MINISTRY OF LABOUR

MR LEE YOCK SUAN Minister for Labour

We will work with management and unions to maintain the harmonious industrial relations and protect the safety, health and social security of our workers.

Labour Relations

Our excellent industrial relations climate has attracted investments and created more and better jobs. We will work with management and unions to preserve it.

Many firms have adopted flexible wage systems. We will encourage others to do so as flexible wages enhance job security and improve our ability to compete internationally.

Foreign Workers

We will encourage the recruitment and assimilation of skilled foreign workers.

We will continue to regulate the demand for unskilled foreign workers through the foreign worker levy, and by limiting the percentage of foreign workers per firm. We have allowed employers in hitherto non-approved sectors to hire such workers.

Employers hiring foreigners without work permits will face higher penalties.

Older and Part-Time Workers

We must change the attitude towards the employment of older workers. We have made good progress raising the retirement age among unionised establishments. We will step up efforts to encourage non-unionised firms to raise the retirement age to 60. If necessary, we will amend the Employment Act to do so.

We will work with employers and unions to promote more part-time employment. Social Security

The CPF scheme is now a very comprehensive social security net, with the introduction in recent years of schemes for dependants' protection, catastrophic illness, education, investment, and the Minimum Sum. We will improve services to members who use these schemes. We will bring more self-employed Singaporeans into the CPF scheme.

The CPF contribution rate will be restored gradually to the long-term target of 40 per cent, with equal contributions by employers and employees.

We will amend the Workmen's Compensation Act to revise the rates and make other appropriate changes.