1 Ms Foo Mee Har asked the Prime Minister (a) what is the rationale for the rule whereby banks only deny further credit to individuals when their aggregate debt across all financial institutions exceeds 12 months of their income for 90 days or more; and (b) how does this rule prevent borrowers from racking up huge debts beyond their repayment capability.
\tThe Deputy Prime Minister and Minister for Finance (Mr Tharman Shanmugaratnam) (for the Prime Minister): Mdm Speaker, in September this year, MAS introduced a limit on an individual's total unsecured debt across financial institutions. This new limit will come into effect in June 2015. So, we are giving it some time to be phased in. We set the limit at 12 months' income for a start, so as to give borrowers who are already over-leveraged time to adjust. For instance, according to Credit Counselling Singapore, the average debt level of individuals seeking its help exceeds 24 months of their income. MAS expects financial institutions to work actively with their affected customers to take steps to bring down their unsecured debt levels. MAS will monitor the situation and is prepared to lower the limit over time if necessary.
The 12-month limit is, however, not the only safeguard against borrowers accumulating too much debt. We also introduced other policy changes for credit cards and unsecured credit facilities in September, which take effect progressively from December this year. So, they kick in earlier. One of the key changes is to require financial institutions to review a borrower's total debt and credit limits with all financial institutions before granting a new credit card or unsecured credit facility, or increasing the credit limit on such facilities. This will ensure that financial institutions do not extend unsecured credit to an individual beyond the limit of 12 months income. So, we are taking some time to bring into effect the rules for existing borrowers, some of whom are significantly over extended, but when it comes to new facilities and new loans, the effect of our new rules is to start helping them early.
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Ultimately, everyone has to take personal responsibility for their own finances, and not get into debt-servicing obligations that leave them with little buffer in their incomes. The MoneySENSE national financial education programme has stepped up its education of consumers on factors to consider before taking on debt.
\tMs Foo Mee Har (West Coast): Mdm Speaker, I thank the Deputy Prime Minister for his comprehensive response. I have three supplementary questions. One, given the implementation date of the aggregated debt limit for unsecured loans of 12 times income will only take place 1 June 2015, how can we prevent individuals from chalking up huge debts to well beyond the 12 times income rule?
Secondly, if all the banks decide to call on lines on customers that exceeded the 12 months' aggregated debt limit come 1 June 2015, what is the risk of a credit crunch in the industry or forced bankruptcies on vulnerable borrowers? Would the Minister allow \"grandfathering\" of existing cases?
Thirdly, how can we prevent individuals from turning to alternative sources of financing, such as moneylenders or pawnbrokers, which usually charge higher rates or tougher terms and are currently not regulated by MAS? There is no centralised cross-agency database that gives the full picture of an individual borrower's debt from the various sources. How can we ensure on an aggregated basis – both the banks as well as the alternative sources – individuals do not over-stretch themselves and how do we close the regulatory loophole?
\tMr Tharman Shanmugaratnam: Mdm Speaker, I thank Ms Foo for those useful questions. They, in fact, come from two different directions, or they reflect quite different concerns. First, what happens between now and June 2015? Ms Foo is concerned that borrowers can still extend themselves even further in the meantime. What we have done is that we are starting off with some softer rules and, eventually, it becomes quite a hard rule in June 2015. Immediately, from December this year, banks will already be required to do a check with the Credit Bureau, as well as income checks on the borrowers, before increasing the credit limit. For those who already are over-extended, we are giving them time to bring down their debts and the financial institutions have to work with them to try to make this possible. But when it comes to increasing the amount of debt that they have, the rules in effect kick in quite early. We are not specifying that the 12-month limit is a hard limit now, the banks do have to make checks with the Credit Bureau to find out that total debt with all the financial institutions, and they have to also do a check on their income status.
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It has to be updated as well. That, I think, will have the right effect. Banks can make their own judgement and they do not want to force people into the unregulated market. The banks are able to make a good judgement on that between now and 2015.
The Member's second and third questions, I think, are essentially similar. We have to calibrate these rules such that we do not drive people into the unregulated, let alone, illegal markets. That is an important balance that we have to find, especially for those who already have significant debts. That is why we are giving them time to work their debts down. Through Credit Counselling Singapore and the banks' own efforts, some efforts can be made, case by case, to try and restructure their debts. But it is important for them not to extend themselves even further.
The easiest way to extend yourself even further is to go to the moneylenders or the illegal moneylenders. There, the interest compounds at a rate where you are almost guaranteed to have to increase your indebtedness.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"US President Barack Obama's Absence from APEC Summit in Bali","subTitle":null,"sectionType":"OA","content":"2 Mr Nicholas Fang asked the Minister for Foreign Affairs (a) what will be the long-term impact of President Barack Obama's recent absence from the APEC Summit in Bali; and (b) whether this is an example of potential challenges which can derail the US' strategic pivot to Asia.\t
\tThe Senior Minister of State for Home Affairs (Mr Masagos Zulkifli B M M) (for the Minister for Foreign Affairs): It was understandable that US President Barack Obama could not attend the APEC meetings in Indonesia and the East Asia Summit (EAS) and inaugural ASEAN-US Summit in Brunei, given the pressing need for him to remain in the United States. The impact would be far worse if the US government could not resolve its fiscal problem, compared to the cancellation of a US Presidential, which could be reinstated to the region at any time.
Nevertheless, the gridlock in the US' domestic politics and the fact that the US' fiscal position continues to be imbalanced send a worrying signal to the international community. This has implications beyond the economic uncertainty and impact caused by the gridlock. It has led many observers, both
\tPage: 12
in the US and internationally, to voice concerns about the impact on the US' ability to exercise global leadership. President Obama's presence at the key meetings in Asia would have been a good opportunity to reinforce his personal, high-level commitment to the US' rebalancing policy towards the Asia Pacific.
However, the fact is that the US remains resilient and innovative. It has a dynamic economy that continues to produce and attract top talent. Despite the political challenges and domestic distractions, the US remains a key player in our region. US leaders are fully cognisant of the mutual benefit that all parties stand to gain from the US' continued engagement of Asia.
Secretary of State John Kerry stood in as President Obama's representative. He and the other regional leaders had positive and productive discussions at APEC, the EAS and ASEAN-US Summit. Good progress was made on important issues like the Trans-Pacific Partnership (TPP) agreement. Singapore will host the next TPP Ministerial meeting in December, which we hope will help us work towards its substantive conclusion this year.
\tMr Nicholas Fang (Nominated Member): Thank you, Mdm Speaker, and I thank the Senior Minister of State for the reply. I have one supplementary question: the solution or whatever compromise that seems to have been reached in the US, appears to have just postponed some of the inherent problems in the system for barely a few more months. With further development and engagement with the US imminent and, as the Senior Minister of State mentioned, with the upcoming TPP, are there greater concerns on the part of the Ministry in terms of how the potential of the \"kicking of the can down the road\" would continue to impact Singapore and ASEAN and US relations in the months ahead?
\tMr Masagos Zulkifli B M M: Where Singapore is concerned, we will continue to engage our partners – US, China – all in balance. We have to pray that they get their domestic priorities right because what they decide in the future will have a lot of impact on the global world. The constant engagement by the world with the US will continue, so that they understand the impact that their decisions have on the region and the international community.
\tPage: 13
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"National Service Enlistment for Top Male Athletes","subTitle":null,"sectionType":"OA","content":"3 Mr David Ong asked the Minister for Defence if the Ministry will consider providing a more flexible approach to National Service enlistment for our top male athletes so that they can continue to excel at their sport whilst at their prime.\t
\tThe Minister for Defence (Dr Ng Eng Hen): Deferment from full-time National Service (NS) may be granted in exceptional circumstances to individual sportsmen, who are assessed to be potential medal winners at international competitions, like the Olympic Games, and bring national pride for the country. Individuals will have to show why deferment is necessary for them to train full-time and compete successfully at international competitions. Each case will be assessed individually in consultation with MCCY.
Earlier this year, MINDEF received an application from the parents of Joseph Schooling to defer his full-time NS, as he is due for enlistment in 2014. Included in the appeal, were detailed plans which outlined his training schedule and targets with the goal to represent Singapore and compete successfully in the swimming competitions of the 2016 Olympic Games. MCCY supported the appeal for deferment as they assessed that, based on his previous achievements in international competitions, Mr Schooling had the potential to do well in the next Olympic Games. As this appeal satisfied all the conditions for deferment of exceptional sportsman, the Armed Forces Council has decided to grant deferment to Mr Schooling for full-time NS till 31 August 2016 in order for him to train and do well in the 2016 Olympic Games. Mr Schooling will be enlisted for full-time NS once his deferment ends. We wish Mr Schooling every success and hopes that he will do well in the next Olympic Games.
\tMr David Ong (Jurong): Thank you, Mdm Speaker. I thank the Minister for the response. The sporting fraternity, especially our male athletes, are placing greater emphasis for a longer term investment in terms of sports development, overseas coaching and training, including competitive exposure with top athletes. I have two supplementary questions. First, while MINDEF's flexibility in allowing our elite sportsmen to defer NS on a case-by-case basis is welcomed, can the Ministry provide clarity in its pre-requisites for granting such deferments, and the classification of exceptional sportsmen? Can the Ministry also look at establishing a NS deferment scheme for our elite male athletes and that the eligibility criteria can be made known to our sportsmen for both individual and team sports as this will help them to invest and plan ahead for their sporting career with confidence, and not worry about whether they could
\tPage: 14
be deferred later on.
\tDr Ng Eng Hen: There are specific criteria. Our criteria are explicit, so, let me repeat them. They can be considered for deferment in exceptional circumstances and are assessed to be potential medal winners at international competitions, like the Olympic Games, and bring national pride for the country. They have to show why deferment is necessary for them to train full-time and compete successfully at international competitions, and cases will be assessed in consultation with MCCY.
\tEr Dr Lee Bee Wah (Nee Soon): Mdm Speaker, I am glad to hear that Joseph Schooling's application for deferment is approved. I would like to ask: besides the Olympic Games, will the Ministry consider the Asian Games as well? The Olympic Games is the pinnacle, but along the way, there are many other international tournaments.
\tDr Ng Eng Hen: We do consider those, in other words, competitions apart from the Olympic Games, but they must be sufficiently high level and are exceptional.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Update on Fair Consideration Framework","subTitle":null,"sectionType":"OA","content":"The following question stood in the name of Ms Mary Liew –
4 To ask the Acting Minister for Manpower in respect of the Fair Consideration Framework (a) what is the purpose of the exemption limit for jobs with fixed monthly wages above $12,000 and on what basis is this determined; (b) whether this exemption limit is subject to review and adjustments in accordance with economic conditions and inflation; and (c) whether the Ministry will also be looking beyond the application of the jobs bank for PMEs to the rank-and-file jobs.
5 Assoc Prof Tan Kheng Boon Eugene asked the Acting Minister for Manpower whether the Fair Consideration Framework can be extended to the entire employment process to include promotion, retirement and retrenchment decisions to ensure that discrimination is kept at bay in our workplaces.
6 Mr Png Eng Huat asked the Acting Minister for Manpower with regard to the Fair Consideration Framework (a) what is the consideration for excluding
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small firms with 25 or fewer employees; (b) what is the current total number of small firms and the total number of workers they employ; (c) what is the estimated average ratio of Singaporeans to employment pass employees at the PME level in all firms; (d) what is the estimated average ratio of Singaporeans to employment pass employees at the PME level in all small firms; (e) what is the percentage of small firms that fall below 30% local shareholding; and (f) what is the estimated average ratio of Singaporeans to employment pass employees at the PME level in small firms that fall below 30% local shareholding.
7 Ms Sylvia Lim asked the Acting Minister for Manpower under the Fair Consideration Framework (a) whether a Singaporean applicant using the national jobs bank can lodge a complaint if it is found from experience that the hiring process may be unfair; (b) what is the timeframe or frequency for checking up on the ratio of Singaporean to foreigner PMEs in firms; (c) what is the low ratio threshold trigger for scrutinising firms; and (d) how are repeated complaints for triggering scrutiny determined and calculated.
\tMr Ang Hin Kee (Ang Mo Kio): Question No 4, please.
\tThe Acting Minister for Manpower (Mr Tan Chuan-Jin): Mdm Speaker, may I take the next four questions together?
Mdm Speaker: Yes, please.
\tMr Tan Chuan-Jin: The features of the Fair Consideration Framework (FCF) need to be viewed in Singapore's context where there are more jobs being created than there are Singaporeans available to fill. This is a good problem to have. It is a good situation because it allows us to keep unemployment low.
Unlike in other countries that face high unemployment among locals, our economy continues to generate good and diverse opportunities for our people. The purpose of the FCF is to encourage a level playing field for Singaporeans and maintain our values of meritocracy and fairness in the workplace. The FCF, therefore, needs to be designed in a way that is practical and appropriate for Singapore – one that pushes employers to consider Singaporeans fairly but, at the same time, avoids making things too rigid for businesses. Why does this rigidity matter? It matters because when companies can thrive, opportunities are also created for our people. It is really about catering for an open, diverse and dynamic workforce but, at the same time, making sure that there is fair consideration at play. They need not be mutually exclusive.
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Let us also be very clear that there are no exemptions to the need for firms to consider Singaporeans fairly. All firms must do this. But some practical exemptions have been made only for the advertising requirement, for a start. The advertising requirement is just one part of the overall framework.
First, firms with 25 or fewer employees are exempted from the advertising requirement, as we believe that many smaller businesses do not have the sophisticated HR management to process many of these applications. One could argue whether it should be 20 or 30 employees. In our judgement and in discussion with the tripartite partners, we believe that 25 would be the number to start off with.
More importantly, however, applying the FCF to the larger firms will yield the greatest benefit, given that they employ most of the EP holders and they generally offer jobs which are more sought after by Singaporeans. In percentage terms, as highlighted in the Frequently Asked Questions (FAQs) appended when we released the information on the FCF, firms with 25 or fewer employees, employed about 25% of all EPs. Essentially, for larger firms with more than 25 employees, they employed about 75% of all EP holders.
Secondly, jobs paying a salary of $12,000 and above a month are also exempted from the advertising requirement. This is because open advertising for jobs, such as these, is usually done in a different manner. Furthermore, such jobs cover only 5% of the local workforce, meaning that the vast majority of jobs would be covered by the advertising requirement.
Thirdly, we have not applied the advertising requirement for rank-and-file jobs, because there are other tools, such as levies and Dependency Ratio Ceilings, which will spur firms to search for suitable Singaporeans before applying for S Pass or Work Permit.
Nonetheless, we will monitor the implementation of the FCF closely, and make adjustments to the exemption framework as necessary.
While there are some exemptions to the advertising requirement, let me again reiterate that there are no exemptions to the need for firms to consider Singaporeans fairly. MOM will impose greater scrutiny on firms with a low proportion of Singaporeans at the PME level for its industry – whether they are small firms or whether they have jobs paying $12,000 and above. The exemptions for small firms with 25 and fewer employees and jobs paying $12,000 and above apply only to one portion of the FCF, which is the advertising
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requirement.
Employers will be identified for additional scrutiny based on a range of factors. We will consider how a firm's proportion of Singaporean PMEs compares with others within the same industry. Other factors, such as how fast the proportion changes over time, which could be due to promotion, retirement, retrenchment patterns and so on, are also relevant. We are not expecting each firm to work towards a target percentage of Singaporean PMEs in its workforce, given that it varies across industries. Within each particular sector, there will also be variations depending on what areas of business they are in, and, even within the firm, they have different skill sets in terms of the applicability to the local workforce. What is important is that the firm has fair and meritocratic hiring practices that consider Singaporeans fairly. At MOM, we will have our internal triggers to scrutinise these companies accordingly.
Firms will also be flagged out if there are repeated complaints of unfair HR practices, whether it is for hiring, promotion, retirement or retrenchment. Such firms will be subject to additional scrutiny in their work pass applications and those which are found to have poor employment practices may have their work pass privileges curtailed. In addition, for unfair dismissal cases, we have the Employment Act to protect employees who feel that they have been treated unfairly.
In conclusion, I would stress that the FCF is not just about the advertising requirement. It is also about MOM playing a much more active role to engage firms that do not seem to be doing enough to hire and develop Singaporean PMEs. However, while the FCF signals acceptable norms in HR practices, it is also important for us to understand that it is not the intent nor is it desirable for us to ensure that every single PME job will go to Singaporeans. We do need to make sure that the economy remains competitive and that is probably the best way to look after the interests of all Singaporeans. Employers are best placed to decide which candidates can do the job. What MOM will do is to signal these expectations quite strongly and clearly, and, importantly, to monitor the firms' HR practices closely to minimise instances of unfair practices.
Mr Png Eng Huat (Hougang): Mdm Speaker, I have three questions for the Minister. One, how would MOM view advertisements in a jobs bank put up by recruitment agencies that specialise in hiring employees on work passes only? That means they are actually specialised companies hiring employees on work passes. When they advertise in the jobs bank, obviously their intentions are clear: they intend to hire foreigners. How would MOM apply the FCF on such companies? To them, they are just going through the motion, so that after 14
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days, they can hire employees on Work Passes.
Two, it is stated in the published FAQs that MOM does not review the merits of a firm's hiring decision. But would MOM consider imposing some additional conditions on the firm if the number of applications for the listed jobs is more than a certain figure? If a job can attract so many locals to apply and yet, at the end of it, not one Singaporean is considered suitable for it, then something is amiss. It is either that the company is bent on hiring non-Singaporeans or maybe our education system is not churning out the right mix to power our economy.
Lastly, I understand the figure of 25 workers and below, and the exemption for advertising that applies to firms with this number of employees, I have asked some numbers but they are not given. Maybe the Minister can share them?
\tMr Tan Chuan-Jin: If I may seek a quick clarification on the first question. Is the Member referring to Work Permits or Employment Pass? If you could just repeat it.
[(proc text) The hon Member repeated his question. (proc text)]
\tMr Tan Chuan-Jin: Okay, Employment Pass. Mdm Speaker, with regard to the first question whether companies would go through the motion of advertising, as mentioned, under the Fair Consideration Framework, the advertising component is one part of it. We require companies to advertise. That is important, especially in a tight labour market. We do believe that there are Singaporeans out there looking for jobs. Many companies assure us that they are looking out for Singaporeans but cannot find them. By having a jobs bank, there is a lot of utility in that because it ensures that every job that people are considering looking for EPs to come in, Singaporeans can have access to that data bank to look at whether those jobs are available.
If I were to combine the first question and the second one, it is about whether there would be biased hiring, meaning that people are just going through the steps and, therefore, they would just put up the advertisements for 14 days and so on, but would not want to employ Singaporeans. In this case, it would trigger the second criterion, which is for us to go in to look at companies in a much more detailed fashion. We would look for a number of reasons: were there, perhaps, allegations of unfair recruitment patterns brought forward by Singaporeans? For example, there will be jobs that Singaporeans have applied for, and they felt that they are eminently qualified for, but, for one reason or
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another, they are not hired.
It is not for us to question companies per se, but if there are certain patterns that occur, we will go in and look in detail at how these companies conduct their businesses.
I would add also that in terms of whether it is the right mix and whether the skills sets are applicable or not, what we will find is that in any economy, there will be jobs where there may not be a lot of Singaporeans going into. So, it is whether from a structural perspective, from the education and training perspective, should we cater more for that type of jobs? Or perhaps, we may not necessarily have a lot of Singaporeans that might be going to that particular sector, but there is a space for foreigners to play that role because, in turn, they contribute and value-add to that particular sector, a particular part of the economy, which, in turn, also creates other jobs and opportunities.
What we will do collectively with the other economic agencies is to analyse the patterns of job creation and local pipeline across the sectors. There may be cases where we recognise that there are certain skill-sets that, perhaps, not a lot of Singaporeans may have but are necessary for the overall economic development of Singapore which would, in turn, provide for our Singaporeans as a whole.
\tMr Zaqy Mohamad (Chua Chu Kang): I thank the Minister for his clarification. I would like to ask three supplementary questions. First and foremost, many developed countries have also implemented similar frameworks. I just want to ask MOM what are some of the best practices and lessons learnt from some of these countries in which we have plugged some of these loopholes that are exploited by employers?
In implementing this FCF, are there any specific industries or sectors that the MOM is concerned about with regard to racial imbalance, and what is MOM planning to do about these sectors? Are there certain targets or benchmarks that you are going after? And are there specific actions to be taken for these sectors?
Thirdly, from an employer and business perspective, what is MOM's assessment of the impact to companies bringing global or regional roles here, with the FCF taking effect?
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\tMr Tan Chuan-Jin: Mdm Speaker, if I may just add on to the earlier reply. I left out some data in responding to Mr Png's questions. Let me address that first. The answer to the number of questions that Mr Png raised is that among all the firms that hire at least, for example, one Employment Pass holder, as of the first half of 2013, approximately 20,000 of them had 25 or fewer employees. So, each of these companies had about two EP holders on average. In terms of the larger firms, meaning employing above 25 employees, they had about 18 EP holders on average.
Some of the other data that Mr Png asked for, about local shareholding, MOM currently does not track small firms with 25 or fewer employees by percentage of local shareholding. What we want to emphasise is that whether big firms or small firms, whether jobs are above $12,000 or less, in terms of the requirements for fair consideration, that is a requirement that we expect of all companies. So, I understand where Mr Png is coming from, it is not the data that we track. Regardless of who are the main shareholders, we expect companies to adhere to some of these requirements. If they do not adhere to that, we will go in and take a look and provide greater scrutiny.
With regard to Mr Zaqy's questions, we have looked at various countries and their measures put in place. It is very much contextual. A lot depends on how it has evolved over time. What is also very clear from many of these countries is that no one particular policy is foolproof. As I have said many times, you can come up with many regulations, people are creative, they will find different ways to get around these. It is not foolproof but I think we have looked at the various measures and we have adapted them to what we believe would work for Singapore. It is not a silver bullet. These measures will not completely solve every single problem because a lot of these are about attitudes and mindsets. What we are doing is to signal clearly, and especially when there are complaints and when there are sectors that fall short of what we deem are acceptable levels, we would go in and look at it in detail.
The Member also asked about whether there are specific targets and proportions. As I have explained earlier, it is difficult to do that because different sectors have different requirements and they vary. Even within sectors, between companies catering to different parts within that sector, the requirements would also vary. We do have our internal thresholds that would trigger us to take a look, and that is something that we will review over time.
As to whether this FCF will impact the Singapore economy, what I would like to say quite clearly is this: Singapore remains committed to being open, dynamic and competitive. That is important because, ultimately, this benefits
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our people. Why? Because when companies invest in Singapore, and I would suggest not just foreign companies but local companies as well, it actually generates jobs and opportunities for our people. So, that is something we are firmly committed to.
Being open, dynamic and diverse does not mean that you cannot ensure that fair consideration takes place as well. We accept that some elements of that might have crept into some sectors of the economy, and that is why signalling has been taking place. We have been speaking to different sectors and they have been responding. The FCF is largely put in place to further emphasise this direction that we hope to go into.
At the same time, it is important for us to remember that companies invest in Singapore for a host of reasons. Having an open, diverse workforce is a compelling reason but quality of governance, stability, financial stability, transparency, security, so on and so forth, all these things continue to be important.
It is not so much about balancing the different needs but really striking a position which will continue to ensure that we grow, with good quality growth that will benefit our people but at the same time ensuring that there is fair consideration for Singaporeans.
\tAssoc Prof Tan Kheng Boon Eugene (Nominated Member): Thank you, Mdm Speaker. I welcome the Acting Minister's assurance that the Fair Consideration Framework includes the entire employment process, including promotion, retirement and retrenchment. I would like to ask the Acting Minister what are the triggers that his Ministry would rely on when we talk about alleged discrimination in post-hiring employment decisions? Certainly, the Ministry cannot just rely on complaints and I think the FCF will be a toothless paper tiger if it just relies on employees to file complaints.
\tMr Tan Chuan-Jin: Mdm Speaker, I would like to thank the Member for his questions. I would add that complaints and information conveyed by employees or from people in the industry represent an important component in the process. We should not downplay the importance of that. What goes on internally in a company is usually not very obvious to the people outside.
I would also add that there are complaints and there are complaints. I read many complaints and we have spent quite a number of man-hours investigating some of them. There will be those that are spurred by very different reasons, as
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opposed to whether there was fair or unfair consideration at the workplace. There might be very personal issues as well. But it remains an important component.
The other trigger that we have is in terms of monitoring the various sectors. Over time, we have a sense about each different sector, depending on the make-up of the particular sector, and how many Singaporeans are in that sector. So, one reference point would be in terms of peer sector monitoring – looking at companies within that sector to see the proportion of Singaporeans they hire, and which are the companies that deviate from the norm in a significant fashion. That is one trigger. Another is that we would have our own internal sense of where we think this ought to be. It is an assessment and a judgement based on where we see the whole economy going. That would be also another trigger as to whether there are disproportionate numbers of foreigners in a particular company. There might be good reasons for that, and that is why it is important for us to go in, look into the details, talk to the company, understand the nature of the business and determine whether there is, indeed, adequate consideration for Singaporeans or not.
It is really a combination of these various triggers that have allowed us to go in deeper and to look at the company specifically to make sure that there is fair consideration at play.
\tMs Sylvia Lim (Aljunied): Thank you, Madam. Supplementary questions for the Acting Minister. I would like the Acting Minister to refer to the question which I filed, that is, parts (a) to (d). They were filed because I thought that looking at the materials released by MOM thus far, these are still some questions that have not been answered. Earlier, the Minister‘s response also did not address these questions specifically, I thought. Could the Minister shed more light on the questions which I filed?
\tMr Tan Chuan-Jin: Mdm Speaker, Ms Sylvia Lim asked a few questions. Firstly, whether a Singaporean applicant using the national jobs bank can lodge a complaint if it is found from experience that the hiring process may be unfair. Yes, they can. As I mentioned, the advertising process is one part of the framework. If individuals find from their own experience and they are also able to provide additional information about what was in particular unfair in the process, they can raise it and we will take a look at it. If there are repeated complaints by different people, that will add to a better awareness of what this company might be on to. As I said, there are many different complaints that we receive, and it is something that we will follow up on. So, yes, they can raise
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that.
Secondly, in terms of the timeframe or frequency for checking up on the ratio, like I had mentioned, this is related or similar to the question about whether there are specific ratios and thresholds. We would have our internal thresholds to look at the various companies. As I had mentioned, one would be triggered by signals that will come from complaints or from information that we gathered from various sources. Secondly, we would also have visibility on the overall numbers in the various companies. As we apply the various internal thresholds to this, we will look at the companies and will then have to triage the whole process and decide which companies to go into and to look for further details.
In terms of repeated complaints, as I mentioned, there are many different types of complaints. One of the challenges that we face today, and I would suggest not just in my Ministry but across the Ministries, is that there are many people providing a lot of feedback. I mentioned some are spurred by personal issues, they may have lost a job, they may have lost out on promotion, they are disgruntled, and investigations show that there are not sufficient grounds. Others raise complaints without backing them up. When we want to follow up, they do not want to identify themselves, and there is not enough information to follow through with.
We have a whole range of complaints and issues being raised, and we need to then prioritise to see how best to address them. We will look at the quality of the complaint and information, and see how best to follow up. It is not really triggered by whether they are repeated complaints but more on the types of complaints raised and the information that is provided, and, based on that, we will act accordingly.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Linking Private and Public Sectors' Job Databases","subTitle":null,"sectionType":"OA","content":"8 Mr Teo Siong Seng asked the Acting Minister for Manpower under the coming Fair Consideration Framework, whether the Ministry will link WDA's jobs bank with other established job banks for better efficiency and cost effectiveness.
The Acting Minister for Manpower (Mr Tan Chuan-Jin): Mdm Speaker, under the Fair Consideration Framework (FCF), which takes effect from 1 August 2014, companies making new applications for Employment Passes
\tPage: 24
(EPs) must advertise the job vacancy on a new jobs bank administered by the Singapore Workforce Development Agency (WDA). Even as we stay open to businesses and continue to complement our local workforce with foreign manpower, the framework will encourage businesses to improve their HR practices in considering Singaporeans more deliberately.
In addition to playing an important role in the FCF, the new jobs bank will facilitate better job matching opportunities between local job seekers and employers. This is particularly important when we do have a very tight labour market. The jobs bank aims to provide local job seekers with an avenue to access a more comprehensive list of job vacancies and seeks to provide employers with better visibility of their job vacancies to a larger pool of candidates. All employers are welcome to post on the jobs bank − in fact, we encourage them to do so − and we seek to develop the jobs bank to become a useful resource to both employers and local job seekers, and I think, importantly, for agencies, because it is a good way to mine data for us to better understand how the economy and workforce are evolving.
We are more than open to consider how we can collaborate with private jobs portals to achieve this. They are concerned. We will be quite happy to work with them. We will consult with them in the months ahead to explore possible areas of collaboration that can improve the overall labour market efficiency and provide as much visibility of job opportunities to job-seekers as possible. So, now, it is how to synergise it across the different job portals so that you can reinforce this as an overall effort.
\tMr Pritam Singh (Aljunied): Thank you, Mdm Speaker. I would just like to come back to the FCF and would like to ask the Minister with regard to Singaporeans who are outside the PME framework —
Mdm Speaker: Mr Singh, just a clarification. Are you going back to the previous questions?
\tMr Pritam Singh: That is correct. I raised my hand four times, and I wish to ask questions.
Mdm Speaker: Mr Singh, you cannot do that. We are now at Question No 8. Can you please direct your supplementary question to Question No 8?
\tMr Pritam Singh: Madam, I just request your permission because it is an important policy affecting Singaporeans, and I would be very obliged if I could
\tPage: 25
just follow up with a question on the earlier four questions that were asked.
Mdm Speaker: Would you follow up under Parliamentary Question (PQ) 8, please?
\tMr Pritam Singh: Yes, I will follow up under PQ 8, but it does not relate to the jobs bank. It should relate to the FCF framework as a whole, and jobs bank just being part of it.
Mdm Speaker: We have already passed the PQs.
\tMr Pritam Singh: Noted, Mdm Speaker.
Mdm Speaker: Thank you. Mr Patrick Tay.
\tMr Patrick Tay Teck Guan (Nee Soon): On behalf of NTUC and the Labour Movement, I thank the Acting Minister for Manpower for rolling out the Fair Consideration Framework as well as the National Jobs Bank. If I may ask the Acting Minister with respect to this national jobs bank, whether the jobs that are published in that 14-day period, are they for Singaporean PMEs only to apply, to access, or is it a transparent open one for anyone?
\tMr Tan Chuan-Jin: Mdm Speaker, we are in the process of working out the details of the jobs bank, its look and form and how it would operate. What I would say is that the job portal would be open for visibility for the rest of the people. However, we do envisage that in terms of direct application online, it will be only made available to locals.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Purchase of New HDB BTO Flats for Singapore Citizens with Foreign Spouses","subTitle":null,"sectionType":"OA","content":"9 Mr David Ong asked the Minister for National Development whether there are plans to allow Singapore Citizens with foreign spouses who are neither Singapore Citizens nor Permanent Residents to buy new HDB BTO flats given that the family nucleus criterion is met.
\tThe Minister for National Development (Mr Khaw Boon Wan): Mdm Speaker, Singapore Citizens with foreign spouses can qualify for Build-To-Order
\tPage: 26
(BTO) flats, if they have Singapore Citizen children. Those without children can apply to buy a 2-room BTO flat in the non-mature estates, if they meet the age and income criteria and are HDB first-timers.
\tMr David Ong: I thank the Minister for the reply. My follow-up question is that the current non-citizen spouse scheme has an age restriction of 35 years and they can only buy a 2-room BTO flat. This appears as a prejudice against the younger Singaporean citizens who are married to foreign spouses. Some may be facing pending approval for their application for Long-Term Visit Pass, Permanent Resident or Singapore Citizenship. I think we have now about 8,900 marriages involving such family units in 2011. So, my question is whether the Ministry can review this policy and make it more pro-family so that such younger family units can not only own a BTO flat but perhaps a 3-room flat, so that they can start their family earlier. This is a small step to achieving our bigger national objective of increasing the fertility rate.
\tMr Khaw Boon Wan: Madam, we are always pro-family. Once they have Singapore Citizen children, the age limit of 35 years does not apply. Of course, for those without children yet, the spouse can apply to become a PR or even become a citizen.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Number of Singaporeans Married to Non-citizen Spouses Eligible to Buy New HDB BTO Flats","subTitle":null,"sectionType":"OA","content":"10 Mr Gan Thiam Poh asked \tthe Minister for National Development (a) what is the estimated number of Singaporeans married to non-citizen spouses who are eligible to buy new HDB BTO 2-room flats; and (b) whether all HDB blocks which have 2-room flat types will include other flat types as well.
The Minister for National Development (Mr Khaw Boon Wan): Madam, there are about 7,000 marriages each year involving Singapore Citizens and foreign spouses. As I said, since July this year, such couples are now eligible to buy 2-room Build-to-Order (BTO) flats in the non-mature estates, so long as the Singapore citizen is a first-timer buyer and meets some age and household income criteria. As our marriage register does not capture income or housing history, we are unable to estimate the number as requested by the Member. However, we note that in the July and September 2013 BTO exercises, about 300 such couples applied under this new scheme.
\tPage: 27
All HDB blocks which have 2-room flats will usually include other flat types as well. This is to promote social mix.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Extension of Mortgage Insurance Cover for HDB Flats","subTitle":null,"sectionType":"OA","content":"11 Er Dr Lee Bee Wah asked the Acting Minister for Manpower (a) whether the Ministry will consider extending the mortgage insurance cover under the Home Protection Scheme (HPS) to HDB flat owners with pre-existing illnesses; (b) how many HPS applications have been rejected in the past three years; and (c) how many claims have been made under HPS during this period.
The Acting Minister for Manpower (Mr Tan Chuan-Jin): Mdm Speaker, the Home Protection Scheme (HPS) is a mortgage-reducing insurance which provides protection to CPF members and their families against the risk of losing their HDB flats, in the event of the CPF member's premature death or permanent incapacitation. From 2011 to July 2013, about 2,700 HPS claims with a total value of $221 million have been paid out to insured members to help them pay off their outstanding housing loans. This is an important scheme and it is put in place to look after Singaporeans, and is something that will continue to be applied for all Singaporeans.
However, HPS is not offered to CPF members with serious pre-existing medical conditions. About 1.3% of all HPS applications since 2011 were rejected due to serious pre-existing medical conditions.
Extending HPS coverage to all CPF members with pre-existing medical conditions would have implications on the affordability of premiums for members and the viability of the HPS, and there are significant moral hazard issues that need to be addressed.
These issues and concerns are not unique. These are the same concerns and considerations that apply to every insurance programme and every insurance scheme. So, these issues need to continue to be carefully studied. We understand the concerns raised. But we do understand that CPF members with serious pre-existing illnesses and their families would be concerned about the repayment of the outstanding loans for their HDB flats in the event of death or permanent incapacitation of the member. Various assistance schemes are available to help those members. CPF Board will also work closely with the
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Ministry of National Development to study other options to help them as well.
\tEr Dr Lee Bee Wah (Nee Soon): Mdm Speaker, I would like to know how many percent of flat buyers take up HPS and whether there will be further publicity so that more will take up HPS because it is for their own good. Will the Ministry consider making this compulsory?
\tMr Tan Chuan-Jin: Mdm Speaker, as at July 2013, there are about 530,000 CPF members using CPF to service their monthly housing instalments. Of these, 95% are covered by HPS or an equivalent MRI. About 2% have lapsed on the HPS premiums while 3% are uninsurable or ineligible for HPS cover.
We understand the concern raised by the Member as to whether we should raise the profile and information. Public education is something that we can continue to do. It is important for the public to understand the importance of HPS. It is about protecting their families and their loved ones. In terms of whether we should make this compulsory, this is something that regularly pops up as to whether it is something we should look at as part of the overall review into how better to look out for our people, some of whom may not be covered or to encourage more people to be covered. That is something we can consider.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Impact of Measures to Cool Prices in Vehicle Industry","subTitle":null,"sectionType":"OA","content":"12 Mr R Dhinakaran asked the Minister for Transport (a) what impact has the cooling measures for the vehicle industry introduced this year had on vehicle ownership in Singapore; and (b) whether the Government is planning for any additional measures in the foreseeable future.
\tThe Minister for Transport (Mr Lui Tuck Yew): Mdm Speaker, in February 2013, the Government announced vehicle loan restrictions to encourage financial prudence among motor vehicle buyers. Subsequent to the announcement, the COE prices for vehicles fell and they have since risen but they have generally stayed below their peak level prior to the introduction of the restrictions. The Government has no plans to introduce additional cooling measures in the foreseeable future.
\tPage: 29
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Barrier-free Access Measures in Land Transport Master Plan 2013","subTitle":null,"sectionType":"OA","content":"13 Mr Laurence Lien asked the Minister for Transport to what extent has the Land Transport Master Plan 2013 given sufficient emphasis to accessibility issues and to Singapore being a fast-ageing society.
\tThe Parliamentary Secretary to the Minister for Transport (Assoc Prof Dr Muhammad Faishal Ibrahim) (for the Minister for Transport): Mdm Speaker, the diverse needs of our society were an important consideration for both the Land Transport Master Plan (LTMP) 2013 as well as the first version in 2008. One of the three key thrusts of LTMP 2013 is thus to ensure that our land transport system supports a \"liveable and inclusive community\". This includes accessibility for all commuters, including our growing elderly population.
Today, all our train stations and bus interchanges are barrier-free. We have also doubled the number of taxis that can accommodate high-back motorised wheelchairs. All public buses will be wheelchair-accessible by 2020, up from 64% today.
To give more green time for the elderly and disabled to cross the road safely, LTA will extend the Green Man Plus scheme to 500 more pedestrian crossings by 2015. LTA will also extend the audio tactile system to more pedestrian crossings to aid the visually impaired.
Our sheltered walkways, including the 200 km more that will be built as part of the Walk2Ride programme under LTMP 2013, will offer rest areas to make walking more comfortable for the seniors. Another 40 overhead bridges will have lifts installed by 2018. LTA is reviewing design requirements for pedestrian infrastructure as a whole to help seniors using wheelchairs and other mobility aids to get around.
I would like to assure the House that designing an accessible transport system remains a key area of priority for my Ministry.
\tMr Laurence Lien (Nominated Member): Thank you, Madam. I would like to thank the Parliamentary Secretary for the comprehensive answer. I would just like to ask whether the Ministry has considered from the user's point of view that accessibility requires an unbroken path of travel door-to-door, not just many parts of the system having accessible features – that if just one part of it
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is not accessible, it would be very difficult for that person to make the journey – and that whether in the process of coming up with this Master Plan, ethnographic studies or similar studies have been conducted to validate the experiences of commuters with accessibility issues to make sure that every single part of the system actually works for them. And in this process, whether there were involvement of voluntary welfare organisations and groups that represent these people with disabilities and elderly persons to contribute their ideas to a more accessible Land Transport Master Plan.
\tAssoc Prof Dr Muhammad Faishal Ibrahim: I thank the Member for the supplementary question. We also share the same concern that the Member has with regard to accessibility in Singapore. In fact, it is the focus of our attention that we look at the journey as a whole. We also meet different users of our transport network, as well as its ancillary facilities, to ensure that we have that holistic perspective.
For example, I would like to share that we have the City for All Ages Project. It is a multi-agency project where we not only look at the facilities, we speak to individuals, users of such facilities, and we go down to the ground, we work with the VWOs in Marine Parade, for example, to see how the needs of our commuters and pedestrians are well taken care of. I am pleased to share that because of these findings – sharing by our users and commuters – we are able to pilot a few of the initiatives that we have currently in Marine Parade. As we move forward, as we deepen our journey into an ageing society, we will do more, and I assure the House again that accessibility is key to our public transport system as well as beyond in making places all over Singapore accessible to everyone.
\tMr Ang Hin Kee (Ang Mo Kio): Thank you for giving me the chance to ask the question about accessibility. Today, we have a Walk2Ride Programme that has been announced. I wonder if the Ministry is working with the commercial buildings to ensure the Walk2Ride scheme covers those commercial and industrial buildings so that accessibility, especially sheltered linkways to the MRT station, is also part-and-parcel of the Plan.
\tAssoc Prof Dr Muhammad Faishal Ibrahim: The Walk2Ride Programme is something we hope to roll out in various parts of Singapore. Looking at the plans of the first phase of such programme, I am pleased to share with Members that we are looking at how we can facilitate the movement of our commuters and pedestrians to the MRT station. If, let us say, such buildings are part of the process or part of the journey in the process of commuters going to
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the MRT station, we will look into it and we will consider as and when it is necessary.
\tMr Lim Biow Chuan (Mountbatten): Thank you, Mdm Speaker. May I ask the Parliamentary Secretary whether LTA would consider accelerating the installation of pedestrian traffic crossings in estates with a high number of elderly residents? For example, in Tanjong Rhu estate, you gave us an overhead bridge but it is too much effort for the elderly people to climb the overhead bridge. So, we are looking for a traffic crossing. Would LTA consider that?
\tAssoc Prof Dr Muhammad Faishal Ibrahim: Mdm Speaker, I would like to thank the Member Mr Lim Biow Chuan for his question. I have discussed this issue with him. I think it is important for us to look at it as a journey. It is important for us to look at the needs of the elderly. One of the areas that we are looking at is how we can we take care of the mobility, as well as the safety, of the silver community. So, this is part of our process. Nevertheless, we have announced earlier some of the areas that we are looking at are, firstly, to install lifts at some pedestrian overhead bridges. That will facilitate movement for the elderly. We also want to ensure that our transport system caters to the majority. For those localised areas that face particular challenges, we will work together with the local Members and advisers of the community to see how we can facilitate the movement of people.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Cessation of Teletext Service","subTitle":null,"sectionType":"OA","content":"14 Ms Denise Phua Lay Peng asked the Minister for Communications and Information whether specific action can be taken to effectively assist the elderly and less-educated Teletext users to access the information they need in view of the discontinuance of this service.
15 Mr Low Thia Khiang asked the Minister for Communications and Information (a) what has been the usage pattern of Teletext in the last five years; (b) what is the number of users prior to its discontinuance; and (c) what assessment has been made on the impact of its discontinuance on users before the service is withdrawn.
\tThe Minister for Communications and Information (Assoc Prof Dr Yaacob Ibrahim): Madam, could I have your permission to answer Question
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Nos 14 and 15 together, please?
Mdm Speaker: Yes, please.
\tAssoc Prof Dr Yaacob Ibrahim: Mdm Speaker, I thank Ms Denise Phua and Mr Low Thia Khiang for their questions on the cessation of Mediacorp's Teletext service.
Teletext was launched 30 years ago in 1983 as a commercial service. Since then, media consumption patterns have changed dramatically. The Internet has grown to become a key information source. Increasingly, consumers are accessing information over the Internet through a variety of devices, such as smart phones, tablets, desktops, laptops and connected TVs. These changes in consumption patterns and the wide availability of alternative information sources led to a significant global decline in Teletext users over the years, including in Singapore. For example, MediaCorp previously shared data from a survey conducted in 2011 that showed there were about 187,000 who accessed daily stock price information. This year, the number dropped by 85% to about 28,000. As such, MediaCorp decided to cease the Teletext service, as it was no longer commercially viable. Mediacorp's decision is no different from her counterparts in other countries, such as the United Kingdom, Australia and New Zealand, where broadcasters have also similarly decided to shut down their Teletext services.
Madam, I understand that some of the elderly population are used to getting their information on Teletext and are impacted by the cessation of the service. While the information on Teletext, such as stock prices, weather and flight information, are readily available on the Internet, we do recognise that some of our elderly may still find it difficult to access such information.
To help seniors learn and use technology in their daily lives, the Infocomm Development Authority of Singapore (IDA) runs the Silver Infocomm Initiative (SII). This initiative can help our seniors get online, which will allow them to access the information that was previously on Teletext and more. The Media Development Authority (MDA) has also been working with IDA to ensure that the SII reaches out to the seniors that need our help, so that they can learn how to find and access such information online. Seniors, without home access to the Internet, are able to utilise 124 free web-surfing points, known as Silver Infocomm Hotspots, which have been set up at various Community Clubs, self-help group centres, Residents' Committees and our libraries. Our Libraries, Madam, also offer older Singaporeans courses and workshops on basic
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computing as well as how to use common mobile devices and access NLB eResources and eBooks. In addition, seniors can also borrow e-devices, such as iPads and eReaders, from selected libraries. These e-devices are accompanied by training that shows users how to use and care for the devices.
I would also like to share that, apart from Teletext, there are other similar information services in the market. For example, StarHub currently provides an interactive information service to its cable television customers. All StarHub TV subscribers can access information, such as finance, weather and traffic updates, by pressing the interactive button on their StarHub remote, or by tuning in to channel 899. At the same time, Madam, MediaCorp has kept up-to-date by offering information through many other ways, especially through its websites and mobile applications, to better serve their consumers.
Madam, amidst all the discussions on the difficulties that seniors may face with the cessation of Teletext, it has been encouraging for us to know that there have been seniors who have written to the media to share their positive experiences of learning and using computers and smart phones. An example is Mr Lim Chan Kong, an 81-year old grandfather who has written to both The Straits Times and Lianhe Zaobao to share his journey towards computer literacy and his belief that it is never too old to learn. I share this belief and encourage everyone to help the seniors in their family learn how to adapt to this new digital age. Together, Madam, we can make our society a more digitally-inclusive one.
\tMr Low Thia Khiang (Aljunied): Madam, I have some supplementary questions. I understand from the answer that there were about 28,000 users before Mediacorp decided to terminate the service. My question is, whether Mediacorp has studied the profile of this 28,000, the impact of its discontinuation and whether the Minister is aware that the IDA conducted a survey in 2011 which showed that only 15% of elderly 60 and above used the Internet and a computer, and there are more than 50% of the elderly aged 50 to 59 years who neither use a computer nor the Internet over the past 12 months at the point of the survey. In a situation as such, how can IDA confidently say that it will be a smooth transition for the elderly to be able to access information with the discontinuation of Teletext?
The next supplementary question is: why did Mediacorp terminate the service in such a hurry, before IDA's programme kicked in to ensure that the elderly has sufficiently grasped the ability or have the ability to access the Internet and with a satisfactory mode of replacement of the information?
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Lastly, is the Minister aware that there were a lot of complaints on the ground from the elderly about the discontinuation of the service? What is the Minister's answer to that?
\tAssoc Prof Dr Yaacob Ibrahim: Madam, the Ministry and MediaCorp have both received a lot of feedback from the ground, especially from the elderly, about the cessation of the Teletext service. We must expect that people who are impacted will be upset and, therefore, we have to offer them alternatives.
To answer the Member's second question, the programme to assist our seniors is ongoing. In fact, we have started the programme well before the cessation of the service to get our seniors on board onto the digital bandwagon. Many programmes have been rolled out by IDA and MDA to help our seniors to migrate to a digital lifestyle. I can go through the long list of the programmes that IDA and MDA have been doing long before 2011, because we recognise that we have to build a digitally-inclusive society. I cannot question Mr Low's figures – about 60% or 50%, I do not have my figures here. Our data, which were shared by MediaCorp, show that only 28,000 people have been accessing the Teletext service. It does not mean that these 28,000 users do not have an alternative; it is just that they are using Teletext because it is available.
At the moment, with the kinds of services that we are providing to the seniors through our Silver Infocomm Initiative (SII) programme, we have trained about 77,000 seniors, and the programme is ongoing.
Finally, the decision to cease is actually a commercial decision by Mediacorp, in consultation with the Ministry. We have to allow MediaCorp to make that decision and, recognising that there are alternatives in place, we have to give them that leeway because they are in the market and they know better how to conduct such a service.
\tMs Denise Phua Lay Peng (Moulmein-Kallang): Mdm Speaker, unlike Mr Low, I am a bit more optimistic. Just as I think the elderly has learnt to use the Teletext many years ago, I think we can help them to learn how to use the Internet. Some of them use Skype as well. But the devil is in the execution. I would really appreciate if the Ministry and IDA could have a more rigorous communication plan and a coaching plan as well to reach out to the people who are affected. They are, indeed, affected and they need support.
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Like the Silver Infocomm Initiative, when we reach out to them, do not just use English but make sure multi-languages are involved. Perhaps, also have and encourage community coaches – could be young people and the older people. And also highlight some of the success stories and make full use of the Community Clubs' facilities, the RCs and so forth to help this group of elderly who truly are experiencing some challenges.
\tAssoc Prof Dr Yaacob Ibrahim: I thank the Member for the suggestions. I will take them back to IDA and MDA and discuss how best we can implement them. I want to assure the Member that all our materials are in multi-languages because we recognise that, for the senior citizens, some of them may not be conversant in English. But as for the Member's suggestion of doing more hands-on approach by getting some of our champions to work together with the seniors, it is being done. Some of the CCs do have programmes whereby they get the youngsters to run the programme together with the seniors. I will ask IDA and MDA to follow up on the Member's suggestions.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Update on Media Convergence Review","subTitle":null,"sectionType":"OA","content":"16 Ms Janice Koh asked the Minister for Law (a) what are the Ministry's plans and timeframe to implement recommendations from the Media Convergence Review to address Singapore's copyright and digital piracy challenges; (b) what is the Government's position on (i) enhancing public education on online piracy, (ii) the provision of more legitimate content sources, and (iii) introducing site blocking as part of regulatory measures; and (c) whether a more robust legal framework is necessary to protect the creative sector and its rights owners.
\tThe Senior Minister of State for Law (Ms Indranee Rajah) (for the Minster for Law): Mdm Speaker, changing social norms and technological developments require us to review our approach to copyright protection. The Government agrees with the Media Convergence Review Panel that the problem of online piracy has to be addressed through a multi-pronged approach comprising (a) public education, (b) the promotion of legitimate digital content services, and (c) appropriate regulatory measures.
Consumer understanding of and respect for copyright is a key factor in combating online piracy. IPOS has been putting emphasis on public education to cultivate an IP-savvy and respecting population, through its flagship outreach initiative, the Honour Intellectual Property (HIP) Alliance. Recent initiatives
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include a Facebook Connect video application to engage the online community and an outreach to 150 Primary schools using an interactive skit to introduce students to the concept of honouring intellectual property from an early age. The annual World IP Day 2013 event, meant to heighten the public's awareness and respect for IP, was well-attended by more than 1,000 members of the public. These outreach activities are complemented by the IP Academy's training courses on copyright for students and professionals in relation to the online environment.
Making legal content available to consumers through a convenient platform and a reasonable price can reduce demand for infringing alternatives. Content owners have recognised this and have been exploring new content delivery models via the Internet or through mobile devices to allow access to content anytime anywhere. Local broadcasters have also been improving their content delivery models and launching various digital content services recently. For instance, MediaCorp launched \"Toggle\" in February 2013 so that consumers can access and enjoy MediaCorp's Free-To-Air TV content anytime anywhere.
The Ministry of Law and other agencies are currently deliberating the role of site blocking as a measure to help counter the ease of accessing copyright infringing material online. How we do this will need to be carefully considered. We are finalising our review and will be consulting the industry and public on the appropriate approach to site blocking in the coming months.
A sound and pro-business copyright framework requires the protection of the rights of rights owners, as well as the legitimate market access by consumers. Both objectives are crucial to a vibrant creative industry. We are reviewing our Copyright Act to ensure that our laws keep up with emerging technologies and social norms.
\tMs Janice Koh (Nominated Member): Thank you, Madam. I just have three supplementary questions. The first is, given that the consumption of online pirated material in Singapore is not insignificant, and, in fact, one of the highest in the Asia Pacific region, does the Government feel that this message needs to be reinforced, perhaps more visibly and strongly; and what else needs to be done in this area?
The second question is: what does the Government feel are the key drivers leading to people downloading content illegally online here? Is it the lack of or limited access to legitimate content sources and how much of that has to do with our content guidelines which limit the kind of content available in
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Singapore, therefore, inevitably pushing consumers to download, for example, uncensored films and TV programmes illegally?
Finally, evidence has shown that even when such content is provided in a timely manner, and affordable, there will still be people who will go ahead and download it illegally from pirated websites. What are some of the obstacles that the Ministry foresees in terms of allowing right holders to go to court to apply for orders for ISPs to block these specific sites so that these torrent sites are not so easily available to Singapore consumers?
\tMs Indranee Rajah: Mdm Speaker, on the first question, the Member asked whether the Government feels that the message about copyright protection needs to be reinforced. The answer is \"yes\". The Government certainly does feel that this is a message that needs to be reinforced. As indicated earlier in my response, we agree with the Media Convergence Review report that public education is extremely important because it is important for people to know and understand the importance of honouring Intellectual Property, as well as respect the rights of the creators of the works.
On the second question as to what the Government feels are the key drivers, as indicated, it is a combination. Clearly, consumers desire to have access to content. If legitimate content is accessible at a reasonable price, then I think most people would be willing to go for that. There would always be those who may be inclined to access pirated material if it is free, but, by and large, if you have appropriate public education, and there is a general sense of respecting copyright and Intellectual Property rights, then people would be encouraged to move towards legitimate content, if it is made accessible. And, as indicated earlier, that is something that the Government is working towards with the content providers.
With respect to the last question, if I may clarify with the Member, she said that even if the content is provided, there are still illegal downloads. She had asked about some of the challenges. Could I clarify with the Member specifically what her question on that was?
\tMs Janice Koh: Madam, my final supplementary question is, even with the availability of legitimate content sources, evidence, at least in other countries where there is site blocking, shows that people will still go ahead to download it for free – even if the content is available in a timely manner, and even if it is affordable. So, the question is, is site blocking, in this instance, a more effective way? It may not be the most perfect bullet to tackle the issue but
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it is an effective way of at least reducing the number of key pirated websites. Are there any challenges or obstacles to enforcing or implementing something like site blocking in Singapore?
\tMs Indranee Rajah: Mdm Speaker, I thank the Member for her clarification. It is fair to say that there is not any one single measure which, on its own, is a magic or silver bullet that will resolve online piracy. So, there will have to be a multi-pronged approach of public education, legitimate content and appropriate regulatory measures. On site blocking, that is certainly one measure and, as mentioned earlier, that is something that we are studying. The preliminary view is that site blocking can help to address the ease of accessing copyright infringing material on the Internet.
The International Federation of Phonographic Industry (IFPI)'s Digital Music Report 2013 reported that within a year of five European countries imposing blocks on Pirate Bay, usage levels of the Pirate Bay site fell by about 69%. Site blocking is simple to administer and it targets the infringing sites instead of the end users.
The nature of online piracy is such that it is difficult to police and I do not think that even with site blocking it would be a 100% solution. But from what we have seen in the preliminary review, it is certainly one way that can reduce the online piracy.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Scope of Business for Foreign Law Firms in Singapore","subTitle":null,"sectionType":"OA","content":"17 Mr Lim Biow Chuan asked the Minister for Law in light of claims by a foreign law firm on being a full service law practice in Singapore offering litigation advice (a) whether foreign law firms in Singapore are allowed to practise litigation in Singapore; (b) whether litigation remains a ring-fenced practice area of Singapore law firms; (c) whether he can clarify the intent and scope of formal law alliances; and (d) whether foreign law firms are allowed to practise domestic litigation through formal law alliances.
\tThe Minister for Law (Mr K Shanmugam): I think the Member's question may have been prompted by a recent article in the Legal Business magazine, published on 8 July 2013. It quoted a partner of Clifford Chance as saying that it is \"the first full service firm in Singapore offering litigation advice\". A similar statement was repeated in an 8 July 2013 press release by that firm.
\tPage: 39
This, and an earlier 11 December 2012 press release, promoted the firm's Formal Law Alliance (FLA) with a Singapore law practice, Cavenagh Law, as \"the first international firm with a full service, integrated law practice in Singapore\". The statements could be read to mean that a foreign law firm can now practise litigation in Singapore. That would not be accurate.
Singapore Law Practices (SLPs) and Foreign Law Practices (FLPs) based in Singapore may collaborate as two free-standing firms under an FLA. This enables co-branding and billing, and the sharing of office premises, resources and client information. In addition, partners of the firms within an FLA may, subject to the Attorney-General's approval, hold concurrent partnerships in the SLP and FLP. However, foreign participation in the SLP is subject to an overall one-third cap. In addition, both firms should remain separate and distinct entities, and may only provide such legal services as they are respectively permitted to provide.
The legal services sector operates in a global and increasingly competitive market. Our recent changes over the last few years have been beneficial to our economy and to our legal sector which have grown quite well. It gives Singapore firms greater flexibility to collaborate with FLPs to enhance their international competitiveness and grow. It also gives Singapore lawyers access to a greater range of opportunities and work.
However, strict conditions continue to be imposed vis-a-vis the practice of Singapore law. Specific areas of domestic law work, such as litigation, criminal law, family law and conveyancing, are \"ring-fenced\" and can only be handled by Singapore law firms, through lawyers called to the Singapore Bar. In these areas of law practice, the SLP must use its own letterhead and file court papers in its own name. These areas remain, and must remain the province of Singapore lawyers and Singapore law firms.
My senior officials have called in the partners of Clifford Chance and the local law firm, Cavenagh Law, and told them that their statements conveyed an inaccurate picture and should be stopped.
SLPs and FLPs which have entered into FLAs with each other must exercise restraint in their publicity and refrain from overstating the facts. Their representations to the public and media should be clear as to what their FLA is and is not. I think clever word play should be avoided. We will also not condone arrangements where the SLP is, for all intents and purposes, a proxy of the FLP.
\tPage: 40
All collaborations must comply with the spirit as well as the letter of the law.
\tMr Lim Biow Chuan (Mountbatten): Mdm Speaker, allow me to declare my interest in this question as a practising advocate and solicitor. May I ask the Minister for Law a supplementary question: how does MinLaw intend to ensure that all other foreign law firms involved in these services are aware of the strict conditions imposed? The Minister had earlier said that the Ministry's officials had contacted that particular law firm. Would the Ministry officials also be contacting other relevant foreign law firms about the matter?
\tMr K Shanmugam: The Ministry has regular chats with the foreign law firms, as well as Singapore law firms. The conditions under which they can practise are made quite clear in the documentation that is given to the law firms. These are also on our website. Equally, for example, when a firm is awarded a licence to operate as a QFLP, the terms and framework within which it can practise as such are clearly set out. Likewise, when a firm enters into an FLA, that framework is also set out. The Attorney-General has the right to ask questions where we believe that some questions need to be asked.
On the whole, from what we can tell, the law firms appear to have been complying. Where we have noticed a transgression, or what appears to be a transgression or an inaccurate or misleading statement, we will certainly call them up. In this case, the hon Member has filed a question. I am sure the firms involved will take careful note of what I have said.
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The Minister for National Development (Mr Khaw Boon Wan): Mdm Speaker, HDB Studio Apartments (SAs) are purpose-built housing for elderly Singaporeans. They are targeted at elderly homeowners who are right-sizing from a larger flat. Such buyers can finance their SAs using the sale proceeds, with balance set aside for their retirement needs. This is one good option for the elderly homeowners to monetise their flats after their children have moved
Page: 41
out.
Those below the age of 55 have other options, including that of buying a 2-room flat.
Nevertheless, we may exercise flexibility on a case-by-case basis for those slightly below the age of 55 in extenuating circumstances, if an SA is the most suitable housing option for them.
\tDr Intan Azura Mokhtar (Ang Mo Kio): Mdm Speaker, I thank the Minister for the reply. I am glad to hear the assurance by Minister that flexibility may be accorded. I understand the need for the policy but there are also older Singaporeans who may not be able to rent directly from HDB or cannot afford to rent from the open market or live with their children. It seems that the SA is their only housing option. Would the Ministry consider providing an option to eligible older Singaporeans aged 55 and above, for example, those who are economically active who can support themselves, to be able to decide to use their CPF funds to purchase an SA and get a lower monthly CPF payout after the age of 62? There are some of these older Singaporeans who feel that they should take care of their housing needs first before worrying about the monthly payouts seven to eight years later.
\tMr Khaw Boon Wan: Mdm Speaker, I do not quite follow the Member's query. What is the age 62 option?
\tDr Intan Azura Mokhtar: If I could just repeat that. If the Ministry would provide an option for older Singaporeans at the age of 55 to decide to use the CPF funds to purchase an SA and have less in their Retirement Account, so that they have lower monthly CPF payouts after the age of 62. That can be an option.
\tMr Khaw Boon Wan: I am not very sure. I may need to discuss this with the Acting Minister for Manpower. This affects the CPF rules. As the Member knows, I am always flexible and compassionate. I will discuss this with my coll
Mdm Speaker: Mr Low Thia Khiang.
\tMr Low Thia Khiang (Aljunied): Thank you, Mdm Speaker. Supplementary questions, please. I would like to ask the Minister whether the SAs are becoming too expensive as an option for the elderly who were initially planning to take up the option. I remember we started off with the SAs costing
Page: 42
about $60,000 per unit. Today, it costs a lot more. Secondly, in view of the term of the lease and the size of the SAs, whether he thinks the current selling price is quite expensive, compared to BTO flats.
\tMr Khaw Boon Wan: The answers to both supplementary questions are no. I think the pricing is reasonable. I pay particular attention to SAs and we look at pricing carefully. I do not know when the price tag was $60,000 per SA, but, right now, it is about $100,000. It does vary with location. I have read some comments in the new media comparing SAs with 2-room flats. They are comparing \"apples\" with \"lemons\". Some SAs were in very highly popular locations, vs some 2-room flats in non-mature estates. There must be a price difference to reflect the difference in locations. Generally, I find that the SAs are a good option for those who want to right-size. This is targeted at this group. It is one additional option for them. They are now living in a big flat and this is one option for them.
I did a house-to-house visit over the weekend. I was happy to see an elderly couple, retirees, living in a 5-room flat. They looked a little lonely because they said that the children have all gotten their BTO flats and, one by one, they have moved out. Now, they have a 5-room flat and only the elderly couple are living there. They are seriously looking at the SA option, knowing that once they right-size and monetise, they will have substantial – easily $200,000 – extra funds. I gave them a strong piece of advice, \"Please make sure you keep that money. Don't spend it on silly things because you will regret it.\"
Mdm Speaker: Mr Hri Kumar.
\tMr Hri Kumar Nair (Bishan-Toa Payoh): Thank you, Mdm Speaker. A supplementary question: could the Minister clarify the position of residents who may be in transition, those who are old enough to qualify for SAs but may not have the cash or CPF balances to place a deposit, for one, but have equity tied up in their current flats. They cannot sell without buying and they cannot buy without selling. Could these residents be helped?
\tMr Khaw Boon Wan: I have personally encountered some cases in my own constituency. We would always try to render our help. We know that, sometimes, people during this transitional may not have the cash. But the initial deposit should not be a problem; it is just $250.
Mdm Speaker: Er Dr Lee Bee Wah.
Page: 43
\tEr Dr Lee Bee Wah (Nee Soon): Thank you, Mdm Speaker. In fact, these SAs offer a very good option for residents who want to right-size. I have received a lot of good feedback from residents. I would like to ask the Minister: what about for those who would like to right-size in the same zone? For example, in Yishun South, recently, Khatib Court is very popular. A lot of my residents have been asking if they could be given priority when they want to right-size in the same zone.
\tMr Khaw Boon Wan: Yes, Madam. That is why we have a Studio Apartment Priority Scheme. It is precisely for that reason. I think quite a substantial proportion of the BTO offerings is reserved for those seniors who apply who either live there, or have children in that locality. The last time I checked, I recall that we were able to meet all the demand, including those in Yishun.
Mdm Speaker: Mr Zaqy Mohamad.
\tMr Zaqy Mohamad (Chua Chu Kang): Mdm Speaker, I thank the Minister for touching on the issue of pricing for SAs. The scheme is a fantastic one. Many of my residents are also thankful for this scheme. However, SAs serve a very niche objective and they also have to be sold back to HDB. There is thus concern about whether the price fluctuations are really impacted by the market, since you can only sell it back to HDB at the end of the lease term.
\tMr Khaw Boon Wan: As I have said, the Studio Apartments scheme is quite a special one and it is designed for a particular purpose. So, Members should not compare it term-for-term with other flat type like 2- or 3-room flats. It is precisely because we impose some of these conditions for that targeted group, that we were able to keep the pricing of SAs fairly affordable, in order to allow the elderly homeowners to be able to monetise with substantial cash proceeds, and, as I had said earlier, I hope they will know how to hold it and not lose it.
Mdm Speaker: Order. End of Question Time.
[Pursuant to Standing Order No 22(3) Written Answers to Question Nos 19-21, 23-30, 32, 34-37, 40-43, 45-46, 48-49, 51, 53-66, 69-74, 76-82 and 84-91 on the Order Paper are reproduced in the Appendix). Question Nos 22, 31, 33, 38-39, 44, 47, 50, 52, 67-68, 75, 83 and 92 have been postponed to the next
Page: 44
available sitting of Parliament.]
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[(proc text) presented by the Second Minister for Home Affairs (Mr S Iswaran); read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed. (proc text)]
[(proc text) \"to amend the Good and Services Tax Act (Chapter 117A of the 2005 Revised Edition) and to make related amendments to certain other written laws\", (proc text)]
[(proc text) recommendation of President signified; presented by the Senior Minister of State for Finance (Mrs Josephine Teo); read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed. (proc text)]
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[(proc text) presented by the Senior Minister of State for Law (Ms Indranee Rajah); read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed. (proc text)]
\tPage: 45
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Road Traffic (Amendment) Bill","subTitle":null,"sectionType":"BI","content":"[(proc text) \"to amend the Road Traffic Act (Chapter 276 of the 2004 Revised Edition)\", (proc text)]
[(proc text) presented by the Minister for Transport (Mr Lui Tuck Yew); read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed. (proc text)]
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[(proc text) presented by the Acting Minister for Manpower (Mr Tan Chuan-Jin); read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed. (proc text)]
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[(proc text) presented by the Acting Minister for Manpower (Mr Tan Chuan-Jin); read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed. (proc text)]
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\tPage: 46
The Senior Minister of State for Finance (Mrs Josephine Teo): Mdm Speaker, I beg to move, \"That the Bill be now read a Second time.\"
The Property Tax (Amendment) Bill 2013 comprises three amendments. Two amendments will give legislative effect to property tax changes announced in the 2013 Budget Statement, while one amendment arose from the periodic review of our property tax regime.
A public consultation exercise on the draft Bill was held from 25 July to 14 August this year. MOF has evaluated the feedback received and, where relevant, incorporated them in the final Bill. I will now explain the three amendments in the Bill.
First, the property tax refund for vacant residential and non-residential properties will be removed. Currently, there are provisions for owners of some vacant properties to apply for property tax refunds, such as for those undergoing repairs to render them fit for occupation. This is inconsistent with the intent of property tax, which is a tax on property wealth that does not depend on whether the property is vacant or the reason for it being vacant.
With the change, owners whose properties are vacant due to repair works will be taxed at owner-occupied rates, similar to properties that have been torn down and rebuilt, provided that the properties are intended for owner-occupation after the works are completed. Likewise, vacant properties held for investment purposes would be liable for property tax even if they are not rented out. The removal of the provisions for property tax refund will, therefore, ensure consistency in the tax treatment of all vacant properties. Clause 3 provides for this change.
Second, we will amend the Act to allow the Minister to prescribe the types of properties which will be subject to the progressive property tax rates introduced in Budget 2013. A more progressive tax regime on property wealth is socially equitable and has the added advantage of not hurting the competitiveness of our overall tax regime or reducing the incentives for enterprise. The change is provided for in clauses 4, 5 and 6.
Third, clauses 7 and 8 amend the Act to extend the deadline for objections and appeals on property tax assessments from the current 21 days to 30 days. This change gives taxpayers more time to evaluate and make more considered objections and appeals. Mdm Speaker, I beg to move.
\tPage: 47
[(proc text) Question proposed. (proc text)]
Ms Jessica Tan Soon Neo (East Coast): Mdm Speaker, thank you for allowing me to speak on the Property Tax (Amendment) Bill 2013.
I rise in support of the amendments in the Bill. I would like to touch on the changes in the Bill that differentiate the treatment for residential property and non-residential property and the introduction of the progressive property tax structure on residential properties effective 1 January 2014. The new tax structure will allow the first $8,000 Annual Value (AV) of residential property to enjoy 0% tax and different tax rates to be applied for subsequent AV amounts. With these changes to the Property Tax on residential property, more households with lower value property will benefit as they will pay less property taxes than what they are paying currently.
Therefore, as the Minister has said, it is socially equitable and it is fair that the changes will result in tax increases that will impact mainly those who can afford higher end property. This will mean that they will have to pay more. And with these amendments, those benefiting from investments in property will also pay more than owner-occupied property.
The changes do, however, add to the complexity of residential property tax. The progressive nature of the tax (more tiers for the different tax rates), as well as the fact that computation of the amount of property tax as a percentage of the annual value of the property (based on the estimated yearly rent that the property can fetch if it were rented out), does make it quite complex.
Variability of the annual value of the property does lend uncertainty to property tax. So, while the annual value may not vary year over year, the fact that this will vary with market conditions implies no ability to guarantee the impact on the taxpayer. For many of my residents who are retirees and live in the property that they own, this does cause some level of anxiety. So, while they own their own property and live in them, they are anxious about the amount of tax they have to pay despite not making any rental income from their home.
While I support the amendments in the Bill, I would like to put forward a consideration for a different treatment of \"owner-occupied residential property\", and I assume that some of the tax people might fall off their chairs with this.
\tPage: 48
The consideration I am asking for is, do not treat owner-occupied residential property as a tax on wealth.
I do understand that this is not a trivial consideration and it is a fundamental shift from the current intention of the tax which is a tax on wealth. Property is definitely an important form of wealth or asset in Singapore, whether owner-occupied, rented out or used for investment purposes.
This will have a significant impact on tax revenue, as asset tax, which property tax and owner-occupied rental tax are part of. It is estimated to form about 7.4% of Government Operating Revenue in the financial year 2013, thereabouts it is about $4 billion. This will impact the programmes and initiatives that this revenue also funds.
The rationale for my putting forward this consideration is not just from a tax perspective but rather that of housing policy, nation building and rootedness to Singapore.
The Home Ownership for the People Scheme was introduced in 1964. And this gave Singaporeans a tangible asset in the country and a means of financial security. Home ownership has also helped Singapore in our economic, social and political stability. As we know, over 80% of Singaporeans live in public housing, with about 95% owning their HDB flats, that is, they are owner-occupied.
As the Prime Minister said in his recent National Day Rally Speech, I quote, \"Housing has and will continue to be an important way to share the fruits of our progress with all Singaporeans and to level up the poor. The HDB programme is not just about the roof over our heads. It is also a valuable nest egg. But it is not just a valuable nest egg. It is also a home, a home where we sink roots, where we raise families, where we build ties, friendships, emotional ties with our fellow Singaporeans.\"
A person living in his/her house – HDB or private – is really not fully realising the value of the asset. We have an ageing population and a growing middle class that has worked hard over the years to own their own homes, public or private. Many are living in them. As they retire or slow down in their career, they increasingly depend on their savings. And for those who do live in them, while, yes, they do have wealth, that is, their homes, they are not really fully realising the value of their wealth unless they sell their homes. For our seniors, we do want them to be able to continue to live in the community and
\tPage: 49
environment that they are familiar with and where they have built their bonds. For those who have investments and own other residential properties, they should continue to be taxed on them.
I support the amendments in the Bill as this would be moving in the right direction and I am not asking for the consideration to happen now as it has significant impact on both tax revenue and the programmes that the revenue supports. I do, however, believe that there is merit to think about the perspective of commitment to Singapore through the basics of Singapore's home ownership fundamentals and the treatment of tax on homes.
Mrs Josephine Teo: Thank you, Mdm Speaker. I would also like to thank Ms Jessica Tan for her comments on the changes that we are about to introduce.
Ms Tan has pointed out that owners who occupy their residential properties do not realise any gains from the property until the property is sold and suggested that we limit property tax to owner-occupied homes only at the very high-end so as not to impact middle-income groups as well as retirees.
Mdm Speaker, property tax is our sole tax on wealth. It is not a form of income tax and, hence, property tax is payable, regardless of whether it earns rental income for the owner. The principle of taxing property as an asset that is part of the owner's wealth-holding is a common practice in several other countries, including the UK, Malaysia and Hong Kong, where property tax is payable on owner-occupied properties just as in Singapore. So, we are not the only ones that levy property tax on owner-occupied properties.
An important feature of our property tax system is that owner-occupied residential properties are already taxed at significantly lower rates than those held for investment purposes. And this is not the case in Malaysia and Hong Kong. For example, the property tax on a home with an annual value of $30,000 is $880 if it is owner-occupied, and $3,000 otherwise. So, we have already made quite a distinction between residential properties that are owner-occupied or held for investment purposes, and there is a big concession being offered to owners who use it for residential purposes.
I share Ms Tan's concern for middle-income and retiree households and we were particularly sensitive to this group of owners when we reviewed our property tax structure to make it more progressive. And that is why only the top 1% of homes will pay higher property taxes as a result of this change. The remaining 99% of homes, which include all owner-occupied HDB flats and
\tPage: 50
private properties with annual values of less than $59,000, in fact, enjoy property tax savings of up to $80 per household. And this will be based on their 2013 annual values.
Just to give an example. A retiree residing at Teachers' Housing Estate where almost all terraces and semi-detached houses have annual values of $30,000 or less, will enjoy property tax savings. Overall, the changes in the property taxes do not hurt most middle-income and retiree households. In fact, most will enjoy some savings.
As for the complexity of the new property tax rate structure, the majority of homes will, in fact, fall within the first two tiers of the property tax structure of 0% and 4%. But even so, property owners need not worry about calculating their property tax as IRAS will determine the annual value of the property and calculate the property tax payable accordingly.
Property owners who are interested to find out the property tax payable on their properties may also use the online property tax calculator available on IRAS' website to compute the tax amount.
I also wanted to touch briefly on Ms Tan's concern that some property owners may be worried because they do not know for a fact how much property tax they are required to pay the next time round. It is a valid concern and it has, in fact, influenced the way we decided on the basis on which to calculate property tax.
In Singapore, as in Hong Kong, the property tax is calculated on the basis of Annual Value, which is an estimate of the rental that potentially the property could receive if it was put on the market for rental.
The alternative, which some other countries use, is to base property tax on the Capital Value – what you would realise at the point of sale, for example.
We have chosen to use Annual Value rather than Capital Value for two reasons. The first is that there are far more rental transactions to base Annual Value computations on, as compared to Capital Value, which is based on sales transactions. So, this is one advantage – many more transactions that we can use. And as a result, there is less volatility, more stable.
The second advantage of using Annual Value instead of Capital Value is that rental tends to be more stable than sales. Sale prices are very much
\tPage: 51
impacted by sentiments, the point of the economic cycle that you are in. So, simply by choosing Annual Value instead of Capital Value, we are providing more certainty for home-owners, meaning from year to year, the changes should not be too large.
Nonetheless, I take the Member's point and we will endeavour to ensure that these changes are properly explained and help property owners understand how the property tax is being computed. Of course, we will continue to review the new property tax structure to ensure that it remains as a progressive wealth tax.
I just have a final point, Madam, which is that Ms Tan had talked a little bit about the impact in dollar terms. One of the points that should be highlighted is that this set of changes to property tax was not designed, was not introduced for revenue-raising purpose. It was purely to make our property tax structure more progressive, which was something that we did in 2011 and we are taking it one step further. With that, Madam, I beg to move.
[(proc text) Question put, and agreed to. (proc text)]
[(proc text) Bill accordingly read a Second time and committed to a Committee of the whole House. (proc text)]
[(proc text) The House immediately resolved itself into a Committee on the Bill. – [Mrs Josephine Teo]. (proc text)]
[(proc text) Bill considered in Committee; reported without amendment; read a Third time and passed. (proc text)]
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The Senior Minister of State for Finance (Mrs Josephine Teo): Mdm Speaker, I beg to move, \"That the Bill be now read a Second time.\"
Page: 52
The Income Tax (Amendment) Bill 2013 covers both the income tax changes announced in the 2013 Budget Statement, and other changes arising from the periodic review of our income tax regime.
The draft Bill was released for two public consultation exercises, one held from 17 June to 7 July and the other from 18 to 31 July this year. MOF has reviewed the feedback received and incorporated relevant points in the Bill tabled in Parliament.
Madam, the tax changes announced in the 2013 Budget Statement have already been debated in this House. Let me highlight the key changes.
First, the Productivity and Innovation Credit (PIC) Scheme has been further enhanced to allow SMEs that license intellectual property rather than acquire it outright to also qualify for PIC benefits. Clauses 17, 18 and 23 of the Bill provide for the changes.
Second, qualifying businesses which make productivity investments will be provided a dollar-for-dollar matching PIC Bonus. This bonus, which comes on top of existing PIC benefits, is applicable for Years of Assessment (YAs) 2013 to 2015 and is capped at a total of $15,000. It gives additional support to businesses that are making an effort to boost productivity and innovation and also helps to defray their operating costs. The PIC bonus is provided for in clauses 24, 25, 38, 39 and 40.
Third, a 30% corporate income tax rebate of up to $30,000 per YA will be granted to companies from YA2013 to YA2015. This is provided for in clause 35.
Fourth, the Start-Up Tax Exemption (SUTE) Scheme, which is aimed at encouraging entrepreneurial risk-taking, is no longer available to property development companies and investment holding companies incorporated after 25 February 2013. These companies can still enjoy the partial tax exemption generally available to all companies. Clause 27 provides for the change.
Fifth, a personal income tax rebate of 30% will be provided to all resident-individual taxpayers for YA2013, capped at $1,500 per taxpayer. Taxpayers aged 60 years and above will get a higher rebate at 50% capped at $1,500 per taxpayer. This will help taxpayers, especially seniors, with the increase in the cost of living. This is provided for in clause 51.
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Sixth, housing accommodation provided to employees will now be taxed based on their market value instead of using a prescribed formula. This will simplify tax compliance and make our tax system more equitable. Clause 4 provides for this change.
Madam, I shall now outline the tax changes covered in this Bill relating to our Exchange of Information (EOI) regime. These changes follow a comprehensive review of the current EOI framework, and represent a further major step by Singapore to enhance cooperation with other tax jurisdictions.
Members might recall that in 2009, Singapore had endorsed and implemented the internationally-agreed EOI Standard, which sets out how tax jurisdictions should address cross-border tax evasion by entering into effective information-sharing arrangements.
Since then, international tax cooperation practices and standards have continued to evolve and strengthen. There is also a growing international movement against cross-border tax evasion, which undermines the legitimate revenue collections of governments. As a trusted financial centre, Singapore will act responsibly and uphold EOI standards in line with international norms. Let me highlight three key changes we are making.
First, we will amend the Act to extend EOI assistance in accordance with the internationally-agreed EOI Standard to all our agreement partners, without having to individually update our bilateral tax agreements. In recent years, most countries have adopted the EOI Standard, and EOI requirements have converged. There is, therefore, no longer a need to cater to individual countries' unique EOI requirements in the respective bilateral agreements.
An important principle of EOI
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assistance is reciprocity, meaning that we provide assistance to the same extent that a partner jurisdiction assists with Singapore's information requests. The changes are provided for in clauses 34 and 41 to 44.
Second, we will allow IRAS to obtain information protected under the Banking Act and Trust Companies Act for EOI purposes without having to seek a Court Order. This is aimed at streamlining EOI administration.
Members may be concerned that the removal of the need for IRAS to seek a Court Order compromises safeguards that protect the confidentiality of taxpayers' information. Let me assure the House that each request for EOI assistance is carefully considered and not acceded to indiscriminately. Even though a Court Order is not required, IRAS will render EOI assistance only for clear, specific and legitimate requests.
In the last four years, IRAS has, in fact, gained valuable experience in EOI administration, and is now well-placed to evaluate and assist on requests in line with the internationally-agreed Standard. Taxpayers can make representations to IRAS to highlight issues with specific requests, which IRAS will take into account when evaluating them. IRAS' decision can also be subject to judicial review.
The third amendment to the Income Tax Act gives legal effect to the Singapore-United States Foreign Account Tax Compliance Act (FATCA) Intergovernmental Agreement (IGA), for which negotiations are expected to conclude in the coming months. This agreement is, therefore, short-formed known as FATCA IGA. FATCA is a US law that aims to prevent US Persons from using offshore bank accounts to evade US taxes by requiring Foreign Financial Institutions (FFIs) worldwide to report the information on bank accounts maintained by US Persons to the US Internal Revenue Service. Non-complying FFIs will be subject to a 30% withholding tax on payments received from the US, such as US-sourced dividends and interest. We have decided to enter into a FATCA IGA with the US in response to feedback from our financial institutions, as doing so will help them meet their FATCA obligations.
The amendments provide IRAS with the necessary information-gathering powers to fulfil Singapore's role in facilitating FATCA-compliance under the IGA. These powers include the routine collection and transmission of relevant information, as well as enforcement powers to sanction non-compliance. Clauses 3, 34 and 48 provide for the change.
These changes in our EOI regime support Singapore's international tax cooperation with partner jurisdictions to combat cross-border tax offences. They also strengthen our position as a credible and respectable member of the global community. The remaining legislative changes are mostly technical in nature or relate to improvements in tax administration.
One such improvement is the simplification of the capping rule for tax deduction for third-party voluntary contributions to the Medisave Account of an Employee or Self-Employed Person which took effect from 1 January 2013. This change will encourage employers and eligible companies to contribute to their employees' MediSave accounts, and, likewise, for self-employed persons.
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Clauses 5, 7, 13 and 18 provide for this. Mdm Speaker, I beg to move.
[(proc text) Question proposed. (proc text)]
Ms Jessica Tan Soon Neo (East Coast): Mdm Speaker, thank you for allowing me to speak on the Income Tax (Amendment) Bill 2013. I support the tax changes in the Bill and would like to touch on two areas of the changes in the Bill: first, the refinement and amendments to existing tax policies and administration of the Exchange of Information (EOI) regime; and, secondly, the changes to the Productivity and Innovation Credit (PIC)
On the EOI amendments. First, let me touch on our market here, our openness and our efficient business model have helped Singapore become a leading global wealth management centre. The Bill includes refinements and amendments to existing tax policies and administration of the exchange of information regime to safeguard and reinforce our reputation as a fast-growing financial services sector.
The changes in the Bill will enable the steps to be taken to strengthen the EOI framework for international cooperation to fight against the cross-border tax evasions. These changes will increase, as the Senior Minister of State has indicated, the number of jurisdictions from 41 to 83 that Singapore will be able to exchange information with. It will also further streamline the administration of EOI under the standard and help ease the compliance burden for financial institutions in Singapore with the Foreign Account Tax Compliance Act (FATCA).
The amendments to EOI will also require financial institutions operating in Singapore to have greater disclosure requirements and monitoring obligations. With this, of course, there may be concerns on the impact of confidentiality and the banking secrecy standards. I was heartened to hear the Senior Minister of State touch on the point that every EOI request will be scrutinised and not indiscriminately adhered to and that care will be taken to ensure that that is given the right attention. We must recognise that while it is important that we continue to maintain strict policies to protect confidentiality of client information, it cannot be a reason for the flow of illicit funds. Confidentiality cannot also be a reason to stop cross-border exchange of information for crime investigation. For Singapore to remain a leading and reliable financial centre, we must have a clean regime that protects our financial institutions and the
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legitimate monies and eliminates illegal funds.
These amendments will send a strong clear signal that Singapore sees our financial integrity as crucial to uphold our reputation as a leading wealth management centre.
Let me now touch on some of the changes with regard to PIC. I will not go into details of debating the PIC itself because those have been debated earlier. But I do want to touch on the new section 371A which deals with the payment of cash amounts known as the PIC bonus of up to $15,000 over the three years of assessment from 2013 to 2015. This is meant to help businesses defray their operating costs, and encourage them to continue investing in productivity improvements and innovation based on certain expenditures which qualify for certain deductions or allowances under the Act.
This will be welcomed by businesses, especially as they deal with the necessary business transformation required to address current business competitiveness, costs and manpower constraints.
To qualify for the PIC Bonus, the conditions for the payment of PIC bonus for each year of assessment are:
(a) the person must have incurred a minimum of $5,000 of qualifying expenditure in the basis year for that expenditure;
(b) he is carrying on a trade or business during the time the Comptroller is considering his case for the bonus; and
(c) he must have made contributions to CPF for at least three local employees based on the payroll for the last month of the basis period or such other month as determined by the Comptroller.
The challenge facing SMEs, especially the very small SMEs, continues to be manpower constraints and attracting locals to certain jobs. Hence, the need to invest in productivity improvements and innovation for these SMEs is crucial. I would ask that we review the condition for making CPF contributions for a least three local employees as a qualifying criteria for the PIC Bonus. While small SMEs can still qualify for PIC tax deductions and allowances under PIC, the PIC Bonus for incurring a minimum qualifying expenditure with a dollar-for-dollar matching would definitely be a great help for small SMEs to invest in productivity improvements and innovation to reduce their dependency on
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manpower. The fact that the PIC cash payout is paid out on a quarterly basis is also another plus point for small SMEs.
The changes in the Bill also talks about the enhancements to the PIC Scheme to include Intellectual Property (IP) in-licensing. This will help businesses that license IP rights instead of acquiring the IP for innovation or productivity improvements incurred for Year of Assessment 2013 to 2015. These would definitely, again, help the very small industries and, therefore, a very welcome change. With that, I support the Bill.
Mr Yee Jenn Jong (Non-Constituency Member): Mdm Speaker, I will speak on the parts of the Income Tax (Amendment) Bill that relates to the agreement with the United States to implement the Foreign Account Tax Compliance Act (FATCA).
The amendments contained in this Bill are effectively facilitating compliance of our financial institutions with FATCA to assist the US government with identifying tax evaders as deemed so by the laws of the United States. FATCA affects financial institutions and is a matter of relationship between the US government and financial institutions with US source income streams. Typically, foreign governments are not obliged to help facilitate this relationship. Singapore is taking an extraordinary step to facilitate compliance.
As of June 2013, the United Kingdom, Denmark, Mexico, Ireland, Switzerland, Norway, Spain, Germany, France and Italy have concluded inter-governmental agreements (IGAs) to cooperate with the US on FATCA implementation. Japan and South Africa have consented to cooperation as well. We will be the first and only country in ASEAN to take such an action of cooperation with the US. Various other countries, such as Hong Kong, are in talks with the US on their own IGAs.
The Senior Minister of State has explained the reasons for Singapore to enter into IGA with the US on FATCA. The US has made it clear that financial institutions operating in countries that do not sign IGA with US IRS by the end of this year must sign individual agreements with the US tax authorities. Failure to do so will subject the financial institutions to a 30% withholding tax, as the Senior Minister of State has explained. Given the importance of the US as a political and economic partner of Singapore and the trend of countries complying with FATCA, it is understandable that Singapore will want to work
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with the US on this matter.
The US Department of Treasury provides two IGA models. Model 1 involves financial institutions in the partner countries reporting information about US accounts to the partner country's tax authority, which then provides the information to the US authorities. Model 2 involves financial institutions reporting directly to the US Internal Revenue Service and partner countries agreeing to lower legal barriers to reporting.
All the countries that have concluded IGAs with the US are on Model 1, except for Switzerland, which concluded a Model 2 agreement. Japan is also considering Model 2 as well. According to the Swiss Finance Minister, Model 2 \"better protects privacy and sovereignty.\" Swiss banks will have to report accounts belonging to US taxpayers above a minimum balance, but client's data will only be exchanged once the US authorities have requested administrative assistance. Singapore had signalled that we will be implementing Model 1 IGA with the US.
I would like to raise six areas of concerns with the Senior Minister of State on this matter.
First, it is about mutual benefits. In a reply in Parliament in 2009 to a question regarding Singapore being on the OECD's \"grey list\" of countries committed to internationally agreed tax standard, then Second Minister for Finance Mrs Lim Hwee Hua had said that \"Singapore is starting talks with several countries to update our DTAs (Double Taxation Agreements) with them on a mutually beneficial basis, including having exchange of information provisions that are in line with the new international Standard.\"
In the matter of bilateral agreements, governments form arrangements on a mutually beneficial basis. There will be compliance costs. There will be cost incurred by our Government to collect data on behalf of the US. We will be facilitating the US government to implement one of their laws.
Singapore currently has comprehensive DTAs with 71 countries providing for exchange of information, but not with the US. We have only a limited treaty with the US covering shipping and air transport income.
I would like to ask the Senior Minister of State if we are currently negotiating a comprehensive DTA with the US or seeking other concessions
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from the US in view of us facilitating FATCA. If so, what are these?
My second area of concern is about the cost of compliance. Countries that opt for Model 2 will let the financial institutions deal directly with the US IRS. There will be compliance costs for the financial institutions as they need manpower to deal with queries from the US and to change their IT systems to comply with FATCA. In the Model 1 supported by Singapore, our Government will collect data from financial institutions for the US. While this will make compliance with FATCA easier for our financial institutions, compliance costs will be transferred to the Government and, therefore, to the taxpayer. What is the expected annual compliance cost and would our Government be carrying this cost? If not, how will this cost be borne?
In the IGA reached between Switzerland and the US, three of the six objectives are to:
(a) increase \"legal certainty by clarifying which Swiss financial institutions are subject to FATCA implementation\";
(b) \"reduce implementation costs including by suspending, under certain circumstances, certain withholding and account closing obligations\"; and
(c) \"simplify the necessary due diligence procedures\".
The joint statement with Japan also has similar provisions benefiting Japanese financial institutions. Can the Senior Minister of State clarify what are the similar provisions in our proposed IGA on FATCA?
My third concern is about the impact on Singapore citizens. FATCA does not only affect US citizens but is targeted at anyone who is potentially earning a US taxable income stream. A person takes the definition of a \"US person\", which is indicated by any one of the following:
(a) US citizenship or permanent residence (green card status);
(b) A US birthplace;
(c) A US residence address or a US correspondence address;
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(d) Standing instructions to transfer funds to an account maintained in the United States, or directions regularly received from a US address;
(e) An \"in care of\" address or a \"hold mail\" address that is the sole address with respect to the client; or
(f) A power of attorney or signatory authority granted to a person with a US address.
This definition could see many Singapore citizens being identified as a US person. In a Model 1 IGA, our Government may have to automatically transmit information on Singapore citizens who are deemed as US persons to the USA. What is the Government's estimation of how many Singaporeans will be deemed as US persons in the implementation of FATCA?
Are there any safeguards to limit extraterritorial implementation of foreign laws to prevent overreach by any foreign government on Singapore citizens? Generally, as the Senior Minister of State had stated, it is expected that any treaty or international agreement should be fully reciprocal. What reciprocal rights will we have on US citizens on similar matters?
This leads to my fourth concern, on the risk of political blowback. Even with full reciprocity in agreement, there are already some quarters in the USA resisting FATCA for fear of reciprocity requirements by foreign governments will compromise the constitutional privacy rights of US credit union members and bank customers. Requests for information by foreign governments, including Singapore Government, in the USA may be stalled in their courts. What would our Government do in the event of limited reciprocity due to US domestic politics when we have implemented our IGA with the US?
My fifth concern is whether this concession to the US may open the door for demands for similar concession by other countries. The Bill provides for similar implementation with any other countries beyond the US that Singapore will make similar type of tax compliance agreements with in future. Are there similar agreements some of our other big trading partners will be expecting of us soon in their efforts to identify their own tax evaders in the form of their own FATCA? If so, which are the countries? Would this lead to a situation where many account holders in Singapore financial institutions become subject to foreign scrutiny, with greatly increased compliance costs?
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My final concern is to understand the parliamentary process. This Bill allows the Minister to negotiate and conclude the IGA, declare it as effective and to implement it. There is no need to debate and ratify the IGA in Parliament. In Switzerland's case, the IGA was entered into in February 2013. The Swiss Parliament voted to ratify it in September 2013. Our Government is now asking Parliament to approve the implementation of an IGA with the USA that does not yet exist and for which we do not have the details on. Should Parliament not have more details of the IGA so that we can better understand the full implications of this Bill?
In conclusion, there could well be international pressure and good reasons for Singapore to enter into compliance with FATCA and, in future, with other countries on a similar type of agreement. At the same time, there are questions that Singaporeans would want answers to, and to know the implications of our compliance with FATCA. Therefore, I seek the Senior Minister of State's answers to the questions I have raised.
Ms Foo Mee Har (West Coast): Mdm Speaker, the Income Tax (Amendment) Bill 2013 proposes 28 tax changes to the Tax Regulations. I would like to focus my speech on amendments relating to the Exchange of Information (EOI) regime.
Singapore amended its laws in 2009 to implement the internationally agreed Standard for EOI for tax purposes or the International Standard. Recently, the Global Forum on Transparency and Exchange of Information for Tax Purposes affirmed Singapore's alignment with the International Standard. It is only natural for Singapore to continuously and systematically strengthen our EOI regime in order to uphold our reputation as a trusted and responsible financial centre, committed to combating illegal cross-border tax offences.
However, I would like to highlight my concerns about the amendments in this Bill in the following three areas:
First, Madam, the implementation of the EOI regime will add significant complexity and operational costs which will have to be borne by taxpayers, individuals and businesses, particularly financial institutions; whilst also increasing the administrative burden on individual Singaporeans.
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Mdm Speaker, please allow me to illustrate this point by referring to new sections 105I to 105P, which are intended to implement Singapore's obligations under the agreement reached for the purpose of the Foreign Accounts Tax Compliance Act of the United States of America (FATCA), as well as other corresponding or substantially similar agreements that Singapore may enter into with other countries.
The truth is: financial institutions in Singapore and around the world are struggling to prepare themselves for FATCA, whether they are IGA or non-IGA. It does not matter if you are on IGA Scheme or non-IGA. Everybody struggles with FATCA. Even the US, the originator of this very intricate scheme, has had to push back its implementation deadlines because of FATCA's exhaustive scope and complexity. Millions of dollars have been spent and will continue to be spent by financial institutions to implement systems and change end-to-end processes in order to maintain verification and due diligence procedures, to identify accounts held by US taxpayers, obtain documentation of each identified account holder to determine US or non-US status, and report detailed information regarding such US accounts.
Banks have had to redesign their entire client on-boarding and management systems to comply with FATCA even if some of them handle a negligible amount of business for US clients. Apart from US taxpayers, who are identified by a set of indicia; non US-taxpayers are also required to provide documentation, such as Form W-8, to prove their non-US status. This non-US status needs to be updated periodically. So, not only US persons have to prove, but non-US persons also have to prove their non-US status. So, many in the financial industry actually could scarcely believe the scope and the onerousness of these requirements when they first learnt of it.
Burdensome complexity brings with it the risk of non-compliance and the accompanying cost of penalties.
There is also opportunity costs associated with bankers spending their time collecting information on clients' tax residencies instead of their clients' financial needs. These are but some of the challenges facing financial institutions in Singapore and around the world, in dealing with FATCA.
Thus far, I have spoken only about the requirements imposed by the US regulators. What if other countries decide to follow suit? This prospect is not far-fetched. A recent International Tax Review article reported that Europe's five leading economies had agreed to automatically exchange a wide range of tax
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information multilaterally, while the finance ministers of Belgium, the Netherlands, Poland and Romania backed the creation of a global system of automatic information exchange that could be based on the US FATCA.
Singapore's network of EOI partner jurisdictions is expected to more than double, from 41 to 83. I am concerned about how this would add to the volume of requests and thereby the administrative costs of handling them. How can we justify the significant increase in effort and costs, including Singapore taxpayer dollars, to implement what is essentially a comprehensive information disclosure exercise for another jurisdiction. I hope the Minister can shed some light on how we may resist the trend that FATCA might set.
Mdm Speaker, my second area of concern relates to the amendment that gives IRAS access to information currently protected under the Banking Act and the Trust Companies Act for EOI purposes, without having to first obtain a Court Order.
Notwithstanding the existing EOI regulations which have been in place since 2009, foreign clients continue to regard Singapore as a major financial centre and wealth management hub. Why? Many of these clients value Singapore's political stability, robust regulatory environment, strong judiciary and internationally recognised rule of law. I am concerned that the proposed lifting of the current requirement – that IRAS first seek a Court Order before pursuing privileged client information – lifting this may undermine the confidence that clients and investors have in Singapore's banking privacy laws.
Members of this House may recall that when the \"Court Order\" requirement was instituted in 2009, the Minister for Finance Mr Tharman Shanmugaratnam explained to Parliament why there was a need for safeguards to protect against unauthorised disclosure under the Banking Act and the Trust Companies Act.
The Minister said, and I quote:
[(proc text) \"IRAS will make an application to the High Court for a production order to access the requested information. The affected taxpayer and bank or trust company will have the right to apply to the Court to discharge or vary the Court order. I should emphasise that these procedures are not meant to frustrate or delay the information exchange process. Rather, they are intended to provide a fair and independent assessment of the validity of requests, and allow us to render effective assistance to valid requests. They are essentially similar to procedures used in the United Kingdom, which relies on a tribunal process, or the United States which relies on the courts.\" (proc text)]
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Madam, today, these reasons given by the Finance Minister in 2009 remain sound and the principles behind them remain very valid. Our courts are known to work efficiently and with minimum delays. I am given to understand that we have actually consistently met our EOI commitments since its implementation in 2009, with the requirement for an application to the High Court in place as a requirement. So, could the Minister please clarify why is it now necessary to remove the \"Court Order\" requirement?
I urge the Minister to consider retaining the \"Court Order\" requirement whilst fully meeting our obligations under the International Standard, and continue to uphold the confidence of clients in Singapore's Banking system that is robust and independent.
Mdm Speaker, my last area of concern relates to the apparent lack of safeguards for taxpayers' rights which is supposed to be an integral part of the internationally agreed Standard.
Whilst I fully agree that Singapore's financial system must never be used to serve financial criminals, it must be equally accountable to clients who have trusted the system, and client confidentiality would not be compromised without justification.
So, let me use an example. Let us suppose that a foreign client has proven his source of wealth in a Singapore bank account to be legitimate. So, it is legitimate money. Let us further suppose that this same client resides in a country where corruption is rampant and the politics unstable. And that, one day, the government of his country changes suddenly to one which does not like him, and he becomes the target of a political witch-hunt.
The so-called \"incriminating evidence\" is fabricated and such material is used to support a request for this client's information in Singapore. I think Members of this House will not find such a scenario so implausible. The question is: how are the relevant agencies in Singapore to react to such a request?
Could the Minister clarify how the affected taxpayer's rights would continue to be protected and how such a taxpayer may be afforded the right of appeal should he or she believe the basis for such request for information to be unjustified? The right of appeal should be spelt out clearly in the same provisions within the EOI regime.
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I note with further concern, Madam, the new section 65E, which requires that the Comptroller's notice to obtain information be kept confidential from the affected taxpayer so as to prevent the person from being tipped off. In this case, the person involved may never have the chance to tell his or her side of the story, or be given the opportunity to appeal against the Order.
Without the requirement for a Court Order, the onus to ensure supremely fair and robust processing of EOI requests would lie solely with IRAS. On what basis does IRAS judge the EOI requests to be clear, legitimate and relevant to the enforcement of the requesting jurisdiction's tax laws, especially in cases where they have not had the input of the taxpayer being scrutinised? Could the Minister please clarify what processes are in place to protect taxpayer's rights under such circumstances?
Lastly, Mdm Speaker, please allow me to briefly comment on the amendments relating to the tax changes announced in the 2013 Budget Statement meant to support companies to restructure for higher productivity. Despite the many schemes that the Government has rolled out over the years, it is disheartening to see labour productivity in Singapore slip 0.3% in the second quarter of 2013, compared with a year ago – the sixth straight quarter of decline.
I would like to ask the Minister whether she is assured that the vast resources being dedicated to supporting productivity programmes are, indeed, effective, or whether we need a review of the productivity programmes or change initiatives.
Do we need to measure success differently at this stage of our restructuring journey to shed light if our efforts are bearing fruits, even if we are not able to see improvements in the top line official productivity indices?
It is troubling that IRAS' audit has revealed that one in three claims for Government grants and subsidies to boost productivity were found to have errors, with a few firms clearly setting out to \"game\" the system. I am glad to see deterrent penalties for flagrant and reprehensible abuses of the schemes are part of the changes proposed in the Bill. MOF must find ways to institute relevant measures to ensure productivity grants and subsidies are, indeed, linked to value-added activities.
Of course, we continue to hear feedback from companies, especially SMEs, that they are often lost in the sea of complexity of schemes available, unsure
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about which scheme to apply and how to go about it. I would like to suggest again a much more tailored-sector level intervention and support, working in close collaboration with trade associations, to quickly address each sector's unique challenges, replicate best practices and develop shared services capabilities.
To conclude, in the end, the Government can only do so much to push for productivity. The rest is really up to individual companies, managers and their employees to truly work towards the vision of a more productive and innovative Singapore, where skilled workers are fully engaged in meaningful jobs and pulling their weight in the competitive global landscape. Madam, I support the Bill.
Mdm Speaker: Order. I propose to take a break now. I suspend the Sitting and will take the Chair again at 4.25 pm.
Sitting accordingly suspended
at 4.05 pm until 4.25 pm.
Sitting resumed at 4.25 pm
[Mdm Speaker in the Chair]
[(proc text) Debate resumed. (proc text)]
Mrs Lina Chiam (Non-Constituency Member): Mdm Speaker, I refer to clause 3B of the Income Tax (Amendment) Bill, which amends section 6 of the original Bill. Why should the Government allow the Comptroller of Income Tax to share information with a foreign country, pursuant to our agreement with the United States to implement the Foreign Account Tax Compliance Act (FATCA)?
Are there other ways that local financial institutions can comply with FATCA, without amending the Income Tax Act? Was FATCA approved by this Parliament? Even if we have to pass a Bill, I suppose we can debate the full
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scope of FATCA.
I understand, of course, that the Ministry of Finance aims to place Singapore in line with evolving global standards on the Exchange of Information regime. Our main competitors are the major global financial centres, Switzerland and possibly Hong Kong, too, are signing up to FATCA. But there are still tax havens, such as Liechtenstein and the Cayman Islands, that do not fall under the current scope of FATCA. Does our Government believe that FATCA will ultimately be effective and fair to all countries?
I also refer to clause 35, in which the Income Tax Act is amended by providing for the remission of tax of companies for the Years of Assessment of 2013, 2014 and 2015. I would like to ask if the Ministry had considered the potential amount of tax loss incurred arising from this provision. Can the Minister inform us of this amount of potential tax loss?
If the intention is to manage the increase in business costs, can the Government design a more practical scheme? For example, if the bulk of business cost increases is due to rentals, is it not better for HDB and JTC to provide more affordable commercial and industrial facilities? Many SMEs cite overly high rental costs as the biggest contribution to increased business costs today.
I now refer to clause 24, on the Productivity and Innovation Credit bonus. According to the Ministry of Finance website, the intention is to defray business operating costs, especially for SMEs, and encourage them to invest in productivity improvements and innovation.
I would like to ask the Minister if dead-weight loss was considered. That is to say, what if an SME is not run efficiently on a good business model? What determines improvements and innovation? Can they be objectively measured?
Lastly, I would like to seek clarification from the Minister whether this arrangement is compliant with World Trade Organization rules and with the Free Trade Agreements that Singapore has signed. Would this open us to possible trade disputes with foreign firms who may allege that our SMEs and our products are unfairly subsidised against foreign competitors?
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Ms Tan Su Shan (Nominated Member): Mdm Speaker, I would like to declare my pecuniary interest as a banker and a co-chair of the Private Banking Industry Group in Singapore, alongside the MAS.
Mdm Speaker, two things in life are certain, death and taxes. It is not easy to craft an interesting speech about tax. We all pay it. In Singapore, we are lucky. The rules are clear and it is normally automatically deducted.
But in the global arena, tax is not so simple. Some countries have global taxation, others do not. Some have double tax treaties, others do not. Some have inheritance tax, capital gains tax, dividend tax; the list goes on. As Singapore thrives on being an open economy with free trade and open financial markets, we have billions of inflows and outflows globally. How then do we ascertain that these dollars are tax-compliant?
What this Bill does is that it clearly sets the bar high for Singapore. It says to the world, \"Singapore is not interested in becoming a tax haven to anyone who wishes to avoid paying tax. Please do not come here to hide your money.\"
In the long run, this is both good for our country and good for our financial industry in building a good, sustainable long-term business. After all, we want our financial industry and wealth management industry to be built on solid foundations based on sound practices and good governance.
So, we all agree on one thing. This is the pill we need to swallow to make us stronger in the long term. And as we say in Chinese: 良药苦口利于病.
The Bill covers a number of issues, including amendments and extension of the tax treatment of transactions of relevance to the banking industry. In general, the banking industry supports these changes. However, the Act also introduces changes in the rules related to tax evasion and grants the IRAS certain additional powers. It is this signalling of the changes in our tax laws, the actual implementation, the potential lack of clarity and the potential high costs associated with it that is becoming an issue.
What I am trying to bring up to this House is that it is not so simple. And here are some challenges to the financial industry and to businesses.
One, the rising costs and uncertainty. It has been clarified that the Government will assist in the application of the FATCA requirement by the US
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government and other \"Exchange of Information\" (EOI) requests. Because of the criminalisation of tax crimes as an AML offence, and the various new tax requirements coming into play – FATCA/FATF and so on, all banks have stepped up their compliance and security processes. We have to ensure that everything is in place and that the client onboarding, KYC, AML, due diligence and surveillance are best-in-class. We have no choice. We will do it. But where do we draw the line? How far do we need to go in our tax due diligence?
Let us take an example of a typical entrepreneur, say, a European passport holder living in Asia, owning a garment business in Indonesia that imports cotton from India and sells everything online. In all honesty, how do we ascertain that he has paid every single level of tax, from his business level, to his income level, capital gains or dividends? Chances are that the client himself may not even know.
So, we tell the clients, go and get a tax expert, get proper advice. But when the tax accountant comes onboard and does his job, he then tells the banks he cannot reveal anything to them due to client-confidentiality laws. So, this does not solve our dilemma.
Sometimes, it is also a matter of not knowing what we do not know. Though the client may be honest in all his business dealings, he may not know that there are other levels of tax he needs to pay. Often, even tax accountants tell us they do not know everything, too.
Industry practitioners are telling us that the costs of compliance keep getting higher. Some have considered shutting down or selling their businesses, which may mean the loss of jobs for Singaporeans.
The overarching concern is not stricter rules or extended IRAS powers. In fact, our industry leaders met with the IRAS and we know that they are an effective gatekeeper. The concern is with the uncertainty of the extent and application of the rules and the powers granted to IRAS. At risk is whether clients who are not trying to evade tax may decide not to bank here as they become more concerned about what may happen to their personal information. This would not be in the interest of Singapore and may not, in fact, help the overall cause of avoiding tax evasion. This is why timely clarity of the rules and practical enforcement is practical.
Two, difficult to ensure full compliance even if the right processes are in place. We may need to understand the motivation behind some of these tax
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enquiries. Why? Some supposed tax \"crimes\" may be politically and not economically motivated.
There are countries with high taxes and clean jurisdictions; there are also countries that have lower taxes and corrupt jurisdictions. With the EOI standards, we have to ensure that this \"Exchange of Information\" does not lead to abuse. Sometimes, it may also depend on how much budget deficit the country in question has, to see how motivated they are to increase their tax coffers. The bottom line is to be clear about the difference between a high-risk country and a high-risk tax country.
Three, global companies have global complex structures. It is debatable if there is a fine line between tax evasion, tax avoidance and tax planning. What could be classified as a tax crime in one jurisdiction could be perfectly legal in another.
Recently, global firms like Apple, Starbucks, Google and Amazon have come under fire for having complicated tax structures that have helped them to save billions on tax payments. For example, Amazon in the UK had sales of over £3 billion and a tax expense of only £1.8 million because they booked their profits elsewhere. These structures were perfectly legal but this tax avoidance has now become a moral issue. And the tide of public opinion is turning due to the public naming and shaming of these companies on social media.
This has led to the OECD terming this \"Base Erosion and Profit Shifting\" (BEPS), which refers to this interaction of different tax rules that can lead to double non-taxation or taxes that are even lower than single tax. The proposed actions to counter this are wide and have far-reaching consequences.
Four, funds can be transferred in and out without using the actual banking system:
(a) Money coming in to buy properties, for example, do not go through the same tax compliance or KYC checks. Money launderers or tax avoiders may also use other means like buying gold bars, diamonds or precious metals and so on.
(b) The rise of the non-bank payment agent. Banks are no longer the only institutions that receive funds and pay out funds. Telcos and online companies are fast becoming payment agents. From Paypal to Amazon, from Alipay to Tencent, many online companies can set up online payment platforms that
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bypass banks. If they do not have the same regulatory regime, they will be able to receive payments without the level of due diligence done by banks. Tax avoiders will wise up to this, if not already, and may use this as a way to move their illicit funds around.
Lastly, the rise of the digital economy. The rise of the digital economy has posed many challenges about tax collection. The new ways of doing business online make it more difficult to ascertain where value creation sits and where income should be taxed. The question is, are our tax frameworks able to adapt to the changing economic challenges caused by such online businesses?
I have detailed a few examples of the practical challenges we face in a more complex world of inter-connected activities, different tax laws and different motivations. Holding the high ground on tax is all very good, but being aware of the challenges and being able to face up to them will be key. And whilst we face up to these challenges and show the international community that we will be responsible in this fight against tax crimes, let us also balance the need for banking confidentiality against the request for information from the IRAS. In this respect, I suggest that the Government establishes clearer guidelines in the manner in which the IRAS can collect information from banks.
In the long term, we may need more sustainable solutions globally. Countries need to strengthen their tax administrations to deal with an ever-changing globalised and digitalised economy, and more needs to be done on client education.
Hopefully, Singapore can start to set these standards rather than just follow them, and, hopefully, we can gain more credibility in the long term by showing that whilst we remain open for business, we are serious about setting and executing on only the highest international standards. Doing this can only add to our reputation, our economy and, of course, better job opportunities for Singaporeans. Mdm Speaker, I support the Bill.
Mrs Josephine Teo: Mdm Speaker, I thank Members − Ms Jessica Tan, Ms Foo Mee Har, Ms Tan Su Shan, Mr Yee Jenn Jong and Mrs Lina Chiam − for their comments and suggestions. The comments and suggestions fall into two main parts and I propose to address those relating to PIC first and then we can focus on the Exchange of Information (EOI).
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Madam, Ms Foo Mee Har has asked about the effectiveness of productivity-related grants and subsidies and the potential for abuse. Ms Jessica Tan suggests refining the criteria to better support micro SMEs where the eligibility for the PIC Bonus is a concern.
Madam, the raising of productivity is a medium to long-term endeavour that would take much more than grants and subsidies to bring about. Government support is, therefore, much broader than the PIC scheme and enhancements which this Bill addresses. It includes the setting up of the National Productivity Fund and the efforts to design targeted strategies in different sectors where productivity is lagging, including working with industry associations, as mentioned by Ms Foo, as well as significant investments in continuing education and training to help Singaporeans keep pace.
All these efforts require changes at the micro level of individual enterprises, as well as at the macro level of industries. It is, therefore, not surprising that it takes time for the results to become visible. In the meantime, we can expect short-term productivity fluctuations due to economic cycles and volatility. In fact, economists know this – it is often more sensible to compare productivity changes from decade to decade and to monitor sector-specific productivity measures rather than to look at productivity changes on a quarter-to-quarter basis because that is masked by too many short-term volatile factors.
At this stage of our push for productivity-driven growth, what is most important is for businesses to get started on their productivity journey, to learn, to invest in improvements and to sustain the effort over time. And this is why we have designed the scheme to be broad-based to support as many businesses as possible and also kept the criteria for the schemes as straightforward as we can.
In this regard, it is heartening that a survey conducted by the Singapore Chinese Chamber of Commerce and Industry earlier this year revealed that over eight in 10 of the companies in Singapore are trying to raise productivity levels. And also the feedback from businesses suggests that more of them now see raising productivity as a key priority, especially given the tight manpower situation. So, mindsets have shifted and we are seeing greater awareness of the schemes available to support the productivity push.
In terms of potential abuse, I should, firstly, highlight that the vast majority of the errors in claims which Ms Foo cited are due to the lack of familiarity. The vast majority of them were unintentional. As businesses gain more experience
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in claiming PIC benefits, we can expect the error rates to come down.
IRAS makes it a point to highlight common mistakes found in PIC claims through its website and conducts seminars, including in the heartlands, to reach out to small businesses. IRAS also has ongoing compliance programmes to review and audit PIC claims because there are, indeed, a number who try to take advantage. If businesses are found to have artificially inflated their claims or abused the PIC scheme, IRAS will not hesitate to take stern enforcement actions against these businesses and any consultants helping them. So, for example, a company director was recently sentenced to eight weeks' jail for making fraudulent claims for the PIC cash payout for his company. He also paid a penalty four times the amount of the cash payout fraudulently claimed.
Notwithstanding the strong stance against abusers, IRAS is mindful not to burden businesses with excessive documentation which would especially discourage micro SMEs from even getting started.
In response to Ms Jessica Tan's suggestion, I should clarify that all businesses can enjoy the PIC benefits, regardless of the number of employees. The requirement of three local employees only applies to the payment of PIC Bonus and to businesses claiming the cash payout. I think this was also a point that I recall Ms Foo and Ms Tan Su Shan raised when we first debated the PIC enhancements as they were introduced. This condition of requiring the businesses to have at least three CPF-paying local employees is really intended to reduce the risk of abuse which we talked about earlier and ensure that the cash payouts really go to active businesses, not those that are just set up for the purposes of gaining from the scheme.
However, the businesses that have fewer than three local employees can still benefit from the enhanced tax deductions under the PIC scheme. And many of them, including micro companies, have claimed these deductions. So, Members will be pleased to know that the PIC take-up rate for micro companies − and for that we are referring to companies with less than $1 million in annual turnover − has improved. And based on the corporate income tax returns filed as at April this year, about one in four active micro companies have claimed PIC and this is up from one in five that we have seen in the previous year. So, it is an improvement. I would say also that there is still a lot of room for us to reach out and help these micro SMEs get onto this productivity journey. We are not stopping at having seen the improvements, we will push forward.
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Madam, I would now like to turn to comments relating to changes in our EOI with other tax jurisdictions. The first point to make is, as Ms Tan Su Shan rightly pointed out, that Singapore is not a tax haven. We have a diversified economy where manufacturing is the largest contributor to GDP; accounting for 21%, followed by retail and wholesale trade at 17%; business services and financial services each contribute another 12%. So, we are a diversified, substantive economy.
Our tax system seeks to attract and anchor economic activities that create good jobs for Singaporeans. In fact, the corporate sector contributes a very significant share to the budgetary resources which are needed to implement the Government's programmes. We have also ensured that our financial sector is built upon the quality, breadth and depth of services we offer. We have established strong and consistent regulatory policies and demonstrated firm commitment to the rule of law.
Our strict anti-money laundering regime, for example, is held in high regard by the Financial Action Task Force (FATF), an international body which conducts peer reviews of jurisdictions' anti-money laundering regimes. Singapore clearly does not condone abuses of our laws for tax evasion purposes.
To this end, we co-operate actively with other jurisdictions through exchange of information for tax purposes based on international standards. This is world recognised and our practices and laws have been assessed by our peers to be in line with international norms.
Members have supported the EOI-related amendments but expressed concerns about the impact on Singapore's attractiveness as a financial centre. Singapore is not alone in adjusting our EOI regime to be more aligned to international standards. Several key financial centres, such as Switzerland and Hong Kong, have recently announced key shifts in their EOI regime. Switzerland recently signed the Multi-lateral Convention on Mutual Administrative Assistance and Tax Matters. And Hong Kong announced that it, too, will be negotiating a FATCA agreement with the US, as was pointed out by Mr Yee Jenn Jong.
Singapore has similarly reviewed our EOI regime to ensure that we adhere to the spirit of international tax co-operation. Ms Foo Mee Har, Mr Yee Jenn Jong and Ms Tan Su Shan highlighted the considerable cost of complying with the EOI standards and, in particular, those imposed by the US FATCA. I think Ms Foo highlighted that the financial institutions could scarcely believe how
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much work they have to do in order to comply. Ms Foo also expressed concern about the volume of requests when the number of partner jurisdictions expands.
Madam, enhanced international standards have, indeed, increased compliance costs for financial institutions around the world. The amendment to extend EOI assistance to all our agreement partners without having to update each agreement bilaterally means that however many partner jurisdictions there are going to be, it is still the same internationally agreed EOI Standard that applies. This, in fact, gives financial institutions a much higher degree of certainty and removes the problem of further complexity due to differing standards. Although it is not yet possible to assess how voluminous the request will be, as I have said earlier, IRAS will evaluate each request carefully and draw on its experience to provide assistance to only those which are clear, specific and legitimate. And I will have more to say about the processes that it employs.
As for FATCA, I should emphasise again that the burden it places on financial institutions is felt worldwide. Everywhere in the world, and not just in Singapore, does not matter where you are located, FATCA is going to hit you.
Following intensive consultation with the industry, we started discussions with the US on an arrangement whereby information would be reported to IRAS before onward transmission to the US Internal Revenue Service. This, as Mr Yee shared with us earlier, is Model 1 of the Inter-Governmental Agreement (IGA). What this means is that financial institutions in Singapore will only need to deal with IRAS instead of additional reporting to the US Inland Revenue Service. So, that is one benefit. Another benefit of the IGA is that financial institutions in Singapore would automatically be deemed compliant and will not be subject to a withholding tax unless they fail to meet their reporting obligations subsequently. So, the assumption is that you are compliant unless you fail to meet your reporting obligations.
Through the IGA, therefore, we hope to reduce the cost of compliance and complexity for financial institutions in Singapore. Specifically to Mr Yee's question on who is bearing the compliance cost, the vast bulk of the cost of compliance is to be borne by the financial institutions. I heard loudly and clearly Ms Tan Su Shan saying, \"We have no choice. We will do it.\" The cost to IRAS is, in fact, minimal, since we are merely aggregating the information provided by the financial institutions for onward transmission.
Mr Yee also asked whether we could estimate the number of Singapore citizens who could be considered US persons and caught under the FATCA. It
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is not possible to estimate with any accuracy because Singapore citizens working, living in the US, are not required to register with our Embassy. So, we do not have an exact number.
Mr Yee also asked, \"What about reciprocal rights?\" Indeed, that is our intent. And to do that, we would first need to have a Tax Information Exchange Agreement (TIEA) or a Double Tax Agreement (DTA) with the US.
In relation to Mr Yee's other question, we are always keen to establish Double Taxation Agreements that will benefit Singapore-based businesses, and that, of course, includes the US. It is not confined to the US but it includes the US. Specific to the US, in fact, Singapore has been pro-active in pursuing the DTA.
Our agencies will continue to work pro-actively with banks and all other relevant parties to streamline processes and make compliance easier. Where banks are required to provide information, for example, under FATCA, we will ensure that the guidelines are clear and practical. We remain open to suggestions from practitioners on what else can be done to address their operational concerns.
Let me address briefly Mr Yee and Mrs Chiam's questions on whether the IGA ought to be debated in Parliament. The Government is authorised within prescribed limits to negotiate and sign international agreements, and this includes the IGA. To meet the commitments of the IGA, we need to make several changes to our Income Tax Act. And for these changes, we are seeking Parliament's approval.
Let me now turn to safeguards. Ms Foo asked whether the removal of the court process would affect Singapore's reputation as a banking centre. She reminded us that the Court Order process that is being removed was only introduced in 2009. Madam, having dealt with over 500 EOI requests, IRAS' experience with the EOI Standard is much better than it was four years ago in 2009.
Initially, the Court Order process helped IRAS to assess the validity of requests. As IRAS gained experience, its own evaluations were increasingly validated by the Court Order process. That experience has been very helpful and IRAS is now sufficiently well-versed with the range of EOI requests and has in place established processes to evaluate them.
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To reassure Members, the removal of the Court process does not mean that IRAS will freely share information with our EOI partners. There are robust safeguards in the international EOI Standard to ensure that only clear, specific and relevant requests are acceded to. And this is the case whether or not a Court Order is needed. In particular, the requesting foreign jurisdiction will, firstly, have to explain why the request is being made, and has to put forward the case for why they are making the request. Secondly, they have to identify the taxpayer under investigation or assessment, and declare that it has pursued all available means in its own jurisdiction to obtain the information. So, firstly, explain why you want the information. Secondly, tell us who is being investigated. Thirdly, declare that you have, indeed, exhausted all other means.
Where requesting jurisdictions do not explain clearly how the requested information is relevant to its investigation or assessment, IRAS has and will continue to seek the necessary clarifications before agreeing to release the information.
Ms Foo had also asked about the anti-tipping off provision in the Bill. Such provisions are necessary as there may be certain sensitive investigations whose success might be undermined by tip-offs. This provision is, in fact, already part of our existing EOI regime. The only difference being that the court makes such orders now, whereas it is IRAS which will issue the order after the Bill is passed. This change, however, does not take away the right of the taxpayer to make representation to IRAS or lodge a request for a judicial review should he become aware of the request.
Both Ms Foo Mee Har and Ms Tan Su Shan expressed concerns that the information obtained through EOI requests might not be used solely for tax purposes. As all major financial centres have committed to the international EOI Standard, such risks are not specific to Singapore. Singapore's way of mitigating such risks is to ensure that we have a robust tax administration that will screen the request carefully to ensure that they meet the requirements of the Standard.
As Ms Tan Su Shan has noted, IRAS has been an effective gatekeeper. It will certainly strive to uphold this hard-earned reputation. Fundamentally, we depend on all our treaty partners to uphold the spirit of international cooperation and ensure that the information exchanged is used only for tax purposes, in accordance with the Standard. The assurance we have is that their adherence to the Standard is subject to continuous peer review by the international community, and any abuse could lead to an unfavourable assessment by the peers and a negative impact on their reputation in the global
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community.
Madam, in conclusion, I would also like to assure Members that as Singapore adjusts our EOI regime in support of international tax cooperation, we will push for continued international recognition of the following principles: first, EOI standards must be implemented on the basis of a level playing field across all financial centres to prevent regulatory arbitrage; second, tax cooperation between EOI partners must be fully reciprocal; third, tax cooperation can only take place within a strong legal framework that safeguards the integrity of taxpayer information and where information being exchanged is only used for authorised purposes.
These principles will not remove the costs and complexity of compliance, but they will help to ensure that the financial institutions operating in Singapore are not disadvantaged, and that taxpayers' legitimate rights and confidentiality are reasonably safeguarded.
If it surfaces that cooperation is not implemented in accordance with the terms of the tax agreement, then the principle of reciprocity, which I had spoken about, comes into consideration, and we would be entitled to review our level of cooperation with specific partner jurisdictions. I hope this addresses the question raised. Madam, having addressed these issues, I beg to move.
Ms Foo Mee Har (West Coast): I would like to thank the Senior Minister of State for your very comprehensive reply. I am still not quite sure about the part on the Court Order. The argument that it was a good safeguard, as the Minister for Finance Tharman Shanmugaratnam explained in Parliament in 2009, I believe still remains valid. I am unsure we are now removing it because we feel that IRAS has a lot more experience and, therefore, we do not need this additional step but actually it is within our control as long as Singapore is able to meet the deadline laid down by the EOI regime. What I am arguing is that, as long as we can meet the deadline, do we have a choice to keep the additional step to give clients and investors optically the confidence that they would have access to the judicial process?
Mrs Josephine Teo: Mdm Speaker, I thank Ms Foo for the supplementary question. Taxpayers still have access to the judicial process through a judicial review. Now, I would just like to add that what we are seeking, in terms of removal of the court process, is not unlike the practice in the US. In the US, no court order is required for the tax authority to be able to share information. A court process is only required if the tax information to be shared applies to a
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class of entities.
What we are doing is not unlike some of the other jurisdictions' practices that are already in place. In fact, in the UK, which has the tribunal that you also mentioned in your speech earlier, it is not a court process. It is something that is administrative and the powers do not reside within their judiciary. In a sense, we are aligning more closely and not deviating from what other jurisdictions are already practising.
Mr Yee Jenn Jong (Non-Constituency Member): Madam, I thank the Senior Minister of State for her comprehensive answers. Earlier, the Senior Minister of State listed the number of EOI safeguards that must be fulfilled before information will be released. I would like to know how these are applied under FATCA. Do these apply or are information auto-transmitted?
Mrs Josephine Teo: Madam, in response to Mr Yee's question, the exact implementation details of FATCA are yet to be worked out. I should remind the House that we have not concluded negotiations with our US counterparts. These details have to be worked out. After the Bill is passed, if we get Parliament's approval, then we can be in the position to sort out the details of the implementation.
[(proc text) Question put, and agreed to. (proc text)]
[(proc text) Bill accordingly read a Second time and committed to a Committee of the whole House. (proc text)]
[(proc text) The House immediately resolved itself into a Committee on the Bill. – [Mrs Josephine Teo]. (proc text)]
[(proc text) Bill considered in Committee; reported without amendment; read a Third time and passed. (proc text)]
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Jurong Town Corporation (Amendment) Bill","subTitle":null,"sectionType":"BP","content":"[(proc text) Order for Second Reading read. (proc text)]
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The Minister for Trade and Industry (Mr Lim Hng Kiang): Mdm Speaker, I beg to move, \"That the Bill be now read a Second time.\"
The Jurong Town Corporation (Amendment) Bill 2013 comprises three sets of amendments to the Jurong Town Corporation Act (JTC Act).
The first set of amendments provides a new function and powers for JTC Corporation (JTC) to obtain statistical information relating to industrial properties from members of the public, private establishments and selected Government agencies.
Today, the Urban Redevelopment Authority (URA) collects, compiles, analyses and disseminates a wide range of statistics on the residential, commercial and industrial property sectors.
As the industrial property market grows more diverse and complex, we need to channel more dedicated efforts and resources to gathering and analysing statistics in this sector to improve market transparency and stability. As such, JTC, as the main Government agency overseeing the industrial property market, has been tasked to undertake the statistics function for the industrial property sector.
The proposed amendments will bring about two key benefits. First, with access to timely and comprehensive data, JTC will be better able to ensure sufficient supply and stability in the industrial property market.
Second, JTC will be able to release public information on the industrial property market which will be more comprehensive and representative of the various industrial segments, for example, statistics on different industrial zones. Through the REACH website, the public has provided other suggestions to improve the comprehensiveness of the industrial property market data published. The Government appreciates this constructive feedback. JTC will take in these suggestions in coming up with its industrial property market reports.
To minimise the burden on respondents, JTC will continue URA's current practice of using administrative data provided by IRAS in its compilation of statistics, instead of expending duplicative efforts to collect the same information from the public. The amendment will explicitly allow JTC to obtain property tax and stamp duty data from IRAS for such statistical purposes.
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In addition, JTC will obtain additional industrial property data from URA, which will continue to collect data from mixed-use developments that are predominantly commercial but do contain some industrial components.
Mdm Speaker, I will now describe the various safeguards to protect the confidentiality of the data collected and the integrity of the datasets.
Internally, JTC will separate its industrial property developer and statistics collection functions. A Research & Statistics Department (RSD) has been set up in JTC to undertake the statistics collection function. To prevent unauthorised access and misuse of data, the RSD will be physically and electronically ring-fenced from all other JTC departments. Data collected under the Act will be stored and handled within the RSD office and accessible only to RSD officers.
Externally, to both the public and other Government agencies, JTC will only publish data obtained under the JTC Act in the form of aggregated statistics, or share individual data under the exceptions explicitly set out within the Act.
To guard against any leaks, the proposed amendment also includes a maximum fine of $2,000, or imprisonment for a term of up to 12 months, or both, as punishment for unpermitted disclosure.
Consequential amendments to the Urban Redevelopment Authority Act (URA Act) will be made to align the provisions on collection of statistical information in the URA Act with those in the JTC Act.
Mdm Speaker, the remaining two sets of amendments to the JTC Act are administrative in nature.
The maximum membership size of the JTC Board will be increased from 11 to 14, excluding the Chairman, and the quorum, increased correspondingly. In the last 10 years, there have been significant changes to JTC's operating environment. Industrial needs have become more complex and fast-changing. JTC will benefit from the broader and greater expertise that the additional members can bring, in strategic thinking, financial management and property market expertise.
The final amendment is JTC's land acquisition powers will be removed as all land acquisitions are now conducted through SLA under the Land
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Acquisition Act (Cap 152). Mdm Speaker, I beg to move.
[(proc text) Question proposed. (proc text)]
Mr Gan Thiam Poh (Pasir Ris-Punggol): Mdm Speaker, I support the objective of the Bill, which is to provide JTC the function to collect, analyse and publish industrial property statistics.
Madam, I welcome the move with JTC taking over the lead from URA. I would like to find out whether there had been changes in terms of figures and ratio between privately and publicly-owned industrial and commercial properties in the 1970s and now. If there were changes, I would like to ask whether the Ministry will consider a reassessment of the ratio and figures.
I understand that there are currently no restrictions on the purchase of industrial properties by investors. Is there a need to avoid the excessive commoditisation and monetisation of such properties which are meant as productive assets? I would like to urge the Ministry to monitor industrial land prices and rentals closely so as to keep land affordable for SMEs in Singapore.
I hope these suggestions would ensure that the Government continues to play a key role as the authority for land use, whether or not for the purpose of development or lease. Commercial and industrial rentals form a substantial component of business costs, as the landlords will pass on this cost to consumers.
For example, I appreciate HDB's active role in public housing because it ensures stability in the prices of properties. In terms of ratio, HDB flats remain home to over 80% of Singapore's resident population.
Madam, I understand that HDB was aware of my concerns, made during this year's COS, about the rental burden. MND reassured me that HDB's commercial and industrial properties are let out on three-year term tenancies via open bidding, a fair and transparent system. As a result, rent increases for HDB's commercial and industrial properties are at a substantially lower pace, compared to the industry in the early 1970s.
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JTC helped to jumpstart Singapore's industrialisation drive through rapid land development and construction of low-cost factories. Is there a change in JTC's role since it was founded? If yes, why? In terms of changes, I noticed a name change where JTC renamed itself to be called JTC Corp in the year 2000. I am, of course, more concerned whether there is any change in JTC's social role and whether it is still meeting its original social objective. Is there a need for such a review? For example, what is the current availability of JTC space for SMEs to operate their businesses?
I would also like to urge the Ministry to re-assess allowing part of industrial properties to be used by religious organisations or VWOs. I understand that not all religious organisations are able to secure sites designated for places of worship. Hence, they need to conduct their religious activities in spaces not zoned for religious use, such as commercial and industrial buildings.
While I am supportive of such organisations to own or rent the space in industrial estate, it may be advisable to have a standalone commercial building in industrial estates to house such organisations. The aim is so that space meant for business use is freed up to serve its original intent and purpose.
Take Business 1 (B1) zone, for example, where religious use is allowed in industrial premises on a non-exclusive and limited basis. Under this arrangement, religious groups will be able to conduct some religious activities in industrial space, without compromising the primary function and character of industrial developments. As B1 is intended for developments related to software development, distribution services, printing and packing of dried food stuff, it appears to me that the costs would be driven up by space demands.
Another related issue is the Community and Sports Facilities Scheme, which was to help facilitate the integration of community facilities in commercial developments. Under this scheme, landlords are granted additional Gross Floor Area for premises used for community and social services.
To conclude, there should be a clear distinction between investment and industrial/production use. This is to prevent an excessive asset bubble being built up and price distortion at the expense of meeting the needs of real businesses and better control over business cost.
In its public consultation exercise, JTC indicated that the availability of a more comprehensive set of data can help to increase market transparency, as well as enable industrialists, developers and investors to make more informed
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decisions.
In future, I hope that the information and statistics on industrial properties could be as comprehensive as what URA and HDB have done on residential property data. With that, Mdm Speaker, I support the Bill.
Mr Teo Siong Seng (Nominated Member): Mdm Speaker, first, I am pleased to note that the amendment of this Act will confer on the JTC with a new function, which is to collect, compile and analyse information of a statistical nature relating to industrial properties in Singapore, and to publish and disseminate the results of such a compilation or analysis. This is a step in the right direction for JTC, as this can hopefully make available more comprehensive industrial property data in Singapore to facilitate policy making and planning by our Government on the one hand, and for reference and decision making relating to land by our companies on the other.
While JTC will be conferred with this new function relating to industrial property data, we note that URA remains as our overall national land use planning authority. It is, therefore, important that URA have continued access to comprehensive industrial property data, so that adequate land will always be allocated for industrial use, especially for the SMEs, amongst other diverse and competing land use needs, such as housing, commercial, recreation and other infrastructure developments.
This is important since, apart from manpower, a key challenge faced by our SMEs today relates to business premises, including having affordable industrial space for their business activities. In the event that inadequate industrial land is reflected in URA's national land use plan, there would be a downstream danger that a supply shortage would subsequently further push up industrial land costs which are already high today.
On this note, while we welcome JTC's new data collecting function, I would like to urge that JTC and URA continue to work closely so that the land use needs of our companies, especially our SMEs, will be sufficiently taken into due consideration in our national land use plan. With that, I support the Bill.
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Mr Lim Hng Kiang: Mdm Speaker, I would like to thank both Mr Gan Thiam Poh and Mr Teo Siong Seng for their support of the amendments of the Bill.
First, I would like to assure Mr Gan Thiam Poh that there is no change in JTC's role. JTC remains committed to supplying sufficient industrial land for the economic development of Singapore. What has changed over the years is the way we go about doing it.
Mr Gan also asked about the ratio of public provision versus private provision. As we all know, in the early years, JTC was the primary or practically the main provider of industrial properties. But in 1992, the Government decided to release industrial land for sale through the Government Land Sales Programme. And this is now 20 years. The private sector has now participated actively in the Industrial Government Land Sales Programme, and their market share is increasingly increased.
There are three segments of industrial properties: first, where manufacturers or owners undertake development of factories on land provided by JTC. That still remains the primary core of JTC's mission.
The second category is warehouse space and, there, the private sector has been very active. And, in fact, today, the bulk of warehousing space is provided by the private sector. JTC is no longer a major player in the warehousing space.
And then in the third area in the multi-purpose, multi-user factories, this is where because of the Industrial Government Land Sales Programme, JTC's share of the market has dropped from 50%-60% in the 1970s and 1980s down to around 20% in 2009. And that is the time when we decide to divest JTC's share because it is no longer providing a level-playing field, because tenants in JTC's premises are getting subsidised rent whereas the other tenants in private multi-user, multi-storey factories have to pay market rent. And that is the reason why we divest: to ensure a level-playing field.
So, today, if we look at the industrial property market, JTC continues to provide land for industrialists to build their own factories. For warehousing, this is entirely provided by the private sector. And, similarly, for the multi-user, multi-storey factory, we are also proceeding towards the stage where the private sector will provide this space in an open and transparent competitive field.
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The job of JTC then will be to collect this data and make the industrial property market more efficient through proper disclosure, transparency of the data and through timely availability of the factory space. Through this, we hope to make the industrial property market more efficient and more competitive.
On the specific point about the use of industrial properties by religious organisations, this is a flexibility that we adopted. Ideally, we all know that we should have dedicated places of worship for religious organisations. But at the same time, to maximise the use of space, we do recognise for some of the religious organisations, they use the premises only for limited periods of the week. Therefore, we think they can co-exist, provided the use of such spaces cannot exceed two days a week, and the use is only part of the industrial premises within the ancillary use quantum of 40% of the total space. In this way, we hope to be able to maximise the use of industrial space and also accommodate the needs of the religious organisations.
These are the key points that Mr Gan Thiam Poh has raised. I want to assure him that our mission, the mission of JTC, remains to make sure that we have a steady supply of industrial property at competitive rates.
[(proc text) Question put, and agreed to. (proc text)]
[(proc text) Bill accordingly read a Second time and committed to a Committee of the whole House. (proc text)]
[(proc text) The House immediately resolved itself into a Committee on the Bill. – [Mr Lim Hng Kiang]. (proc text)]
[(proc text) Bill considered in Committee; reported without amendment; read a Third time and passed. (proc text)]
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Adjournment","subTitle":null,"sectionType":"OS","content":"[(proc text) Resolved, \"That, at its rising today, Parliament do stand adjourned to a date to be fixed.\" – [Dr Ng Eng Hen]. (proc text)]
\tPage: 87
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Sustainability of Small and Medium Enterprises","subTitle":null,"sectionType":"OS","content":"The Leader of the House (Dr Ng Eng Hen): Mdm Speaker, I beg to move, \"That Parliament do now adjourn.\"
[(proc text) Question proposed. (proc text)]
Mdm Speaker: Mr Teo Siong Seng.
Mr Teo Siong Seng (Nominated Member): Thank you, Mdm Speaker. In Mandarin, please.
(In Mandarin): [Please refer to Vernacular Speech.] Mdm Speaker, hon Members, good afternoon. Firstly, I would like to declare that I am the Immediate Past President of the Singapore Chinese Chamber of Commerce & Industry (SCCCI) and the Managing Director of Pacific International Lines. In November last year, I gave a speech in Parliament to articulate the needs of our SMEs and reflect their challenges and aspirations. Today, one year later, I would once again attempt to convey the voice of our local SMEs on the topic \"Sustainability of Small and Medium Enterprises\".
In the past two years, the Government has launched many assistance schemes to help local enterprises grow and increase productivity. Our businesses have also done their utmost to innovate and adapt by trying out new initiatives. Some have relocated their production bases to neighbouring countries to reduce their overheads. The SCCCI, which positions itself as an effective bridge between the Government and the private sector, has always strived to promote mutual cooperation. As we assist the Government to promote its policies, the Chamber also gives timely feedback to relevant Government agencies on the challenges faced by businesses on the ground.
What are the main challenges being faced by the businesses currently? This month, SCCCI announced the findings of its 2013 SME Survey. A total of 516 companies participated in the survey, out of which 97.7% were SMEs. We were pleased to note that the direction and attitude taken by the Government and SMEs towards increasing productivity is in sync. Out of the companies surveyed,
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84% indicated that they were working hard to make adjustments and implementing various measures to increase productivity. This is extremely heartening news. However, we should also reflect over this situation: if the Government and the business community share the same views and attitudes about this new strategic direction, why are many companies still struggling? What effective measures can we take to achieve the desired goal?
The survey showed that the two salient challenges faced by local SMEs are manpower and business premises. Manpower challenges have become a reality. Businesses are well aware that there are no shortcuts to solving manpower challenges and there will be no U-turns to the Government policies. Hence, we hope that the Government would be able to provide affordable space for the local SMEs. From the perspective of the business community, it does not matter which Government agency is responsible – be it JTC, SLA, HDB, NEA or any other agency. They only hope to find the solution to their challenges once and for all.
SCCCI organises monthly lunch dialogues with our trade association members on their challenges. We obtain a great deal of feedback through these dialogues, and the most frequently raised issue relates to business space. Industries which have been affected include metal and machinery, timber, food and beverage, furniture, vehicle trading, food import and export, hortiflora, flower wholesale, bakery, and coffee shops. They have all conveyed the same issue. Evidently, the challenge posed by business premises is a common and predominant challenge to local companies.
The challenges with regard to business premises fall into two categories. The first category pertains to the renewal of land lease, while the other is on the spiralling escalation of rental costs for factory and retail space. For example, there is no guaranteed lease renewal for a JTC factory upon the completion of the 30-year lease. In addition, some industries are unable to receive a definite answer on whether they can renew their lease for land managed by SLA. When businesses are unable to renew their leases, they would need to identify alternative industrial space quickly upon being notified of the lease termination. Moreover, moving business operations is also an extremely costly affair. Besides moving costs, fixed asset investment and renovation expenses, many facilities and equipment are disposed of in order to restore the industrial space to its original condition.
Many trade associations have relayed such a grievance to SCCCI. For example, businesses in the metal and machinery as well as timber industries need to use and stock much heavy duty equipment. Finding a suitable location
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and moving operations are no mean feat. Such equipment cannot be stacked up due to loading and safety considerations, and thus require sufficient land.
Now, let me relay a case regarding a florist. Being a florist in Singapore is not that easy, even if Singapore is considered a garden city or, as we now position ourselves internationally, a city in a garden. Mr Tan Peng Kheok, Chairman and Managing Director of Prince's Flower Shop, started his operations at Toh Tuck Road in 1956. To date, he has moved a total of seven times. His current operation is based at Sungei Tengah Road. However, his 20-year lease will end in November next year and he is unsure whether the lease could be renewed. According to past experience, each move will cost $2 million, which includes setting up new flower beds as well as irrigation and drainage systems. Heavy flowerpots and unsold fresh flowers at the original location are difficult to move and, therefore, need to be discarded. Mr Tan's current wish is simple. He hopes that the relevant agencies could provide an early indication to businesses on whether leases can be renewed. With this certainty, businesses will be able to plan ahead for the facilities required, raise capital and find new locations. Mr Tan's wish is shared by many SMEs as well.
Businesses in the service, retail and food and beverage industries are most affected by rising shop rental costs. Currently, JTC and HDB divest many commercial spaces to private owners or establish Real Estate Investment Trusts (REITs). Under the management of private companies, rental periods are very short, with renewal being required once every three years on average. Not only is the increase in rent extremely steep with each renewal, profits also have to be shared with property owners. Practically all businesses from various industries have aired their grievances regarding REITs. In their words, \"We are simply working for REITs.\"
With regard to commercial space, many businesses reminisce about the time when JTC and HDB provided affordable space for business operations. With increasing proliferation of free market forces, I hope that the Government would increase its support for the large number of SMEs. These SMEs comprise those in traditional industries, those which provide support services to multinational corporations, new hi-tech start-ups, and many which are closely connected to the basic needs of Singaporeans. More importantly, these businesses hire 70% of our country's workforce and provide suitable employment opportunities for people from all walks of life.
Recently, JTC has launched 18 units of Small Footprint Standard Factories for rental to SMEs. In addition, HDB has announced the revision of its tenancy policies together with the building of new neighbourhood centres in HDB
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estates. This is an excellent start. I hope that this model can be expanded to provide more SMEs with affordable space for business operations.
A suitable location is essential for business operations. Any business model would require planning and time for implementation. If the issue of space becomes a constant uncertainty, businesses will be in a nomadic state; unable to implement long-term plans and lacking confidence to invest in fixed assets, employee training and upgrading and, particularly, in equipment that would improve productivity. If this continues, the overall competitiveness of local enterprises will be seriously affected. Businesses understand that there is a limited supply of land in Singapore. However, our businesses hope that early notification on the possibility of future renewals can be given before the expiry of the land lease. This would give businesses more leeway to adjust and find alternatives. This is a better option than having to tackle the difficulty of finding a new location at short notice.
Additionally, a common challenge reflected by businesses with regard to the Government is the lack of coordination among Government agencies. This has left enterprises totally exasperated and at a loss. In actuality, it is a good thing that each Government agency has a clear mandate and cooperates through the division of labour. However, businesses sometimes face great difficulty or are perplexed when approaching Government agencies to solve an issue. When looking for assistance, businesses have to hop from one agency to another. Despite the good attitude shown by each Government agency, they are still unable to solve the problems at hand.
A few weeks ago, Prime Minister Lee Hsien Loong shared the story of \"catching snakes\" at the Public Service Leadership Advance. Different agencies would be required to handle the issue depending on the location of the snake. Of course, the conclusion of the story was that all animal-related issues would be handled by the Agri-Food & Veterinary Authority of Singapore (AVA) now and there is one hotline for the public to report such issues. Compared to catching snakes, the problems faced by SMEs are even more complicated and involve many Government agencies. We hope that there can be one agency for SMEs to approach directly for help. This agency can then take the lead to provide coordination services with other Government agencies.
In August this year, Prime Minister Lee Hsien Loong announced at the National Day Rally that an SME Workgroup would be established so that grassroots political leaders, business organisations and Government agencies could work together to examine issues pertaining to SMEs. The workgroup consists of 16 Members of Parliament, nine business chamber representatives,
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three business leaders and nine Government Ministries and agencies. This is a good start and shows that the Government places great value on SMEs. However, it is essential to have the right remedy to deal with the situation. With an accurate solution, challenges can be dealt with in an efficient manner. The opposite would be true with an inappropriate solution.
SMEs and their employees are the core of Singapore and have their roots in the country. If Singapore can be likened to a flourishing tree, then the SMEs and employees are the roots of this tree. Only when the root system is well-developed and healthy can nutrients be transported effectively to develop lush leaves and branches. When SMEs are developing healthily, their employees can have better livelihoods and the country will maintain its stable development.
I have constantly reiterated that helping our local enterprises restructure is not something that can be completed overnight. It requires consistent effort from the Government, businesses and employees.
To sum up, in order to help our local SMEs achieve sustainable development, businesses have three items on their wish-list. Firstly, they hope that the Government can take a clear and long-term approach with regard to planning land allocation, adjusting Government policies and increasing productivity. This would allow SMEs to simultaneously make long-term plans. Secondly, businesses hope that there can be an over-arching agency to handle SME matters and coordinate with other Government agencies to guide businesses to the relevant parties. Thirdly, the policy criteria set by the Government are wide-ranging and numerous.
We hope that the Government can be more sympathetic towards the situation of our SMEs and lower the compliance costs related to the implementation of Government policies. This would alleviate the burden on businesses already coping with the double-whammy caused by manpower and rental cost pressures.
The Minister of State for Trade and Industry (Mr Teo Ser Luck): Mdm Speaker, I would like to thank Mr Teo Siong Seng for introducing this motion on Sustainability of Small and Medium Enterprises (SMEs). SMEs are an important part of our economy. They make up 99% of companies, employ 70% of our workforce and contribute to 50% of our GDP.
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The need for SMEs to restructure and improve productivity is clear. Our challenges, in manpower, land and energy, are especially sharp because we are a small country. We need to manage our resources carefully. SMEs which rely heavily on manpower or land have faced rising costs. Singapore Chinese Chamber of Commerce and Industry's 2013 SME survey has found that many businesses understand the need for increased productivity, and are working hard to do so.
Mr Teo has highlighted the difficulties our SMEs face with rental increases. The Government's overall objective is to maintain a stable and sustainable market where rentals remain competitive and affordable for businesses. While HDB does not divest its commercial space to private companies or owners or established REITS, we have released a significant amount of land through the Industrial Government Land Sales (IGLS) programme. And over the next five years, about 340,000 square metres of new multiple-user factory space will become available each year. This is higher than the annual demand of 220,000 square metres over the last five years. We have also released smaller IGLS land parcels with shorter tenure, to provide more affordable options for SMEs.
Over the next five years, about 230,000 square metres of new office space and 120,000 square metres of new shop space will be completed each year. This is higher than the annual demand of 140,000 square metres of office space and 70,000 square metres of shop space over the last five years.
Commercial rentals declined slightly in 2012, after increasing in 2010 and 2011, and have remained relatively unchanged in 2013. Current commercial rentals are still below the previous peak of mid-2008. The Government will continue to monitor rentals carefully, and we will also introduce additional measures if necessary.
JTC develops long-term land use plans which are regularly reviewed. The plans ensure that there is sufficient affordable land and space for genuine industrialists to support and develop our manufacturing sector. Importantly, the land use plans also ensure that the productivity of the land continues to improve.
Mr Teo raised the issue of lease renewal. Singapore is a small island nation, and all land, including land for industrial space, is precious. So, every single application for lease renewal is assessed to ensure that the industrial use fits the long-term plans in strengthening our economy, and the land productivity continues to improve over time. As a result, some companies may not be able
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to have their leases renewed.
JTC actively engages its customers at least six years before the expiry of their lease, and provides at least three years' notice if a lease cannot be renewed. This way, companies have enough time to find alternative premises.
To provide more options for companies, JTC is developing infrastructure projects which reduce business costs for SMEs through innovative designs and provision of shared capital-intensive facilities. SMEs can consider moving to these developments, which include the Small Footprint Factories Mr Teo has mentioned, and the Surface Engineering Hub and MedTech Hub, which will be completed by early 2014.
The advantages can be considerable. For example, Globaltronic Precision, which makes chemical products for the aerospace, marine and medical sectors, relocated in July to JTC's Small Footprint Factory in Buroh Street. Their rental decreased by close to 40%, even though the total floor area remained the same, and productivity increased significantly.
JTC has been engaging many industries, such as furniture and food manufacturing, to understand their infrastructure needs. In the next phase, it will be by cluster development and more of such projects will be announced in due course. Mdm Speaker, I would like to continue in Mandarin.
(In Mandarin): [Please refer to Vernacular Speech.] Mdm Speaker, we will continue to pay close attention to the needs and challenges of our SMEs. I chair the SME Workgroup which Mr Teo mentioned, which brings together grassroots advisers, Government agencies and business representatives in a concerted effort to address SME issues.
The grassroots advisers have started holding dialogue sessions with SMEs to share ideas for improving productivity and to hear their concerns. The SME Workgroup will take the feedback raised and study how we can further help companies during this restructuring period.
There are many Government schemes available for businesses to build capabilities and improve productivity. During the SME Review last year, SPRING and IE Singapore streamlined their Capability Development and Internationalisation schemes to make them more accessible to our SMEs. Hence, it is not that SMEs have nowhere to seek help, but that some of them do not know the agencies to approach and which schemes are relevant to their
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needs. Just as the Government has a hotline for catching snakes, we also have the EnterpriseOne hotline, which enterprises can call to get comprehensive information on Government assistance schemes. The hotline number is 68981800. Businesses can also access the EnterpriseOne website for the same information.
Companies which prefer face-to-face advice can approach any of our SME Centres or satellite SME centres. The Government has expanded the Enterprise Development Centres (EDCs) into a one-stop SME Centre and set up five satellite SME Centres at the Community Development Councils (CDCs). These centres offer comprehensive advisory services to SMEs and help them understand the Government's various assistance schemes, making it easier for them to get help. Since the launch in April, the SME Centres have reached out to more than 7,200 SMEs to explain and promote Government help for raising productivity. We will work even harder to reach out to about 20,000 SMEs per year, up from the 14,000 SMEs under the EDCs.
Let me share with Members one example. Roxy Apparel is a small retailer that specialises in tailored menswear. Roxy tapped on SPRING's Capability Development Grant (CDG) to increase productivity and improve customer experience. The company put in place an IT infrastructure to better engage customers through their website, online store and the online community. It also simplified its in-store and online ordering through an iPad interface, allowing each sales employee to reduce administrative tasks and serve the customers more effectively. The company's labour productivity has improved by 20%.
This and many other examples make me optimistic that businesses are making the necessary changes to improve their productivity.
Mdm Speaker, for our economy to continue to strive, our SMEs must continue to prosper. The Government is paying close attention to the concerns of our SMEs, and will support them in their transition to higher productivity.
Our SMEs understand this and I am pleased to see that many SMEs have come on board this restructuring journey. We have many schemes; our concern is that SMEs do not use our schemes. We will reach out to and assist all able and willing SMEs.
The Workgroup I chair will do the utmost to find ways to help SMEs so that they can access the schemes most relevant to them. Enterprises, on the other hand, should also do an internal check to see in which areas innovation and
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changes are needed.
We hope that SMEs will be able to take root under this big tree of Singapore and prosper. The Government must work hard; at the same time, the enterprises must also work harder and transform. So long as we work together, through productivity improvement and innovation, we can achieve quality growth and create good jobs for our people.
[(proc text) Question put, and agreed to. (proc text)]
[(proc text) Resolved, \"That Parliament do now adjourn.\" (proc text)]
Adjourned accordingly at 5.50 pm.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":"Matter Raised On Adjournment Motion","questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Number of Singles Eligible for New HDB BTO Flats","subTitle":null,"sectionType":"WANA","content":"19 Mr Gan Thiam Poh asked the Minister for National Development (a) what is the current number of singles who are eligible to apply for the new HDB BTO 2-room flats; and (b) what is the average take-up rate of new HDB BTO 2-room flats in 2011 and 2012.
Mr Khaw Boon Wan: Since July 2013, single Singapore Citizens can buy a 2-room Build-to-Order (BTO) flat in the non-mature estates, if they are first-timer buyers aged at least 35, and fulfill the household income criteria. DOS' Census 2010 showed that there were about 221,800 citizen singles aged 35 and above. As the census did not capture their housing history, we are unable to estimate the number as requested by the Member. Nonetheless, we note that there were about 11,800 unique applications from singles in the July and September 2013 BTO exercises.
The average take-up rate of 2-room flats in non-mature estates for the BTO exercises launched in 2011 and 2012 was 55% and 52% respectively.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Health Warnings and Pictures on Cigarette Packs as Deterrence to Smokers","subTitle":null,"sectionType":"WANA","content":"20 Dr Janil Puthucheary asked the Minister for Health (a) to what extent are the health warnings and pictures on cigarette packs in Singapore effective in being a deterrent to smokers; and (b) whether the Ministry has done a survey to study whether it has any impact on smokers' minds or whether smokers have become desensitised to the images.
21 Er Dr Lee Bee Wah asked the Minister for Health (a) what is the Ministry's assessment of reports stating that the removal of displays of tobacco products can reduce the likelihood of young people buying them; and (b) whether the Ministry will introduce this ban on the display of tobacco products in retail outlets.
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Mr Gan Kim Yong: Graphic health warnings are part of a comprehensive suite of tobacco control measures in Singapore that include public education campaigns, smoking cessation programmes, taxes and bans on advertising, sale to minors and smoking in public places.
The World Health Organization (WHO) recommends the use of graphic health warning labels on cigarette packages as it is more effective than text-only labels. In 2005, the Health Promotion Board (HPB) evaluated the impact of the introduction of graphic health warning labels and found that seven in 10 (71%) smokers said they knew more about the health effects of smoking, and more than 50% of the smokers were more concerned about their health after seeing the graphic health warnings. 25% of smokers were motivated to quit as a result and made efforts to abstain from smoking. The effect on non-smokers was equally significant; more than half of them advised their friends and loved ones to quit smoking as a result of seeing the graphic health warnings.
To prevent desensitisation, as Dr Janil Puthucheary has pointed out, graphic health warnings are changed every few years to ensure they remain effective. This year, we introduced a ban on misleading descriptors, and added new text warnings.1
Besides the enhanced use of graphic health warnings on tobacco packaging, my Ministry is also concerned with the prominent displays of tobacco products functioning as a form of advertisement for smoking.
Research studies have shown that the Point-of-Sale display (POSD) of tobacco products is not only attractive but also influences purchasing behaviours. In Canada, Iceland and Ireland, implementation of a POSD ban was associated with a decrease in smoking. POSD bans, as implemented overseas, are aimed at decreasing exposure of non-smokers, in particular, vulnerable populations, such as youths, to the advertising effect of POSD; and it is another means of denormalising the use of tobacco products. This, together with other tobacco control measures that are already in place, will potentially lead to a decrease in smoking initiation rates. In addition, it would help to reduce impulse purchases among smokers who are trying to quit.
The public consultation on the POSD ban was completed on 30 June 2013. HPB and HSA also conducted trade engagement sessions with retailers and associations in July 2013. We are studying the results of the consultation and more details will be shared in due course.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["1 : In March 2013, other changes implemented included the prohibition of misleading descriptors, such as \"mild\", \"light\", \"ultra light\" and \"low tar\"; and widening the definition of \"cigarette\" to include \"cigarillos\" such that cigarillos have to be sold in packs of 20 instead of 10. The maximum permitted tar and nicotine yield levels were decreased from 15 mg to 10 mg for tar and 1.3 mg to 1 mg for nicotine, per cigarette stick respectively."],"footNoteQuestions":["20","21"],"questionNo":"20-21"},{"startPgNo":0,"endPgNo":0,"title":"Singapore Children Who Do Not Have Child Development Accounts","subTitle":null,"sectionType":"WANA","content":"23 Ms Tin Pei Ling asked the Minister for Social and Family Development (a) how many Singaporean children currently do not have a Child Development Account (CDA); (b) what are the reasons for parents not setting up CDAs for their children; and (c) what support can the Government offer to parents who have no or have very low income so that their children will not be disadvantaged.
Mr Chan Chun Sing: The Baby Bonus scheme was launched in 2001. To date, 280,000 CDAs have been opened for Singaporean children. The earlier cohorts, for children born between 2001 and 2005, had six years to open the CDAs. The take-up rate was 97%. In other words, 2,600 children, or 3%, did not open a CDA.
A change was made so that parents from the 2006 cohort onwards would have a longer period of time, that is, 12 years, to open the CDAs. The take-up rate for these subsequent cohorts thus far is 93%. About 14,000 children from these cohorts have yet to open a CDA. We are confident that the take-up rate will increase further as parents tend to wait a number of years before opening the CDAs.
There are various reasons why some parents do not open a CDA at all. Some may not have, or think that they do not have enough money to set aside in the CDA. Others are unaware of the scheme, its benefits or the procedure for opening an account.
My Ministry will continue to extend our outreach to families who have yet to open their CDAs. For example, we recently conducted an outreach exercise
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to low-income families. I am heartened that 40% of those we reached have since signed up for the CDA. We will also work through touch points such as Community Development Councils, Social Service Offices and Family Service Centres, to raise greater awareness and to encourage more families to open CDAs for their children.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Issuance of Political Donation Certificates During Elections","subTitle":null,"sectionType":"WANA","content":"24 Assoc Prof Tan Kheng Boon Eugene asked the Prime Minister (a) what are the reasons for the Elections Department (ELD) opting to reveal only the number of political donation certificates issued to eligible applicants in parliamentary or presidential elections; and (b) whether, in the interest of transparency in the electoral process, ELD will revert to the previous practice of revealing the identities of applicants who have been issued political donation certificates rather than leaving it to the individuals to indicate whether they have received such a certificate.
Mr Chan Chun Sing (for the Prime Minister): One of the requirements under the law for any person who desires to be a candidate at a parliamentary or presidential election, is to submit to the Returning Officer on Nomination Day a Political Donation Certificate (PDC) issued by the Registrar of Political Donations. The PDC certifies that the person has complied with the requirements under the Political Donations Act by sending a donation report and declaration in the prescribed forms to the Registrar of Political Donations.
In response to media queries during the by-election for Hougang Constituency in 2012, ELD released the names of individuals who had received the PDCs. This however led to some complaints received from persons who felt that since ELD is not legally bound to divulge such specific information, it should not do so but leave it to the judgement of the candidate and/or his party to decide when and how they choose to do so.
In view of this, ELD reviewed its position on the matter. As there is no legal requirement for it to do so, ELD will not release the names of individuals who have applied for or received the PDCs. ELD will leave it to individual applicants to decide whether to and when to make public that they have applied for or received a certificate. This position was adopted for the by-election for Punggol
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East Constituency in 2013, and in response to media queries, ELD only released the total number of applications and total number of PDCs issued. This position will continue to apply to all future parliamentary elections.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Economic Benefit from 2013 Formula 1 Grand Prix","subTitle":null,"sectionType":"WANA","content":"25 Mr Nicholas Fang asked the Minister for Trade and Industry what has been the economic benefit of this year's Formula 1 Singapore Grand Prix to Singapore businesses and the economy.
Mr S Iswaran (for the Minister for Trade and Industry): The Formula One (F1) Singapore Grand Prix continues to be one of the most popular events on the F1 calendar. This is despite increasing competition from other race venues around the world. This year's race attracted more than 260,000 spectators for the three race days, the highest since the inaugural race. The statistics on the economic benefits from this year's race are still being compiled but we expect them to remain steady.
The F1 Singapore Grand Prix has generated about $150 million in incremental tourism receipts per race. These tourism receipts are over and above the typical tourism spending on a non-race weekend. Further, more than 200,000 international visitors have come to Singapore for the last five races. Many of these visitors are from non-traditional tourism source markets as the race helped to broaden Singapore’s reach as an international tourism destination.
In addition, the F1 Singapore Grand Prix has yielded significant global branding benefits to Singapore. Cumulatively, more than 430 million television viewers worldwide have followed the first five races. Besides the tourism sector, the race also generated direct economic spin-offs for other Singapore businesses, especially the small and medium enterprises (SMEs). SMEs account for about 80% of the race promoter Singapore GP (SGP)'s race organisation works annually.
Beyond economic benefits, the enthusiastic involvement of Singaporeans from all walks of life in hosting the F1 Singapore Grand Prix also helps to define our race. The race promoter, SGP, has worked with Government agencies and community groups to bring the excitement and broaden the reach of F1 to all
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segments of our community. There have been school visits, behind-the-scenes tours and educational talks for our youths. Each year, about 1,000 ITE students also gain valuable first-hand experience in the management and operations of large-scale international events by working on the race. This year, for the first time, 2,500 members of the public toured the team garages at the Pit Building as part of the Pit Lane Walk Experience a day ahead of the race without having to buy a ticket.
We have, and will continue to introduce changes to increase the buzz and broaden the community involvement around the Singapore's race. We look forward to the support of all Singaporeans, so that the F1 Singapore Grand Prix will continue to be an event that we are proud to host.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Effects of Productivity Policies on SMEs","subTitle":null,"sectionType":"WANA","content":"26 Ms Tan Su Shan asked the Minister for Trade and Industry what more can the Ministry do to mitigate unexpected side effects of the Government's productivity policies potentially becoming stumbling blocks for SMEs and the development of local entrepreneurs.
Mr Lim Hng Kiang: To remain competitive in the new global economy, Singapore businesses need to transform and move up the value-chain, towards productivity-driven growth. Businesses, including SMEs, understand this, and many are taking steps to improve their productivity. The Government is actively supporting our SMEs in this effort.
We have introduced a range of grants and schemes to help companies upgrade. The National Productivity and Continuing Education Council (NPCEC) has launched productivity roadmaps for 16 sectors, and as of June this year, 13,000 companies have received assistance under these roadmaps. At Budget this year, the Government further enhanced schemes to help SMEs improve productivity, attract local manpower, develop capabilities and tap innovation to achieve quality growth. We have also expanded the Enterprise Development Centres (EDCs) into full-fledged SME Centres which offer comprehensive advisory services to SMEs, and added five satellite SME Centres at the Community Development Councils. These centres reach out to SMEs to explain and promote Government help to raise their productivity. In addition, the Government has set up three productivity centres to provide customised advice
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and assistance to SMEs. These are the Singapore Innovation and Productivity Institute for manufacturing, the Construction Productivity Centre for construction, and the Singapore Productivity Centre for retail and food services.
Indicators of entrepreneurial activity have remained healthy, with about 38,500 active start-ups as of 2012, up from 37,500 active start-ups in 2010. Nevertheless, the Entrepreneurship Review Committee, which I am chairing, is reviewing the entrepreneurship environment, and will make its recommendations early next year.
We are closely monitoring the status of our SMEs and their productivity progress. The SME Workgroup brings together grassroots Advisors, business leaders, and Government agencies in a coordinated effort to address SME concerns. The Workgroup has started to engage SMEs to promote greater awareness of Governmental schemes and obtain feedback on how Government assistance to SMEs can be enhanced.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Quality Standards for Mail Delivery","subTitle":null,"sectionType":"WANA","content":"27 Mr Baey Yam Keng asked the Minister for Communications and Information since July 2012 when SingPost was required to appoint an independent auditor to conduct monthly tests to determine whether it meets IDA's seven quality of service (QoS) standards, how has SingPost's performance been and whether IDA has been satisfied with the delivery standards so far.
Assoc Prof Dr Yaacob Ibrahim: In July 2012, IDA enhanced the postal Quality of Services (QoS) framework. Thereafter, SingPost was required to appoint an independent auditor to conduct monthly tests, to determine SingPost's compliance with the QoS framework.
Based on the auditor's findings, IDA has noted that SingPost has complied with the QoS standards, with the only exception earlier this year in February 2013 when SingPost failed to meet the QoS standard for 100% delivery of local basic letters by the second working day. SingPost achieved only 99.6% for this standard and thus IDA imposed a financial penalty of $10,000.
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Aside from these auditors' findings, IDA also actively monitors consumer complaints on postal delivery service and may impose penalties on SingPost if any non-compliance of the QoS framework is discovered from the investigations of such complaints.
I understand from IDA that Singapore's postal QoS framework is one of the most stringent in the world. Most countries do not require 99% and 98% of local basic letters posted before stipulated collection times2, to be delivered by the next working day for destinations within and outside the Central Business District respectively. In addition, 100% of such letters need to be delivered by the second working day. Nonetheless, I would like to assure this House that IDA will continue to ensure that SingPost improves its delivery processes so that the public's postal needs are met.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["2 : The stipulated collection times for Mondays to Thursdays are 7 pm for mail posted within the CBD, and 5 pm for mail posted outside the CBD. On Fridays, the collection times are extended by one hour."],"footNoteQuestions":["27"],"questionNo":"27"},{"startPgNo":0,"endPgNo":0,"title":"Soccer Match-fixing","subTitle":null,"sectionType":"WANA","content":"28 Mr Alex Yam asked the Deputy Prime Minister and Minister for Home Affairs with regard to the recent arrest of 14 suspects for football match-fixing, (a) when did the authorities become aware of the activities; (b) whether Singapore has become a hub for global match-fixing syndicates; and (c) what measures will the Ministry undertake to ensure that Singapore stays free of such crime.
Mr Teo Chee Hean: Our agencies maintain strict vigilance over suspected football match-fixing activities and have taken action against the perpetrators where evidence is uncovered. In the last 10 years, the Corrupt Practices Investigation Bureau (CPIB) investigated 10 cases of alleged football-related corruption in Singapore under the Prevention of Corruption Act (PCA). Six cases resulted in court convictions. Stern warnings were administered in three other cases, and no further action was taken against one case. The Police also take firm action against illegal football betting. Over the last three years, the Police arrested an average of 56 persons each year for the offence.
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There are stiff penalties for match-fixing corruption. Under sections 5 and 6 of the PCA, persons convicted of corruption face fines not exceeding $100,000, or imprisonment for up to five years, or both. In addition, under section 13 of the PCA, the Court may impose a further financial penalty against persons who accept gratification, equivalent to the amount received. Any ill-gotten gains can also be confiscated under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act.
In relation to the recent arrests, our law enforcement agencies have been monitoring for some time, a number of Singaporeans for alleged syndicated match-fixing activities. This was well before the media reports in 2011 which pointed to specific individuals being involved in such syndicates. However, the progress of investigations was hampered by the fact that the activities were conducted outside Singapore, and the information obtained on these syndicates and their members remained sketchy.
In February 2013, Europol, the European Union's law enforcement agency, announced at a media conference that it had uncovered an extensive match-fixing syndicate and named Singapore as the base for some of the syndicate's operations. The Police and CPIB immediately established a Joint Investigation Team to work with INTERPOL's Match-Fixing Task Force to vigorously pursue any new leads. As a result, they were able to obtain information from INTERPOL, Europol, and European countries affected by the syndicate's match-fixing activities.
The Police and CPIB investigations culminated in the arrest, between 16 and 17 September 2013, of 14 suspects for their involvement in global football match-fixing. Of these, nine have been released on Police bail pending further investigations. Of the remaining five persons, the Minister for Home Affairs has issued Detention Orders to four, and a Police Supervision Order to one. The Orders were made under the Criminal Law (Temporary Provisions) Act (CLTPA) and took effect on 2 October 2013.
Match-fixing is a cross-boundary crime that requires close cooperation between countries and enforcement agencies to effectively detect and eradicate it. Many criminal syndicates have structures that are complex and layered. Their networks are extensive and they operate across national boundaries. They are also quick to adapt their operations to evade detection. Our agencies will continue to work closely with INTERPOL and their foreign counterparts to offer assistance and share information to crack down on such crimes and arrest those
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responsible.
Locally, Police and CPIB work closely with the Football Association of Singapore (FAS) to ensure that the football scene in Singapore remains clean. Regular talks are conducted to educate players on corruption and its consequences. In addition, the agencies assist the FAS in administering random polygraph testing on both Lions XII and S-League players. Any indications of suspicious match-fixing activities are reported and dealt with.
Our law enforcement agencies will continue to take firm action against match-fixing activities and bring the full weight of our laws to bear upon the perpetrators to ensure that Singapore stays free of such crime.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Singapore Government's Requests to Web Services Companies for User Data","subTitle":null,"sectionType":"WANA","content":"29 Mr Pritam Singh asked the Deputy Prime Minister and Minister for Home Affairs (a) to date, how many requests for non-public user data has the Government made to Google, Yahoo, Microsoft, Twitter and Facebook without the knowledge of these users; (b) what are the types of information that the Government has asked to obtain, including the number of requests for substantive content, such as emails and Internet chats; (c) whether the Ministry can provide a breakdown of the reasons for requests of user data; (d) if the requests relate to matters not concerning criminal investigations, what are these matters; and (e) what are the safeguards and procedures that the Ministry has put in place so that requests for user data from Internet service companies without the consent of such users are done for legitimate and proper purposes.
Mr Teo Chee Hean: As part of the evidence gathering process provided for under the law, law enforcement agencies in Singapore may request information from persons or organisations that will help in their investigations into criminal cases. This may include requests for information to internet companies. Such requests can only be made after an investigation has commenced and the internet company will be informed what offence is under investigation. The request will be properly documented and the information provided by the Internet company will form part of the investigation documents for the case.
Requests for information made to Internet companies by law enforcement agencies are made as and when necessary, in the course of criminal
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investigations and law enforcement. These requests, which follow due process as mentioned earlier, are no different from other requests made in the course of investigations into other organisations or persons, and we do not specifically keep count of these requests. Based on quick checks with the relevant agencies, the number of requests they made to Google, Facebook and Microsoft for the period 2010 to 2012, was a combined total of about 600 requests a year.
These requests were specifically for the purpose of investigations into criminal matters. The majority of the requests were for Computer Misuse and Cybersecurity Act offences, and the rest were for offences such as corruption, terrorist threats, cheating, theft, gambling and vice.
The requests made during the period 2010 to 2012 were all for non-content data, such as account-related data and login details. However, under the law, the agencies may also request for content data if this is required for investigating offences.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Official Poverty Line to Identify At-risk Families","subTitle":null,"sectionType":"WANA","content":"30 Mr Yee Jenn Jong asked the Minister for Social and Family Development whether the Government plans to introduce an official poverty line adapted from international practice to identify at-risk households and to measure the performance of governmental and non-governmental efforts in helping them leave the poverty cycle.
Mr Chan Chun Sing: Different countries tailor their methods to identify and assist their needy according to their circumstance. Even amongst developed countries, New Zealand and Canada do not subscribe to official poverty lines. In Singapore, we use broad definitions for the groups we seek to help, have clear criteria to identify and assess those in need, and tailored schemes to assist them.
A poverty line does not fully reflect the severity and complexity of the issues faced by poor families, which could include ill health, lack of housing or weak family relationships. If we use a single poverty line to assess the family, we also risk a \"cliff effect\", where those below the poverty line receive all forms of assistance, while other genuinely needy citizens outside the poverty line are
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excluded.
Our assessment process is rigorous but also flexible to cater to the genuinely needy. Singaporeans who do not meet scheme criteria but who still deserve help, can receive assistance.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Definition of Needy Households","subTitle":"Targeting help to the truly needy","sectionType":"WANA","content":"32 Mr Yee Jenn Jong asked the Minister for Social and Family Development (a) what is the Government's internal measure of neediness that is used to define the 200,000 needy households to which masks are distributed during the recent haze; (b) what other internal measures of neediness are used to guide the Government's inclusive programmes to aid at-risk families; and (c) what is the Government's view on what is the minimal household income per person necessary to meet the basic needs of physical well-being and social inclusion.
Mr Chan Chun Sing: During the haze episode in June 2013, 1 million N95 masks were distributed through grassroots organisations to some 200,000 needy households with a per-capita income of less than $900.
These households were verified through their membership in the Community Health Assist Scheme (CHAS) Blue scheme or a simple self-declaration of income when they visited the Community Clubs/Centres for collection. Those who had pre-existing diseases and had difficulty getting masks could also approach the grassroots organisations for assistance. The People's Association grassroots network played a crucial role in identifying vulnerable groups and distributing the masks to them.
Rather than using a poverty line as a single measure of need among at-risk or in-risk families, we have broader definitions of groups of Singaporeans we seek to help, clear criteria to help us identify them, and appropriate assistance schemes to help them.
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We conduct regular reviews to ensure that ComCare assistance remains relevant to the low-income and vulnerable. For example, the Public Assistance Scheme has been made more tailored to actual needs. Apart from a monthly allowance and free medical treatment, elderly recipients with additional needs can receive support for recurring medical consumables such as adult diapers or health supplements, as well as assistive equipment such as commodes and wheelchairs.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Concerns about Tuition for Students","subTitle":null,"sectionType":"WANA","content":"34 Ms Tan Su Shan asked the Minister for Education (a) whether the Ministry has plans to address concerns that access to tuition is emphasising inequality in our education system; and (b) whether there is a need to (i) invest more in our teachers so that they become comparable to the best in the world; (ii) revamp teaching methods so that what is taught within the classroom is enough; and (iii) reduce the student-teacher ratio.
Mr Heng Swee Keat: Parents want the best for their children, and will understandably invest in the education of their children, including spending on tuition. This is a global phenomenon and is not unique to Singapore.
I thank Ms Tan for her concern that all children should be given equal and good opportunities in education. Indeed, this is also MOE's concern. That is why MOE is committed to providing a high quality of education in our schools for all our students, and ensuring that all our students are supported to learn in the best possible way, in order to help all our students achieve their full potential in their areas of interests and strengths. Some will be better at abstract thinking, but others may excel in applied use of knowledge, or hands-on learning by doing, and we will do our best to cater to different learning styles and needs.
Furthermore, as I announced at this year's Committee of Supply debate, MOE is rolling out comprehensive levelling-up programmes that provide support to all students – throughout their Primary and Secondary years, as and when they need it.
This is on top of the existing Learning Support Programmes for Primary 1 and Primary 2 students who require additional attention to support them in
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learning English and Mathematics.
It is on top of the remedial and supplementary classes that our teachers already provide for our students who need help.
We should also not forget about the existing academic support provided by volunteers, organised by our self-help groups for less-advantaged students.
MOE has also introduced multiple pathways that enable students to develop at their own pace, by building on their strengths and supporting them in their weaker areas. Those who progress faster are provided with enrichment programmes to extend their learning, just as late bloomers are provided with more support, some in smaller classes, to help them learn better and catch up with their peers.
I am glad that our intent and efforts has borne fruit. Not only do our students perform well overall in international benchmarks, these studies also show that our students from less-advantaged family backgrounds do much better than their counterparts from other more developed countries.
But there can always be room for improvement. We have recruited on average around 2,500 new teachers per year over the past decade, to resource our schools with more teachers. Our pupil-teacher ratios (PTR) have improved from 26 in 2000 to 18 in 2012 for Primary schools, and from 19 in 2000 to 14 in 2012 for Secondary schools.
Having invested significantly in the recruitment and training of some of our best talents as teachers, we are now focused on the professional development of each teacher, to empower them to be better at what they do.
(a) Our teachers are deepening their skills through in-service professional development led by the Academy of Singapore Teachers and other teacher academies, and through learning communities in schools and school clusters.
(b) They are given opportunities to pursue further studies to deepen their craft, participate in action research in schools, and participate in work attachments to broaden their exposure.
(c) Across all subjects, teachers are also being trained in a wider range of teaching methods and different modes of assessment to meet the learning
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needs of different students.
Indeed, many of our educators are already internationally-recognised as highly professional and competent, but we are dedicated to constantly improving our teaching methods. This includes, for example, the use of STELLAR and iMTL portals for languages, the inquiry approach in the sciences, and the problem-solving approach in mathematics. Our educators are engaged in action research to improve classroom pedagogy customised to different learning styles. Our schools are also spreading best practices via our ExCEL fest, and other sharing platforms at the cluster and school levels.
We have also adopted a needs-based approach when we deploy teachers to improve learning outcomes. For example, some schools may deploy two teachers in a class of 40 students – one teacher brings the class through the curriculum, while the other teacher assists specific students in the class who may have difficulty understanding the material being covered.
Another case in point is the Learning Support Programme (LSP), for Primary 1 and Primary 2 students with weak literacy skills, which is typically conducted in smaller groups of eight to 10 students for greater personalised attention and support to each student.
Many Primary schools also organise their Primary 6 students taking subjects at the foundation level for PSLE into smaller class sizes.
Ultimately, our goal is to help every student to learn, in ways which are most appropriate.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"MediShield's Capital Adequacy Ratio","subTitle":null,"sectionType":"WANA","content":"35 Mr Gerald Giam Yean Song asked the Minister for Health regarding the $507 million in net assets of the MediShield Fund at the end of 2012 (a) how much of this represents (i) reserves set aside to fund the expected scheme liabilities (ii) capital set aside to meet MAS' risk-based capital framework requirements for insurers; (b) what is the quantum of (i) reserves and (ii) capital set aside for each of the years from 2005 to 2012; and (c) what is the minimum Capital Adequacy Ratio (CAR) that MediShield targets to maintain over and
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above the minimum CAR of 100% required by MAS.
Mr Gan Kim Yong: MediShield is a self-sustaining and not-for-profit insurance scheme. This requires setting aside sufficient reserves in the MediShield Fund to meet its liabilities, expected risks and target Capital Adequacy Ratio (CAR).
Between 2005 and 2012, on average, about 65% of the MediShield Fund comprised reserves to fund the expected scheme liabilities. Scheme liabilities include policyholders' claims as well as premium rebates to help policyholders with old-age premium affordability.
The remaining portion of the Fund, which is what Mr Giam has referred to in his question as \"net assets\", is capital from which the MAS-based risk requirements are financed. CAR is computed as the ratio of these \"net assets\" to the MAS-based risk requirements.
The Member also asked about the CAR that the MediShield Fund targets to maintain. While the minimum CAR is 100%, MAS requires funds to meet a minimum threshold CAR of 120%, below which a \"financial resources warning event\" is triggered and the regulator may intervene. No prudent insurance fund operates by holding only the absolute minimum requirement, otherwise a small variation in claims would immediately cause a breach. Reserves and capital numbers change from year to year as claims payout changes and the Fund's assets are marked-to-market. As at end 2012, the CAR of MediShield Fund is about 165%. The MediShield Fund has set a target CAR of 200% to ensure that the Fund is able to meet its liabilities to policyholders even in adverse scenarios. This target is in line with industry best practices.
MediShield liabilities and reserves are reviewed on an annual basis in line with actuarial principles.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Update on Initiatives of Ministerial Committee on Ageing","subTitle":null,"sectionType":"WANA","content":"36 Dr Lam Pin Min asked the Minister for Health if he can provide an update on the initiatives of the Ministerial Committee on Ageing (MCA) in managing the ageing population in Singapore and whether the recent study trip to Japan has resulted in changes to MCA's strategy.
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Mr Gan Kim Yong: The Ministerial Committee on Ageing (MCA)'s vision is to enable seniors to age-in-place gracefully. We aim to achieve this in two ways – first, to keep seniors healthy, active and safe in the community and second, to provide good aged care.
On the first focal area of keeping seniors healthy, active and safe, the Wellness Programme has been rolled out to all constituencies as of end-2012. The programme reaches out to seniors and encourages them to participate in physical and social activities.
In the past year, MSF has set-up eleven new Senior Activity Centres (SACs) at rental flats and studio apartments, bringing the total number to 56 SACs today. These centres provide convenient nodes within the community where seniors can drop in to interact and participate in regular social activities.
HDB also introduced the Enhancement for Active Seniors (EASE) programme to provide subsidised home modification services, such as slip-resistant treatment to toilet and bathroom flooring and the installation of grab bars and ramps where technically feasible, to keep seniors safe at home. As of 30 September 2013, about 14,300 households had successfully signed up for EASE.
At the community level, 11 constituencies have introduced the City For All Ages (CFAA) Project to make their communities senior-friendly. Under this project, community leaders and residents in various communities come together to promote health screening and exercises, suggest hardware improvements around the town and introduce new befriending programmes to make their communities senior-friendly.
Let me now move on to the second area of the MCA's focus, that is, to enhance aged care in terms of better accessibility, quality and affordability. First, we are ramping up the capacity for aged care services. By the end of this year, we would have added around 1,000 more nursing home (NH) beds to the stock of 9,000 NH beds in 2011. We are on track to meet our target of 15,600 NH beds by 2020. We have also opened three new Senior Care Centres (SCCs) which added 170 daycare places to the 2,100 places that we had. Three more SCCs will open within the next six months, and we are on track to meet our target of 6,200 SCC places by 2020. We are also working to add capacity to the home care sector, to serve an additional 1,100 new home healthcare clients and 1,300 new social home care clients by the end of this year, up from 3,400 and 2,200 respectively. We are on track to meet our target of up to 10,000 home healthcare
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clients and 7,500 social home care clients by 2020.
Second, we are also working to improve the quality of aged care. In 2012, we set up a nursing home work group to review existing standards and identify areas that could be enhanced. They have commenced their industry consult, and we hope to introduce the enhanced standards by 2015. Meanwhile, industry-led work groups have also been set up to similarly review the community care and home care sector. In parallel, we are working to develop new models of integrated and people-centred care that cater to seniors' health and social needs. For example, social and health services are now integrated at SCCs, where seniors can receive day rehabilitation services and day care services.
Third, we are also working to address seniors' concerns regarding the affordability of healthcare and aged care. Last year, we expanded the Intermediate and Long Term Care (ILTC) subsidy framework to cover two-thirds of resident households. This year, we expanded the Seniors' Mobility and Enabling Fund to provide more support for seniors to remain mobile and live independently in the community.
The recent study visit to Japan was a useful one. Today, one in five Japanese are over the age of 65. By 2030, Singapore will be as old as Japan today.
The visit validates many of the strategies of the MCA, such as the importance of promoting active ageing, including giving options for the elderly to remain in the workforce. One key lesson that stood out for us is the need to build up home care services early to facilitate ageing in place, even as we build up nursing home capacity. The Japanese shared with us that they face an urgent need to build up the home care sector to help meet the demand for long-term care. The Japanese also shared with us that more than 60% of respondents to a survey of Japanese seniors indicated that they preferred to receive care at home. Earlier this year, MOH set up a Home Care Workgroup to review strategies for developing home care in Singapore. The Workgroup is developing a roadmap to enhance the home care sector in Singapore, and it is expected to complete its review by early next year.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Impact of Tightened Foreign Workers Inflow on SMEs","subTitle":null,"sectionType":"WANA","content":"37 Dr Janil Puthucheary asked the Acting Minister for Manpower (a) to date, how many SMEs have submitted appeals to retain their foreign staff whose work passes are not approved for renewal due to the tightening control on the number of foreigners working in Singapore; (b) whether there are plans to introduce a scheme to allow foreigners who have good track records and sustained work experience in local SMEs to be retained as staff under a special category pass with a longer duration, especially in industries that face difficulties attracting Singaporean workers; and (c) how many SMEs have to close down their businesses or downsize as a result of the inability to have a sustainable number of workers due to foreign staff not being able to have their passes renewed.
Mr Tan Chuan-Jin: Since 2010, the Government has introduced policies to restructure our economy to be more manpower-lean, including tightening of foreign workforce controls. Since then, we have received about 19,000 appeals related to S Pass and Work Permit renewals from SMEs.3 About 48% of these cases were considered favourably. These were mostly temporary concessions to help companies in their transition.
We recognise that SMEs face rising business costs and tighter foreign worker restrictions. SMEs are a vital part of the economy – they make up 99% of enterprises, contribute to about 45% of GDP and 70% of employment in Singapore. That is why we have been actively engaging SMEs over the last few years, to gather feedback and understand their manpower challenges.
Another common appeal from SMEs is to be able to retain experienced staff for longer periods. They may have been unable to do so because they could not obtain the skilled R1 status for their experienced Work Permit Holders (WPHs), which would have allowed them to stay longer. This is why we introduced the market-based skills framework in July 2013 to allow Services WPHs to attain skilled status if they earn at least $1,600 and have four years of working experience in Singapore, even if there was no training course for that occupation. Employers can then retain these skilled WPHs for up to 18 years, up from the maximum of 10 years for unskilled WPHs. Employers will also enjoy levy savings, as the levy for skilled WPHs is lower than that of unskilled WPHs.
The number of companies that have ceased operations has remained steady over the past two years, with firm creation still strong.4 It is often hard
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to tell the specific reasons for firms closing. I acknowledge the underlying point that the shortage of manpower and cost pressures could tip some companies over. That is why we tighten foreign workforce controls gradually, provide transition time for existing foreign workers, and ensure that businesses have other channels of support, such as the Productivity and Innovation Credit (PIC), to help companies manage the change.5
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["3 : Appeal reasons include: (i) insufficient quota/sub-quota, and (ii) maximum employment period.","4 : 23,043 businesses ceased to operate in 2011, which subsequently dropped to 22,511 in 2012. 23,494 businesses were formed in 2011 compared to 22,826 businesses in 2012.","5 : The Productivity and Innovation Credit (PIC) Bonus helps businesses defray rising operating costs such as wages and rentals and encourages businesses to undertake improvements in productivity and innovation. In addition, SPRING has also implemented programmes such as the SME Talent Programme to attract local talents from Polytechnics and ITE to join SMEs upon graduation."],"footNoteQuestions":["37"],"questionNo":"37"},{"startPgNo":0,"endPgNo":0,"title":"Incentives for Employers to Support Employees' NS Commitments","subTitle":null,"sectionType":"WANA","content":"40 Mr Nicholas Fang asked the Minister for Defence whether the Government will consider implementing (i) legislation to prevent employers from penalising employees who are NSmen for their commitments to National Service and (ii) incentives to encourage employers to support their employees who have to serve as NSmen each year.
Dr Ng Eng Hen: Under the Enlistment Act, employers are required to grant leave to their employees and cannot dismiss them for being called up for their NS duties. MINDEF takes a serious view of employers discriminating against NSmen at work and will investigate such complaints. Employers who are found guilty of infringing the Enlistment Act can face penalties of fines and imprisonment.
While legislation exists, MINDEF proactively encourages employers to go beyond the requirements of law to actively support NS. MINDEF and SAF
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engage employers regularly so that they can better understand NS training during In-Camp Trainings (ICTs) and the contributions of their NS employees. Each year, we recognise outstanding employers through the Total Defence Awards. This year, a total of 522 employers received the awards. These employers have put in place many good practices. For instance, some employers plan their projects early or provide more workplace flexibility so that their NSmen can take time off for their Individual Physical Proficiency Test (IPPT). Many employers also facilitate covering arrangements so that their NSmen can attend ICTs without difficulties.
MINDEF will do more to encourage companies to adopt practices that enable their employees to give of their fullest in performing their NS duties.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Women in SAF","subTitle":null,"sectionType":"WANA","content":"41 Mr Alex Yam asked the Minister for Defence (a) how many servicewomen have signed on with the Singapore Armed Forces since 1997; (b) what are the main challenges facing servicewomen as they progress through their career; and (c) whether the Ministry will consider broadening its recruitment of servicewomen into the service across combat and support arms.
Dr Ng Eng Hen: The SAF is proud of the contributions by our servicewomen, which today add significant capabilities for our national defence. Currently, 1,500 of our regular military personnel are women. This makes up about 7% of the regular corps in SAF. SAF servicewomen are now deployed widely within the SAF in diverse vocations and the range of combat and military expert roles in infantry, artillery, combat engineers, pilots and naval officers, amongst others.
Career progression within the SAF is meritocratic and based on the principle of \"best person for the job\". Many women have risen up the organisation based on abilities to hold senior command and staff appointments at the Brigade and Battalion levels. Our servicewomen have also been sent to undertake multinational peace support operations, and humanitarian assistance and disaster relief missions overseas. For example, in 2004, many servicewomen participated in the tsunami relief efforts in Aceh. And more recently, they were deployed to Afghanistan and the Gulf of Aden as part of
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Singapore's contribution to these international efforts.
The SAF will help males and females alike to have fulfilling careers in the SAF. We do take into account specific events which may require added support and flexibility as when they are newly-weds or become parents. We ensure that pregnant servicewomen, in particular, are able to perform the physical duties required for their jobs, and redeployed to do so when necessary.
The SAF seeks to attract more capable women to join the SAF. The SAF Merit Scholarship has been awarded to women since 1993. In 2010, one recipient of the prestigious SAF Overseas Scholarship was a lady, LTA Sharon Tan. The military is a fulfilling profession for our servicewomen and they have contributed towards making the SAF an effective fighting force.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Safety and Remedial Measures for Reactor Accident or Radioactivity Leak Affecting Singapore","subTitle":null,"sectionType":"WANA","content":"42 Assoc Prof Tan Kheng Boon Eugene asked the Minister for Defence what are the safety and remedial measures in place in the event of any reactor accident or any release of radioactivity involving foreign nuclear-powered vessels docked at our naval bases.
Dr Ng Eng Hen: Strict measures are imposed on nuclear-powered vessels that call at Changi Naval Base (CNB) to safeguard public safety. Fuel handling or repairs to the reactor plant are not allowed at CNB. We also require the Governments of nuclear-powered vessels calling at CNB to submit their annual safety audit reports on their operation of these vessels.
CNB has also installed an Integrated Environment Monitoring System that takes round-the-clock readings of air quality, water and sea-bed samples to detect any changes to the normal background environmental radiation level. To date, all readings have been within safety limits as set by international norms.
Emergency response plans are also in place to deal with any incident. The whole-of-Government response plan involves Government agencies, such as the SCDF, SAF, SPF, MOH, HSA and NEA who are tasked to take immediate actions to respond to and contain the incident.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Teachers' Workload","subTitle":null,"sectionType":"WANA","content":"43 Ms Janice Koh asked ask the Minister for Education (a) how does the Ministry assess the effects of class sizes and student-teacher ratios on (i) the quality of education and student outcomes including, but not limited to, exam scores and (ii) teacher workload; and (b) what are the current effects of teacher workload on teacher attrition and how does the Ministry track and share such trends.
Mr Heng Swee Keat: Ms Janice Koh asked about class size and student-teacher ratio – essentially, these measure, in some ways, the resource inputs.
Let me first touch on the student-teacher ratio – or what is known internationally as the pupil-teacher ratio (PTR) – as this is a very relevant statistic. We have recruited, on average, around 2,500 new teachers per year over the past decade, and our PTR has improved from 26 in 2000 to 18 in 2012 for Primary schools, and from 19 in 2000 to 14 in 2012 for Secondary schools. This is now comparable to the OECD average of 15 and 14 for Primary and Secondary schools respectively.
But a PTR of 18 in our Primary schools does not mean that our class sizes are 18 in our Primary schools – it simply means that we have one teacher for every 18 students, or two teachers for every 36 students, and so on. The same PTR can result in different class sizes – as it depends on how we deploy our teachers.
To illustrate, if we choose to deploy our teachers in classes of 18 students each, it would imply that all our teachers would have to be teaching a class all the time. This is clearly not tenable. Our teachers would need time to prepare for classes, to mark assignments, to guide students who need help.
Ms Koh is right to ask about student outcomes, rather than to focus only on input factors and to ask about holistic outcomes, and not just limit this to examination scores. Indeed, our approach to improving student outcomes has been to deploy teachers to where they can contribute most to the learning of our students. For example, Primary schools may assign one teacher to take a class of 40 students able to learn at a good pace, while the other teacher takes a class of 8 students needing more support, rather than having two classes of 24 students each.
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The Learning Support Programme (LSP), for Primary 1 and Primary 2 students with weak literacy skills, is another example, as it is typically conducted in smaller groups of eight to 10 students to ensure greater personalised attention and support to each student. Many Primary schools also organise their Primary 6 students taking subjects at the foundation level for PSLE into smaller class sizes. Some schools may also deploy two teachers in a class of 40 students – one teacher brings the class through the curriculum, while the other teacher assists specific students who may have difficulty understanding the materials being covered.
Ultimately, our goal is to help every student to learn and develop holistically and we give school leaders the flexibility to deploy teachers to achieve this.
I should add that on a system-wide basis, that is, taking the entire education system and not just the results of specific practices in one or two schools, the empirical evidence on the benefits of smaller class sizes has been inconclusive. Indeed, studies by the OECD suggest that what is important is the quality of teachers. The quality of teachers has been shown to have more important effects, by OECD and in other international studies, than smaller class sizes in ensuring good educational outcomes.
This has been our experience too. Hence, our focus is thus on recruiting and training sufficient teachers of a high quality, to ensure a good quality of teaching and learning in every classroom, to benefit every student.
Hence, despite our class sizes being larger than those of many education systems, our students consistently attain high standards in international studies such as the Trends in International Math and Science Study (TIMSS), Progress in International Reading Literacy Study (PIRLS) and Programme for International Student Assessment (PISA). Our schools also offer a wide range of Co-Curricular Activities that develop our students holistically – unmatched by few, if any, educational systems worldwide. We are also glad that support and engagement levels among parents remain high, and that we have many dedicated teachers.
To enable teachers to focus on the teaching and learning of their students, schools are also provided with Allied Educators (AEDs) and a school administrative team. The AEDs support teachers in teaching and learning, and provide behavioural, social and emotional support to students while the school
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administrative team assists teachers in administrative duties.
The annual resignation rate for teachers has remained low at around 3% over the past five years. In our exit interviews and surveys, workload has not been cited as a major reason for leaving the Education Service. Nonetheless, we will continue to monitor the workload of teachers through internal employee feedback channels to ensure that workload is maintained within reasonable levels.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Organ Transplant Rates","subTitle":null,"sectionType":"WANA","content":"45 Mr Seah Kian Peng asked the Minister for Health (a) whether our organ transplant rates have increased in the last 10 years; (b) if not, what is the reason; (c) how does Singapore's organ transplant rate compare with those of other countries; and (d) how much money has the Ministry allocated for public education on organ transplantation since 2004, as compared to the allocation before 2004.
Mr Gan Kim Yong: The organ transplant rate of Singapore was about 35 per million population (pmp) in 2004. The rate was about the same at 34 pmp in 2012, lower compared to Hong Kong (at 63 pmp), Republic of Korea (at 72 pmp) and Australia (at 151 pmp).
The main reasons for the low organ transplant rates are the low numbers of available transplantable organs from the small pool of suitable brain dead donors in the intensive care units as well as the low numbers of living organ donations in Singapore.
Over the past decade, MOH has ramped up public education to raise awareness on how organ donations under the Human Organ Transplant Act (HOTA) help to save lives. The budget for public education increased from about $120,000 to about $1 million per year over the last 10 years, with more platforms being used to reach out to more Singaporeans.
In 2008, the Ministry launched the \"Live On\" campaign to raise public awareness about organ transplant. The campaign, lasting three years, adopted a creative approach of analogising a human organ to a pair of treasured jeans that is long-lasting and passed on, just as organ donation is a gift to help
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someone live on. The coordinated campaign leveraged on print, broadcast, online, mailers to 21-year-olds and outdoor channels to further spread this message.
Similarly, MOH has planned a series of measures in the next two years to improve the organ transplantation rates for both deceased as well as living organ donors. We hope to leverage on the higher awareness of HOTA over the years to educate the public about how they can help others live productive lives by allowing their organs to be used, should they become brain dead or by pledging their organs for the purposes of transplant, education or research after they pass away under the Medical (Therapy, Education and Research) Act. Through an integrated campaign, we hope to highlight the life-transforming benefits to organ transplant recipients. We will also leverage on social media for better outreach to the younger generation.
We will also continue to work with physicians to encourage living donations.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Update on Implementation of National Mental Health Blueprint 2007-2012","subTitle":null,"sectionType":"WANA","content":"46 Assoc Prof Fatimah Lateef asked the Minister for Health (a) since 2012, what has been the progress in the implementation of suggestions mentioned in the National Mental Health Blueprint 2007-2012; and (b) whether the Ministry will follow up with a progression framework, taking into account the World Health Organisation's Comprehensive Mental Health Action Plan 2013-2020.
Mr Gan Kim Yong: We have made good progress over the past few years on the two key objectives of the National Mental Health Blueprint (NMHBP), which are to promote mental health and reduce the impact of mental disorders.
On mental health promotion, HPB has been conducting regular public education programmes to promote mental well-being among children, adults and seniors. In 2012, more than 50 initiatives and activities were organised in schools, workplaces and community settings, to reach out to students and members of the public6 .
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As patients who have medical conditions like stroke, diabetes, and cancer are at higher risk of developing mental health related issues, the public hospitals have set up programmes to integrate a mental health care component into the care plan of these patients. For example, the Department of Obstetrics and Gynaecology in NUH provides screening and support for women who have developed psychiatric conditions due to postnatal depression or gynaecologic cancers.
We have also strengthened the provision of mental health services in the community, so as to improve accessibility for people who need assessment. The hospitals have set up multidisciplinary teams with doctors, nurses and allied health professionals to provide clinical services in the community. We have also introduced programmes for family physicians and school counsellors to enable them to better manage mental health conditions. For example, The Response, Early Intervention and Assessment in Community Mental Health (REACH) team led by IMH, KKH and NUH, in collaboration with MOE, is an early detection and intervention programme for schools. REACH is available to all mainstream schools and 20 special schools. In 2012, 849 students were referred to the REACH team for further assessment.
We have also built upon the initial mental health blueprint and introduced new initiatives to further enhance mental health care in the community. Under our new mental health plan in 2012, we started two pilot Assessment and Shared Care Teams (ASCAT) which are specialist-led multidisciplinary teams that manage the patients who have mental health issues in community-based settings, such as the polyclinic. We have also worked with VWOs7 to pilot Community Mental Health Intervention Teams (COMIT), which provide counselling and psychotherapy services to support ASCAT and our GP partners in caring for the mentally ill. The Agency for Integrated Care has also started working with senior activity centres to enable them to identify seniors with symptoms of dementia and depression, and refer them for early treatment. These new services will be expanded if found to be effective.
To strengthen the evidence-base for mental health, HPB, in collaboration with IMH, is working to translate the findings of recent mental health related studies to design more targeted public education programmes.
Our mental health plan is aligned to the recommendations of the WHO Comprehensive Mental Health Action Plan, which are to provide services in community-based settings, improve mental health promotion and prevention activities, and strengthen research and the evidence base for mental health.
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Over the next few years, we will continue to implement the key elements in our new community-based mental health plan.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["6 : Information from Health Promotion Board.","7 : Voluntary Welfare Organisations."],"footNoteQuestions":["46"],"questionNo":"46"},{"startPgNo":0,"endPgNo":0,"title":"Findings of Annual SME Financing Survey 2013","subTitle":null,"sectionType":"WANA","content":"48 Mr Yee Jenn Jong asked the Prime Minister (a) whether MAS' Annual SME Financing Survey 2013 has been completed; (b) if so, what are the findings as to the trend of accessibility of bank loans for SMEs; (c) whether there are MAS rules requiring a mandatory project track record period or other requirements with regard to bank loans specific to SMEs; and (d) whether the setting up of a credit bureau for SMEs will help worthy SMEs obtain needed working and expansion credit from banks.
Mr Lawrence Wong (for the Prime Minister): MAS conducts an annual survey of major lenders to small and medium-sized enterprises (SMEs) to better understand financing conditions for SMEs.
The preliminary results for the 2013 survey indicate that SME lending grew by 9% in the year ending June 2013; 27% of SME loans were unsecured; 55% were secured on property collateral, mainly commercial or industrial properties, and the remaining 18% were secured on other forms of collateral.
MAS does not call for banks to require that SMEs meet a project track record or any specific requirement in order to get a loan. All MAS expects is that banks and finance companies make prudent lending decisions, based on their own credit assessments and risk tolerance. In evaluating loans, financial institutions would typically also consider their interests in keeping their customers.
Credit bureaus can help the market function efficiently. They help financial institutions make good credit decisions. There are indeed existing credit bureaus in Singapore which provide credit evaluation and monitoring based on other corporate information such as company and shareholder details, supplier
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payment trends and litigation records.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Assistance for Hawkers in HDB Heartlands","subTitle":null,"sectionType":"WANA","content":"49 Mr Teo Siong Seng asked the Minister for Trade and Industry whether his Ministry can look into implementing suitable schemes or programmes for hawkers operating in the HDB heartlands but who are not eligible under existing schemes to upgrade their business operations or improve productivity.
Mr Lim Hng Kiang: As part of the national productivity drive, we have a wide range of programmes to help businesses in every sector re-tool their businesses, reduce reliance on manpower, and raise productivity.
Hawkers who are keen to upgrade their business operations and improve productivity may approach any of the SME centres for free advice on how they can better utilise their existing resources and re-look some of their work processes. Satellite SME centres, situated at Community Development Councils (CDCs), make it even easier for hawkers in the heartlands to access help.
In addition, NEA will continue to explore the potential for central dishwashing to improve productivity of hawkers and public hygiene.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Government's Translation Service","subTitle":"Enhancing competence and capacity","sectionType":"WANA","content":"51 Mr Baey Yam Keng asked the Minister for Communications and Information (a) how are the minimum translation standards set for the four official languages used in Ministries and Government agencies; (b) how does the Government ensure that staff in the relevant departments are able to vet outsourced translated works; and (c) what are the plans to enhance the competence and capacity of the Government's translation service.
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Assoc Prof Dr Yaacob Ibrahim: As Members are aware, English is our common working language. Government communications is thus chiefly conducted in English. But when major announcements are communicated to the public, this is done in all four official languages. We recognise that good translations and effective communications go hand in hand. Hence translations presented by Government agencies should be clear, concise and correct.
Our Ministry has a Translation Department to support the whole-of-Government on national initiatives. It produces quality translated materials in all vernacular languages whenever required. Some of these examples include key political speeches, annual Budget materials and other important Government announcements. Some agencies have their own bilingual officers who oversee their own websites and other channels of communications.
MCI's translators go through a stringent test to assess their language capabilities before they are recruited. The test requires officers to be able to do two-way translations, that is, from mother tongue to English and English to mother tongue. These translators are assessed every year based on their performance, including vetting their translations. Bilingual officers at the various Government agencies are not required to take the same translation tests. They undergo a language test to assess their language proficiency. For example, for officers whose Mother Tongue is Chinese, the officers will need to obtain a Grade 5 or 6 at the Hanyu Shuiping Kaoshi (HSK). These officers have to retake the language tests once every two years to be re-certified, to ensure they maintain their proficiency. Some of these bilingual officers are designated to vet the translations that their agencies outsource.
The Member has expressed concern about what happened recently at NHB's website. To clarify, NHB included a \"Google Translate\" button on its website to provide visitors with the option to translate the website content into any one of the 72 languages currently offered by Google. After a Lianhe Zaobao reader expressed concerns that the Chinese translation provided by Google Translate was erroneous, NHB acknowledged the mistake and swiftly removed the Google Translate function. As for STB's \"Your Singapore\" Chinese website, STB has been in the process of \"trans-creating\" their Chinese website over the past year, using the English version as a guide. The process is still ongoing.
We have been working continuously to raise the competency and capabilities of our translators. Since July this year, MCI has been working with other Ministries and agencies to enhance the whole-of-Government's
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translation and vetting capabilities. More details will be announced in early 2014.
As the Member will be aware, building language and translation capabilities are not something we can do overnight. Let me assure the Member that the Government will strive to ensure the three official vernacular languages – Chinese, Malay and Tamil – are used properly in translations. We will continue to improve our translation services for there is a continued need for the Government to reach out to all Singaporeans in all the four official languages. As Members who have been listening to my remarks in Chinese, Malay and Tamil translations will attest, we have excellent translation services in this House.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Resolution of Loan Shark Harassment Cases","subTitle":null,"sectionType":"WANA","content":"53 Mr Gan Thiam Poh asked the Deputy Prime Minister and Minister for Home Affairs (a) what is the success rate of resolving loan shark harassment cases in the last two years; (b) to date, how many offenders have been put behind bars for loan shark harassment crimes; (c) what other measures are the Police taking to address crimes relating to loan shark harassment; and (d) whether there are plans to enhance the laws to effectively deter loan shark harassment.
Mr Teo Chee Hean: For the six-month period January to June 2013, there were 4,608 reported cases of unlicensed moneylending and related harassment. This was a drop of 9.5% compared to the 5,091 cases reported in the same period in 2012. The number of reported cases has been on a decline since 2010.
In the last two years (2011 and 2012), Police arrested 3,896 persons for unlicensed moneylending and harassment offences. This was about 60% higher than the 2,473 persons arrested in the preceding two years (2009 and 2010).
Police will continue to deal with loan shark harassment through its holistic strategy comprising enforcement, preventive education and community engagement.
To tackle the multi-layered nature and changing operational modes of the syndicates, we have legislated stiffer penalties for loan sharks as well as those
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who assist them in such activities.
We are progressively deploying Police Cameras at HDB blocks, under the new Community Policing System (COPS), to address the community's safety and security concerns, including loan shark harassment. By end of the year, Police Cameras will be installed in 1,000 HDB blocks across the various Town Councils.
Police and the National Crime Prevention Council also jointly launched the inaugural Anti-Unlicensed Moneylending public education and awareness campaign in November last year. The campaign is aimed at raising public awareness about the harmful effects that unlicensed moneylending has on borrowers and their families as well as to mobilise the community to enhance their vigilance against such activities.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Business Trends of Pawnshops","subTitle":null,"sectionType":"WANA","content":"54 Mr Seah Kian Peng asked the Minister for Law (a) what is the current number of pawnshops in Singapore; (b) what is the increase in their numbers over the past five years; and (c) what is the current amount of loans secured and percentage of items redeemed.
Mr K Shanmugam: As of 1 October 2013, there are 201 pawnshops in Singapore. Over the past five years, the number of pawnshops has increased from 114 in 2008 to 191 in 2012, giving an increase of 77 pawnshops during this period.
Pawnbroking loans are essentially secured loans. Under the law, pawnbrokers are allowed to charge an interest rate of no more than 1.5% per month. The majority of consumer loans in Singapore are issued by banks and finance companies. Overall, the amount of pawnbroking loans constitutes around 3% of the amount of consumer loans issued by banks and finance companies.
The total amount of pawnbroking loans granted this year, as at 31 August 2013, is about $3.7 billion. Such loans include loans that are refinanced using the same collateral. Typically, around 95% of pledges are redeemed by pawners.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Responsible Gambling Measures","subTitle":null,"sectionType":"WANA","content":"55 Mr Seah Kian Peng asked the Minister for Social and Family Development (a) if he will give an update on the implementation of responsible gaming measures adopted by the two IRs; (b) whether the casino operators have proposed a responsible gaming programme to the Casino Regulatory Authority for endorsement; and (c) whether regular audits are being conducted at these casinos.
Mr Chan Chun Sing: The Casino Control (Responsible Gambling) Regulations were promulgated and came into effect on 31 May this year. Under the Regulations, a casino operator must submit its responsible gambling programme to the authorities for prior approval.
We have approved the responsible gambling programmes submitted by the casino operators earlier this month. Some of the measures which the operators had committed to include a dedicated committee to oversee responsible gambling efforts, a pre-commitment facility for patrons to limit their gambling expenditures, responsible gambling ambassadors to provide patrons with information and assist those who display signs of anxiety or distress, and systematic and regular training for their employees.
The casino operators are expected to implement their approved programmes by 1 January 2014. Their programmes will be evaluated annually against jurisdictions, casinos and international responsible gambling bodies with good practices in this area.
We will also conduct regular audits to ensure that the responsible gambling programme at each casino is implemented effectively. Disciplinary action may be taken if the operators do not comply with the requirements.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Preventing Rise in Gambling Addiction","subTitle":null,"sectionType":"WANA","content":"56 Mr Laurence Lien asked the Minister for Social and Family Development whether the Ministry is concerned about the rise in gambling addiction cases seen by the Institute of Mental Health from FY2010 to FY2012
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and whether new measures are required to prevent gambling addiction.
Mr Chan Chun Sing: The National Council on Problem Gambling (NCPG) conducts a survey on gambling participation among Singapore residents every three years. In 2011, the probable problem and pathological gambling rate among Singapore residents was around 2% to 3%, similar to the rate in 2008. Those in this group could be at different stages. Some are experiencing the effects of problem gambling, some have sought help and protection, while some are recovering and putting their lives back in order. Our rate is generally lower than other Asian jurisdictions such as Hong Kong and Macau, and similar to national studies in Australia and the United States.
A perennial concern in many countries, including Singapore, is getting those with gambling problems and their families to seek help. Many do not come forward due to reasons, such as denial or fear of being stigmatised. Seen in this context, it is good that more gamblers are stepping forward to seek help at the National Addictions Management Service at the Institute of Mental Health – from 217 new cases in FY2009 to 356 new cases in FY2012. Those having problems can also consider other help services, such as the Thye Hua Kwan Problem Gambling Recovery Centre and other Voluntary Welfare Organisations. They can also call the NCPG helpline (1800-6-668-668) for a start.
MSF will also continue to monitor and strengthen safeguards to address problem gambling where necessary. We will also continue to increase efforts to raise awareness of problem gambling, destigmatise and encourage help-seeking behaviour and enhance counselling and help services to problem gamblers and their families.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Impact of Training on Workers' Wages","subTitle":null,"sectionType":"WANA","content":"57 Dr Janil Puthucheary asked the Acting Minister for Manpower over the last two years (a) how effective have been the Government's efforts in the training and retraining of workers to meet the needs of economic restructuring; (b) how many workers have been able to obtain wage increases after undergoing retraining programmes; (c) how has training and retraining for PMETS under the Skills Training for Excellence Programme (STEP) benefited them effectively in the workplace; and (d) how does the Ministry track the
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effectiveness of training and retraining programmes.
Mr Tan Chuan-Jin: As we restructure our economy to be more productive, some jobs will be lost, even as new and better ones are created. What is key is that workers who lose their jobs are able to transit to another job quickly. To remain employable, workers will need to upgrade their skills to take on the higher value-added jobs created, or re-skill to land jobs in new or hiring industries. WDA plays an important role in supporting the efforts of our workers.
WDA regularly reviews the curriculum and courses under its Singapore Workforce Skills Qualifications (WSQ) framework, in consultation with key industry partners, to help ensure the courses equip workers with skills that are relevant to employers. We have also launched dedicated programmes for specific segments of the workforce like the Skills Training for Excellence Programme (STEP) for Professionals, Managers and Executives (PMEs), and Workfare Training Support (WTS) for lower wage workers, to make skills upgrading more affordable, accessible and relevant to them.
Since its launch in March 2011, STEP has helped PMEs update their skills, knowledge and expertise. STEP offers a wide range of training programmes, for example, modular courses, WSQ and non-WSQ courses leading to full qualifications, industry scholarships, and master-classes and seminars, to meet the needs of PMEs from different industries and at varying levels. The proportion of workers who attended PME-level courses supported by WDA has increased from one-quarter in 2011 to one-third in 2012.
To help workers transit to jobs in growth or hiring industries and provide them with the necessary training and experience before taking on these jobs, WDA has in place career conversion programmes for PMEs. We are prepared to expand our efforts if needed, as economic restructuring picks up pace.
The Government's investment in continuing education and training (CET) has led to positive outcomes. WDA regularly tracks the outcomes of our CET programmes through surveys of companies and individuals who have undergone WSQ training. The results of the 2012 survey showed that both employers and trainees found WSQ training beneficial. Eighty-five percent of surveyed companies said that WSQ training was useful for their employees. Seventy-four percent of surveyed companies said that the training led to increased productivity. Ninety-two percent of surveyed trainees also reported better performance at work and 15% received a pay rise after undergoing WSQ training. WDA has also embarked on a longitudinal study in 2012 to analyse the
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impact of WSQ training on wages. The findings showed that individuals who underwent WSQ training received higher wages compared to workers of a similar profile, such as age and qualifications attained, but without WSQ training.
There are also other benefits to training which are less-tangible but equally, if not more, important. This includes better employability, greater motivation, and improved self-confidence. Based on the survey, 77% of employees indicated greater motivation at work after undergoing training. More importantly, beyond these statistics, it is about making a difference to individuals and their families through our CET programmes. For example, a retrenched worker who finds a job in a different industry may have to take some pay cut in the new job since he is starting afresh, but the ability to find a new job and stand on his own feet after the setback of retrenchment is an important achievement in itself.
The Government will continue to work closely with the tripartite partners to strengthen our CET system to help our workers achieve better job and wage progression. At the same time, I would like to encourage all Singaporeans to embrace the spirit of lifelong learning and to proactively take advantage of the CET programmes to keep their skills relevant.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Riverside Dining Guidelines","subTitle":null,"sectionType":"WANA","content":"58 Mr Teo Siong Seng asked the Minister for National Development if URA can clarify the new guidelines for alfresco riverside dining so that the affected food and beverage establishments can address the authorities' concerns while catering to the great demand for riverside dining.
Mr Khaw Boon Wan: The Member's question refers to Outdoor Refreshment Areas (ORAs), which are ancillary dining areas of a restaurant or coffee shop in public walkways or spaces. ORAs can enhance the character of an area and help enliven public spaces. However, they need to be properly managed.
For Orchard Road and Singapore River, guidelines are in place to ensure that ORAs contribute to the vibrancy of these places. Last month, the guidelines were revised to ensure that different groups of users can continue to enjoy easy
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access to public spaces along the riverfront.
The latest revisions affect the southern stretch of Clarke Quay, where Riverside Point is located. ORAs there are located next to the building and directly along theriver edge. Over time, the increased spillage of tables and chairs has hindered pedestrians from getting close to the river edge. In response to the observed situation and feedback received from visitors and residents, URA no longer permits restaurants and cafes to set up ORAs next to the river edge. In return, a larger ORA is allowed next to the building.
The new guidelines should improve the experience of diners and pedestrians. This is not new. At One Fullerton, restaurants and cafes operate ORAs on the promenade next to their building while the walkways along the river edge are kept clear for pedestrians and joggers.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Sports Event in Nature Reserve","subTitle":null,"sectionType":"WANA","content":"59 Ms Faizah Jamal asked the Minister for National Development (a) what is the rationale for allowing a commercial enterprise to organise a high impact sports event in the nature reserve since 2009; (b) whether the Ministry has taken into account the destruction and disturbance to flora and fauna in our nature reserve due to these high impact sports events and the rubbish generated from such events; and (c) whether all future events at nature reserves can be in keeping with the Parks and Trees Act and Parks and Trees Regulations.
Mr Khaw Boon Wan: NParks carefully considers the nature and impact of any event to the flora and fauna before allowing it to be held at the Nature Reserves. The North Face 100 annual international cross-country run, which Ms Faizah is referring to, is no exception.
NParks imposes strict conditions within the ambit of the Trees and Parks Act on all event organisers to ensure minimal impact on the Nature Reserves. NParks will not hesitate to take enforcement action should there be any breach of the rules and regulations.
The organisers of the North Face 100 will have to comply with NParks' conditions. Actually, the 50-km route will largely take place outside of the Nature Reserves. Only a small segment, about 13 km, will be within the Central
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Catchment Nature Reserve. The organisers of North Face 100 will also have to take steps such as staggering and spacing out runners to moderate the number of runners on the trails, and setting up dedicated rubbish disposal areas. Runners who litter will be disqualified.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Feeder Bus Services in Nee Soon East","subTitle":"Increase in buses to cater to new BTO units","sectionType":"WANA","content":"60 Mr Patrick Tay Teck Guan asked the Minister for Transport in light of the increase in new BTO units and residents in Nee Soon East in the next 15 months, whether the Minister will consider introducing additional feeder services and buses along the route to alleviate the overcrowded bus feeder service numbers 804, 806 and 811 during peak hours.
Mr Lui Tuck Yew: LTA closely monitors housing development plans as part of its transport planning role. The significant increase in housing units in Nee Soon East which Mr Patrick Tay has highlighted would certainly require more bus capacity to be provided, and I assure the House that LTA has the plans in place to cope with the demand.
Under the Bus Service Enhancement Programme (BSEP), two new bus services, Service 860 and Service 850E, were introduced in October 2012 and February 2013 respectively. Service 860 complements the existing feeder services 804 and 806 and provides residents staying along Yishun Ring Road with a direct link to Khatib MRT station. Service 850E is a peak hour express bus service providing commuters from Yishun with an alternative travel option to the CBD, instead of taking the feeder bus services and transferring to the MRT. Both of these new BSEP services have seen good take-up and thus, buses have been added progressively. For instance, Service 850E started off with only two bus trips in the morning in February, but is now operating five trips in the morning after LTA added three bus trips in April, July and October this year, and we will certainly be happy to add more buses as the demand increases.
For the feeder services in Nee Soon East, Service 806 was recently improved with an additional bus during peak hours in September 2013, while Services 804 and 811 will have one bus each added during peak hours in
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October 2013 to meet the higher demand and ease crowding. LTA will continue to introduce more buses and other public transport improvements over the next one to two years in tandem with increase in ridership.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Off-peak Hours Cycling on Expressways","subTitle":null,"sectionType":"WANA","content":"61 Ms Foo Mee Har asked the Minister for Transport if the Ministry will consider establishing a framework that enables cyclists to cycle on selected expressways during off-peak hours such as 5 am to 9 am on Sundays.
Mr Lui Tuck Yew: Safety is a key consideration in deciding whether cyclists can be allowed on expressways, even during off-peak hours. There is a significant difference in the speed of cyclists relative to motorists on expressways, which will result in cyclists suffering severe injuries or fatalities should any collisions occur. Cyclists are particularly vulnerable when cycling across slip-road entrances and exits of expressways, where vehicles join or leave the expressway at a relatively high speed. Motorists too, may get into collisions, for example, if they are surprised by the much slower-travelling cyclists and in trying to avoid them. We are thus not in favour of allowing cyclists on expressways.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Study Grants for UniSIM Students","subTitle":null,"sectionType":"WANA","content":"62 Mr Christopher de Souza asked the Minister for Education whether the Ministry is able to assist Singaporean students studying at UniSIM or studying for qualifications administered by SIM with grants, educational awards or concessionary student loans and whether any existing programmes can be enhanced to assist these students achieve their educational goals.
Mr Heng Swee Keat: SIM University (UniSIM) offers a range of part-time degree programmes catered primarily to working professionals and other adult learners. It is one of two entities owned by the Singapore Institute of Management (SIM), the other being SIM Global Education, which is a separate private education institution offering programmes leading to degrees awarded
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by overseas universities.
SIM Global Education, like most other private education institutions, is self-funded and does not receive Government funding. For UniSIM, however, MOE has provided subsidies for its part-time undergraduate degree programmes since 2008. These subsidies are similar to those provided by MOE to the National University of Singapore (NUS) and the Nanyang Technological University (NTU) for their part-time degree programmes. Singapore Citizen (SC) students can also utilise the funds in their Post-Secondary Education Account (PSEA) accounts for the payment of fees at UniSIM.
To provide further assistance to those who may need additional aid for their part-time degree study at UniSIM, MOE has also extended the MOE Bursary Scheme to UniSIM this year. This scheme is open to part-time SC undergraduate students with monthly per capita household income of $1,700 and below. From July, part-time SC undergraduate students at UniSIM can also apply for the Tuition Fee Loan, which covers up to 90% of the subsidised fees payable. Students with monthly per capita household income of $2,400 and below will also be eligible for the means-tested Study Loan, which covers the remaining 10% of the subsidised fees not covered by the Tuition Fee Loan. Both loans are interest-free during the period of study.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Professional Development for Special Education Teachers","subTitle":null,"sectionType":"WANA","content":"63 Ms Denise Phua Lay Peng asked the Minister for Education whether the Ministry can facilitate special education educators in special schools funded by the Ministry and NCSS joining as members and participating in courses and programmes organised by agencies promoting professional development of educators such as the Academy of Singapore Teachers and Academy of Principals (Singapore).
Mr Heng Swee Keat: As part of overall efforts to uplift the quality of Special Education (SPED), MOE is committed to enhancing professional development opportunities for teachers in SPED schools.
SPED educators have access to and have been participating in courses organised by the Academy of Singapore Teachers (AST). The full listing of
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AST's courses is made available to all SPED schools. An application process has been put in place to facilitate course registration.
Since 2012, AST has made available Teacher Work Attachment opportunities for SPED teachers to broaden their perspectives and to enable them to learn good practices from other organisations, which they can apply in the SPED context. Moving ahead, SPED teachers will be invited to attend professional learning programmes led by teachers. These include workshops and subject teachers' professional meetings. This will strengthen the development of professional learning teams in SPED schools and help build a culture of professional learning and sharing in the SPED community.
The Academy of Principals, Singapore (APS) will also make course information available to SPED schools.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Provision of Space in Buildings for Deployment of Telecom Equipment","subTitle":null,"sectionType":"WANA","content":"64 Mr Lim Biow Chuan asked the Minister for Communications and Information (a) what is the rationale for requiring owners and developers of buildings to provide mobile deployment space to telecommunications licensees free of charges or payment; (b) how many other countries in the world have such similar requirement; and (c) whether this practice benefits telecommunication licensees at the expense of owners and developers of buildings.
Assoc Prof Dr Yaacob Ibrahim: Businesses and consumers rely increasingly on mobile telephone services and expect better mobile coverage. In response to this, the Infocomm Development Authority (IDA) enhanced the quality of service (QoS) standards imposed on mobile operators for both in-building and outdoor mobile coverage. IDA also reviewed the Code of Practice for Info-Communication Facilities in Buildings. This was to ensure that building developments would be equipped with minimum space and facilities necessary for mobile operators to deploy additional equipment needed for better mobile coverage. The requirement to provide this minimum amount of mobile deployment space (MDS) at no charge to the mobile operators was meant to facilitate quick deployment of mobile equipment, so that end-users could
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benefit faster from the improved mobile coverage.
Notwithstanding the above, existing lease agreements for space purposed for the provision of mobile coverage within the developments will be allowed to continue until their expiry. Developments would only need to comply with the new MDS requirement after the expiry of these existing agreements.
Singapore is one of the few countries known to have imposed QoS standards on telecommunication services for compliance purposes and similarly for the MDS requirement. Such measures are implemented to protect and benefit consumers and businesses. In fact, the most direct and immediate beneficiaries of improved mobile coverage are the building residents and tenants themselves. These new requirements have also taken into account industry feedback via two rounds of public consultation. Both public consultations saw no objections from most respondents, who understood and acknowledged the need to facilitate the better mobile coverage within building developments for the benefit of end-users.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Employment Rate for SCORE's Re-integration Programmes","subTitle":null,"sectionType":"WANA","content":"65 Mr Muhamad Faisal Bin Abdul Manap asked the Deputy Prime Minister and Minister for Home Affairs (a) what is the annual number of ex-offenders registered with the Singapore Corporation of Rehabilitative Enterprises (SCORE) for employment and re-integration programmes in the past five years; (b) what is the number of companies that are registered with SCORE in providing employment opportunities for ex-offenders in the past five years; and (c) what is the rate of ex-offenders who have successfully secured employment through SCORE's job-matching and employment scheme in the last five years.
Mr Teo Chee Hean: The Singapore Corporation of Rehabilitative Enterprises (SCORE) facilitates the rehabilitation and reintegration of offenders by offering them employment, training and aftercare support after their release. In 2012, SCORE emplaced 5,840 offenders on its employment and reintegration programmes. This is almost double the number in 2008.
There were 3,457 employers registered with SCORE in 2012. This is also almost double the number registered in 2008. SCORE will leverage on the
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Yellow Ribbon Project to widen its network of employers and business partners to provide job opportunities for ex-offenders.
Of those assisted by SCORE, almost 98% of them successfully secured employment in 2012. This figure has been fairly consistent over the last five years.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Sabbatical Leave for Social Workers","subTitle":null,"sectionType":"WANA","content":"66 Mr Christopher de Souza asked the Minister for Social and Family Development whether the Ministry is able to build sabbatical leave into the careers of social workers, given the highly demanding and emotional nature of social work.
Mr Chan Chun Sing: The work of social workers can be demanding and emotionally draining. To support them, the Ministry and the National Council of Social Service have implemented a range of measures for their development and self-care.
In 2008, we introduced the Sabbatical Leave Scheme. Under the scheme, social workers who have served at least five years in the social service sector can apply for up to 10 weeks of paid leave to recharge and refresh themselves. It also provides social workers with funding to engage in professional development. Over the past five years, about 60 social workers have benefited from the Sabbatical Leave Scheme with funding amounting to about $1.3 million.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Safety Measures at Construction Sites","subTitle":null,"sectionType":"WANA","content":"69 Ms Foo Mee Har asked the Acting Minister for Manpower whether a comprehensive review is needed to strengthen safety measures at construction sites involving cranes in the light of recent worksite accidents.
Mr Tan Chuan-Jin: MOM takes a serious view on the recent spate of worksite accidents. It is a stark reminder that accidents can happen and,
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therefore, employers should always take precautionary measures to protect their workers. MOM will not tolerate employers who contravene safety regulations. If employers are found to be endangering the lives of their workers, firm enforcement action will be taken against them.
MOM and the Workplace Safety and Health (WSH) Council have been working closely with the industry to improve the safety of crane operations. The industry-led National Crane Safety Taskforce, formed in 2009, has been actively working to improve crane safety at all levels, following a review on Singapore's overall workplace safety and health standards. The mandate of this effort seeks to improve standards at the systems level, working from planning of the lifting operations, to oversight mechanisms and frameworks and specifically, operator proficiency.
The introduction for the need of a lifting plan in the Crane Regulations and capability building workshops for crane operators, lead the slew of efforts recommended by MOM. To further support these efforts, the National Crane Safety Taskforce has also enhanced the curriculums for lifting supervisors and crane operators, as well as developed the Safe Lifting Kit. Detailed procedures in the form of Code of Practice on Safe Lifting Operation at Workplaces, Guidebook for Lifting Supervisors and Workers' Safety Handbook for Riggers and Signalman were also introduced by the Taskforce, developed in collaboration with the WSH Council.
Another key focus area for the taskforce is building industry awareness, while raising standards and professionalism in the community. One of the more popular efforts organised by the taskforce is the Industry Seminar Series on Crane Safety. Lessons learnt from past incidents and best practices will also be shared at upcoming events that had been scheduled earlier on in the year, such as the Crane Safety Symposium and the Crane Carnival, which would take place in late-October and mid-November respectively.
These efforts have yielded modest improvements in Crane Safety for the construction industry, with 12 dangerous occurrences reported in 2012, down from 22 in 2010. This year, two crane-related accidents have claimed three lives compared to five crane-related fatalities in 2012. But this is still, three lives too many. Our thoughts and condolences go out to the families of these workers.
As construction activities continue, employers must do their part to ensure workers are trained; guidelines and regulations are closely adhered to, so that risks are mitigated and workers not placed in harm's way. All equipment, must
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also be maintained to the highest standards, and inspections meticulously carried out. We will continue to focus our efforts to enhance work safety involving cranes, in all industries.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Update on Progress of Home Improvement Programme (HIP) for 2013","subTitle":null,"sectionType":"WANA","content":"70 Mr David Ong asked the Minister for National Development what is the status of completion for the 28,000 flats targeted for the Home Improvement Programme in 2013.
Mr Khaw Boon Wan: For FY2013, we have selected 28 projects comprising 27,000 flats for the Home Improvement Programme (HIP). Of these, 14 projects have already been announced by the local Advisers. The remaining 14 projects will be announced over the next few months.
After each announcement, a local Working Committee will be set up to oversee implementation. Implementation includes appointing a project consultant, finalising project details, conducting polls among the residents, calling and awarding construction tenders. For these projects, we expect polling to be conducted next year. Subsequently, the construction works will commence three to four months after the polling exercises and will typically take about 18 months to complete.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Repair of Ceiling Leaks and Spalling Concrete","subTitle":null,"sectionType":"WANA","content":"71 Ms Tin Pei Ling asked the Minister for National Development (a) on whom should the responsibility of repairing ceiling leaks and spalling concrete in HDB flats lie with; (b) what are the objectives of the Goodwill Repair Assistance scheme in view of the stated responsibilities; (c) what is the period range for such goodwill repairs; and (d) what is the period deemed acceptable by the Ministry for such repairs.
Mr Khaw Boon Wan: Flat owners are responsible for the maintenance of their flats, including repairs for general wear and tear. This applies to all sold
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residential buildings, both public and private. For HDB flats, flat owners are responsible for the repairs to the spalling concrete and ceiling leaks in their flats. In the case of ceiling leaks, both the owners of the upper and lower floor units are jointly responsible, as provided under HDB Lease.
In cases where flat owners have difficulties with the repairs, HDB provides assistance through the Goodwill Repair Assistance (GRA) Scheme. Under the GRA scheme, HDB arranges for the repair works and co-pays 50% of the cost. For ceiling leak repairs, the balance 50% is shared equally by the upper- and lower-floor flat owners. For spalling concrete repairs, the affected flat owners bear the balance 50% of the repair costs.
The actual repair work to resolve ceiling leaks and spalling concrete takes about 3.5 days and one day respectively. However, the time HDB needs to complete investigations and repairs depends very much on the complexity of the problem, and the cooperation of the flat owners. Generally, about 80% of repairs are carried out within four months from the date of feedback.
MND does not set an acceptable period for such repairs. Where repairs are delayed by uncooperative flat owners, HDB will try to persuade them to cooperate, involving the grassroots leaders to mediate where needed. Legal action is used as a last resort when persuasion fails.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"New Public Transport Services for Rivervale Crescent","subTitle":null,"sectionType":"WANA","content":"72 Ms Lee Li Lian asked the Minister for Transport in assessing the possibility of new public transport routes at Rivervale Crescent (a) whether information on ridership patterns, field surveys and collection of feedback have been obtained; and (b) what is the progress of requests to LTA to consider the possibility of introducing transport services given the new Build-To-Order (BTO) developments in the area.
Mr Lui Tuck Yew: LTA is aware of the BTO developments at Rivervale Crescent including the recently completed Rivervale Arc and is reviewing the public transport options to meet the increased travel demand. This can come in the form of amending bus services or introducing new ones for Rivervale Crescent residents. Let me assure the House that LTA continually monitors and reviews commuter needs including in areas where there are new developments.
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At the appropriate time, LTA will engage the community to discuss possible options.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Wages for LTA-engaged Traffic Wardens","subTitle":null,"sectionType":"WANA","content":"73 Mr Zainal Sapari asked the Minister for Transport (a) what is the number of traffic wardens required by LTA in their existing and upcoming contracts; (b) what is the average basic and gross salary of these traffic wardens; and (c) whether LTA is willing to consider engaging service providers that adopt a progressive wage model for parking/traffic wardens with a salary structure that commensurates with their skills, productivity and career.
Mr Lui Tuck Yew: LTA contracts about 120 traffic wardens to enforce against illegal parking and bus lane offences. Open tenders for the contracts were called recently in June 2013. Tenderers were not required to disclose salary figures to LTA; however, MOM's Occupational Wage Survey data indicates that the basic and gross median wages for car park attendants in 2012 were $1,100 and $1,150 respectively.
The Government announced in May 2013 that it will strongly encourage service providers to adopt the National Wage Council's recommendations. LTA will consider favourably service providers that adopt a progressive wage model for traffic wardens with a salary structure that is commensurate with their skills, productivity and career.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Use of SingPass for Primary School Online Registration","subTitle":null,"sectionType":"WANA","content":"74 Ms Lee Li Lian asked the Minister for Education what is the rationale for not allowing single parents' SingPass to be used for their children's Primary school online enrolment.
Mr Heng Swee Keat: The school requires the parents of a child to provide supporting documents, including the birth certificate of the child and the identity cards of both parents, to register a child for a Primary school during the Primary 1 (P1) Registration Exercise. These documents prove the parents'
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relationship, and show that both parents have jointly decided to register the child in that school. Single parents can register with the one parent's identity card, provided they can provide other relevant documents to confirm their marital situation. This measure reduces the risk of the other parent, in divorced or separation cases, disputing the parent's right to register the child in a specific school.
As part of the Ministry's efforts to find new ways to improve our service delivery, the Primary 1 Internet System (P1-IS) was started in 2011, as an alternative channel for the convenience of parents who are registering their child in one of the schools where it is being tried out. The P1-IS similarly needs to verify that the adults submitting the registration online are the parents of the child, and this is done by both parents keying in their individual SingPass. However, if only one SingPass is keyed in, as in the case of a single parent, the system cannot verify the actual circumstances. This is why single parents would need to register at their chosen school, with the relevant supporting documents.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Pre-approved Community Health Assist Scheme (CHAS) for Residents Living in HDB Rental Flats","subTitle":null,"sectionType":"WANA","content":"76 Ms Irene Ng Phek Hoong asked the Minister for Health whether the application for the Community Health Assist Scheme (CHAS) can be automatically extended to those who live in HDB rental flats by providing them with a pre-approved CHAS card.
Mr Gan Kim Yong: Currently, MOH, through the Agency for Integrated Care (AIC), has been actively promoting CHAS to residents in HDB rental flats by conducting door-to-door visits together with the grassroots leaders to encourage sign-ups for CHAS. Through these visits, those who live in HDB rental flats can be assisted in their applications for CHAS and the benefits of the scheme can also be explained to them. Through AIC and the Health Promotion Board (HPB), MOH will continue to work closely with the grassroots and community partners, including the Family Service Centre and Senior Activities Centres, to encourage more eligible Singaporeans to join the scheme.
MOH will also continue to explore ways to target our outreach to the lower- and middle-income Singaporean households, including measures to facilitate
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those who live in rental flats to join CHAS and benefit from the scheme.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Invitations to Health Screening","subTitle":null,"sectionType":"WANA","content":"77 Mr Gerald Giam Yean Song asked the Minister for Health from 2011 to 2013 to-date (a) how many invitations have been sent annually to residents of 40 years and older to go for health screening under HPB's Integrated Screening Programme (ISP); (b) how many residents took up those invitations in each of those years; (c) what are the charges for such screenings; (d) what is the rationale for charging such screenings; (e) what are the KPIs the Ministry uses to measure the success of the ISP; and (f) how does the Ministry rate the success of the ISP.
Mr Gan Kim Yong: The nationwide Integrated Screening Programme (ISP) offers affordable and convenient screening for high blood pressure, high blood cholesterol and diabetes, as well as breast, cervical and colorectal cancers to Singapore residents for the recommended age-groups. Under the ISP, Singapore residents who reach 40 years of age receive invitation letters to go for the various ISP screening tests at GP clinics. Those who are screened receive rescreen invitations according to the recommended intervals in subsequent years for the various screening tests. To enhance accessibility, HPB collaborates with partners, such as People's Association, as well as companies, to bring subsidised health screening to residents in the community and workplaces.
The total number of residents aged 40 years and older who received first invitation letters and rescreen invitations were 490,000 in 2011 and 200,000 in 2012. In 2011, 36,000 people attended health screening under the ISP and 19,000 people in 2012. The total number of invitations and residents who attended health screening was higher in 2011 because 365,000 invitation letters were sent to women aged 50 and above who were due for their mammogram screening in conjunction with the launch of the Celebrate Wellness (CW) programme, a HPB partnership initiative with WINGS and Toteboard.
Costs for screening services under the ISP have been kept affordable. For example, the cost of the blood tests in the GP clinics to screen for diabetes and high blood cholesterol is $8, the cost of Pap smear to screen for cervical cancer is $15, and the cost of the Faecal Immunochemical Test (FIT) which screens for colorectal cancer is $30. This is in addition to the GP consultation fees. Lower-
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income Singaporeans receive all these tests for free and only need to pay GP consultation fees. For community-based screening, the cost of blood tests to screen for chronic diseases is $2 to $5.
Under the ISP, GPs can refer women for mammography for breast cancer screening at Breast Screen Singapore (BSS) centres at 16 polyclinics at a subsidised cost of $50 for citizens. Women aged 50 and above can use Medisave to pay for mammograms at all Medisave-approved screening centres, including the BSS centres.
Patients are charged for screening under the ISP as the health of an individual is a shared responsibility. We have also targeted Government subsidies at those who need help most. To make screening even more affordable and accessible, the Community Health Assist Scheme (CHAS) has been enhanced to increase the coverage of subsidies for screening tests under the ISP. From 1 January 2014, the recommended tests will be fully subsidised by the Government for CHAS patients at accredited GP clinics. They will also enjoy subsidies for GP consultation charges of up to $18.50 per visit, for their screening and subsequent follow-up consultations, up to two times a year.
The results have been encouraging. In the National Health Survey 2010, among Singaporeans aged 40 to 69, 71% had been screened for high blood pressure in the past year; and 61% and 64% had been screened for high blood cholesterol and diabetes respectively in the past three years, in accordance with the recommended frequency of screening. In terms of cancer screening, 48% of women aged 25 to 69 had undergone the Pap smear test within the past three years; and 10.3% of Singapore residents aged 50 to 69 had a Faecal Occult Blood Test (FOBT) within the past one year.
Nevertheless, there is room to further improve the screening participation rate. MOH will continue to look into how we can encourage more Singaporeans to undergo appropriate screening, and make screening even more convenient and affordable.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Promotion of Marriage and Family Life","subTitle":null,"sectionType":"WANA","content":"78 Mr Lim Biow Chuan asked the Minister for Social and Family Development in view of the large number of divorces in the last few years (a) what are the plans by the Ministry to promote marriage and family life; and (b) whether the Ministry will consider promoting programmes to strengthen marriages.
Mr Chan Chun Sing: MSF continues to have efforts to promote marriages and to strengthen families. For example, our Social Development Network (SDN) reaches out to singles to provide them with information on dating resources, promotions and events. It also works with accredited dating agencies and community organisations to nurture a vibrant dating scene for singles.
To strengthen marriages, MSF funds marriage preparation programmes conducted by trained counsellors. Each year, more than 500 couples would benefit from these programmes, which cover topics such as communication skills, conflict resolution and planning for a family. MSF also works with community partners such as the National Family Council, family service providers, educators and religious groups, to support couples at different stages of their marriage. For example, couples facing marital difficulties can approach Family Service Centres or relevant Voluntary Welfare Organisations for counselling and other support.
We also work with businesses to create a family friendly environment. To date, more than 5,800 businesses have pledged to be family friendly, with more than 450 attaining the accredited Businesses for Families mark for attaining specific standards.
Going forward, we will do even more to promote and strengthen families. In April this year, we launched the FamilyMatters! Initiative to give a greater push to family education and promotion efforts. We will tap on everyday touch points such as workplaces, schools and convenient locations within the community to heighten awareness and knowledge on topics such as marriage, work-life harmony and parenting.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Clubs Licensed to Operate Jackpot Machines","subTitle":"Regulations to enhance responsible gambling measures","sectionType":"WANA","content":"79 Mr Png Eng Huat asked the Minister for Social and Family Development (a) if he can provide an update on the number of clubs licensed to operate jackpot machines that have adopted a responsible gaming code; (b) whether an Electronic Funds Transfer at Point of Sale (EFTPOS) system is allowed inside these jackpot rooms; and (c) whether the Ministry will consider standardising the minimum age for entry to such clubs and Singapore Pools with that of the casinos that is currently set at 21 years old.
Mr Chan Chun Sing: Permits for the private jackpot clubs are regulated by MHA under the Private Lotteries Act. Thirteen out of 73 private jackpot clubs have voluntarily adopted the Responsible Gambling Code of Practice introduced by the National Council on Problem Gambling (NCPG) in 2007. These 13 clubs operate about 35% of all jackpot machines in such clubs.
SPF's permit conditions for the clubs do not disallow the Electronic Funds Transfer at Point of Sale (EFTPOS) system inside the jackpot rooms. We do not have data on the number or percentage of clubs with the EFTPOS system.
The Government and the NCPG are committed to raise the standard of responsible gambling and to minimise problem gambling in Singapore. MSF and MHA are working together to review the regulatory framework and social safeguards for non-casino gambling, including the permit conditions, and minimum age for gambling at private jackpot clubs and other gambling venues.
In addition, a Responsible Gambling Forum, comprising gambling industry and community leaders, has been established in April this year to enhance responsible gambling practices across all forms of gambling. It will take stock of existing responsible gambling measures, and discuss what more can be done to protect gamblers, especially the vulnerable.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Employers in Breach of CPF Act","subTitle":"Deductions from employees' salaries for mandatory employers' CPF contributions","sectionType":"WANA","content":"80 Dr Chia Shi-Lu asked the Acting Minister for Manpower (a) in each of the last three years, how many employers had violated the CPF Act by deducting monies from their employees' salaries for the employer's CPF contributions; (b) what was the profile of such employees and employers; (c) what were the reasons for such violations; and (d) whether there are new measures to protect such vulnerable workers.
Mr Tan Chuan-Jin: From January 2010 to July 2013, a total of 61 employers, or an average of 17 employers per year, were found to have deducted monies from their employee's salaries for the employer's CPF contributions. These employers are spread out across various industries, with no specific profile due to the low volume of violations. Some of the reasons for violations include ignorance of CPF rules, or employers who erroneously made such deductions for their foreign employees who obtained PR status.
Upon our investigation and demand for rectification by the CPF Board, a total of about $240,000 in excess deductions were refunded by employers to their employees affected. Under section 7(5) of the CPF Act, it is an offence for employers to make excessive deduction of CPF contributions from their employees. For the 61 employers found to have made excessive deduction of CPF contributions from their employees, all of them paid back the excess deductions to their employees. Any person convicted of such an offence shall be liable to a fine not exceeding $2,500 and, in the case of a second or subsequent conviction, to a fine not exceeding $10,000 as provided under section 61 of the CPF Act.
CPF Board treats excessive deductions and other non-compliance of the CPF Act seriously. Under the \"WorkRight\" programme jointly launched by MOM and CPF Board, we have stepped up compliance with the CPF Act, as well as the Employment Act, through a two-prong approach – education and enforcement. Through education, we are raising awareness among employers and employees about their obligations and rights under the CPF Act and Employment Act. We currently distribute employer and worker-targeted \"WorkRight\" guidebooks (available in our four official languages) through self-
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help groups, SNEF, NTUC, training providers and industry partners. Members of Parliament would have received these multi-lingual worker guidebooks that you could give out to residents. The proposed amendment to the Employment Act requiring employers to issue itemised pay slips to their employees will also be a boost to raising national awareness and compliance. On the enforcement front, we have been stepping up the number of inspections. We are concurrently reviewing the penalties under the CPF Act and Employment Act to ensure that they have the required deterrent effect on recalcitrant employers.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Cases of Non-payment of Employees' Salaries","subTitle":null,"sectionType":"WANA","content":"81 Mr Zainal Sapari asked the Acting Minister for Manpower for the past three years (a) how many cases of non-payment of salaries are valid and taken up by the Ministry for follow-up actions; (b) what are the reasons quoted by the employers for the non-payment of salaries; (c) how does the Ministry help workers recover their unpaid salaries; and (d) what is the success rate in getting employers to pay what is due to the workers.
Mr Tan Chuan-Jin: Workers can file salary claims with the Commissioner for Labour. The Commissioner will inquire into the case and determine the amount that the employer has to pay if the claim is valid.
The Commissioner for Labour has inquired into a total of some 3,800 salary claims between 2010 and 2012. In about three-quarters of these cases, the employers made payment to their workers.
In the remaining one quarter, the employers did not pay up. Workers in such a situation can enforce the payment by way of writ of seizure and sale through the Subordinate Courts. This process does not require them to engage a lawyer. MOM officers will facilitate the process by advising workers on the procedures involved, and helping them prepare the necessary documents. However, most of these defaulting employers were small companies in financial difficulty or which had ceased operations.
Let me also stress that every worker has the right to be paid in full and on time. MOM has tightened our processes and we will send a clear signal to every employer that not paying their workers' salaries is unacceptable and doing so will attract a consequence, including prosecution actions. Later this year, we
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will be enhancing the penalties under the Employment Act for errant employers who fail to pay workers' salaries.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"HDB Flats Allocated to Divorcees with Children","subTitle":null,"sectionType":"WANA","content":"82 Er Dr Lee Bee Wah asked the Minister for National Development (a) how many divorcees with children have been allocated HDB flats over the past three years; and (b) how many such applicants are still on the waiting list for their HDB flats.
Mr Khaw Boon Wan: From 2010 to 2012, 6,570 divorcees with children applied to buy a new flat from HDB. 3,640 were invited to book a new flat – 2,840 did so, but the other 800 did not. Of the remaining 2,930 who were unsuccessful, 560 have since purchased another resale flat, DBSS flat, EC unit or private housing, while 840 have continued to apply for a new flat this year.
Low-income divorcees with children who have no viable housing options or family support may apply for a public rental flat. Since 2010, 2,660 divorcees with children have been allocated a rental flat. There are another 400 who have been registered and are waiting to be allocated a rental flat.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Protection for Student Interns","subTitle":null,"sectionType":"WANA","content":"84 Mr Patrick Tay Teck Guan asked the Minister for Education what are the current protection and safeguards for student interns from schools, ITEs, Polytechnics and Universities who are subjected to workplace bullying, such as physical and non-physical abuse including being made to work overtime and excessive hours without rest.
Mr Heng Swee Keat: Our schools and Post-Secondary Education Institutions (PSEIs) work with industry partners to ensure that internships are meaningful for our student interns, and that companies are also clear about their responsibilities.
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Prior to their internships, students are briefed on matters of professional conduct and safety during their internships. At our schools, students are given the contact numbers of school personnel, such as teachers, the Vice-Principal and school administrative staff, whom they may contact regarding any matters during their internships. At our PSEIs, every internship student is assigned a liaison officer whom they can call to report any form of mistreatment, including bullying and excessive internship hours. If issues cannot be resolved immediately, our schools and PSEIs may transfer the students to another company to continue their internships. The liaison officer also makes periodic visits to the company while students are on their internships to check on the students' welfare and learning development.
At the end of each internship or attachment, students have to submit a report to our schools and PSEIs detailing their experiences. This provides additional feedback on how interns have been treated by respective companies. Based on these reports, our schools and PSEIs work with companies to improve the internship experiences for future students.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Discrimination against Employees with Mental Conditions","subTitle":null,"sectionType":"WANA","content":"85 Dr Intan Azura Mokhtar asked the Acting Minister for Manpower whether there have been reports of discrimination against employees with a mental condition or disorder and, if so, how many such cases have been reported in the last 10 years and to what extent is the reported discrimination.
Mr Tan Chuan-Jin: Since its formation in 2007, the Tripartite Alliance for Fair Employment Practices (TAFEP) has so far received four complaints of perceived discrimination against workers with a mental health condition out of a total of around 1,000 complaints received.
We encourage any person who encounters employment discrimination to approach TAFEP for advice and assistance. Where TAFEP believes that there is a basis to the complaint, TAFEP will look into the issue and, if necessary, advise the employer to make adjustments to its employment practices to be in line with the principles of fair employment. Employers have been receptive to such advice and made the required adjustments to their practices, such as their recruitment methods.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Use of CPF Savings to Pay Mortgage","subTitle":null,"sectionType":"WANA","content":"86 Mr Alex Yam asked the Acting Minister for Manpower with regard to the transfer of CPF funds from the Ordinary Account to the Retirement Account (a) whether the Ministry will consider a tiered approach for the transfer to take place over five years, especially for lower-income home owners servicing their housing loans through their CPF; and (b) if the Ministry is already considering such a tiered system and additional safeguards for homeowners, what is the timeline for the implementation.
87 Mr Ang Wei Neng asked the Acting Minister for Manpower (a) how many HDB flat owners have to use cash to pay the monthly HDB loan because of (i) the valuation limit (ii) flat owners having reached 55 years of age and their money in the CPF Ordinary Account has to be transferred to their Retirement Account; and (b) whether HDB will consider periodic re-valuation of HDB flats for existing owners so that the valuation limit can keep pace with the current market price of the flats.
Mr Tan Chuan-Jin: I refer to the queries by Mr Ang Wei Neng and Mr Alex Yam on the CPF Valuation Limit (VL) for housing and the transfer of CPF savings from the Ordinary Account (OA) to the Retirement Account (RA) at age 55.
CPF members should set aside sufficient CPF savings for retirement and should not compromise this by overspending on their housing. The VL and the transfer of CPF savings at age 55 to set aside the Minimum Sum (MS) in the RA help to ensure this.
The VL is set at the lower of the purchase price or property value at the time of purchase. It is not adjusted based on the current value of the property, which could fluctuate depending on the property cycle. Capping CPF usage for housing minimises the risk of CPF members not being able to recover the full amount of CPF withdrawn for his property, especially if there is a property downturn. CPF members can use their CPF savings above the VL, provided they have set aside at least half of their MS for retirement. The VL also does not apply to new flats purchased directly from the HDB and financed with a HDB loan.
Today, the number of CPF members who have reached their VL and must use cash to service their housing loans is small – at less than half a percent of members who are using CPF savings for their housing loans. Of the households with HDB loan arrears of three months or more, less than 1% are affected by
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the VL.
When a CPF member turns 55, his savings in his CPF OA and Special Account (SA) are used to set aside the MS in his RA. Only RA savings above half the MS can be used for housing. This ensures members set aside enough cash savings to meet their retirement needs.
Mr Yam has proposed a tiered approach for the transfer of OA savings to RA. This is unnecessary. The vast majority of CPF members who turn 55 have sufficient savings for housing or have completed their housing loan repayments. By transferring OA savings to the RA, members enjoy higher interest rates of 4% which allows them to accumulate more savings for retirement.
Among the cohort of CPF members turning 55 this year, more than 95% either do not require CPF to service housing loans, have savings in excess of half the MS, or have fresh OA contributions from work that they can use for housing.
For CPF members who face difficulties with housing loan repayments because of the VL or after the age 55 transfer of OA savings to the RA, we have exercised flexibility where the case merits and have allowed them to use more of their CPF savings for housing.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Wages for Car Park Enforcement Officers","subTitle":null,"sectionType":"WANA","content":"88 Mr Zainal Sapari asked the Minister for National Development (a) what is the number of car park enforcement officers engaged by the Ministry in their existing and upcoming contracts; (b) what is the average basic and gross salary of these car park enforcement officers; and (c) whether the Ministry is willing to consider engaging service providers that adopt a progressive wage model for car park enforcement officers with a salary structure that commensurates with their skills, productivity and career.
Mr Khaw Boon Wan: There are a total of about 910 car park enforcement officers employed by HDB and URA's service providers.
Based on information given by the service providers, the average basic monthly salary of car park enforcement officers ranges from $710 to $770. The
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average gross monthly salary ranges from $1,300 to $1,800. The salary is pegged to work experience, qualification and work performance.
HDB and URA are prepared to favourably consider service providers that adopt a progressive wage model for car park enforcement officers.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Review of Industrial Relations Act","subTitle":null,"sectionType":"WANA","content":"89 Mr Patrick Tay Teck Guan asked the Acting Minister for Manpower if he will provide an update on the review of the Industrial Relations Act with the tripartite partners.
Mr Tan Chuan-Jin: A Tripartite Workgroup was formed earlier this year to review the Industrial Relations Act (IR Act), specifically to see how managers and executives can be better represented by trade unions. Managers and executives now form more than 30% of the workforce and their proportion is expected to increase further in the coming years.
The Tripartite Workgroup has submitted its recommendations to the Ministry after consultations with employer groups and union leaders. MOM supports the recommendations of the Workgroup and intends to make the necessary legislative changes to effect them. Allow me to now give an outline of the proposed key changes.
The Workgroup recommends building on the 2002 amendment to the IR Act to allow rank-and-file unions to represent managers and executives for collective representation. In 2002, limited representation was introduced in the IR Act, to allow rank-and-file unions to represent managers and executives on certain industrial matters on an individual basis. Senior management and certain categories of management will continue to be excluded from collective representation so that management effectiveness is not eroded. Matters, such as promotion, transfer, employment, termination, dismissal and assignment of duties for employees, will continue to remain the prerogative of employers and not form part of collective representation.
The Government has noted the concerns from employers that managers and executives are a more heterogeneous group with different needs. Their nature of work and reward systems have also evolved to be relatively
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individualised. Unions also recognise these trends and will continue to reach out to better understand and serve the needs of managers and executives.
Today, managers and executives can join rank-and-file unions for limited representation. However, some have asked if an additional option could be created for them to join a rank-and-file union for collective representation, if they wish. The proposed change will enrich the landscape and give more options to managers and executives to work with unions and their employers on modalities and arrangements that will better suit their specific needs. The effective implementation of these changes will serve the long-term interests of business, employees and unions in Singapore, as well as strengthen the tripartite partnership.
MOM will also be conducting a public consultation exercise to solicit wider public feedback on the proposed amendments to the IR Act. The Tripartite Workgroup will concurrently work out a set of guidelines to guide implementation on the ground so that the new amendments can be implemented smoothly.
I would like to thank the Tripartite Workgroup for its work. MOM plans to introduce the Industrial Relations (Amendment) Bill in Parliament next year after the public consultations.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Job Scope Definition in Service Sector","subTitle":null,"sectionType":"WANA","content":"90 Mr R Dhinakaran asked the Acting Minister for Manpower whether there will be specific guidelines to ensure that service-sector employers define job scopes adequately and ensure appropriate benefits are given since job flexibility has been allowed for work permit holders in this sector.
Mr Tan Chuan-Jin: To set the parameters for reasonable multi-tasking practices, MOM, National Trades Union Congress (NTUC) and Singapore National Employers Federation (SNEF) have released Tripartite Guidelines on the Job Flexibility Scheme on 24 June 2013. The Guidelines describe how employers should exercise job flexibility responsibly.
Specifically, employers should communicate to their employees the additional roles which they are being asked to take on and the corresponding
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remuneration arrangements. Employers should obtain their employees consent before requiring them to perform additional roles. We also remind employers to comply with existing employment laws, including the obligations on appropriate remuneration for overtime work and caps on work hours.
In addition, the Tripartite Guidelines state that employers should fairly remunerate and share productivity gains with employees, by way of additional remuneration or other similar rewards, commensurate with the employees contributions.
Employers should abide by the Tripartite Guidelines in implementing job flexibility. In cases where employees believe that their employers have not met the Tripartite Guidelines, they are encouraged to first seek recourse through channels within the employer's business. If not resolved, unionised employees can consult their union for advice. Alternatively, foreign employees can contact the Migrant Workers' Centre for assistance. MOM reserves the right to curb work pass privileges against companies in egregious cases of non-compliance with the guiding principles. Additionally, employees, or any other persons, are encouraged to report contravention of any existing employment laws to MOM.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Extension of Special Employment Credit Scheme to Benefit Well-qualified Elder Singaporeans","subTitle":null,"sectionType":"WANA","content":"91 Ms Tan Su Shan asked the Acting Minister for Manpower whether the Government will consider introducing a top-up option to the Special Employment Credit scheme which is age-based so as to broaden the reach of incentives for the recruitment and retention of well-qualified elder Singaporean workers.
Mr Tan Chuan-Jin: The Special Employment Credit (SEC) is one of the measures in place to encourage employment amongst older Singaporeans. Employers receive an SEC of up to 8% of each eligible employee's monthly wage. It was initially targeted at workers aged above 55, earning up to $1,700 per month, and was recently enhanced in 2012 to cover those aged above 50, with wages of up to $4,000 per month.
Ms Tan Su Shan has asked if the SEC could be enhanced further through an age-based top-up that provides greater support for elder Singaporean
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workers. We will study this proposal further. However, we note that, currently, employers' CPF contribution rates already get progressively lower as the age of the employee increases.8 The age-based tiering of CPF contribution rates helps to offset the cost of employing older workers, particularly for those above 60.
In addition, the SEC should be seen as part of a suite of measures that are in place to facilitate the retention of older workers, including WorkPro, which provides funding for work redesign, and the introduction of legislation that now requires employers to offer re-employment to eligible resident employees who turn 62, up to 65 years old.
The labour force participation rate of older residents has been increasing amid the tight labour market and measures to improve their employability. Fifty-six percent of residents aged 60 to 64 were employed in 2012, up from 45% in 2007. Thirty-seven percent of residents aged 65 to 69 were employed in 2012, up from 26% in 2007. Nearly all (98%) private sector local employees who turned 62 in the year ending June 2012 were offered re-employment.
We will continue to monitor labour market developments and refine our policies to promote the hiring of older Singaporean workers.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["8 : Employer CPF contribution rates are as follows: 50 and below – 16%; 50 to 55 – 14%; 55 to 60 – 10.5%; 60 to 65 – 7%; above 65 – 6.5%."],"footNoteQuestions":["91"],"questionNo":"91"},{"startPgNo":0,"endPgNo":0,"title":"Public Service Commission (PSC) Scholarship Awards","subTitle":null,"sectionType":"WA","content":"1 Mr Muhamad Faisal Bin Abdul Manap asked the Prime Minister (a) how many Public Service Commission (PSC) scholarships have been awarded to the Malay community annually in the past 10 years; (b) what is the breakdown of the various disciplines pursued; and (c) where have these scholars been deployed upon their graduation.
Mr Teo Chee Hean (for the Prime Minister): PSC scholarships are awarded on merit. We encourage outstanding students from all backgrounds
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with the passion and commitment to serve Singapore and Singaporeans to apply for a PSC scholarship. There is no quota on the number of scholarships to be awarded each year. All deserving candidates, regardless of their race and background, will be awarded a scholarship.
Between 2004 and 2013, six PSC scholarships were awarded to Malays. One was a President's-cum-Singapore Police Force Overseas Scholarship (SPFOS) holder.
These scholarship recipients pursued a variety of disciplines, such as Law, Economics, Biochemistry and Aeronautical Engineering at the undergraduate level. Those who have graduated were deployed on their first posting to various agencies, including MFA, MEWR and MSF. Their deployment took into consideration their training and preferences and the Public Service's needs, no different from that of any other PSC scholarship holders.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Measures to Prevent Terrorist Attacks on Shopping Malls","subTitle":null,"sectionType":"WA","content":"2 Mr Alex Yam asked the Deputy Prime Minister and Minister for Home Affairs (a) what measures are in place to prevent terrorist attacks on shopping malls in Singapore; (b) whether building owners are adequately prepared for such threats; and (c) what is the Ministry's current assessment of threats to buildings in Singapore by global terrorism.
Mr Teo Chee Hean: The recent surprise attack by Al-Shabaab on the Westgate Mall in the Kenyan capital of Nairobi is yet another strong reminder that the terrorism threat continues to be a global and persistent security problem.
The Westgate Mall attack indicates a continuing trend of terror groups attacking soft targets, including hotels, malls and schools. Soft targets are, by definition, assets that are either not protected or not protected to a high level. They are usually open to the public with little access control. As there are numerous potential soft targets in a country, it is neither feasible nor possible for a nation's security forces to directly protect them all. Singapore is not immune to such threats and we have to guard against the possibility of similar
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attacks in Singapore.
Our approach is to invest resources in effective and proactive security solutions involving multi-layer security deployment, community engagement aimed at early detection of potential threats, and public vigilance and preparedness programmes. Our borders provide the first critical line of defence against terrorists. To prevent the entry of terrorists and the smuggling of weapons and explosives into Singapore, we conduct stringent checks on travellers, vehicles, baggage and cargo at our sea, air and land checkpoints, and round-the-clock patrols along the coastlines.
MHA works closely with the business community to enhance the security of their buildings and the surrounding areas. Through the Safety and Security Watch Groups (SSWGs), our Police collaborates with the commercial sector to help them fight crime and terrorist threats. Response protocols are implemented to deal with any crisis situation, and table-top exercises are conducted to validate and refine the contingency plans. To date, 1,054 buildings are covered under the SSWGs.
Building owners can also refer to MHA's Guidelines for Enhancing Building Security in Singapore (GEBSS) which is available online. The guidelines provide information on how they can enhance the security of their buildings, such as perimeter security, access control for vehicles and persons, security systems, security lighting and emergency procedures.
Commercial, industrial and Government buildings deploy trained private security personnel to detect potential threats and deal with terror scenarios. Under \"Project Guardian\", the Police provides training for the private security personnel in evacuation, cordon support, crowd control, traffic diversion and emergency communications. Such training enables the private security personnel at these buildings to handle an emergency situation confidently and effectively. More than 5,500 private security personnel and employees have been trained. In addition, through our Security Outreach Programme, we educate the general public on good security practices and encourage them to take ownership of Singapore's security. In this way, we induct non-security personnel, such as shop workers, maintenance and cleaning contractors and even customers themselves, into the security effort, adding eyes on the ground and serving as a valuable deterrent to potential attackers.
To conclude, the threat against soft targets requires the combined commitment and efforts of the Police, private security agencies, the private
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sector and members of the public. MHA will continue to strengthen our capabilities and work closely with our key partners and community to deal with potential terrorist threats. There is no room for complacency as terrorists continue to seek out every possible opportunity to inflict severe damage and consequences on us. We must remain vigilant and do our part to deter and prevent any terrorist attack at all times.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Speed Limiters for Heavy Vehicles","subTitle":null,"sectionType":"WA","content":"3 Mr Lim Biow Chuan asked the Deputy Prime Minister and Minister for Home Affairs whether the Traffic Police will implement speed limiters for heavy vehicles to reduce excessive speeding of such vehicles.
Mr Teo Chee Hean: All goods vehicles and public service vehicles with maximum laden weight exceeding 12 tonnes and 10 tonnes respectively are already required by law to be installed with speed limiters, which restrict their maximum speed to 60 km per hour. Tipper trucks, prime movers, tankers and public service buses are covered under this requirement. Vehicle owners are responsible for installing and maintaining the speed limiter in their vehicles.
Despite this, many heavy vehicles are still involved in speeding violations, which suggests that the speed limiters have either malfunctioned or have been tampered with. In the first six months of 2013, the Traffic Police (TP) detected 1,766 speeding violations by Singapore-registered vehicles, an increase from 517 violations recorded over the same period last year. To address this, we announced in May this year that vehicles which are fitted with speed limiters but are found speeding would be required to undergo additional speed limiter inspection checks. This is on top of the annual vehicular inspection mandated by the Land Transport Authority. TP has informed the industry of the enhanced inspection regime, which will take effect from 1 November 2013.
Under the enhanced regime, vehicles caught speeding for the first and second time will be subjected to six-monthly inspections for a period of two years. Those caught speeding for the third time and beyond will be subjected to three-monthly inspections for two years. The additional checks will ensure that the speed limiters are functioning properly and deter tampering.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Detention of Global Soccer Match-fixing Suspects","subTitle":null,"sectionType":"WA","content":"4 Ms Sylvia Lim asked the Deputy Prime Minister and Minister for Home Affairs what are the specific justifications for detaining four suspects of global soccer match-fixing under the Criminal Law (Temporary Provisions) Act rather than prosecuting them through the courts for corruption offences.
Mr Teo Chee Hean: The Criminal Law (Temporary Provisions) Act (CLTPA) provides powers for the Minister for Home Affairs to issue Detention or Police Supervision Orders against persons associated with activities of a criminal nature if he is satisfied that this is necessary in the interests of public safety, peace and good order. We have used the CLTPA as a last resort in cases where accomplices and witnesses dare not testify against criminals in court, for fear of reprisal. The CLTPA is used against criminal syndicates and organised groups involved in serious crimes, such as secret society activities, drug trafficking and unlicensed moneylending.
The same considerations for using the CLTPA were taken into account when Minister issued the Detention Orders against the four members of this criminal group involved in global soccer match-fixing activities. Like drug-trafficking and unlicensed moneylending, illegal soccer match-fixing activities are carried out by organised criminal syndicates with complex and layered structures motivated by financial gain. Witnesses able to provide testimony against the syndicate are unwilling to do so.
Additionally, where cross-border illegal activities are involved, the difficulties of securing evidence and witnesses willing to cooperate and testify against the syndicate in open Court are amplified.
Given these circumstances, the Minister for Home Affairs issued Detention Orders on 2 October 2013 to four persons involved in the case. The four persons have been informed of their grounds of detention. As provided for under the CLTPA, their cases will be heard by an independent Criminal Law Advisory Committee (CLAC). These CLACs comprise former judges and experienced lawyers in private practice. They will each appear before a CLAC and can be represented by counsel at the hearing. The CLAC will then submit a report to the President with its recommendations. The President, acting on the advice of Cabinet, may then confirm, cancel or vary the Orders.
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As the process is still ongoing, we are not able to provide further information on the four cases.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Goods and Services Tax on MediShield Premiums","subTitle":null,"sectionType":"WA","content":"5 Mr Christopher de Souza asked the Deputy Prime Minister and Minister for Finance (a) what is the rationale for imposing the Goods and Services Tax on MediShield premiums; and (b) whether the Ministry will consider waiving this tax, particularly for the elderly or low-income workers.
Mr Tharman Shanmugaratnam: We have a broad-based GST system, with minimal exemptions. We have chosen this approach so as to keep the GST rate relatively low, while we help the lower-income group through subsidies and grants that are targeted at benefiting them.
In healthcare, we provide significant subsidies to Singaporeans who are less well-off. We also absorb the GST for all subsidised patients, whether in polyclinics, public hospitals or the intermediate and long-term care sector. In effect, a subsidised patient in a hospital will have GST deducted from his total bill, regardless of whether it is paid by MediShield, MediSave or cash.
Further, the Government's assistance to our lower-income and elderly Singaporeans through the GST Voucher (GSTV) and Workfare Income Supplement (WIS) includes top-ups to their Medisave accounts. Lower-income and elderly residents are, therefore, getting help to pay for their MediShield premiums and other medical expenses.
For example, a retiree household in a 3-room flat can receive a total of $500 in GSTV – Medisave a year which covers more than 40% of their current MediShield premiums. This year, with the GSTV – Medisave Special Payment, and the one-off $200 Medisave top-up for all older Singaporeans, the total Medisave top-up for the household will be $1,400, which will more than offset their MediShield premiums.
Likewise, a typical working, lower-income household in a 3-room flat can receive more than $500 in MediSave benefits a year through their Workfare payouts. This will more than offset the household’s total MediShield premiums.
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With the introduction of MediShield Life, which will provide universal coverage and greater assurance for Singaporeans, further Government support will be provided to help older and less well-off Singaporeans pay their MediShield premiums and keep premiums affordable.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Waiver of GST on Medical Consumables for Kidney Dialysis","subTitle":null,"sectionType":"WA","content":"6 Mr David Ong asked the Deputy Prime Minister and Minister for Finance whether the Ministry will consider extending the waiver of GST on medical consumables for kidney dialysis to all patients instead of just those receiving treatment at Government-related organisations in view of the fact that many of those needing dialysis choose private dialysis not by choice but because of inadequate space or inability to meet certain conditions of VWO-run centres.
Mr Tharman Shanmugaratnam: We have a broad-based GST system, with minimal exemptions. We have chosen this approach so as to keep the GST rate relatively low, rather than have many exemptions and a higher GST rate. With this broad-based GST, our approach to helping the lower-income group is to do so through subsidies and grants that are targeted at benefiting them.
The Government provides means-tested Government subsidies, including an absorption of the GST payable, to lower- and middle-income dialysis patients in Government-funded dialysis centres which are run by Voluntary Welfare Organisations (VWOs). This approach is aligned to the treatment in other parts of the healthcare system, such as the intermediate and long-term care sector, where GST absorption is only provided to subsidised patients.
To ensure that dialysis treatment remains affordable for Singaporeans, the Government had recently extended these subsidies from the 30th percentile to the 67th percentile of households in April 2013. This has increased the number of dialysis patients receiving subsidies and GST absorption by around 40%.
There is generally adequate capacity within Government-funded VWO dialysis centres for subsidised dialysis patients, which already serve around two-thirds of the patient population today. However, we recognise that there could be certain regions where demand is higher, and will continue to work with Government-funded VWO dialysis centres to ensure that there is sufficient
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capacity to serve the subsidised dialysis population in these areas.
We acknowledge that there could be dialysis patients who are unable to seek treatment at these dialysis centres due to their specific medical conditions. Our VWO dialysis providers will, nonetheless, provide financial assistance to such patients where necessary.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Target Ratio for Public vs Business Expenditure on Research and Development","subTitle":null,"sectionType":"WA","content":"7 Mr Laurence Lien asked the Minister for Trade and Industry (a) what is the target ratio for Public Expenditure on Research and Development (PUBERD) to Business Expenditure on Research and Development (BERD); (b) whether the higher PUBERD to BERD ratio in the last three years compared to the previous three years is a cause for concern; and (c) how else is the Government measuring and tracking the outcomes of PUBERD.
Mr S Iswaran (for the Minister for Trade and Industry): Under the Research, Innovation and Enterprise 2015 (RIE2015) masterplan, the Government has committed to invest $16.1 billion between 2011 and 2015 to support research and development (R&D) in Singapore. This public expenditure on R&D (PUBERD), representing 1% of Singapore's GDP, is aimed at raising the overall gross expenditure on R&D (GERD) by catalysing private-sector R&D.
Our base of research and development capabilities has made Singapore an attractive location for MNCs to locate their R&D facilities. Over the last three years, companies, such as Applied Materials, Chugai Pharmaceuticals and Proctor & Gamble (P&G), have set up major R&D facilities in Singapore, and are collaborating with public-sector research performers, such as the A*STAR research institutes and our Universities.
The tapering of the business expenditure on R&D (BERD) to PUBERD ratio in the last three years, compared to the previous three years, is not necessarily a cause for concern. It is common for a country's BERD to experience short-term fluctuations, because BERD is dependent on macro-economic conditions, as well as individual companies' investment decisions. The effect of the latter is particularly pronounced in Singapore due to our small but growing R&D ecosystem. Over the past decade, while the ratio of BERD to PUBERD in
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Singapore has fluctuated between 1.5 and 2.5, absolute BERD has more than doubled, from $2.1 billion in 2002 to $4.6 billion in 2011. Over the last three years, BERD has grown at a compound annual growth rate (CAGR) of 11.5%, from $3.7 billion in 2009 to $4.6 billion in 2011.
Public R&D agencies are generally on track in the implementation of RIE2015 plans. Besides the growth in BERD, the Government tracks many other outcomes of our public R&D efforts, such as the research excellence of public-sector research performers, growth in public-private research collaborations, technology commercialisation and research manpower development.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Removal of 400-metre Running Track of Cedar Girls Secondary School","subTitle":null,"sectionType":"WA","content":"8 Mr Sitoh Yih Pin asked the Minister for National Development whether the Ministry can reconsider its decision to remove the 400-metre running track of Cedar Girls Secondary School when its lease expires in 2017.
Mr Khaw Boon Wan: We have carefully considered the Member's request with MOE and Singapore Sports Council.
Since 1995, the track and field site has been safeguarded as part of a larger area for residential development. In 2007, at the request of Cedar Girls' Secondary School, it was allowed to use the site on a temporary basis for 10 years, as there was no immediate need for the site. It was understood and agreed that the lease for use will be a temporary one and that when the lease expires in 2017, the site will be returned for the development of the new Bidadari Estate. It will provide 600 HDB flats, a road, a health and medical development and a place of worship.
When HDB recently exhibited its plans for the new Bidadari Estate at an exhibition, public feedback was overwhelmingly positive, with 96% of respondents in support of the plans. The new Bidadari Estate will have a 10-hectare park, a jogging path and a cycling track with a 20-metre wide linear park weaving throughout the estate. All residents and the local community, including the school, will be able to benefit from these new facilities.
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In view of the impending development, we are unable to allow the school to extend the lease of the site.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Non-compliance with Building Construction Restrictions by Companies Involved in Build-To-Order HDB Projects","subTitle":null,"sectionType":"WA","content":"9 Mr Ang Hin Kee asked the Minister for National Development (a) whether there have been violations or non-compliance with building construction restrictions by construction companies involved in Build-to-Order (BTO) HDB housing projects; (b) how many complaints related to noise disturbance from BTO construction projects have been lodged by residents in the last three years; and (c) whether the Ministry will explore new options to further minimise noise pollution arising from BTO housing construction projects.
Mr Khaw Boon Wan: All construction sites in Singapore have to comply with NEA's noise regulations. From 2010 to 2012, there were 93 violations of NEA noise control regulations by contractors of HDB projects. NEA fines contractors who commit such violations.
From 2010 to 2012, HDB received 170 cases of feedback from residents concerning construction noise. HDB has promptly attended to residents' feedback and taken further measures where possible to mitigate the construction noise.
Currently, HDB requires its contractors to implement a comprehensive Noise Management Plan to minimise noise nuisance to surrounding residents. HDB is also working closely with NEA and BCA to explore quieter methods of construction. These include using a new method to trim pile heads to reduce the amount of hacking required, and using Self-Compacting Concrete to eliminate the noisy process of compacting concrete, where feasible.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Greenprint Pilot Project in Jurong East","subTitle":null,"sectionType":"WA","content":"10 Mr Low Thia Khiang asked the Minister for National Development if he can provide an update on the first Greenprint pilot in Jurong East and whether the component of a rainwater harvesting system can be further developed for incorporation into planning guidelines to deal with flooding.
Mr Khaw Boon Wan: The HDB Greenprint was launched in October 2012 to bring sustainable living into existing public housing estates. These initiatives, which include energy and water-saving solutions, are being piloted in Jurong East.
The HDB Greenprint pilot at Jurong East has been making good progress. This year, HDB will carry out the installation of secured bicycle parking facilities, the Elevator Energy Regeneration System (EERS) and the Rainwater Harvesting System (RWHS). HDB will also construct underground pipes to transport waste into centralised bins. Over the next two years, the residents of Jurong East will see the construction of a new cycling track by LTA, the intensification of greenery within the estate and the installation of outdoor LED street lamps.
Currently, the RWHS piloted in Jurong East is primarily designed to collect rainwater from the rooftops of HDB blocks. The rainwater collected is non-potable and will be used for washing the common areas. There is scope to explore using the RWHS as a flood mitigating measure. HDB will study the feasibility further.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Use of Population Planning Parameter of 6.9 Million by 2030 in Development of New HDB Estates","subTitle":null,"sectionType":"WA","content":"11 Mr Low Thia Khiang asked the Minister for National Development whether the population planning parameter of 6.9 million by 2030 as outlined in the Population White Paper is being used in the development of new HDB housing estates and, if so, what is the targeted percentage of the population living in public housing by 2030.
Mr Khaw Boon Wan: The 6.9 million population scenario presented in the Population White Paper is a stretched scenario, which we use to plan for overall
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land and infrastructure, and not for the development of public housing estates alone.
This population scenario projects that Singapore's resident population will range between 4.2 and 4.4 million by 2030, of which citizens will make up 3.6 to 3.8 million, while the population of Permanent Residents is kept stable at between 0.5 and 0.6 million. The rest of the 6.9 million is made up of non-residents, who are transient and heavily dependent on our social and economic needs, as well as global conditions. This includes foreign workers who are largely housed in dormitories, foreign domestic workers and students.
In planning for public housing, MND/HDB ensures that our flat supply remains relevant and responsive to the housing needs and preferences of our resident population. There is no target in terms of the percentage of the population living in public housing by 2030.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Interim Estate Upgrading Programme","subTitle":null,"sectionType":"WA","content":"12 Ms Sylvia Lim asked the Minister for National Development whether the Interim-Estate Upgrading Programme announced as a three-year pilot project in 2009 has been extended or is still in force and, if so, till when.
Mr Khaw Boon Wan: We launched the Interim Estate Upgrading Programme (I-EUP) in 2009 as a pilot, to provide small scale upgrading works in private estates. It complements the main Estate Upgrading Programme (EUP).
Initially scheduled to take place over three years, the I-EUP pilot is now implemented over three batches. This is to accommodate more requests from the residents, and for the public agencies to evaluate and approve the proposals for implementation.
The I-EUP pilot is expected to conclude by the end of 2015. We will then review the outcomes of the pilot and decide if it should be continued.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Lift Upgrading Plans for HDB's Multi-storey Car Parks","subTitle":null,"sectionType":"WA","content":"13 Dr Lam Pin Min asked the Minister for National Development if he will give an update on the lift upgrading plans for HDB's multi-storey car parks.
Mr Khaw Boon Wan: The entire Car Parks Lift Installation Programme will complete by 2017. We are giving priority to towns with a larger stock of such car parks without lift access. This includes Sengkang West where works in quite a number of the car parks will begin soon.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Development of New Senior Care Centres","subTitle":null,"sectionType":"WA","content":"14 Ms Lee Li Lian asked the Minister for Health with regard to the development of 39 new Senior Care Centres by 2016 (a) how many have opened so far; (b) what is the expected timeline for the remaining Senior Care Centres to be completed; (c) who are the operators of these Senior Care Centres; and (d) how are the locations of these Senior Care Centres chosen.
Mr Gan Kim Yong: Last September, the Government announced plans to develop 39 Senior Care Centres (SCCs) by 2016. These centres are integrated day eldercare facilities that provide a range of aged care services, such as day care, dementia day care, day rehabilitation and basic nursing services.
In the past year, we have opened three new SCCs9 – one each in the Central, Eastern and Northern regions. Three more SCCs will open within the next six months. These centres are operated mainly by voluntary welfare organisations or social enterprises. The remaining centres are expected to be completed by 2016.
The SCCs will be located within the community to be more accessible to seniors, taking into consideration several factors, such as the demographic profile in the area, the supply of and demand for eldercare services in the area, and the availability of suitable sites. We also consider whether the sites are accessible by public transport and have barrier-free access features.
We are also working with existing established providers of eldercare day services to expand their centres into full-fledged SCCs to provide a
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comprehensive range of services under one roof, where space allows. For new centres built by the Government, we will select operators based on a number of criteria, such as their proposed model of care and track record in providing aged care.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["9 : The three new SCCs are St Hilda's Community Services Centre in Tanjong Rhu (Central), St Luke's Eldercare Centre in Changkat (East) and Sree Narayana's Multi-service Centre in Woodlands (North)."],"footNoteQuestions":["14"],"questionNo":"14"},{"startPgNo":0,"endPgNo":0,"title":"MediShield Premiums Collected and Claims Paid in Last Five Fiscal Years","subTitle":null,"sectionType":"WA","content":"15 Ms Mary Liew asked the Minister for Health what is the amount of MediShield premiums collected and MediShield claims paid out in the last five fiscal years.
Mr Gan Kim Yong: Between 2008 and 2012, the amount of claims paid out by MediShield annually doubled, while the amount of premiums collected increased by about 40%. The claims paid out by MediShield are expected to further increase as the population ages and with the expansion of coverage to psychiatric, congenital and neonatal conditions from March 2013.
The following table shows the premiums collected, claims paid and required changes to reserves10 to fund future MediShield liabilities for the period from 2008 to 2012.
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As a not-for-profit and self-sustaining insurance scheme, MediShield premiums are actuarially calculated to cover all expected liabilities for current and future years, which include policyholders' claims and premium rebates to help policyholders with old-age premium affordability. A portion of the premiums collected is also set aside as reserves and capital, in line with the Monetary Authority of Singapore (MAS)'s Risk-Based Capital framework and risk requirements to keep the Fund solvent in case of adverse risks.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["10 : The insurance contract liabilities are determined based on the advice of the CPF Board's independent actuarial advisers, and in line with insurers' practice in Singapore."],"footNoteQuestions":["15"],"questionNo":"15"},{"startPgNo":0,"endPgNo":0,"title":"Age Profile of MediShield Policyholders","subTitle":null,"sectionType":"WA","content":"16 Mr Gerald Giam Yean Song asked the Minister for Health how many MediShield policyholders are currently in age ranges of (i) 0-20 years, (ii) 21-30 years, (iii) 31-40 years, (iv) 41-50 years, (v) 51-60 years, (vi) 61-65 years, (vii) 66-70 years, (viii) 71-73 years, (ix) 74-75 years, (x) 76-80 years, (xi) 81-83 years, (xii) 84-85 years and (xiii) 86-90 years.
Mr Gan Kim Yong: As at June 2013, 3.6 million members, or 93% of the resident population, were covered under MediShield. The breakdown of MediShield policyholders by age group is presented below.
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The maximum coverage age for MediShield was recently raised from 85 to 90 years in March 2013, in view of the increasing life expectancy of Singaporeans. As a next step, with the proposed move to MediShield Life, we will be studying enhancements to provide universal, lifetime coverage for all Singaporeans, including the most elderly.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Statistics on MediShield Coverage Limits","subTitle":null,"sectionType":"WA","content":"17 Mr Gerald Giam Yean Song asked the Minister for Health (a) in 2011 and 2012, how many MediShield policyholders reached the (i) $50,000 policy year limit and (ii) $200,000 lifetime limit; and (b) in 2013, how many MediShield policyholders are projected to reach the revised (i) $70,000 policy year limit and (ii) $300,000 lifetime limit.
Mr Gan Kim Yong: Fewer than 0.1% of MediShield policyholders reached the policy year and lifetime limits in 2011 and 2012. The breakdown is shown below.
The MediShield policy year and lifetime limits were recently increased in March 2013 from $50,000 to $70,000, and from $200,000 to $300,000 respectively. These enhancements will address concerns that an increasing number of policyholders will exceed the policy year and lifetime claim limits, with ageing and accumulation of claims over time.
As these limits were just raised in March 2013, we will monitor the trend in policyholders exceeding these new limits each year. Financial assistance will continue to be available for those who face difficulty with their medical bills at
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our public healthcare institutions.
As part of our study on moving towards MediShield Life to provide greater assurance for Singaporeans, the Ministry will continue to consider further enhancements to the scheme, including the policy year and lifetime limits.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Payments by MediShield Policyholders for Cumulative Basic Co-insurance","subTitle":null,"sectionType":"WA","content":"18 Mr Gerald Giam Yean Song asked the Minister for Health for each year from 2010 to 2012, how many MediShield policyholders paid cumulative MediShield Basic co-insurance amounts of (i) less than $6,000, (ii) $6,001 to $8,000, (iii) $8,001 to $10,000, (iv) $10,001 to $12,000 and (v) above $12,000.
Mr Gan Kim Yong: The table below shows the breakdown of annual co-payments for subsidised bills faced by MediShield policyholders from 2010 to 2012, based on the MediShield benefit design. The majority had annual cumulative co-payments, including the annual deductible, of less than $6,000.
Co-payment refers to the bill amount payable by the policyholder after Government subsidies, MediShield and payouts from third-party payers, such as employer benefits. The co-payment amount can be paid through MediSave and cash.
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19 Mr Zainal Sapari asked the Minister for Transport (a) since 2010, what is the number of vehicles, excluding motorcycles, of which the owners are fined for unauthorised installation of High Intensity Discharge (HID) headlamps; (b) how does LTA ensure that vehicles with HID headlamps come equipped with the auto-levelling feature; and (c) whether there has been cases of road accidents caused by the glare of HID headlamps used by vehicles on the road.
Mr Lui Tuck Yew: Since 2010, the owners of 28 vehicles per month on average, excluding motorcycles, have been fined for headlamp non-compliance, including the unauthorised installation of High Intensity Discharge (HID) headlamps. The available records from the Traffic Police indicate that there have not been any accidents since 2005 caused by drivers dazzled by light from other vehicles.
LTA requires all newly-registered vehicles with HID headlamps to be equipped with an auto-levelling feature, unless the headlamps are mounted lower and meet certain headlamp aim requirements. LTA ensures this through its vehicle type approval process that all vehicle models have to go through before they are cleared for import.
LTA's enforcement officers look out for vehicles fitted with very bright headlamps that do not comply with its requirements. Owners of non-complying vehicles are liable on conviction to a fine of up to $1,000, or a jail term of up to three months. In the case of a second or subsequent conviction, the offender shall be liable to a fine of up to $2,000, or a jail term of up to six months.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Complaints of Unruly Passengers by Female Taxi Drivers","subTitle":null,"sectionType":"WA","content":"20 Mr Ang Hin Kee asked the Minister for Transport (a) what are the top three complaints concerning unruly passengers that are lodged by female taxi drivers in the last three years; and (b) what are the solutions the Ministry has put in place to address the concerns of these female drivers who are providing a public transport service.
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Mr Lui Tuck Yew: All taxi drivers have the right to work in a safe environment, free from crimes, such as verbal and physical abuse, injury, outrage of modesty and robbery.
Taxi companies have installed panic buttons in their taxis for emergency purposes. A taxi driver in distress can activate the button to alert his taxi company's call centre, which would then communicate with the driver to check on the situation. Most call centres are also able to identify the location of the taxi through their GPS system, and alert taxi drivers in the vicinity and the Singapore Police Force if further assistance is required.
Despite the precautions in place, taxi drivers must still exercise vigilance. The number of cases reported by female taxi drivers against unruly passengers has been low. Over the last three years, four out of a total of 50 reported cases were from female drivers. Two were for robbery and the other two were for outrage of modesty. LTA will continue to work with the taxi companies and the Police to improve the safety of taxi drivers against unruly passengers.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Statistics on Children Exempted from Compulsory Education","subTitle":null,"sectionType":"WA","content":"21 Assoc Prof Tan Kheng Boon Eugene asked the Minister for Education (a) since 2003, what is the average number of children in each of the categories of (i) attendance at designated schools, (ii) receiving home-schooling and (iii) children with special needs granted exemption from compulsory education; (b) what is the average number of students from designated schools and home-schooled children annually who do not meet the required PSLE benchmark; and (c) what is the average percentage of unsuccessful applications for exemption from compulsory education since 2003.
Mr Heng Swee Keat: Since the implementation of the Compulsory Education (CE) Act in 2003, an average of around 450 children were exempted each year because of their special education needs; an average of around 50 each year because they were home-schooled; and an average of around 300 children each year because they were enrolled in a designated school.
Students enrolled in designated schools or receiving home-schooling are required to sit the Primary School Leaving Examination (PSLE) and meet their
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respective benchmarks. This is to ensure that these designated schools and home-schooling parents have been able to provide a baseline foundation in their academic education that allows these students to access further and lifelong learning. The first CE-exempted cohort sat for their PSLE in 2008.
The PSLE benchmark for designated schools is defined for the school, rather than for each student – one designated school has to-date been affected by not meeting the benchmark set for them. Each year, one in three home-schoolers who sat for the PSLE did not meet their benchmark.
All children who enrol in a designated school, or whose parents provide documentary proof of their child's special needs, are exempted from CE. Parents who want to home-school their children are required to provide information on the curriculum of their home-schooling programme and demonstrate that they have the requisite resources and educational qualifications to adequately take on the role of educating their child full-time. The average percentage of unsuccessful home-schooling applications has been below 1%.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Percentage of Students Taking Mother Tongue Language at Higher Level at PSLE and O-levels","subTitle":null,"sectionType":"WA","content":"22 Assoc Prof Tan Kheng Boon Eugene asked the Minister for Education for each mother tongue language (MTL), what is the percentage of students taking MTL at the higher level at the PSLE and \"O\" Level examinations in the last 10 years.
Mr Heng Swee Keat: MOE aims to enable students to learn the Mother Tongue Languages (MTL) to as high a level as they could. For students with the ability, aptitude and interest in MTL, MOE's approach is to help them achieve higher levels of language proficiency and cultural knowledge.
Over the last 10 years, there has been an increase in the percentage of students offering Higher Mother Tongue Languages (HMTL) at PSLE and \"O\" Level. In 2003, 17.6% and 16.3% offered Higher Mother Tongue at PSLE and \"O\" Level respectively. In 2012, the percentage increased to 23.1% at PSLE and 26.9% at \"O\" Level.
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For Higher Chinese at PSLE and \"O\" Level, the percentage of students offering this subject has increased from 21.6% to 27.4% and 18.2% to 30.1% respectively. For Higher Malay at PSLE and \"O\" Level, the percentage has increased from 5.7% to 7.1% and 8.3% to 10.7% respectively. For Higher Tamil at PSLE and \"O\" Level, the percentage has increased from 15.1% to 21.4% and 11.5% to 24.7% respectively.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Average and Median Household Incomes of Students Who Qualified for Direct School Admission","subTitle":null,"sectionType":"WA","content":"23 Ms Janice Koh asked the Minister for Education over the past five years, (a) what has been the average and median household incomes for students who qualify for Direct School Admission (DSA); and (b) what are the breakdowns on household incomes and types of housing for students who qualify for DSA.
Mr Heng Swee Keat: MOE does not track the household income of students admitted via the Direct School Admission (DSA) scheme. Around 60% of the students who were admitted via DSA over the last five years live in HDB flats. This proportion has increased by around five percentage points over the last five years.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Annual Government Expenditure on Education vis-a-vis OECD Average","subTitle":null,"sectionType":"WA","content":"24 Ms Janice Koh asked the Minister for Education how does Singapore's annual Government expenditure on education compare with the OECD average and countries that score high on the Programme for International Student Assessment (PISA), such as Japan, South Korea, Australia and New Zealand.
Mr Heng Swee Keat: The Government invests significantly in education to provide every child the opportunity to develop to his fullest potential. Expenditure on education has increased over the past five years by 40% – from $7.5 billion in FY2007 to $10.5 billion in FY2012, equivalent to 3.1% of our GDP, and accounting for more than 20% of Government expenditure.
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While OECD countries and other top performing education systems, as measured by PISA, spend between 4%-7% of GDP on education, but because their governments tax and spend more as a percentage of GDP, expenditure on education makes up, on average, only about 13% of their government expenditure – significantly less than Singapore.
Beyond input factors, we also need to focus on educational outcomes. Recent OECD findings show that higher expenditure does not guarantee better student performance. The key to good outcomes for our students lies in the quality of teachers and the effective deployment of resources across the system.
For example, Singapore students were ranked fifth in Reading, second in Mathematics and fourth in Science in the most recently published PISA results (2009), performing better than the OECD average, despite Singapore spending a lower percentage of GDP on education.
More importantly, more than 95% of our students progress on to post-Secondary education institutes (PSEIs), building on the strong foundations acquired in 10 years of good quality basic education.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"New Running Track for Cedar Girls Secondary School When Current One is Removed","subTitle":null,"sectionType":"WA","content":"25 Mr Sitoh Yih Pin asked the Minister for Education whether the Ministry can consider providing Cedar Girls Secondary School with a new 400-metre running track when its current track is removed in 2017.
Mr Heng Swee Keat: When Cedar Girls' Secondary School was relocated to its current site in 1995, it asked to make use of the old 400-metre running track adjacent to its compounds as a temporary sports facility. Permission was granted since there was no immediate use for the land on which the old 400-metre running track was on. With the plans to develop Bidadari Estate confirmed, the school was informed that this temporary arrangement would cease in 2017.
Secondary schools are provided with a standard set of sports facilities that include an indoor sports hall, school field, outdoor fitness areas and courts for basketball and volleyball. These facilities are sufficient to meet the curriculum
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for physical education and sports. For additional sporting needs, schools will usually make use of sporting facilities in the community. In this case, the school can make use of the 400-metre running tracks in the nearby Singapore Sports Council's stadiums in Toa Payoh and Serangoon.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Students Benefiting from Expansion of Edusave Scheme","subTitle":null,"sectionType":"WA","content":"26 Assoc Prof Fatimah Lateef asked the Minister for Education with the expansion of the Edusave Scheme as announced in August 2013, how many more students will benefit in the respective categories of madrasah students, home-schooled children and children studying overseas.
Mr Heng Swee Keat: With effect from 2014, Edusave Contributions (EC) will be extended to all children who are Singapore Citizens (SC) aged seven to 16. This expansion will benefit around 300 SC children per cohort enrolled in the madrasahs, around 50 SC home-schooled children per cohort, and around 1,500 SC children per cohort residing overseas.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Student-Teacher Ratio in Primary and Secondary Schools","subTitle":null,"sectionType":"WA","content":"27 Mr Christopher de Souza asked the Minister for Education (a) what is the current ratio of students to teachers in (i) Primary and (ii) Secondary schools; (b) what efforts are being taken to reduce this ratio further; and (c) what further steps, if any, are being taken to alleviate teachers of ancillary administrative work to enable them to focus their attention on teaching.
Mr Heng Swee Keat: Our efforts to grow our teaching workforce have seen our pupil-teacher ratios (PTRs) improve from 26 in 2000 to 18 in 2012 for Primary schools, and from 19 in 2000 to 14 in 2012 for Secondary schools. This means that we now have one teacher for every 18 students in our Primary schools, and one teacher for every 14 students in our Secondary schools. Our PTRs are comparable to the OECD average of 15 and 14 for Primary and Secondary schools respectively.
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We have been recruiting and training on average about 2,500 new teachers per year over the past decade. Having invested significantly in the recruitment and training of some of our best talents as teachers, we are now focused on developing each teacher to be better at what he or she does.
We have also adopted a needs-based approach to resourcing, by deploying more teachers in schools and areas where they can contribute most to the learning of our students. For example, rather than to use the recent increase in teachers to reduce the class size for all students, we are deploying more teachers to support levelling-up programmes for low progress learners, with class sizes of 10 or less students.
To enable our teachers to pay more attention to the teaching and learning of our students, schools are also provided with Allied Educators (AEDs) and a school administrative team. We now have 2,500 AEDs to assist our teachers. The AEDs support teachers in teaching and learning, and provide behavioural, social and emotional support to students while the school administrative team assists teachers in administrative duties.
We have also been exploring the use of technology to reduce the administrative duties on our teachers, for example, in attendance taking or fees collection.
Nevertheless, we will continue to monitor the administrative workload of our teachers and ensure that our schools are adequately resourced to meet the needs of our students.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"International Child Abduction Act since Its Enactment","subTitle":null,"sectionType":"WA","content":"28 Ms Ellen Lee asked the Minister for Social and Family Development since the enactment of the International Child Abduction Act (a) which are the contracting states that the central authority has been in contact with to request the return of a child; (b) what difficulties has the central authority encountered; and (c) how many countries have yet to agree to reciprocate in giving due recognition to Singapore as a contracting state and which countries are these.
29 Ms Ellen Lee asked the Minister for Social and Family Development (a) since the enactment of the International Child Abduction Act on 1 March 2011,
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how many cases have applied to the central authority for assistance to return a child; (b) what are the nationality, habitual place of residence, gender, age and occupation respectively of these applicants, their spouses and their children; (c) how many cases are successful and unsuccessful respectively and what are the reasons; and (d) what is the average time that the applicants have to wait before their children are returned to them.
Mr Chan Chun Sing: Since Singapore's accession to the Hague Convention on the Civil Aspects of International Child Abduction in December 2010, 30 out of the 90 Contracting States have declared their acceptance of Singapore’s accession and entered into a Convention relationship with Singapore.
Since the enactment of the International Child Abduction Act in Singapore, the Singapore Central Authority (SCA) has handled four cases where the child was wrongfully removed from Singapore and one case where the child was wrongfully retained in Singapore. Most applicants and their children were of foreign nationalities. Countries involved include France, Germany, the Hong Kong Special Administrative Region and the United States of America. The cases were addressed within an average of about 2.5 months, in accordance with the Convention's objectives, namely, to secure the prompt return of children wrongfully removed to or retained in any Contracting State, and protecting the best interests of children.
The SCA also received requests from citizens of countries which were either not signatories to the Hague Convention or have yet to declare their acceptance of Singapore's accession to the Convention. For such requests, the SCA assisted by providing information on the legal process in Singapore, counselling services for those who required emotional support, and seeking information from the overseas central authorities on other options available for their citizens.
As a fairly new Contracting State, Singapore will continue to engage and learn from other jurisdictions on the best practices with regard to fulfilling the international obligations under the Convention.
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30 Mr Seah Kian Peng asked the Minister for Social and Family Development (a) for each of the years from 2011 to 2013 (to date), what has been the range of payouts to parents who file for maintenance under the Maintenance of Parents Act; (b) what is the average amount granted by the Tribunal for the Maintenance of Parents; and (c) of those making these payments, what is the percentage who earn less than $2,500 per capita in the household.
Mr Chan Chun Sing: Since 2011, all parents applying for maintenance are required to undergo conciliation. If conciliation is unsuccessful, the parent can proceed to file a claim for a Maintenance Order against their children at the Tribunal for the Maintenance of Parents. In making its decision, the Tribunal takes into consideration the financial needs and resources of both parent and child. If the Tribunal is satisfied that the parent had abandoned, abused or neglected the child, it may dismiss the application or reduce the quantum of maintenance ordered.
The maintenance payments ordered by the Tribunal between 2011 and August 2013 ranged from $100 to $1,200 a month, with more than 90% receiving $600 or below. The average was about $300 per month. The year-to-year variation during the period was not significant.
About 85% of those ordered to pay maintenance came from households who earned less than $2,500 per capita income.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Funeral Expenses of Persons Who Die Alone without Any Family Members","subTitle":null,"sectionType":"WA","content":"31 Mr Seah Kian Peng asked the Minister for Social and Family Development (a) who takes care of the funeral expenses of persons who die alone without any family members; (b) what about those on public assistance; and (c) what percentage of cases is taken care of by funeral directors as a form of charity.
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Mr Chan Chun Sing: MSF does not have data on the questions raised. Persons who die alone without any family members reside in different settings. For those residing in facilities run by voluntary welfare organisations, Government-run homes or hospitals, arrangements on the funeral rites are usually made by the respective organisations.
As for those living alone in their own homes, the arrangements and expenses are mostly taken care of by the community, sometimes with assistance from the Government. We have seen many kind neighbours, grassroots leaders, funeral homes and members of the public assisting with and making donations towards such arrangements. They may also approach the Social Service Offices or Community Development Councils if they require assistance or help with the funeral expenses.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Complaints of Child Abuse or Alleged Abuse by Teachers or Staff at Childcare Centres and Kindergartens","subTitle":null,"sectionType":"WA","content":"32 Mr David Ong asked the Minister for Social and Family Development (a) whether the number of complaints of child abuse or alleged abuse by teachers or staff at childcare centres and kindergartens has been rising over the last two years; (b) how many of such cases are reported each year; and (c) whether the Ministry will consider mandatory installation of CCTVs at all childcare centres.
Mr Chan Chun Sing: The Early Childhood Development Agency (ECDA) regularly receives a range of complaints of child mismanagement. Prior to the formation of ECDA, these were directed to MSF and MOE.
All complaints were investigated. The vast majority were found to be cases of miscommunication, misunderstandings or lapses, not wilful negligence or harm. Between 2011 and 2012, there was an average of seven cases per year showing evidence of child mismanagement by teachers. There was no upward trend. Action was taken against the pre-schools and early childhood teachers in question. The numbers show that the vast majority of operators and teachers are mindful of their responsibilities and discharge their duties diligently.
Many considerations go into whether we should install CCTVs in all childcare centres. CCTVs can be useful to screen visitors for security reasons,
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or serve as verification when the facts of an incident are disputed. However, we should take care to ensure trust and partnership between teachers and parents. Regardless of the presence of CCTVs, the values and professional conduct of all caregivers, including parents and teachers, are of utmost importance to the proper supervision and holistic development of our children.
ECDA will continue to review how standards and practices in our pre-school system can be further strengthened in areas, such as regulation, teacher training and support, physical design of centres and deployment of technology.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Singapore as Signatory to United Nations Convention on Rights of Child","subTitle":null,"sectionType":"WA","content":"33 Mr Laurence Lien asked the Minister for Social and Family Development in view of Singapore being a signatory to the United Nations Convention on Rights of the Child, whether the Government will consider (a) covering youths between ages of 16 and 18 under the Children and Young Persons Act; (b) setting the age of criminal responsibility of children at above seven years old; (c) prohibiting corporal punishment in institutional settings; and (d) improving access to health care and education for all children who are stateless or who have a Singaporean parent but are foreign citizens.
Mr Chan Chun Sing: The United Nations Convention on the Rights of the Child defines a child as below 18 years of age. Under the Children and Young Persons Act, a child or young person is a person aged below 16 years.
Notwithstanding the different legal age definitions, Singapore is committed to protecting and rehabilitating children and young persons, including those above 16 years old. There are legislative provisions to protect older youth. For example, the Penal Code provides protection against commercial sexual exploitation for all persons below 18 years of age and the Women's Charter provides protection for girls and women who are or may be sexually exploited. For older youth who commit an offence, there are services and programmes in place that take a restorative instead of a punitive approach. These include court diversionary measures that redirect first-time young offenders up to 19 years who commit minor offences to voluntary rehabilitation programmes, and alternative sentencing options, such as Probation and Community Service
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orders.
Although the minimum age of criminal responsibility in Singapore is seven, children below 12 years of age will not be considered to have committed an offence if they are judged to be of insufficient maturity to understand the consequences of their conduct.11 The main priority for very young offenders is to provide early intervention to prevent their behaviour from escalating to serious delinquency. Rehabilitation options are available in both the community and in residential settings, depending on the needs of each child.
Corporal punishment in correctional institutions and in schools is sparingly used and for very serious offences only. It is meted out only as a last resort after counselling and alternative disciplinary methods have repeatedly failed. There are clear procedures in place for meting out caning, to safeguard the safety and longer-term mental and physical well-being of the child. The punishment is usually followed up with counselling to help the offenders/students learn from their mistakes, accept the consequences and learn that they must take responsibility for and control their actions.
Foreign children with a Singapore parent can currently apply to be educated in local or international schools and access healthcare services. They, however, do not enjoy the same level of healthcare and education subsidies as citizen children. Families in such circumstances can take steps to apply for Singapore citizenship for the child or formalise parental rights so as to secure care arrangements in the best interests of the child.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["11 : The Penal Code (Cap 224) section 82. Nothing is an offence which is done by a child under seven years of age. ","Section 83. Nothing is an offence which is done by a child above seven years of age and under 12, who has not attained sufficient maturity of understanding to judge the nature and consequence of his conduct on that occasion."],"footNoteQuestions":["33"],"questionNo":"33"},{"startPgNo":0,"endPgNo":0,"title":"Daily Average of Non-residents in Singapore over Past 12 Months","subTitle":null,"sectionType":"WA","content":"34 Mr Gan Thiam Poh asked the Acting Minister for Manpower for the past 12 months, what is the daily average number of non-residents who are in
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Singapore as (i) social visit pass holders visiting their relatives; (ii) dependants of Singapore citizens/PRs/work pass holders; (iii) student pass holders who are studying in Government-funded and private educational institutions respectively; (iv) Work Permit holders, excluding foreign domestic workers; (v) foreign domestic workers; (vi) S Pass holders; (vii) Employment Pass holders; (viii) EntrePass holders; and (ix) tourists for business and leisure purposes.
Mr Tan Chuan-Jin: As the statistics requested fluctuate on a daily basis, we have provided the statistics as at end June 2013. Our non-resident population was 1.55 million, and the breakdown12 is below:
In the month of June 2013, there were 1,261,00013 international visitor arrivals.14
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":["12 : Source: Singapore Department of Statistics and Ministry of Manpower.","13 : Source: Singapore Tourism Board.","14 : We do not have the breakdown of international visitor arrivals by purpose of visit."],"footNoteQuestions":["34"],"questionNo":"34"},{"startPgNo":0,"endPgNo":0,"title":"Transfer of CPF Funds from Ordinary Account to Retirement Account","subTitle":null,"sectionType":"WA","content":"35 Ms Irene Ng Phek Hoong asked the Acting Minister for Manpower with regard to the transfer of CPF funds from the Ordinary Account to the Retirement Account (a) how many appeals a year has the Ministry received for the last five years from those directly affected by the transfer and, of these, what percentage of the appeals relates to (i) housing loan repayment (ii) education and (iii) medical bills; and (b) what percentage of the appeals is successful.
Mr Tan Chuan-Jin: When a CPF member turns age 55, his savings in his CPF Ordinary Account (OA) and Special Account (SA) will be used to set aside the Minimum Sum (MS) in his Retirement Account (RA). Members may use their RA savings in excess of half the Minimum Sum for housing. This is to ensure members have at least some level of cash savings for their expenses in retirement. Most members are familiar with this rule, and have planned ahead so that they would not be affected by the transfer of OA monies to the RA. CPF Board also sends letters to inform these members two months in advance, and holds seminars to explain what happens when they reach 55 years of age.
There is a small group of members who may face difficulty in financing their housing instalments or appeal to use their RA monies to finance their child's tertiary education after their OA savings have been transferred to their RA at age 55. We have approved such appeals on a case-by-case basis. As for use of RA for medical expenses, this question ought not arise because OA savings cannot be used for medical bills in the first place. MediSave savings are set aside for this purpose and are not affected by the OA to RA transfer at 55.
We have been receiving about 200-500 appeals related to housing and education annually, in recent years, from members who were affected by the transfer of their OA savings to RA. A large majority, about 98% of these appeals, are related to housing, and among these appeals, about 65% are successful.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Compassionate Leave for Demise of Immediate Family Members","subTitle":null,"sectionType":"WA","content":"36 Er Dr Lee Bee Wah asked the Acting Minister for Manpower whether the Ministry will consider making it compulsory for companies to grant compassionate leave to all employees for the demise of immediate family members, including grandparents and great-grandparents.
Mr Tan Chuan-Jin: The Employment Act seeks to ensure reasonable employment standards while balancing businesses' need to stay competitive. We are always mindful of the need for protection, welfare and how it can impact worker's employability if overdone.
We have recently introduced a series of statutory family-related leave schemes on 1 May 2013, as part of the Marriage and Parenthood package. These are positive steps for employees and we should allow time for businesses to adjust and adapt. At this stage, we do not have plans to legislate any new family leave schemes.
Nevertheless, as part of the tripartite dialogue, the tripartite partners have come out with the Guidelines on Best Work-Life Practices to encourage companies to grant non-statutory leave to employees, such as compassionate leave, where business operations permit. We are heartened to note that even without legislation, nine in 10 companies (89%) already provide compassionate leave, based on MOM's survey in 2012.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"CPF Savings of Self-employed Persons","subTitle":null,"sectionType":"WA","content":"37 Mr Ang Hin Kee asked the Acting Minister for Manpower (a) whether the Ministry has assessed if the CPF savings of taxi drivers under the Drive and Save Scheme have improved and reached an adequate level; and (b) whether the Ministry will consider implementing a dollar-for-dollar matching CPF contribution for taxi drivers under the Drive and Save Scheme to enhance their MediSave savings and ability to pay premiums under the new MediShield Life.
38 Mr Ang Hin Kee asked the Acting Minister for Manpower (a) whether the Ministry has assessed if the CPF savings of self-employed individuals, such as tour guides, tuition teachers and freelance trainers are adequate; and (b) whether the Ministry will consider replicating the Drive and Save Scheme
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adopted by taxi drivers to other self-employed individuals to help them save more in their CPF.
Mr Tan Chuan-Jin: Self-employed persons (SEPs) are required to contribute to their MediSave Accounts to save for their healthcare needs. The median MediSave balance of SEPs who are not concurrently employees has been increasing steadily at an average annual rate of 10% over the past five years, from $12,000 in 2008 to $18,000 in 2012.
In 2012, 84% of the SEPs made their MediSave contributions or are on instalment plans for their MediSave contributions. To encourage more SEPs to make timely and regular MediSave contributions, the CPF Board reaches out to SEPs via annual mailers and road shows, and facilitates arrangement for those who wish to make their MediSave contributions via instalments. The CPF Board has also partnered several Licensing Authorities (LAs), to ensure that their licensees contribute to MediSave.
The industry associations or companies can also play an important role in encouraging their SEPs to contribute to their MediSave. Under the Drive and Save Scheme initiated by the National Taxi Association and implemented in 2011, taxi drivers who contribute at least $15 a month to their MediSave Accounts will receive a MediSave co-contribution of $15 a month from their taxi companies. Between 2011 and 2012, about 17,000 taxi drivers have benefited from $5.9 million of co-contributions from the taxi companies. The taxi drivers themselves have also been contributing more. The average annual Medisave contributions made by the taxi drivers who are participants of the scheme in 2012 is $940. This is a significant improvement from their average annual MediSave contributions of $660 in 2010, before the scheme was introduced.
There are other examples of industry-led initiatives. The Woodlands Transport Services launched a similar Serve-and-Save Scheme last year. In the insurance industry, AIA, with its Earn-and-Save Scheme, credits a portion of the agents' commissions into their MediSave Accounts. We encourage more industry associations and companies to take on an active role in enhancing the welfare of their SEPs.
Nonetheless, it remains important for SEPs to see it as their personal responsibility to save for their healthcare needs via MediSave. The Government provides support through measures, such as the Workfare Income Supplement (WIS) and MediSave top-ups. The maximum WIS payouts for low-income SEPs were recently raised in 2013, by 25% to 50% depending on age group. Ninety percent of the WIS is paid directly into the SEPs' MediSave Accounts. The higher WIS quantum, together with the announced increase in MediSave
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contribution rates for low-income SEPs from 2014, will further boost SEPs' MediSave savings. I would also like to assure members that the Government will take steps to ensure the affordability of MediShield Life premiums for lower-income Singaporeans.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Compulsory Community Mediation and Inter-Ministry Framework","subTitle":null,"sectionType":"WA","content":"39 Assoc Prof Fatimah Lateef asked the Acting Minister for Culture, Community and Youth whether there are updates on the Ministry's review to consider compulsory mediation for community-related disputes.
40 Mr Alex Yam asked the Acting Minister for Culture, Community and Youth in respect of a proposed Inter-Ministry framework for compulsory community mediation for disputes (a) whether public consultations have begun; (b) what progress has been made to date on the design of the framework; and (c) when will the framework be put in place.
Mr Lawrence Wong: The Inter-agency Committee for Community Dispute Management started work and began stakeholder consultation on a framework for managing community disputes in July 2013.
In developing the framework, one guiding principle is to uphold good neighbourly relations, and to ensure that residents take the responsibility to try to settle private disputes amicably among themselves first. This means that greater effort needs to be placed on strengthening neighbourly ties, and developing a culture of civic-mindedness and consideration for others so as to reduce the incidences of private disputes.
When third-party intervention is needed, mediation should be tried before resorting to legal means, since most disputing parties will still have to remain neighbours. The usefulness of a community-based approach, such as mediation, is borne out by the fact that approximately 70% of cases mediated at the Community Mediation Centre have had successful outcomes.
At the same time, we recognise that there are intractable cases where individuals are victims of highly inconsiderate neighbours. These cases may not be easily resolved through voluntary community mediation. Hence, we plan to strengthen the legal and enforcement mechanisms to deal with such cases. In doing so, we are mindful of the risks of abuse, as an unreasonable party could use such mechanisms to victimise others, and this could lead to an escalation of the quarrels. Safeguards are, therefore, required to manage unreasonable
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complainants.
MCCY intends to embark on wider public consultations on the community dispute resolution framework, before we finalise and implement it next year.
","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null},{"startPgNo":0,"endPgNo":0,"title":"Expenses in Support of Singapore's Candidate for Presidency of International Olympic Committee","subTitle":null,"sectionType":"WA","content":"41 Ms Sylvia Lim asked the Acting Minister for Culture, Community and Youth to what extent are public funds and resources expended to support the campaign of the Singaporean candidate for the 2013 election for the Presidency of the International Olympic Committee.
Mr Lawrence Wong: The International Olympic Committee (IOC) is a non-governmental international organisation. IOC recruits and elects its own members, who, in turn, represent the IOC in their respective countries. Mr Ng Ser Miang, like other candidates, ran for the Presidency in his capacity as an individual member of the IOC. No public funds were expended to support his campaign.
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","clarificationText":null,"clarificationTitle":null,"clarificationSubTitle":null,"reportType":null,"questionCount":null,"footNotes":null,"footNoteQuestions":null,"questionNo":null}],"writtenAnswersVOList":[],"writtenAnsNAVOList":[],"annexureList":[],"vernacularList":[{"vernacularID":139,"sittingDate":null,"vernacularTitle":"Vernacular Speech by Mr Teo Siong Seng","filePath":"d:/apps/reports/solr_files/20131021/vernacular-New Template - Teo Siong Seng.pdf","fileName":"New Template - Teo Siong Seng.pdf"},{"vernacularID":140,"sittingDate":null,"vernacularTitle":"Vernacular Speech by Mr Teo Ser Luck","filePath":"d:/apps/reports/solr_files/20131021/vernacular-New Template - Teo Ser Luck.pdf","fileName":"New Template - Teo Ser Luck.pdf"}],"onlinePDFFileName":""}