I think what he meant was those PRs in recent times who are
working as masseuses and cleaners and low skilled jobs.
10 years back, the PRs who came to work in singapore were
educated and working in MNCs and creating economic value to the
country. In recent times, even low skilled uneducated people
were given PRship (there are previous threads on this issue).
Whilst the main bulk of the PRs are probably contributing to the
country, there has been an increasing trend of giving PRship to
these lesser educated workers from other third world countries all
in the sake of boosting the population growth rate or GDP
numbers. Hence you see recent reports of lower
productivity.
You need to understand that most singaporeans are not against
giving out PRship or converting new citizens or FTs working in the
country. The fact is that the government has opened the
floodgates to too many lowly skilled workers into the country in
too short a time, thereby causing a lot of social problems and
rising discontent among the people.
If you want to know how bad the situation, I know of PR friends
who have studied, worked and lived in singapore for most of their
lives also expressing their discomfort at the current situation and
crowdedness in the country and where the country is
going. 
Low skilled or not, still we dont have the right to call them
blood suckers, their doing the job that no singaporeans wants, they
work honestly and contributes to the society... Besides havent you
heard? the gahmen cut down the PR's subsidy on healthcare
instead of just raising up our benefits as citizens, which means
other people have to suffer in exchange for our benefits.
As for beta, yes its true, our future generations now are
becoming dumber... why is LKY always overlooked this situation
about our young generations going down the drain?. We see them
everynight untill morning hanging outside MRT, malls,
esplanade kissing (not just kissing by the way they might be one of
your daughters or sister hahaha), skating areas in somerset or
some obscure areas where they can do anything illegal freely. I see
some students pretending to study in mcdonalds (who are they
kidding), how can you study in a crowded place right, besides its
not a studying place (signs are already posted). But in day time
till noon, the library is not even crowded.
