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Business Times - 25 Jan 2010
Work harder and smarter, SM Goh tells Singaporeans
Raising productivity would ensure less dependence on foreign workers
By AMIT ROY CHOUDHURY
(SINGAPORE) Senior Minister Goh Chok Tong yesterday urged Singaporeans to work harder and smarter to increase their productivity and keep the economy growing at a steady clip.
Mr Goh said that over the past 10 years, the economy grew at an average of 5 per cent per annum, while productivity grew by just one per cent per annum.
This means that the growth over the past decade came from an expansion of the labour force, comprising mainly foreign workers. Raising productivity would ensure less dependence on foreign workers for economic growth.
Mr Goh said that to achieve growth of 3-4 per cent on average per year over the next 10 years without relying too much on a growing foreign workforce, Singaporeans would have to double productivity growth to 2 per cent per annum.
'This is a trade-off. If you want to grow fast then that means more foreign workers,' he told reporters covering the Marine Parade Hongbao and Gifts Distribution ceremony.
He noted, however, that the government had already decided to moderate the influx of foreign workers, hence the need for higher productivity.
Mr Goh said that the Economic Strategies Committee (ESC) is looking into how productivity can be raised. The committee, chaired by Finance Minister Tharman Shanmugaratnam, is to explore new ways to grow the Singapore economy. It will make public its recommendations on Feb 1.
Mr Goh said that the productivity increase has to be across all industries in Singapore, particularly in the services sector.
'If you have been in Europe, you would find that one person is serving so many people. Here (in Singapore), we have so many people serving one customer.'
Giving examples from his own travels, Mr Goh noted that when he goes to Paris as a VIP, there would be just one person who would receive him.
'She would take care of my transport, and would drive the vehicle herself. From the aeroplane to the VIP lounge, she opens the door, looks after the immigration and customs formalities. Just one person.'
He noted that in Singapore there would probably be four or five people doing the job.
'That's productivity, the lady was very well-dressed and well-paid. She probably earns four times what her Singapore counterparts earn.'
Apart from increasing productivity, the Senior Minister said, it was important to build capabilities and different kinds of skills. 'Productivity increase means working smarter, working harder but it's not good enough because you have to have new skills.'
As to what these new areas are, they will be something that 'we have to try and discover', he added.
Commenting on the general election, Mr Goh said that the government is still focused on the economy and so Singaporeans 'should not start getting excited about a general election'.
He welcomed the entry of young Singaporeans with good character into the ranks of the Opposition, but said that the People's Action Party is also out to attract even better people. In future, there will be a better contest of ideas in the political domain, he said.
On a more personal note, Mr Goh said that apart from the economy, his focus in this decade would be to try and build a qualitatively different Singapore in terms of lifestyle.
Referring to a recent article on Singaporeans turning a blind eye to a blind person, Mr Goh said: 'We should look to the graciousness of our society.'
He said that if society becomes more gracious, then along with a mature economy growing at 3-4 per cent, 'we can emphasise qualitatively our living environment and our behaviour as a people'.
'So that's my own personal aim, leaving aside the economic side.'
Business Times - 25 Jan 2010
Work harder and smarter, SM Goh tells Singaporeans
Raising productivity would ensure less dependence on foreign workers
By AMIT ROY CHOUDHURY
(SINGAPORE) Senior Minister Goh Chok Tong yesterday urged Singaporeans to work harder and smarter to increase their productivity and keep the economy growing at a steady clip.
Mr Goh said that over the past 10 years, the economy grew at an average of 5 per cent per annum, while productivity grew by just one per cent per annum.
This means that the growth over the past decade came from an expansion of the labour force, comprising mainly foreign workers. Raising productivity would ensure less dependence on foreign workers for economic growth.
Mr Goh said that to achieve growth of 3-4 per cent on average per year over the next 10 years without relying too much on a growing foreign workforce, Singaporeans would have to double productivity growth to 2 per cent per annum.
'This is a trade-off. If you want to grow fast then that means more foreign workers,' he told reporters covering the Marine Parade Hongbao and Gifts Distribution ceremony.
He noted, however, that the government had already decided to moderate the influx of foreign workers, hence the need for higher productivity.
Mr Goh said that the Economic Strategies Committee (ESC) is looking into how productivity can be raised. The committee, chaired by Finance Minister Tharman Shanmugaratnam, is to explore new ways to grow the Singapore economy. It will make public its recommendations on Feb 1.
Mr Goh said that the productivity increase has to be across all industries in Singapore, particularly in the services sector.
'If you have been in Europe, you would find that one person is serving so many people. Here (in Singapore), we have so many people serving one customer.'
Giving examples from his own travels, Mr Goh noted that when he goes to Paris as a VIP, there would be just one person who would receive him.
'She would take care of my transport, and would drive the vehicle herself. From the aeroplane to the VIP lounge, she opens the door, looks after the immigration and customs formalities. Just one person.'
He noted that in Singapore there would probably be four or five people doing the job.
'That's productivity, the lady was very well-dressed and well-paid. She probably earns four times what her Singapore counterparts earn.'
Apart from increasing productivity, the Senior Minister said, it was important to build capabilities and different kinds of skills. 'Productivity increase means working smarter, working harder but it's not good enough because you have to have new skills.'
As to what these new areas are, they will be something that 'we have to try and discover', he added.
Commenting on the general election, Mr Goh said that the government is still focused on the economy and so Singaporeans 'should not start getting excited about a general election'.
He welcomed the entry of young Singaporeans with good character into the ranks of the Opposition, but said that the People's Action Party is also out to attract even better people. In future, there will be a better contest of ideas in the political domain, he said.
On a more personal note, Mr Goh said that apart from the economy, his focus in this decade would be to try and build a qualitatively different Singapore in terms of lifestyle.
Referring to a recent article on Singaporeans turning a blind eye to a blind person, Mr Goh said: 'We should look to the graciousness of our society.'
He said that if society becomes more gracious, then along with a mature economy growing at 3-4 per cent, 'we can emphasise qualitatively our living environment and our behaviour as a people'.
'So that's my own personal aim, leaving aside the economic side.'
