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Old 6th September 2015, 02:50 AM   #1 (permalink)
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A Dignity wage proposal for the Singaporean workforce.

A Dignity wage proposal for the Singaporean workforce.

Originally Posted by DanielTng
Thread source (HWZ): MINIMUM WAGE ISSUE
I am no politician and I am not politically inclined. In fact I have no voting rights as I was overseas on business most of the time and after missing the voting of the last presidential elections, I was deleted from the voting register and I had not gone about getting myself reinstated yet.

What concerns me is the minimum wage issue and the noise making on the minimum wage. I wonder how many Singaporeans that are being paid below one thousand that are being marginalized.

To me a legislation on the minimum wage of one thousand may result in the few hundred thousand families that are employing domestic workers to having to fork out a significant increment to their monthly expense for the foreign maids that they are employing and noting that there are a few hundred thousand domestic workers in Singapore. ( I do not have one anyway )

Next, with this increase in expenditure, it would only mean that the cost of living would rise and then this would be in contradictions to the claim of the rising cost of living.

So, should we forge ahead with the minimum wage demand into legislation.

Personally, I don't think we have more than 300,000 of Singaporeans that are having to be marginalized by the non existence of the minimum wage legislation.

We should be mindful of what we prescribed and shout about and not just the airing of an issue to rattle.
I agree that minimum wage law is like using hammer to kill an ant: indeed the ant (problem) will die (solved for now) but the table surface ( economy) will be damaged in long run ( at greater eventual cost): so minimum wage is TOO BLUNT an instrument.

For necessities, gahmen can provide poor (unemployed people) with simple allowance for prescribed activities: e.g. town council cleaner, allowance for attending class/ counselling on $ management/ simple studies : e.g. fast food preparation work, baby sitting, arranging books in library, parking summon auntie work, O- levels, etc.

On wider scale, gahmen should enact law that all companies must pay its Singaporean workforce MORE than foreign workforce on the following terms whereby any deficit shall be payable to SG gahmen and accrue towards a training fund for Singaporeans. (The amts paid however can be refunded back to the company should Singaporean's begin to earn more according to the following rough parameters.

Total eaned by Singaporeans must exceed total salary to foreign employees, PRs to be split into 2 groups, the higher earners being grouped with foreigners for purpose of calculating the 'wage difference levy' payable to gahmen.
The median Singaporean wage must also exceed median for foreigners (PR calculation as a/m): any difference in median wage being multiplied by half the employee population for the calculation of levy payable: e.g.: difference in median wage with 50th percentile foreigner earning $100 more than equivalent in citizen group for company with 50 foreign employees and equal number of local employees= $100 * 50= $5000/ month. (Refundable when company pays Singaporean group more up to total of that PREVIOUSLY paid)(tax deductible as operating costs but taxable as operating profit when refunded) (Non-refunded 'wage difference levy' goes into gahmen income should company deregister itself or after a suitable duration not exceeding 15yrs from first incorporation).
As there might be many methods of calculating the difference in salaries paid, the highest result of all calculations will be the amount payable as 'salary difference' levy.

This will ensure that EVERY COMPANY in Singapore either pays the Singaporean workforce MORE than the foreign employee workforce, or else contributes the difference in tax to the Singapore gahmen. Dignity is defined as being paid more than the equivalent foreigner employee, as such, no minimum wage limit is specified in my proposal.

2¢.

PS: if company employs 70foreigners and 30 Singaporean's, median will be calculated as median of the top 30foreigners (I.e. 15th highest paid foreigner) vs salary level of the 15th Singaporean.
If company hires 30foreigners and 70 Singaporeans, median salary =15th foreigner vs 35th Singaporean.

Every foreigner employed from maid(/construction worker) to banker/ CEO shall pay a standard employment levy of about $400/ month to gahmen . Half of all foreigner headcount levy shall be returned to citizens CPF as e.g. training fund since the employmeny levy is an implicit 'gst' like tax which translates into higher prices for goods and services.

A daily employment levy of $15 plus 33.3% earnings (approx 1.5x Max income tax rate) can be applied to ad hoc foreigner employees not on an annual pay roll (e.g. GE tai singers, performers, specialist consultants etc)

PS: this article was in major part written to counter the PAP's assertion that the 'dignity' of a person is solely determined by his salary scale, even if some/ many CEOs might subscribe to such a view.:

"If the annual salary of the Minister of Information, Communication and Arts is only $500,000, it may pose some problems when he discuss policies with media CEOs who earn millions of dollars because they need not listen to the minister's ideas and proposals. Hence, a reasonable payout will help to maintain a bit of dignity."
- MP Lim Wee Kiak apologises for comments on pay
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Old 13th September 2015, 08:12 AM   #2 (permalink)
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Originally Posted by BicCherry View Post
A Dignity wage proposal for the Singaporean workforce.



I agree that minimum wage law is like using hammer to kill an ant: indeed the ant (problem) will die (solved for now) but the table surface ( economy) will be damaged in long run ( at greater eventual cost): so minimum wage is TOO BLUNT an instrument.

For necessities, gahmen can provide poor (unemployed people) with simple allowance for prescribed activities: e.g. town council cleaner, allowance for attending class/ counselling on $ management/ simple studies : e.g. fast food preparation work, baby sitting, arranging books in library, parking summon auntie work, O- levels, etc.

On wider scale, gahmen should enact law that all companies must pay its Singaporean workforce MORE than foreign workforce on the following terms whereby any deficit shall be payable to SG gahmen and accrue towards a training fund for Singaporeans. (The amts paid however can be refunded back to the company should Singaporean's begin to earn more according to the following rough parameters.

Total eaned by Singaporeans must exceed total salary to foreign employees, PRs to be split into 2 groups, the higher earners being grouped with foreigners for purpose of calculating the 'wage difference levy' payable to gahmen.
The median Singaporean wage must also exceed median for foreigners (PR calculation as a/m): any difference in median wage being multiplied by half the employee population for the calculation of levy payable: e.g.: difference in median wage with 50th percentile foreigner earning $100 more than equivalent in citizen group for company with 50 foreign employees and equal number of local employees= $100 * 50= $5000/ month. (Refundable when company pays Singaporean group more up to total of that PREVIOUSLY paid)(tax deductible as operating costs but taxable as operating profit when refunded) (Non-refunded 'wage difference levy' goes into gahmen income should company deregister itself or after a suitable duration not exceeding 15yrs from first incorporation).
As there might be many methods of calculating the difference in salaries paid, the highest result of all calculations will be the amount payable as 'salary difference' levy.

This will ensure that EVERY COMPANY in Singapore either pays the Singaporean workforce MORE than the foreign employee workforce, or else contributes the difference in tax to the Singapore gahmen. Dignity is defined as being paid more than the equivalent foreigner employee, as such, no minimum wage limit is specified in my proposal.

2¢.

PS: if company employs 70foreigners and 30 Singaporean's, median will be calculated as median of the top 30foreigners (I.e. 15th highest paid foreigner) vs salary level of the 15th Singaporean.
If company hires 30foreigners and 70 Singaporeans, median salary =15th foreigner vs 35th Singaporean.

Every foreigner employed from maid(/construction worker) to banker/ CEO shall pay a standard employment levy of about $400/ month to gahmen . Half of all foreigner headcount levy shall be returned to citizens CPF as e.g. training fund since the employmeny levy is an implicit 'gst' like tax which translates into higher prices for goods and services.

A daily employment levy of $15 plus 33.3% earnings (approx 1.5x Max income tax rate) can be applied to ad hoc foreigner employees not on an annual pay roll (e.g. GE tai singers, performers, specialist consultants etc)

PS: this article was in major part written to counter the PAP's assertion that the 'dignity' of a person is solely determined by his salary scale, even if some/ many CEOs might subscribe to such a view.:
There is simply no magic formula to this but just because we are not the marginized group, we cannot forget them. The fact is, if employers can employ cheaper, there is no incentive to pay more.

If you are trapped in this lower sector group, what is your wish?

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Old 7th November 2015, 12:35 AM   #3 (permalink)
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Re: A Dignity wage proposal for the Singaporean workforce.

Originally Posted by Bukitimah View Post
There is simply no magic formula to this but just because we are not the marginized group, we cannot forget them. The fact is, if employers can employ cheaper, there is no incentive to pay more.

If you are trapped in this lower sector group, what is your wish?
Where there is no minimum wages, the employers are forced to second guess the rates offered by competing companies and outbid them for the limited supply of Singaporeans. This is extremely difficult due to differences in work performance and experience in their specific job roles. Fresh graduates - easy to second guess. Around S$2000. With some experience? Maybe I try giving a little more at S$2200. If I know the employee is being headhunter and I NEED him/her, counter-offer higher.

Should minimum wage be set, then there is a benchmark. Regardless if you are a fresh graduate or a worker with 5 years experience, what does it matter? Government say S$2000 is a dignity wage, a wage which you can make a living out of. Everyone will follow this benchwage. My competitors would, why shouldnt I? No employer will want to be that "idiot" that pays more and "spoil" the industry standard pay.

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Old 7th November 2015, 12:44 AM   #4 (permalink)
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Re: A Dignity wage proposal for the Singaporean workforce.

Originally Posted by BicCherry View Post
A Dignity wage proposal for the Singaporean workforce.



I agree that minimum wage law is like using hammer to kill an ant: indeed the ant (problem) will die (solved for now) but the table surface ( economy) will be damaged in long run ( at greater eventual cost): so minimum wage is TOO BLUNT an instrument.

For necessities, gahmen can provide poor (unemployed people) with simple allowance for prescribed activities: e.g. town council cleaner, allowance for attending class/ counselling on $ management/ simple studies : e.g. fast food preparation work, baby sitting, arranging books in library, parking summon auntie work, O- levels, etc.

On wider scale, gahmen should enact law that all companies must pay its Singaporean workforce MORE than foreign workforce on the following terms whereby any deficit shall be payable to SG gahmen and accrue towards a training fund for Singaporeans. (The amts paid however can be refunded back to the company should Singaporean's begin to earn more according to the following rough parameters.

Total eaned by Singaporeans must exceed total salary to foreign employees, PRs to be split into 2 groups, the higher earners being grouped with foreigners for purpose of calculating the 'wage difference levy' payable to gahmen.
The median Singaporean wage must also exceed median for foreigners (PR calculation as a/m): any difference in median wage being multiplied by half the employee population for the calculation of levy payable: e.g.: difference in median wage with 50th percentile foreigner earning $100 more than equivalent in citizen group for company with 50 foreign employees and equal number of local employees= $100 * 50= $5000/ month. (Refundable when company pays Singaporean group more up to total of that PREVIOUSLY paid)(tax deductible as operating costs but taxable as operating profit when refunded) (Non-refunded 'wage difference levy' goes into gahmen income should company deregister itself or after a suitable duration not exceeding 15yrs from first incorporation).
As there might be many methods of calculating the difference in salaries paid, the highest result of all calculations will be the amount payable as 'salary difference' levy.

This will ensure that EVERY COMPANY in Singapore either pays the Singaporean workforce MORE than the foreign employee workforce, or else contributes the difference in tax to the Singapore gahmen. Dignity is defined as being paid more than the equivalent foreigner employee, as such, no minimum wage limit is specified in my proposal.

2¢.

PS: if company employs 70foreigners and 30 Singaporean's, median will be calculated as median of the top 30foreigners (I.e. 15th highest paid foreigner) vs salary level of the 15th Singaporean.
If company hires 30foreigners and 70 Singaporeans, median salary =15th foreigner vs 35th Singaporean.

Every foreigner employed from maid(/construction worker) to banker/ CEO shall pay a standard employment levy of about $400/ month to gahmen . Half of all foreigner headcount levy shall be returned to citizens CPF as e.g. training fund since the employmeny levy is an implicit 'gst' like tax which translates into higher prices for goods and services.

A daily employment levy of $15 plus 33.3% earnings (approx 1.5x Max income tax rate) can be applied to ad hoc foreigner employees not on an annual pay roll (e.g. GE tai singers, performers, specialist consultants etc)

PS: this article was in major part written to counter the PAP's assertion that the 'dignity' of a person is solely determined by his salary scale, even if some/ many CEOs might subscribe to such a view.:
I think that the foreign worker quota should be pegged to salaries rather than headcount.

Current system
7 Singaporeans = can hire 1 S-Pass.
Conditions: Singaporeans must earn minimum S$1000. Past 6 months Singaporean headcount should have been 7. There could be changes to the personnel as long as total Singaporean is minimally 7. However, this S-pass holder is required to earn minimum of S$2400. What does this mean?

1 S-Pass earning S$2400 will become retail supervisor while 7 Singaporeans will become retail assistant right?

Is that what we really want? To let Singaporeans fill up lower end jobs while higher positions are taken by foreigners?

So I suggest the system be changed to the following;
S$7000 of salary to Singaporeans = S$2400 of salary to S-Pass.
This means that the employer will try to push the salaries of Singaporeans up (since there is limited Singaporeans) while lowering the salaries or headcount of foreigners. This means that Singaporeans will become favored to take up higher paying jobs, jobs that are of supervisory and managerial positions rather than the lower end jobs!

Isn't that better?

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Old 7th November 2015, 01:30 AM   #5 (permalink)
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Re: A Dignity wage proposal for the Singaporean workforce.

Originally Posted by meinteel View Post
I think that the foreign worker quota should be pegged to salaries rather than headcount.

Current system
7 Singaporeans = can hire 1 S-Pass.
Conditions: Singaporeans must earn minimum S$1000. Past 6 months Singaporean headcount should have been 7. There could be changes to the personnel as long as total Singaporean is minimally 7. However, this S-pass holder is required to earn minimum of S$2400. What does this mean?

1 S-Pass earning S$2400 will become retail supervisor while 7 Singaporeans will become retail assistant right?

Is that what we really want? To let Singaporeans fill up lower end jobs while higher positions are taken by foreigners?

So I suggest the system be changed to the following;
S$7000 of salary to Singaporeans = S$2400 of salary to S-Pass.
This means that the employer will try to push the salaries of Singaporeans up (since there is limited Singaporeans) while lowering the salaries or headcount of foreigners. This means that Singaporeans will become favored to take up higher paying jobs, jobs that are of supervisory and managerial positions rather than the lower end jobs!

Isn't that better?
let's say that the foreign workers suck it up and still choose to work then with the lower pay. but would they work just as hard? it would go on their mind, someone else is being paid double, and they can't get that pay even if they work hard, so why bother ?

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