Positive and mixed views about Budget 2012: Jessica Tan
MP for East Coast GRC, Jessica Tan said several feedback sessions with residents and grassroots leaders have thrown up both positive and mixed views about the announcements in the Budget.
People at Singapore central business district.
SINGAPORE: Parliament on Tuesday kicked off its annual marathon Budget debate session.
Members of Parliament are expected to devote the first few days to discuss the slew of announcements made by Deputy Prime Minister and Finance Minister, Tharman Shanmugaratnam during his Budget speech on February 17.
Kicking off the debate was the GPC Chairman for Finance and Trade and Industry and MP for East Coast GRC, Jessica Tan who said several feedback sessions with residents and grassroots leaders have thrown up both positive and mixed views about the announcements in the Budget.
She said the Government's move in this Budget to pay attention to seniors, the disabled and lower income Singaporeans and their families is welcomed.
However, she added that some felt that the Budget is not as inclusive as it did not address segments that they felt needed support, given the high cost of living.
These groups included singles, the "sandwiched class i.e. middle income including retirees" and those who live in private property but are not well off.
Ms Tan said: "I agree that we will need to be mindful of the needs of these other segments and look at how we can ensure that they receive the support and help they need while we stay targeted in this Budget. I am however glad to see that the Budget while targeted in approach does attempt to broaden the "reach" of the schemes to include the lower-end of the middle income group who may not be as well off."
Turning to the raising of CPF contributions for older workers, Ms Tan said she would also encourage the Government to consider extending the CPF contribution rates for those above 65 years old who can work and are working.
Ms Tan said the economy today is more service-based than manufacturing-based and the quality of the service depends on knowledge and experience, which older workers possess.
She said: When you go to a restaurant or a store, the quality of the service you receive from the service personnel really depends on the knowledge of the products and services, their ability to understand and match your needs, and to follow-up and give you the product and service you require. The ability to complete the transaction in the shortest time and to provide you a quality customer experience need not mean that each step must be done in the shortest time but rather the ability to complete it in the shortest time accurately.
"With older workers better educated and having more experience, their ability to provide good service and understand customer needs will be strong. Their ability to retrieve products, input the service requirement or complete the order quickly can be assisted by using suitable technologies to check stocks or scan products and use portable input devices to input service requirements."
On the proposals for business, the GPC Chairman noted that reactions to the measures to restructure Singapore's economy and managing dependence on foreign workers and support for SMEs was mixed.
While the calibrated approach of reduction in the Dependency Ratio Ceilings (DRC) and S Passes was understood, companies especially the SMEs will have to adjust and feel the pain in making the transition.
Ms Tan elaborated that to support SMEs to innovate and increase productivity, especially in the light of the economic challenges, this year's Budget does have several welcomed measures.
These include the enhanced Productivity and Innovation Credit (PIC) Cash Payout up to 60 per cent of S$100,000, enabling the PIC payout on a quarterly basis, the Special Employment Credit, and enhancement to the Double Tax Deduction (DTD) for Internationalisation Scheme.
These measures and several others are timely and helpful for companies especially SMEs in addressing the cost of doing business and enabling their growth.
Ms Tan said: "What is important however is to ensure that access to these funds and support is simple. This is to ensure that companies that need them will be able to access them, enjoy the cost relief and obtain the funds when needed. This is where I feel improvements must be made. As it is often said, while the policies and schemes are the right ones, the implementation and execution are important in achieving the intended outcome."
Twenty-five Members of Parliament have been slated to speak on the first day of the Budget debate.
