House takes up issue of foreigners competing for local jobs

Ministers assure MPs that Singaporeans benefit from country staying open to world

Manpower Minister Josephine Teo teared up during her Parliament speech yesterday as she pledged that the Government would do its best to protect workers, and that "however tough it may be, we will help you bounce back".
Manpower Minister Josephine Teo teared up during her Parliament speech yesterday as she pledged that the Government would do its best to protect workers, and that "however tough it may be, we will help you bounce back". PHOTO: GOV.SG
Manpower Minister Josephine Teo teared up during her Parliament speech yesterday as she pledged that the Government would do its best to protect workers, and that "however tough it may be, we will help you bounce back". PHOTO: GOV.SG

The theme of the Singaporean core in the workforce continued to dominate discussion in Parliament yesterday, with the focus turning to white-collar jobs and invoking an emotional response from Manpower Minister Josephine Teo.

Once again, the issue boiled down to whether enough such jobs - especially in the financial sector - were going to Singaporeans, and whether Singapore would suffer any backlash by limiting the number of foreigners in senior positions in the sector.

Mrs Teo, who teared up at one point during her speech, said quotas for Employment Passes (EPs) were not advisable.

It was a highly charged issue, in which statistics and logic could not address all of the grievances borne out of experiences on the ground.

As the debate into the President's Address continued into its second day, the House heard that for every EP or S Pass given out in the last five years, about four more locals, including Singaporeans and permanent residents (PRs), took up jobs involving professionals, managers, executives and technicians. Meanwhile, the population of PRs remained stable at about 500,000, and many of them were spouses of Singaporeans.

Despite the numbers showing that the situation was under control, there was no lack of examples from MPs of residents who found themselves surrounded by foreigners in multinational companies, or who were passed over for job opportunities despite having relevant work experience.

They urged the Government to tamp down foreign competition for these positions, proffering suggestions ranging from quotas for work passes to imposing a timeline for talent transfer.

Mrs Teo said imposing quotas on EPs would be unwise and it would be better to use salary requirements to ensure that companies can access foreign professionals of the right quality, while committing to building up their local staff over time.

"Without such flexibility, many of the top-quality investments would have been lost to our competitors, and the job opportunities along with them," she said.

The financial services sector in particular came under scrutiny.

Figures released recently by the Monetary Authority of Singapore, and cited yesterday by Minister for Transport Ong Ye Kung, showed that 44 per cent of senior roles in the sector are filled by Singaporeans, sparking questions about whether this was good enough.

Of the rest of the people in these roles, 20 per cent are PRs, and 36 per cent are foreigners who hold work passes.

Mr Ong, who was speaking in his capacity as board member of the Monetary Authority of Singapore, said the number should not be interpreted as Singaporeans getting the short end of the stick, as the absolute number of Singaporeans in senior roles had grown from 1,700 to 2,600 in the past five years though the proportion had remained largely the same.

He also said that when financial institutions bring their functions to Singapore, Singaporeans gain global and regional expertise which prepares them for similar roles overseas in global firms.

Even then, MPs wondered if there were gaps in the education and training systems that needed to be plugged so that more Singaporeans can take on these roles.

Ms Tin Pei Ling (MacPherson) said that it would be more meaningful to have employers hiring Singaporeans out of preference, and not just out of obligation to keep within the laws.

Mr Ong said that many Singaporeans understood the international character of the Republic's financial centre. "But (they) want to see Singaporeans do better, with greater assurance of fair hiring practices that put them on a level playing field. These are valid concerns," he added.

Pointing to the increase in the minimum salary to qualify for EPs, and the various government schemes to reward companies that hire Singaporeans, as well as programmes to train Singaporeans for top jobs, Mrs Teo also said: "We must therefore not miss the wood for the trees, by focusing narrowly on keeping foreigners out, and missing the larger picture of growing the pie and giving Singaporeans the chance of the best slice."

But she stressed that each and every instance of discrimination erodes trust in the system, and called on employers to be fair to Singaporeans when hiring or retrenching.

"What we lose then is not just a job opportunity for a local, but the trust that the system is fair, that the odds were not stacked against people who are trying," she added.

Both ministers acknowledged that the statistics were not always congruent with experiences on the ground, and pledged that the Government would do its best to protect workers.

Tearing up as she addressed workers directly in her speech, Mrs Teo said: "We know that in your hearts, you care most about the well-being of your families and loved ones. You want to do well not just for yourself, but for them.

"Please know that you too are always in our hearts," she said, pledging that the ministry will journey with them no matter how long the crisis lasts.

"However tough it may be, we will help you bounce back. Our mission is to help each one of you emerge stronger, by never giving up hope, and by working with employers in Singapore to treat you fairly, to make your hard work bear fruit."

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A version of this article appeared in the print edition of The Straits Times on September 02, 2020, with the headline House takes up issue of foreigners competing for local jobs. Subscribe