan, who leads the People's Action Party (PAP) team in Chua Chu Kang GRC, which is being targeted by the NSP, said he hoped the NSP would explain how its plans and programmes will benefit residents at the national level as well as the local level.
'I think our comprehensive approach will be more effective,' he said.
NSP CEC Spokesperson Hazel Poa responded within the day, quoted in full:
Response to “NSP’s white-collar job idea won’t work: Gan” in the Straits Times, 23 April 2011
(NSP Press Release, also available on Channelnewsasia 23 April)
I refer to the article “NSP’s white-collar job idea won’t work: Gan” in the Straits Times, 23 Apr 2011.
Responding to our proposal to increase the Employment Pass (EP) threshold salary to $4000 from the current $2800, Mr Gan said that “many better educated Singaporeans, especially at the higher-income level, are in jobs that don’t face local competition, but competition with companies and enterprises around the world.” He seemed to be confused. It is the companies that face competition with other companies around the world, not the jobs themselves. Whether Singaporeans face local or global competition in employment is determined purely by our manpower policies on foreign employees. I shall presume he meant the companies.
Our proposal to increase the EP threshold affects jobs paying between $2800 to $4000. It ensures that 75% of the jobs at these salary levels go to Singaporeans. The Minister implied that by doing so, the competitiveness of the companies would be compromised. Why would he think that? Is he implying that Singaporeans are unable to do these jobs as well as foreigners? If so, he should have a good chat with the Minister for Education. If it is a matter of not enough Singaporeans wanting to fill those jobs, then we have provided for a higher quota upon application and assessment. Foreign talents would not be affected since they would presumably be paid above $4000.
Mr Gan reiterated the stand of using training to enhance earnings. We have had training for blue and white collar workers for many years but have not seen any improvements in our national wage levels. If we are wrong about this, we would love to see statistics on the number of people trained under the various approved training programmes over the last 10 years, the amount of money spent, and how all their wages have progressed over the past 10 years, not just anecdotes of success cases.
It is our view that the incentives for productivity-enhancement would have limited success and the tightening of EP requirements does not go far enough. We disagree that our current approach is “comprehensive”, nor is it “more effective”, as stated by Mr Gan.
The pain felt by many Singaporeans is real, and should be taken more seriously. We cannot hide behind an unemployment rate of 2.2% and adamantly overlook underemployment. With little social safety net in place, most Singaporeans would be forced to take up any job just to pay bills. The so-called “full employment” situation could actually be the result of the cost pressures we are facing. We need to look further into the situation and not be blinded by one single piece of statistics. Only then could we have a truly “comprehensive” approach. The NSP regrets that it is currently unable to do more than raise the issue due to a lack of publicly available data as well as a lack of resources to launch further, comprehensive studies to investigate the extent and severity of the underemployment situation.
Mr Gan, voters are reasonable people. You better have good reasons to justify your liberal labour policy.
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