Strong case for S'pore to continue with calibrated immigration policy
Posted: 25 September 2012 1424 hrs
SINGAPORE: The Ministry of Trade and Industry (MTI) has made a strong case for Singapore to continue with its calibrated immigration policy as the country faces the prospect of an ageing population.
The ministry outlined three broad approaches in a paper on population and the economy, released on Tuesday.
Firstly, MTI said Singapore should continue to raise productivity through business restructuring and retraining of the workforce.
Secondly, the country should also work towards raising the resident labour force participation rate. However, the ministry said there is a limit to this.
The third strategy is to have a calibrated level of immigration and foreign manpower -- both for high-skilled and low-skilled workers.
Trade and Industry Minister Lim Hng Kiang said foreign manpower is needed to complement Singapore's resident workforce, and support the construction, health and social services sectors.
He said foreign manpower is also needed to anchor and build up new sectors in Singapore -- such as the biomedical and aerospace industries.
Mr Lim said: "If you train Singaporeans to fill up the sector before you launch the sector, you may lose the opportunity, and you take too long.
"So our strategy is to bring the sector in, allow the companies to hire foreign talent, workers, and meanwhile we train Singaporean workers to fill up the jobs. If you tell Rolls Royce, wait until we train all the workers and technicians, I think we would have missed the investments."
The paper goes on to explain the role of foreign manpower in Singapore.
The ministry estimates that by 2030, the number of Singaporeans who are professionals, managers, and executives (PMEs) as well as technicians and associate professionals (TAP) will rise.
So there will be a continued need for foreign workers in low-skilled jobs to complement the resident workforce.
High-skilled foreign manpower will also help companies as they restructure to meet the needs of the new economy because the skills and capabilities that new industries need may not always be immediately available in the Singaporean workforce.
The foreign workforce also contributes to Singapore's taxes. The ministry said while foreigners currently account for about 20 per cent of all income taxpayers, they contribute more than 25 per cent of Singapore's total personal income taxes.
Foreigners living and working in Singapore also add to the GST tax base. "Their tax contributions increase the fiscal resources for government to meet various public expenditure needs, including social programmes and transfers to maintain a progressive fiscal system," said MTI.
http://www.channelnewsasia.com/stories/singaporelocalnews/view/1227895/1/.html
Posted: 25 September 2012 1424 hrs
SINGAPORE: The Ministry of Trade and Industry (MTI) has made a strong case for Singapore to continue with its calibrated immigration policy as the country faces the prospect of an ageing population.
The ministry outlined three broad approaches in a paper on population and the economy, released on Tuesday.
Firstly, MTI said Singapore should continue to raise productivity through business restructuring and retraining of the workforce.
Secondly, the country should also work towards raising the resident labour force participation rate. However, the ministry said there is a limit to this.
The third strategy is to have a calibrated level of immigration and foreign manpower -- both for high-skilled and low-skilled workers.
Trade and Industry Minister Lim Hng Kiang said foreign manpower is needed to complement Singapore's resident workforce, and support the construction, health and social services sectors.
He said foreign manpower is also needed to anchor and build up new sectors in Singapore -- such as the biomedical and aerospace industries.
Mr Lim said: "If you train Singaporeans to fill up the sector before you launch the sector, you may lose the opportunity, and you take too long.
"So our strategy is to bring the sector in, allow the companies to hire foreign talent, workers, and meanwhile we train Singaporean workers to fill up the jobs. If you tell Rolls Royce, wait until we train all the workers and technicians, I think we would have missed the investments."
The paper goes on to explain the role of foreign manpower in Singapore.
The ministry estimates that by 2030, the number of Singaporeans who are professionals, managers, and executives (PMEs) as well as technicians and associate professionals (TAP) will rise.
So there will be a continued need for foreign workers in low-skilled jobs to complement the resident workforce.
High-skilled foreign manpower will also help companies as they restructure to meet the needs of the new economy because the skills and capabilities that new industries need may not always be immediately available in the Singaporean workforce.
The foreign workforce also contributes to Singapore's taxes. The ministry said while foreigners currently account for about 20 per cent of all income taxpayers, they contribute more than 25 per cent of Singapore's total personal income taxes.
Foreigners living and working in Singapore also add to the GST tax base. "Their tax contributions increase the fiscal resources for government to meet various public expenditure needs, including social programmes and transfers to maintain a progressive fiscal system," said MTI.
http://www.channelnewsasia.com/stories/singaporelocalnews/view/1227895/1/.html
