by MP for Aljunied GRC, Low Thia Khiang
Chairman Sir,
1. Currently, the Dependency Ratio Ceilings (DRCs) for foreign manpower is based on broad industry sectors. It would be helpful to further fine-tune the sectors based on specific industries to better ascertain and calibrate the need for foreign manpower vis-à-vis Singaporeans in the specific industry.
2. In industries where Singaporeans can be trained to take up the jobs, there is room for dependency ratios to be further tightened. In industries where attracting Singaporeans poses a challenge due to the nature of the work and working conditions, the dependency ratio could be relaxed.
3. MOM may also want to consider a step further by looking at the work scope of jobs within the specific industry to determine whether more can be done to allow Singaporean workers to reclaim specific jobs.
4. I believe that a targeted approach is needed to achieve the objective of increasing the wages of the lower income workers through productivity while minimising the possible fall out of the SME, because :
a) The range of SME businesses and industries are complex and a macro policy instrument would not be effective in helping the industries restructure;
b) An abrupt forced transformation of certain industries, such as the cleaning and construction industries, could result in a rapid rise in costs and eventually end up with the consumers paying higher prices;
c) Some industries may also result in a monopoly by a few companies that will dominate the market, as others may not be able to cope with the required change.
5. Yes, a targeted approach will be a more cumbersome process and will require more resources. However this will show that the government cares to look into the problem and concerns of the SMEs and is prepared to help solve the problem and minimize the pain and suffering of the restructuring process. I believe that the outcome will be more satisfying.