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Ministerial salaries – 2nd upward revision soon

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By Andrew Ong and Andrew Loh

On the 9th of April 2007, Minister in charge of the Civil Service, Teo Chee Hean, announced in Parliament:

“Salaries at the MR4 Grade are currently at 55% of the benchmark. Given the large gap, it is not realistic to close the gap fully in one go. Instead, we will close half of the current gap, that is, from 55% of the benchmark, to 77% of the benchmark by the end of this year.

This will be effected in two steps – one step now, and another step at the end of this year. Next year, we aim to close half of the remaining gap, bringing salaries to 88% of the benchmark by end-2008.”
(Sprinter)


The first revision took place on 1st April 2007. The second revision is expected to take place anytime from now till the end of this year, as the minister said. Given that it is uncertain if Parliament will sit in December, one wonders if the second revision will be debated or discussed in the chambers.

How will Singaporeans react if and when it is announced?

Booming economy, inflation woes

The economy is booming. GDP growth for the whole year is projected to be between 7.5 per cent and 8 per cent (CNA). On the job front, according to a study by IBM Consulting Services:

Singapore created 598 jobs per 100,000 last year, making it the top-ranked country in terms of job creation productivity, far ahead of even the second-placed Czech Republic, which had 389 new jobs per 100,000 residents last year.” (MFA)

However, not everyone is enjoying the fruits of what MM Lee called “Singapore’s golden period”. Besides the widening income gap, inflation has also crept into the equation.

The latest report on the Consumer Price Index makes for depressing reading for many Singaporeans. October’s CPI was 3.6% – the highest in 16 years. (See here).

Daily necessities are rising in cost with no end in sight. Everything from public transport to flour, from chicken to eggs, from petrol to housing prices, from milk to electricity have shot up, some to record levels. PM Lee’s recent assurance that inflation is “well under control” is little comfort to those who are struggling to keep up.

(See TOC’s aggregation of the price hikes for 2007: The relentless rising cost of living.)

Inflation for 2008 is expected to reach 4%. (Straits Times)

Inflation – falling off the chair

With last Saturday’s Straits Times frontpage headline- “October inflation hits 16-year high of 3.6%” – grabbing the attention of many Singaporeans, it is clear that cost has not only risen but is also a major worry for Singaporeans.

The ST reported in that article that DBS Bank’s Irvin Seah “fell over his chair” when the figure was revealed. “This is way beyond market analyst expectations,” he further added. “We knew inflation would go up. We just didn’t know it would come so quickly.”

This piece of news was a confirmation of the dreadful reality that the average Singaporean is already aware of – and living daily. What was disturbing about the news is that the 2 per cent hike in the goods and services tax (GST) in July was cited as one of the causes for the rising cost of living.

This is definitely not good news, especially for the lower income group.

The GST hike in question

When Prime Minister Lee Hsien Loong first announced his plans to increase the GST from 5 percent to 7 percent on 13 November 2006, he explained it thus:

“Speaking in Malay, Mandarin and English, Mr Lee explained that the hike was necessary to finance the enhanced social safety nets, needed to help the lower income group and he emphasised that the offset package would more than counter the rise in GST.

While Singapore’s current model to tackle the widening income gap is sound, Mr Lee said the government would take on two approaches to deal with the new environment – to strengthen the safety nets and tilt the balance in favour of the lower-income groups who do not benefit from the fruits of economic growth.”

However, from the recent article by Reuters titled “Singapore’s economy boom widens income gap” and with the figures of the record inflation presented to us, things do not seem to be happening in favour of the lower income group at this point of time as planned.

In fact, it appears that things are worse than before – the gap widening more and the lower income struggling to make ends meet or to keep up.

It looks like it is the lower to middle income (the mass) groups that are truly footing the bill for the economic development in Singapore with the high income group continuing to reap the “juiciest” fruits of our economic growth.

Good time to revise ministerial salaries again?

In light of the above, is it a good time to revise – upwards – ministerial salaries again? Government ministers have said, when defending their pay hike, that there never is a good time to increase salaries. That may be so but there also should be consideration for moral leadership.

In the April announcement of ministers’ pay hike, revisions were also made to bonuses for ministers. On GDP Bonus for ministers, Mr Teo said:

“We will increase the bonus to a norm payment of 3 months if the economy grows by 5%. The minimum payment will remain at zero if the economy grows by 2% or less. The maximum will be increased to 8 months if the economy grows by 10% or more.” (link)

On Performance Bonus for ministers:

“We will increase the Performance Bonus by 2 months for officers at this level, to a norm of 7 months.” (link)

Thus, it would seem that ministers would be getting a windfall this year-end. A second upward salary revision, a 7 months Performance Bonus and a 3 months GDP Bonus – since GDP is expected to be between 7.5 per cent and 8 per cent.

For the average Singaporean, he can expect continued competition with foreigners for jobs, the lower-skilled Singaporeans continue to have their wages depressed by cheaper foreign labour, he can also expect record inflation leading to an even higher cost of living next year, as some experts are predicting.

It is little wonder then that there have been no public announcements of the 2nd revision of ministers’ salary so far. It is undoubtedly a politically sensitive issue. One wonders if any announcements will be made at all, with the year ending soon.

We have slightly more than one month to wait to find out.

Read also: Annuities for Singaporeans, pension for ministers?

And: “Singapore less attractive to expats: Survey” by TODAY.

And: “S’pore enjoys record employment, higher wages” by The Straits Times 

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Indonesia

Miss Universe cuts ties with Indonesia chapter after harassment allegations

The Miss Universe Organization severs ties with Indonesia franchise due to harassment claims. Malaysia edition canceled.

Women allege body checks before pageant. Investigation launched. Safety prioritized.

Indonesia winner to compete in November finale. Height requirement controversy.

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WASHINGTON, UNITED STATES — The Miss Universe Organization has cut ties with its Indonesia franchise, it announced days after allegations of sexual harassment, and will cancel an upcoming Malaysia edition.

In the complaint, more than a half dozen women said all 30 finalists for Miss Universe Indonesia were unexpectedly asked to strip for a supposed body check for scars and cellulite two days before the pageant’s crowning ceremony in Jakarta.

Their lawyer said Tuesday that five of the women had their pictures taken.

“In light of what we have learned took place at Miss Universe Indonesia, it has become clear that this franchise has not lived up to our brand standards, ethics, or expectations,” the US-based Miss Universe Organization posted Saturday night on social media site X, formerly known as Twitter.

It said that it had “decided to terminate the relationship with its current franchise in Indonesia, PT Capella Swastika Karya, and its National Director, Poppy Capella.”

It thanked the contestants for their bravery in coming forward and added that “providing a safe place for women” was the organization’s priority.

Jakarta police spokesman Trunoyudo Wisnu Andiko said Tuesday that an investigation into the women’s complaint has been launched.

The Indonesia franchise also holds the license for Miss Universe Malaysia, where there will no longer be a competition this year, according to the New York-based parent organizer.

In a lengthy statement posted to Instagram, Indonesia franchise director Capella denied involvement in any body checks.

“I, as the National Director and as the owner of the Miss Universe Indonesia license, was not involved at all and have never known, ordered, requested or allowed anyone who played a role and participated in the process of organizing Miss Universe Indonesia 2023 to commit violence or sexual harassment through body checking,” she wrote.

She added that she is against “any form of violence or sexual harassment.”

The Jakarta competition was held from 29 July to 3 August to choose Indonesia’s representative to the 2023 Miss Universe contest, and was won by Fabienne Nicole Groeneveld.

Miss Universe said it would make arrangements for her to compete in the finale, scheduled for November in El Salvador.

This year’s Indonesia pageant also came under fire for announcing a “significant change in this (year’s) competition guidelines” with the elimination of its minimum height requirement after it had crowned a winner.

In its statement, the Miss Universe Organization said it wanted to “make it extremely clear that there are no measurements such as height, weight, or body dimensions required to join a Miss Universe pageant worldwide.”

— AFP

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Malaysia

A Perodua service centre in Kuantan, Malaysia went viral for its strict dress code, Perodua responds

A dress code for vehicle servicing? A Malaysian car brand’s service centre dress code signage has puzzled netizens, raising queries about the need for attire rules during a routine service.

The manufacturer responded with an official statement after a flurry of comments, seeking to clarify and apologize.

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MALAYSIA: A dress code signage positioned at a service centre belonging to a prominent Malaysian car brand has sparked bewilderment among Malaysian netizens, who question the necessity of adhering to attire guidelines for a simple vehicle servicing.

The signage explicitly delineates clothing items that are deemed unsuitable, including sleeveless tops, short skirts, abbreviated pants, and distressed jeans.

The car manufacturer swiftly found itself flooded with comments from both inquisitive and irked Malaysian netizens. This surge in online activity prompted the company to issue an official statement aimed at clarifying the situation and extending an apology.

In a post that gained significant traction on the social media platform, politician Quek Tai Seong of Pahang State, Malaysia, shared an image to Facebook on Monday (7 Aug).

The image showcased a dress code sign prominently displayed at a Perodua Service Centre in Kuantan. Within the post, Quek posed the question: “Is this dress code applicable nationwide, or is it specific to this branch?”

The signage reads, “All customers dealing with Perodua Service Kuantan 1, Semambu, are requested to dress modestly and appropriately.”

Adding visual clarity to these guidelines, the sign features illustrative graphics that explicitly outline clothing items deemed unacceptable, including sleeveless tops, short skirts, short pants, and ripped jeans.

Delineating the specifics of the dress code, the signage stipulates that male visitors are expected to don shirts accompanied by neckties, opt for long pants, and wear closed shoes.

Conversely, female visitors are advised to don long-sleeved shirts, full-length skirts, and closed-toe footwear.

Perodua’s dress code sparks online uproar

Following the rapid spread of the post, Perodua’s official Facebook page found itself inundated with comments from both intrigued and frustrated Malaysian netizens, all seeking clarifications about the newly surfaced dress code policy.

Amidst the flurry of comments, numerous incensed netizens posed pointed questions such as, “What is the rationale behind the introduction of such regulations by the management? We demand an explanation.”

Another netizen expressed their dissatisfaction, arguing against the necessity of the rule and urging Perodua to take inspiration from the practices of other 4S (Sales, Service, Spare Parts, and Survey) automotive dealerships.

A concerned Facebook user chimed in, advocating for a more lenient stance, asserting that attempting to dictate customers’ clothing choices might not be in the company’s best interest.

Someone also commented in an angry tone, “Oi what is this? Going there for car service, not interview or working, right.”

As the discourse unfolded, it became evident that while some inquiries carried genuine weight, others chose to inject humor into the situation, playfully remarking, “If I wanted to buy a Myvi, I should buy or rent a formal attire first.”

“I sell economy rice at a hawker centre, I have never worn a long sleeve shirt and a tie… I guess I will not buy a Perodua car then.”

“I guess they will not serve those who wear short pants.”

Perodua addresses dress code controversy

As reported by Chinese media outlet Sin Chew Daily News, the manager of Kuantan’s Perodua Service Centre had acknowledged that the images on the dress code signage were misleading.

In response, the manager divulged that discussions had transpired with the head office, leading to the prompt removal of the signage to prevent any further misconceptions.

The manager clarifies, “We do encourage visitors to adhere to the dress etiquette, but we won’t go to the extent of restricting their choice of attire.”

He also revealed that currently, no complaints have been directly received from the public.

However, feedback from certain customers was relayed through Perodua’s agents.

Perodua also released an official statement by chief operating officer JK Rozman Jaffar on Wednesday (9 Aug) regarding the dress code on their official Facebook page.

The statement stated the dress code etiquette is not aligned with their official guidelines and they are currently conducting an official investigation on the matter followed by corrective measures to avoid the same incident from happening.

Perodua also extends its apologies for any inconvenience caused.

 

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