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Locals cannot salary adjustment. Foreigners can.

Submitted by on May 6, 2008 – 5:56 PM19 Comments | 9 views

24 Apr 2008

Raising wages to address rising costs not the right solution

Raising wages to address the issue of rising costs may be an enticing option but that is not the right solution, said Acting Manpower Minister Gan Kim Yong.

He said adjusting wages upwards to meet rising prices would only result in a “price-wage spiral” and Singaporeans should look at the bigger picture.

“What is more important is for us to have a realistic expectation of wages that reflect the underlying economic strength of our industries and also of our productivity. That will allow us to ensure that our economy will be able to sustain its growth momentum,” said Mr Gan.

5 May 2008

Industries urged to give foreign workers proper pay package

Industries need to provide proper remuneration and recognition to retain foreign workers in Singapore especially in the construction sector, according to Senior Minister of State for National Development, Grace Fu.

She was responding to media queries on manpower shortage in this sector, which is expected to remain robust for the next two years.

Ms Fu also gave an update on what the government is doing to help meet the demand for workers. This includes setting up more skills training centres overseas.

She said: “By doing so, we’re expanding the (pool of) workers, but at the same time, we want to make sure they are well-trained before they come over. So that’s really striking a balance between having more supply and at the same time, ensuring that some minimum standards apply.

No wonders the locals are getting frustrated and leaving the country. The government actually cares more about the foreigners than locals.

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19 Comments »

  • WishBoNe says:

    Oh. So foreigners can get higher salary. Then why am I a pink IC holder?

    WishBoNe’s last blog post..Day 10: After Lasik Operation

  • Tianhong says:

    sigh… when can gahmen learns to protect its own people. people who are born here and went through up and own with them no matter what happens

    Tianhong’s last blog post..When a woman gets jailed for having sex

  • uncle sha says:

    I echo your sentiment

    There’s a different remuneration package at my previous XYZ company for contract project work for local & expats

    Haiz … migration; here I come

  • ignorantsoup says:

    Can we migrate to Singapore? lol..

    ignorantsoup’s last blog post..Listed at Million Blog List

  • motd says:

    Wish I can migrate to another country as well. It’s just getting too expensive to live in Singapore.

    I don’t need foreigners to come all the way here to remind me that I have to keep upgrading myself to keep my rice bowl.

    motd’s last blog post..Health is Wealth

  • kriscell says:

    Well it is true that foreigners get a higher pay (talking about at least $500 more) dispite doing less work (and lower quality). This happen to me in my company.

    Wonder why I keep pink IC for…

    kriscell’s last blog post..Baggy Chicken

  • Mole says:

    My lecturer from Georgia, Atlanta once said.. Singapore is God’s gift to Mankind.. Yea right.. All mankind except Singaporeans.. You can’t blame the government for spouting all these nonsense when it is flooded with noobs who had never been at ground level

    Mole’s last blog post..Why Wong Kan Seng should be fired…

  • Sicarii says:

    We all complain all we can, yet when people step into the ballot booths, many do not have guts to give up on their lift upgrades and all the ‘candy’ that the Gahmen is giving them with *our* money, and tick the box that’s not next to the PAP logo…

    It’s the same every election year… lots of noise saying how we need to have a change in the gahmen, but in the end the PAP still has a majority.

    Migrating isn’t the solution — the grass is just greener on the other side, because the reality is that not many who go overseas really do well and are only just getting by.

    Sicarii’s last blog post..Sex In Christ: A Proposal For Christian Pornography

  • pissed says:

    if raising wages not a solution den wad is? wait for GST(peanuts rebate)?
    if a couple have 2 kids(below age to get rebate)…den the family will have 4 members getting sucked and oni get 2 members rebate. dun tell me kids stuffs all no nid pay GST?

    cost of living rising and they still up GST? wad are they thinking?
    citizens going hungry and all they think of is foreign workers? is the govt expecting us to ask for salaries the same as foreign workers and feed a family in singapore?

    a foreign construction general worker can send S$300 per month home to feed his family.. is the govt expecting us to be able to survive with tat amount?

    I used to work as a construction worker 20+ yrs ago wif 14 singaporean colleages(all getting S$22 per day).One saturday, the boss told us all we dun have to work from monday onwards. When we came back to collect our salaries on monday, all our jobs were taken by thai workers(S$15 per day). Is this wad the govt was planning?

  • AngryAngMo says:

    Its probably true and although im a foreigner its sad to read what a country does to its own people…they shouldnt punish them like this but reward them for what they helped to build up here in the past.

    AngryAngMo’s last blog post..What too few people know about Singapores Press Freedom

  • Anon says:

    Everything is increasing price. Salary will not increase, if you r nt performing

  • Eddie Loh says:

    Here is my action plan to increase my salary.

    1) Look for a country that requires my service.
    2) Give up my pink IC once I have settled down.
    3) Return to Singapore as FT after a few years.

  • Fed Up Singaporean says:

    We are considered 2nd class citizen.FT is 1st class citizen. Grace Fo and Gan, both from pap contradict themself , collect so much pay, still not enough. Oct 08 pay rise again, whereas we workers increase $50 also don’t give, why employer don’t give ? Because employer said Gan said no use increase pay, wont solve the rising cost problem, so Gan cares about his pocket only, why we care to vote him in ?

  • firdooze says:

    I guess it depends on whose perspective you’re looking at and what you consider as “for the benefit for all.”

    Higher wages leads to and further increasing in price, probably higher inflation and a higher inflation might lead to further repercussions (will hit the poor the most coz they are the ones with little/no wage increment). Thus, if you look at an economics point of view, in the long run it would be detrimental to Singapore’s economy (and thus society in general) to increase wages. It’s volatile times man. Talks of a looming recession and stuffs.

    Although I don’t agree totally with the way the govt is handling the situation at an inter-personal level, I guess in uncertain times like now, you just need to trust that whatever they are doing is for the benefit for all in the long run.

  • Neo says:

    I agree with firdooze. I would like to add on. “for the benefit of all but at the expense of the poor” because govt is “pro-business” not “pro-labor” . As a Singaporean, we should be glad that we are given a job. But, I know that singapore workers are not happy with their pay. Some of them openly announced to the public that 6-digit monthly salary is PEANUT to them and right now, they are asking for wage rise for themselves despite the fact that economic outlook is not really optimistic.

    Foreigners are talents, the locals are just normal workers. I am so glad that govt has invested so much on me to be a normal worker. As a market economy, workers should manage their own finances to meet the rising cost of living and inflation. Remember, Govt’s role is to ensure the rich get richer so they can provide jobs to the poor. As a worker, we should welcome govt’s “pro-business” policies and we should pay more tax to the govt so that they can use this tax to help the rich and reward to talented govt officials. (Occasionally, they made mistake. The typical one is the escape of the terrorist. However, we can’t blame the leadership for letting the terrorist escaped. It is the Singaporean’s fault for not being there when the escape occurred. Singaporean are too complacent!)

    Guys, remember it is the expense of the poor to ensure the sustainability of Singapore economy. We shouldn’t be pushing the blame to the govt. The ministers are being paid PEANUT for a reason. Remember low wage is currently Singapore’s competitive edge against other emerging economies. Social safety net (especially the poor) has to be disregarded if the govt deem it is necessary for a long term growth of singapore economy.

    Govt will still maintain “pro-business” policies. In the long term, your children and grandchildren will have to contribute the same way as you are doing right now. Pay tax to finance the rich especially rich foreign companies and the talented ministers (guys, please don’t just look at the escape of the terrorist again. In general, they are being paid PEANUT for a reason) so that they don’t leave the country. We have to keep them at the expense of the poor to ensure singapore continue to have jobs and stable political climate.

    Long live, Singapore!

    Neo’s last blog post..JOB! JOB! JOB!

  • pissed says:

    as for *the benefit of all* its mostly known as *the benefit for the rich* and inflation?? its already happening w/o the raise of wages.

    singapore as to wad it seems… a world class country, but behind its juz like a 1st class 3rd world country whereby upgradings(flat owners have to pay) are meant to be shown to foreigners as wad a beautiful country the govt has turn singapore into.

    Times are not really good i admit but if so…y the increase of GST…additional ERP gantries(welcome to use the road if u are rich,,,no $$$? den u wait)

    GST for stuffs like leisure & entertainment i agree but neccessities? WTF!!!

    maybe its time for others to have a go at running the country coz at the rate the present bosses are doing? its getting harder and even harder for the normal folks.

    maybe the ppl who decides whether prices shld go up try taking S$2k home n try supporting the family instead of GODLIKE salaries whereby increases wun affect them.

  • @ TanHong says:

    Your point about

    “people who are born here and went through up and own with them no matter what happens”

    Is precisely why they don’t need to help you. You will be here no matter what so why should they bother spending resources on you?

  • SD says:

    I dont agree with you. Ms. Grace Fu is talking about construction workers, who are not talents. Hardly any Singaporeans work in the construction sector as far as I know. In fact, the construction workers are one of the most lowly paid section in the Singapore economy. Average wage is SGD 800-1000 per month and 5.5 days back breaking work. So, your comment is completely out of context here.

  • I perform a lot of number gathering for these types of games because I feel that history can show us what can happen in the future. As you may or may not know sometimes its really hard to decipher the winning team in professional football. This is the main reason why I consider using trends for basketball.

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