The Co-Director of the National University of Singapore's Asia Competitiveness Institute, Lee Kuan Yew School of Public Policy, Associate Professor Tan Khee Giap is calling for the government to increase CPF contribution by elderly workers through "re-designing" their jobs scope and "adjusting" wages. Assoc Prof Tan's proposal is a follow up to NTUC's call for higher CPF contribution rate for workers above the age of 50.
The Association of Small and Medium Enterprises (ASME) however started expressing concerns over rising operating costs. To this, the retirement expert of Channel News Asia, Assoc Prof Tan said that the increased CPF contribution will not be "much burden" so long wages are reduced.
"Their responsibilities are being reduced and correspondingly their salaries are being reduced too. So this increase in CPF contribution for older workers will not contribute to that much burden", said Assoc Prof Tan.
Going by Assoc Prof Tan's logic, elderly workers should take home less cash and contribute more to CPF. It is unknown why NTUC and Assoc Prof Tan could not simply ask for higher wages for elderly workers if they require higher CPF contribution for retirement.
Singaporeans face increasing retirement problems as salaries have not risen in tandem with the rising cost of living. Unlike other countries, there are more elderly struggling for a living in their twilight years and having to work demeaning hard labour jobs like toilet cleaners and dishwashers.
As there is no minimum wage, salaries of these elderly workers typically range between $600 to $1000. In 2011, a survey by Tan Tock Seng Hospital found that one in three Singaporeans above the aged of 50 are undernourished [Link].
Do you think it is a good idea to reduce elderly workers' take home pay in exchange for higher CPF contributions?
http://therealsingapore.com/content...-increase-cpf-contribution-rate-older-workers
The Association of Small and Medium Enterprises (ASME) however started expressing concerns over rising operating costs. To this, the retirement expert of Channel News Asia, Assoc Prof Tan said that the increased CPF contribution will not be "much burden" so long wages are reduced.
"Their responsibilities are being reduced and correspondingly their salaries are being reduced too. So this increase in CPF contribution for older workers will not contribute to that much burden", said Assoc Prof Tan.
Going by Assoc Prof Tan's logic, elderly workers should take home less cash and contribute more to CPF. It is unknown why NTUC and Assoc Prof Tan could not simply ask for higher wages for elderly workers if they require higher CPF contribution for retirement.
Singaporeans face increasing retirement problems as salaries have not risen in tandem with the rising cost of living. Unlike other countries, there are more elderly struggling for a living in their twilight years and having to work demeaning hard labour jobs like toilet cleaners and dishwashers.
As there is no minimum wage, salaries of these elderly workers typically range between $600 to $1000. In 2011, a survey by Tan Tock Seng Hospital found that one in three Singaporeans above the aged of 50 are undernourished [Link].
Do you think it is a good idea to reduce elderly workers' take home pay in exchange for higher CPF contributions?
http://therealsingapore.com/content...-increase-cpf-contribution-rate-older-workers
