ASSISTANCE TO RETRENCHED WORKERS

Mr J.B. Jeyaretnam asked the Acting Minister for Labour whether the Government has any plan or scheme to help workers who have been thrown out of employment and, if the Government has any scheme, will he outline the scheme and the measures that will be taken under it.

Mr Lee Yock Suan: Mr Deputy Speaker, Sir, the best way to assist workers who lose their jobs is to help them find alternative employment. This is what my Ministry is doing through the Employment Service Department. Most of the retrenched workers are able to find their own jobs and do not approach my Ministry for assistance. They generally also have retrenchment benefits to tide them over the interval before they find suitable new jobs.

We currently have a situation of technically more than full employment, with many foreign workers in Singapore. The Government will continue to pursue sound economic policies to ensure as far as possible full employment for our citizens. We must continue to attract new investments to create better jobs. To do this, we must preserve our political stability and ensure that our costs are competitive in the world market.

We should, however, avoid falling into the welfare trap which many developed countries are trying to get out of. Their unemployment benefits are such that many workers find that they are better off not working. As a result, those who work subsidize those who choose not to work. Our policy should continue to be: good pay for good work and no pay for no work. Only then will our economy remain sound and competitive.

Mr Jeyaretnam: Mr Deputy Speaker, Sir, supplementary question for the Acting Minister. His statement is that there is practically full employment. But would the Acting Minister say whether the Ministry has any figures of workers who have been unemployed now for more than six months?

Mr Lee Yock Suan: Mr Deputy Speaker, Sir, we do carry out surveys periodically to determine how many people are unemployed and, of course, we also do have the registry with the Employment Service Department. But in the case of the Employment Service Department, some of the registrants do not inform us when they have got jobs. So, in fact, we have to countercheck with the CPF Board to find out whether they have got employment. But, on the whole, if we were to look up the papers everyday we will find that the columns in the job advertisement section are still full of job offers and as at the moment there are still more jobs listed with the Employment Service Department than suitable applicants.

Mr Jeyaretnam: Mr Deputy Speaker, Sir, my question was: has the Ministry any figures? I take it from the Acting Minister's answer that the Ministry does not have any figures. May I tell the Acting Minister that I personally am aware of people who have been out of job for quite long periods of time, for six months or more. This is what I was enquiring from the Acting Minister.

Mr Deputy Speaker: Could you frame your question, please?

Mr Jeyaretnam: How does his Ministry expect these persons (there may be a few hundreds) to tide over these months of unemployment? How are they expected to pay their house instalments to the HDB? Does the Ministry realize that, if they do not pay, the HDB will come breathing down their necks and throw them out? How does the Ministry expect them to provide for themselves and their families during these months of unemployment?

Mr Lee Yock Suan: Mr Deputy Speaker, Sir, may I first correct a misinterpretation there on the part of the Member for Anson. I did not say that my Ministry does not have the information on people who have been unemployed for more than six months. I am sure we have the figures but I am not quite sure whether they are in the form that he wants them.

As regards the period between retrenchment and re-employment, our surveys have shown that the majority of workers can find jobs within a few months and many of the retrenched workers also have retrenchment benefits amounting, in many cases, to one month per year of service. So they do have quite substantial amounts. My advice to some of these people would be not to be too choosy; try harder to find a new job because there are plenty of jobs available.

Mr Jeyaretnam: Mr Deputy Speaker, Sir, the Acting Minister has said about access to the CPF funds if they are unemployed for one or two years, reiterating what the Prime Minister said. May I ask whether the Ministry intends to use some of the $1 billion which was collected by way of payroll tax and which the then Minister for Labour pledged in Parliament in 1965, would be turned over to the workers as a welfare fund.

Mr Lee Yock Suan: Mr Deputy Speaker, Sir, what I said was that in the event of a severe world depression with large numbers of workers unemployed for long periods, we will then consider releasing their CPF savings to help them tide over the period of unemployment.

The question of payroll tax has, I believe, been debated many times in this Chamber and the answers were already given by the Minister for Finance. I do not see the direct relevance to this question here, but if the Member would like to raise this question and debate it, he should address it to the Minister for Finance.

Mr S. Chandra Das (Chong Boon): Supplementary question, Mr Deputy Speaker, Sir. Sir, Members are aware of the good work done by the Employment Service Department -

Mr Deputy Speaker: Could you frame question, please.

Mr Chandra Das: Has the Minister any plans to beef up this particular Department?

Mr Lee Yock Suan: The answer is yes, if necessary, Mr Deputy Speaker, Sir.