SINGAPORE: Senior Minister of State in the Prime
Minister's Office, Heng Chee How, has warned of the risks of
continuing to rely on foreign manpower to fuel economic
growth.
He stressed that Singapore has to improve
productivity and innovation while there's still
time.
Citing a recent trip to Chongqing, Mr Heng said
Chinese officials told him that the city's success at attracting
investments and jobs from the coastal cities was based on cheap
land, financing and manpower.
But the officials acknowledged that this "cheap sourcing" strategy
was not sustainable in the long-term - it was a means to buy time
to develop higher value production and services.
Mr Heng, who is the MP for Whampoa, said a Singapore core workforce
must be built, and move away from relying on foreign workers.
Mr Heng said: "What makes us think that the economic development
that will occur in the home countries of our foreign labour sources
would not naturally reduce the need and desire of their populations
from wanting to leave home and work abroad?
"And if that happens, and if we are still bound to a model that
critically depends on their free and abundant availability, would
we not be exposing ourselves to unacceptable risks? And even if
that does not happen, would we not at least be slowing our pace of
innovation and transformation simply because of the painkiller than
we can consume for the moment?"
Weighing in on the issue is Dr Chia Shi-Lu, MP for Tanjong Pagar
GRC.
He welcomed the government's plan to reduce Singapore's "unhealthy
reliance" on foreign workers.
Dr Chia said: "I often warn my patients who are otherwise healthy
to avoid over-reliance on crutches and braces, and other walking
assisting devices when they don't need them. The initial period
after leaving these aids behind is difficult, but with the proper
guidance, the patient recovers rapidly afterwards and grows from
strength to strength.
"Contrast this with the patient who clings on to these crutches and
this patient will slowly deteriorate over time to the point in
which any form of mobility becomes excruciating. And so we must act
decisively to rehabilitate ourselves from this dependence on
foreign labour while our social, economic muscles are still healthy
and able to."
On productivity gains, Dr Chia said he hoped the government will
monitor the extent to which such gains are translated into
real-wage growth.
He welcomed the beefed-up measures to help businesses achieve
productivity growth.
But he noted the perception that gains are not equitably shared
amongst employees when companies do well.
He added that businesses that have received government grants
should be scrutinised to see how much of their employees' salaries
have risen in relation to how well the company has performed.
And this should be an important criterion for approving future
grants.
- CNA/de
