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HDB after BDD Corporatisation
Suggestion
Some functions in HDB were privatized in Jul 2003. More than $200
million was spent on SRS. Many former HDB staff joined Surbana with
very little pay cut. Some fortunate ones might have pay increases
despite very attractive SRS given to them.
After July 2003, some departments are created for the remaining
Heads of Department (HOD). It appears the new Departments were
created to accommodate the former HOD’s rather that the functional
needs of HDB. Many functions within the Building Group are not well
defined and possibly duplicating in some areas. It may be better to
collapse into fewer Departments within the Building Group. On
national level there are many duplicating functions at URA, BCA and
HDB. For examples, HDB has BCU which performs the same function as
BCA; Research and Planning Department in HDB is similar to URA. Why
not make it a one stop service to serve the public better and at
the same time some cost serving?
There are too many Audit checking , design review and control
function performed by HDB nowadays on Surbana. This is due to the
overstaff in HDB and to create “ unnecessary” auditing work to
justify their existence. Too many audit checking, design review and
control function by HBD have caused additional cost to the poor
contractors who are already suffered badly by the economic downturn
and the material increases.
If HDB needs to carry out frequent audits, design reviews and con
trol functions because Surbana cannot achieve the desired results,
then HDB should deduct/reduce the consultant’s fee paid to Surbana.
Surbana is being paid too high consultant’s fees and is making huge
profit. It is not fair to other consultants in the private sector.
Which consultant is making as much as the Surbana staff? All these
are the tax payers’ money. Why is HDB helping Surbana to pass the
manpower cost to flat purchasers? Why Surbana staff are paid QP
allowance when the works are all normal standard. Depite the high
salary cost for Surbana staff, Surbana is still making huge profit.
Is HDB and MOF prepared to review the professional fee/ management
fee paid to Surbana.
During the heavy building period , HDB built some 60,000 dwelling
units (DU). To-day HDB builds very few DU’s. However, the manpower
on site site supervisors is still very high or very little
reduction. Can HDB justify the manpower cost in terms of DU’s and
manpower needs. Too many site supervisors are employed by HDB
despite the construction slump. All the site supervisors are very
well paid and well above the market rate. Why HDB needs to help
them again and again after paying them SRS? Many new Poly and
University graduates are suffering from unemployment. Why HDB is
paying Surbana or HDB Corp a management fee for the employment of
the clerk-of-works? There are other well above market rate
management fees paid to HDB Corp or Surbana by HDB. Does it defeat
the whole purpose of ‘privatization’?