Saturday, November 20, 2010

Application of Minimum Wages

Recently, NTUC Chief Lim Swee Say was reported to have said that minimum wages would have no effect in helping the lower income families. Perhaps, he had mistaken their values and importance of safeguarding the basic rights of low-wages workers and do not understand the purpose of minimum wages. In a modern and progressive society, it would be unethical to sacrifice the workers’ rights and benefits, especially when one is within the “first world” environment.

While Singapore’s GDP may have appreciated by about 15%this year, the general wages of most workers have remained stagnant and symptom of declining especially the lower and unskilled workers. Last year in 2009, average wages have decreased by 3.5%. Since we have free competition in the local labour market, it is important that we recognise and safeguard the rights of our entire workforce.

A recent study on Minimum Wages in the US (the Annuals of Economics and Finance) had shown that it disadvantages were actual exaggerated. The most common objection to any increment in the minimum wages was that mainly from small business owners. They felt that the increment in labour costs would ultimately lead to reduced employment and eventually leads to the failure of business. However, a growing number of new studies showed that the flexibilities of employees and employers were being overlooked, whenever the minimum wages changes. Studies also noted that those States that increased their minimum wages, have shown stronger job growth instead, when compared to those whose the minimum wages remained static. Moreover, the risk of business failure did not increase whenever there is an increment to the minimum wages.

Many countries have already implement the Minimum Wages Policy in their labour market, though in practice they do vary considerably. The pertinent points include:

• The Minimum Wages Policy prevents the wages of lower income workers from further downward revision, due to the huge availability of foreign workers, or from the increased business overheads,

• It helps to improve workers’ confidence in the seeking of viable jobs, and encourages the unemployed to seek alternate employment such as contract work, instead of waiting for more permanent and higher paid positions,

• It establishes a fairer employment environment for all workers,

• It motivates the low-wages labourer to perform better to achieve a higher productivity which would contribute towards better economic growth,

• It helps to reduce the income gap between the rich and the poor, by increasing spending power.

• It reduces the number of families requiring social assistance from the Government, and therefore reduces the volume of social problem.

It is undeniable that Singapore would continue to reply on foreign labour to feed its industries, for the sake of economic growth. Thus, some form of Minimum Wages guideline should be put in place to protect the interest of the unskilled and lower-income workforce.

Since the levels of Minimum Wages would depends much o the performance of the National economy, such statistic can be used to help Government to gauge the impact of the labour demand. The success of such a scheme would also depend on the level of collaboration between the Authorities, the Employers and the Business community. At the same time, skills enhancement training should be extended and easily made available to all workers, with generous subsidies.

Singapore needs to develop a better infrastructure and a more conducive environment for the growth of its workforce. A skilled workforce is more productive than unskilled one. The current influx of cheap foreign workers reflects poorly on our productivity and on the success of the Government’s program to enhance productivity. It is therefore essential that we do not step backwards to accept the low productivity performance of those foreign labourers, if we are to sustain ourselves as a “first world” nation.

By Elvin Ong

Saturday, October 30, 2010

Minimum Wage Controversy

(adapted from an article by Richard Thomas, eHow Contributor)

The issue of “minimum wage” is familiarly referred to those unskilled services many youngsters take on in their teens to earn pocket money. However, few are aware that the minimum wage is actually an imported concept found in most countries, and that its effects are the subject of a long-standing debate among economists and labour experts.

Identification
The minimum wage is the lowest rate at which a worker can be paid. There are minimum wage laws pegged to hourly, daily and even monthly rates. Also, a minimum wage law usually makes it illegal for a person to sell his labour for less than the minimum rate.

Function
The general purpose of a minimum wage law is to guarantee a living wage to all workers who work a standard period of time, whatever that may be. In theory, any labourer who works 40 hours a week on minimum wage should be at or above the poverty line. However, the minimum wage has not kept pace with inflation and cost of living increases, and is now well behind that standard.

History
Minimum wage laws were first passed in Australia and New Zealand in the 1890s. They are now present in most countries, although how well they are enforced and the degree to which they guarantee a reasonable living is highly variable.

Effects
In USA, the minimum wage is set to rise to US $7.25 per hour by 2010. However, numerous states and even cities have laws that specify higher wages than are established according to the Federal minimum wage. This is sometimes done by stating that the local minimum wage is the Federal minimum wage plus an additional amount. For example, the District of Columbia has a wage rate that is always $1 higher than the Federal minimum. Other states pass laws that supersede the Federal minimum (almost always replacing it with a higher rate) or by adjusting the existing, state-mandated rate for inflation.

Considerations

Determining the real social and economic value of the minimum wage is tricky. Migrant labour, for example, is often done by illegal aliens who are rarely paid the minimum wage. At the same time, most citizens would want to do that work, given the same rate. Studies reveal that almost 75% economists think that the minimum wage increases unemployment, and only 10% believe that the minimum wage has a beneficial effect in combating poverty. However, there are clearly unskilled service industry jobs that are filled by minimum wage workers, workers who would obviously receive less were it not for the minimum wage.

Elvin Ong

Sunday, July 18, 2010

Rights And Dignity of Singaporean Labours

In many years, Singaporean labours have gradually lost their rights and dignity over the years. During the economic downturn, this problem has once again surfaced and many have raised this question to the government of the unions. But nevertheless, labours in Singapore is to be slash when operational cost in Singapore continuously to go up as lack of recognise voice from union is found. As lack of workers protection and long term operation cost reduction schemes, employers are been force to choose an option and alternative ways to survive. That is why lower salary foreign labours comes into the picture of all industries including the highly skills.

Due to that circumstance many Singaporean have fall into this situation of carrying the burden of heavy debt causes by inflation even when holding the position of high paid but unstable jobs. It is foresee that our next generation will be facing even tougher challenges and uncertainty. Till now, the present government still does not have any solution or taking a step to put Singaporean labour as priority in making of policy. This is why the important of have an alternative power in parliament has to come in to secure for what we have any take control of the downfall of Singaporean labours. To achieve that, the public be involve in the political influence by joining the opposition. As a member of the Opposition Party, I sincerely hope that the opposition camps have to strengthen and toughen by take challenges and responsibilities.

Saturday, November 29, 2008

Deepest Sympathy For Death of Ms Lo Hoei Yen

It is tremendously sad to hear that Ms Lo Hoei Yen a Singaporean who has taken as hostage by Terrorists in Mumbai has been killed. I as a Singaporean would give my deepest condolences to the family and friends of the deceased.

I am strongly against this ruthless act from these Extremes. It is total unacceptable for killing innocent civilian and innocent victims. I do also strongly believes all Singaporeans do stand together against such act too.

We have heard many news from foreign lands, people been kill by terrorists. It is very sad to hear the first Singaporeans to be kill in such incidents. We have known and many have questions the government stand proclaiming to the world toward US may soon cause such happen. It is a sound alarm for all Singaporeans again the war against Singaporeans from terrorists. The safety for Singaporeans and reason of Singaporeans to be attack by terrorists have ring again with a innocent death.

I hope to take this opportunity to call all Singaporeans to be alert against terrorism, regardless who you are and where are you. We must be prepared and be alert at all times to prevent and even reaction if this incident happen.

I do also hope that the government will review the foreign relation issue again and be more careful toward such policies, to be more concern with the comfort toward people of the foreign lands. We do hope such foreign relation will be build on priority on safety of our follow citizens.

Lastly, may God grant her family comfort and strength they need and may God peace surround them.

Mr Elvin Ong
2nd Organising Secretary
National Solidarity Party

Wednesday, September 03, 2008

What is going on with PAP & Government

PAP IS indeed ‘more equal’ than others!
Oh… Just how short does PAP think that our memory is? Or just how dumb do they take us for??

Last year, there was rejection of a police permit to hold the Workers’ Party 50th Anniversary Cycling Event on 9 September 2007 at the East Coast Park. In parliament, Ms Sylvia Lim, on behalf of WP asked the govt to provide reasons for the rejection. Assoc Prof Ho Peng Kee said “…the reason why political parties are not allowed to organise outdoor activities has been explained in Parliament before. Police does not allow political parties to organise outdoor gatherings because such activities have the potential for public disorder and mischief, and may disrupt community life. Police’s requirement is that such party activities be held indoors or within stadiums, so that any law and order problems would be contained. This policy applies to all political parties. The Workers’ Party had applied to the Police to organise a mass cycling event to celebrate the party’s 50th anniversary at the East Coast Park. The East Coast Park is a recreational park for Singaporeans and their families. It is not meant to be used by a political party to promote its cause. Apart from displacing the usual recreational users of East Coast Park, it is an open area where there is greater potential for a breach of the peace, public disorder and unruly behaviour. As I have explained, Police takes a more cautious approach towards outdoor activities organized by political parties. In line with this approach, Police rejected Workers’ Party’s application. (see http://www.mha.gov.sg/news_details.aspx?nid=1102).

So ok, WP’s cycling event was deemed too hazardous too be held outdoors. Whatever….
But look at the bloody ST newspaper frontpage this morning! LHL was photographed cycling, with a caption that reads: “Much to the delight of spectators, PM Lee and MPs like Seng Han Thong made their entrance on bicycles at the PAP CARNIVAL AT WEST COAST PARK yesterday….”.

Post on http://blueheeler.wordpress.com/2008/09/01/knnbccb-pap-is-indeed-more-equal-than-others/

By Elvin:
I am surprise that the PAP are allow to organise outdoor activities but MHA reject WP outdoor activities.
Assoc Prof Ho Peng Kee said “…the reason why political parties are not allowed to organise outdoor activities has been explained in Parliament before. Police does not allow political parties to organise outdoor gatherings because such activities have the potential for public disorder and mischief, and may disrupt community life."
Is PAP a political party? Will their outdoor activities allow such potential to happen too?

http://www.mha.gov.sg/news_details.aspx?nid=1102

The PAP own all another explaination again.

Saturday, August 09, 2008

National Day 2008 Messages



Red Star Community Service (RSCS) National Day Message 2008

Dear Members, Volunteers and Residents,

I hope to wish all a Happy National Day. Let together celebrate our Nation 43rd Birthday. Red Star Community Service (RSCS) have when through times of ups and downs during this season of uncertainty in the community and even during this hard time of welfare organization. Looking back when our organization is form, which fell in the time of NKF saga. RSCS have when through difficult times of survivor. But all of our members have stand united to gain confidence and to fulfill visions and goals, and manage to gain supports from many grassroots to join us as volunteers.

Because of our consistency of perseverance, our projects and outreach have benefit and help many unfortunate. Our volunteers have seen the true side of our community, and hope to contribute more to help. These have motivated us to move on with our limited abilities and resources.

Another challenge that we are facing is global inflation. The increase in operation cost is one big issue to overcome. To due with that, we have work together with other non government organization in our helping hand campaign. We have successful enlarge our network and many more needy families are reached with the combine effort.

As we strongly believe that we are part of our nation. It is all our responsibilities to united as one, to reach out to those who are left behind from our society. Today I will like to thank all who have contribute their most effort in our projects for build a strong community spirit in our neighbourhood.

Once again I wish all members, volunteers and residents a Happy National Day.

Elvin Ong Beng Soon
Hon. Secretary
Red Star Community Service


NSP National Day Message 2008
Dear fellow Singaporeans,

Happy National Day


. . . but are there good reasons to celebrate?


Inflation is at an all time high. Consumer prices are soaring, fuel oil is at record prices, and the value of our money is also getting smaller. So, is there any good cause to celebrate?

More ERP gantries are being installed, for longer hours, and some at higher prices too. Night ERP is here to stay. Even though our night-time drive home does not affect economic productivity, they are still up. These will directly affect our time spent with our families. The Government wants us to take more public transport like buses and MRT. Yet, the Public Transport Council has given its green light for both the SMRT and Comfort-Delgro to ask for another guaranteed 3% fare hike -- to enable them to maintain their profit margin, in the light of soaring business costs.

When the workers asked for a corresponding pay rise to cope with the higher cost of living, Finance Minister Tharman responded that it will cause another round of inflation. It is indeed a surprise that our workers have such powers to cause Inflation, but not our Ministers. Do you know that our PAP Ministers would soon be enjoying another round of confirmed wage hike of up to 21. 64% at the end of 2008. This hike was approved in Parliament last year.

Our President, MM, SM and PM will each earn around $3.76 million per annum, after this wage hike. Now, if those scary wages are not inflationary, how can our workers’request for a pay-rise be inflationary?

When increasing the GST to 7% last year, the Government, estimated that it would suffer a $700,000 deficit with the GST-offset package. But by the end of 2007, it reported a budget surplus of $6.45 billion instead. The Government had once again extracted too much more money from the people, than was required to run this country.

Except for some PAP elites, life is getting tougher for everyone in Singapore. Middle-income Singaporeans have been hit hard, and are badly squeezed by the Government’s policies. Are you one of them? If so, what are you going to do about it? We cannot remain indifferent and pretend that nothing can be done.

On this occasion of our 43rd National Day, may we wish you a happy holiday. We would also urge you to think and reflect on how we (together) can work to lobby the PAP Government to squeeze less and do more for the people of Singapore.

Please email us at < nsp-cec@yahoogroups.com> to express your views, concerns, ideas and suggestions on how we can compete with the PAP more effectively. When there is greater political competition, there will be a greater desire to serve you – the people of Singapore -- better.

Once again, Happy National Day.

Sebastain Teo Kway Huang
President
National Solidarity Party

Thursday, July 24, 2008

Sealing up of Air Ventilation holes of rental 1 room flat

I and my team of members have recent done a house to house visit at one of the block of 1 room flats located at Toa Payoh. As there are recent complaints from many of such resident that the Housing Development Board (HDB) have seal off all air ventilation holes of their rented apartment, causes a lot of inconvenience to them. Many are concern about why such decisions are made without their knowledge and comments from them. Worries from many residents of this block regarding of safety of those residents living alone are bring up to me.

Many comments such as the warmness and brightness inside their apartment and are affected especially the lower level apartments, causes an increase of their utilities bills as usage of electricity are increased. These have affected badly especially for the very low income residents.

We have also encountered few residents living in their apartment without water and electricity for about 12 years. We have take note of such case and will assist them.

With our knowledge, the MP of that estate has visited 2 week before our visit only just to explaining the HDB decision. What have authorizes done to assist them with their basic needs?

Therefore during our visit, we do collect feedback from the affect residents house to house. We also invited them to sign on petition regarding on disagree of such decision made from HDB without their concern and proper solution. We are glad that approximate of 61% of our interviewed residents have sign on the petition, and addition around 6% of resident are against the HDB decision but worries to sign on the petition. These results have caused an alarm to this issue this issue

We have decided to bring this issue up to HDB and Town Council for follow up action regard of what we discovered and collected.