Got Minimum Sum But No Minimum Wage. FAIR?

[makapaaa]

[h=2]Minimum Sum and minimum wage[/h]

May 28th, 2014 |

Author: Contributions

As an effort to ensure that CPF members have sufficient savings to support a basic standard of living during their retirement, the Singapore government has set up the Minimum Sum Scheme in 2003.
With this Scheme, the members are required to leave a Minimum Sum in their CPF accounts at the age of 55. In return, from the drawdown age, they will receive monthly pay-outs which are designed to last for about 20 years. Alternatively, members may participate in CPF LIFE or buy approved life annuities with their Minimum Sum to give them a guaranteed income for life. The Minimum Sum is also adjusted over the years to account for inflation.
From 1 July 2014, the Minimum Sum will be S$155,000 which applies to members who turn 55 between 1 July 2014 and 30 June 2015. Under the CPF LIFE Standard Plan, setting aside S$155,000 at the age 55 provides a lifelong pay-out of about S$1,200 per month.
Since the government recognises that for retirees to maintain a basic standard of living, they need a minimum monthly income. It is puzzling why after more than a decade of setting up the Minimum Sum Scheme, the government has not set up a similar scheme for workers who need to do likewise. For the retirees, the minimum monthly income is provided for with the monthly pay-out from the Minimum Sum. So, the minimum monthly income required to maintain a basic standard of living is known already.
Why not set up a Minimum Wage Scheme for low wage workers such that the minimum monthly wage equals the monthly pay-out?

TW

* Submitted by TRE reader.

 

[Isogallardo]

We have progressive wage with a minimum sum.

 

[batman1]

No need CPF minimum sum sam lah.Why need to have CPF minimum sum scamfor retirement ? The PAP Govt must and should guarantee that every Singapore Citizen is gainfully employed until death.So every Singapore Citizen will have income until death,so no need CPF minimum sum scam.

 

[ByTheWay]

We have progressive wage with a minimum sum.

By the way your point has been noted.

 

[palden]

Minimum wage is not going to solve your problems in life.

 

[eatshitndie]

minimum wage legislation is just wayang and a fucking waste of time. california has been notorious to push for minimum wage legislation, and just about every year, the state gov has to waste taxpayers' money re-legislating minimum wage laws because politicians look good to the majority base of losers trying to keep up with the joneses, as though they are lending a helping hand. the truth is far from it. market, economy, and labor supply and demand conditions change year over year, and any $ amount legislated for not even half a year becomes obsolete, and the stupid legislative debate has to restart all over again. moreover, the frequent changes to legislation and regulation directly impacts companies' and industry's ability to operate efficiently and smoothly without constantly looking over their shoulders to keep abreast of labor laws. the legislators could have spent their valuable time in sacramento debating more critical state issues, such as the drought and reallocation of water resources, and or unmitigated state spending which increases every year. instead, they waste their time increasing the minimum wage from $10 to $11 a few months ago to $12 to $13 in this new bill. big fucking deal! as though they have solved world hunger.

http://www.sfgate.com/bayarea/article/Bill-passes-to-push-California-s-minimum-wage-to-5514974.php

the truth is they can't keep up, and they never will. instead of legislating wages trying to micromanage the economy, why don't these creeps let market forces do the work?! meanwhile, companies in california have announced moving their operations to texas where the constant adjustments to minimum wage laws do not exist.