Deputy Prime Minister Heng Swee Keat spent a significant portion of his roundup speech on 26 February 2021 addressing the issues raised by the Labour Members of Parliament (LMPs) throughout the two-day Budget Debate.
Speaking in Parliament, Mr Heng said that while the COVID-19 situation in Singapore remains under control, recovery is expected to be gradual and uneven across sectors.
He said: “Now is the time to chart our course, position ourselves to catch the winds of opportunity and sail early in the reshaped world. That is the focus of this year’s Emerging Stronger Budget.”
Mr Heng highlighted three of the points raised by the LMPs and thanked the Labour Movement for its contribution to the debate.
“First, as [NTUC] Deputy Secretary-General Mr Heng Chee How mentioned, the way forward is as much about being stronger together, as it is about emerging stronger. A number of our businesses and workers will hold their own against the best in the world.
“But at the end of the day, we compete as one team Singapore, not worker by worker or enterprise by enterprise. It is the strength of our collective capabilities and connectedness, as an economy and as a society that will determine how far we will go,” he said.
Secondly, as raised by NTUC Deputy Secretary-General Koh Poh Koon, Mr Heng said that demand shocks caused by COVID-19 have exacerbated labour market dislocations and skills mismatches. Coupled with a structural shift of shorter technology cycles, it will be increasingly difficult for firms to find candidates with the perfect skill set.
He urged businesses to look beyond just hiring “plug and play” workers, and to consider job seekers who have the potential to grow within the organisation.
And lastly, Mr Heng said that Singapore must invest in the economy’s resilience and sustainability and see it as a source of competitive advantage.
“The ultimate goal of economic growth is to improve the jobs and lives of Singaporeans. The only way to sustain such improvements is by raising productivity, where firms transform in ways that bring workers along,” he said.
Thanking the Labour Movement for its contributions towards lifelong learning, Mr Heng said that the NTUC Job Security Council (JSC) and Company Training Committees (CTCs) are important innovations for NTUC to partner with both companies and the Government to achieve synergy.
“By pre-emptively matching at-risk workers to new employers, the JSC helps workers minimise employment downtime, and aids businesses to manage fluctuating manpower needs,” he explained.
Mr Heng also said he was heartened to learn that the JSC has successfully placed more than 28,000 workers in new positions last year.
On enabling workers to build skills, Mr Heng said that when companies carry out job redesigns and train workers to take up new jobs, they not only help workers stay employed but also enable the firms to thrive.
Giving the example of environmental services company SembWaste, who in partnership with the Building Construction and Timber Industries Employees' Union (BATU) and the NTUC Training and Transformation team, formed a CTC and embarked on an OTR process to develop a five-year business growth strategy to support Singapore’s green targets.
Mr Heng said that to support these transformation plans, SembWaste is upskilling its workers in digital and technology skills.
“It has also adopted the Progressive Wage Model to ensure sustainable wage increases tied to skills and productivity growth,” he said.
Mr Heng said that the Government is pushing ahead with its plans to raise the retirement and reemployment ages in 2022 – with the Government and the Labour Movement taking the lead by affecting this in 2021.
He said that the National University Hospital (NUH) is an example of an organisation that spearheading this initiative by redesigning jobs, offering flexible working arrangements and training opportunities.
“I hope that the government's senior workers support package will encourage small businesses to retain their mature workers and tap on their wealth of experience,” he said.
