PRODUCTIVITY OF FOREIGN WORKFORCE

PRODUCTIVITY OF FOREIGN WORKFORCE: 4.

Mdm Ho Geok Choo asked the Minister for Trade and Industry how does the productivity of the foreign workforce in Singapore compare with the productivity of the local workforce for the years 2009 and 2010.

The Minister of State for Trade and Industry (Mr Lee Yi Shyan) (for the Minister of Trade and Industry): Mr Speaker, Sir, labour productivity is the value of output each worker produces. It is measured by taking the total value-

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added and dividing it by the number of workers. Currently, our national productivity data is obtained by aggregating the output of industries and dividing it over the workers employed. As industries and firms do not submit data showing separately output value by local and foreign workers, our aggregate data too would not be able to distinguish productivity due to local or foreign workers as separate measurements.

This said, every worker who is added to the workforce will either raise or reduce the collective productivity of the workforce, regardless whether they are local or foreign. This is why the Government emphasises the importance of skills upgrading and productivity improvement for the entire workforce.

Mdm Ho Geok Choo: Thank you, Minister of State for the comprehensive response. I have one question: with the Government slowing down the influx of foreigners, have our economic growth targets changed? What alternative strategic plans do we have to attain those targets?

Mr Lee Yi Shyan: We have made it quite clear that the strategy for sustained growth for Singapore is through raising productivity. Therefore, my colleague, Senior Minister of State Iswaran has detailed a number of initiatives guided by the NPCEC, as to how various sectors can continue to map out their plans for productivity improvements. An appropriate supply of foreign workforce and workers in the right number at the right quality will help us achieve that purpose.

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