By DPM LEE HSIEN LOONG
I am very happy to join you here today for the Model Workers’ Award 2002.
Since its inception in 1996, the Model Workers’ Award has celebrated the contributions of many exemplary employees. In the past 6 years, we have recognised workers from various sectors including public transport, environment, healthcare, airport and sea transport, tourism and hospitality, and utilities. This year, we are focussing on the construction and marine industries.
Construction and marine are important sectors in our economy. They contribute nearly 10% of our GDP and employ some 150,000 workers. And like other parts of the economy, they are facing tougher operating conditions, and need to restructure and upgrade to keep up with the changing environment.
The construction sector, for example, shrank by 2.1% last year because of the weak property market and is expected to contract again this year. Its productivity growth has been persistently negative since 1995, but this trend ended last year when construction productivity registered a 0.2% growth.
To reinforce this encouraging progress and further increase competitiveness, the construction sector will have to undergo restructuring to become more technology-oriented and less dependent on foreign workers. This must be supported by better skilled workers and well-trained site supervisors. Workers with single skills will not be sufficient, and multi-skilled workers will be needed to meet the challenges of modern construction methods. Designs will also have to be more buildable and construction friendly, as the industry moves toward technology substitution and assembly type construction.
The marine industry faces somewhat different, but nevertheless, equally tough challenges ahead. No doubt in contrast with the construction sector, companies in the marine industry are doing well. While many other industries were having a difficult time last year, the marine industry registered good growth. The outlook this year remains positive. Order books are healthy and major shipyards are expecting to be fully occupied for the next 18 months. Unlike the manufacturing sector which has shed jobs, there are still thousands of jobs unfilled in the marine industry.
However, if we look beyond the immediate future, we face intense competition from countries like China, Korea, Mexico and Eastern Europe, which offer much lower costs. Their land is cheaper, and they have abundant manpower. Shipbuilders worldwide are constantly searching for ways to reduce cost and raise efficiency through integrating and modernising facilities. Singapore has thus far been able to hold its strong position in the marine business because we have a dedicated workforce. Many workers have more than 20 years of industry experience. However, this will only be sustainable in the long term if we make the effort to constantly upgrade the skills level of the industry's workforce, and more importantly, to inject fresh blood into industry. Otherwise, the industry's competitiveness would eventually be eroded as it becomes excessively dependent on foreign labour.
Workers play a critical role as we gear up to meet the challenges ahead. The Government can implement correct economic policies, build a pro-business environment with first class infrastructure, and facilitate industry and worker upgrading. We can have programmes targeted at specific sectors, like Construction 21, jointly led by MOM and MND, to upgrade the construction industry, which includes steps to reduce the number of workers needed to do construction work by using more prefabricated components and assembly type construction. The Skills Redevelopment Programme can also be tapped to encourage employers to send their workers for training in construction-related skills and supervisory training programmes.
On their part, companies can proactively pursue creative strategies to keep ahead of their competition. Sembawang Shipyard has moved some of its lower-end activities to neighbouring locations like Karimun, where costs are cheaper. The marine industry is also aggressively trying re-engineer its image, so that they can attract new, younger workers into the industry to rejuvenate the workforce.
But all these efforts of the government and companies will add up to nothing unless our workers do their part. Workers must have the right attitudes and mindsets. They must strive single-mindedly to raise productivity and quality, year after year. This is the only way to achieve a continuous improvement in our standard of living. There is no short cut. In particular, our workers must support what employers and government are doing, to upgrade sectors like construction where productivity needs a greater boost.
At the same time, our workers must also have a thirst for skills upgrading and be adaptable. They must be prepared quickly to learn, unlearn and relearn. Regardless of age, our workers must adjust to changing market demands and manage their expectations. We must understand and accept that many of the old jobs lost will never come back, and that we have to adapt to the requirements of new jobs. Many Singaporeans lost their jobs during the recession, and yet, there are thousands of well-paying job vacancies, notably in the marine industry, waiting to be filled. We must adjust our mindsets and become more willing to take these available jobs. Otherwise no amount of relief measures from the government, or training programmes and subsidies, will help.
These are the realities our workers face. Against this backdrop, I congratulate all the 100 recipients of the Model Workers Award 2002. We are here today to recognise and celebrate your commitment to your profession and contributions to the construction and marine industries. You have demonstrated high standards of work performance and dedication to continually strive to improve yourselves. I hope this award will encourage you to do even better and also inspire others to follow your good example. I am sure that the incentive trip to Beijing and Dalian planned for you next week will be an interesting experience for all of you.
Once again, my heartiest congratulations to all the award recipients and your families.