TR EMERITUS

An Associate Professor at the Lee Kuan Yew School of Public Policy has publicly called for a rethink in Singapore's current economic policies which do not have any provisions for a minimum wage law or system. In an article published in the Straits Times Review on 2 September, Prof Hui Weng Tai wrote that it may be time for Singapore to consider a minimum wage law which is preferable to raising the levy on foreign workers to reduce the country's dependence on these workers. (read article here) He described the link between the relentless influx of foreign workers and depressed wages among low income Singaporeans as "compelling": "Between 1998 and 2008, the number of foreign workers employed, most of them lower-skilled, rose by about 438,000 or 48 per cent of total new employment over the period. Over the same period, real wages of employed residents in the lowest 20 per cent of the wage distribution were virtually stagnant while those in the upper half experienced real growth of at least 20 per cent," he added. PAP leaders have constantly argued against having a minimum wage in Singapore on the grounds that it will retard our competitiveness and lead to higher unemployment rate. During a Kent Ridge ministerial dialogue last year, PAP strongman Lee Kuan Yew dismissed the minimum wage system adopted by most developed countries and said rather callously that the key task of the government is to create jobs for Singaporeans, never mind if the wages are commensurate with the standard of living, adding that a minimum wage will force employers to hire less workers. Prof Hui felt that having a minimum wage in Singapore will not reduce employment as the demand of low-wage workers far exceeds supply.  "It should be remembered that a large foreign worker population generates significant negative externalities. A minimum wage policy would help moderate the excessive inflow of foreign workers," he said. Besides boosting wages and morale, workers who benefit from a mandated minimum wage will feel better and more fairly treated. Prof Hui ended his article by calling for Singapore to debate the issue: "When all these factors are considered, it becomes clear that a minimum wage would raise productivity and improve workers' welfare. Hong Kong took a decade to debate the issue. Perhaps it is time for Singapore to start." Unfortunately unlike Hong Kong, there is no opposition in Parliament to debate on the minimum wage. The ruling PAP simply passes legislation, bills and policies at its whims or fancies without consulting the people, let alone have their ideas challenged rigorously by others.   Please join our Facebook page here and invite your friends to do so to create awareness of the current affairs affecting Singaporeans. Please use our online web form to contact us.  Read More →

I have to agree on the issue of transparency with regards to immigration policy. I too was an assistant Prof in Singapore (Australian with PhD in Business from UK). I decided to move to Singapore because i meet and married a Singaporean in Australia. After many years working and living in Australia we decided to move to Singapore to be near my aging in-laws. In the 7yrs I worked at NTU, I applied for to become a PR (Mind you with the aim of making a family and life in Singapore) three times and was rejected on all three occasion. I tried to seek an explanation for my rejections every time, but was met with stiff responses from the authorities eg, please apply at a later date. Whats worse is that during my time at NTU I attended several PR parties for staff from PRC, who got their PR within 6-12 months of arriving in SG. At the end we caved in and returned to Australia, which I was subsequently able to get my in-laws PR in Australia. I let people be the judge about transparent immigration policies after telling them my story. For once I say – don’t vote PAP out, instead, do as Australian politicians suggest ‘Keep the BASTARDS HONEST’   MIKE GIGG  Read More →

Senior Minister Goh Chok Tong has finally acknowledged the unpalatable truth which everybody knows about - Mah Bow Tan has screwed up Singapore's public housing plans big time leading to the sky-rocketing prices we have today. Speaking to some 200 Marine Parade residents during a community event, SM Goh acknowledged "that the surge of immigrants in 2007 and 2008 caught the Government by surprise." However he was quick to defend the PAP regime by saying that it "had not stopped them from coming because the booming economy needed workers." It is disingenuous of SM Goh to absolve the PAP regime of its responsibilities in ensuring that the existing infrastructure is sufficient to meet the rising demands posed by immigration. As Straits Times Forum contributor Dr Goh Phuay Yee sums it up succinctly: "The Government is in the best position to plan ahead with information from statistics on population numbers, availability of accommodation, number of commuters the system can take, number of vacancies in schools, and such. It should be able to regulate the inflow of foreigners without causing a sudden crunch on our infrastructure, jobs and social stability. All these problems arose over the years because of a lack of foresight and swift response." [Source: Straits Times Forum] SM Goh also acknowledged (finally) that the National Development Ministry led by Mr Mah Bow Tan "did not provide for the sudden surge" in its housing plans, which we have been harping here for the last two years. Though the PAP regime announced its ambitious plan to increase Singapore’s population to 6.5 million people via immigration way back in 2005, the number of flats built between 2006 – 2008 is the lowest over the years. Only 3,183 flats were built in 2008 when Singapore accepted 20,000 new citizens and 90,000 PRs who were allowed to purchase resale flats in the open market by the PAP regime. [Source: HDB Financial Report 2008/2009] As there are insufficient new flats being built to meet the demands of both Singaporeans and the new citizens, many have to purchase flats in the resale market, thereby jacking up prices in the process leading to the absurd situation we have today where newly launched BTO flats are oversubscribed by more than ten times. Below is a graph illustrating how the rise in the prices of resale flats coincides with the rise in the number of foreigners in Singapore between the years 2000 and 2008, courtesy of Kojakbt, the moderator of 3in1kopitiam: While Mr Mah has admitted he had been “caught off-guard” by the astronomical prices of HDB flats, he is adamant that they are affordable to Singaporeans and chided home-buyers for being “fussy” and having “unrealistic” expectations. It is completely unacceptable for the most expensive National Development minister in the world to not to plan ahead and build more flats to meet the expected increase in demand. It does not take an economist to realize that the combination of low supply and high demand will lead to ballooning of prices. Anybody with a modicum of common sense would have built flats based on future needs and not on the present demand. As a result of Mr Mah's unforgivable mistake, an increasing number of young Singaporeans are postponing marriage and starting a family of their own because they are unable to afford a roof over their heads, thereby compounding the problem of our declining birth rates. If Mah has any sense of shame left in him, he should resign immediately and let somebody else take over his portfolio. In other democratic states like Japan, South Korea, Taiwan, Australia and New Zealand, he would be forced to apologize to the public and sacked from the cabinet in shame.   Debunking official myths of HDB flats series: 1 Myth 1: Singaporeans are “owners” of their HDB flats 2. Myth 2: HDB flats are “affordable” to most Singaporeans 3. Myth 3: Rising prices of HDB flats “generate” wealth for Singaporeans   Related articles: >> Errant buyers of resale flats may face jai lterm >> New property rules a ploy to get foreigners to settle in Singapore >> Mah Bow Tan: Property boom in 2007 was “unexpected” >> Singaporeans complain about new housing rules to curb speculation >> HDB releases 3,000 flats in a single day >> Mah admits there is a property “bubble” evolving >> New rules to prevent private property owners from speculating in resale flats >> Mah blames Singaporeans for strong demand in public housing >> Mah: 16,000 BTO flats next year >> Median COVs hit a record high >> $300,000 for four-room BTO flats in Punggol >> Mah Bow Tan: HDB flats are still affordable to first time flat buyers >> Why Mah Bow Tan’s policy of high HDB flats is wrong >> Letter to Mah Bow Tan on HDB policies >> Singaporean want govt to allay anxiety over HDB leasehold >> Mah Bow Tan embarrassed by Reform Party’s Hazel Poa >> Mah Bow Tan: “Unrealistic” expectations to blame for unhappiness about flats >> Taiwanese PR paid record $ 650,000 for 4-room resale flat >> Grace Fu: PRs are helpful to HDB flat owners selling their flats >> HDB launches “traveling exhibition” to trumpet its achievements in the heartlands >> PAP to upgrade 12,000 HDB households ahead of next election >> Mah Bow Tan: We do not want flat prices to go down >> Prices of resale flats to rise further as PR quota reached >> Taiwanese PR offers $50k COV for resale flat >> Mah Bow Tan: PRs have minimal impact on resale flat prices >> No empirical evidence to suggest that public housing is affordable in Singapore >> When will Singapore’s property bubble burst? >> Why HDB is unable to reveal break down costs of new flats now >> HDB to consider introducing rules to curb property speculation >> HDB blames Singaporeans for not selecting flats when given the chance >> Singaporeans worried about retirement after depleting CPF to pay for over-priced HDB flats >> Mah Bow Tan acknowledged that rising HDB flat prices has sparked “fresh concerns” >> PM Lee: Govt does not have control over prices of resale flats” >> COVs of resale flats shooting through the roof >> HDB resale price index hit record high in 2009 >> Singaporean wants PRs to live in rented flats instead of buying resale flats >> Singaporeans wants PRs to be banned from selling HDB flats at a profit >> Shanmugam: Singaporeans likely culprits for driving up HDB flat prices >> Mah Bow Tan: HDB flats remain affordable >> Means testing for PRs to buy resale flats >> Immigration and public housing: should the govt or people plan ahead? >> Grace Fu: hard to predict demand for housing >> Indonesian PR bought 4-room flat at $653,000 >> Mah Bow Tan asks home buyers to be realistic >> PAP MP blames young couples who cannot get a flat for not planning ahead >> Home affordability: HDB versus the public >> Demand vs supply: so many applicants, so few flats >> Number of applicants exceed number of flats >> HDB to increase supply of flats >> Mah: don’t compare with prices in the past >> ERA: 40 per cent of HDB flat buyers are PRs     Please join our Facebook discussion on this article here and invite your friends to do so as well to raise awareness among fellow Singaporeans.  Read More →