Good morning Comrades.
In about a week's time, it will be Christmas. It is usually at this time of the year that people are generally happier as they began to unwind, spend time with their families and go for holidays. However, this year, I would say the tough economic conditions has made the usual relaxed mood less so and in fact for many of our fellow workers, it has been difficult and some continue to be beset with worries.
Difficult Times
In addition to the global economic slowdown, there was a war in Iraq, followed by SARS outbreak, and nearly every sector in our economy was hit. The hotels and restaurants sector witnessed a decline of 29% in the 2Q in revenue. Air passenger traffic also fell by 50% in the 2Q. Up to 3Q 03, a total of 13 000 workers were retrenched in Singapore. The Public Service Division also recently announced a cut in the Annual Variable Bonuses (AVC) from ½ month to ¼ month. This is the lowest in 15 years. New employees joining the civil service will also not be spared. The starting salaries of civil servants will be reduced by up to 20% with effect Jan 2004. With all these wage adjustments, as well as CPF changes, many have asked how are we going to cope?
Measures that Help
Being in the union, we understand how these changes impact the lives of our fellow comrades. Their anxieties over their cost of living and fear of losing their jobs are very real. And it is not just anxieties - they do feel the pinch of lower incomes. We as leaders of the labour movement should and must help those in need through practical and meaningful ways. In September this year, we worked with SBS Transit, SMRT, CDCs, NTUC Club and SLF to introduce the Public Transport Assistance (PASS) vouchers to help meet the public transport expenses of low-income members with school-going children. You may have also read in the NTUC News that we are also helping members of AUPDRW, through SLF, to get a transport grant of $20 each for 1,300 of their members. What we have provided may not be comprehensive to solve all the workers' financial hardships but they are simple meaningful ways in which the labour movement is helping to ease the various adjustments which a majority of our workers face.
NTUC Fairprice Vouchers
With this, I am pleased that NTUC is helping our fellow comrades. NTUC will be giving out $1 million worth of NTUCFairprice Vouchers to assist union members (both Ordinary and General Branch) who are in financial hardship, to help them defray their living expenses. Each eligible family will receive a $100 Fairprice voucher which they can use for their grocery shopping. It is not a big sum, but each and every little gesture counts. This voucher also comes in timely as Christmas and Chinese New Year are just round the corner. We hope that this support will bring cheer to the families who are affected and are not doing so well. The details on disbursement, I shall leave it to NTUC Community Development Department to disseminate to you.
New Hope
Earlier on, I mentioned about the negative growth during the second quarter. On a brighter note, you may have read about how companies in Singapore and the economy have fared better in the 3Q. Based on overall performance, our Singapore economy rebounded from the 2Q to grow by 1.7% in 3Q. Overall, the economic outlook for 2003 is 0.5 to 1% and even more optimistic for 2004, whereby the preliminary forecast for growth is 3 to 5% barring unforeseen circumstances. So the job market next year should be better.
Hence, I would like to end on this upbeat note and urge all unions to march on. Going through tough times will strengthen us both in spirit and mind. Every challenge, bump, barrier that we overcome brings us closer and stronger. Every effort that we make to assist our fellow comrades will cumulate and send out a positive message that we care and we act.
Thank you.
