GOVERNMENT AND STATUTORY BOARD EMPLOYEES (Employment by private commercial firms)

Mr Low Yong Nguan asked the Minister for Finance whether his Ministry has reached any agreement with any private commercial firms so as to prevent those firms from employing any civil servant or employee of a statutory board; and what is the rationale behind such a move.

Dr Goh Keng Swee: Sir, there is an understanding between my Ministry and certain large industrial firms that these firms will not make offers of employment to employees of the Government and statutory boards without first obtaining the agreement of the Government or the statutory boards concerned. Similarly, the Government and the statutory boards will not make offers of employment to employees of these industrial firms without first obtaining the concurrence of the management of these firms.

The rapid expansion in both the public and private sectors in recent years has resulted in a shortage of people with the necessary skills in management or in professional and technical training. Under such conditions, there exists the temptation for an organisation to solve its staffing problem by stealing staff from other people. This practice called "crimping" does not increase the pool of persons with the required skill in the country. This is not only of no benefit to the economy as a whole, but it can have disruptive effects.

Mr Ho See Beng (Bras Basah): Mr Speaker, Sir, which party pulls out more of the other party's employees?

Dr Goh Keng Swee: Sir, both sides have been equally guilty and, after a certain stage, we decided to call a truce.