INVEST in productivity instead of relying on foreign workers, is
the government's response to the issue of the foreign worker levy
hike, raised at a dialogue session between a panel of Ministers and
the local business community. Companies here are also being
encouraged to invest in innovation and technology to increase
productivity in order to grow their business.
The Australian construction worker was cited as an example in
the successful blending of technology and mechanisation, and was
shown to be more productive and efficient than the average
Singaporean worker.
The issue of foreign labour has been a hot topic in Singapore.
Many Singaporeans have expressed worry over the increased job
competition from foreign workers and the recent influx with local
businesses growing more reliant on foreign labour. Foreign worker
levies serve to control the number of foreign workers in
Singapore.
Starting July 1, levy rates for most Work Permit holders will
increase by between $10 and $30 per month. They range from $150 to
$470 now.
Rates for S-Pass holders, which are workers with mid-level
skills, will at least double from the current rate of $50 per
month. Foreign worker levies will be raised gradually over the next
three years to complement the Government's efforts to boost the
productivity of firms.
Led by Finance minister Tharman Shanmugaratnam,
Secretary-General of NTUC Lim Swee Say, Manpower Minister Gan Kim
Yong, and Minister from Prime Minister's Office Lim Hwee Hua, the
dialogue session aimed to discuss how local businesses can leverage
on the economic strategy recommendations announced at the Budget
debate in February. Close to 600 members from the local business
community took part in the dialogue.
-- ST