PRESIDENT'S SPEECH Debate on the Address (Second Day)

Order read for Resumption of Debate on Question [25th February, 1975],

`That the following Address in reply to the Speech of the President be agreed to:-

"We, the Parliament of the Republic of Singapore, express our thanks to the President for the Speech which he delivered on behalf of the Government at the opening of the Second Session of this Parliament.".'. - [Mr Ong Teng Cheong]

Question again proposed.

2.33 p.m.

Mr Teong Eng Siong (Sembawang): (In Mandarin): Mr Speaker, Sir, I support the Motion of the Member for Kim Keat expressing our thanks to the President for his speech.

At the close of yesterday's meeting I was speaking on Education and I would now hike to continue. In the contents of the education programme we should stress on the strengthening and inculcation of an ethical concept so as to enable our younger generation to be law-abiding. The teachers and the authorities concerned should revise the textbooks by doing away with unsuitable contents and replacing them with relevant contents which will add to the moral sense of the children. As the Addendum on the Ministry of Education deals with the publication of textbooks and other programmes, I hope my suggestion will be taken into consideration.

Sir, it is pointed out in the Addendum on the Ministry of Foreign Affairs that we need to cooperate with our neighbours. Our participation in ASEAN activities is beneficial to countries in this region because it contributes to the peace, prosperity and order of this region. This is in keeping with our foreign policy of making more friends and fewer enemies, and it also maintains our good relations with peoples throughout the world. In order to ensure our long term interests and survival, our people must learn to co-exist with our neighbours. In this respect, besides the official government contacts, we can also keep in touch with our neighbours through trade, commerce, culture and other exchanges in order to promote mutual interest.

Sir, it is mentioned in the Addendum on the Ministry of Labour that a new Bill will be introduced to amend the Workmen's Compensation Act to increase the amount of compensation to the injured worker, and that payment will be made more speedily. In a fatal case, the compensation will be raised from $21,600 to $35,000 and in the case of a worker who is disabled permanently the compensation will be raised from $28,800 to $45,000. Sir, this is no doubt a very reasonable figure of compensation for the family of the victim. It is a clear indication of Government's concern for the welfare of the workers and their families. But what is more important is to safeguard the lives and welfare of the workers because they contribute to the progress of our national economy. In view of the increasing number of industrial accidents, the Labour Department will have to tighten its supervision over the safety of the workers and to request employers to abide by all safety regulations. The workers themselves should also be safety-conscious and play their part. With tripartite cooperation, we will then be able to reduce the number of industrial accidents to the minimum.

On the Ministry of Culture, I would say that cultural and art activities are very important in the promotion of cultural development of our people. In the past year we have had quite an active programme of cultural and art activities. Considering the fact that tickets for cultural performances at the Victoria Theatre were usually sold out, we can judge the popularity of these performances, which included dramas, concerts and plays in the vernacular. All these speak well for the development of our cultural and art activities. With the concerted efforts of the Ministry of Culture, the people and the artistes concerned, we will be able to promote creative arts and cultural forms. In this way, I am confident that we will be able to instill in our people a better sense of culture and art.

Sir, the standard of our medical service has all along been maintained at a very high level. Our medical service has made a good contribution towards the health care of our people. In addition to the purchase of modern equipment and paraphernalia, the Government has also taken steps to increase and to train medical personnel to look after our sick. Today, our people are able to enjoy a healthy life and they must thank the authorities concerned for the services provided. The Ministries of Defence, Education and Health have the largest share of the budget expenditure, but it is well worth spending because it is related to the people's security, knowledge and health. However, I am perturbed by the suggestion to increase the outpatient medical charges, because it is the poor people who go to the Government clinics or hospitals for treatment. So it will have a very hard effect on the poor, because the additional charge of $2 or $3 will increase their burden. I would like to appeal to the Government not to increase the charges for outpatient treatment and Third Class Ward charges, so that the burden of the poor will not be aggravated.

Sir, in the past the Community Security Force has played their role very well in the maintenance of security, peace and order in various areas, including Housing Board estates. They have contributed much to the efforts of the police and the security force. This security measure will not only train our younger people in the cultivation of a sense of security but it will also promote good relationship between the Community Security Force and the people. We hope that in future they will be able to provide a greater contribution to the security of the people.

Sir, I have studied the Addendum on 13 Ministries but I have not been able to find a single item on public construction in the rural areas. I am very much perturbed by this. In the past, the Government has allotted large sums of money for public construction and development in the rural areas, such as the provision of drains, street lights, the construction of roads, electricity for homes and the betterment of the rural environment or the rural dwellers. Although a great part of the rural areas have been improved, there are stilt many areas which need improvement. There are still some kampongs which lack water supply, good roads and other facilities. As a representative of a rural constituency, I would like to speak for these people. I appeal to the authorities concerned to continue to allocate large sums of money to remedy the ills in the rural areas by the provision of public utilities and other facilities so that the rural people will he very grateful for them.

Sir, we are happy to note that although the Government has been paying attention to economic development, national construction and the provision of means of livelihood for the people, yet it has not neglected the recreational needs of the people. According to the Addendum on the Ministry of National Development, the Government has undertaken to develop a 300-acre site along the Tanjong Rhu and Bedok sea coast. This area will be developed not only as a holiday resort for our people but also as a tourist resort. Various kinds of amenities will be provided there.

Touching on other matters, 1 am glad to note that the Ministry of Social Affairs will take action to curb the unreasonable and high rates of interest charged by the moneylenders in order to safeguard the interest of the poorer people. The Ministry of National Development will also build condominium housing in order to meet the needs of the middle-class people. The Ministry of Home Affairs will have full-time national servicemen in the Police Force. The increased manpower of the Police Force will curb the increasing number of crimes and it will also help to maintain law and order more effectively. On the question of hawkers' livelihood, the Government will set up more hawker centres in the coming years to house the temporary hawker licence holders. The Government is going to improve the environment of the people by reducing all kinds of pollution and raising the standard of public hygiene. All these measures will show that the Government is taking all the necessary steps to try its best to promote the interest and livelihood of the people. In a review of the performance of our economy over the last year, the President has said that our economic growth was about 7%.In the wake of world-wide recession and inflation, our achievement is really laudable. As the President has said, this has all been due to the self-discipline, diligence, frugality and the spirit of enterprise of our people. In the coming years we will be faced with possibly even greater challenges. However, with the effort, determination, capability and the wisdom of the Government together with the diligence, effort and self-discipline of our people, I am confident that we will be able to overcome all difficulties and achieve all the various beneficial programmes towards nation building in a more glorious way.

Sir, I support this Motion.

2.50 p.m.

Mr N. Govindasamy (Telok Blangah): Mr Speaker, Sir, may I join my colleagues in thanking the President for his policy statement.

Like the old saying, every cloud has a silver lining, he has forecast that our economy will probably do better in the second half of 1975 than in the first half. This is a welcome forecast and I have no doubt that given the proper planning, guidance and leadership Singaporeans will strive towards making the best of even the deepening recessionary period that we are facing.

Sir, the Prime Minister himself has cautioned the over-reactive Singaporeans to any situation and the Deputy Prime Minister has also warned against over-worrying and guessing when the recession would end. In spite of the possibility of an improved economic situation in the second half of this year, we must guard against complacency and its other extreme, panic of any kind. Even in the past year, although our real growth has been only around 7%, we were not so badly off as many other developing countries in view of our sound currency, favourable balance of payments, sound industrial relations system and the climate of social and political stability.

The President confidently stated that Singaporeans being relatively young will adjust to slower growth rates. I certainly hope they do. My fear is that a large number of our young workers have come into the labour market after 1968 and they have tasted rapid economic boom and have taken the higher growth rate we enjoyed for granted. It is incumbent upon all of us to stress the virtue of hard work.

Up to the end of January this year, about 18,000 people have been retrenched in Singapore. This is about 2% of our total work-force. The slackening of demand for the products of existing factories in Singapore, as a result of the world economic situation, was the main factor that caused the closure of a large number of establishments and cutting down on the labour force of other establishments. Hardest hit among the factories which had to reduce their work-force were the electronics, plywood and textile industries. Fortunately, the retrenchment situation has not been manifestly felt until recently because about 79% of the workers who lost their jobs were women and young girls who were apparently not the sole breadwinners of their families.

It is heartening to note that the Ministry of Labour has set up a special retrenchment unit to assist retrenched workers to seek alternative employment. Although it was known earlier that the retrenched workers responded very poorly for job placements, things have now changed. In the early days of retrenchment, the vast majority of the retrenched girls were perhaps depending on their savings or expecting better jobs because they were not the sole breadwinners of their families. In recent months, more and more of these retrenched workers have come to Members of Parliament for assistance in employment. This is a clear indication of the tightening labour market and jobs becoming scarcer as a result of mounting retrenchments in the light of world recessionary trends.

We must in a concerted manner take steps to prevent or minimise the impact of retrenchment. These measures are effected within the framework of a rational economic analysis of the retrenchment situation within tripartite relationship of active cooperation between Government, trade unions and employers, with special emphasis placed on increasing productivity through adoption by management of new productivity techniques, skill acquisition by workers and preference given to job deployment and part-time work as against complete retrenchments.

Singapore employers whose industries are hit by economic recession should be required, if necessary by legislation, to give the Labour Ministry and the trade unions advance notice of any impending retrenchment exercise. I am aware that the Labour Ministry has advised the industries to do so. But I am doubtful as to how many employers are complying with this request. They should provide the Ministry with a list of workers to be retrenched and the reasons for their action. This would enable the Labour Ministry officials, if necessary with the help of the Economic Development Board, to advise them on how best to tackle the various problems involved. This also helps the Ministry to monitor the labour situation.

Singapore is fortunate in that there is no dominant sector in our economy which generates most of our Gross National Product or provides most jobs. We have industries and multinational corporations from all corners of the globe. In other words, as it has often been said, we do not have all our eggs in one basket. Such diversification is certainly Singapore's hope and mainstay for economic survival, for while certain industries are badly hit, such as electronics, plywood and textiles, other industries like tourism and ship-repairing continue to expand.

The Addendum on the Ministry of Labour stresses the need for "discipline, hard work, efficiency and skill of our workers, and the enterprise and innovation of our entrepreneurs." This has always been the NTUC philosophy. In fact, to further emphasise it, the NTUC has instituted certain changes in its own set-up so that broad principles for its affiliates can be drawn up. One of the important aspects of this change is the education of trade union officials as well as members. In this context, we will have to decry certain employers who begrudge the granting of paid educational leave to workers. Such employers are antisocial as these workers' educational courses have a pronounced social value and orientation emphasising basic economics, means and methods of higher productivity and tripartitism.

We also welcome the initiative of the National Productivity Board in convening the National Industrial Relations Committee to consider the issue of productivity and wages. The NTUC which is represented in this Committee is on public record as being in full support of the twin objectives of the Committee to increase productivity and wages, but the difficulties of this Committee should not be minimised. The past record of attempts to establish productivity councils under the old name of works council is dismal indeed and if we are to make a success of them this time -a vital necessity if Singapore is to progress and prosper on the industrial front - both management and labour must discard their old prejudices. Both sides must approach the problems with a positive determination to work out a just and equal solution in which the key issues, that is, increasing productivity and equitable rewards for greater inputs are exactly balanced. Nothing is more certain than that if the Committee produces a solution which ensures greater productivity and neglects to see that the workers, whose additional efforts that generate this increased productivity are not adequately remunerated, the whole effort will collapse in future as have previous efforts in this direction.

Another welcome feature of the Addendum on the Ministry of Labour is the decision to set up an Industrial Relations Division. I do not know if this would be an extension of the Conciliation Section, or a supplement to it, or if it is going to be a separate division. It is praiseworthy that they intend obtaining high level staff. I, too, happen to be in the same business of looking for, if not high level, suitable industrial relations staff for our requirements in the NTUC. I can assure the Ministry that they are extremely difficult to come by. Even if we recruit some, the promising as well as a few of the mediocres are grabbed by management. Apparently, their need is greater than ours and they are willing to pay for their needs. I would like to caution the Ministry, however, that recruiting staff for the Industrial Relations Division is one thing, but recruiting the right calibre of staff, who must not only gain the confidence of management, but also of labour is necessary for the success of the Industrial Relations Division. Gaining the confidence of one party at the expense of the other is bound to fail.

The NTUC's call for the inclusion of industrial dermatitis and noise-induced deafness to the list of compensable diseases under the Workmen's Compensation Act was made as early as 1972. We are grateful that the Ministry of Labour has at last found the soundness of this request and has so listed. In the industrial safety and health field, the Ministry of Labour is very actively pursuing policies of inspection and enforcement. In spite of the inadequacy of sufficiently well-trained officers, the Ministry of Labour is doing a good job. This division has got to be congratulated. Our industrial safety and health standards are reasonably high in comparison with that of the developing countries despite the recent accidents in building construction and ship-repairing fields. However, inspection and enforcement officials should be ever vigilant and mindful that our action does not in any way result in the stifling of the competitive edge we have in the region.

Apprenticeship schemes for children between the ages of 12 and 14 years and allowing young persons between 14 and 16 years of age to work in industrial establishments would help those who leave school at an early age for some reason or other. However, proper apprenticeship schemes should be drawn up and inspection of such schemes would be necessary to prevent abuse of apprenticeship trainees.

Let me make a few comments now on the Addendum on the Ministry of Health. Looking through the comprehensive Addendum, it says so much about our population policy, hospital development, disease patterns, etc., but nothing about recruitment of doctors, specialists, etc., and most important of all the retention of these specialists. We cannot just write-off the whole episode by just saying that doctors are not dedicated. There is definitely more money in private practice. It appears as if Government hospitals train doctors in the early years of their career for the private sector. Although this may not necessarily be a bad thing, the Government should be in a position to retain some experienced doctors and specialists for its own use in the Government hospitals. Perhaps a commission of inquiry like the Police Services Commission should be set up to resolve the situation. Such a commission would indicate the areas of discontent among our medical officers.

It is gratifying to note that growing numbers of young Singaporeans have come to regard career in the Armed Forces rewarding and respected. It is also with pride that we can state categorically that we are now embarked on a qualitative instead of quantitative defence capacity. However, there is one aspect in which the Ministry of Defence should direct its planning with a little more care than now, i.e, the in-camp training for discharged national servicemen. It has been brought to my notice that a few ex-national servicemen have been called up for full-time in-camp training twice in a year; each training lasted for more than 20 days. Particularly in respect of officers who are engaged in executive positions in government, statutory boards and the private sector, this places a strain on the employers as well as on the officers. This also disrupts, in some instances, important work that the officers are performing in their place of work. I am sure some device can be formulated so that they are only called up from their place of work once a year or this in-camp training given during the weekends.

I notice that the Ministry of Home Affairs is going to organise more campaigns in the coming years. Like the hon. Member for Henderson mentioned yesterday, well planned and spaced-out campaigns have their educational effectiveness. If I remember correctly, last year the Ministries of Health and Home Affairs organised the most number of campaigns. If we are not careful, one of these days, some hon. Members of this House might organise a campaign against all campaigns! Those Members who are organising campaigns for next year, please note this.

While congratulating the Housing and Development Board on the record number of 26,000 units of flats built last year, I would also like to comment on the qualitative aspect of its housing programmes. I strongly believe that with proper and vigilant supervision quality need not be sacrificed for quantity. In recent months, I have, on behalf of the Housing and Development Board, balloted for thousands of flats in Telok Blangah and I have received just as many complaints. It appears as if the Housing Board takes over blocks of flats from the contractors without the necessary full inspection of the flats, ballots them off and hands keys over to the respective tenants or flat-owners. Trouble starts from then on. Complaints of leaking sewerage pipes, doors and windows which are either jammed or unable to be locked, floors that are as rough as unmaintained rural roads, pour in. The complaints pour in as fast as the flats are let out. It sometimes takes months for the Board to attend to these complaints.

Finally, Sir, my friend the Honourable Minister for Education is not here and if he were here, he would be terribly disappointed if I do not comment on the Ministry of Education, my favourite Ministry. The policy and the content of changes in our Education system has been far too many. While reserving the details for the Budget Debate, may I just make a few general comments with regard to these changes, past and present. Let me start with History. The hon. Member for Ulu Pandan mentioned yesterday of the importance of History in the school curriculum. I will only mention the changes in our Education system with regard to History. Once, Sir, just a few years ago, we taught History in primary and secondary schools in the first language. Recently, we taught History in the second language. The new policy is "History in no language".

Quite recently too, the second language exposure time was increased. Even more recently, principals were told that they can be flexible about the exposure time depending upon language teachers available. Yet another change, mind you.

Some years ago, at the end of primary school, children were graded into academic, technical and commercial streams and later, practically all secondary one and two pupils were made to attend two years of workshop practice after which streaming would take place. Now, again, we are told that streaming is going to be at the end of their primary school career.

The Parliamentary Secretary to the Minister for Education (Mr Ahmad Mattar): That is wrong.

Mr N. Govindasamy: Well, I will wait for the reply at the appropriate time.

Just a few years ago, emphasis and more emphasis was placed on extracurricular activities. Inter-District Meets of all kinds were encouraged. More recently, there have been directives for reduction of ECA activities.

Primary education is to be extended to seven years with provision for some pupils to complete it in six years. Schools were told that grading for six-year or seven-year primary education is to be made at primary three level. A proper guidance in this regard is yet to be given. Could not the same purpose be served in the retention of a primary pupil if he fails badly in a class for one year? In other words, pupils who make good progress complete their primary education in six years and those who fail stay on in a primary school for one more year.

When is the Ministry of Education going to stop treating teachers and children as robots? Will the new Education Act put an end to, to quote the President in his Address, "short-term political considerations, and that, instead, you will be guided by the long-term interests of all our people."?

3.16 p.m.

Dr Tan Eng Liang (River Valley): Mr Speaker, Sir, I would like to add my support to the Motion to thank the President for his Address to the House and for highlighting the problems that need our attention and the measures the Government would need to adopt in the long-term interests of the nation.

I agree with the policies outlined in the Presidential Address and in the Addendum on the various Ministries and support the proposed measures designed to meet the long-term as well as the day-to-day administration of our nation. I am sure everyone of us will fully endorse the view expressed by the President that it is the primary duty of government to establish an equal-opportunity society, where everyone has an equal chance to live, learn, work and play to the best of his or her capabilities.

I would, however, like to comment on a few issues relating to the implementation process within government machinery. Firstly, however well-intentioned government may be and however meaningful the policies formulated, they will mean very little, unless they can be implemented, to achieve the objectives and the impact, that the government wants. In this regard, I support the views expressed by the hon. Member for Jalan Kayu yesterday -that the Government should look into the various systems under which it now operates with a view to achieving better co-ordination between Government departments, and better communication and interaction between civil servants and the public they serve. Sending a letter, particularly a badly worded or a strongly worded one, to a member of the public is communication at its lowest level. Interaction implies that the reason for the letter is made known to the reader, and the governmental policies behind it explained, in polite and clear tones. As I see it, there is need in certain areas, for better co-ordination, while in others there is a need for decentralisation. Procedures and mechanisms which have stood us in good stead in the past may now require modification and revamping.

By the 1980's, if everything goes on well in the Asian and Pacific region, Singapore will be in the beginnings of the technological era. The main challenge to our society will revolve not only around the production of goods alone but also around the difficulties and opportunities involved in a Singapore of accelerating changes and ever-widening options. While it is true that change has always been a characteristic of the Singapore environment, in the eighties, the pace of change will come much faster and will affect every facet of life, from personal values to education and life styles.

I am therefore glad to note that special attention will be given to caring for the old, the handicapped and the youths. In the past, and quite rightly too, the Government has focused its attention on the productive side of the economy such as jobs, tourism, income, and industries. In so doing, it may not have done as much for the young, the old, and the handicapped as it would like to. As a Government which has achieved considerable success in developing the economy and redistributing the economic cake to workers, I would think it is time now for the Government to pay more attention to the less exciting but more human and social aspects of development. After all, the aged and the handicapped are also our citizens.

It is satisfying to note that the Education system will be restructured to meet the needs of the times and the educational facilities expanded according to the needs of our population. We should also remember that teachers play a vital role in shaping the attitudes and the life-styles of our youths. I would urge for a more objective and effective system to reward and motivate the teaching profession. On the other hand, we would also need to evolve a system to identify and penalise the few black sheep. I am persuaded to think that the various teachers' associations and unions may be well-placed to do this to seek out these few who tarnish the good name of the teaching profession. This need to identify and penalise the black sheep should also apply to other sectors, for example, the Armed Forces. Human nature being what it is, much public misunderstanding and ill-feeling can result if, under the guise of discipline, harsh penalties and labour are meted out to national servicemen, usually by an irresponsible few. More efforts must therefore be made to minimise such incidents to preserve the good image of our army. Trade unions should also see to it that irresponsible and mischievous elements amongst their members are weeded out.

It is true that we have developed very fast. It is also true that we may have achieved in 16 years what it may take some other countries a century to attain. At such a rapid rate of development, problems will most certainly loom. Already, we are experiencing a shortage of skilled and experienced manpower in certain sectors which can only be developed with time. The Government should try to minimise these problems and not merely shrug its shoulders in a "can't-be-helped" attitude or "What to do? The system is such?" attitude. Let us recognise and drive home the point that individuals are responsible for their actions as well as inactions. The Government should take cognizance of this lest, in the process of accepting certain systems and not daring to make changes, it may produce demigods among the civil service and cause frustration to many whom the service is supposed to serve.

In the final analysis, what is most important is for the Government policies to be lucidly explained to the public by those who implement them. Our people must know and understand the problems of development, so that they can learn to accept the things they cannot change; have the courage to change what they can change; and above all, possess the wisdom to know the difference. This wisdom can only be developed through better communication and education. The Government can and should take a leading role in this.

3.25 p.m.

Mr Ho See Beng (Bras Basah): Mr Speaker, Sir, I rise to associate myself with the sentiments expressed by the Member for Kim Keat in thanking the President for his speech at the opening of the Third Parliament on 21st February.

Singapore has had to face a number of crises over the past decade, both internal and external. However, the Government has been constantly on the alert and was able therefore to draw up alternative plans well in advance. The Republic has consequently managed to weather the storm. The determination and willingness of our people to make adjustments to new situations also contributed in this effort. In fact, it was possible for Singapore not only to survive but to prosper as well.

Although most people, including well-known economists, predicted that 1975 would be a year of economic recession which could bring in its wake very difficult situations, things appear to have levelled off, at least for the time being, and there is every hope that with a certain amount of sacrifice, determination and careful planning, we will be able to surmount the more recent crisis. Therefore, Mr Speaker, Sir, it is imperative that we ensure that none of our resources is wasted and that government spending will help bring about maximum returns.

In this context, I would like to refer to one item which I feel has not been given sufficient attention. The Government, I understand, intends to spend a large sum of money to recruit and train apprentices, to boost the supply of skilled and semi-skilled personnel for our industries.

I would like to point out that vocational schools do not provide the entire training required for apprentices. The training at vocational schools cannot be as effective as that given to apprentices in factories. There they receive or the job training which, in due course, will enable them to do the actual work they are expected to do. Although workshop practice and theory will undoubtedly provide some basic training, it is the practical application of this learning-in-industry which is most important, and this sort of training can only be acquired by solid work experience in factories. If we leave it solely to vocational schools to train our future technicians, there will be a time lag of two or three years before these technicians can be efficient in the work that they will eventually have to do in the factories, the workshops and so forth.

I would respectfully submit, therefore, Mr Speaker, Sir, that Government should evolve more training schemes for apprentices in factories and utilise funds for these training schemes instead of spending more money in building vocational schools. I feel sure that industry would welcome this move, for although many industries are willing to train apprentices, training also consumes the employer's time and money. Perhaps a scheme could be worked out whereby the apprentices receive simultaneous on-the-job training in the factories as well as instruction in the existing vocational schools. This, Mr Speaker, Sir, would appear to be a more practical approach to the problem.

In considering training schemes, with joint participation from industry, provision should be made to disallow apprentices from joining trade unions, because they are trainees, and as such, are students. There appears to be no valid reason why students should join trade unions of employees. If the apprentices join in, one can appreciate the employer's reluctance to take on apprentices.

Mr Speaker, Sir, in regard to the Ministry of Education's proposals for the coming year, I would like to draw the attention of this House to the problems that are being created and the irritation that is being felt by local students as a result of the University's policy to give foreign students their share of accommodation in the hostels, ignoring the requirements of our own students. This is not to say that I am advocating the total ban on accommodation at University hostels for overseas students. On the contrary, they are most welcome, in principle, for it is a good thing for our students to live and mix with students from other countries. It promotes understanding, tolerance and a widening of horizons. However, I feel that a correct proportion must be maintained for many reasons. Perhaps I need only mention two. One is that if a large proportion of our students are unable to get accommodation, they are bound to feel disgruntled and dissatisfied and this, instead of promoting harmony, will ultimately bring about resentment against overseas students. This should naturally be avoided. Second, if large numbers of foreign students are permitted in our hostels, they will tend to group together and form little societies of their own, and this will inevitably be counter-productive in a very real way.

Mr Speaker, Sir, I am glad to note that the Government is planning to impose stiffer penalties for certain crimes. It is a well-known fact that it takes a long time to change laws. It is true that in recent times, some laws and regulations have been updated, but I feel that most of our laws could bear closer scrutiny and are worthy of updating and revision.

Singapore inherited quite a large number of laws which were enacted during colonial days, for a different era. Circumstances have changed over the last 25 years. Social values have changed, social problems have changed, in fact the very form of Government has changed. And yet, we are attempting to govern on the basis of some of these archaic laws. I have no doubt that the Attorney-General's Chambers must have given this matter thought and have updated some of the laws, but I feel more could be done to bring the laws in line with present day requirements.

Let us take, for example, the penalty for kidnapping or armed robbery. In certain countries, for instance, Taiwan or China, the penalty, on being found guilty, is death. They are shot. Although in recent times, penalties for some offences have been increased - fines have been raised and longer sentences imposed and whipping introduced in some cases - it is apparent from the crime rates that it is necessary to ensure that the penalty fits the crime.

This may appear to be a hard approach but, as I mentioned earlier, society has changed and it is possible that some laws cater for situations which probably do not exist any more and even as we deem it necessary to modernise and update our industry, to meet new technological needs, so also should we update our laws to meet new social and economic needs.

Mr Speaker, Sir, I think nobody can deny that Singapore is the foremost State in providing attractive housing schemes for its citizens. Today, the working man is able to purchase a flat of his own, even though he may be earning $300 a month or less. I feel we can be justifiably proud of the fact that Singapore has been able to provide this basic social amenity for its citizens and indeed it is an important one. Without the Building Control Division and without proper laws governing the construction of private dwellings, both by individuals and developers, serious problems must arise. Nevertheless, I hope that the Building Control Division will divert more of their energies to the bigger issues and the bigger projects, rather than to small matters and minor issues. .I understand that the Building Control Division appears to be spending a considerable amount of time and energy chasing after small house owners who, in their ignorance or need, have somehow committed minor infractions of the law, such as putting up awnings nearer the fence than permitted by law. I think we should ask ourselves whether certain sections of the regulations and laws which were enacted many many years ago, when land area was no problem, are still valid today. Some of the rules may have to be changed to meet present day circumstances.

Two decades ago, bungalows were the order of the day and the rules were made for ample space around the houses, but today when we are cramped for space, should we really have the same yardstick?

Clearly then, Mr Speaker, Sir, rethinking of a very vital kind is necessary regarding the issues I have touched upon. I would be grateful if time would be allocated for the House to give its attention to these matters.

3.38 p.m.

Mr P. Govindaswamy (Anson): (In Tamil): Mr Speaker, Sir, I rise to support my colleagues in thanking the President of Singapore for his important and calculative address which he delivered in this Chamber on 21st February, 1975.

The President has outlined the many problems that the country is facing or will be facing and he has suggested solutions which the various Ministries intend to do to offset these ills. However, these proposals must be carefully and systematically implemented. Otherwise the masses will be taken by surprise.

It is indeed a welcome move that the Government intends to increase the Police manpower by taking in full-time national servicemen. This move has to be introduced because of the growing crime rate in Singapore. However, one setback is that we must see that the people who are being trained in this field are loyal and dedicated personnel, otherwise the Police Force would be made a laughing stock if crooks are found in their midst. I have to say this because I understand that some of the present lot of part-time national servicemen are a bunch of rogues. Some even engage in part-time crime activities after their duty hours. Some part-time national servicemen in the Police Force are even sporting long hair. So, steps must be taken to ensure that the move is well implemented with, out creating problems in the future.

I now come to the point on the park and ride scheme. I believe that in certain countries the shuttle service in this scheme is given free of charge. But we in Singapore cannot allow this because the privilege may be misused or will affect the overhead cost. Nevertheless, I would like to mention that though this is a wise move to solve our traffic problem, there will be many businessmen in the Central Business District who can afford to pay the mere $60 Area licence fee for their vehicles. They might buy licences for most of their employees and thereby this will not solve the traffic problem. It will defeat the purpose of the park and ride scheme. I would suggest that we limit or apportion the number of licences for every business enterprise in the CBD

The Education system has gone through a revolution during the last decade. There have been so many changes that most parents are confused. Though we must admit that we have to keep up with the times in our Education system, it should not be changed so often. Otherwise teachers and principals will adopt a carefree attitude in their methods of teaching. I hope the Ministry will take my advice and see that changes are not made so often.

Last year there was a headline in the Straits Times regarding the pledge by the Minister for Communications that there would not be any more problems of public transport in the years to come. I must congratulate the Minister's move in improving the public transport system from then on. But, nevertheless, there is still much room for improvement. Daily we find many breakdowns of the buses, infrequency of services and snobbish conductors and reckless drivers. Every now and then we hear that the SBS is commissioning new buses on the roads. This is indeed a heartening move. But, on the other hand, what about the buses that are being involved in major accidents. The SBS should set up a committee to look into the rising rate of major accidents. Furthermore, the new buses are of poor quality. Very often we see that the seats in the new buses are damaged and they are not very safe. The SBS should not only look into the question of quantity but also on the quality of buses.

During the last one year, bank rates on fixed deposits and savings accounts had been revised several times. At one time the rate was increased by 2%. It was reduced subsequently. Though this may be good for investments, it might cause some side effects on people who are misguided by these constant fluctuations, and it might result in the promotion of illegal activities like tontines and chit funds.

It is a wise act that the Government is introducing benefits for couples to have their parents live with them. This is to allow the parents to work while the grandparents look after the children. By this move, it will induce close relationship within the families and will relieve to a certain extent the social problems of the country. This concept should be greatly publicised to let the people be more aware of it and to follow it accordingly.

Last year, I did speak something on the subject of medical charges. I had asked the Minister not to increase the medical charges. He did not reply to my question. I am sad to note that there is a hint that the cost of medical services may be increased. I hope that the Minister will review his intention, because there is great dissatisfaction among the people over this increase in the cost of medical services. As a result, some people even turn to quack doctors as an alternative to the expensive hospital charges.

Finally, we must admit that the people of Singapore have complained of the rising cost of living which is the result of world-wide inflation. Nevertheless, the problem is being eradicated by and large and let us hope, as predicted, that in the second half of the year we will do better.

3.45 p.m.

Mr Seah Mui Kok (Bukit Ho Swee): Mr Speaker, Sir, I would like to join hon. Members of this House in supporting the Motion moved by the Member for Kim Keat to thank the President for his speech delivered on behalf of the Government at the opening of the Second Session of the Third Parliament on Friday, 21st February, 1975.

Sir, the President's speech together with the Addendum on the various Ministries give us the full picture of what the Government intends to do for the people of Singapore, especially to maintain political and economic stability with industrial and economic growth. It is also very necessary to preserve the tripartite cooperation between Government, Management and Labour in order to solve all the various problems caused by the present world inflation and recession. However, let us all do our very best to achieve the same real growth around 7% like last year, and if possible, to score a higher percentage if we can, by the end of this year.

I am glad to learn that the Singapore birth rates continued to fall and that total births declined in 1974 to 44,000 from 48,000 in 1973. For a country to achieve industrial growth and economic progress, it is important that its birth rates must be controlled. I sincerely hope that all the young married people in Singapore will have small families and to limit each family to two children only.

Sir, it is true that crime rates have been increasing. The President had rightly said in his speech on 21st February, 1975, that "they want the good things in life but without working to pay for them." Quite frequently you will find reports in the newspapers about theft, armed robbery, gang fights, rape and murder. We must find ways and means to stop them. I fully support the Government in introducing full-time national service for the Police Force to help deal with the growing crime rates. I would request the Government to recruit more Police officers to maintain its full strength. Also the public must give full support and cooperation to the Police in dealing with criminals. I think we can be proud of our Police Force. It is efficient in dealing with crimes and not tainted by corruption. I would also like to praise the good work the Vigilante Corps are doing under the establishment of the Community Security Force, especially in helping the regular Police in crime prevention.

Sir, the Housing and Development Board is doing a fine job. Last year it completed a record of 26,000 units. I am happy to learn that its building programme will eventually reach 40,000 units per year. In view of the fact that there is a waiting list of 80,000 intending purchasers and 20,000 applicants to rent HDB flats, may I request the Government to limit the private developers from building too many luxurious and costly flats or houses. Most Singaporeans cannot afford to purchase them because of the high prices. They are specially built for businessmen and rich foreigners in order to make big profit. These private developers care for their self-interest first, purely for profit-making and not for national interest. With the present inflation and recession, most of the luxurious and costly multi-storey flats and houses are vacant in spite of the fact that their prices have slightly gone down. I believe by limiting the private developers from building unnecessary luxurious and costly multi-storey flats and houses, the Government can make good use of the construction workers and building materials to build many more HDB flats to reach the target of 40,000 units a year so as to eliminate the long waiting list of 80,000 intending purchasers and 20,000 applicants to rent HDB flats.

Sir, several thousands of our young workers have been retrenched from the electronic, garment, plywood and other industries because of the present inflation and recession. Workers in America, U.K., Europe, Japan and other countries have also suffered retrenchment. Unemployment is on the increase everywhere. I am happy that the Ministry of Labour has already set up a special retrenchment unit in August 1974 to help the retrenched workers to get other employment. Young workers should not be too choosy in accepting a job. They should realise that all jobs are dignified, but to remain idle, unemployed and to depend on parental support is shameful and disgraceful.

I hope the Ministry of Labour together with the unions will keep a close watch on the retrenchment situation and see that employers do not abuse their right to retrench workers unless there is real justification to do so. Should there be any retrenchment, it is appropriate that the employers should discuss these questions with the union leaders as early as possible - whether there is any possibility of avoiding it; or lessen the number of workers to be retrenched; or to deploy them to other departments or worksites; or to operate a four or five-day week; or any other ways and means to solve the problem to the satisfaction of both parties. If, finally, retrenchment is unavoidable, the employers should give them ample notice so as to cushion a sudden shock and to enable them to make preparation to seek other employments. Also the workers should be given substantial compensation as retrenchment benefit for the years of service that they have given. If this procedure of retrenching the workers is adopted, I am sure there will be less misunderstanding and all hostile industrial disputes or confrontation can be avoided. To achieve industrial peace, employers must respect the workers as human beings and not to treat them like machines but to appreciate the importance of understanding the human feelings of the workers. To enjoy job security, good wages, and better conditions of service, workers must do their duty honestly, sincerely, efficiently and help to increase productivity. However, it is necessary for both sides to develop trust, understanding, confidence and cooperation to achieve good industrial relations and industrial peace.

Sir, I fully support the Government's intention to raise the standards of industrial safety and health, especially in building construction, ship-building and ship-repairing. These industries have the highest rates of industrial accidents involving serious bodily injuries and even death as happened in several cases. In spite of the warning given by the Ministry of Labour to employers, there is not much evidence of a reduction in the number of industrial accidents and deaths in these industries. These employers are only interested in making big profits as quickly as possible. They do not care very much about adequate safety equipments necessary to safeguard and protect the workers from industrial accidents. I am happy to learn that the Factories Act will be amended to provide for more stringent safety measures and enhanced penalties will be imposed where contraventions are likely to cause death or bodily injury. I think we have given them enough warnings about giving proper industrial safety and health protection to their workers. It is time that severe action was taken against employers who neglect the safety of the workers, as their negligence may cause severe bodily injuries and death to their workers. I would recommend that we impose maximum penalty of a fine and imprisonment. Disciplinary action should also be taken against workers who refuse to use the safety equipment supplied to them. We cannot afford to lose so many workers in the industries, especially the skilled ones, through incapacity caused by industrial accidents.

Sir, it is most appropriate that a new Workmen's Compensation Bill will be presented to Parliament for approval to increase the maximum compensation from $21,600 to $35,000 for a fatal case and from $28,800 to $45,000 for a case of permanent incapacity. I am sure all hon. Members in this House will give full support to this Bill.

Sir, I would request the Government to expedite the passing of legislation to control the operations and management of private welfare homes and to ensure minimum standards for the care of inmates and cleanliness of homes. This legislation will stop the exploitation and suffering of the poor aged people. May I also request the Government to allocate a number of Housing Board flats to the aged people who wish to live collectively with their aged friends and near to members of their families in the Housing estates. They prefer to stay in Housing Board flats and near to their own people rather than going to the Homes of the Aged.

Sir, according to the Sunday Times report on 16th February, 1975, under the heading "Tax Sleuths to make the hawkers pay up", it is stated that the Inland Revenue Department has got several aces up its sleeve to make hawkers who are liable to income tax to pay up. Hon. Members of this House are fully aware that a good number of hawkers are making very good profit from their business. Some of them are earning more than hon. Members of this House. It is a fact that some hawkers are owners of houses, cars and partners of other enterprises. Hon. Members of this House will agree with me that when hawkers make big profits they have the capacity to pay income tax, and the Inland Revenue Department should not delay any further to make them pay income tax. It will be interesting to know how many hawkers have been paying income tax so far.

Sir, there is some improvement in the public transport, especially, the bus service. The implementation of the scheme to use school buses to carry office commuters and other workers has greatly helped to ease the long wait for buses. Several new buses have already been added and I hope many more will follow. I would request that the school buses should not be withdrawn until there are adequate buses to serve the commuters. I also welcome the employment of women as bus drivers and conductresses. They are doing their jobs quite satisfactorily. I hope more female workers will be employed in the bus service.

Sir, I support the Motion.

4.00 p.m.

Dr Augustine H. H. Tan (Whampoa): Mr Speaker, Sir, I rise to support the Motion of the hon. Member for Kim Keat.

The President of our Republic has reminded us that we have thrived in the past because of self-discipline, hard work, thrift and enterprise. He also exhorted hon. Members to be guided by the long-term interests of our people and not to be swayed by short-term political considerations. We should take his reminder and his exhortation seriously.

We have only to ponder upon the twin problems of inflation and recession, affecting the advanced countries and the international economy, to realise the truth of the President's words. In the advanced countries, government expenditures tend to increase inexorably, spurred by misguided, if well-motivated, compassion for the unemployed and the underprivileged. Every congressman and senator tries to get government projects for his own constituency. Subsidies are used as vote-catching devices. Such expenditures and subsidies must be financed by higher taxes or by printing more money, or both. Higher taxes hit those who are able to pay, penalising in the process not only the feudal rich but also the hard-working and the enterprising. Since higher taxes are politically unpopular, governments then resort to the additional, and easier, way of printing more money to finance the higher expenditures.

The net result of the process is, firstly, the erosion of incentives for hard work and enterprise, and secondly, inflation, which penalises the thrifty, pensioners and fixed income-recipients, and which causes disorientation in production and consumption.

Governments then react to curb inflation, principally by reducing the rate of increase in money supply. However, in the meantime, demand-pull inflation, which was caused by the monetary and fiscal excesses, becomes wage-push inflation, as trade unions attempt to compensate for cost-of-living increases. The problem is made worse, because trade unions demand wage increases in excess of productivity and cost-of-living increases. Thus, inflation continues; at the same time, recession is brought about, as business firms experience a liquidity crunch on top of increasing costs of production. Since recession, which causes unemployment, is politically dangerous, the next reaction is to stimulate the economy by cutting taxes and easing credit. It is politically difficult to cut expenditures. In the meantime, tax revenues in a recession tend to decline, as income and employment are lower. Therefore, the tax-cut results in a huge budget deficit, which must be financed by borrowing or by easing credit. Borrowing at a time of recession is supposed to depress the economy further; hence, printing more money or easing credit is the standard solution.

Thus, we see in America, President Ford's proposal to cut taxes to the tune of US$16 billion, and we read about his difficulties in getting Congress to trim expenditures. The two most depressed sectors in America are housing and the motor vehicle industry. Whether people who get the tax rebates will spend on housing and motorcars is one question. What happens to the money supply is a more critical question. And the rate at which the economy will turn around and with what degree of inflation depends on how much the confidence of businessmen has already been eroded.

In the meantime, the Europeans are also easing fiscal and monetary policies and the Japanese are expected to do likewise shortly. What is disturbing to me is that, with so much global interdependence in trade, investment and money flows, there is hardly any attempt at coordination of policies as vital as monetary and fiscal. Therefore, I would expect another round of inflation, without much alleviation of unemployment. I hope that the harvest this year will be good, for, with world food stocks so precariously low, any shortage will send food prices soaring, thus compounding inflation.

There are three reasons why I expect further inflation. Firstly, monetary and fiscal stimulation produce considerable price effects for a given reduction in unemployment. Secondly, not many people are aware that monetary and fiscal policies do not work the same way when the exchange rate is floating and there is considerable mobility of capital. Thirdly, although there is controversy among economists, I am inclined to the view that floating exchange rates are an engine of international inflation. This is because wages and prices are flexible upwards but not downwards. So a depreciation of the exchange rate causes prices and wages to rise while an appreciation does not do the reverse to the same degree. The result is a net increase in world inflation.

Another worrisome aspect about floating exchange rates is that there is a loss of stability - a loss of a stable point of reference. As hon. Members know, the American dollar has been depreciating rapidly and the OPEC countries are concerned about the price of oil as it is currently denominated in the American dollar. So far as I can see, there can be no return to stability and fixed exchange rates until and unless the major industrial countries are willing to coordinate their monetary, fiscal and trade policies.

For us in Singapore, we have no choice but to accept floating rates as our trade and sources of investment are diversified. We can have a fixed exchange rate if the international economy returns to a fixed rate system or if we tie ourselves exclusively to a particular currency and therefore a particular trading area. Our floating exchange rate poses a policy dilemma. On the one hand, allowing our rate to float upwards, as it has recently, may be helpful in reducing imported inflation, provided our importers and wholesalers pass on the benefits to retailers and consumers. On the other hand, allowing our dollar to appreciate would penalise the competitiveness of our goods and services abroad. To hold down the value of our currency would require the Monetary Authority of Singapore to buy up foreign exchange. However, unless such foreign exchange is sterilised, this would result in an undesirable increased money supply generated by the banking system.

Sound monetary management is vital to the health of our economy especially when our exchange rate is floating. Our problem is compounded by the international mobility of capital. If other financial centres raise their interest rates, we have to raise ours, or else money will flow out, and conversely. To maintain our own set of interest rates independently would require controls on capital movements or interest equalisation taxes, or both. Such measures, however, would hinder our development as a financial centre. We have therefore to balance the gains from being a financial centre against the loss of control over interest rates and money supply.

I, therefore, welcome the amalgamation of the Currency Board with the Monetary Authority of Singapore to form a central bank. However, I would urge Government to keep careful track of monetary policy at the highest level. This is because of the instability in the international monetary system and because, under floating exchange rates and capital mobility, monetary policy is a major instrument of control over economic activity.

The lessons that emerge for us should be quite obvious. Firstly, we should continue to exercise financial prudence, making sure that new expenditures are properly justified and that the means to pay for them are available. Any fiscal deficit can only be justified if the projects enhance development and will eventually directly or indirectly pay for themselves. Secondly, we should maintain our climate of confidence for investors, ensuring that we do not erode incentives for hard work and enterprise. Thirdly, wages should be related to productivity. Workers must not get the attitude of wanting higher wages without acquiring the skills, the experience, or putting in the effort. In this connection, Sir, the National Productivity Board will do its best to promote productivity committees, and to help formulate policies to gear wages to productivity. The National Industrial Relations Committee has already met to discuss these issues. The members of the committee are drawn from the NTUC, the Singapore Employers' Federation, the National Employers' Council, the Singapore Institute of Management and the Labour Ministry, under the aegis of the National Productivity Board. Acquiring skills and raising productivity are the keys to our survival and prosperity. Some people have argued that it is meaningless to increase productivity at a time of recession because firms already have difficulty in selling their products or services. Increasing output with a given input is only one way of looking at productivity. More important to us at this stage is to minimise inputs for any desired level of output.

I therefore welcome the Labour Ministry's move to set up an Industrial Relations Division and the reorganisation of the NTUC. Tripartism must be exercised, not just at the top level. To achieve results, Sir, the principle must permeate down to the rank and file. What we should learn from the mistakes of the advanced countries is that wages are too important to be left to ordinary collective bargaining and that a spirit of mutual cooperation must prevail. Workers should be committed to the viability of the firm and both workers and management should keep in view the national interest.

The fourth lesson we can draw is that fiscal and monetary policies should he made to serve the long-term interests of the nation. Short-term expediency leads to traumatic stop-go policies. We must indeed educate our people to accept unpleasant, even painful, measures that will pay off in the long run. We complain about high PUB bills, bus fares and HDB conservancy charges. It would be expedient, easy and popular for the Government not to raise such charges. But how will these services be financed? Higher taxes or printing more money are the alternatives - the first penalises the hard-working and enterprising, and the second produces inflation which, as hon. Members know, is indirect taxation. In the end, if we follow expedient measures, we shall all be the losers.

Mr Speaker, Sir, there are many difficulties ahead as there is considerable uncertainty and instability in the world economy. As a small, open economy, we are highly vulnerable to external events. We can, however, by being vigilant, insulate ourselves to some degree. We can ensure our viability by working harder, by being prudent, and by maintaining a proper longer-term and national perspective. Our younger people must acquire greater skills and diligence. Perhaps the current difficulties will bring a dose of realism to the spendthrift and the job-hoppers, spurring them towards thrift and greater endeavours.

4.15 p.m.

Mr Lee Yiok Seng (Bukit Panjang): (In Mandarin): Mr Speaker, Sir, in the midst of world-wide inflation, unemployment and uncertainty, and at a time when many countries are faced with all kinds of difficulties and pressures, it is gratifying to note that the President was able to deliver a speech in the Second Session of the Third Parliament outlining the various political, social and economic policies. In the Addendum on the various ministries we can see the various measures to provide solutions to the problems faced by the people.

The President's speech is a shot in the arm for the people, both within and outside Singapore. They are imbued with greater confidence in Singapore when they face the future and our people will be more steadfast in their pursuits and contribution to nation building. The immediate task is to implement all the measures patiently and carefully. This is a very important and difficult task, especially when we have to adjust to the lower economic growth rate. In order to fulfil these policies and objectives, the first requisite is to have a government which is fair, pragmatic and dares to face up to reality and which can rally talents around it. I believe the People's Action Party is the one party which can form such a government. Secondly, the civil servants in the various ministries should be hard working, honest and dedicated to their duties. I agree with the Member for Jalan Kayu that the civil servants should enhance the quality of their service. They should shun bureaucracy and serve the people. Thirdly, our people should be aware of their civic duties. They should not be complacent nor should they be despondent. They should be self-disciplined, hardworking, thrifty and enterprising, and should place national interests above personal and sectional interests at all times. With such cooperation and unity, we will be able to surmount all difficulties.

In the Addendum on the Health Ministry, the President stated categorically that we must fulfil the objective of a two-child-family, otherwise the standard of social service and the quality of our environment will deteriorate, because of the pressure of population and congestion. This is a sharp reminder to the people in Singapore that the concept of family planning must be accepted and that there must be a curb on population growth. The campaign on family planning not only has a direct bearing on the well-being and interest of the present and the next generations but it is also a major social and national task. We should pay tribute to the Health Ministry for the good job they have done in bringing down the birth rate to 19.8 per thousand. However, we should not be complacent with such mean achievement. We should continue to make greater efforts to achieve our ultimate objective. Our success in curbing our population growth depends upon both the people and the Government. Of the people, everyone should be aware of the importance of family planning and that they should accept the social need for control of population. Every family, whether affluent or destitute, should adhere to such principles. They should strive for the objective of a two-child-family. Of the Government it should always review the services and increase the facilities provided for the people in order to ensure effectively that every family has an equal share in enjoying such facilities.

From the results of the family planning campaign, we find that people from the lower income group and in rural areas do not respond well to such a campaign. This is perhaps because of their low level of education or because of their more conservative attitude. They therefore find it difficult to accept the concept of family planning. This requires our immediate attention. As a matter of fact they are the ones who are in greater need of family planning, because if they can keep their families small, it will alleviate their burden. But because of their educational background and environment they have not been able to pay heed to such problems. The Health Ministry should therefore pay more attention to this class of people. They should provide more and better facilities to publicise such campaigns. Adequate educational campaigns and good public relations facilities should also he provided, otherwise we will not be able to establish a stable society where everyone will have an equal opportunity to live, learn, train, contribute their best and earn their living.

In the Addendum on the Ministry of National Development, we note that the Primary Production Department is doing well. In the past we have often experienced shortages of imported primary supplies and high prices. But we have been self-sufficient in the production of pork, poultry and eggs, and this has a stabilising effect on food prices. Thus, it can he seen that our farmers have a great role to play in bringing down our cost of living. This is especially so when the world is experiencing food shortages. The Primary Production Department should make greater effort to promote and widen the range of farming activities rather than concentrate on the production of a few agricultural items, resulting in a surplus of supplies.

In order to develop and protect water supplies, certain pig-rearing farms would have to be resited. This is unavoidable. The farmers realise the need for such resettlements. The Primary Production Department should advise the farmers to carry out other alternative farming activities. So long as the Government can give them encouragement and help, they will he able to succeed in embarking on other farming activities to make a living. This will both maximise the use of land and benefit the farmers.

Sir, I support the Motion by the Member for Kim Keat.

4.26 p.m.

Mr Chin Harn Tong (Aljunied): (In Mandarin): Mr Speaker, Sir, I rise in support of the Motion to thank the President for his speech to this house. According to the President's speech, last year there was a 7% economic growth in Singapore, while our foreign reserves exceeded $6.5 billion, showing a 20-fold growth compared with 1959. 1974 was a most eventful year for many countries. The energy crisis and inflation have caused many developed countries to suffer. All over the world unemployment is mounting and many factories have closed down. In some countries there have been no economic growth at all, and some countries have only 2-3% growth. But in Singapore, without natural or energy resources and with very limited land, we have been able to achieve a growth rate of 7%. This is a clear indication that the Government and the people are able to adapt themselves to changing circumstances, and we could change according to the changes that are taking place. This is also one indication of our ruggedness and our cool-headed adaptability, which are very laudable.

The President said in his speech that our economy may probably do better in the second half of this year. We must therefore prepare ourselves, always with our fighting spirit to meet the better times ahead.

The President has pointed out in his speech that steps will be taken by the Government to make it attractive for young couples to have their parents live with them, so that their children can be educated and taken care of by their grandparents and at the same time the problem of the welfare of the old people can be solved. To have taken note of this matter is something praiseworthy. This is entirely in keeping with the ethical values of the eastern culture. Those who propound that the old people should be sent to Homes for the Aged should take note that their proposition will not solve the problem because the old people will still feel lonely and miserable in those Homes.

The attitude taken by the Government in this direction reminds me of the many grievances that I have come across in my Meet-the-People sessions. I have received complaints from those who live with their parents in one- or two-room flats that the space available is very limited and as a result, old parents have to sleep in the sitting room while further addition to the family makes the premises even more congested. When they ask for larger flats, the normal reply from the Housing Board is that the allocation of larger flats will be made on a "first come first served" basis without taking into consideration the fact that the old people have to sleep in the sitting room. Because of this situation young couples are compelled to move out of the flat of the parents and set up their own homes, thus leaving their parents behind. Mr Speaker, Sir, in view of the encouragement by the Government for young couples to stay with their parents, I propose that priority for transfer to larger flats should be given to people who have their parents living with them in Housing Board flats and who find that the accommodation is inadequate. This is one concrete step towards the encouragement of young people to have their parents stay with them. If the present policy remains unchanged, then the young couples may have to move out and stay on their own and this would be contrary to the Government's policy of looking after the aged.

From next month onwards, the Ministry of Communications will implement the new traffic ticketing system and the points demerit system. This new legislation will greatly enhance the power of the traffic police to do good or evil. I would like to remind the authority concerned that in implementing this new law, more care and justice should be exercised. I have received complaints from various sources that some police officers have abused their powers. They seem to be very fond of persecuting certain motorists and harassing them with innumerable summonses. At first these motorists put up with this over-excessive implementation of the law because of fear, until they could bear it no longer. When they complained to me I straightaway referred them to the relevant authorities, after which the complaints were easily resolved. In some cases, the traffic police officers themselves are guilty of traffic offences by not setting good examples. There was a case where one police personnel himself did not observe the traffic rules and knocked into somebody's car, yet he threatened the other party involved in the accident. I am very concerned about such policemen when such wide powers are given to them, thereby creating more ill-will between members of the public and the police. This is particularly so in the case of transport workers who are on the road the whole day to earn their living. With such wide powers, the traffic police are able to break the rice bowl of these workers and affect their livelihood immensely.

All the cases that I have mentioned touched on the relationship between the Police and the people. In the past, of course, the Police took note of the question of public relations and there have been a number of Police Weeks, forums and Public Relations Promotion campaigns and so forth. In my view, campaigns, exhibitions or forums alone cannot succeed in promoting public relations. The main crux of the whole matter is that the police officers themselves should behave properly in the course of their duties and gain the respect of members of the public.

Mr Speaker: Order. It is 4.30 p.m, now, Mr Chin.