Some seek PR status only to get hands on CPF savings

CheckmateA1 SG

Some seek PR status only to get hands on CPF savings

Mon, May 31, 2010
my paper

LAST Saturday, I was upset by a former colleague who had relinquished his permanent-resident (PR) status in Singapore.

He bade me farewell, saying: "I am going back to the Philippines to retire. I cashed out all my CPF (Central Provident Fund) savings but I will come back, as a tourist."

He showed me photos of his new home in the Philippines, renovated luxuriously and comparable to a Good Class Bungalow here.

His attitude made me see red.

Have we taken measures to ensure that only people who genuinely want to settle down in Singapore and contribute to the nation's economic growth are made PRs?

I work in human resources, and some of my foreign colleagues who earn less than $2,500 monthly are PRs.

Almost all the foreigners in my workplace are vying for PR status. Some do so because the mandatory contributions to their CPF accounts result in savings which they can take out when they decide to leave.

For new PRs, the CPF contribution rates are graduated, but they get full rates from the third year onwards (the same contribution rates as Singaporeans).

Perhaps the CPF Board should revise the contribution rates for PRs to make it less attractive for those who want the status only for the CPF savings.

Foreigners who have become PRs find it easier to apply for jobs in Singapore, compared to those who are on employment passes.

PR status aside, are employers providing fair employment opportunities to Singaporeans?

Are graduates from Singapore universities not comparable to graduates from foreign universities, such as those in the Philippines, China, Myanmar, Hong Kong and Indonesia?

Before employers decide to hire a foreigner, have they exhausted all reasonable recruitment options in Singapore first?

It is a myth that foreigners have lower salary expectations than Singaporeans.

Of the foreigners who graduated from a university in their home country, the majority whom I have met and interviewed expect much higher salaries than, or salaries comparable to, what a Singaporean with a good local degree would get.

Their reasons include having to pay rental fees and utility bills, to remit money to their families and to pay for their children's education in their home country.

But Singaporeans also have similar burdens: mortgage payments, utility bills, children's education fees, as well as a sum of money to be put aside for elders as a form of filial piety.

Besides, a foreigner's salary could turn out to be quite a substantial sum after currency conversion.

I hope that employers will provide employment opportunities to Singaporeans before considering foreigners.

MRS ANNA LEE

http://www.asiaone.com/News/AsiaOne+News/Singapore/Story/A1Story20100531-219249.html

CheckmateA1 SG

An open letter to PM Lee on PRs cashing out CPF

Dear PM Lee,

Please see another article reported online @ www.asiaone.com (one of the SPH publication media) not from www.temasekreview.com (some people may call its “anti-PAP” news blog).

See link: http://news.asiaone.com/News/AsiaOne%2BNews/Singapore/Story/A1Story20100531-219249.html

How many foreigners that apply for PR or even Citizenship want to make Singapore their new adopted home? Can the Civil Servants get down the street and disguise as undercover to find out from these PR and new Citizen, why do they want a blue/pink IC? I can safety bet with my last penny that the CPF scheme is one of the reasons for them wanting to get blue IC ASAP.

We have locally-born Citizens complaining that the Government come out all kinds of ways to keep Citizens’ CPF (I personally not against on minimum sum principle); and on the other hand we have foreigners happy with the CPF system that function just like any commercial bank’s fixed deposit (earning high interest annually) while working here. Which global banks in any parts of the world pay an annual interest of 2.5% (+1% for the first thousand dollars in the bank deposit) to their customers?

Some people may argue that if locally-born Singaporeans see red on the foreigners; you can also cash out your entire CPF saving and migrate to greener pasture! However, how many locally-born Singaporeans can do that? Even if you can afford to migrate to greener pasture say Australia, you are starting all over again (to retire) in your NEW adopted home using the entire cash out from Singapore; compared to a foreigner cashing out from Singapore mean going back to a familiar place where you were born fifty years ago.

PM Lee, I’ve been writing to you and ministers on these policies a couple of time before. I do sincerely hope that the Government don’t just pay lip service for the sake the PAP winning the next GE. Singapore has what it is today – a first-world living standard, credits due to PAP must be commended. However, I feel that locally-born Singaporeans have given the PAP too much power to decide our country destiny hence as the years go the Government neglected these people’s feeling.

Thank you for your attention. And have a nice day.

Yours Faithfully,

TEMASEK REVIEW

CheckmateA1 SG

I love my country, does my country love me?

From a local lesser mortal!

Arapahoe SG

Well I think you have to explore the writers mentality there is a little jealous here....for what they can get in the Philippines. (I am not siding with foreigners taking advantage of Singapore)

The cost of living in SEA including philippine are much lower as compared to Singapore. So be it the Philippines, MY. Thai, Indo, Viet....it make economical sense for them to come and work here and recoup the money back to their home country to get a house. If we are in their shoes we do the same.

Singaporean should do the same get a PR in the Philippines and lived out our life there......no need to be jealous. or Australia...NZ...for higher cost of living that better reflect your lifestyle.

On the other hand for the high cost of living in Singapore who to blame?

We vote for the party for 45 yrs, we speculate on public housing.....Our govt created liberal flow of immigrant.

Just because migrant wokers come from less developed country doesn't means they don't have common sense to think for basic knowledge of self Gain.

Rock^Star SG

Wanna blame? Dun blame the PRs. They have a right to go overseas and seek out the best for them.

Blame it on the liberal immigration policies. If you wanna get your CPF out like them, then give up your citizenship. All the money goes to you.

webben SG

A bit jealous? CPF or not, the PR/EP holder can always take his income back home. The only difference is with PR the income is channeled into forced savings in the mean time.

Employers' contribution is usually calculated back from the total cost of an employee, and it's common for employers to demand that contribution from the employee who has newly become a PR.

As for interest rates, banks in Australia are paying 6-7% now on fixed deposits. An extreme example, but not all countries' interest rates are as low as SG. So the CPF interest is no real gain for PRs.

At the end of the day the writer is simply miffed that foreigners can take their earnings with them. So what are the options? Prevent foreigners from coming in. Or disallow them from leaving. Or disallow them from taking their savings. Only the first option is an acceptable solution (and by this I'm not saying it's a problem that needs solving).

Fallen-Angel SG

Yes, no use blaming the PRs. At least they are not laughing at our stupidity like some particular cheenas who work/studied here. Blame on the policy.

Vote PAP OUT to Save SG SG

We vote for the party for 45 yrs

I never voted for PAP in my life.

Also the previous votes for PAP were largely based on fear in my opinion.

angel7030 SG

I never voted for PAP in my life.

Also the previous votes for PAP were largely based on fear in my opinion.

exactly, if you vote PAP, i would had strike the 10 millions toto draw

redDUST SG

i think mrs anna lee is just disgruntled.

there is no details how long this pinoy sing pr works in singapore and i didn't know one can retire in the philippines with the cpf money if he/she works for only a few years.

`retire', `good class bungalow' etc. are all words to amplify her frustrations on being caught in the middle in singapore.

applying for pr doesn't mean the person is staying for good. it means convenience on a lot of fronts for the person/family, and hopefully he/she will settle for good as pap would have liked. there is no such thing as a 100% hit rate as mrs anna lee would like it to be.

Bio-Hawk SG

Jealous, greedy whiners.Die plz!

Chester_Lim SG

Don't need to waste time writing to the PM or PAP lah. Just vote them out in the next election

ditzy SG

Don't need to waste time writing to the PM or PAP lah. Just vote them out in the next election

What are the chances of that happening? Say tanjong pagar GRC?

Clivebenss SG

What are the chances of that happening? Say tanjong pagar GRC?

when the old man kicked...

mspbeckham SG

Aiyah...they work here and deserve some CPF lah... it is thier right to withdraw and go back to thier home countries. After all, they contribute to our society and econmomy before they went back.

These ppls at least got guts to withdraw CPF and go back for good. Unlike our neighbours across the bridge...still need thier ex-PM Mr M to beg them to return so they can bring the CPF back. why these PR have no guts to withdraw and go back north??? bcos here is world class city and back north (across the bridge) is farm....wulu wulu place... Mr M thought those PR so stupid like his oran alsi.....

Must well keep the CPF here and can earn interest than bring back and sleep under the pillow and earn nothing....... what can Mr M offer besides a attap home (1K RM worth) vs condo (million $) or well furnished flats ( few hundreds thousands worth) here

angel7030 SG

Aiyah...they work here and deserve some CPF lah... it is thier right to withdraw and go back to thier home countries. After all, they contribute to our society and econmomy before they went back.

at least Dr M retired himself, unlike our LKY, die die also dun want to declare retirement, no wonder we get old age population...

mspbeckham SG

Mr M where got retire???? Mr M afraid to continue or rather no body want him to.......

All the major world leaders still visit Spore or seek MM Lee advice...... but laughing at Mr M for his mismangaement of Msia...... Mr M can only be zoo keeper ...taming the M ky in Msia...and made sure they just eat /licks bananas and nothing else

charlize SG

PRs also need the money what.

You think they like to see their money locked up through CPF?

They are smart enough to know the longer they keep it there, the longer they will have to wait before they can actually touch it.

angel7030 SG

PRs also need the money what.

You think they like to see their money locked up through CPF?

They are smart enough to know the longer they keep it there, the longer they will have to wait before they can actually touch it.

look, most PR are still young and new here, they thot that employer contribution add on their total wage bill, dun worry, as they grow up, they will learn, just like most Singaporeans do.

mspbeckham SG

So long the PR see thier money safe here...they trusted our Govt.... if they so stupid to bring across the brigde ....they must sleep and hide under thier pillow as they don trust thier govt........

See... why our nieghour across the bridge so Big ...but cannot find enought jobs for them ?

why Msia so Big.... but thousands of students come here as they cannot find good sch back home?

Why good food/fruits must export to Spore.... Msia don have enough ppl to afford to eat meh?

Why MAS is 20X smaller than SIA? why GIC is 50X richer than Msia Govt Fund?Why Changi is world best????

Why hundred thousands of workers travel daily here to work in factories ?

Mr M land so small meh.... no enough factories....no enigh sch...no eniugh job... no ppl to eat good food/fruits? .....20 million ppl but cannot find ppl to run the company or govt so effectively as Spore (with only 4 million incl PR)