Current Affairs
AWARE: Budget 2020 lacks of clarity on new scheme introduced
The national Budget should have more clarity and explicit in the effectiveness of Matched Retirement Savings Scheme as this scheme appears to be a pilot in Singapore, said the country’s leading women’s rights and gender-equality advocacy group, AWARE.
AWARE has raised the concerns about the matched savings scheme following the budget announcement made by Finance Minister Heng Swee Keat on Tuesday (18 Feb) saying that the new scheme is introduced to help lower-to-middle-income Singaporeans aged 55 to 70 who have not been able to set aside the prevailing Basic Retirement Sum (BRS) to save more in their CPF accounts.
“Why not top up eligible individuals’ accounts to meet the Basic Retirement Sum (BRS)? And what happens after the age of 70?” questioned Shailey Hingorani, AWARE’s head of Research and Advocacy, further probing that the organisation would like to understand more about the government’s definition on its success.
Citing an example from Mr Heng in his Budget speech – who said that the payout of retired couple who would together receive around $1,400 monthly, up from $570 – Ms Hingorani remarked that even with the new scheme, it would still not come close to $2,351, the necessary amount to sustain a basic standard of living which was calculated by researchers last year.
Noting that the matched savings scheme’s annual cap will increase up to $600 from 2021 to 2025, Ms Hingorani suggested that it would be useful to know how the calculation is done for the annual cap figure of the new scheme.
While Minister Heng announced that the new scheme will be eligible for about 435,000 Singaporeans, Ms Hingorani pointed out that a gender breakdown and a detailed breakdown of active and inactive members within eligible figure would be helpful as the number of eligible seems large relative to the country’s population.
“The 435,000 figure is still quite opaque, as we need more data on Singaporeans between 55 and 70. Without fuller details about the profile of people without BRS, the announced measures may not be reassuring enough, especially for those elderly without families or whose families cannot afford to support them financially,” said Ms Hingorani.
Nonetheless, AWARE applauded the effort of government, stating that the matched savings scheme was most welcomed by AWARE, as the scheme boost the women retirement adequacy.
Ms Shailey said, “As women on average live longer than men, initiatives that centre on elderly assistance, like this matched savings scheme, end up benefiting women more than men.”
AWARE believed that the scheme would provide support to the women who are more likely to not meet the BRS historically due to interconnected factors – such as the gender pay gap and family caregiving responsibilities – that hinder their professional advancement.
During the Budget speech yesterday, Mr Heng also announced that the government will increase the quarterly cash payouts in the Silver Support Scheme by 20%, which is from $750 to $900 per quarter, for the eligible lower-income seniors as well as broaden the eligibility criteria.
Speaking on this, AWARE commented that these enhancements reflects what AWARE had recommended in its 2017 and 2018 Budget submissions, while the announcement of eligible seniors do not have to proactively apply for Silver Support also reflected in its recommendation – so as to eliminate logistical barriers for recipients.
It was noted that AWARE had submitted its tenth annual Budget recommendations on 10 January.
AWARE also mentioned that the announced Senior Workers Support Package, which is a four-pronged strategy to boost senior employment, is looking promising as well.
In its statement, AWARE addressed that the Budget lacks of explicit solutions on the financial challenge faced by women and family caregivers as showed in January’s national report on the gender wage gap, as well as AWARE’s own recent report on eldercare’s negative impact on women’s finances.
“Some recommendations put forth by various proponents – such as making CareShield Life gender-neutral – went unaddressed,” AWARE added.
Amid of the Covid-19 outbreak, AWARE acknowledged that the announced budget 2020 balanced today’s most urgent needs while dealing with critical long-term issues.
AWARE hoped that the new measures in the Budget, which provide greater reassurance and support for seniors and low-income households, could be expanded on after the virus clears.
“AWARE seeks more clarity on these longer-term schemes to better determine whether they can sufficiently alleviate the future burdens of Singaporeans in need,” the statement read.
Addressing the well-timed of government support during the virus outbreak, Ms Hingorani said, “The sudden crisis shifted many priorities, spurring a number of one-off grants and top-ups.”
“That said, when the virus clears, we would like to see the government make bigger and bolder moves with regards to Singapore’s ageing population, instead of tweaks to our existing, straining, structures. When this upheaval subsides, our gaze should be trained on the future, including the generation making real sacrifices to care for today’s old folks,” she added.
Current Affairs
Chee Soon Juan questions Shanmugam’s $88 million property sale amid silence from Mainstream Media
Dr Chee Soon Juan of the SDP raised concerns about the S$88 million sale of Mr K Shanmugam’s Good Class Bungalow at Astrid Hill, questioning transparency and the lack of mainstream media coverage. He called for clarity on the buyer, valuation, and potential conflicts of interest.
On Sunday (22 Sep), Dr Chee Soon Juan, Secretary General of the Singapore Democratic Party (SDP), issued a public statement on Facebook, expressing concerns regarding the sale of Minister for Home Affairs and Law, Mr K Shanmugam’s Good Class Bungalow (GCB) at Astrid Hill.
Dr Chee questioned the transparency of the S$88 million transaction and the absence of mainstream media coverage despite widespread discussion online.
According to multiple reports cited by Dr Chee, Mr Shanmugam’s property was transferred in August 2023 to UBS Trustees (Singapore) Pte Ltd, which holds the property in trust under the Jasmine Villa Settlement.
Dr Chee’s statement focused on two primary concerns: the lack of response from Mr Shanmugam regarding the transaction and the silence of major media outlets, including Singapore Press Holdings and Mediacorp.
He argued that, given the ongoing public discourse and the relevance of property prices in Singapore, the sale of a high-value asset by a public official warranted further scrutiny.
In his Facebook post, Dr Chee posed several questions directed at Mr Shanmugam and the government:
- Who purchased the property, and is the buyer a Singaporean citizen?
- Who owns Jasmine Villa Settlement?
- Were former Prime Minister Lee Hsien Loong and current Prime Minister Lawrence Wong informed of the transaction, and what were their responses?
- How was it ensured that the funds were not linked to money laundering?
- How was the property’s valuation determined, and by whom?
The Astrid Hill property, originally purchased by Mr Shanmugam in 2003 for S$7.95 million, saw a significant increase in value, aligning with the high-end status of District 10, where it is located. The 3,170.7 square-meter property was sold for S$88 million in August 2023.
Dr Chee highlighted that, despite Mr Shanmugam’s detailed responses regarding the Ridout Road property, no such transparency had been offered in relation to the Astrid Hill sale.
He argued that the lack of mainstream media coverage was particularly concerning, as public interest in the sale is high. Dr Chee emphasized that property prices and housing affordability are critical issues in Singapore, and transparency from public officials is essential to maintain trust.
Dr Chee emphasized that the Ministerial Code of Conduct unambiguously states: “A Minister must scrupulously avoid any actual or apparent conflict of interest between his office and his private financial interests.”
He concluded his statement by reiterating the need for Mr Shanmugam to address the questions raised, as the matter involves not only the Minister himself but also the integrity of the government and its responsibility to the public.
The supposed sale of Mr Shamugam’s Astrid Hill property took place just a month after Mr Shanmugam spoke in Parliament over his rental of a state-owned bungalow at Ridout Road via a ministerial statement addressing potential conflicts of interest.
At that time, Mr Shanmugam explained that his decision to sell his home was due to concerns about over-investment in a single asset, noting that his financial planning prompted him to sell the property and move into rental accommodation.
Mr Shanmugam is said to have recused himself from the decision-making process, and a subsequent investigation by the Corrupt Practices Investigation Bureau (CPIB) found no wrongdoing while Senior Minister Teo Chee Hean confirmed in Parliament that Mr Shanmugam had removed himself from any decisions involving the property.
As of now, Mr Shanmugam has not commented publicly on the sale of his Astrid Hill property.
Comments
Redditors question support for PAP over perceived arrogance and authoritarian attitude
Despite Senior Minister Lee Hsien Loong’s warning that slimmer electoral margins would limit the government’s political space “to do the right things”, many Redditors questioned their support for the ruling PAP, criticising its perceived arrogance. They argued that SM Lee’s remarks show the party has ‘lost its ways’ and acts as if it alone can determine what is right. Others noted that the PAP’s supermajority allows for the passage of unfavourable policies without adequate scrutiny.
In a recent speech, Senior Minister Lee Hsien Loong warned that “if electoral margins get slimmer, the government will have less political space to do the right things.”
Mr Lee, who served as Prime Minister for 20 years, highlighted the risks associated with increasingly competitive politics.
“It will become harder to disregard short-term considerations in decision-making. The political dynamics will become very different,” he stated during his speech at the Annual Public Service Leadership Ceremony 2024 on 17 September.
“Singaporeans must understand the dangers this creates, and so must the public service,” SM Lee stressed.
SM Lee pointed out that Singapore faces formidable internal and external challenges in the years ahead, with rising expectations and demands from citizens.
As growth becomes harder to achieve and politics becomes more fiercely contested, he warned, “Things can go wrong for Singapore too.”
He urged vigilance in preparing for an uncertain future, noting, “As the world changes, and as the generations change, we must do our best to renew our system – to ensure that it continues to work well for us, even as things change.”
Critique of PAP’s Arrogance and Disconnect from Singaporeans
The People’s Action Party (PAP) experienced a notable decline in its vote share during the 2020 General Election, securing 61.24% of the votes and winning 83 out of 93 seats, a drop from 69.9% in 2015.
A significant loss was in Sengkang GRC, where the PAP team, led by former Minister Ng Chee Meng, was defeated by the Workers’ Party (WP).
In discussions on Reddit, some users questioned why they should support the ruling PAP, criticising the party’s perceived arrogance.
They pointed out that SM Lee’s recent remarks illustrate that the party has strayed from effectively serving Singaporeans and seems to believe it has the sole authority to decide what is right.
Others highlighted that the PAP’s super-majority in Parliament enables the passage of unfavourable policies without sufficient scrutiny.
One comment acknowledged that while many older Singaporeans remain loyal to the PAP due to its past achievements, younger generations feel the party has failed to deliver similar results.
There is significant frustration that essentials like housing and the cost of living have become less affordable compared to previous generations.
The comment emphasised the importance of the 2011 election results, which they believe compelled the PAP to reassess its policies, especially concerning foreign labor and job security.
He suggested that to retain voter support, the PAP must continue to ensure a good material standard of living.
“Then, I ask you, vote PAP for what? They deserve to lose a supermajority. Or else why would they continue to deliver the same promises they delivered to our parents? What else would get a bunch of clueless bureaucrats to recognise their problems?”
Emphasising Government Accountability to the Public
Another Redditor argued that it is the government’s responsibility to be accountable to the people.
He further challenged SM Lee’s assertion about having less political space to do the right things, questioning his authority to define what is “right” for Singapore.
The comment criticised initiatives like the Founder’s Memorial and the NS Square, suggesting they may serve to boost the egos of a few rather than benefit the broader population. The Redditor also questioned the justification for GST hikes amid rising living costs.
“Policies should always be enacted to the benefit of the people, and it should always be the people who decide what is the best course of action for our country. No one should decide that other than us.”
The comment called for an end to narratives that present the PAP as the only party capable of rescuing Singapore from crises, stating that the country has moved past the existential challenges of its founding era and that innovative ideas can come from beyond a single political party.
Another comment echoed this sentiment, noting that by stating this, SM Lee seemingly expects Singaporeans to accept the PAP’s assumption that they—and by extension, the government and public service—will generally do the “right things.”
“What is conveniently overlooked is that the point of having elections is to have us examine for ourselves if we accept that very premise, and vote accordingly.”
A comment further argued that simply losing a supermajority does not equate to a lack of political space for the government to make the right decisions.
The Redditor express frustration with SM Lee’s rhetoric, suggesting that he is manipulating public perception to justify arbitrary changes to the constitution.
Concerns Over PAP’s Supermajority in Parliament
Another comment pointed out that the PAP’s supermajority in Parliament enables the passage of questionable and controversial policies, bypassing robust debate and discussion.
The comment highlighted the contentious constitutional amendments made in late 2016, which reserved the elected presidency for candidates from a specific racial group if no president from that group had served in the previous five terms.
A comment highlighted the contrast: in the past, the PAP enjoyed a wide electoral margin because citizens believed they governed effectively. Now, the PAP claims that without a substantial electoral margin, they cannot govern well.
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