CPF is part of the wage component to a Worker that is paid by the
Employer - this is a fact that is seldom appreciated by the Worker,
who will only look at the "Take Home Amount" as real wage.
Over time, the CPF ceiling level will drop even lower as salary
will slowly rise to the previous levels before the financial crisis
of 1997 and 2001.
Who do you think will benefit from this exercise ?
The Government and its related GLCs are the biggest employer of
Singaporeans, and is the biggest beneficiary to the continuous
falling contributions into the CPF.
On one hand, CPF is reduced; and on the other side, the rate of
wage increments are also pressed down - resulting in a "double
whammy" being experienced by the Worker.
Who else can benefit but the Employer.