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PERMISSION TO MEMBER TO BE ABSENT Under the provisions of clause 2 (d) sitting of Parliament today, the 5th of Article 30 of the Constitution of Singapore August, I have granted permission to Mr Lee Kuan Yew (Tanjong Pagar), Speaker, Prime Minister, to be absent from the sitting of Parliament today, the 5th August,1971. YEOH GHIM SENG Speaker, Parliament of Singapore
ORAL ANSWERS TO QUESTIONS - 1972 WORLD BADMINTON TOURNAMENT - (Selection of national team for training) asked the Minister for Social Affairs if a national badminton team has been selected for training in preparation for the 1972 World Badminton Tournament.
ORAL ANSWERS TO QUESTIONS - 1972 WORLD BADMINTON TOURNAMENT - (Selection of national team for training) Mr Speaker, Sir, the Singapore Badminton Association has been advised by the International Badminton Federation that the project to hold the World Badminton Tournament in 1972 has been postponed indefinitely, and will not be held in 1972 as envisaged. The Member may wish to know that active consideration is being given to a systematic and continuous training scheme to promote badminton in Singapore and to the training of a national badminton team.
ORAL ANSWERS TO QUESTIONS - 1972 WORLD BADMINTON TOURNAMENT - (Selection of national team for training) Mr Speaker, Sir, can the Parliamentary Secretary say whether the National Sports Promotion Board has engaged a professional coach to train our national team?
ORAL ANSWERS TO QUESTIONS - 1972 WORLD BADMINTON TOURNAMENT - (Selection of national team for training) Mr Speaker, Sir, the N.S.P.B. has not engaged a coach because the Singapore Badminton Association already has a corps of experienced coaches to train the national team. All these coaches are volunteers. It may be desirable for the Singapore Badminton Association to consider engaging a professional coach at a later stage in order to bring up the standard of the players who are selected for the national team. Meanwhile, the present corps of coaches is also engaged in training several squads of selected badminton players who have the potential to make the grade for selection in the national team.
HOUSING ESTATES - (Setting up of creches) asked the Minister for Social Affairs if consideration is being given to setting up creches in the various large housing estates, and if one will be set up in or near the Kallang Housing Estate.
HOUSING ESTATES - (Setting up of creches) Mr Speaker, Sir, the Social Welfare Department operates 11 creches at the moment. The Jurong Town Creches, which was officially opened on 19th June, 1971, is the first creches to be set up in a new township or housing estate. The Government has plans to set up creches in the other new towns, such as Toa Payoh, Queenstown, Telok Blangah and Woodlands, where the projected population justifies the setting up of a creches. There is, however, no plan at the moment to set up a creches in the Kallang Housing Estate as there is already a creches, the Lee Kuo Chuan Creches, at Guillemard Road nearby. Although the Lee Kuo Chuan Creches has accommodation for 80 children, its average attendance is only 55 and more children from the Kallang Housing Estate can be accepted for admission to this creches. As it is, already 22 children out of the 55 attending the creches are living in the Kallang Housing Estate. However, if there is a dire need to have a creches within the Kallang Housing Estate in the future when circumstances warrant it, consideration can always be given.
HOUSING ESTATES - (Setting up of creches) Mr Speaker, Sir, the Lee Kuo Chuan Creches is not in the Kallang Basin Housing Estate but in Kallang Park, which is miles away from my constituency. Does the Parliamentary Secretary agree that the circumstances in the Kallang Basin Housing Estate warrant the setting up of a creches, and, if so, whether he will consider providing one in the very near future?
HOUSING ESTATES - (Setting up of creches) I think so, Sir.
SHIPYARDS AND SLIPWAYS - (Short-term leases to replace T.O.L.s) asked the Minister for Finance if he will ascertain from the Jurong Town Corporation whether shipyard and slipway owners will be offered short-term leasehold to replace the present Temporary Occupation Licences.
SHIPYARDS AND SLIPWAYS - (Short-term leases to replace T.O.L.s) Mr Speaker, Sir, Temporary Occupation Licences have been issued to three shipyards in Jurong Town and 21 shipyards in Kallang Park Industrial Estate. In respect of the three shipyards in Jurong Town, leases of up to 30 years will be issued in due course. Of the 21 shipyards on Temporary Occupation Licences in the Kallang Park Industrial Estate, the offer of short-term leases to these shipyards is being considered. The final decision, however, cannot be reached until the type of crossing (low-level bridge, high-level bridge, drawbridge or tunnel) over the Kallang River and the future use of the Kallang Park and Tanjong Rhu areas have first been decided.
SHIPYARDS AND SLIPWAYS - (Exemption from property tax) asked the Minister for Finance if he will consider waiving the proposed levy of property tax on Temporary Occupation Licences held by shipyard and slipway owners along the Geylang River in the Kallang Park Industrial Estate.
SHIPYARDS AND SLIPWAYS - (Exemption from property tax) Mr Speaker, Sir, property tax is leviable on all land and improvements on land. Property tax is, therefore, payable on shipyards and slipways. Under the present arrangement between the Jurong Town Corporation and the owners of the shipyards and slipways, these owners pay the property tax through the Jurong Town Corporation. Any exemption or reduction of property tax is a hidden subsidy from the Government. The shipyards and slipways have been enjoying boom conditions in the past few years and there is no reason why they should be further subsidized by Government. The Government has, therefore, no intention of exempting shipyards and slipways from property tax.
PRESIDENT'S SPEECH - Debate on the Address - (Fifth Day) 2.37 p.m. Order read for resuming adjourned debate on Question [30th July, 1971], `That the following Address in reply to the speech of the President be agreed to : - "We, the Parliament of the Republic of Singapore, express our thanks to the President for the speech which he delivered on behalf of the Government at the opening of the Second Session of this Parliament.".'.-[Dr Chiang Hai Ding]. Question again proposed. 2.38 p.m.
PRESIDENT'S SPEECH - Debate on the Address - (Fifth Day) Mr Speaker, Sir, may 1 be allowed to make a few remarks in reply to some of the points raised by hon. Members in this House during the last few days, so far as these points relate to the Ministry of Finance. The Member for Whampoa raised the points of export promotion and finance. With the rapid industrial growth in Singapore and our emphasis on export-oriented industries, it follows that we should give emphasis to export promotion. As early as 1966, an Export Promotion Council was established with the objective of servicing the industrial and business communities by way of supplying them with commercial information as well as assisting them in the organisation of trade fairs and missions abroad. With the establishment of Intraco (International Trading Company) in 1968, the Export Promotion Council was transferred under its wings. Intraco's main task is the development, promotion and marketing of Singapore-manufactured goods throughout the world. It now has overseas representatives in Indonesia, the U.S.S.R., Australia, West Germany, Holland, South Vietnam and Cambodia all this with the aim of helping to promote and sell Singapore-made goods. There is also an Export Promotion Advisory Committee in the Trade Division of the Ministry of Finance. Representatives from the joint Chambers of Commerce, the Singapore Manufacturers' Association, Intraco, and the Economic Development Board, sit on this Committee, the main function of which is to advise on participation by Singapore manufacturers and exporters in international fairs overseas. With the encouragement and assistance given by the Trade Division, our manufacturers participated in the Jetro Fair held in Tokyo in April this year, and at the present moment are participating in the Djakarta Fair. The manufacturers will also be taking part in the "Partners for Progress Exhibition" to be held in Berlin in October this year. The Member for Whampoa himself led a large mission to Tokyo in connection with the Jetro Fair last April. From experience gained in the participation of trade fairs and missions abroad, action is now being taken to expand the Export Promotion Advisory Committee so that it will be better able to serve the promotion and sale of our goods abroad. Export financing is intimately tied up with export promotion. At present, a great deal of export financing is through short-term trade bills financed by our commercial banks. A careful study was made on an Export Guarantee Scheme by my Ministry some time ago but its introduction was found to be inadvisable at the moment. At present, short-term financing is not a serious problem but when we start exporting more sophisticated goods and capital equipment, long-term finance would then become more urgent. My Ministry is keeping .a close watch on this matter and we are exercising our minds in devising a solution. The Member for Whampoa also asked whether the Government will help to identify limited areas where local capital and enterprise can be encouraged to go into. My Ministry will give consideration to this suggestion. Where the market is entirely local, there appears to be justification in trying to obtain at least a share for local capital and enterprise. The Member also complained that the 10 per cent tax on P.U.B, bills is a regressive tax. It may interest him to know, however, that more than 115,000 out of a total of 320,000 accounts do not pay the 10 per cent tax because they consume less than $13 a month. These represent some 36 per cent of the total number of accounts. The Member for Sembawang raised the question of cement shortage. My Ministry is aware of the situation and has requested Intraco to import 60,000 metric tons of cement, the first shipment of which is scheduled to arrive in about a week's time, and the second shipment of 10,000 tons by about the end of this month. Further, the three cement manufacturers have been requested to maintain minimum levels of production to ensure adequate future supply. We are keeping a close watch on the situation, and, if it warrants, further imports by Intraco will be made. The Member for Sembawang, together with the Member for Bukit Ho Swee, also raised the question of price increases. This subject was thoroughly debated during the budget debate in March this year. During that debate, Members were informed that, because of the openness of our economy and because we import almost everything we use and consume, we are very much dependent upon world prices, and that in recent years there has been worldwide inflation, especially in the developed countries. What we can do to help is to ensure that there is an efficient port and that competition in Singapore is free, so that we could import at the cheapest price, and that there is no monopoly which could artificially manipulate prices to the detriment of the consuming public. Since then, a Consumers' Association has been formed, and this Association, which works very closely with the Trade Division of my Ministry, has been able to exert considerable influence on the price level. The Trade Division on its part has been giving considerable encouragement and help to the Consumers' Association and has been sending out inspectors to check on prices whenever there is report of any unjustifiable price increase. The Government, however, would like to emphasise the positive side of encouraging competition and fair prices rather than the negative side of regulation and control. One of the ways of encouraging traders to sell at fair prices is to give these traders maximum publicity. This we hope to do by enlisting the help of hon. Members of this House. This is what we are going to do: The Inspectorate of the Trade Division, in their rounds of price checking, have come across many shopkeepers who sell at fair prices. In fact, it can be said that unscrupulous traders who are out to make a fast buck is the exception rather than the rule. This is also confirmed by the Consumers' Association. What we are going to do is to publicise the names of these traders who sell at fair and reasonable prices by putting their names on a notice board in the community centres of the areas concerned. And hon. Members can help by giving the fullest publicity to what we are going to do. This free publicity will give fair and reasonable traders a competitive edge over the others, and will encourage other traders to follow suit. The consumer himself can help in maintaining stable prices. He should keep himself informed and see whether there are substitutes for what he wants to buy. I think an example will make this clear. When the Public Utilities Board announced some time ago that there would be a possibility of water rationing, people rushed to buy plastic tubs for the storage of water. Because of this rush, the price of plastic tubs went up two to three times overnight. The rush, however, was entirely unnecessary because the P.U.B, did say that ample notice would be given before the imposition of water rationing. Furthermore, people should have found out whether there were substitutes for plastic tubs for the storage of water. If people had not rushed all at once to buy plastic tubs, or if they had looked for substitutes, then the price of plastic tubs would not have gone up, at least would not have gone up two or three times overnight. The price of plastic tubs has now dropped back to its original level because the demand for them has eased. Those who panicked and rushed to buy plastic tubs at exorbitant prices had only themselves to blame. In the final analysis, Mr Speaker, Sir, the Government believes that with a well-informed consuming public and efficient port services and free competition in Singapore, we would be able to maintain a stable price level for the benefit of us all. Mr Speaker, Sir, I am happy to associate myself with the motion thanking the President for the speech which he delivered on behalf of the Government at the opening of the Second Session of this Parliament. 2.49 p.m.
PRESIDENT'S SPEECH - Debate on the Address - (Fifth Day) Mr Speaker, Sir, I rise in support of the motion standing in the name of the hon. Member for Ulu Pandan, and proposing a vote of thanks to the President for the speech that he has delivered on behalf of the Government. A worker in Singapore, whether a citizen or otherwise, can exert considerable influence, for better or for worse, on matters pertaining to the well-being of the nation at large. In order, therefore, for him to earn a fair share of the fruits of prosperity, he has to exert himself to contribute to the achievement of the optimum economic growth as a condition precedent for any prosperity. In 1968, the Employment Act was enacted in order to create a favourable investment climate for Singapore, in anticipation of and preparation for the crucial years ahead. We in the National Trades Union Congress have accepted the unpleasant conclusion that if Singapore did not become economically viable, the bells will toll first for the organised labour. Although we detested certain features of the Employment Act as restrictive, nonetheless we accepted the underlying objectives of the Act,, that is, the curbing of malpractices and the creation of a more favourable industrial relations climate to attract foreign investments. The consequences of any other alternative would not only be more painful, but also disastrous. Subsequent events proved that, on the whole, it was a right decision taken by the N.T.U.C, leaders in accepting the Employment Act as inevitable and infinitely more desirable than the chaos that would have resulted if the problems of growing unemployment had not been checked in 1968 before they posed a serious threat to Singapore's survival. Not only were a general economic depression and massive unemployment averted, but an extraordinary industrial development was also generated, giving rise to boom conditions and a serious labour shortage in the Republic. Parallel with, and equally as impressive as, the economic development is the significant social progress that has taken place in Singapore during the past six years. Social progress is not automatically a consequence of economic growth, even when the rate of such growth is exceptionally high. Despite favourable growth records, many countries in Asia have greater unemployment now than a decade ago, and millions of their citizens still lack educational opportunities, despite heavy investment in educational facilities. These problems are compounded by the rapid growth in population which in itself is swallowing a vast amount of the additional capital generated by economic development. Millions live in poverty and do not even enjoy the minimum degree of well-being and security compatible with human dignity. On the other hand, Singapore has not only brought population growth under control, but has also achieved a situation of nearly full employment. Our social amenities such as low-cost housing, educational and medical facilities, and communication services are among the best in the region and comparable to any part of the world. Our educational system, after decades of colonial inertia, has now been oriented and geared to our manpower needs. There are parks and gardens to make for a more gracious living. We may yet attain in the near future, as the Prime Minister himself has so wished, a gracious way of life. As it is, a combination of so many factors has been responsible for our relative economic affluence, social order and political stability at present. No less important than any factor is the part played by labour in the success of our socio-economic progress. We in the N.T.U.C, made it clear in 1968, when accepting the Employment Act, that we did so not for the purpose of enriching the pockets of employers, but for the purpose of ensuring the success of our industrial expansion; first, to overcome the growing unemployment situation, and then to raise the standard of living of our workers. I am pleased to note that the Government is conscious of the sacrifices and contributions made by labour to rapid economic growth and has urged employers making exceptional profits to give better bonuses to their workers. The announcement by the Government to review the prevailing wage policy, after the full effects of the run-down of the British bases have been assessed, is also a welcome move. While not doubting the sincerity of the Government's intention to improve the general wage level in the best possible way at the right time, I cannot help' having a strong suspicion that some employers may not take kindly to such a move and will do their best to thwart it under one pretext and another. It is, most conceivable that such employers will attempt to equate any upward revision of the wage level with terms like "inflation", and advance the argument that "prohibitive labour costs" would damage Singapore's congenial climate for foreign investment. A very recent example of such an unhealthy attitude of some employers, is the atavistic reaction of their representatives in the International Chamber of Commerce and the Singapore Employers' Federation to the Government's, proposal to set up a national wage council as reported in the Straits Times on 14th July, 1971. One of them re-marked that the Government had its, own idea of the council. By that remark,. I take it to mean that he had a different idea of what the council should be. Another employers' representative piously remarked that "If the wage increases were kept in hand, there would be no inflationary effect." Before even considering what constitute fair wage increases, they are already sounding a warning on the inflationary effects of wage increases. In yesterday's Straits Times, a spokesman of the International Chamber of Commerce was reported to have said that the proposed telephone rental increase would only tend to "narrow the area of manoeuvre for wage increases". Both the International Chamber of Commerce and the Singapore Employers' Federation represent some of the most successful employers in the Republic, many of whom are not Singapore-incorporated firms. Their reactions and remarks are significant in that they betray the reluctance of some employers to grant a fair share of their substantial profits to their employees. The irony of it all is that even if the trade unions manage to squeeze an additional one or two months' salary from such employers, the latter would have no hesitation in passing the bill to the consumers, who include the workers. As a matter of fact, wage increases can be easily met out of the substantial profits of the employers even without steps being taken to streamline and modernise the prevailing set-up and operations of the various enterprises. It goes without saying, of course, that a prudent employer would be expected to take all the necessary steps to reduce production and operation costs. It is meaningless for workers to regard themselves as partners with the Government and employers in Singapore's progress and prosperity when the employers make it a point to preclude them from having a fair share of the fruits of the prosperity to which they have greatly contributed. The problem today is one of educating some of our tight-fisted employers to realise the folly of their persistent refusal to see beyond their nose that their true interest must necessarily lie in the fair treatment of their workers. With economic growth, some degree of inflationary effect is inevitable. What is important is that the rate of inflation should be kept to the lowest level possible. Inflation in our Republic thus far, unlike inflation in the highly developed countries of the world, is not due to wage increases. Wage levels in Singapore have remained remarkably stable over a considerable period of time. On the other hand, the same comment cannot be made of the price levels in Singapore. In the past few months, there have been rampant increases in the prices of consumer goods, which are very often unjustified price-hikes and profiteering by some unscrupulous traders and shopkeepers. These runaway price increases are bound to upset not only wage stability, but also cause genuine hardships, particularly to families in the low-income group. We must not forget that there are some 120,000 workers employed both in the private and public sectors whose take-home pay per month is between $100 and $200, and many of them have families to support. They are the persons most affected by any increase in the cost of living, no matter how slight. And these persons form the bulk of our factory workers, without whom our industrial growth would not have been possible; our Division IV civil servants and our public daily-rated employees, without whom our streets would not be clean, and the Public Utilities Board and the Housing and Development Board would not function efficiently. It seems to me, therefore, that one of the urgent tasks before the Government is to uplift the social conditions of the low-income group of workers. I hope that after assessing the effects of the British run-down in May 1972, the Government will pay particular attention to them in the general review of the wage policy. Apart from any general wage increases for them, active steps must be taken to initiate schemes to improve and upgrade their skills in order to enlarge their earning capacity. The hawkers and taxi drivers also make up the lower strata of our society. Unless they find a stake in Singapore's prosperity, they are likely to pose a social problem in the years to come. The Government must be congratulated on proposing steps recently to improve the lot of such persons. I refer to the proposal to allocate $5 million for the acquisition of land in a pilot scheme to build clean and attractive footstall complexes for renting out on a subsidised basis. Apart from providing cheap and wholesome meals, the hawkers can look forward to better business in view of their cleaner and more attractive stalls. The support given by the Government to the N.T.U.C, has enabled it to run a transport co-operative (COMFORT) with the purchase of some 1,000 taxis and 200 mini-buses for our taxi-drivers and mini-bus drivers. The COMFORT taxis and mini-buses not only help to provide improved transport services, but also enable the respective operators to be owners of the taxis and mini-buses. I now come to the question of the shortage of labour. The importation of foreign labour to meet the labour shortage is fraught with all kinds of implications and may be inimical to the long-term interests of Singapore. Though I accept the rationale that the present shortage of labour being experienced by our factories, if not counteracted as speedily as possible, would slacken the pace of our industrial expansion, I am of the view that we should not be contented now that the importation of foreign labour seems to have resolved the labour shortage problem. The present shortage of labour should serve as a timely reminder to us of the urgent need to make constructive plans for the future regarding the maximum utilisation of our own human resources for our manpower requirements. The importation of foreign labour is at best a short-term solution. Perhaps some scheme may be devised for the employment of a greater number of women, especially housewives, in factories. The validity of the old saying, "A woman's place is in the home", has already been disputed by the women's liberation movement. In industrially advanced countries, women have abandoned the chores of housework and taken to employment in the offices and factories. The departure from the traditional concept of the role of women is in keeping with the concept of "fraternity, liberty, equality (with man)", and is also rewarding in terms of enhancing the family income. In Singapore, we find many of our married women working in offices, schools, hospitals, and so on, but they come largely from the middle-income or upper middle-income groups. They are usually well-educated as their jobs demand that of them. They get domestic help to do the chores of housework and the caring of their children. The position of the housewives from the lower income homes, however, is different. They cannot afford to hire domestic help. With many clean factories now sited in housing estates providing job opportunities, steps should be taken to encourage the housewives living nearby to seek employment in the factories. One such step is the building of more creches in housing estates. Perhaps tax incentives could be given to factories requiring large numbers of female workers to encourage them to build creches. Some of our more enterprising Singaporeans should be encouraged to establish laundrettes in housing estates to provide cheap laundry services with the use of washing machines. With the creches to look after their children and laundry services to look after their laundry, many housewives will be freed from their household chores and enabled to find suitable employment in nearby factories. By doing so, they will help to increase the income of their families and improve the standard of living of their families. At the same time, they are making a useful contribution to the economic development of the country. I also hope that the Government, as an employer, will not forget the civil service in its review of the wage policy next year. The role of the civil service in the socio-economic development of Singapore has been both significant and vital. With regard to the problem of brain drain from the civil service to the private sector because of greater rewards offered, perhaps the Government can take one positive measure to counter the attraction of the private sector, that is, a home-ownership scheme of Government-built houses. With the Government's considerable experience in housing programmes, I am sure that Government can build comparatively cheap houses and sell them to deserving civil servants at cost as an inducement to them to remain in the civil service. Finally, I wish to comment, from my own personal observation, that the various Government Ministries and departments seem to be poorly served in the field of public relations. The sum total of public relations efforts of Government Ministries and departments seems to be the employment of a public relations officer whose sole function seems to be the drafting of replies to letters of complaints in the press. Surely public relations, which constitute an important aspect of modern and efficient management and organisation, should be conducted on a more constructive and effective basis. This is all the more important from the point of view of the Government in that it is both desirable and necessary to obtain the support of the public for the policies of the Government through the better understanding of such policies. It is vital that Government should give more attention and make efforts to improving its public relations activities, as what is at stake is the public image of the Ministries, departments or statutory boards concerned. It is not my intention to cast any aspersion or slur on the fine work done by the serving public relations officers in the various Ministries. What I am suggesting is that more funds should be allocated for public relations work so that the necessary staff and facilities can be obtained for effective public relations efforts. 3.05p.m.