Yes, the labour market shall remain tight even after election,
maybe till 2020 before it self correct by itself. And that is also
why I keep urging taxi companies and LTA to
increase taxi fares and not rental, but seem like turning into a
deaf year, so cabbies out there should know what to do come 2016
election.
As I melted out previously that income in Singapore must
increase inorder to offset inflation, the years of dependency on
foreign labour had depressed our local wages for a long time, and
that depression hit even freelancers like TD in a dominos
effect.
Prof Tommy Koh had once pointed out to the govt that a driver in
US or europe having a lower or same GDP as us
is earning 5 to 6k euro or US dollars, and we are just merely 3 to
4k except some heros saying 6 to 7k, and yet in those develop
countries like us, the driving hrs are shorter and our is driving
like a slave.
Former prof of NWC Dr Lim asked the govt
to give a shock therapy of 50% increase in wages for all locals,
and he was laughed off as insanity and crazy. But to be frank, that
can be true, but not in absolute value, perhaps incremental which
imply within the next few years.
As depressive layman’s wages bring down taxi driver income, an
aggressive layman’s wages increase shall bring up driver income,
simply to put it, if a hotel driver is earning 3k, who would want
to drive taxi, maybe yes, but little, therefore, there is a market
value that govt must look into it. And beside, higher wages lead to
more taking taxis without a blink of an eyes.
Most traditional companies who are here for along time are the
one most reluctant to changes, especially in wages, because most
still practice on low wages policy by employing foreigners in a way
to higher profit, and that lead to negative productivity, the
managment of these companies who are so adapted to engage cheap
labour will had lost all skill in how to improve productivity, to
them is a slow process and must work on it, why not just get a
cheap labour and profit goes up, quality will be sacrificed. End up
labour productivity very high.
I bet these companies will loose out to newer and more
understanding and productive establishments or organisation. Such
as older hotels are losing top staffs, who are head huntered by
newer hotels with new managements.
As we go along, Mom is going to reduce further quotas, increase
levies, and filter out non relevant entry permit, and at the same
time, catch those cheating employers on fake certificates and
wages. Mom Minister Tan, who was formerly a general in SAF is for once, commended for his policies and more
importantly, his readjustment and waking up of MOM staffs and managements.
\ In comparing to previous Mom minister, I should that by far,
this younger man is the man, if he is to take over LTA, that will be a bonus for TD
