/akn/sg/hansard/2012-01-18

Hansard, 2012-01-18

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Type
HANSARD
Status
In force
Enacted
2012

Quick answer

About this hansard

Hansard, 2012-01-18 is Singapore HANSARD, cited as HANSARD 12 2012, currently marked in force and first recorded in 2012.

(1)

Permission to Members to be Absent

Under the provisions of clause 2(d) of Article 46 of the Constitution of the Republic of Singapore, the following Members have been granted permission by the Speaker to be absent from sittings of Parliament (or any Committee of Parliament to which they have been appointed) for the periods stated:

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(2)

Incidence of Tuberculosis

1 Mrs Lina Chiam asked the Minister for Health in the last five years (a) what is the number of (i) people infected with tuberculosis; (ii) students infected with tuberculosis; (iii) foreigners in Singapore infected with tuberculosis; (iv) adult Singaporeans infected with tuberculosis; (b) what is the current number of infected patients who are under treatment; and (c) what are the measures the Ministry has adopted so far to prevent an outbreak of this contagious and dangerous disease.

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(3)

Incidence of Tuberculosis

Sir, please allow me to first explain the difference between active tuberculosis (TB) and latent TB infection. Active TB is a disease state where the patient is symptomatic and the disease can spread to others. Latent TB infection is an asymptomatic disease state during which the disease cannot spread to others.

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(4)

Incidence of Tuberculosis

The majority of people with latent infection, about 90%, will not develop active TB disease. Only about 10% of persons with latent TB infection develop active TB disease. This may take place many years after the infection, although there is a higher risk of active TB during the first two years of infection. On average, about 1,380 Singapore residents were diagnosed with active TB each year over the last five years, or about 40 cases per 100,000. Most, or about 95% of these cases, are adults. Among non-residents excluding short-term visitors, the average number was also about 40 cases per 100,000 over the same period, or about 450 per year. Short-term visitors were excluded as many of them were workers who were diagnosed during pre-employment medical screening for application of work passes, and will be rejected if they were found to have TB. Others were here specifically for TB treatment. There were about 100 students diagnosed with TB each year during the last five years. More than 75% were students aged 17 years or older. About 1,000 people are currently being treated for TB.

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(5)

Incidence of Tuberculosis

I would like to highlight that Singapore has one of the lowest incidence rates of TB in Asia, besides Japan. Singapore has a comprehensive national TB control programme which was enhanced in 1997 with the setting up of the Singapore Tuberculosis Elimination Programme (STEP). Under STEP, the key control strategy for TB is, firstly, early detection and effective treatment. This is important to stop the spread of TB in the community. Secondly, the TB Control Unit, which runs STEP, closely monitors compliance with treatment until cure. Whilst most patients would voluntarily be compliant with the treatment, the Infectious Diseases Act gives us the power to mandate treatment of TB patients who are non-compliant, if necessary. By actively monitoring the treatment process of all TB cases, the risks of treatment failure and development of multi-drug resistance are lowered

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(6)

Incidence of Tuberculosis

Finally, as TB could only be transmitted through prolonged close contact, contact-screening is conducted among household contacts and other close contacts in institutions like schools to identify persons with latent TB infection. Persons with latent TB infection are offered preventive treatment to reduce the likelihood of developing active disease. My Ministry will continue to monitor the effectiveness of the TB control programme closely, and implement enhancements from time to time.

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(7)

Incidence of Tuberculosis

Sir, I thank the Minister of State for answering my question. I have a supplementary question. I believe when foreign workers apply for work passes, they have to undergo X-rays to detect whether they have got TB. Am I correct? If the X-rays show black spots, it would be easy to presume it might be TB. Is there any other way to detect infection other than black spots on the X-rays?

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(8)

Incidence of Tuberculosis

For foreign domestic workers, before they are granted the Work Permit, they have to undergo medical screening, as the Member has rightly noted. And we screen for active TB. As I have said earlier in my reply, active TB cases are symptomatic cases. This is a disease state where the disease can be spread to others in the community. We do not screen for latent TB cases. If they are found to have active TB, they will be rejected and sent home. When a foreign domestic worker re-applies for a Work Permit, she would be screened again. The screening is done every time they apply for a Work Permit. The reason being that we feel that active TB can present itself in between screenings. The best way to prevent the spread of such a disease would be to get foreign domestic workers to go to the doctor, especially if they have a chronic cough, because that is the main symptom of TB.

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(9)

Incidence of Tuberculosis

Sir, I would like to ask the Minister of State whether it means that when a foreign worker applies for a work pass and has undergone a screening test or an X-ray, there is no way to identify whether they have active TB or not, is it, if there are no spots on the X-ray?

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(10)

Incidence of Tuberculosis

We screen them for active TB, and if they are confirmed to have active TB, they will not be given the Work Permit, and they will be sent home. I have also said in my reply that we do not screen latent TB because the risk of these cases developing into active TB is actually very low. Only about one in 10 of such cases will develop into an active TB case, and it could develop over the course of many years. Of course, the risk will be higher in the first two years – 50%. But the risk is spread over a lifetime, so it is very low. We do not screen for latent TB.

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(11)

Incidence of Tuberculosis

So X-rays are not really a means to test whether they have got TB or not.

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(12)

Incidence of Tuberculosis

No, no. I have just confirmed that the test that they have gone through will screen for active TB. The test is robust in that sense.

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(13)

Impact of Enhanced Penalties in Road Traffic Act

2 Mr Alex Yam asked the Minister for Transport (a) what is the number of employers who have been fined for contravening the Road Traffic Act in respect of the ferrying of workers by lorries since the enhanced penalties were introduced in February 2011; (b) what is the impact of the tighter regulations on the provision of transport for workers; and (c) whether there are plans to review the regulations.

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(14)

Impact of Enhanced Penalties in Road Traffic Act

Mr Speaker, Sir, to reduce business costs, owners and hirers of goods vehicles are currently allowed to use their vehicles to transport their workers to and from their places of work or business, subject to various safety regulations. LTA has put in place a set of rules under the Road Traffic Act to enhance the safety of workers transported at the rear of lorries and pickup trucks.

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(15)

Impact of Enhanced Penalties in Road Traffic Act

These rules require the workers to be safely seated at a height of not more than 1.1 metres from the carriage deck and the vehicle must not travel faster than 60 km/h. Lorries must also be fitted with canopies and higher side railings if they are to be used to transport workers on the carriage deck. A Maximum Passenger Capacity (MPC) label must be displayed on the goods vehicles to indicate the maximum number of workers that can be transported, based on a minimum space requirement per person. If goods are also transported, the number of persons should be reduced accordingly. The label serves as a reminder to the vehicle owner/driver on the maximum number of workers the vehicle can carry as well as facilitates enforcement against errant employers/ drivers who overload their vehicles.

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(16)

Impact of Enhanced Penalties in Road Traffic Act

Since 1 February 2011, LTA and Traffic Police (TP) have imposed higher fines and demerit points for non-compliance with safety regulations for the transportation of workers on lorries for greater deterrence. A total of 1,329 offenders have been caught for non-compliance with these safety regulations from February to September 2011. Enforcement records showed there has generally been a high level of compliance to these safety rules. The number of violations of these rules during the eight-month period before and after the enhanced penalties were introduced has fallen by 49%. Similarly, the accident statistics over the same period showed that the number of fatalities has dropped from five to no fatality while the number of injuries has fallen from 199 to 83 cases.

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(17)

Impact of Enhanced Penalties in Road Traffic Act

I would like to assure the Member that notwithstanding the reduction in the number of violations, LTA and TP remain vigilant. The safety regulations that are in place, in our assessment, have helped to ensure a higher level of safety for workers who need to travel on lorries in the course of their work. The efforts put in by all the relevant agencies underscore the Government's concern about the safety of workers transported on lorries. Employers and drivers must also play their part as safety is also their joint responsibility. LTA will continue to monitor the situation and, if necessary, review the current measures.

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(18)

Impact of Enhanced Penalties in Road Traffic Act

I thank the Minister of State for the very comprehensive reply. I am heartened to note that the safety standards for transporting workers have improved since the introduction of the new penalties. I have just one supplementary question. In terms of the summons issued, I understand that it allows for business owners and hirers to transport their workers from lodging to place of work, and in between places of work. However, for some estates, there have been instances where workers are transported from their lodgings to public transport hubs for workers to commute further. Is this an area that is covered under the Act and are there any penalties issued for contravening the Act in this area?

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(19)

Impact of Enhanced Penalties in Road Traffic Act

Mr Speaker, Sir, if I understand the gist of Mr Yam's question, I believe he is concerned about the employers allowing their workers to be transported to the MRT stations, so that they can then use the public transport system to get to their workplaces. Could I seek that clarification from him, please?

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(20)

Impact of Enhanced Penalties in Road Traffic Act

Yes. That is correct.

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(21)

Impact of Enhanced Penalties in Road Traffic Act

Currently, there is no restriction against transportation of such nature. The broader concern that Mr Yam highlighted is that this is adding to the public transport load. We do not encourage the employers to over extend the use of public transport for their workers travelling between workplaces. If Mr Yam knows of specific instances, we could talk to the employers to help to moderate the situation and we would be very happy to facilitate.

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(22)

Impact of Enhanced Penalties in Road Traffic Act

Thank you, Mr Speaker, Sir. I think this practice is quite rampant. It is not just happening at any one particular place. A lot of residents have given such feedback. I want to urge the Ministry to look into this: whether the contractors are allowed to let their workers take the public transport, when our public transport is already so packed.

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(23)

Impact of Enhanced Penalties in Road Traffic Act

I thank the Member for her question and for expressing her concern. The very nature of public transport must mean that the public can use it. Whoever you are, working in Singapore, living in Singapore, even if you are a tourist, you can use public transport. But I understand the Member's concern and would be very willing to work with various advisors to take a look at this problem and, where necessary, work with the employers to reduce such incidents.

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(24)

Points Demerit System (PDS) for Food Vendors

3 Mr Yee Jenn Jong asked the Minister for the Environment and Water Resources since the implementation of the Points Demerit System (PDS) for operators of food courts, coffee shops and canteens in November 2010 (a) how many operators have been issued with demerit points; (b) what are the three most common offences; (c) how many operators have had their licences suspended or revoked; (d) how frequently is enforcement being carried out; and (e) what programmes are put in place by NEA to educate all operators and their cleaning contractors on hygiene standards.

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(25)

Points Demerit System (PDS) for Food Vendors

Mr Speaker, the Points Demerit System (PDS) was first implemented in 1987 for hawker stalls. PDS was extended to food courts, coffee shops and canteens in November 2010 to motivate operators to pay more attention to the cleanliness of the common areas in their premises. Food courts, coffee shops and canteens are routinely inspected at least twice a year. NEA also carries out additional inspections based on the feedback it receives from the public. Potential problem areas, such as toilets in coffee shops, are inspected monthly.

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(26)

Points Demerit System (PDS) for Food Vendors

Since November 2010, 179 operators have been issued with demerit points, in addition to being fined for cleanliness-related offences. The three most common offences are the failure to keep the premises and the toilets clean, and to maintain the sanitary fittings in the toilets in good working condition. An operator who chalks up 24 demerit points within 12 months will have his licence suspended for up to three days. Thus far, no operator has accumulated the maximum number of demerit points for suspension.

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(27)

Points Demerit System (PDS) for Food Vendors

Besides educating the operators during the inspections, NEA also carries out outreach and educational programmes, such as the "My Coffee Shop Shines" programme in the South-West district and the "Clean Food Shops" programme in the North-West district. Under these programmes, NEA works with the operators and stall owners to improve their cleaning regimes and works with the grassroots organisations to educate the public on keeping food shops clean and hygienic. NEA also works with the Public Hygiene Council (PHC) and Restroom Association of Singapore (RAS) to improve the state of toilet cleanliness in food establishments.

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(28)

Points Demerit System (PDS) for Food Vendors

To raise cleaning standards, NEA also initiated a voluntary accreditation scheme for the cleaning industry in July 2010. The scheme recognises companies that have in place operating systems that ensure the provision of quality cleaning services by a professional cleaning workforce. We hope that this will bring about improvements in cleaning standards in the longer run, and encourage operators to hire accredited companies for cleaning so as to increase industry demand for more reliable cleaning services.

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(29)

Points Demerit System (PDS) for Food Vendors

We need the concerted efforts of operators, cleaners and patrons to ensure a clean environment in food establishments. Moving forward, more educational efforts will be carried out together with the PHC, and we urge the public to also play a greater part in demanding a cleaner dining environment by providing feedback to NEA and not visiting establishments that are poorly maintained. At the same time, the public can also help the situation by being considerate when using the facilities in the food establishments and keep them clean for the next user. This will help to raise the level of public hygiene and improve our living environment.

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(30)

Points Demerit System (PDS) for Food Vendors

I thank the Senior Minister of State for the very comprehensive answers. I have three supplementary questions. The first is: these rules and enforcement, how are they being applied to the hawker centres which are run by NEA? The second is: I have noticed that there are large numbers of foreign cleaners working in the various eating establishments in Singapore and they have various acceptable hygiene standards from their own countries. How is the Ministry monitoring this and are they satisfied with the level of cleanliness by these workers? The third question is whether there is any rating or grading of eating establishments' cleanliness like the way hawker stalls are being graded.

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(31)

Points Demerit System (PDS) for Food Vendors

Mr Speaker, I would like to thank the Member for the supplementary questions. For the enforcement, NEA hawker centres will be subjected to the same regime. Second question about foreign cleaners: I would like to stress that we do not make a distinction on the nationality or the race of the cleaners. What we will focus on really is the outcome and we would like to apply that same consistent principle, looking at the outcome of overall level of cleanliness. We have a standard that we apply on the various areas to watch. For example, as I mentioned in my reply, how clean is the toilet, whether the toilets are properly provided with the necessary supplies, and so on. So it is really outcome-driven.

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(32)

Points Demerit System (PDS) for Food Vendors

I would like to respond to the question I think that most Singaporeans are concerned with. It is really the overall hygiene standard and cleanliness at our food establishments. My Ministry has worked very hard to improve on that level but we are not satisfied, and we would like to see a bigger improvement in the level of public hygiene. This is an area that my Ministry will work very, very hard on for the coming years. On the standards of cleanliness of eating establishments, this is something that we will be prepared to consider, and if the Member would like to give us specific suggestions, we will be very happy to incorporate them.

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(33)

Elitism in Schools

4 Dr Intan Azura Mokhtar asked the Minister for Education whether elitism exists in schools, in particular, the better performing ones or those with more well-to-do students.

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(34)

Elitism in Schools

Mr Speaker, our education system and schools operate on the belief that every child is valuable and important. We believe that each child has intrinsic worth, and that he can learn and achieve. These beliefs are articulated in the Philosophy of Education, the Desired Outcomes of Education and the Teachers' Pledge. Teachers are also guided by the Teachers' Creed which explicitly states that they should treat all students fairly and provide opportunities and resources to all students of different backgrounds.

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(35)

Elitism in Schools

Meanwhile, values, such as respect, care and harmony, are emphasised to our students through the Character and Citizenship Education (CCE) curriculum. Schools reinforce the values through many programmes and activities that provide valuable learning experiences for their students. These include community service and joint activities among schools with different student profiles within a cluster or zone.

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(36)

Elitism in Schools

We have also designed our education system such that each of the different educational pathways is valued and resourced appropriately. However, occasionally, the behaviour and actions of some individuals may not always live up to the beliefs that we wish to uphold. And when this happens, the schools will take steps to correct them.

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(37)

Elitism in Schools

There was a recent letter by a JC student to the media comparing the facilities of ITE and JCs. The letter sparked a lively debate, with many Singaporeans coming forward to defend why ITE students deserved quality facilities. Subsequently, the JC student who wrote the letter issued an online letter expressing his sincere apologies. I think the public reaction shows that many Singaporeans share the value of respect and care for others. And in particular, this episode highlights the importance for schools and community to continue to work together to mould the character and values of our young people. Ultimately, shaping the values and attitudes of our young people is a collaborative effort and one that is always a work-in-progress. We will continue to work hard at educating our young to respect and value others.

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(38)

Elitism in Schools

I thank the Minister of State for his reply. Through Character and Citizenship Education (CCE), we try to inculcate values that we hope students will grow up with. But how can this be further emphasised to students because, as it is, there is already segregation among the different academic streams in schools, for instance? And will the establishment of the two new specialised schools for Normal (Technical) further segregate students who are of lower academic ability from other students?

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(39)

Elitism in Schools

I thank the Member for the supplementary questions. This is something that MOE is always very mindful of. I talked earlier about the mindset of students and what we are doing in each and every school through Character and Citizenship Education to cultivate sound values and to instill character. But at the systems level, when MOE looks at our education system, our overall approach has always been to provide opportunities for all children to develop to their fullest potential. Enabling social mobility has been and will continue to be the hallmark of our education system.

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(40)

Elitism in Schools

We recognise that every child is different and that learning needs and abilities are different. And that is why we have customised progression pathways that are different. Not just one single track, but multiple pathways to cater to the different abilities and needs of students. No single pathway is superior to another. That should not be the mindset. The diverse pathways are meant to cater to different learning needs and each one customised for people with different needs. Somebody may be academically slower and they may need a longer time to study and to progress in their pathway, but they may be a slow learner initially and a faster learner later on. What we also want to do is to have many bridges and ladders across the different pathways, so that as you progress along one pathway and as you do well subsequently, you can move on to a different pathway – adapted, again, and customised to the needs of that individual.

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(41)

Elitism in Schools

I think we have made a lot of effort and investment to develop these different pathways, to resource these pathways appropriately and to have customised curriculum for each of these pathways. But the broader issue is a real one that we have to continuously reach out and get people to understand: that no pathway is superior to another, that these are multiple pathways for learning, catered to children with different abilities and needs, and we should embrace all of these different learning pathways. As each person, embarking on a particular pathway, achieves success, we should embrace that broader definition of success in our society.

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(42)

Elitism in Schools

This is a continuing challenge that MOE tries to address through our system, through our schools. But it is not a job that MOE can do alone, and we would certainly need the continuing support and engagement with parents, with community groups, certainly with Members of this House to continue to shape the mindset in society.

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(43)

Elitism in Schools

Supplementary question, Sir. I am happy that the Minister of State mentioned engagement with parents. In my engagement with parents of children in the Gifted Programme, very often, my friends and colleagues expressed their concerns about the students being different, thinking differently and sometimes they even mention the word "elitist". How do we partner with parents to help them bring up their children with proper values because sometimes the parents themselves are worried? Even though they want the kids to be in the Gifted Programme, they also see the concern as something which they need to manage.

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(44)

Elitism in Schools

Sir, this goes back to what we can do through our schools and through our teachers. Yes, there are different pathways and there are some which are catered to students who are academically very strong. I think it is good that they are able to cope with their studies and they will do very well. Some of them go on to great achievements even in international competitions. But that is where I think within the school system, the teachers, the principals set the tone and they make sure that the students are grounded in sound values, in character building -- that is a new emphasis that we have placed through Character and Citizenship Education and through the curriculum that we are putting in place through the schools, encouraging each school leader and the teachers to think about how best to implement this curriculum, not just within the school environment but also involving parents and the community to make sure that the curriculum is something that is effective, something that will truly shape the character and nurture the right values in each and every child.

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(45)

Elitism in Schools

I would like to ask the Minister of State and the Ministry if it is healthy for students to be physically separated in different schools from a young age: in SAP schools, Special schools, now specialised Normal schools. Would it not be healthier if, even if they cannot study in the same academic class, that they could – in the non-academic periods or time – eat, have recess together, play and interact from a younger age? I know it is easier said than done, and I would ask if the Ministry is open to consider piloting models that will test more effective inclusion and integration practices, so that children from different backgrounds can be educated together from a young age just like some of us – the older ones amongst us – were educated that way when we were young.

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(46)

Elitism in Schools

I thank the Member for the question. I am not so old but I remember growing up, going to school in Tanjong Katong Technical and that was the situation, too – an integrated environment – and we had students from all sorts of diverse backgrounds. Certainly, we want to do that, and the majority of our schools are like that. I think we have a few specialised schools catering to a select group of students where we think that, from an educational point of view, they may be better served because it is a more homogeneous group and their needs are very different, and so more special attention, a customised curriculum can be developed to reach out to this group. It is a balance. We cannot take that approach and take it to an extreme. Then certainly every school will be specialised and then you would really have very separate and distinct groups of people rather than integration as we would like it to be.

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(47)

Elitism in Schools

We do it in a very controlled and deliberate environment, and we are monitoring the results of what we are doing. For example, in the new specialised schools for students who did not qualify for Normal (Technical), at least, the initial evidence shows that they are doing quite well. Academically, they are coping better in this new environment. As we monitor, we will feel our way forward, in terms of evolving new models. But, certainly, I agree with the Member that we will be very open to looking at different models, new ways of promoting better integration. We have a school system the way it is with the mainstream schools across the board, but a few very specialised institutions catering to specific needs.

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(48)

Elitism in Schools

I accept the point and I agree with the Member that we should as far as possible avoid that sense of separation at an early age when our children are growing up, and for these schools to come up with more programmes. And we would be quite happy to work with the community, in terms of thinking of new programmes that would help students in these specific institutions integrate better with peers of different backgrounds. That is something we would explore developing even more of. But I think our fundamental approach is to look at the students' needs, to look at the students' abilities and to try as far as possible to make sure that we have a programme and a curriculum that addresses each child's needs and maximises his or her potential. That is what we have done. It is an education system that is student-centric. It is meant to be focused on the students so that the different pathways can cater to each and every child.

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(49)

Elitism in Schools

Mr Speaker, Sir, I thank the Minister of State for his reply on elitism in schools. Many schools typically channel good teachers to the better classes and sometimes parents also expect the school to channel better teachers to better classes. Does MOE provide guidelines to schools so that they would spread good teachers to different classes? For that matter, does MOE consciously deploy good teachers to different schools?

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(50)

Elitism in Schools

I thank the Member for the supplementary question. Indeed, MOE's policy is to resource all our schools well, not just a few schools. And this is what we have done and we will continue to do so. We provide the same base funding to all schools which have significantly increased over the past decade to benefit all students. At the teacher level, we maintain a balance of the quality of MOE teachers allocated across all schools, and we would continue to do that. We continue to expand our teaching force so that schools can afford to have more targeted programmes catering to the different needs of all students. This is what MOE does at the headquarters level, in terms of our allocation of resources, whether it is financial or teaching resource, across the school system.

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(51)

Elitism in Schools

Within the school system, I think we have capable school leaders and they have guidelines and I am sure, from the school principals' point of view, they want to make sure that their teachers cater to their different student profiles and different student needs. Given the diversity of students, it is not possible to have a single ruler to measure success. The principals know how to allocate or make sure that there are teachers with the right inclination, with the right skill sets to teach students of different profiles. That is what the principals do. MOE has constant dialogue with the principals, with the school leaders, to make sure that this is done appropriately at the school level.

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(52)

Elitism in Schools

Mr Yee Jenn Jong. Last question.

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(53)

Elitism in Schools

Thank you, Mr Speaker, for allowing me to join in this interesting discussion. I would like to follow up on the specialised Normal (Technical) school. I can understand the rationale is that we want to have more resources to be channelled to this group of students, because at the current moment, each school has maybe just one or two Normal (Technical) classes and it is difficult to find the resources. Is there going to be a trend that there is going to be more of these specialised Normal (Technical) schools spread across Singapore? And whether MOE will instead consider perhaps clustering resources together so that, perhaps, within the cluster, they can help to set examination papers across the Normal (Technical) classes in the schools? Or maybe MOE can do that, so that we can still let these Normal (Technical) students stay in a normal school rather than separate them?

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(54)

Elitism in Schools

I thank the Member for the supplementary question. In fact, the second part of what he said is already happening. Within the clusters in the zone, the teachers who are involved in teaching Normal (Technical) do share notes, do come together and share experiences and resources. But the specialised schools are really a step forward in terms of thinking about perhaps a different way of doing things. So it is, to some extent, an experiment in terms of trying out something different where we have a specialised institution catered to this group of people, appropriately resourced, with a different curriculum catered to them.

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(55)

Elitism in Schools

There will be pros and cons, and we have to strike a balance. There is no plan for us now to expand these specialised schools because this is something new. As I mentioned earlier, we are developing these programmes and we are looking very hard and monitoring the results of what is happening through these schools. The initial findings are positive. We think these children are coming out better and they are coping better in their studies, and they are learning better, more effectively. That does not mean that we should proliferate and expand them. I do not think there are any plans now. But what we would want to do, as I mentioned, is to focus on these institutions to see how they can do better, in terms of developing their children in these schools. At the same time, we will take up Ms Denise Phua's suggestion of programmes that can better integrate students across different institutions. We are working on multiple approaches. These are things that we will continue to evolve and develop. If we think there are indications that a particular programme offers success and is useful, then we would look at ways to expand it in the most effective manner.

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(56)

Total Stamp Duty Collection

5 Mrs Lina Chiam asked the Deputy Prime Minister and Minister for Finance for the last five years, what is the total amount of stamp fees collected by the Government in respect of property transactions.

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(57)

Total Stamp Duty Collection

Mr Speaker, Sir, over the five financial years from FY 2006/2007 to FY 2010/2011, the total amount of stamp duty collected in respect of transactions on sales and purchases of properties was $10.87 billion.

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(58)

HDB Studio Apartments

6 Dr Intan Azura Mokhtar asked the Minister for National Development whether the Ministry would consider allowing the sale of HDB studio apartments to singles below the age of 55 years old.

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(59)

HDB Studio Apartments

Sir, the HDB Studio Apartments are purpose-built with senior-friendly features. They are sold with a 30-year lease to keep them affordable, while ensuring that the owners have a home in their golden years. They, therefore, do not quite fit the housing needs of young singles.

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(60)

HDB Studio Apartments

Sir, I thank the Minister for the answer. There are residents who have come and approached me, and they are singles without family members, not very well to do, so they cannot quite afford the high Cash-over-Valuation (COVs) of the resale flats or buying a flat from the open market. There is not much option for them, really. What can be done? Can there be Studio Apartments, small apartments with shorter leases for them, instead of just for the elderly, those who are above 55 years old?

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(61)

HDB Studio Apartments

As I said, Studio Apartments are not quite the option because they were really not designed for such young singles, and also because the Studio Apartments are already on very short leases, of 30 years, which are quite appropriate for retirees. For young singles, I am not quite sure whether that is appropriate. Of course, as I have explained in this House two sittings ago, there is a wide range of potential house buyers. Housing is a very complex problem. I have to approach this problem systematically. I have to set priorities. In due course, I would be able to address all the various segments. But I decided to zero in for the first 12 months of my term on the first timers. I think we are delivering some results, which now allow me, as I blogged about last night, to for the next 12 to 24 months focus on the second timers. That itself is another very big group, with a wide range of needs and differing needs. It is a subject that is now occupying my mind. In due course, I will tackle the other buyer groups, for example, the singles, too.

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(62)

HDB Studio Apartments

Mr Speaker, a supplementary question. Would the Minister agree that Studio Apartments represent a very good option, probably the best option, for elderly residents to monetise their current flats? Sell their current flat, buy a Studio Apartment and have a decent amount of balanced proceeds to retire on. And if that is the case, would he be stepping up the construction of Studio Apartments?

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(63)

HDB Studio Apartments

Indeed, last Sunday, in one of my MPS cases, there was such an elderly gentleman. A retiree, living in a 5-room flat and a widower. So, he is all alone and he decided to just sell the 5-room flat, apply for a Studio Apartment, and he will have some cash which he can then keep for his retirement. So, that certainly is a good option. It is not the only option for seniors but MND offered this option which I think can be quite attractive for some of these seniors. We intend to expand it. I have been looking at the application rates for the Studio Apartments – quite good, quite healthy, not overly subscribed, but well taken up, practically 100%. So far, we have launched 6,000 units. Last year alone, we launched 2,300 units. This year, I will continue to press on.

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(64)

ERP Charges Collection

7 Mrs Lina Chiam asked the Minister for Transport from 2009 to 2011(a) what is the total amount of ERP charges collected by the Government; (b) which ERP gantry collects the highest amount of fees per day and what is the amount; and (c) which ERP gantry collects the lowest amount of fees per day and what is the amount.

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(65)

ERP Charges Collection

Let me begin by providing a recap on the purpose of Electronic Road Pricing (ERP). The ERP is a tool to manage congestion. It is not for revenue generation. The rates are set and reviewed based on the latest traffic conditions. The key measure of the effectiveness of ERP, of course, is whether it is able to keep traffic speeds within the optimal range, rather than the amount that is collected by each gantry.

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(66)

ERP Charges Collection

The total amount collected for each Financial Year from 2009 to 2011 was about $149 million for FY 2009, $159 million for FY 2010 and $97 million up till the end of October 2011. The ERP gantries that collected the highest and lowest amount per day based on a typical month's weekday average are at Nicoll Highway for the highest and Upper Boon Keng Road for the lowest. For Nicoll Highway, it is $32,000 and for Upper Boon Keng Road, it is $130.

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(67)

ERP Charges Collection

Sir, I thank the Minister for answering my question. I would like to ask whether these vehicles are mainly from other countries like Malaysia, or are they from Singapore, or do the figures relate to all vehicles?

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(68)

ERP Charges Collection

Do I answer you now or do you have another question?

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(69)

ERP Charges Collection

No, no. Just this question.

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(70)

ERP Charges Collection

Okay. I do not have the breakdown. This is the consolidated amount that is collected every month. I suspect that, by and large, the vast majority of it would be from Singaporean vehicles.

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(71)

ERP Charges Collection

I am just curious to know what will happen to gantries that collect so little, like the Minister mentioned, the gantry at Upper Boon Keng Road. Would there be a plan to scrap gantries like this?

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(72)

ERP Charges Collection

I should explain the difference, why the Nicoll Highway gantry seems to have such a high collection at $32,000 and Upper Boon Keng Road only $130 per weekday. For Upper Boon Keng Road, the gantry operates for about half an hour in the morning from 8.30 am to 9.00 am. That is the only time that it operates. The Nicoll Highway gantry operates from 7.30 am to 8.00 pm, rests two hours, and from 10.00 am to 12 noon. The durations of operation are different, and the rates are different.

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(73)

ERP Charges Collection

The reason why we need some of these gantries, for example, like at Upper Boon Keng Road, is that they are part of an outer cordon through which vehicles have to pass in order to get to the city, and we also need to control the movement of vehicles in this direction. We have to make sure that we have a cordon that is sufficiently effective. We look at the speeds every quarter. When the speeds are above the optimal range, we have the option then to reduce the rates or to do away with it altogether, as we have done for CTE in the morning for certain hours. We have also done it for the CTE northbound, at night. The last time we looked at the Upper Boon Keng gantry, the speeds were not above the optimum range. They were within the optimum range and, hence, we continued to operate the gantry.

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(74)

Transport for Foreign Workers as a Compulsory Tender Requisite

8 Mr Alex Yam asked the Minister for National Development if his Ministry would consider requiring operators of foreign worker dormitories to provide transport for workers to their workplace on a compulsory basis before awarding tenders for the operation of these dormitories.

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(75)

Transport for Foreign Workers as a Compulsory Tender Requisite

Mr Speaker, Sir, workers staying in foreign workers' dormitories come from many different employers. They are currently transported to and from their workplaces by their employers or by private transport operators. The modes of transportation include chartered buses, mini-buses and lorries. These are private arrangements made between employers, private transport operators and the foreign workers.

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(76)

Transport for Foreign Workers as a Compulsory Tender Requisite

Our preference is for employers to have flexibility in deciding how best to safely and efficiently transport workers between the dormitories and the workplaces, instead of the Government mandating a single approach for all employers to adopt. This is because employers' requirements could differ significantly, depending on the number of workers they have, as well as the nature of work, location and working hours of their workers.

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(77)

Transport for Foreign Workers as a Compulsory Tender Requisite

Order. End of Question Time.

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(78)

Debate in Parliament

Before this House resumes the debate, I would like to remind Members that the decorum of this House must always be maintained. While I fully appreciate and encourage vigorous debate, Members should not make reference to another Member using words like "you" or "your". Members ought to address another Member by referring to the constituency that the Member represents, or by his or her full name.

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(79)

Debate in Parliament

When seeking clarification from another Member, Members ought to seek my consent before posing their questions. The Member should then take his or her seat and allow the Member from whom clarification is sought to fully answer the questions. If the Member wishes to seek further clarification, the Member should seek my consent again before asking any further questions. I thank Members for their co-operation.

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(80)

Salaries for a Capable and Committed Government

Order read for Resumption of Debate on Question [16 January 2012].

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(81)

Salaries for a Capable and Committed Government

"That this House endorses Paper Cmd. 1 of 2012 on "Salaries for A Capable and Committed Government" as the basis for setting the salaries of the President, Prime Minister, Speaker and Deputy Speakers of Parliament, political appointment holders, and Members of Parliament.". – [Mr Teo Chee Hean].

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(82)

Salaries for a Capable and Committed Government

Question again proposed.

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(83)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, for a country with a voting population of only 2.1 million citizens, Ministerial salaries in Singapore are by far the highest in the world. It should therefore come as no surprise to anyone in this Chamber that the debates surrounding Ministerial salaries are also the most emotive anywhere in the world as well. In the minds of many citizens, Ministers cannot make mistakes. The connection is logical. If you pay top dollar, you would expect top performance.

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(84)

Salaries for a Capable and Committed Government

Over the Christmas period, I took the opportunity to ask friends and relatives what they would consider to be a fair wage to pay a Minister and an MP in Singapore. Although this was not a scientific exercise by any stretch, on average, the figure for an MP hovered around the $10,000 mark, while the total wage for a Minister, excluding his or her MP's salary, ranges from $30,000 to $50,000, bonuses included. As reinforced by the Committee, with figures such as these, no Minister would need to worry about his ability to meet the financial needs of his family or have to face a drastic reduction in his standard of living. Many whom I spoke to were shocked that Ministers have hitherto received their pension. If anything, public servants who have for the longest time deserved the pension are our Division 3 and Division 4 civil servants, some of whom draw a salary of around the $1,500 mark. But paradoxically, even years after the private sector removed this anachronism, the PAP Government persisted in retaining for their high flyers until this Committee's recommendations.

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(85)

Salaries for a Capable and Committed Government

Once again, the emotive reaction of Singaporeans is completely logical and understandable. A few months ago, I asked via a Parliamentary Question the monetary amount each Minister in the last Cabinet could expect to receive in pension. The Prime Minister, however, gave an answer to another question – one that was not asked – instead explaining how pensions are calculated. The reluctance to reveal hard numbers provides yet another glimpse into the reasons behind the emotive reaction of Singaporeans to Ministerial salaries. I can confidently say that this Government will never release how much each retiring Minister received in pension, although I hope I will be proved wrong, especially since one PAP MP announced on Monday that Ministerial salaries are transparent and published. Well, following that logic, we should expect the pensions received by retiring Ministers to be published as well.

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(86)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, the political landscape today is anchored by expectations of significantly higher levels of transparency and accountability. To that end, the Committee must be commended for its decision to remove the very concept of a pension for Ministers. In my mind, this has been an apocal recommendation made by Gerard Ee's Committee and I hope Singaporeans duly credit them for it. They did not just remove pensions for Ministers. They have set the benchmark for good governance, accountability and transparency in public service. The Workers' Party welcomes this development as the high water mark of the Committee's recommendations.

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(87)

Salaries for a Capable and Committed Government

It is in the good governance, transparency and accountability that the Workers' Party proposes a simple, straightforward formula by which to determine political salaries. Unlike what was reported by The Straits Times today, specifically one headline which read "WP proposals on pay not that different", the principles behind the Workers' Party's proposals differ significantly. The reasons for these differences were, perhaps, best illustrated by Deputy Prime Minister Teo on the first day of this Debate. Because it is the principles behind the numbers that matter. Where the Committee could have done much better was to remove this concept of pegging Ministerial salaries to the top 1,000 earners in Singapore. It also persisted in pegging MPs' salaries to a percentage of the Administrative Service superscale -- yet another visage of elitism that should not be extended to the political realm.

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(88)

Salaries for a Capable and Committed Government

My erstwhile colleague, Mr Chen Show Mao, made the point about pegging political salaries with the rank and file of the civil service in his speech on the first day, at the MX9 level. But no PAP MP wanted to go there. It is apparent that the PAP are fine with pegging salaries to an elite corps of individuals, many of whom, discerning Singaporeans note, are also cultivated for PAP political office. In the minds of these discerning Singaporeans, the PAP Ministerial selection process is clear. You have to be selected as a Minister first before becoming an MP.

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(89)

Salaries for a Capable and Committed Government

Two PAP MPs tried to address this Administrative Service elephant in the committee's report. One of them only managed to scratch the surface of the issue. Expectedly, that MP was the veritable conscience of the PAP, Ms Denise Phua, and the other was Mr Lim Biow Chuan. If I heard Ms Phua correctly, she wanted Administrative Service salaries to be reduced in line with the spirit of the recommendations of Mr Ee's Committee. Singaporeans should know why she felt that way. What is so special about this elite corps of 300-odd Administrative Service scholars out of the 127,000-strong civil service, a mere 0.02% of all civil servants? And why is the MPs' salary pegged to a percentage of the Administrative Service salary and why not to those of ordinary civil servants?

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(90)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I started off my speech by referring to how much emotion political salaries generate in Singapore. The essence of the WP's proposals, specifically the de-linkage of MP's salary to some percentage of the Administrative Service salary and the top 1,000 earners' peg for Ministers, was precisely formulated by the Workers' Party to remove this emotion from any debate on Ministerial salaries, and to remove the overbearing odour of elitism from political office. It is the Workers' Party's contention that when you remove the connection to elitism, you take the emotive element out of the debate.

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(91)

Salaries for a Capable and Committed Government

In retaining the unmistakable connection to the top 1,000 and to the Administrative Service, respectfully, the Committee has missed an opportunity to fundamentally address the emotive reaction of Singaporeans to political salaries. In The Straits Times today, Review Editor, Ms Chua Mui Hoong, wrote and I quote: "The issue of Ministerial salaries will continue to draw heated disagreement. The formula will be tweaked again, and the future Prime Minister would have to stand up in Parliament and seek the support of MPs and Singaporeans for yet another round of changes." If this comes to pass, it would indeed be a most unfortunate eventuality.

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(92)

Salaries for a Capable and Committed Government

Like my party colleagues, I trawled the Hansard for a record of previous debates on political salaries. Nothing this Government has said over the last three days signalled a real shift in the mindset of how to peg political salaries. Substantively, it certainly looks like business as usual. The Workers' Party proposed the MPs' be pegged to the MX9 level, the starting salary of entry-grade civil servants into the superscale ranks, not the elite Administrative Service scale when an officer at the age of 32 should expect to receive around $400,000 a year, depending on bonuses. If the Government pegs political salaries at the rank-and-file level of the civil service, a level the average Singaporean can aspire to, you remind all political aspirants what it means to be a servant-leader and you unmistakably inject substantive empathy into Singapore's political culture.

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(93)

Salaries for a Capable and Committed Government

Ministerial salaries come next, and, like many developed countries around the world, you choose a suitable multiple that is politically acceptable to Singaporeans. We opine that Singaporeans can be persuaded by the reasoning behind the Workers' Party proposals. While they may be close to the Committee's proposal, the Workers' Party certainly expects a reality check on the 13.5-month bonus a Minister can receive – a figure that flies in the face of the Committee's commitment to clean salaries. For the record, standing to secure a bonus of half your salary can hardly be expressed as a clean salary. In monetary terms, it is akin to the perks some MPs in other countries get, like a car or housing allowance. With respect to the Committee, the Workers' Party proposal of a five-month bonus is much clearer, much cleaner and publicly conscionable.

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(94)

Salaries for a Capable and Committed Government

As many Singaporeans would understand by now, the Workers' Party proposals take their cue from the rank-and-file of the civil service. Ordinary respectable civil servants who represent the spine and the spirit of the public service. One PAP MP was dissatisfied with the dental benefit of $70 the Committee proposed for Ministers. But if the rank-and-file civil service is extended a $70 dental benefit, why should it be different for Ministers? Do they have golden teeth? If this Government wants its Ministers to have more dental benefits, then extend the same privilege to our civil servants, for they serve the public, too. This is much preferred instead of treating Ministers differently. They are MPs and public servants first.

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(95)

Salaries for a Capable and Committed Government

The new normal does not call for super heroes, as one PAP MP suggested. It calls for servant leadership. Servant-leaders are those who back proposals that are akin to what mainstream Singaporeans can aspire to. As the Workers' Party numbers show, this is achievable and you can still attract high quality individuals to politics, but only if you do not limit your MPs to come from the top 10% to 20% richest Singaporeans, as PAP MP Mrs Josephine Teo desires. Other PAP MPs have gone about the shortcomings of Workers' Party approach: to apply a multiple to MP's salary and thereby deduce the salary for Ministers.

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(96)

Salaries for a Capable and Committed Government

Others suggested it is arbitrary and that you could decide to pay your Ministers by working backwards from a pre-determined figure. I was a little surprised to hear this from MPs like Mr Vikram Nair and Mr Zaqy Mohamad because the reasoning behind the Committee's proposals is no less arbitrary. As recommended by the Committee, MP's allowance is pegged to 17.5% of an entry-level Administrative Service superscale scholar. Ministers get a 40% discount of the salaries of the top 1,000 earners. Is that not arbitrary? Why not 10% or 12.5% of entry-level Admin Service super-scalers, or a 50% discount for Ministers as opposed to 40%? Can you not get to the figures you want, by manipulating these percentages? But it leaves me to acknowledge the intellectual honesty of Mdm Halimah Yacob who noted that whilst a specific multiple for Ministerial salaries proposed by the Workers' Party can be interpreted to be arbitrary, so were the numbers and percentages contained in the Committee's recommendations.

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(97)

Salaries for a Capable and Committed Government

The neutral may say both the WP and PAP proposals are arbitrary, and I think the intellectually honest in this Chamber will be the first to raise their hands and say there is a lot of truth to this. But the difference lies in the principles behind the WP's proposal. We seek to persuade Singaporeans that political salaries ought to be underwritten by a key Workers' Party philosophy: that public service is open to all Singaporeans. The privilege of being of service to your fellow countrymen is the attraction of being an MP. You are an MP first before becoming a Minister. Public service in Singapore is for all Singaporeans, and opportunities to be a Minister should not be restricted or institutionalised to the few with silver spoons.

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(98)

Salaries for a Capable and Committed Government

To conclude, Mr Speaker, if human resource is indeed our most precious commodity, as Mr Gan Thiam Poh has reasoned, then it is indeed pragmatic that we send the right signal to all Singaporeans and open the prospects of political service, including becoming Ministers, to all Singaporeans, not just the top 10% to 20%. The Prime Minister also alluded to the difficulty that PAP may face recruiting individuals to become Ministers if salaries are not competitive. With respect, I would urge the Prime Minister to leave some room to consider the possibility that perhaps it is not the salary, career or family circumstances that is the issue. On the contrary, another reason could be that in light of the new normal, talented people feel that the PAP is no longer capable of hosting the aspirations for Singapore and no salary can move them.

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(99)

Salaries for a Capable and Committed Government

We in the Workers' Party believe that choosing the appropriate benchmark is critical as it sends an unmistakable signal when the principles behind your salary peg is at a level the average Singaporean can empathise with and aspire to. In doing so, we believe that the emotions that have justifiably bedevilled the debate on political salaries over these decades will finally be assuaged. I may not have convinced this House but I certainly hope to have convinced Singaporeans that while the numbers behind the PAP and WP recommendations may not be worlds apart, the principles behind them most certainly are. Mr Speaker, Sir, I oppose the principles behind the salary benchmarks chosen by the Committee and therefore I oppose the motion.

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(100)

Salaries for a Capable and Committed Government

Mr Vikram Nair, do you want to make a clarification? Keep it short, please.

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(101)

Salaries for a Capable and Committed Government

Sorry, Mr Speaker, I was trying to get your attention yesterday because I think Mr Yee Jenn Jong asked me three questions. And I would like to address the one point that Mr Singh made, if I may?

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(102)

Salaries for a Capable and Committed Government

Keep it short.

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(103)

Salaries for a Capable and Committed Government

Yes. The first question Mr Yee asked was whether I made my recommendations to the Committee: the short answer is "yes, I did" but I did it in writing because I did not think I was sufficiently special to ask for an audience. The second, and this is the more fundamental question: what is the difference I think between the Workers' Party's proposal in terms of salary and ours because I think the Member asked me to check with the Prime Minister why he said it was higher and I said it was lower. The answer is actually quite simple. I think I should perhaps correct the error which I realised Mr Chen mentioned in his Facebook page yesterday as well. The Workers' Party's starting salary for Ministers is $55,000. That is also the benchmark. On the Committee's side, however, the benchmark is $55,000 but the starting salary is lower. So, it is $47,250. That is one of the key differences. Now, what is the result of that difference? The result of that difference is that the Workers' Party's proposal results in a higher base pay for the starting Minister but a lower maximum bonus, whereas on the Committee's proposal, the starting salary would be lower but the variable bonus is higher. So what does this mean in principle? This means that earlier ---

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(104)

Salaries for a Capable and Committed Government

Mr Nair, keep it short, please.

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(105)

Salaries for a Capable and Committed Government

Okay, sorry. The key difference in principle is that in a year when performance targets are not met, the Workers' Party's proposal will provide more pay. And in a year when performance targets are met or exceeded, the Committee's proposal will provide more pay. That is the key difference in terms of how they work. The final question is how we should vote. I think one of the key points I was making is obviously we should all vote according to our conscience but there is not much difference in principle. We all believe public service should be the most important thing. Now, the Workers' Party has not said the salary should be reasonable, but looking at your proposal, the salaries are in the same ballpark. So, I think there is a lot of common ground. All I was hoping to do is to highlight the common ground.

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(106)

Salaries for a Capable and Committed Government

Now, in terms of Mr Singh's point that I highlighted that the Workers' Party's proposal was arbitrary, that was not really as a criticism but more actually to highlight the fact that whatever formula you come up with, there is some element of arbitrariness. But one point I should make is that the Workers' Party arrived at $55,000, apparently independently by coincidence at the same number as the Committee did. What is interesting is that the probability of two four-digit numbers coinciding is miniscule, as anyone who has bought 4D would tell you. The probability of two five-digit numbers coinciding, I would say, is probably miraculous. This means there is probably some special agreement between us.

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(107)

Salaries for a Capable and Committed Government

Mr Pritam Singh, do you want to respond?

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(108)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker, I would like to thank ---

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(109)

Salaries for a Capable and Committed Government

Similarly, please keep it short.

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(110)

Salaries for a Capable and Committed Government

Yes. I would like to thank Mr Vikram Nair for his comments. I just do not understand. Did he ask a question that he would like me to answer because I am not sure whether you were making a statement or whether you were asking me something? Could you just clarify, please?

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(111)

Salaries for a Capable and Committed Government

No, I was making a response in relation to your allegation that I had accused you of being arbitrary. In fact, that was really not an issue because we both agree there is some degree of arbitrariness in both proposals. But what I was pointing out is that we somehow arrived at the same benchmark, miraculously, through two independent routes.

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(112)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. Mr Nair, thank you very much for that clarification. I am not going to agree with you about the "miraculousness" of the figures in the proposals that were decided upon by the WP and the Committee. But the point I made in that paragraph was to identify what Mdm Halimah Yacob had said. I think she brought up the point acutely. Well, I did not think that that point was made by you as acutely as she did. That is all I am saying.

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(113)

Salaries for a Capable and Committed Government

Ms Denise Phua, do you have a clarification, too?

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(114)

Salaries for a Capable and Committed Government

Sir, I would like to ask a few questions to the Member, Mr Pritam Singh. First, I would like to ask if you would please agree not to comment further that I am the conscience of the PAP. I just want to state to everyone in the House that the conscience of many of my PAP colleagues in this House is intact and I am not the only conscience or the conscience of the PAP.

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(115)

Salaries for a Capable and Committed Government

The second question is: can his colleagues not try to punctuate every comment that they make in Parliament with the Workers' Party brand. This is no more the General Election rally. We are here to discuss issues and serve our constituents, represent our constituents as MPs first and I think there is no necessity to try to politicise and brand the party every time we discuss important topics like this.

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(116)

Salaries for a Capable and Committed Government

My third comment is, to ask the Member if he had pre-empted what I said, even though I mentioned about the need to take off the cloak of secrecy over the Administrative Service, I really had asked the Prime Minister to conduct an independent review of the top civil service leadership that will go beyond pay to attract, develop and retain talent for a capable and committed Government. And that is what I have asked the Prime Minister to do. And I also agree very much with the Member that servant leadership is ---

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(117)

Salaries for a Capable and Committed Government

Ms Phua, do you have a question?

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(118)

Salaries for a Capable and Committed Government

--- a very important feature of serving in this nation and also that is a very desirable feature of trying to be a "superhero politician" here to have this ability to meet the broad bandwidth of expectations of politicians. Servant leadership definitely is a desirable feature of a politician that I would admire.

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(119)

Salaries for a Capable and Committed Government

Mr Singh, do you want to respond?

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(120)

Salaries for a Capable and Committed Government

Mr Speaker, I do not have anything to add to what Ms Denise Phua has said.

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(121)

Salaries for a Capable and Committed Government

Mr Yee Jenn Jong.

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(122)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. I would just like to reply to one point by Mr Vikram Nair about this $55,000 versus $47,000. Mr Vikram Nair seems very determined to prove that the Workers' Party's proposal is higher than that of the Committee. Now, we have always been, in our recommendation, focusing on the main principles behind our proposal which I feel is important, the starting point from the MP pay. So, we have been using benchmark pay versus the Committee's benchmark pay. Of course, we understand that when we go into details, there will be some salary range and, as the Committee proposed, it will be between 0.85 times and 1.1 times of the benchmark. Workers' Party has not gone into the details of this because we feel it is not necessary at this point. It is better to debate on the broad principles. I do not know for whatever reasons he wants to continue to harp on these reasons that ours is higher than the Committee's, but I do not feel this is necessary and actually diverts attention from the main point that we are bringing up.

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(123)

Salaries for a Capable and Committed Government

Mr Alvin Yeo.

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(124)

Salaries for a Capable and Committed Government

Sir, I would like to seek clarification of comments made by Mr Pritam Singh and by Mr Gerald Giam earlier, where they criticised the level of bonus set by the Committee as being up to 13.5 months as somehow not being consistent with a clean wage. I would just ask Mr Singh and Mr Giam whether they are aware that it is a commonly accepted ---

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(125)

Salaries for a Capable and Committed Government

Well, Mr Yeo, Mr Giam is not around, so you may want to address Mr Singh's point.

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(126)

Salaries for a Capable and Committed Government

Yes, Mr Giam is not here, so I would just ask Mr Singh then whether they are aware that it is a commonly accepted remuneration practice that the more senior the position, the greater the weightage of remuneration is placed on bonus. So, for instance, it is typical for a CEO to have more than half his remuneration based on bonus. The idea here is not that it is not a clean wage, it is made quite transparent so the Committee has made it clear that with the good bonus, a Minister would get $1.1 million. That is out in the open. The idea of having a heavier weightage of bonus is to make it clear that the Minister will not get that pay unless his performance is in keeping with KPIs which include national outcomes which improve the lot of Singaporeans. And my request for clarification is, does Mr Pritam Singh not accept that that is consistent with the principle of having a Minister being made accountable for his performance, not just with his own KPIs but with that of nationally set outcomes which better the lives of all Singaporeans?

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(127)

Salaries for a Capable and Committed Government

Mr Pritam Singh.

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(128)

Salaries for a Capable and Committed Government

Mr Speaker, thank you very much. I would like to thank the hon Member for his question also. I think he has probably put in the best way possible why the principles behind our proposals are so different. We are not looking at the private sector, the CEOs in the private sector, how bonuses are paid out to them. We are looking at the rank-and-file civil service. I believe that political salaries ought to have some comparison with the rank-and-file civil service. Now, if the rank-and-file civil service are not paid double-digit bonuses, then we feel in the same way that Ministers should not get double-digit bonuses.

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(129)

Salaries for a Capable and Committed Government

And I think the other point that I tried to make in my speech was, if you pay these high bonuses, sure, it may be common or expected for CEO of GE or some other big MNC but what that works out in reality is an additional part of your wage which when you compare with other countries, you have these additional perks, motorcycle allowances, bicycle allowances that Mr Inderjit Singh spoke about. We feel that it comes to the same thing, in some different roundabout way. So, what we are saying is, there is a cleaner way to reach that clean wage definition, and that is by keeping bonuses a little bit modest and sober.

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(130)

Salaries for a Capable and Committed Government

Mr Alvin Yeo, do you have a clarification?

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(131)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I do not believe Mr Singh has answered my question as to whether a higher weightage of bonus, more than half, is consistent with the principle of making Ministers accountable for performance. And with respect, I do not agree that the motorcycle allowance stands in the same shape and form as a bonus which is made transparent and known to the electorate.

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(132)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, thank you. I thank the hon Member for the follow-up question as well. I disagree with him, obviously. And the second point I would like to make is even if your bonus was, let us say, five months or 5.5 months, as the Workers' Party is recommending, does it mean that Ministers would be somehow less accountable? I do not believe so and my party also does not believe so. We feel that bonuses can be capped at 5.5 months and that is our position.

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(133)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I think Mr Pritam Singh probably misheard me when I spoke yesterday. There was a point where the Workers' Party talked about how the benchmarks result in monetising the value of political office, and I said that even the benchmarks made by the Workers' Party is an attempt to put some cash value, cash component to the work contribution of the Ministers. So, in that sense, would you then argue that this was an attempt to monetise the value of political office?

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(134)

Salaries for a Capable and Committed Government

The second point I said was that whatever benchmark used will always be subject to question. And in any event, how did the Workers' Party come to a multiple of five times when it comes to the remuneration for Ministers? One could also question whether that is a right benchmark. So that was in the context of the point I made, whatever benchmarks, including the benchmarks made by the Workers' Party, why must it be a multiple of five, why not a multiple of two, why not a multiple of seven? And in that context, every form of benchmark would be subject to question.

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(135)

Salaries for a Capable and Committed Government

And I think that is precisely what I am saying as well, that any benchmark will be arbitrary. And I think the Member Mr Zaqy was suggesting that the Workers' Party's multiple was arbitrary but the difference between him and you -- not "you", I cannot say "you" -- between him and Mdm Halimah Yacob, the important thing that she did was she pointed out that both parties, both proposals, had an element of arbitrariness to it, and I respected that.

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(136)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, allowing me to seek a clarification. This is to Mr Pritam Singh, of course. I was just puzzling over his comments about what I said and thinking about the proposals that have been put forward by Members from the Workers' Party. Well, as it turns out, the number that the Member has proposed to pay a Minister, is actually not very different from the number that the Committee chaired by Mr Gerard Ee is paying. What that means, in effect, is that the Member is also proposing to draw roughly from the same population that the Committee is proposing to draw from, to fill our political leadership. So, how is it then that the Committee's proposal is elitist but then the Workers' Party's is not elitist? That is the part I fail to understand.

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(137)

Salaries for a Capable and Committed Government

I thank the Member for her question. I think, really, the essence of where we are coming from was best enunciated by the Deputy Prime Minister on the first day. It is not the numbers that is the issue. It is the principle behind those numbers. And we have moved away from pegging Ministerial salaries to the salaries of the top 1,000 and the Administrative Service. And that is the principle we are getting at. And what we are suggesting is we do not need to peg it to people right up there. Peg it to the average Singaporean, at a level where Singaporeans can aspire to, not the numbers, the principle.

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(138)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker, much obliged. Again, Mr Singh, two clarifications. Did I not hear Members agreeing that the principles that were enunciated by Mr Ee's Committee are the same principles that you also subscribed to, unless I heard you wrongly? The second thing is that I also remember very distinctly the Deputy Prime Minister when he talked about pegging the salaries at number 1,000, he also distinctly said it does not mean we only draw people from around that salary range. Did he not make that clear or did you not pick that up?

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(139)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. At the risk of repeating myself, I think what we are getting at and I think we have made this very clear: if you try and differentiate what the Committee recommended and what we are recommending, we are saying that the Committee's use of the percentage of the Administrative Service salary scale is something we do not agree with. So that is one principle that is fundamentally different. So I hope you are clear on that. If you are not clear, I am sorry. I cannot be clearer than this.

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(140)

Salaries for a Capable and Committed Government

The other point was the one pegging the salaries to the top 1,000. Again, we do not agree with that. We think there is another way which is more acceptable to the public and critically, critically, we feel that will take the emotion out of the debate. And it will set the tone in future decades for a more sober assessment of political salaries.

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(141)

Salaries for a Capable and Committed Government

Sir, can I just make a clarification? The Committee is not here but I have read the report. I do not see in the report anywhere that the Committee has pegged the salaries to the Administrative Service scale.

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(142)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. To the Deputy Prime Minister Teo, from what I understand from the Committee's report, MPs' salary is 17.5% of the entry level of an Administrative Service officer. That is where we have a difference of opinion.

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(143)

Salaries for a Capable and Committed Government

Mr Speaker, I have read the report very carefully. I hope that Mr Singh has also read the report carefully before he has made extensive comments on it. The MPs' allowance is pegged at 17.5% of the Minister's salary. That is what the report says.

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(144)

Salaries for a Capable and Committed Government

Mr Singh, would you like to answer that? No. Dr Janil Puthucheary.

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(145)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. I would like to ask for the hon Member, Mr Pritam Singh's opinion whether he agrees that the Workers' Party recommends that an independent body look at the salaries of the political appointment holders, the Ministers and the MPs going forward; whether he imagines that this body would seek a wide range of opinion from Members of this House - from the PAP, the WP and any other members of parties that may be present in the future. And I would like to specifically ask whether he believes this has already happened. It appears that Mr Ee's Committee, as an independent body, has sought views of the PAP MPs, it has sought views of the WP MPs and has come up with a non-partisan recommendation. And if he does not agree that it has happened, could he explain why? If he does agree that this has happened, could he explain why the WP does not support the motion, Sir?

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(146)

Salaries for a Capable and Committed Government

Mr Speaker, I beg your pardon. I did not catch the initial parts of Dr Janil's questions because I was checking on the comments made by Deputy Prime Minister Teo. From what I understand from the report -- and if I have made a mistake or error, I apologise to this House because I think it is only honourable for me to do so – but where I am coming from really related to the numbers and I felt that the numbers were high and those numbers are specific, quite similar to Administrative Service officer salary numbers. But it is very clear in the Report that it is at the MR4 level and I acknowledge the error that I made. Could I ask Dr Janil to repeat his questions, please?

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(147)

Salaries for a Capable and Committed Government

Mr Speaker, I asked whether Mr Pritam Singh believes that the process of salary review that the WP has recommended by an independent non-partisan body has already occurred? WP has made a proposal that going forward, the salaries be reviewed by an independent body. I have imagined that this body would seek views from PAP MPs, opposition MPs and I am asking if he believes this has already occurred in the process of Mr Ee's Committee making the recommendations.

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(148)

Salaries for a Capable and Committed Government

I would like to thank the hon Member. Just to clarify. I did not make any comments on this independent Review Committee's report. So I am not sure I can answer that question. Not because I do not want to but I did not refer to it in my speech. So, I do apologise to the Member but if I did not make any comments with regard to that particular aspect, I cannot answer that question.

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(149)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I was not asking about the comment that Mr Pritam Singh made in his speech. I was referring to the WP's proposal which he based his speech upon for the salary reviews going forward, Sir. So, I would just like to ask the question – does Mr Pritam Singh believe or agree or accept that, today, here in this House, we are discussing a recommendation, a motion to support a recommendation that has been formulated by an independent, non-partisan Committee which has taken the views of PAP MPs as well as the opposition MPs as well as the wider public and put forth a non-partisan recommendation that it believes is in the best interests of Singapore? I am asking, Sir, if the hon Member agrees that that has happened. If he does not, I would like to ask why the WP opposes the motion?

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(150)

Salaries for a Capable and Committed Government

Mr Singh, if you feel that it is not in your speech, you do not have to answer.

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(151)

Salaries for a Capable and Committed Government

Mr Speaker, Dr Janil, I believe, is asking do I feel that the Committee was independent, non-partisan. I have no reason to believe otherwise. But I can only speak for myself. I am not speaking for the Workers' Party.

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(152)

Salaries for a Capable and Committed Government

Let us move on. Mr Baey Yam Keng.

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(153)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, when I entered politics in 2006, I had to leave my public sector job of 10 years to join a local real estate company. I was fortunate that my subsequent two-and-a-half years there coincided with a period of property boom and, as with many other colleagues, I enjoyed about nine months' of bonus, stock options and accommodation perks as the company also owned a serviced apartment subsidiary. Three years ago, I made another career switch and joined an international public relations consultancy where I still am now. This company practises a 12-month salary package and, comparing apple to apple, the terms and conditions are much less attractive.

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(154)

Salaries for a Capable and Committed Government

However, I know that I should not make comparisons as it is a different industry now. I made a switch because I wanted to try something different and, looking back, I am happy that I made a jump, as I am now convinced that communications is where my heart is. Joining this line has offered me many good opportunities to develop as a professional and as a person. It is also very relevant to my role as an MP.

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(155)

Salaries for a Capable and Committed Government

If I have expected the PR company to match or better the annual package and all the perks I used to enjoy, I would not have taken up the offer and would have missed entering a new, exciting phase of my career. As the Chinese saying goes: 赛翁失马,焉知非福.What we may lose now could give us better returns in future. So, we should not miss the forest for the trees.

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(156)

Salaries for a Capable and Committed Government

The job of a political appointee is fundamentally different. It is not a position we can apply to. First, there is no application form. You need to be first elected by the people. And we have seen how voters' choice can change a person's destiny overnight. Then, the Prime Minister appoints his Cabinet. And it does not mean that once you are a Minister, you are going to stay as a Minister forever. There are now several veteran former Ministers serving as MPs.

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(157)

Salaries for a Capable and Committed Government

The Prime Minister said yesterday that he does not discuss the terms and conditions with his prospective Ministers. As we can see this time round after GE, our Ministers were already working hard in their jobs without knowing what they will be getting. And the cycle starts again every five years. I need to add that it is not easy to resign or quit for a Minister, if he or she finds a better opportunity or he or she does not like the work. It is like a five-year contract with no exit clause. In 1985, during a debate on Ministerial pay, Mr Lee Kuan Yew responded to Mr JB Jeyaretnam's proposal to cut Ministerial wages by at least a third, "And then we all become honourable men who have suddenly sacrificed ourselves for duty and public service."

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(158)

Salaries for a Capable and Committed Government

Indeed, getting or agreeing to a lower pay does not make one more honourable. Likewise, being a Minister, whether past, present or future at a higher pay does not mean the Minister is less honourable. At this point in time, whether it is 53% for the Speaker, 37% for a junior Minister or 3% for MPs, this should not affect our commitment to serve the country, community and people of Singapore. It is a commitment that we all made when we went to the polls. Our constituents have voted us in and it is our duty to do our best to serve them.

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(159)

Salaries for a Capable and Committed Government

The time that we all spend and the efforts we make in our public duty cannot be compensated by money. However, the experience and learning that we all gained working with the many volunteers and activists, interacting with residents and people from all walks of life, as well as the opportunity to make a difference for Singaporeans -- this is not something that money can buy.

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(160)

Salaries for a Capable and Committed Government

Yes, the salary revisions will affect some people who are considering politics. Yes, we all cannot live on air, and we all have our families to support. However, people's aspirations change over time. There are people who give up successful careers to pursue different interests and passions in life. I believe and I hope that there will be enough good and talented Singaporeans who are not put off by material limitations. We need to have better faith in our fellow countrymen. Hence, I support that while we need to pay decent salaries, we need not be fixated on matching private sector pay. I fully applaud the discount taken off the benchmark.

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(161)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, usually in a company, only your boss and HR know your salary. Your superior does your appraisal and HR policies guide your salary adjustments. However, almost everyone will feel that he is underpaid and deserve an increment and a higher bonus. Likewise, most people will think that others are overpaid and should get a pay cut and a lower bonus. Now, everyone knows what the Ministers are getting and everyone is the HR director. Everyone has a right to his opinion and to provide input to this review.

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(162)

Salaries for a Capable and Committed Government

At this point, I am surprised by Member Yee Jenn Jong's clarification yesterday that the Workers' Party (WP) had met Gerard Ee for two hours, but had chosen not to share with him and his Committee all the points that his party has made in this debate in the last three days. Instead they kept some suggestions to be raised only in Parliament. Even if all WP's suggestions to the Committee were not incorporated in the final report, they could still have raised them in Parliament. So either they have not thought through this matter thoroughly, or they have changed their position, or perhaps there are other political motivations, I wonder. In fact, I am also a bit confused by the position taken now. I thought I understood WP's points that they are taking a different approach and, hence, the principles about how the salaries should be benchmarked or calculated, although the quantums are the same. But I heard Mr Pritam Singh's point just now that he made the reference towards Administrative Service pay – not in principle but because the quantum was similar to what is proposed by the Review Committee – so I am getting confused.

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(163)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, there will never be a right formula. We can have an issue over the approach whether it is pegged to top 48th, 1,000th or 10,000th salaries, or should it be benchmarked against the lower percentile, or the civil service? I think we all agree that the public duty should have a discount, but is it a 40% or 80% discount? I think we all agree that it is arbitrary and very subjective.

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(164)

Salaries for a Capable and Committed Government

Sir, I would like to make two suggestions. One, given that the benchmarks are based on the 1,000th salaries, there will be a one to two-year lag before data are available from IRAS. Hence, the situation may happen when top Singaporean earners enjoy healthy income increments in a buoyant economy, but when these salaries are used as the benchmark two years later, Singapore has gone into a recession. It then becomes politically not tenable to increase political salaries when people are being retrenched. We have seen it happened several times when increments based on the previous formula were deferred or forgone. I suggest that we fix the salary and have no adjustment for the full term of Parliament – that is, a fixed fee for a five-year contract. The National Bonus and Performance Bonus can stay.

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(165)

Salaries for a Capable and Committed Government

I initially wanted to suggest an annual salary adjustment based on our Consumer Price Index. However, I know critics will jump to say that there is a conflict of interest as Ministers would then have no incentive to keep inflation down. So, therefore I know we cannot win on this, so let us keep it simple and stay with a flat basic monthly salary for five years.

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(166)

Salaries for a Capable and Committed Government

My second suggestion. While I agree that we should have a "clean wage" without any hidden benefits and perks, I cannot help but agree with Member Denise Phua and disagree with Member Mr Pritam Singh that the medical benefits are really quite basic. I believe people can accept that our political leaders should have the best medical care either with increased coverage or even free of charge. We all cannot choose when or whether to fall ill or not, and it is in the interest of the country and Singaporeans that our Prime Minister, our Ministers are given the necessary medical treatment and recover well and fast to continue serving the nation.

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(167)

Salaries for a Capable and Committed Government

I hope the Review Committee will consider my two suggestions when it does the review again in five years' time. On the review frequency of five years, I am not sure whether the Committee has the intention to coincide it with the General Elections (GE). I think it may be good to let the Committee decide political salaries after GE. Hence, no candidates would know what salaries to expect when they are running for a seat. So perhaps voters will then be able to assume that all the candidates are really altruistic.

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(168)

Salaries for a Capable and Committed Government

Sir, the public has been very demanding and critical of politicians, especially since GE last year. While expectations and standards should not be compromised, we need not get too emotive. We need to be patient and understanding that it takes time for the right action to be taken, for issues to be resolved and things to improve. Hopefully, the salary revisions will appease people's feelings, whether it is 53% or 3%. Let us unite as a country and as a people to overcome the many other challenges facing Singapore. With that, Sir, I support the motion.

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(169)

Salaries for a Capable and Committed Government

Mr Yee Jenn Jong, do you have a point to clarify?

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(170)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. I would like to clarify on the point that is made by Mr Baey Yam Keng. He asked why we withheld information. I would like to clarify a few things. Number one, I did not say that he met Mr Gerard Ee. Mr Giam met the Committee of Gerard Ee. And I would wish to clarify the error in the report in today's newspaper that my colleague, Gerald Giam, met with the Mercer consultants who were sent by Gerard Ee to seek input from MPs.

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(171)

Salaries for a Capable and Committed Government

As to the clarifications to be made, number one, Workers' Party was never asked to be part of the Committee but, nevertheless, we have very obligingly met for more than two hours and we shared all the key points that are in our proposal. There were no changes in our position. We shared our benchmarking principles, we shared various KPIs and stuff like that that is needed to be inside. What I meant when we say some details were not given, of course, we also need time. We met the Committee quite early in the stage and we ourselves have to convene our own research to go and gather information from various countries to benchmark. Of course, we would not have reached, at that point in time when we met the Committee, all the details that we need to share. But I would like to say it publicly that there is no shift in the positions of the Workers' Party and we have not withheld important information from the Committee.

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(172)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I thank the Member for clarifying that and I am surprised that the Workers' Party expected to be invited to give inputs to the Review Committee because it was a very public review and any member of the public was invited to send in their recommendations and suggestions to the Committee. But I can understand that perhaps the Workers' Party expected to be invited to give their points. And I did hear quite clearly yesterday Member Yee's point that not all information were shared so I now understand that he has now said that not all the details were not given, but all the principles and approaches were shared with the Committee. So I take it as what the Member has explained now.

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(173)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. Of course, we understand that all members of public were invited to give their inputs and which we did. What I said was we are not part of the Committee. We are not a member of the Committee. If we are a member of the Committee, we would have behaved differently. Of course, we would be part of the research, gathering the data, analysing together with the Committee. But having not being part of the Committee, we, nevertheless, gave other inputs that we felt it is needed. It is the framework that we have used in our final report. We needed time to gather some data before we arrive at certain final figures. Was there any other part that I have missed out?

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(174)

Salaries for a Capable and Committed Government

No, I think that was all, Mr Yee. Mr Baey Yam Keng.

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(175)

Salaries for a Capable and Committed Government

Thank you, Sir. I would just also like to reiterate that I think none of us in this House was a member of the Committee. And, in fact, I need to categorically say that the Review Committee did invite every Member of this House to contribute to the review. I think it was stated publicly by the Committee when it was first convened.

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(176)

Salaries for a Capable and Committed Government

I am not sure what is the point that the hon Member is trying to get at. I would just like to state again that we have given whatever information that we had available at that time and, of course, we are rather disappointed that our benchmarking formula did not feature inside, and, of course, that is why we could not support the proposal.

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(177)

Salaries for a Capable and Committed Government

Mr Yee, I think we have got the point. Dr Lim Wee Kiak.

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(178)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, thank you very much for allowing me to clarify with the hon Mr Yee regarding whether he thinks that for this independent Committee, the members should come from different political parties – to sit together. In that case, where is the "independence"? Or should this independent committee be formed by non-politicians – by different segments of the entire society, eminent people to sit together and decide on the politicians' salaries? So, should the politicians' salaries be decided by the politicians or by non-politicians?

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(179)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. I would like to clarify that I am not saying that we must be invited. And I feel that what is more important is that the Parliament remains the platform for us to debate our proposal. We gave whatever we felt it is necessary to be given and we reserve the right to debate this in Parliament because that is the whole purpose of why we are here.

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(180)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker, for allowing me this opportunity to share my thoughts on this issue. A lot has been said over the last few days in Parliament and a lot of views have been exchanged by the public who obviously take an interest in this topic. I would like to, perhaps, take a slightly different tack to share on the rhetoric and the reality of service.

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(181)

Salaries for a Capable and Committed Government

I am a new Member of Parliament as many of my friends are on both sides of the House. And this debate is useful for us to take a few steps back to ask ourselves very fundamental questions. I will address three things today: why we serve, what price our service and the rhetoric and the reality of this service.

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(182)

Salaries for a Capable and Committed Government

We serve because we all, in this House, believe that this place called Singapore is our home and it is worth fighting for. We may have different views, and as I have said it before, if we strip the politics, the rhetoric out of these few days' exchanges, there is a lot more in common than we care to admit. We should not try to speak as if we are the most committed, the most passionate, the most principled, etc. We all are in our ways.

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(183)

Salaries for a Capable and Committed Government

Secondly, as the hon Mr Chen Show Mao states so eloquently, we serve because it is a privilege, and I agree. I would add that we serve because it is a calling. It is not a career. It is an honour that none of us takes lightly. I think all of us here believe in this. Importantly, we make sure that we do the real work on the ground. And we serve because we want to make a difference. For example, there is a prospect of economic downturn coming, not everything is within our control but we have been planning on how best to ride it, manage it and to look after Singaporeans.

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(184)

Salaries for a Capable and Committed Government

Livelihoods are at stake. We do what we can, as we do on a whole range of issues. It is not just talk and debate.

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(185)

Salaries for a Capable and Committed Government

Things are not perfect by far, but we continue to try and do as best we can.

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(186)

Salaries for a Capable and Committed Government

On balance, Singapore is in pretty good shape considering the difficulties in the last decade or so.

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(187)

Salaries for a Capable and Committed Government

Our work continues.

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(188)

Salaries for a Capable and Committed Government

Who do we serve? We serve our people, our country, for today and for tomorrow. As the hon. Mr Yee Jenn Jong states, Singapore is not a company, nor a business. It cannot be run as such. All of us agree. It is far more than that. But should we not be prudent? Should we not put in place systems and processes to keep things going well? Should we look at numbers? Should we look at details? Should we make those difficult decisions that are sometimes necessary but painful for some?

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(189)

Salaries for a Capable and Committed Government

We face these decisions everyday in our households, do we not? At our work place? These are the realities of life. There is no point pretending otherwise and it is no less for a country. Does addressing these things make Singapore a company which is inferred when you made that statement? We address these because we are responsible and we care for the well-being of our people and our nation.

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(190)

Salaries for a Capable and Committed Government

Let me share with you this card I received on Monday at my Meet-the-People Session from one of my residents. She is a single mother with an abusive ex-husband, with school-going children and was finding it difficult to secure a rental flat.

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(191)

Salaries for a Capable and Committed Government

It is addressed to Member of Parliament, Mr Tan, not Minister.

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(192)

Salaries for a Capable and Committed Government

谢谢你给我的帮助, 孩子们已经搬进新家了。心里对您的感激永远不会忘记。您帮助了我重新开始人生的第一步 ,也是最困难的第的一步。我会好好珍惜和努力往前走。 在这里还是要多一次说谢谢您。 祝您新年快乐、万事如意。

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(193)

Salaries for a Capable and Committed Government

In English: Thank you for your help. The children have moved into their new home. In our hearts, we will never forget your help. You have helped me to take the first, which is also the most difficult, step to begin our lives afresh. I will treasure this and will continue to work hard to move forward. Thank you once again and Happy Lunar New Year.

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(194)

Salaries for a Capable and Committed Government

This is not unique – I think all of us from both sides of the House receive such cards, acknowledgements from time to time.

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(195)

Salaries for a Capable and Committed Government

We are all Members of Parliament, elected by the people.

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(196)

Salaries for a Capable and Committed Government

Can we price our responsibilities? Impossible. This effort is not about pricing the office. But we all know that once we move beyond the proclamations of service, we need to work the mechanics of this. It is something we need to do, whatever the formula.

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(197)

Salaries for a Capable and Committed Government

As we have seen, Worker's Party accepts that we need to do that as well. Honestly, I think these principles are not dissimilar and are in the same ballpark. The numbers do not necessarily differ greatly, depending on what the performance is and so forth, and I do not intend to go into details on this.

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(198)

Salaries for a Capable and Committed Government

So is the Opposition also pricing our service as well in this effort? Of course not!

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(199)

Salaries for a Capable and Committed Government

Are the models very different? Let us look at this.

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(200)

Salaries for a Capable and Committed Government

A very emphatic statement was made about us being MPs first. Indeed, we are. But I was curious when hon Member Pritam Singh made these grand statements of a political nature -- that for us, we are Ministers first, before MPs. There is no such thing. He added that only the top tier can become Ministers. I would suggest that it is rather untruthful. We are MPs first unlike certain MPs who have stated that it is not their responsibility to look after the low-income group, that it is the Government's responsibility.

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(201)

Salaries for a Capable and Committed Government

That is why all of us as Members of Parliament, even as office holders, make sure we look after our residents as best as we can. We push the Government to do more, and complement the national efforts when we are able to. We do not wish away our responsibilities. We walk the talk as best as we can.

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(202)

Salaries for a Capable and Committed Government

The Worker's Party suggests that an MP's pay be based on MX9 because it is an extension of public service. But then again, MX9 is also based on market considerations. This is part of the entire pay structure of the civil service -- from MX9 to beyond the Administrative Service pay. We look at the private sector pay and adjust it accordingly. MX9 is the entry level to the Superscale level. So, I suppose we add in some multiples to make up a credible political number.

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(203)

Salaries for a Capable and Committed Government

So, on one hand – you have multiples of a top civil servant's pay at MX9. On the other hand, as proposed by Mr Gerard Ee's committee – a so-called discount factor on the top 1,000.

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(204)

Salaries for a Capable and Committed Government

Mr Chen states that political service is not a discount factor. I agree. It is not. I have talked about why we serve.

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(205)

Salaries for a Capable and Committed Government

So in the same spirit, would it be correct to say that in WP's reckoning, that Political Service is a "mark-up factor"?

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(206)

Salaries for a Capable and Committed Government

I do not think so. That would be a cheap political shot. Because that is not what you mean.

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(207)

Salaries for a Capable and Committed Government

My main puzzle is a logical one: the Workers' Party formula must come from some foundational perspectives – either it chooses the market-peg that we have worked on, or it puts forward another basis altogether. Pegging it to the public sector sounds good at first glance, but it does not count because the public sector too derives from that market-peg. So statements like "Cabinet is not an extension of the Private Sector" again sounds very good and we agree. But does it not then follow that under the Workers' Party formulation, "the public sector is an extension of the private"? Surely not, as well.

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(208)

Salaries for a Capable and Committed Government

Pays are linked across sectors not because their missions are similar but because the empirical reality is that the same pool of people can flow to either side. There is no point pretending otherwise.

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(209)

Salaries for a Capable and Committed Government

So I suggest that we are, in many ways, on the same song sheet. Which leads me to the last point.

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Salaries for a Capable and Committed Government

As I said earlier, I totally agree political service is a privilege.

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(211)

Salaries for a Capable and Committed Government

But you know it's not a credit card sort of privilege, and membership in Parliament does come with some privileges. I do not primarily think of it that way nor many of my fellow Members. For me, it is a calling to serve. It is a hard-won honour, but more importantly, it is a responsibility. Our responsibility as leaders is to apply our hearts and also our minds to best serve our people. There are practical issues we need to manage -- the budget, sustainability, and trade-offs. They may not be emotive or gut stirring, but that is what responsible leadership is about.

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Salaries for a Capable and Committed Government

Responsibility is not about flowery rhetoric but about translating this belief into reality on a daily basis, to make things better for our people.

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(213)

Salaries for a Capable and Committed Government

Establishing a fair, transparent and pragmatic pay structure is part of that responsibility. Why do we pretend and paint it in negative political tones when in reality, you are doing very much the same with your approach?

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(214)

Salaries for a Capable and Committed Government

What I found most troubling was that a committee was set up in good faith to seriously review the political salaries. Yet it now appears that the Opposition has chosen not to share with the Committee the ideas that they are so passionately championing. I understand that Mr Yee has explained. But two days ago, Mr Gerald Giam would not give a clear answer. But I thought Mr Yee's response yesterday was illuminating. In essence, the thrust of what he said was -- there is no need to share that much with the Committee because they would rather table it in Parliament. But the fact of the matter is that the Review Committee was set up to review the structure and the robust debate that we have today can still continue.

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(215)

Salaries for a Capable and Committed Government

So, what does this suggest? I think if we are sincere in trying to make things better, we should help the Committee do the best job possible rather than focus on gamesmanship in Parliament.

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(216)

Salaries for a Capable and Committed Government

Is this the First World Parliament that they are talking about? I see many First World Parliaments out there floundering. They consume their future and are embroiled in rhetoric and politics that keep them from helping their countries get out of their respective ruts.

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Salaries for a Capable and Committed Government

But I trust that that is not the First World Parliament that you are talking about. And I think all of us want a model that works for us – regardless of what you want to call it.

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(218)

Salaries for a Capable and Committed Government

There is this matter of sacrifice that I would like to address. It was shared that political service is not about sacrifice.

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(219)

Salaries for a Capable and Committed Government

We do not all wrap ourselves in a flag and proclaim our patriotism. I believe all of us on both sides of the House serve for the right reason. We all take different routes. The hon Mr Chen, for example, left Singapore for many years. He became exceedingly successful and then returned to serve our people. Some of us have stayed on and served our nation in various capacities. For some of us, it is our entire lives. And in our own simple way, we are proud to have served and to continue serving.

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(220)

Salaries for a Capable and Committed Government

I admire those who proudly proclaim that there is no sacrifice in stepping forward to political service. It took me a long time to decide even though I had been serving in our Army. Political service is public service but somewhat different. Does this make me a less committed Singaporean?

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(221)

Salaries for a Capable and Committed Government

I am pained by the knowledge that I will miss the many moments when my children are growing up and time with my family. My parents are not getting any younger. Those moments missed do not return. Ever. In time, I will look back, and there will be gaps. But that is life.

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Salaries for a Capable and Committed Government

I am not sure how one considers it a privilege to miss these precious moments. It trivialises all of us who do cherish these.

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(223)

Salaries for a Capable and Committed Government

Does that make all of us lesser beings?

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(224)

Salaries for a Capable and Committed Government

Political office is a privilege, a calling and a responsibility. Whatever sacrifices there may be, we do so because we believe there is a higher calling and it is worth this effort to step forward.

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Salaries for a Capable and Committed Government

As a Christian, I believe that serving my fellow Singaporeans is my responsibility and count it as a blessing that I am able to do so.

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Salaries for a Capable and Committed Government

As a soldier, I know and I have seen with my own eyes that real and true service involves sacrifice all the time. We sacrifice what we hold dear to serve something bigger than ourselves.

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Salaries for a Capable and Committed Government

There is no dollar value that can be attached to this.

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Salaries for a Capable and Committed Government

And neither should we play games by competing to see who can proclaim their credentials louder with savvy emotive laden language. Or who is more noble with the cleverer turn of phrase.

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Salaries for a Capable and Committed Government

It is ultimately about human lives and our people's future. There are real concerns that our people struggle with, and it is our duty to make lives better.

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(230)

Salaries for a Capable and Committed Government

While it may not make for good politics, we believe that it is the right thing to address this pay issue head on.

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(231)

Salaries for a Capable and Committed Government

In being an honest Government, and I am not talking about corruption here, we try our best to deal with realities and to squarely address them.

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(232)

Salaries for a Capable and Committed Government

Rhetoric is important. But it is more important to carry out our responsibilities as elected Members of Parliament as best as we can. Ministerial pay is something we need to decide on. Before the elections, I did make statements that I think it is something that we should review. I believe the recommendations are fair. It will provide us with a reasonable basis to implement this sensibly. With that, Mr Speaker, I support the motion.

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(233)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. May I seek a clarification from the Member on whether he sees a difference between the private-sector pay of the top 1,000, to which the Committee is proposing to peg Ministerial salaries, and the private-sector pay to which the salaries of our rank-and-file civil servants outside of the Administrative Service are compared to in the process of the review of their salaries?

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Salaries for a Capable and Committed Government

I thank the hon Member for the question. There is a difference. What the Committee proposes is using certain segment of the pay and then bringing it downwards. What you are proposing is to take a segment of the pay and bring it upwards. The point is that we all recognise that the way we factor in salaries for the public sector has to take into cognizance how the private sector pays, because we are drawing from a pool of people who can move between private and public sectors. At the MX9 level, obviously at the Director level, it would be drawing from a pool of people of a certain age at that level, and then you scale it up. In essence, what I am saying is that while on the surface it sounds like it is different but, in reality, it is very similar. The numbers that are thrown up show that, actually, we are all in the same ballpark; rather, the Committee proposes a model but then perhaps you choose to spin it in a different way.

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Salaries for a Capable and Committed Government

I have two clarifications to seek from the hon BG Tan. First, I would like to ask the Member if he is saying that I am insincere after the clarifications I made to the earlier questions that all the gist of what is in our proposal has already been shared with the Committee. The second question I would like to ask the Minister of State and the hon. Member is whether he expects that in this First World Parliament, we do not have the right to come up with an alternative proposal just because some independent committee has looked into it and come up with a proposal.

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(236)

Salaries for a Capable and Committed Government

Sir, I thank the hon Member for his questions. Firstly, I do not doubt his sincerity. Let me place that on record. What I cited was what the Member said in Parliament yesterday. That, in essence, he had shared and he acknowledged that, and he described it now that he shared with the Committee some of the views and so on. The Member provided a bit more details today, which I recognise. But he did say something that was quite telling, which struck me, and which I found, on the one hand surprising, but also disturbing that, "Well, we need not necessarily tell them everything. They can wait for Parliament because that is what Parliament is for."

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Salaries for a Capable and Committed Government

And I agree with him that Parliament is where we can carry out robust debates. But robust debates on the Ministerial pay structure, as proposed by the Committee, can still be debated fully and robustly even with providing the Committee that effort, to actively take in all the considerations so that they can do as best a job as possible. That is what Parliament is for. But when committees and various efforts are put in place to help make things better, we do what we can to help them and to put it forward. So it was on that point that I found disturbing. But I do not doubt the Member's sincerity in approach, nor do I doubt his credentials and his commitment. But I thought the whole approach was telling from the way the Member put it across.

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(238)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, thank you very much. I thank the hon Member for his remarks. I would just like to clarify because I think the impression is being created that just because not all the Workers' Party MPs participated in the Committee report or gave recommendations or suggestions that somehow we came into Parliament to try and undermine the Committee's findings, recommendations and so forth. I feel that impression is being created. If the Member feels that the Workers' Party politicised the issue -- and I think the Member is doing the same -- what I do want to say is that at no point do we feel that the Committee has been partisan, has been unfair to us or that they are supporting the Government or they had that conclusion already and they wanted to proceed to provide a report that the Government would have rubber-stamped, not at all. And I want to make that clear to the Member.

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(239)

Salaries for a Capable and Committed Government

I am not sure why you feel so troubled. I apologise, no "you". I would like to thank the hon Member for his clarification. But I am puzzled why the hon Member feels disturbed because I did not make this allegation. It was part of the earlier conversation. In my speech, I did not address this point. But I think it is worthwhile to reflect on the whole approach. The issue at hand, now that I am here, is that if we are sincere about trying to change the Ministerial salary structure for the better, something that would be acceptable for our people, then it behooves all of us who have perspectives, passionate views, to help the Committee get to as best a solution as possible. This Committee is non-partisan. It is made up of people who are respectable, and it has drawn on many perspectives from the public. As we all know, there are many different views. It is not easy, but they have done the best job they can. The question is, and the honest point is, it does not stop the Opposition from not sharing everything and choosing to do it and raise it in Parliament. That is your right. All we are raising is, it is an interesting observation.

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Salaries for a Capable and Committed Government

I would like to thank the hon Member for clarifying that he does not doubt my sincerity. I may be repeating myself again. But I would just like to put on record that all important points in our proposals were shared. As you can see, the Committee itself took a much, much longer time to come up with its own findings. They had a lot of research to do. Similarly, the Workers' Party itself had to convene our own research and we had to spend a lot of time to do it. So when we were called to share, we shared whatever we could at that point in time. We did not feel that we had withheld any important information. Nevertheless, we feel that it is enough for them to work with.

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Salaries for a Capable and Committed Government

I thank the hon Member for that clarification. I fully accept that. The point I was making was on the points the Member made yesterday, and I think that is something that was of note.

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(242)

Salaries for a Capable and Committed Government

Order. I propose to take the break now. I suspend the Sitting and will take the Chair again at 4.00 pm.

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(243)

Salaries for a Capable and Committed Government

Sitting accordingly suspended

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Salaries for a Capable and Committed Government

at 3.40 pm until 4.00 pm.

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Salaries for a Capable and Committed Government

Sitting resumed at 4.00 pm.

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(246)

Salaries for a Capable and Committed Government

Debate resumed.

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(247)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. When this House discussed the issue of Ministerial salaries in 2007, I focused on the technicalities of the old formula, and what I thought was wrong with it. But I had failed to appreciate the bigger issue. Money changes how people look at things. Paying high salaries can be intellectually reasoned, but it affects the relationship between the Government and the people.

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(248)

Salaries for a Capable and Committed Government

Government is not perfect. It has never been, and will never be. We have all, at one time or another, been critical of something the Government did or failed to do. But, as former American President Bill Clinton once observed, a successful country needs both an effective government and a good economy. No exceptions. In Singapore, we have both. Other government leaders, international commentators and experts agree that Singapore, and what we have achieved, is exceptional. This did not happen by chance. The people of Singapore deserve credit. And so does the Government.

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(249)

Salaries for a Capable and Committed Government

Singaporeans know this, and are appreciative of what the Government has done. But the issue of political salaries, more than any other, has shaped the change in tone of our national dialogue. When we pay top dollar, we expect top results, and are less forgiving of errors. And so it has become with the way people treat Government. Any mis-step is met with the response that mistakes are unacceptable from highly paid leaders. Things have become more "transactional". The emotional connection, that redoubtable bond, which Singaporeans have always had with the Government, and which has been the bedrock of Singapore's success, is at risk of disappearing.

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(250)

Salaries for a Capable and Committed Government

Will the new formula make a difference? Many Singaporeans have shared their thoughts on the subject, and there are as many opinions as there are people sharing them. But what I find interesting is that very few are willing to state precise figures or precise formulas which they would be comfortable with, let alone what everyone will agree on. I met a group of 30 bright, young undergraduates and I asked them, "What do you think a Minister or Prime Minister should be paid?" None of them was willing to offer a specific figure. They all agreed it was a very difficult issue. I met with a group of working adults and asked them the same question. Their answers ranged from $500,000 to $3 million. Again, they accepted that was a very difficult issue and none of them could say that they were more right or others were more wrong. No consensus at all. Even opposition parties cannot agree on the formula or quantum. Some have declined to go into specifics obviously to avoid scrutiny.

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(251)

Salaries for a Capable and Committed Government

The Workers' Party has an alternative but, unfortunately, has also decided to play a game of cat and mouse. I am very puzzled by the exchanges I have been hearing in the last few days. Let us go back to the beginning. When the hon Mr Gerald Giam was asked about what he shared with the Committee, he declined to say, stating and citing that it was private. There are only two inferences, that is, either the Workers' Party's public position differs from its private position or that the Workers' Party has changed its position since the report came out. Otherwise, why is there anything to hide? Why keep it private? Then NCMP, the hon Mr Yee, let the cat out of the bag. He made the extraordinary statement that the Workers' Party did not share everything with the Committee so that they could raise them in this debate. Today, he stands up in the House and says that "Oh, it is not that we did not want to share everything that we had. It's that we were in the middle of doing research and we were not ready with all our facts and figures but we shared what we had." But that is not what he told the House yesterday. I have before me what he told the House and I quote. He said, "We do not feel that we had to give everything to the Committee and this is precisely what Parliament is here for." Later on, he said, "I believe Parliament is where we come up with another proposal to be decided upon." So, it is quite clear what the intention was.

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(252)

Salaries for a Capable and Committed Government

The Government had set up an independent Committee which took many months to ponder over the proposals, invited feedback from Singaporeans at large, received over 500 submissions. The whole purpose was to obtain as broad a feel as possible for the issue and try to come up with the best possible proposal and formula in the interests of Singapore. The Workers' Party decided to hold back some of their proposals which they say were meaningful because they wanted to come to the House and announce to everyone they have better ideas. In short, they put their Party's interests before Singapore's interests. I am not doubting Mr Yee's sincerity but I doubt his consistency. But it does not matter. Workers' Party can play whatever political games they want. It is their prerogative. Playing games and fence-sitting are the privileges of the Opposition. Politics is about making decisions, and the Government has one to make.

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(253)

Salaries for a Capable and Committed Government

So let us go back and look at all the arguments. And there are many different arguments. But despite all this, I believe there is much common ground between Singaporeans on this issue, which is often ignored. I would like to talk about matters I think we can all agree on.

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(254)

Salaries for a Capable and Committed Government

First, we can all agree that the Prime Minister and the Ministers have very important and difficult jobs. They affect almost every aspect of our lives. In fact, is there any other job which has a greater impact on the success of Singapore and the well-being of Singaporeans?

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(255)

Salaries for a Capable and Committed Government

Second, we can all agree that we want first-class public services. When the former Chairman of the US Federal Reserve, Dr Paul Volcker, was in Singapore last year, he was asked what he thought of our policy on salaries. Dr Volcker is a world-renowned experienced economist. He has been a public servant all his life. When introducing him to the audience, Dr Kishore Mahbubani, I recall, made a point that Dr Volcker was content to earn a very modest civil servant salary despite the fact that he could have earned much more in the private sector, and I believe that was why he was asked that question by the audience. So I expected him to talk about the privilege of service. He did not. Dr Volcker's response to the question was simple and astute. He said it was a good idea to pay public servants well as it is important to ensure good public services. He cited the US Government's response to Hurricane Katrina and the BP disaster in the Gulf of Mexico as evidence that the US public services were seriously lacking. In short, in his view, you need good, capable people to provide good services, and you should pay good people well. The logic is irrefutable.

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Salaries for a Capable and Committed Government

The third thing we can agree on is that not every capable person wants a life in politics. I dare say most do not. There are very good reasons for this, not least of which is the effect on their families. While we do not have an intrusive media, there is still a considerable loss of privacy and a significant impact on personal lives. That includes having your spouses and children being openly discussed and their conduct scrutinised. Who wants that? Many will feel, quite understandably, that that is too high a price, whatever the pay.

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Salaries for a Capable and Committed Government

The fourth thing we can agree on is that we do not want to set salaries so high as to make money the sole or main reason for seeking office. At the same time, we do not want it to be so low as to become a disincentive. NCMP Mr Yee says we are fishing for talent in too small a pond. But if we create financial obstacles for good, capable people who are willing to step forward to serve, we are only making that pond smaller. No one wants us to do that. Everyone wants to make public service open to all Singaporeans. Paying less does not make the pond bigger.

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Salaries for a Capable and Committed Government

Now we come to the nub: what should we pay capable people who perform critical jobs? This brings us to the other "s" word, which tends to dominate this debate: sacrifice. It has been said that public service is a privilege and not a sacrifice. Again, no one disputes that. But that is not the argument. The argument is that leaders should make sacrifices because it demonstrates that they care about what they are doing. That is another thing we can all agree on: we want our leaders to care about Singapore.

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Salaries for a Capable and Committed Government

But why do we look at sacrifice only in money terms? I think we are asking ourselves the wrong question. It is not how much our leaders should sacrifice, but what we want from them. I do not want someone who tells me his best quality is that he loves his country or that money is not important to him. Because these are the easiest things to say, and there will be no shortage of people who will tell that just to win approval.

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Salaries for a Capable and Committed Government

What do I want from our leaders? I do not want them just to be smart and capable. I want them to be the smartest, most capable people in the room. I want them to be fair minded, hard working, compassionate and of unimpeachable character. I want leaders who will not be satisfied until every Singaporean has a home and the means to a better life. I want to know that if there is an outbreak of a deadly disease like SARS, a terrorist bomb goes off, or Singapore faces an economic crisis, we have leaders who have the courage, intelligence, experience and determination to do what is necessary for the good of Singapore and Singaporeans. I want leaders who understand that their job involves a sacred trust, a vow to devote every fibre, every moment, every thought, every everything, in service to their country. That is the true sacrifice I think every Singaporean should demand. And if we get the quality of people right, the question of quantity of pay answers itself. I believe more Singaporeans would agree with that.

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Salaries for a Capable and Committed Government

That leads me to one more thing we can all agree on. It is impossible to answer the question of salaries in a manner which will satisfy everyone. And many have said so in this House. Even the Workers' Party agrees that there is no right or wrong figure. I would, however, make two suggestions.

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Salaries for a Capable and Committed Government

Like others before me, Mr Baey included, I suggest that the proposed formula be tweaked to cap the salaries for the Government's term of office, with an annual increment for inflation. In other words, salaries will not rise if the benchmark median salary rises. That would create more certainty and, more importantly, put paid to arguments that this Government will pursue policies to favour the top earners to increase its own pay.

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Salaries for a Capable and Committed Government

I would also like the Government to do more to keep Singaporeans informed and engaged on this issue. There is still much misunderstanding over salaries, and we cannot have a proper dialogue if people are working off different facts. For example, there are many Singaporeans who still believe that MPs will receive pensions although that was discontinued many years ago. Some even believe that MPs' and Ministers' salaries are tax-free. Not true. Within days of the release of the report, Mr Gerard Ee had to come out publicly and say that some had misunderstood his report and what it said. And despite the enormous publicity on this subject, some are still unclear about the details of the new package. Although I know some would prefer not to keep talking about this issue, I support the proposal for the formula to be revised every five years. I believe we should welcome every opportunity to debate it so that there will be a wider and better understanding of the facts and the arguments. It will also help if we publish annually and in clear terms the average pay package of Ministers, so that we can demolish mischievous allegations that Ministers would secretly earn more through discretionary and undeclared payments. This is fertile ground for those who seek to breed discontent and cynicism. Let us not give them the opportunity to mislead and divide Singaporeans.

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Salaries for a Capable and Committed Government

I end with a final proposition we can agree on. We want Singapore to remain an exceptional nation because that is really the only thing that keeps us relevant. This exceptionalism should not only be in the performance of our economy or the efficiency of our public services. It should also be in the trust and relationship between the Government and the people it serves. All around the world, politics and politicians are viewed with great cynicism. Cynicism weakens the Government, democracy and our country, and we cannot let that happen to us.

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(265)

Salaries for a Capable and Committed Government

I, therefore, support the revision of salaries. The new formula is more relevant and intuitive. It deals with some of the criticisms of the old formula and does away with inequities like pensions. A thirty-plus percent cut is on any view significant. The National Bonus better reflects performance. Even the Workers' Party agrees that a monthly wage of $55,000 a month is fair. And as Mr Vikram Nair pointed out yesterday, even the difference in bonus computations may not amount to very much a different sum. So we now have a sound basis for the Government to move forward, strengthen connections with Singaporeans, focus on the difficult problems we know to be around the corner, and deliver on its promise for a better life for all Singaporeans. Because in the final analysis, that is all that really counts, and I think we can all agree on that. Sir, I support the motion.

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(266)

Salaries for a Capable and Committed Government

Thank you, Mr Speaker. I would like to clarify on what the Member, Mr Hri Kumar, has mentioned just now on what we gave to the Committee and how much we were willing to disclose to the Committee. I am just talking about this Committee and what we gave to the Committee.

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(267)

Salaries for a Capable and Committed Government

We received a request from the Public Service Division to meet with the consultants from the Committee, and were asked to give our views on the issue. We had come up with a broad approach to Ministerial salaries even before the election and that is reflected in our election manifesto. Of course, our interest was to want the Committee to come up with as good a recommendation as possible that would be in the best interest of the nation. So if we had not wanted that interest of the nation, we would not have even answered the Committee's call for inputs. We would have just withheld everything. So what we did was we went for the meeting with the Committee and I am holding in front of me the document which I took with me to meet with the Committee.

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(268)

Salaries for a Capable and Committed Government

As far as I can tell, we gave all the feedback that we had at that point of time in terms of the technicalities of the proposals that we felt would be important for the Committee to take into consideration. I can share some of those things which you might find familiar because we had mentioned that over the past few days. We talked about doing away with the current benchmark of tying it to the 2/3M48 formula. We talked about KPIs for the Ministers and measuring the Ministers' bonus against the achievement of those KPIs. We talked about doing away with pensions. So this is something I mentioned in my speech that I was glad to see that we have done away with the pensions for Ministers. We also talked about tying bonuses to the achievement of those KPIs. So those are just some of the proposals that we put forward.

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Salaries for a Capable and Committed Government

Hand on my heart, I know that we did not withhold anything that we knew at that point of time. But, of course, when the Committee's proposals came out, there were many more details that we could not have foreseen that appeared in the Committee's proposals. So I think it is fair for us to be able to analyse the report, as a responsible party, and come to debate on the basis on that report, rather than on what we had held our positions earlier on.

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(270)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I do not understand why the Workers' Party could insist on dancing at the end of that needle. Let us go back. When the hon Mr Giam was first asked about this issue, he said he did not want to disclose what he shared because it was private. He considered it private. Why? Is it because what they shared privately is different from what they disclosed publicly? Is it because what they disclosed is different from the position they are now taking? Why does it have to be private? He is a politician. He serves the public. He should be more transparent. Well, at least he believes in transparency – a statement which many of his colleagues make. Then, when Mr Yee comes up, and he tries to defend Mr Giam, he says and I again quote, "We do not feel we have to give everything to the Committee and this is precisely what Parliament is here for." And then he says, "I believe Parliament is where we come up with another proposal to be decided on."

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Salaries for a Capable and Committed Government

So it is very clear what their position was. They were not willing to share what they disclosed to the Committee or what they shared with the Committee, and they wanted to reserve some arguments for Parliament. And the only reason why they want to do that is because they want to come up and say and tell the whole world that "I am cleverer because I have a better idea, and let me tell everyone about it." Never mind that months, hours, a lot of resources were spent by Mr Gerard Ee's Committee to put together the best possible package for Singapore. They were playing political games. Today, they come and say, well, it is not that they did not want to share but they were not ready with the research, they had to re-formulate their thoughts, and so on and so forth. They are plainly being inconsistent and they have been called up on that.

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Salaries for a Capable and Committed Government

Mr Speaker, Sir, may I ask Mr Gerald Giam if he would be willing to make public the document they shared with Mr Ee's Committee?

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(273)

Salaries for a Capable and Committed Government

That is something that we will consider.

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(274)

Salaries for a Capable and Committed Government

Mr Edwin Tong.

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(275)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, thank you for allowing me to speak in this debate on a motion which I agreed is one of the few critical issues we have to tackle in ensuring that we continue to have a strong foundation for a good government for the future of Singapore.

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(276)

Salaries for a Capable and Committed Government

This has not been an easy issue to tackle. From the time the question of raising political salaries was first discussed in 1981 to the time it was last debated in this House in 2007 when the Government was justifying a further increase, I can well understand the tension when raising political salaries. But this time, we are looking at a serious reduction and there still seems to be a lot of disagreement. Or is there?

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In the lead-up to the last General Election, this was an issue which was canvassed. The social and moral compact between the Government and Singaporeans were strained, and there was a deep disquiet amongst many Singaporeans over the level of salaries. But the Prime Minister and his Cabinet acted swiftly. Within days of the General Election, an independent committee was set up to relook and review the salary formula. Like many Singaporeans, I was somewhat surprised not only at the speed of the Government's pro-activity in dealing with the issue and their concerns, but that it was prepared to put this sacred cow issue up for scrutiny again. Whatever one may think of the Committee's recommendation, I am heartened that the Government has responded to ground sentiments and moved swiftly to address the issue.

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Sir, any discussion on salaries is bound to be emotive. From salary or bonus discussions in a small business to a large corporate enterprise, and, of course, to a large national debate like this, there are many emotional arguments over how much is enough or not. What is the value of the public service ethos and what is the appropriate level of sacrifice? Invariably, such arguments are also shaped and contextualised by the subjective personal experiences and diverse backgrounds of the person making the argument. Different perspectives will give you different answers. But I would argue, however, that in this debate, we should consider the issue dispassionately and without the emotion. We should start by settling on what we want to achieve and then work out how we can get there. Cast aside the emotion and look at it logically. And if this Committee's report brings us closer to what we want to achieve, then we should all endorse this White Paper.

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In looking at what we want to achieve, let me first start with some basic home truths which I believe are already quite indisputable. Singapore has come a long way in just over 45 years. We have been transformed from a tiny island to a bustling developed nation. We managed to do this because of the sheer determination, belief and strength of the founding generation of our political leaders and the competence of their succeeding generations. We now almost take for granted the economic and socio-political stability of our country that is only the envy of others. But the truth is, had it not been for a strong and visionary government, it could also easily have been very different for us. Just a short hop and skip from here will show you how we could have turned out so very differently. And we cannot do worse if we assume that this state will remain constant. In fact, it can be very transient. If we falter, we can be sure that our neighbours will seize upon it and take advantage. So we have to maintain our position well ahead of the competition. To do so, our Government and each Member of the Cabinet and each political office holder has to be capable, has to be committed and has to have creative talent married to astute leadership to get us home. We need the best and the brightest talents to be brought into public service as our Ministers and political appointment holders. That much, surely, must be a given. We want to be able to choose from men and women of the highest quality and who are capable of making it to the very top of their chosen profession.

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So we know what we want. The next question is, in designing a remuneration system, how do we achieve that? How do we bring the best and brightest into the public service? That, really, is the debate on this motion. Because the best and the brightest are the people who are either at or have the potential to be at the very top of the private sector or their own chosen profession, can we get away by not paying these people competitive salaries? Can we just say, "You come in, we pay you X number of times some civil service salary – five times, nine times" – even if it is a fraction of what he might earn as a top private-sector professional – and expect them to step forward? I think if we look at that alone, the answer is obvious. If we did that, we would lose out. Singaporeans will lose out. We have to be realistic. In today's global world and economy, the options available to a talented and highly motivated individual are dizzying. They have an array of paths and options, both in Singapore and abroad, and we have to recognise that those options are the true opportunity costs of stepping up to public service.

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But let me be very clear, public service is a noble calling. We have heard many of the Members in this House say that. And there is no place for anyone coming forward to serve because of the financial rewards alone. It is a cherished office, and a great honour to be chosen by the people of Singapore to lead and to represent them. But all of us in this House know that. We all know that. We all know it is a privilege and we all understand the intrinsic value of political service or we would not be here. If we would just consider the amount of time we, as Members of Parliament, spent in the work that we do against the additional allowances that we receive as MPs, I think it would be fair to say that most of us would not be financially better off in stepping up to serve. But let us not milk it with rhetoric and make emotional points and let it cloud our assessment of what the right approach ought to be. It is not, as the hon Member Mr Chen Show Mao says, "A question of placing competitive salaries as the first principle." They are all important principles and they work together. It is about finding the right balance.

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Salaries for a Capable and Committed Government

The starting point in recruiting a political office holder must still be that candidate's sense of public spiritedness, of service, of desire and of a need to want to put Singapore first, and his ability to deliver. Those are the primary considerations. And if we have that, then we will be considered. And in considering, the salary must be a neutral factor. That is where the salary formula comes into play. We must find a way to neutralise salaries as being a decisive factor for or against entry to public service, and a balance has to be struck. In my view, whilst tangible sacrifices are called for to give our political leaders moral authority to govern and to lead, the level of salaries must not itself be a disincentive for talented people considering a public sector career. It would be naive for us to assume that we can always rely on other people's charity in coming forward to public service at huge cost to themselves and their families.

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As the Prime Minister has noted in his speech, Members of the front bench are here because of that same sense of public spiritedness and not for financial considerations. But we are designing a system for the future, and we cannot design a system that relies on the good hearts of people alone.

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Sir, when anyone considers a career path, financial considerations matter. Let us not pretend that it does not. We all worry about mortgage payments, looking after our elderly parents, providing for the family, saving for retirement or just for a rainy day. Why should a bright young talent and potential political office holder be any different?

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Sir, the only way to achieve this, in my view, is to start by benchmarking political office salaries to the private sector. We might discount it, as the Committee has recommended 40%, but as a matter of policy, it has to move in tandem with private-sector pay scales. And it is not a question of being elitist. Rather, it is just recognising the appropriate opportunity costs and setting up a salary scale that gives us the best chance of attracting that top talent. Let us ask ourselves, if we want as our political leaders people who are capable of making it to the top of their professional career, then, on balance, where are we more likely to find that top talent? In the higher income scale or the lower? And, as has been repeated several times too, I am not suggesting for a moment that a person outside the top 1,000 Singaporean earners will not necessarily be considered for political office. But that is not the question. The point is, in designing the formula, we have to look at where that talent pool is likely to be, and what the true commensurate opportunity costs would be. And as the Minister of State, Mrs Josephine Teo, says, "That is a basic HR tactic."

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Salaries for a Capable and Committed Government

It is, therefore, unrealistic to de-couple political remuneration from market influences, and I would support the Committee's recommendation to retain the link to the market, with a discount. I would add that I see a visible tangible discount as being necessary to reflect that it is a deliberate mark-down from the market to signify the sacrifice and add to the moral authority of our leaders. In addition, I also think that a significant improvement has been made to broaden the reference points to the top 1,000 Singaporean earners and not just any earner in the chosen six professions. The old formula was debated vigorously in this House in 2007. I did not have that privilege of contributing to that debate. But it was never apparent to me why that formula was chosen and why only a select group of top earners was used.

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So, I welcome this change which focuses the pool squarely on Singaporeans alone, broadens it regardless of profession. You could argue that the pool should be more than 1,000 or less, or that the discount should be more or less than 40% but that is a question of fine-tuning, a formula which can be re-visited at the next review. I would just say that as a starting point, given that the Prime Minister's new salary would rank him at almost 400th, I do not see a pool of 1,000 Singaporeans as being unreasonable.

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Salaries for a Capable and Committed Government

And I would add that for all the loud cries of disagreement by the Workers' Party, their own number actually gets us to within the same ballpark. You have heard the hon Member Mr Vikram Nair yesterday. You have heard several other comments today. The fact is they start with the same or higher base pay and, in fact, they pay more and continue to do so even after five years. I have taken the liberty of preparing a table which I felt best summarises the respective positions. If I could invite hon Members to please have a look at it. I have taken some numbers from the Committee's report and I have also extracted propositions from the speeches made by several Members of the Workers' Party the last few days. If you look at the base scenario of a 13-month package and -- there is a typographical error here -- it should be $46,750. That is based on paragraph 89, page 33 of the Committee's report. That is a 15% discount of $55,000. That gets you to a base salary of $607,750. You contrast that base salary with the recommended proposal of $55,000 on a 13-month package that gets you to more than $700,000 as a base salary. If you add the bonus -- the Committee's proposal for the benchmark bonus at mid tier would be $1.1 million. That is based on thirteen months plus the seven months which includes the bonus at $55,000, and that gets you to $1.1 million. It would be lower if it was used at 15% discount to the $55,000.

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Salaries for a Capable and Committed Government

On the Workers' Party proposal, we have heard from the hon Members Mr Chen Show Mao, Mr Gerald Giam, Mr Yee Jenn Jong and Mr Pritam Singh. Collectively, they say it is three to five-and-a-half months, and I have given the reference at the bottom of the page. You will see that we get to an upper tier salary with bonus $990,000 or something just shy of $1.1 million. It is true that the Committee's proposal does recommend an additional bonus should Singapore exceed target expectations, but that is the benchmark. And if you do compare the benchmark, you will see that we are not far off. The hon Member Mr Pritam Singh says, "Well, the numbers are about the same but our principles are different." But earlier in this debate, the Member for Aljunied Mr Chen Show Mao says, "Actually we agree with the principles." So, which is what? Do they agree or not?

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Salaries for a Capable and Committed Government

Sir, in the past, absolute numbers were used to stir emotions and sentiments against the salary scale. Now that the Workers' Party's proposal gives us the same ballpark, a different slogan is being trotted out – the people-up approach based on five times, nine times – but what does that mean? The hon Member Mr Chen says that the Workers' Party agrees that salaries have to be competitive. Competitive means attractive relative to what the comparable alternative is. In other words, what is your market value? If you accept that the competitive wage needs to be paid, then why peg it from the bottom up? I know of no corporate in the market which pays its CEO "X" number of times the salary of the tea lady, or "X" number of times the salary of some division manager. For all the criticisms of arbitrariness, on what basis do we arrive at five or nine times, if it were not just reverse engineering after already having arrived at a desired number? So, on this point on the benchmark alone, I would invite all those who do not support this motion to re-consider. Accept the recommendations of this Committee.

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Sir, I would like to next turn to another feature of the report which I feel is important, and, that is, of accountability. There are two aspects to it. The first is the recommendation to keep to the "clean wage" principle. It has been addressed by several Members of this House, but it is a vital core principle and I will summarise why I say so. Political remuneration packages should be fully transparent and accounted for with absolutely no hidden perks and privileges. That has been the hallmark of Singapore's political-remuneration principle and I am happy to see it continue; and happier that on that score, there is at least consensus with the Workers' Party.

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In the period before and after the Committee's report was published, one argument against political salaries which kept surfacing was that our salaries were not comparable to international standards. Again, we have heard that several times, and that on the salary of our own Prime Minister, we could get both Barack Obama and Tony Blair combined. But, is that what we really think or want? It must have been tempting for this Government to have said that you know what, let us get paid like Obama with the 132-room White House accommodation thrown in, an expense account, a private jet, paid vacations, and a private chef. It might have been easier. According to BBC reports, senators in Italy almost double their official remuneration with expense allowances as well as free rail, free flight tickets, and so on. In France, politicians get very low interest rates on housing and what is not commonly known is that if a Member of Parliament loses their seat in an election, he or she remains on full pay for half a year, and then a gradually declining proportion of the salary for a further two-and-a-half years.

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The Prime Minister has touched on what some of the members of the parliament in the UK have claimed for. And in the UK today, some three years later, it still remains an issue which continues to bedevil the proper functioning of parliament because they cannot work out how to really pay the MPs, and worst of all, this casts a great shadow, not just on the integrity of the parliamentarians but on the office of the parliamentarian itself. A number of parliamentarians, both of the front and back benches, from both sides of the House, including the Speaker of the House of Commons, all resigned in the wake of those disclosures, and some peers were also charged for false accounting. So, is this what we really want? Why are the critics of our formula seemingly content to accept and indeed advocate what is practised by other countries: a low official pay but supplemented by a variety of perks and benefits? It is a complete paradox and totally regressive. What do these perks cover? How much, for what period? For the spouse as well? Today, the claim is for home improvement, travel; tomorrow, it could be a whole lot more. You just make one exception, and we will go down the slippery slope.

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Even the Australian Government, a model which the Workers' Party has said we should consider, has for some time now been criticised for being less than transparent and the addition perks and benefits which make up the Prime Minister's salary are unknown. This is not even taking into account a pension which ex-Prime Minister John Howard continues to enjoy, and the fact that some of these benefits or the benefits available to him in his tenure as a Prime Minister would continue to be available to him and his spouse even after he has stepped down from office. Can any serious comparison be made between the remuneration system of Australia and what the Committee has recommended? Sir, surely not. We should not even be comparing ourselves with governments who lack the political will and courage to be completely transparent with what each and every political office holder is paid. Sir, the value of a clean, transparent wage system cannot be under-estimated. What you see, is what you get. And we cannot move away from that bedrock which is the clean, transport system, to the slippery slope of hidden perks and benefits.

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Sir, the second point on accountability is that of performance. The Prime Minister has addressed this in some detail but I would just like to make the point that if we accept the principle that we benchmark our political office holders against the market, then it would follow that similar comparisons ought to be made when it comes to the assessment of performance. The corollary of the market benchmarking is that our political office holders must therefore be held accountable like the private sector, and subject to the same rigours and risks. In order for Singaporeans to support remuneration formula, Sir, they must have the confidence and conviction that our Ministers and office holders will be held accountable to those very high standards, and I am glad to have heard the Prime Minister re-affirm that belief.

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Mr Tong, you have one minute.

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Yes, Sir. Let me just sum up then. I will make a few brief points. I think we have agreement in this House over the key principles on which salaries will now be determined. In terms of numbers, we are also in the same broad ballpark; there is clearly a significant narrowing of the gaps which previously existed. And by all accounts, this Committee's report and recommendations are, at the very least, a step in the right direction and based on right and sound principles. I think it is well reasoned and I think it makes the right judgment calls. It is, however, not perfect, it must be tested in application. It will evolve and I am sure it will continue to be fine-tuned at each review which the Government has said it will do every five years. There may be still some Singaporeans who will remain unconvinced; it will take some time to convince them, but we should and I hope the arguments can be considered with an open mind, dispassionately and without emotion.

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As the hon Member Ms Denise Phua said, because there are so many different views of the proverbial elephant, perhaps this is just an issue on which there may never be consensus. But, Sir, we have a duty to put out all the views so that even the blind will be able to call an elephant, an elephant. I personally feel it is time to move on. This is a formula which has evolved over 30 years, too much political capital from all sides have been spent on this. It is time we let our Government get on with the business of governing and improving the lives of Singaporeans and demonstrate that, indeed, it is worth the salary that we are arguing about. And then we might conclude that we are not really arguing over very much. I support the motion [Applause].

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Mr Pritam Singh.

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Mr Speaker, thank you very much. I would like to bring the House's attention to this table that was circulated by the hon Member Mr Edwin Tong. And, specifically, to the bottom left of the diagram: the Committee's proposal with bonusto p 13 months plus seven months. That is the average, I understand the maximum is 13.5 months. And then we look to the right of that table, listing the Workers' Party's proposal. The Member has chosen five months or 5.5 months, which is the maximum of the Workers' Party's bonus amount. So, rather than jump, as the hon. Member Tan Chuan-Jin said that somehow the Workers' Party is playing politics ---

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Mr Singh, can you make the clarification?

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Sir, I am getting there. I would like to ask the Member, why did he choose an average figure for the Committee's proposal so far as the bonus is concerned, but the maximum figure for the Workers' Party's bonus. Should he not have compared average on average, or maximum on maximum?

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Salaries for a Capable and Committed Government

Sir, in my speech, I did say that $1.1 million represents what is the bonus fixed by the Committee at seven months, based on what they feel are achievements of the targets. And if they do exceed those targets, then you get a few months more, and that gets us to $1.4 million or thereabouts. If you were to compare that, like for like, I would still say we are in the same ballpark. If you look at the comparison, at the baseline level, it is $607,000 against $715,000. At the upper end level, on the Committee's recommendation, you get to a figure of about $1.4 million; at the Workers' Party's proposal, it is over $1.01 million. At the baseline level, the differential is also about $300,000 because if you look at the Committee's proposal at baseline, it gets you to a figure of about $900,000-odd versus the Workers' Party's proposal.

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Mr Singh, last clarification, please. Keep it short.

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Thank you, Mr Speaker. I would just like to put it on record that in so far as this piece of paper has been circulated, it would have been just easier for the Member to compare like for like. I think he looked for a conclusion that the numbers are similar, but he should have just put the maximum amount vis-Ã-vis the bonus in the Committee's proposal; because he put the maximum for the Workers' Party's proposal.

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Sir, I am not sure if there was a question in that, but let me just point out, too, that the Committee does say that at seven months plus the 13th month bonus, it is for meeting and achieving the standards, and those are good standards.

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Mr Speaker, Sir, the debate over the past few days is encouraging because what it shows is that there is, in fact, more common ground than differences in the Review Committee's recommendations which the Government intends to adopt, and the Opposition's position. This shows that we have in Parliament a broad consensus on the fundamental principles which should govern Ministerial salaries, although there may be differences in details for final quantum. And we therefore have common ground on which to move forward.

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The Committee based its recommendations on three key principles and there is no dispute on both sides that these principles are good ones and should be adopted. And I have some comments on them.

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The first principle: the Committee benchmarked the salaries against the top 1,000 earners and applied the 40% discount. Now, it has been suggested that this is elitist, and that immediately makes it an emotive issue, because the underlying thrust of that assertion is that if you use this benchmark, then potential Ministerial candidates would not be in touch with the man-in-the-street.

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I would like to suggest a different way of looking at it. In his speech on Monday, Deputy Prime Minister Teo said that the most important criterion for anyone seeking political office is the motivation to serve the people and the nation. Mr Chen Show Mao stated that "political service is a calling and that it is a privilege accorded by the electorate to serve Singaporeans" and that it is primarily "a privilege, not a burden or a sacrifice". These are similar sentiments, albeit expressed in different ways. But then, we must ask ourselves: to whom will Singaporeans accord this privilege? Singaporeans are discerning. They will not accord the privilege of leadership to just any and everybody. They know what good government entails. They also know what kind of Ministers they want. The type of person to whom Singaporeans will accord the privilege to serve them, must be a person with certain qualities. These include integrity, honesty, compassion, a desire to act for the better good of all as well as ability, leadership skills, communication skills, organisational skills and technical skills.

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But where do you find these people? Chances are people with these qualities would by their very nature tend to be successful and would normally have risen to the forefront of any organisation in which they work, whether it be public sector or private sector. And this means that people in those positions would command a certain remuneration and have more options and choices. And this brings us right back to the first principle on which the Committee based its recommendations which is that salaries must be competitive so that people of the right calibre are not deterred from stepping forward to serve. So the first principle is not inconsistent with the concept that political service is a calling and a privilege. In fact, the first principle is intended to help us to get the right kind of persons to whom Singaporeans will accord the privilege to serve them.

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Let me deal with the third principle now. There is no dispute on the third principle either. Everyone agrees that we should have a "clean wage" system. However, I find that whenever there is a discussion on a "clean wage" system, there is always a distorted comparison with other countries. The Workers' Party mentioned that their proposals were derived after reviewing the remuneration systems in 12 developed economies, including the UK and US. Now, the UK and US are the two most often cited examples of where their politicians earn far less than ours. And I thought that because they are cited so often, it is worthwhile to examine the politicians' remuneration packages in these two countries in a bit more detail. And you will see that in these countries, political office is not only a privilege, it is also about privileges. In fact, our more is less, and their less is more, more or less!

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The UK. When citing the remuneration of UK Ministers, one must take into account the Green Book. The Green Book is the Guide to the UK MPs' allowances. The UK Ministers' salaries may be lower but they get a whole host of allowances contained in the Green Book. Now, I encourage our MPs and members of the public to look up the Green Book 2009 Edition which is available online. It is seemingly transparent, yet totally opaque. It seems to be transparent because the type of allowances allowed are listed out, but it is totally opaque because you have no idea what amounts these claims come up to.

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UK Ministers and MPs get the following allowances: Personal Additional Accommodation Expenditure. This is reimbursement for additional expenses staying away from their main home. It covers payments for a second home: Includes rent, mortgage interest, council tax, hotel accommodation, utility bills, gas, water, electricity, oil, telephone calls and line rental service charges, insurance and overnight subsistence of £25 per night that a UK MP spends away from his/her main home on parliamentary business. They also get administrative and office expenditure. They get staffing expenditure. They get travel expenditure. This includes public transport fare, mileage for cars, motorbikes and bicycles, reasonable parking, taxi and private hire car cost and overnight accommodation for parliamentary business. They have a travel card for train, air, coach, ferry and parking costs for themselves, family and staff, European travel and family travel. There is no restriction on the class of travel. They have communication expenditure. They have house stationery and postage. They have a re-settlement grant. They have winding-up expenditure. They have a security budget. And they do not have to pay income tax on any of these.

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And this does not take into account the food privileges. I read an interesting article in the International Express, Tuesday, 10 January 2012 which reported that in the financial year of 2010/2011, the UK taxpayers had to fork out £5.8 million for their MPs' food. Under a UK taxpayer funded subsidy, UK MPs enjoy cheap meals, wines and spirits in the House of Commons. The International Express reported that in the last year this amount soared to £5.8 million, an increase of £87,000, notwithstanding that in June 2010, the Commons Commission said £500,000 should be loped off catering costs, and bar prices should match those of the High Street pubs.

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In the UK Members' dining room, the UK MPs apparently enjoy artichoke and tomato salad with truffle dressing for £2.05, or a char-grilled rib-eye steak with hand-cut chips and béarnaise sauce for £7.

80. So the International Express reported that this means that a total of £1.33 million was spent in the Commons bars, which basically means that for every £10 that a UK MP spent on lunch, £7.60 was paid for by the British public.

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Workers' Party has cited Britain as an example of a country where information on political salaries and allowances is available and they have stringent disclosure rules. The UK system is not transparent. Transparency on the allowances was only forced upon them after an investigative journalist pursued the matter and even then it was only after years of trying to force disclosure under the Freedom of Information Act. The House of Commons resisted it on the basis that it was "unlawfully intrusive". It took a court action to get the information and it was discovered that the perks came up to millions of pounds. You can find this on Wikipedia and there is also the BBC website online.

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I know that the Workers' Party is not suggesting that we should have the same kind of allowances provided in the Green Book. But the point is this: the UK Ministers have lower salaries precisely because their system gives them the Green Book allowances which are not transparent. To cite one part of the equation without also citing the other part is not giving the Singapore public the full picture, which is not right.

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I move on to the US. It is often said that our Prime Minister gets more salary than the US President. Our Prime Minister may get more salary but he gets far less in terms of the value of the total benefits package of the US President. There is an article on the Internet titled "10 Most Expensive Presidential Perks". You should read it. It makes for interesting reading. This is what the US President gets and this list is not exhaustive. In addition to the US$400,000 salary, he gets US$100,000 for travel expenses, US$19,000 for official entertaining. The salary is taxable, the allowances are not. And I also saw in Tuesday's New Paper that he gets an allowance of up to US$1 million a year for "unanticipated needs". One has no idea what "unanticipated needs" are.

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The White House is not just an office. It is a residential home. It has 132 rooms, 35 bathrooms, a movie screening room and a bowling alley, swimming pool, tennis and basketball courts, jogging track, putting green, cleaning, laundry and errand services and a whole house staff. The upkeep is US$4 million a year.

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The US President gets a Chief Usher, an Executive Chef, an Executive Pastry Chef, a whole medical unit, a Social Secretary, a Chief Calligrapher. Oh! I forgot to mention he has a beehive. There is a beehive in the South Lawn which is installed to provide honey for use in the White House kitchen.

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He also has for his transport Cadillac One - armoured limousine, valued at US$300,000. He gets Ground Force One, that is, two Black armoured buses for himself and dignitaries costing US$1 million each; Air Force One, that is actually two Boeing 747 jets under the name of "One" and it has a personal suite, a 26-member crew, a telecoms centre. Do not forget the C141 Starlifter Cargo Plane -- that is to carry Cadillac One to go wherever the President goes. Then there is Marine One which is the helicopter that takes him for short-distance travel and there is also a helicopter fleet which includes Sikorsky and Black Hawk helicopters. Then there is the holiday home and the retirement perks, personal security, state funeral. As I said, the list is not exhaustive. These things we do not give our Prime Minister and I am not suggesting that we should. These excessive trappings of pomp and grandeur are not what we want in our system. But the point is that if you wish to compare what the US President gets against what our Prime Minister gets, then you must take these things into account.

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I come back to the second principle which is the discounted salary. And the benchmark figure that the Review Committee arrived at was S$55,000 a month. The Workers' Party disagreed with this approach in principle and they said, "if this benchmark is accepted by the Government, it would continue to send the message to potential office holders and Singaporeans that top pay is the benchmark by which the importance of the office is to be judged, and the value of political office in the final analysis can be monetised. It cannot be. Not even at the highest income levels."

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Salaries for a Capable and Committed Government

Fair enough. Workers' Party says that we should instead apply the principle of political service first and then MPs as elected representatives of the people should be the starting point for the determination of Ministerial salary. The Workers Party then applied the principle of political service first and the figure they have come up with is $55,000 per month. So it is exactly the same figure as the benchmark figure. And the target or the group from which you would draw people who earn this is really within the same cohort. So we started from the top, worked our way down; they started from the bottom, worked their way up, we arrive at the same place. There is no disagreement there. The main disagreement is on bonuses. But even then you will find that there is no disagreement on the fact that there should be bonuses. And when you look at it, the amount, difference is not hugely significant. It is significant to wage earners who earn less. That is correct. But the difference between the two positions is not that much.

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(325)

Salaries for a Capable and Committed Government

Another point where we are not very different: yesterday Mr Yaw Shin Leong said that the Workers' Party had two other proposals to enhance the "twin towers of accountability and transparency". He suggested an independent commission for the Prime Minister whenever he seeks to change how political pay is determined, and he suggested that the findings of such a commission be subjected to debate in Parliament and to Parliamentary approval. Here we have the Review Committee. It is an independent committee. It is not called a commission, but it is the same thing. Now, we did not make it as a matter of law subject to parliamentary approval but the Deputy Prime Minister has brought the Committee's recommendations to Parliament to seek Parliament's endorsement. Same difference. The principles of accountability and transparency are met. So there really is very little difference between the two positions.

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(326)

Salaries for a Capable and Committed Government

But at the end of the day, while I support the Committee's recommendations and I would endorse the motion -- because it significantly brings down the remuneration which was a cause of concern -- but at the end of the day, from the public's perspective, the issue of Ministerial salaries is not about logic, economics or formulas. It is about the connection between Singaporeans and their elected leaders. In any age, in any country and in any culture, what do people want of their leaders? They want good, capable people of integrity who can provide leadership and have the right technical competencies. They want leaders who they can identify with and, more importantly, leaders who can identify with them. They want leaders who empathise with them, who feel their pain, their worries, will listen, address their concerns, and provide solutions to the problems that people face.

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(327)

Salaries for a Capable and Committed Government

And the thing is this: most people do not earn this kind of salaries. The instinctive feeling is: how can you connect with me? How can you feel what I feel when you do not have the same financial constraints that I have? How do you know what it is to feel like to live day after day in fear that you cannot pay your rent, your mortgage, or something as basic as food? How can you know what it is like to be afraid that you might lose your job because someone else, a foreigner who is a younger and cheaper option for your employer? How can you know this when your pay is so high? That, I think, is the real issue with Ministerial salaries.

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(328)

Salaries for a Capable and Committed Government

And the answer does not lie in pegging Ministers' salaries so low that everyone has to struggle alike. No, the answer lies in this. That the Ministers, with the abilities that you have, with the skills that you have acquired, that you place these skills and abilities at the service of Singaporeans and help solve their issues for them. People do not object to good pay when it is well-earned. And if they feel that a Minister is really working hard for the people, then they are fine with that. Where they get upset is if they feel someone gets a good pay just because he or she happens to land the job of a Minister, and they do not see a real or visible effort on the part of that person.

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(329)

Salaries for a Capable and Committed Government

What this means is that for each and every Minister, he or she must show that he or she is truly indeed deserving of the pay, and the policies that he or she initiates and implements must address Singaporeans' needs. Equally important is the Minister's connection with people. People respond well to Ministers who are in tune with issues of concern to Singaporeans, who identify the solutions and take action on behalf of the people. These are the ones that Singaporeans are happy to work with to achieve a better result for all.

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(330)

Salaries for a Capable and Committed Government

Singaporeans do not appreciate it if a Minister talks down to them or in a way which they feel is patronising or condescending, or who brushes aside their concerns or worries. These, to me, are the key to public acceptance of high ministerial salaries: sincerity, compassion and high performance by Ministers, coupled with a real connection and close bond to the people they serve. Mr Speaker, Sir, I support the motion.

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(331)

Time Limit for Deputy Prime Minister's Speech

Mr Speaker, Sir, may I seek your consent and the general assent of Members present to move that the proceedings on the item under discussion be exempted from the provisions of Standing Order No. 48(8) to remove the time limit in respect of the Deputy Prime Minister's speech?

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(332)

Time Limit for Deputy Prime Minister's Speech

I give my consent. Does the Leader of the House have the general assent of hon. Members present to so move?

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(333)

Time Limit for Deputy Prime Minister's Speech

Hon. Members indicated assent.

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(334)

Time Limit for Deputy Prime Minister's Speech

Resolved, That the proceedings on the item under discussion be exempted from the provisions of Standing Order No. 48(8) in respect of the Deputy Prime Minister's speech – [Dr Ng Eng Hen].

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(335)

Salaries for a Capable and Committed Government

Debate resumed.

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(336)

Salaries for a Capable and Committed Government

Sir, if I may just go back to an answer I gave to the Member, Mr Pritam Singh, earlier. I just want to clarify the position. If the Member could please go back to the table, the base salary is $46,750 on both the left-hand side boxes. On that calculation, let me just state the numbers: on a minimum basis, the Committee's proposal is $607,750. The Workers' Party's position would be $715,000. At the norm or baseline level, on the Committee's recommendation, it would be $935,000 versus the Workers' Party's proposal of $880,000. On the maximum position, the Committee's proposal is $1.3 million against the Workers' Party's proposal of $1.017 million.

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(337)

Salaries for a Capable and Committed Government

Mr Speaker, I would like to thank the Member for that clarification.

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(338)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, over the last three days, we have heard 29 Members share their views and suggestions about political salaries.

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(339)

Salaries for a Capable and Committed Government

I was heartened by both the tone and the substance of the debate over these past three days, compared to the three previous occasions that I have attended debates in this House in 1994, 2000 and 2007 since I was a Member.

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(340)

Salaries for a Capable and Committed Government

While the earlier debates were marked by sharp divisions and strident rhetoric, what struck me this time was the degree of convergence and agreement that we have arrived at.

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(341)

Salaries for a Capable and Committed Government

We all agree on the objective of the debate, on what we are trying to achieve. Members all agree on the need for Singapore to continue bringing in capable and committed people into political office. Yesterday, the Prime Minister shared with us his worries and concerns about how we can continue to bring in able and committed Singaporeans in their late 30s/40s to serve Singapore, in the face of the many exciting and challenging opportunities that they now have open to them, here in Singapore and overseas. He explained why establishing an appropriate salary framework is so important to ensure that we have the leadership that we need for our future.

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(342)

Salaries for a Capable and Committed Government

We also agree that it is the spirit of service that brings us to this House. Members like Mr Sam Tan emphasised that political service is, first and foremost, about having "a heart of service". Or in the words of Mrs Josephine Teo, Mr Chen Show Mao, Dr Lam Pin Min and Mr Tan Chuan-Jin, it is a noble office, a "calling", a "privilege", a "hard-won honour". Sir, I look around at the faces of my fellow Members of this House, and I see that it is this spirit or ethos of service that has brought each one of us here; and this spirit, this ethos of service, is what brings us together, and does not separate or divide us, Members of this House. We are all clearly in agreement on that.

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(343)

Salaries for a Capable and Committed Government

I was heartened that Members have endorsed the three principles which the Committee has distilled as a guide to decide on the salary framework:

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(344)

Salaries for a Capable and Committed Government

First, salaries must be competitive so that people of the right calibre are not deterred from stepping forward to lead the country.

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(345)

Salaries for a Capable and Committed Government

Second, the ethos of political service entails making sacrifices and hence there should be a discount in the pay formula.

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(346)

Salaries for a Capable and Committed Government

Third, there should be a "clean wage" with no hidden perks.

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(347)

Salaries for a Capable and Committed Government

These three principles have been the underlying basis for the Government's salary proposals over the past many years.

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(348)

Salaries for a Capable and Committed Government

There was also unanimous support for the clean wage approach, paying a cash salary and without benefits in kind. Members, such as Mr Arthur Fong and Er Dr Lee Bee Wah, have shared with us how this approach is something not found in many countries, and creates confidence in the integrity of our Government.

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(349)

Salaries for a Capable and Committed Government

Sir, now that both sides of this House have agreed on the principle of clean wages, I hope that this will also put an end to misleading comparisons, both in this House and outside, between the clean wages of our political appointment holders with just the cash salaries of leaders from other countries that provide many benefits which are often not quantifiable. Such misleading comparisons are unhelpful, and just rile up emotions in an otherwise already emotive debate.

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(350)

Salaries for a Capable and Committed Government

One significant feature of the debate this time is that no one suggested benchmarking our political salary levels to foreign leaders' cash pay. This is quite remarkable as this had been a feature in the past.

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(351)

Salaries for a Capable and Committed Government

As mentioned by Dr Amy Khor, Mr Gan Thiam Poh, Mr Edwin Tong, Ms Indranee Rajah and others, there was also general agreement that a Minister's responsibilities are at least as complex and heavy as the jobs held by those in the more broad-based benchmark of 1,000 persons proposed, and Ministers have a much wider impact on the lives of Singaporeans, as Mr Alvin Yeo pointed out. I did not hear any disagreement on that score either.

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(352)

Salaries for a Capable and Committed Government

Many Members also expressed the view that the resultant 37% reduction in MR4 salaries was deep and significant, and appreciated that the starting salary for a Minister at $46,750 a month or for a basic 13-month salary of $607,750 provided the Prime Minister with more flexibility for emplacing new Ministers.

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(353)

Salaries for a Capable and Committed Government

Sir, as I listened to the many thoughtful, heartfelt speeches, what gratified me most was that we have come a very long way on this issue of political salaries, and have moved much closer together, Members from both sides of the House.

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(354)

Salaries for a Capable and Committed Government

On its part, the Government has responded to feedback in a number of areas.

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(355)

Salaries for a Capable and Committed Government

In response to feedback that there should be an independent review process for political salaries, the Prime Minister appointed a committee to independently review salaries for political appointment holders. The Review Committee, chaired by Mr Gerard Ee, comprising eight well-respected members from a range of sectors, had a free hand, contrary to what Mrs Lina Chiam said, and Mr Yaw Shin Leong alluded to. They were allowed "to take into account salaries of comparable jobs in the private sector and also other reference points such as the general wage levels in Singapore". I am glad to hear that Mr Pritam Singh has full confidence in the Committee and its independence. The Committee has arrived at fair and balanced recommendations. Members of this House have accepted the key principles that it has put forward for determining the salary framework, and also many of its key recommendations. The Government has also accepted the Committee's recommendation for the Prime Minister to appoint an independent Committee to review the salary framework every five years.

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(356)

Salaries for a Capable and Committed Government

The Committee's recommendations have resulted in a number of significant changes from the previous salary framework which the Government has accepted and that Members of this House have welcomed.

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(357)

Salaries for a Capable and Committed Government

Pensions for political office holders have been removed, which Mr Gerald Giam, Mr Lim Biow Chuan, Mr Pritam Singh and others have supported.

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(358)

Salaries for a Capable and Committed Government

And a new broader based National Bonus has replaced the GDP Bonus. Many Members, including Mr Zaqy Mohamed, Mr Yaw Shin Leong and Mr Zainal Sapari, welcomed the introduction of the National Bonus which reflects a stronger link with Singaporeans' interests and concerns, though some did express views on the size and ratio between the different factors. Mr Zainal, in particular, made a strong pitch to increase the weight in the national bonus given to wage growth for the lowest 20th percentile income earners, and Mr Alex Yam reminded us of the important goal of raising median incomes of Singaporeans.

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(359)

Salaries for a Capable and Committed Government

Sir, we ought to accept the Committee's proposal as it is, and see if there are improvements that can be made subsequently.

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(360)

Salaries for a Capable and Committed Government

Members who had expressed reservations about the previous salary framework have also been prepared to accept the proposed framework. For example, Ms Denise Phua spoke out strongly and passionately in 2007 about there being good people who would come in regardless of pay. In her speech on Monday, she acknowledged that she "could not find enough of them" – such good people, even to run her charity, let alone this country. Mr Inderjit Singh, who had spoken against the previous 2/3M48 benchmark, has analysed the Committee's proposal for a broader-based, 1,000 person benchmark carefully, and the rationale behind it, and expressed agreement.

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(361)

Salaries for a Capable and Committed Government

But I was most heartened to hear Mr Chen Show Mao say clearly and in very definitive terms, on the first day of the debate, that "We (ie, the Workers' Party) agree with the three principles that political salaries should be competitive, that political service is a calling and has its own ethos, and that wages should be transparent."

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(362)

Salaries for a Capable and Committed Government

These are the three key principles put forward by the Committee as a guide to setting salaries.

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(363)

Salaries for a Capable and Committed Government

This is a significant change and a significant step forward. For the first time, the Workers' Party has stated that it accepted benchmarks, benchmarking salaries competitively, similar to the approach taken by the Committee, and it is a fundamental departure from their past proposals. For example, as reported in a Straits Times article on 5 May 2006, in the run-up to the 2006 General Elections, the Workers' Party said that they wanted the benchmark to be based on what the poorest 20% of Singaporeans earned, and that Ministers' pay could be multiplied by a factor of 100, making their salary, at that time, $80,000 a month.

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(364)

Salaries for a Capable and Committed Government

Subsequently, during the 2007 Debate in this House, Ms Sylvia Lim said that we should benchmark the remuneration of political office holders to that of leaders in foreign countries. The Workers' Party made Ministerial salaries a hot campaign issue last year during the General Elections and proposed, as an alternative, that "€¦these countries pay political office-holders just a fraction" of what our leaders are paid, and "we should benchmark against those countries." Sir, this is very different from what I just heard Mr Giam said, that the position that the Workers' Party is proposing in Parliament is the same as what they had said prior to the GE and in their manifesto.

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(365)

Salaries for a Capable and Committed Government

Sir, the Workers' Party has clearly made a fundamental change, and taken a new position, which I hope they will hold to in the next General Election. I welcome this change.

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(366)

Salaries for a Capable and Committed Government

This change has certainly helped this debate to move forward and arrive at areas of convergence.

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(367)

Salaries for a Capable and Committed Government

The Workers' Party's new position is to peg an MP's allowance to a senior civil servant of MX9 (Superscale) grade, on the basis that it is "competitively benchmarked to general wage levels of Singaporeans".

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(368)

Salaries for a Capable and Committed Government

This benchmarking approach is in line with the principle of competitive benchmarking to local conditions which the Committee recommended, rather than to the salary of foreign leaders.

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(369)

Salaries for a Capable and Committed Government

And while the Workers' Party has stated that the Committee's benchmark is "elitist", the MX9 (Superscale) pool is actually quite a small group. In fact, just 1.2% of our 76,000 civil servants across all services are in the MX9 (Superscale) grade or above.

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(370)

Salaries for a Capable and Committed Government

Sir, in ratio terms, this works out to one out of 83 of our Civil Service workforce, or in round numbers, roughly, one out of 100 civil servants. These MX9 officers carry out significant duties and responsibilities, and are senior civil servants.

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(371)

Salaries for a Capable and Committed Government

So is this a reasonable ratio for a leader? Think of it this way: if a person is in charge of a 10-person organisation, he is 10% of that organisation's workforce.

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(372)

Salaries for a Capable and Committed Government

If he leads a 100-person organisation, he is 1% of the workforce. And if he leads a 1,000-person organisation, he is 0.1% of the workforce. If he is responsible for an organisation which has 1,700 people in it, he is 0.06% of that organisation's workforce -- a number highlighted by the Workers' Party as being "elitist", or too small. There are a number of organisations in the public service which are comparable or larger than 1,700 people, and the leader of such an organisation is 0.06% of that organisation. Is that an unreasonable ratio for a Minister? And the impact of a Minister's work goes well beyond that and affects all Singaporeans.

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(373)

Salaries for a Capable and Committed Government

Does being able to lead an organisation of 1,700 people reflect the qualities we look for in a Minister? That's what 0.06% means. And does being able to lead about 100 people reflect the qualities we look for in an MP? That is what 1% means.

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(374)

Salaries for a Capable and Committed Government

Both 0.06% and 1.2% are small numbers, but when we look at them in terms of these ratios we might be better able to assess and understand whether these reflect the type of qualities we are looking for in our Ministers and our MPs.

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(375)

Salaries for a Capable and Committed Government

Sir, I would also like to clarify that the MX9 (Superscale) salary is not pegged to the "general wage level of Singaporeans". The MX9 (Superscale) officer is not representative of an average "whole-of-government" officer. He is a senior officer with significant responsibilities, in the ranks of the senior leadership of the Civil Service. It is, in fact, pegged to the salaries of quite senior people in the private sector, who hold jobs which have equivalent significant responsibility and scope. So, in fact, Sir, the Workers' Party is proposing that we benchmark MPs, not Ministers, at the top 1.2% of the Civil Service. About half the Civil Service are teachers, and we select our teachers from the top one-third of the cohort. So 1.2% of the Civil Service is quite a select group. But I leave it to Members and the public to decide whether this is an appropriate way to compare. But, Sir, I wish to make the point that this is quite far from the "general wage level" of Singaporeans, and what the Workers' Party has described as a "people-up" approach.

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(376)

Salaries for a Capable and Committed Government

Nevertheless, what is more significant in this analysis is that the principles as well as the way that the Workers' Party have worked out their salary proposals are actually quite similar to what the Committee has done – the principle of benchmarking by selecting a set of jobs, skills and qualities which they feel are comparable, in one case to that of MPs, and in the other to that of Ministers. So the basis for setting salaries is basically similar to that which the Committee has used.

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(377)

Salaries for a Capable and Committed Government

So while the Workers' Party has previously expressed disagreement over not just the basis for determining salaries but also their overall levels, I am heartened now that the Workers' Party's own proposals are at the same general levels as those proposed by the Committee.

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(378)

Salaries for a Capable and Committed Government

For example, the MP's allowance proposed by the Workers' Party, is benchmarked to MX9 (Superscale) of $11,000/month, as compared to the Committee's proposal of $13,750/month. The Workers' Party makes much of this difference, but actually when you look at it, $11,000 is at the lower end of the MX9 (Superscale) salary grade, and $13,750 happens to be about the mid-point of the MX9 (Superscale) grade. So you can pick whichever one you want but, say, you pick $13,750, which is the mid-point of the MX9 benchmark grade that the Workers' Party has chosen. If you churn out the numbers and multiply them up, you come up with an answer which is a bit bigger, but still generally in the same ballpark as well.

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(379)

Salaries for a Capable and Committed Government

As pointed out by Mr Vikram Nair yesterday, the monthly salary for Ministers proposed by Workers' Party is actually higher than the starting salary of $46,750 per month proposed by the Committee. And the Workers' Party has proposed a ratio for the Prime Minister's salary: 1.8 times that of a Minister, while the Committee has proposed 2 times. There is a certain amount of judgement in this. I would use the word "judgement" rather than the word "arbitrariness", which has been used quite widely by some Members of this House. The ratio of MP's allowance to Ministers' salary is also about the same – 17.5% versus 20%.

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(380)

Salaries for a Capable and Committed Government

We should also note that if the Workers' Party came into power tomorrow, it would pay its Ministers a salary which is not much different from what the Committee has recommended. And this would still mean that leaders elsewhere would likewise be paid a fraction, in cash terms, of what a Workers' Party Minister would be paid. This is quite different from the view that it strongly advocated just a few months ago.

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(381)

Salaries for a Capable and Committed Government

As Mr Vikram Nair pointed out, the main difference that remains now is really over variable bonuses, whether there should be a norm of three months of a higher monthly salary, or seven months of a lower monthly salary, including the Annual Variable Component. Mr Edwin Tong tried to work out the numbers, but you can see that they are all roughly at the same general salary levels. The matter of salary structure and design and how one apportions the salary between fixed and variable components is a matter which HR and compensation specialists have a view on. The Committee had the benefit of a compensation specialist, Mercer, to advise on this, who recommended that for jobs at this level, about one-third of the total annual compensation should be variable, so that a good part of the salary is not fixed or guaranteed, but instead linked to actual performance. I do not know if the Workers' Party also sought competent HR or compensation specialist advice. But even compensation specialists might offer different views on what is the appropriate way to apportion between fixed and variable components. A higher number of months of bonus in years when targets are met also means a lower guaranteed monthly wage, and a larger reduction in bonus when targets are not met, as shown in Mr Edwin Tong's numbers.

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(382)

Salaries for a Capable and Committed Government

But what is most important is that the overall levels of the salaries being put forward are both around the same general levels. The Workers' Party has quietly abandoned proposing salaries that are "a fraction" of what they are now proposing. They have indeed recognised that a pragmatic approach is needed when setting salaries, and they have recognised in their proposal that pragmatism and idealism need to be balanced.

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(383)

Salaries for a Capable and Committed Government

I have gone through these proposals in some detail not to point out the differences, but in fact, to demonstrate the clear similarities with the Committee's proposals. When we strip away the rhetorical wrapping, and take a closer look, the Workers' Party's proposals are in fact based on the same set of principles, have taken into account pragmatic considerations, have resulted in salaries that are at about the same general level, and have the same structural features of fixed and variable bonuses, though in different proportions, as what the Committee has proposed.

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(384)

Salaries for a Capable and Committed Government

Sir, I have pointed out these similarities to demonstrate that there is, indeed, much common ground. We should not be accentuating the differences when there are, in fact, so many similarities. Mr Yee Jenn Jong came out strongly to say yesterday, "In conclusion, the annual levels we have proposed are not the same as the Review Committee's. More fundamentally, we object to the principles used to set the benchmark for Ministerial salaries. Therefore, I oppose the motion." After hearing Mr Chen state clearly on Monday that "We (ie, the Workers' Party) agree with the three principles," I thought that we were quite close together. Sir, I am still optimistic, in spite of what Mr Yee said yesterday, because the actual proposals are really quite close.

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(385)

Salaries for a Capable and Committed Government

Yesterday, Mrs Lina Chiam from the Singapore People's Party (SPP) updated the estimated pay that a Minister would need, in her estimation, to live comfortably, which former MP Mr Chiam See Tong had calculated in this House in 1994. In 1994, Mr Chiam's estimate was $50,000 a month, actually $51,000. In this House in 2007, Mr Chiam updated the number to $70,000 per month. Mrs Chiam has now, in her estimation, adjusted this figure to $60,000. I was trying to understand the reason for this adjustment.

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(386)

Salaries for a Capable and Committed Government

But nevertheless, while the SPP has a different method of computation still tied to local conditions and standards of living, it has similarly come up with a monthly pay of $60,000, which is a little higher than the benchmark MR4 monthly salary that the Committee has proposed – and an overall outcome that is within the same general level and similar to what the Committee had proposed.

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(387)

Salaries for a Capable and Committed Government

Sir, let me now speak a little about one subject which this debate was totally silent on. And it is quite remarkable. We are discussing salaries for political appointment holders and Members of Parliament, and unlike many Houses in many other countries which have been cited as models, this debate was silent on allegations of corruption and dishonesty.

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(388)

Salaries for a Capable and Committed Government

It was silent on allegations of abuse of benefits. This is quite remarkable, and is a vindication of the integrity of the Members of this House, and of the system that we have put in place to keep it so.

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(389)

Salaries for a Capable and Committed Government

Let me now address the issue of accountability that a number of MPs, such as Mr Inderjit Singh, have raised, and transparency, which Mr Yaw Shin Leong and Mrs Lina Chiam have raised.

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(390)

Salaries for a Capable and Committed Government

I believe that the Prime Minister has addressed yesterday quite comprehensively how he holds Ministers to account and assesses them.

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(391)

Salaries for a Capable and Committed Government

The Prime Minister yesterday also provided information on the salary grades of the current Ministers. The National Bonus is also fully transparent as the mode of calculation and the numbers that go into it each year from the Department of Statistics, are known to all. And the Prime Minister has periodically provided this House with information on the performance bonuses for Ministers in bands. This provides the public assurance that the salary framework is being applied in a fair and reasonable way, while maintaining a certain amount of privacy for the office holders. I think that is fair. Mr Pritam Singh also asked for a list of pensions for individual Ministers. He wanted to know why the Government has provided the method of calculation of an office-holder's pension, but not given the individual numbers for each person. The Government has provided the method of calculation of an office-holder's pension in detail and stated that the maximum amount is about 11% of the annual salary in the previous framework. Why have we provided the calculation method and not the amount for each individual? Again, this balances the requirement for transparency for the purpose of knowing how the salary framework is applied and to be sure that it is applied properly, while respecting the privacy of individuals.

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(392)

Salaries for a Capable and Committed Government

Mr Yaw has suggested that we should learn from other countries that have websites that also provide listings of Ministers' allowances and other benefits. Well, they have websites listing out the benefits, not just how the Ministers have used their benefits. I am amazed at the research which Ms Indranee Rajah and Mr Edwin Tong have done. But we have indeed learnt from other countries, and the most important lesson that we have learnt, is that providing allowances and benefits is a veritable minefield, and hence the most important lesson that we have learnt is to go for clean wages, so that we can avoid such thick books, such big websites, and such huge problems of abuse. Sir, if we put up a website to account for usage of benefits, the only variable item that will be there is how much a Minister claims for dental treatment – so that is a maximum of $70, and I suppose we will all know how many times he goes to the dentist, and whether he has used up his maximum claim of $70. Mr Pritam Singh knows that this is the position of the Government. So when he made a passionate discourse just now on dental benefits, I think he was making a political speech that was not grounded in any reality that this Government believes in.

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(393)

Salaries for a Capable and Committed Government

Sir, it has been a long and thorough debate lasting two and a half days. But it has been a most fruitful and useful one. I would like to again thank all Members who spoke, earnestly and from the heart.

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(394)

Salaries for a Capable and Committed Government

I am gratified that after the many, sometimes heated, emotional discussions over the past 30 years, we have now taken a major step forward to bridge the once-wide gap – the Government, by accepting the wide-ranging proposals that the Committee has recommended, and the Members on the other side of this House by departing from their old positions and accepting the principles and many key features that the Committee has put forward, as I enumerated earlier.

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(395)

Salaries for a Capable and Committed Government

As a result, we have come to very similar conclusions about how to benchmark political salaries in Singapore by adopting the three key principles: market-competitive salaries; ethos of political service; and clean wage. And after applying these similar principles and methods, arrived at salary levels which are about the same. We have made real progress.

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(396)

Salaries for a Capable and Committed Government

Sir, a number of Members expressed concern about whether the proposed benchmark and framework will result in huge salary increases in the future. Mr Baey Yam Keng and Mr Hri Kumar have suggested keeping salaries fixed for five years. Even under the previous framework, the Government had been judicious in making changes if the benchmark changes very rapidly in any one year. In any case, every change in salary level will have to be done openly and transparently, as was always done in the past, and this House will know about it. And Members have every opportunity to raise questions and take issue with it if Members for any reason have concerns. And of course, I, and the Prime Minister, will do our best to address the concerns that Members have.

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(397)

Salaries for a Capable and Committed Government

Furthermore, the salary framework will be reviewed in five years. After we have worked with this framework for five years, we will have more experience and perhaps we can take on board the many interesting and potentially useful suggestions that have been put forward by Members, such as Ms Denise Phua. If structural changes need to be made to the framework, we will then have the opportunity to do so.

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(398)

Salaries for a Capable and Committed Government

Sir, there will never be a perfect formula, as many Members, such as Mdm Halimah, Mr Faisal Manap, Mr Baey Yam Keng, have highlighted and acknowledged. I acknowledge that too. So ultimately, this boils down to a judgement call, in finding the right balance between recognising the ethos of political service and providing an appropriate and competitive salary. And even the Workers' Party, including Mr Yaw, agrees that the Committee's recommendations are an improvement over the status quo.

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(399)

Salaries for a Capable and Committed Government

Sir, the Prime Minister appointed a Committee of independent persons to study the matter and make a recommendation. They have studied the matter thoroughly, consulted widely and considered the views put to the Committee carefully. They have exercised their collective judgement, and come up with a set of recommendations which have found acceptance in large if not most part by Members from both sides of this House. The Government, on its part, is prepared to accept the judgement of the Committee as fair and balanced.

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(400)

Salaries for a Capable and Committed Government

The Government sees the Committee's recommendations as a step forward. We are happy that the Workers' Party has also changed its position, and converged more closely on the substance of the Committee's recommendations. The principles which the Committee has proposed, and that both the Government and the Workers' Party have endorsed, are important principles to guide ministerial salaries in future. We hope that this will help to settle this important matter for some time to come, and enable us to avoid politicising ministerial salaries, in order to focus on getting the best team to do the best job for Singapore and Singaporeans.

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(401)

Salaries for a Capable and Committed Government

Sir, we have spent much time discussing this issue of political salaries in this Debate for the past two and a half days. It is an important subject that merits such a full debate. Let us now vote to accept the Committee's recommendations, and focus on the real work at hand. As Members of Parliament entrusted by the people to be in this House, let us now focus our energies on our real work – which must be for Singapore, and for the people of Singapore. Sir, I beg to move [Applause].

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(402)

Salaries for a Capable and Committed Government

Mr Speaker, may I first thank the Deputy Prime Minister. If indeed there is convergence today, and if indeed as has been mentioned that today is much like a dance, I would like to thank the Government for leading the dance and taking the first step towards acknowledging that political office salaries in this country need fixing.

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(403)

Salaries for a Capable and Committed Government

While we agree with the three principles ---

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(404)

Salaries for a Capable and Committed Government

Mr Chen Show Mao, do you have a point of clarification that you want to make? This is not a speech.

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(405)

Salaries for a Capable and Committed Government

Yes, this is to seek clarification from the Deputy Prime Minister and also to clarify my position as mentioned by the Deputy Prime Minister – while we agree with the three principles distilled by the Committee, including that political service is a calling and has its own ethos, does the Deputy Prime Minister agree that under the Committee's application of the principles we have produced a new formula that is really quite distinct from what the Workers' Party has proposed? For example, if maximum bonuses were received under the Committee's proposal, Ministerial salary would, in fact, be reduced by 8% as opposed to 31% calculated by the Committee. And under the Workers' Party's ---

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(406)

Salaries for a Capable and Committed Government

Mr Chen, could you please come to the point?

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(407)

Salaries for a Capable and Committed Government

Under the Workers' Party's proposal, it will be reduced by 37%.

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(408)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I think it goes to the nub of what I said just now. We are about at the same levels of salary. There is not a great deal of difference between what the Workers' Party has proposed, what the Committee has proposed and what the Government accepts. Mr Chen is bargaining over small differences here and there. I would have hoped that Mr Chen would have taken a more elevated view of the subject. He has agreed to accept the three principles. The Committee has, in its wisdom, after consulting many people, including some inputs from the Workers' Party, come up with what it thinks is a good formula for Singapore for the future. We are prepared to accept that.

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(409)

Salaries for a Capable and Committed Government

The Workers' Party has come up with a different formula, but as I have pointed out in my speech, very similar in principle, very similar in method, very similar in benchmarking against specific population groups where they feel comparisons are relevant, and have come up with roughly the same number. I think that this House should come together, accept the Committee's recommendation and move forward; take a more elevated view of the subject rather than accentuating the differences.

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(410)

Salaries for a Capable and Committed Government

Mr Speaker, I thank the Deputy Prime Minister for clarifying about the MX9 salaries. I would just like to ask him: does he expect the MX9 salaries to rise at the same rate as the top 1,000 Singaporeans?

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(411)

Salaries for a Capable and Committed Government

There are a couple of questions here. I would also ask the hon Member Mr Giam whether he accepts that MX9 does not represent the general wage level of Singaporeans, as he has claimed. I would also say that I do not have a crystal ball. I cannot tell what salaries will do in the future. These are things which will have to be empirically determined at that point in time. I do not know.

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(412)

Salaries for a Capable and Committed Government

The important point is the principle here. We have now all agreed that we do competitive benchmarking against the market. The Committee's recommendation proposes that. The Workers' Party's recommendation, in essence, proposes that, too. Because MX9, and in fact, all Civil Service salaries are benchmarked against the closest comparables that we can find in the market. But does Mr Giam accept that the MX9 (Superscale) grade does not represent the Civil Service at large and the general wage levels of Singaporeans?

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(413)

Salaries for a Capable and Committed Government

Mr Speaker, I thank the Deputy Prime Minister for explaining the MX9 formula. The exact formula for MX9 was not something that we are privy to. So I have no choice but to accept that the formula that the Deputy Prime Minister has revealed in this House regarding what MX9 is pegged to [Interruption]. I have no choice but to accept because we are not privy to what the MX9 formula is but we are under the understanding that it was more in line with general wage levels than it is to the top 1,000 Singaporean earners. So does the Deputy Prime Minister agree that the MX9 is pegged to a lower level than what is in the top 1,000 earners in Singapore?

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(414)

Salaries for a Capable and Committed Government

I accept that the MX9 is pegged to a lower level than the 1,000 top earners in Singapore. I think that is self-evident and everyone looking at it knows that. But I am a bit perturbed by what Mr Giam has just revealed. First of all, he revealed that he really did not really know what the MX9 (Superscale) grade was, but then he has based his entire system and proposition on it. And he still has not answered the question that I asked him: whether he believes that the MX9 (Superscale) salary grade is representative of the whole Civil Service and of the general wage level in Singapore, and therefore appropriate for use as a whole-of-government, people-up benchmark, as he proposed?

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(415)

Salaries for a Capable and Committed Government

We came out with the reason why we used the MX9 formula, it had nothing to do with whether or not we felt that the people who are earning the MX9 salary, are a larger group of people than the top 1,000 earners in Singapore. The principle why we took MX9 was because we felt that that would be more representative of the majority of Singaporeans rather than the top 1,000. And that is the reason why we have chosen that, it is not because we felt that it is a larger pool of people that we can deal with.

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(416)

Salaries for a Capable and Committed Government

Sir, I would try once again to ask Mr Giam and see whether he will be able to give me a direct answer. And the question I have is a very simple one. Now that Mr Giam knows what the MX9 (Superscale) is, does he believe that this is representative of the general wage level in Singapore?

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(417)

Salaries for a Capable and Committed Government

I do not think any salary formula can be representative of everybody in Singapore but I feel that it is closer to what the general wage levels are than the top 1,000. And it is impossible for me to have known that the MX9 itself is pegged to the senior management level of a certain grade. In fact, the Deputy Prime Minister has not even revealed what is that level that is being pegged to.

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(418)

Salaries for a Capable and Committed Government

Sir, I must take it therefore that Mr Giam's answer is "no". He did not know what the MX9 (Superscale) salary represents, but nevertheless used it as the benchmark for the Workers' Party's proposal. And that too, he agrees with me that the MX9 does not represent the general wage level of Singaporeans.

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(419)

Salaries for a Capable and Committed Government

Mr Gerald Giam, last point.

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(420)

Salaries for a Capable and Committed Government

I think the Deputy Prime Minister has tried to press me on the fact of whether I agree with him on whether it is pegged to the general wage levels. I have already said in my first reply that I have to accept that it is what the Deputy Prime Minister said. If it is not pegged to the general wage levels, I have to accept that. The point I was trying to make is that the reason why we came up with the MX9 level was because we felt that, that was the general amount that would be more representative of the majority of Singaporeans. And obviously it is not the median wage level, but it is more representative of the majority of Singaporeans.

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(421)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I think this conversation is very, very telling. The hon Member has based an entire system on the MX9, which he had made a big song and dance about, without understanding what it is; making assumptions, as with the earlier point about assuming that MPs' allowance is a quantum of Administrative Service pay when it was not.

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(422)

Salaries for a Capable and Committed Government

BG [NS] Tan, please make your point.

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(423)

Salaries for a Capable and Committed Government

So the point is, the question has been put forward, whether the hon Member is clear about the details and whether he accepts it. But the point I am making is that I think it is very telling that this conversation has been had, and I think it reveals the thoroughness in which certain Members are approaching policy-making, which would have an impact on Singapore.

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(424)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I would like to ask the hon Mr Giam whether he was aware that the MX9 grade was the entry grade into the Superscales?

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(425)

Salaries for a Capable and Committed Government

Yes, I am aware of that.

Suggest a correction

(426)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, may I ask Mr Giam whether he knows that the Superscales represent the top echelons of the Civil Service grades?

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(427)

Salaries for a Capable and Committed Government

My understanding is that MX9 represents the entry-level of the Superscale of the regular Civil Service, not the Administrative Service.

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(428)

Salaries for a Capable and Committed Government

Mr Heng Chee How, last clarification, please.

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(429)

Salaries for a Capable and Committed Government

Mr Speaker, Sir, I would like to ask Mr Giam, since he knows that for the MX scheme of service that the MX9 (Superscale) represents the top of those scales, whether he would then agree that by proposing to benchmark the MPs' pay to MX9, that the Workers' Party are similarly benchmarking according to what they themselves called an "elitist" approach.

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(430)

Salaries for a Capable and Committed Government

Sir, I think we have moved away from the whole concept of benchmarking against the lowest income earners in Singapore. MX9 is what we felt would be a reasonable level to peg MPs' salaries against. And the reason why we chose the regular Civil Service rather than the Administrative Service was because we were aware that the lowest entry Superscale for the Administrative Service, SR9, is pegged to the 15th highest earners aged 32. And so it is a much higher benchmark than what the MX9 is. So we felt that MX9 is more reflective of what the majority of Singaporeans earn rather than the top earners in Singapore.

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(431)

Salaries for a Capable and Committed Government

Question put, and agreed to.

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(432)

Salaries for a Capable and Committed Government

Resolved,

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(433)

Salaries for a Capable and Committed Government

That this House endorses Paper Cmd 1 of 2012 on "Salaries for A Capable and Committed Government" as the basis for setting the salaries of the President, Prime Minister, Speaker and Deputy Speakers of Parliament, political appointment holders, and Members of Parliament.

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(434)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Order for Second Reading read.

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(435)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time".

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(436)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

The Economic Expansion Incentives relief from Income Tax (Amendment) Bill, 2011, comprises three key legislative changes. These amendments put into legal effect the income tax change announced in the 2010 Budget Statement as well as other amendments arising from the regular review of our tax incentive regime.

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(437)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Let me summarise the three key changes.

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(438)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

The first change is to remove the minimum tax relief period for Pioneer Service Incentive. The Pioneer Service Incentive was introduced in 1984 to encourage companies to engage in high value-added activities, such as consultancy and research and development in Singapore. The legislation currently stipulates a minimum tax relief period of five years for companies awarded the Pioneer Incentive Service scheme. The minimum tax relief period will be removed to grant more flexibility to our economic agencies in the award of an incentive package to better meet the needs of companies. Clause 3 of the Bill amends section 18 of the Act to give legislative effect to this.

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(439)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

The second change is enhancement of the Development and Expansion Incentive (DEI). The Development and Expansion Incentive (DEI) was introduced in 1996 to encourage companies to expand by investing in technology and major upgrading of equipment and operations. To ensure that only expansionary activities are incentivised, a base income is imposed on existing activities and the concessionary tax rate is applied, only to profits above the base income. The base income is re-calculated on every extension of the DEI after year 10. Re-calculating the base income, however, transits companies to a much higher effective tax rate and makes the DEI less competitive in encouraging companies to continue to expand and stay rooted in Singapore.

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(440)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

To provide companies with greater tax certainty, we will remove the need for the base income to be re-calculated after year 10. Instead, the concessionary tax rate will be increased by at least 0.5 percentage points at the beginning of the 11th year and the 16th year to ensure that tax revenues will not be eroded. Clause 4 of the Bill amends section 19J of the Act to give legislative effect to this enhancement.

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(441)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

The third change is DEI for international legal services. The DEI for international legal services was introduced in 2010 Budget Statement to encourage law practices to do more international legal services work from Singapore and to attract international law practices to set up offices in Singapore. This scheme will be reviewed after five years and can only be awarded for up to five years of tax relief at a concessionary tax rate of 10%. Clause 6 of the Bill inserts a new section 19KA of the Act to effect these specific features of the scheme.

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(442)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Mr Deputy Speaker, Sir, the remaining legislative changes arising from our periodic review of the income tax system are either technical in nature or relate to improvements in tax administration. The proposed changes to the Economic Expansion Incentives Act seek to stimulate more economic activities in Singapore. These changes also reflect the Government's commitment to monitor the effectiveness of our tax incentive regime and to keep it relevant as economic conditions change.

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(443)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Mr Deputy Speaker, Sir, I beg to move.

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(444)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Question proposed.

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(445)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Thank you, Sir. I would like to ask the Minister, with clause 3 in this Amendment Bill, there seems to be now more flexibility in the tax relief period that pioneer services companies can enjoy. I am not sure why the minimum requirement of five years of tax relief is being removed. Nevertheless, my interest in this lies in whether our local enterprises are benefiting from this Pioneer Status Scheme. Could I therefore ask the Minister, how many certificates have been given to local SMEs versus those given to foreign companies and MNCs?

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(446)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Sir, why we remove the minimum period of five years is to give our economic agencies the flexibility to award less than five years if the kind of activities brought in do not justify for five years. Whereas the current registration requires us to give a minimum of five years so we are committed to at least five years. So this gives us the flexibility. Pioneer incentives are available to all companies who qualify. And the third point is, I do not have the specific statistics, if the Member would file a Question for Oral Answer, we will provide the numbers.

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(447)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Question put, and agreed to.

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(448)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Bill accordingly read a Second time and committed to a Committee of the whole House.

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(449)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

The House immediately resolved itself into a Committee on the Bill. - [Mr Lim Hng Kiang].

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(450)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Bill considered in Committee.

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(451)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

The Chairman: The citation year "2011" will be changed to "2012", as indicated in the Order Paper Supplement.

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(452)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Clauses 1 to 7 inclusive ordered to stand part of the Bill.

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(453)

Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill

Bill reported without amendment; read a Third time and passed.

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(454)

Statutes (Miscellaneous Amendments) Bill

Order for Second Reading read.

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(455)

Statutes (Miscellaneous Amendments) Bill

Mr Deputy Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

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(456)

Statutes (Miscellaneous Amendments) Bill

Sir, there are 33 operative clauses in this Statutes (Miscellaneous Amendments) Bill. I will highlight only the key amendments.

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(457)

Statutes (Miscellaneous Amendments) Bill

Clauses 2 to 6 provide the procedure for the Rules of Court to prescribe a process for governing appeals from certain statutory tribunals.

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(458)

Statutes (Miscellaneous Amendments) Bill

These appeals now proceed as district court appeals, and with the amendments, these appeals will proceed by way of originating summonses, which is a simpler procedure.

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(459)

Statutes (Miscellaneous Amendments) Bill

The tribunals affected are:

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(a)

Statutes (Miscellaneous Amendments) Bill

the Commissioner of Labour, in respect of his decisions under the Employment Act and the Work Injury Compensation Act;

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(b)

Statutes (Miscellaneous Amendments) Bill

the Goods and Services Tax Board of Review;

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(c)

Statutes (Miscellaneous Amendments) Bill

the Income Tax Board of Review; and

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(d)

Statutes (Miscellaneous Amendments) Bill

the Tribunal for the Maintenance of Parents.

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(464)

Statutes (Miscellaneous Amendments) Bill

Clauses 7 to 10 deal with quorums required for meetings of certain statutory boards, to bring them in line with the quorums required for other statutory boards.

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(465)

Statutes (Miscellaneous Amendments) Bill

The revised quorums require one-third of the total number of members on the board, or the current quorum, whichever is higher. The affected statutory boards are:

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(a)

Statutes (Miscellaneous Amendments) Bill

the Agri-Food and Veterinary Authority;

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(b)

Statutes (Miscellaneous Amendments) Bill

the Energy Market Authority of Singapore;

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(c)

Statutes (Miscellaneous Amendments) Bill

the Singapore Medical Council; and

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(d)

Statutes (Miscellaneous Amendments) Bill

the National Environment Agency.

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(470)

Statutes (Miscellaneous Amendments) Bill

Clause 15 amends the Chemical Weapons (Prohibition) Act. It provides for information to be supplied under the Act or the Chemical Weapons Convention to be disclosed for national security purposes.

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(471)

Statutes (Miscellaneous Amendments) Bill

Next, clause 19, relating to the Coroners Act 2010, enhances the powers of forensic pathologists. It enables them to more effectively investigate causes of death.

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(472)

Statutes (Miscellaneous Amendments) Bill

Forensic pathologists will now be able to obtain information, data, relating to the medical treatment or care of the deceased which are in the possession of a medical or healthcare professional.

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(473)

Statutes (Miscellaneous Amendments) Bill

They will also be able to obtain medical records of the deceased from the National Registry of Diseases.

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(474)

Statutes (Miscellaneous Amendments) Bill

Clause 20 relates to the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act. The main amendment is to section 39, to clarify that the obligation to report suspicious transactions includes attempted transactions.

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(475)

Statutes (Miscellaneous Amendments) Bill

This amendment arises from Recommendation 13 of the Financial Action Task Force, that is an intergovernmental body which develops and promotes policies to combat money laundering and terrorist financing.

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(476)

Statutes (Miscellaneous Amendments) Bill

The amendment to section 39 will put beyond doubt Singapore's full compliance with Recommendation 13.

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(477)

Statutes (Miscellaneous Amendments) Bill

Next, clause 21. This amends the Criminal Procedure Code of 2010, and there are two main amendments.

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(478)

Statutes (Miscellaneous Amendments) Bill

The first relates to the court's discretion to grant bail.

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(479)

Statutes (Miscellaneous Amendments) Bill

The amendments provide for the courts to grant bail in all cases except those where the accused person is charged with an offence punishable by death or life imprisonment. In such cases where the accused person is charged with an offence punishable by death or life imprisonment and also an alternative punishment, the court can also grant bail if the accused person is to be tried in the Subordinate Courts.

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(480)

Statutes (Miscellaneous Amendments) Bill

The second main amendment refines the Subordinate Courts' power to remand accused persons.

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(481)

Statutes (Miscellaneous Amendments) Bill

Currently, a Magistrate can only remand an accused person for eight days at a time. There is no similar limit for the District Courts.

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(482)

Statutes (Miscellaneous Amendments) Bill

We have received feedback from the Law Society that this does not work well.

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(483)

Statutes (Miscellaneous Amendments) Bill

An accused person who is in remand pending trial must be brought before the court every eight days even though there are no updates to give to the court.

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(484)

Statutes (Miscellaneous Amendments) Bill

This affects the Magistrates' Arrest Cases, as well as committal and transmission cases, which are mentioned before Magistrates.

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(485)

Statutes (Miscellaneous Amendments) Bill

With the amendments, there will no longer be a distinction between a Magistrate's Court and a District Court with regard to remand.

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(486)

Statutes (Miscellaneous Amendments) Bill

The distinction will be between cases where investigations are ongoing, and cases where investigations are complete.

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(487)

Statutes (Miscellaneous Amendments) Bill

Where investigations are on-going, an accused person can only be remanded for eight days at a time and must be brought before the court again if further remand is sought.

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(488)

Statutes (Miscellaneous Amendments) Bill

This ensures that investigations are completed in good time and, where applicable, bail can be offered as soon as possible after investigations are complete.

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(489)

Statutes (Miscellaneous Amendments) Bill

Once investigations are complete, the accused person will be remanded pending the resolution of his case and if he is refused bail or cannot raise bail. At this point, no reason to require that he can be remanded only for eight days at a time.

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(490)

Statutes (Miscellaneous Amendments) Bill

Sections 174 and 238 are to be amended accordingly, and that will allow more efficient management of cases by the courts.

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(491)

Statutes (Miscellaneous Amendments) Bill

Clause 23 amends the Land Acquisition Act. It is to primarily change the mode by which interested persons are notified in relation to land acquisitions.

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(492)

Statutes (Miscellaneous Amendments) Bill

Section 8(1) requires the Collector to notify interested persons by physically posting notices at or near the land to be acquired. The feedback is that owners prefer not to have this process.

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(493)

Statutes (Miscellaneous Amendments) Bill

So, we propose replacing that mode with a new requirement to publish notices in at least four daily local newspapers in each of the four official languages, which is more effective and reaches a larger audience.

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(494)

Statutes (Miscellaneous Amendments) Bill

This, of course, is in addition to other existing means of notification, which include notification in the Gazette, and sending registered letters to known interested parties.

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(495)

Statutes (Miscellaneous Amendments) Bill

Clause 26 clarifies and updates the provisions of the Maintenance Orders (Reciprocal Enforcement) Act.

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(496)

Statutes (Miscellaneous Amendments) Bill

First, the definition of "maintenance order" is expanded to allow the reciprocal enforcement of lump sum maintenance orders, in addition to orders for periodic payments, and that would better reflect the practice of local and foreign courts in awarding maintenance.

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(497)

Statutes (Miscellaneous Amendments) Bill

The other amendments refine the scope and operation of the Act so as to better reflect how it operates in practice.

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(498)

Statutes (Miscellaneous Amendments) Bill

One example is the removal of a provision that deems an applicant for maintenance as a legal custodian of the child.

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(499)

Statutes (Miscellaneous Amendments) Bill

This deeming provision was originally taken from the United Kingdom. It is irrelevant in our local context because legal custody is not a pre-requisite for ordering maintenance.

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(500)

Statutes (Miscellaneous Amendments) Bill

Clauses 33 and 34 relate to the Public Trustee Act, as well as the Trustees Act.

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(501)

Statutes (Miscellaneous Amendments) Bill

They clarify that the Public Trustee, and trustees generally, can make specific investments that they were empowered to make before section 4(1) of the Trustees Act was amended in 2004. These amendments conferred upon the trustees a broad general power of investment.

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(502)

Statutes (Miscellaneous Amendments) Bill

Finally, there are various housekeeping amendments to various Acts, to improve the readability and administration of existing provisions and to repeal obsolete provisions. Sir, I beg to move.

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(503)

Statutes (Miscellaneous Amendments) Bill

Question proposed.

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(504)

Statutes (Miscellaneous Amendments) Bill

Mr Deputy Speaker, Sir, while the Bill amends many Acts, I will focus on two sets of amendments - those affecting the Criminal Procedure Code, and those affecting the Miscellaneous Offences (Public Order and Nuisance) Act.

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(505)

Statutes (Miscellaneous Amendments) Bill

First, the Criminal Procedure Code or CPC. Clause 21(a) to (c) of the Bill amends the CPC with respect to bail.

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(506)

Statutes (Miscellaneous Amendments) Bill

Clause 21(b) of the Bill amends section 95(1)(a) to allow a court to consider whether to release an arrested person on bail in all cases except where the accused is charged with an offence punishable with death or imprisonment for life.

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(507)

Statutes (Miscellaneous Amendments) Bill

The provision, when amended, will allow a court to grant bail where an accused is charged with an offence which attracts imprisonment of 20 years or more, which the current provision does not allow. I support this amendment, as it will give a court the discretion to decide whether to grant bail in such cases. The court can then apply the usual principles in deciding whether to grant or deny bail to an accused, looking at factors, such as the seriousness of the offence and punishment, the risk of the accused absconding and the risk of further offences being committed while he is on bail.

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(508)

Statutes (Miscellaneous Amendments) Bill

This amendment in clause 21(b) also rectifies an issue which recently arose in the case of Mohamed Hisham bin Sapandi v PP [2011] 4 SLR 868. There, the prosecution and the defence had argued that the wording of the existing section 95(1)(a) was capable of two different interpretations, as the term "20 years or more" was ambiguous. In any event, the problematic clause will now be deleted.

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(509)

Statutes (Miscellaneous Amendments) Bill

Sir, since we are discussing section 95, there has been an issue surrounding this section which would be good to clarify in this debate.

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(510)

Statutes (Miscellaneous Amendments) Bill

Section 95(1) restricts the court in granting bail in three situations: firstly, where the accused is charged with an offence punishable with death or life imprisonment; secondly, where he is a proven flight risk and the court believes he will continue to be so; and, thirdly, where he is arrested or taken into custody under warrants issued under the Extradition Act.

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(511)

Statutes (Miscellaneous Amendments) Bill

The issue of whether these restrictions under section 95(1) apply to only the Subordinate Courts or to the High Court as well arose in Mohamed Hisham's case. This is because there is an unqualified provision in section 97(1) of the CPC which allows the High Court to grant bail to any accused before it, or release him on personal bond, or to vary the amount or conditions of bail or bond required by a police officer or a Subordinate Court, as it thinks fit.

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(512)

Statutes (Miscellaneous Amendments) Bill

In Mohamed Hisham's case, even the Deputy Public Prosecutors appeared to accept that the High Court's power to grant or vary bail under section 97 was not fettered by section 95. This view was accepted by the High Court in Mohamed Hisham's case. However, it was noted that there had been an earlier, conflicting High Court decision in S Selvamsylvester v PP [2005] 4 SLR 409 which held that the High Court's power to grant bail was subject to the restrictions in the equivalent sections of the former CPC.

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(513)

Statutes (Miscellaneous Amendments) Bill

As the High Court appears to be grappling with what Parliament's intention is in enacting the bail provisions under the old and new CPC, could this Bill have included an amendment to clarify the position once and for all? Or would Minister assist at least to clarify what Parliament's intention is on this issue?

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(514)

Statutes (Miscellaneous Amendments) Bill

Sir, now I move to amendments concerning the Miscellaneous Offences Act (MOA). Under clause 28 of the Bill, the Commissioner of Police may authorise any person or class of persons to possess truncheons which are batons, handcuffs or specified weapons or equipment in a public place if the Commissioner deems it necessary and appropriate.

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(515)

Statutes (Miscellaneous Amendments) Bill

This amendment already widens the worrying section 22A of the Act which allows the Commissioner to authorise persons in the private security industry to carry such items in public. The existing section 22A was inserted in August 2007 and, at that Parliamentary debate, I raised my concern about giving private security personnel such items, when they did not have police powers nor received the same training. Some of these items are meant for use in physical confrontations with members of the public. As security officers generally have only citizen's powers which are limited, the risk of use of excessive force will arise. Should security officers become overzealous, or even in good faith act or cause injury to the public, will the citizen be left simply to sue the individual security officer and his employer? In other countries, the accountability of private security officers for wrongful acts has been a big issue, and it is a matter of time I feel before this surfaces here.

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(516)

Statutes (Miscellaneous Amendments) Bill

Now, clause 28 proposes to widen the provision even further. The amendment will allow the Commissioner of Police to include any person or class of persons to carry truncheons, handcuffs or specified weapons and equipment.

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(517)

Statutes (Miscellaneous Amendments) Bill

This new provision raises even more concerns. I would like the Minister to clarify which categories of people the Commissioner has in mind for this provision and what safeguards are in place to protect the public against excessive force or abuse.

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(518)

Statutes (Miscellaneous Amendments) Bill

Mr Deputy Speaker, Sir, may I draw the attention of this House to the Bankruptcy Act which clause 13 of this Bill seeks to amend. This clause makes changes to the adjournment of bankruptcy cases in Court and to bankruptcy applications. I have two questions for the Minister.

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(519)

Statutes (Miscellaneous Amendments) Bill

Firstly, can the Minister provide us with the number of bankrupt individuals sent for debt restructuring schemes against the number of those who are discharged in the past year? What I would like to know is whether the numbers of bankrupt individuals are increasing or dropping, or if the majority of them are simply sent for debt restructuring schemes.

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(520)

Statutes (Miscellaneous Amendments) Bill

Secondly, I am reminded of a recent case that was reported in December 2011, in which the bankruptcy orders for three former directors of the National Kidney Foundation (NKF) – Richard Yong, Matilda Chua and the late Loo Say San – were annulled. This has not been sufficiently examined by the media. Would the Minister give details of this case and an account of the annulment of the bankruptcy orders for these ex-directors of the NKF? I am sure Singaporeans would like to know more about bankruptcy laws in Singapore and how they have been applied to major cases like the NKF saga of 2006.

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(521)

Statutes (Miscellaneous Amendments) Bill

Sir, if I may deal with Mrs Chiam's questions first. As to the precise numbers which are sent for debt restructuring versus bankruptcy, I am afraid you should file a Parliamentary Question and then I can get the data out. Likewise, the reasons why bankrupts get discharged from bankruptcy, the Act sets out the requirements before one can get a discharge or annulment, and those conditions have to be satisfied objectively before you can get the orders. So if the Member wishes to know precisely what happened in those cases – because I do not track every single case of bankruptcy or reasons for annulment, insofar as the law would allow, and I would need to check that – if the Member would file a question we will check that and we will provide the answer.

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(522)

Statutes (Miscellaneous Amendments) Bill

As regards the two points made by the hon Member, Ms Sylvia Lim, I think the question on bail and sections 95, 97, is a valid one. It was considered recently last year in Hisham's case. The High Court held that its power to grant or vary bail under section 97(1) would be redundant if it were qualified by other provisions, specifically section 95(1). And I think the statement is very clear, it was directly on point in contrast to the earlier case which I think was decided in 2005. And our view is that the statutory language is clear, the judgement is clear, and the latest decision sets out the law. Nevertheless, I thank the Member for raising it, allowing me to clarify that the discretion is unfettered, and if the issue arises again, we will certainly amend, to put that beyond doubt.

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(523)

Statutes (Miscellaneous Amendments) Bill

On the second concern on the power of the Commissioner of Police (CP) to authorise the carrying, possession, and so on, of truncheons, handcuffs. Ms Lim's point, and again it is a valid point, is about really the abuse of such powers. A number of our laws provide for law enforcement officers to carry such equipment needed for their work. For example, of course, the Police Force Act, Immigration Act, Misuse of Drugs Act, including the Miscellaneous Offences Act (MOA). The present amendment supplements those provisions by giving the CP the general power to authorise the carrying and possession and control of these equipment. But before he gives any authorisation, the Commissioner must be satisfied that it is necessary in the circumstances and appropriate for the function to be given. And authorisations would be granted to law enforcement officers who need to carry or possess the relevant equipment in the course of their work. And that authorisation will have to be stringently assessed; conditions will be imposed on authorised persons, including proper training for the use of the equipment; limits on where, when and the purposes for which the equipment can be used; proper safekeeping and issuance of the equipment; and the type and specifications of the equipment. And the person who breaches the condition will be acting outside his authority to carry, possess, control or use the equipment. If he does so in a public place, meaning if he acts contrary to the authorisation in public place, that would be a criminal offence. And if there is an unauthorised use of force, that may disclose further offences. And those acts will be seriously investigated, any abuse of powers will be disciplined or prosecuted, and their authorisations will also, of course, be revoked. So I thank the Member for raising the question and allowing me to set out the framework within which these powers can be exercised.

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(524)

Statutes (Miscellaneous Amendments) Bill

Thank you, Sir. Two clarifications for the Minister. The Minister mentioned in response that, for the MOA amendments, it is envisaged that the Commissioner of Police (CP) would be authorising law enforcement officers to carry such items. But the existing provision actually foresees people from the private sector doing that. The existing section 22(a) talks about private security. I would like the Minister to clarify whether there are going be, besides private security, other people from the private sector within CP's radar, for such authorisation. Secondly, – it is a suggestion – I wonder if the Ministry has considered that for these private sector people, whether there should be additional insurance against public liability taken out to protect possible members of the public who may need to lodge civil claims for compensation, at least to ensure that their claims would be met.

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(525)

Statutes (Miscellaneous Amendments) Bill

Thank you. I think I will have to answer both questions on behalf of the Minister for Home Affairs. My understanding is that it is not envisaged that persons other than private security industry professionals are intended to be the beneficiaries of the exercise of these powers. If there is a further clarification on that, I would certainly come back. That is my understanding of the current position. And on the point about insurance: I think it is a fair point that if they have these powers and there could be potential victims, albeit they will be acting ultra vires and illegally, nevertheless, I think insurance is a factor that the Commissioner should take into account before giving such authorisation. I accept that.

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(526)

Statutes (Miscellaneous Amendments) Bill

Question put, and agreed to.

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(527)

Statutes (Miscellaneous Amendments) Bill

Bill accordingly read a Second time and committed to a Committee of the whole House.

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(528)

Statutes (Miscellaneous Amendments) Bill

The House immediately resolved itself into a Committee on the Bill. - [Mr K Shanmugam].

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(529)

Statutes (Miscellaneous Amendments) Bill

Bill considered in Committee.

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(530)

Statutes (Miscellaneous Amendments) Bill

The Chairman: The citation year "2011" will be changed to "2012", as indicated in the Order Paper supplement.

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(531)

Statutes (Miscellaneous Amendments) Bill

Clauses 1 to 23 inclusive ordered to stand part of the Bill.

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(532)

Statutes (Miscellaneous Amendments) Bill

Clause 24 –

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(533)

Statutes (Miscellaneous Amendments) Bill

Mr Deputy Speaker, Sir, I beg to move, in page 19, line 28, after "(8)(a)", to insert ", (b)". Sir, this is to correct a minor drafting omission.

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(534)

Statutes (Miscellaneous Amendments) Bill

Clause 24, as amended, ordered to stand part of the Bill.

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(535)

Statutes (Miscellaneous Amendments) Bill

Clauses 25 to 34 inclusive ordered to stand part of the Bill.

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(536)

Statutes (Miscellaneous Amendments) Bill

Bill reported with amendment; read a Third time and passed.

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(537)

Adjournment

Resolved, "That Parliament do now adjourn to a date to be fixed." - [Dr Ng Eng Hen].

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(540)

Data protection law and Do-Not-Call (DNC) registry

1 Mr Yeo Guat Kwang asked the Minister for Information, Communications and the Arts if he will provide an update on the timelines for the introduction and implementation of the proposed data protection law and the Do-Not-Call (DNC) registry.

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(541)

Data protection law and Do-Not-Call (DNC) registry

Last year, the Government announced that it would introduce a data protection law in Singapore to curb the excessive and unauthorised collection and use of consumers' personal data, and that the proposed law was expected to be in place by 2012.

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(542)

Data protection law and Do-Not-Call (DNC) registry

As data protection is a complex issue with wide-ranging impact, it was necessary to undertake careful study and conduct in-depth consultations with stakeholders in order to formulate a framework that best meets stakeholders' needs while providing adequate safeguards to consumers. As part of the process, MICA launched a public consultation on 13 September 2011 to seek public views on the proposed framework, as well as initial views on whether a national Do-Not-Call (DNC) registry should be set up in Singapore.

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(543)

Data protection law and Do-Not-Call (DNC) registry

In view of the strong public interest and support for the proposed DNC registry, a second public consultation was launched on 31 October 2011 to seek public feedback on the implementation details of the proposed DNC registry.

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(544)

Data protection law and Do-Not-Call (DNC) registry

MICA and IDA have reviewed the feedback received from the public consultations and are working with the Attorney-General's Chambers (AGC) to draft the proposed Data Protection Bill, which includes the proposed DNC registry. Another round of public consultation will be conducted in the first quarter of 2012 to seek further feedback on the proposed Bill. We expect to introduce the Data Protection Bill in Parliament by the third quarter of this year.

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(545)

Data protection law and Do-Not-Call (DNC) registry

While the data protection law is expected to be enacted by this year, a sunrise period of between one to two years, during which the data protection law is enacted but will not come into force, will be provided to allow organisations sufficient time to put in place the necessary measures to comply with the law. Based on the feedback we received from the public consultation, most were in favour of a one- to two-year sunrise period.

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(546)

Data protection law and Do-Not-Call (DNC) registry

As for the DNC registry, it is expected to be operational approximately one year after the data protection law is passed. This period of time is necessary for the registry operator to be appointed and to carry out system development and testing before the DNC registry goes "live".

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Common questions

What is Hansard, 2012-01-18?
Hansard, 2012-01-18 is Singapore HANSARD, cited as HANSARD 12 2012, currently marked in force and first recorded in 2012.
Is Hansard, 2012-01-18 still in force?
Yes — Hansard, 2012-01-18 is currently in force.
When did Hansard, 2012-01-18 take effect?
Hansard, 2012-01-18 was first recorded in 2012.
Where can I read the official version of Hansard, 2012-01-18?
The official text of Hansard, 2012-01-18 is published at sprs.parl.gov.sg.