even some of the old guards didn't believe in throwing money at
politicians:
Cabinet pay
May soon rise
During May election, hikes in 5-7% GST and cabinet ministers pay
were widely speculated. Now the 2nd part may also come true.
By Seah Chiang Nee, littlespeck.com
Nov 26, 2006
By far the highest in the world, Singapore cabinet ministers
salaries are likely to head for another increase soon.
It follows the recent announcement that civil service salaries
would be kept competitive to retain talent, although it did not
cover political leaders.
However, Prime Minister Lee Hsien Loong had given a strong hint of
it when he said in March that ministers pay was lagging behind
salary benchmarks.
This was widely anticipated during the May general election when
speculation was rife that two unpopular hikes would come as soon as
polling ended: A GST (Goods and Services Tax) increase from 5-7%
and a rise in cabinet salaries.
The GST hike from 5-7 per cent was recently announced. And
observers say the cabinet pay now looks almost certain to
materialise.
With the next election five years away, the news is unlikely to
cause immediate damage to the ruling Peoples Action Party
(PAP).
However, public resentment remains high against the huge salaries
paid to the Prime Minister, Minister Mentor and Senior Minister as
well as other ministers, although it wasnt enough to bring down
the government.
Currently, ministers are paid basic annual salaries (plus
performance bonuses) and, at age 55, they are entitled to collect
both a salary and full pension.
The President's basic salary US$1,500,000 (S$2,507,200) while the
Prime Minister gets US$1,100,000 (S$1,958,000).
Minister's Basic salary ranged from US$655,530 to US$819,124
(S$1,166,844 to S$1,458,040) a year.
In comparison, the president of the United States, the most
powerful nation in the world, earns US$400,000 and US$50,000
expenses, less than what a junior minister earns in Singapore. In
UK, Prime Minister Tony Blair earns US$170,556 annually.
When Mr. Lee Kuan Yew devised the high salary scheme in 1994
allegedly as a means to combat government corruption - many
Singaporeans opposed it including some of Lees own
colleagues.
Mr. Lim Kim San had "his reservations against throwing money at
politicians. His personal preference was to give them challenges
and dare them to overcome them.
Not convinced that high pay packets were necessary to beget good
politicians, he said in an interview in 2000: "You don't throw
money at yourself. We have a lot of people, like entrepreneurs, who
will accept challenges. What is worrying me is that we are having
less people who will take up a challenge'." (S.T. July 21,
2006)
Lee has defended the high salary as necessary to give Singapore its
good governance and keep it Asias least corrupt country.
