NMP Laurence Lien: Singapore is in a 'social recession'
[Updated on 6 March 2013, 1:30 pm: Article has been edited for differences between NMP Lien's pre-prepared speech and actual delivery]
Singapore is still in a “social recession”, and the recent budget announcements are still not sufficient to turn the country around, Nominated Member of Parliament Laurence Lien said in the House on Tuesday.
The CEO of the National Volunteer and Philanthropy Centre (NVPC) said the non-profit organization has found Singapore had a “negative trend” in five areas – individual well-being, family, income security, healthcare, and housing and transport.
Singaporeans, said Lien, are "neutral" on culture & values, education, and social connectedness and community cohesion, and positive only on civil & political participation.
The worrying results, said Lien, called for a “fundamental rethink of both our economic and social policies”.
He went on to tackle new budget initiatives like the Wage Credit Scheme (WCS) and the enhanced Workfare Income Supplement (WIS).
“There is no guarantee that productivity will increase; or that it will make any difference to wages, which may simply increase on its own steam,” said Lien on the WCS.
Calling the scheme an expensive exercise, Lien expressed doubt that it would work in motivating Singapore’s workforce.
Lien also questioned the efficacy of the WIS, which benefits lower-income workers in Singapore through government hand-outs, likening it to "throwing money at Singapore's problems".
“Few people feel good getting hand-outs. It demoralizes them because they are reminded that they are not good enough to earn enough for their family. It is better for them to perceive that they can earn a just living wage on their steam,” said Lien.
Instead, he suggested that a minimum wage law for lower-skilled workers would be more effective in raising their wages and self-esteem.
With Shah Salimat reporting from Parliament
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