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Chairman, Board Members and Management of e2i,
Brothers and sisters,
Good morning,
It is my pleasure to join you today in commemorating Singapore’s 44th National Day.
2 The theme for this year’s National Day celebration is “Come Together – Reaching Out, Reaching Up”. In these difficult times, the Labour Movement needs to reach out to all Singaporeans to extend your support and assistance, and together, to reach up to strive for better lives for workers. As long as Singaporeans stand united and support each other, we will overcome all challenges, as we have done before.
The Tripartite Response to the Downturn
3 This is a global downturn, and it is affecting workers badly all over the world. Singapore’s total unemployment rate as at March 2009 is 3.3%. This means there are many individuals out there who need help to secure a job. The consolation is that our situation is much better compared to other economies. In the US, unemployment rate is 9.5%. 20 million Americans are already out of work, and every month another 500,000 lose their jobs. In the European Union (EU), the unemployment rate is approaching double digits, at 8.9%. In Asia, Japan’s unemployment rate is 5.2%, and Taiwan’s is 5.8%.
4 Singapore is able to weather this storm with much less casualties, and a lower unemployment rate. There are many reasons for this – our financial system is sound, many of our investments are for the long term and not easily moved out of Singapore, employers feel optimistic about Singapore’s future, etc. But, one major factor is our effective Tripartite Response.
5 The Tripartite partners came together quickly late last year, shortly after the Subprime Crisis, and developed the Skills Programme for Upgrading and Resilience (SPUR). SPUR was not conjured overnight. We were able to implement SPUR quickly because of good foresight. The Tripartite partners have been working together over the last few years to develop a comprehensive Continuing Education and Training (CET) System. So when the crisis struck, the CET institutions could spring into action and we were able to roll out the training programmes immediately.
6 With SPUR, companies could send their excess manpower for training and skills upgrading, tap on Government’s help to reduce their payroll expenses, and at the same time upgrade their workers’ skills to prepare for the upturn. Workers who fell victim to the downturn and became unemployed could also re-skill themselves to take on new jobs.
Jobs Credit
7 The Government responded quickly as well, with a Resilience Package worth S$20.5 billion. This included the Jobs Credit Scheme, which helped employers defray their manpower holding cost, and staved off an avalanche of retrenchments. Jobs Credit also saved workers from having to take a cut in their employers’ portion of the CPF contributions.
8 Without SPUR and Jobs Credit, retrenchments would have been much higher, and we would be fighting a bigger fire. With these schemes in place, we gained precious breathing space to further strengthen our training programmes, reach out to more workers, and help them move to new careers in an orderly and effective manner. Many union leaders would have felt the difference between this and the previous recessions. The recession this time round is global and much deeper, but union leaders are more composed, because they have effective tools at their disposal to help companies and workers.
Efforts by e2i
9 As we gather here today at e2i’s Redhill campus, we are also reminded that e2i is a result of the work of our Tripartite Partners. e2i was the brainchild of the Labour Movement – a one-stop centre where jobseekers can receive career advice, training and job placement services. It was set up with a seed capital of $5 million from Singapore Labour Foundation (SLF) in 2007. Its day to day operations was co-funded by both the Government, through the Workforce Development Agency (WDA), and the SLF. With SLF’s help in building a strong foundation for e2i, the institution has been able to scale up rapidly to meet the employment and employability needs of workers during this downturn.
10 I am pleased to note that e2i has been working hard to meet our labour market challenges. Today, there are over 18,000 job vacancies listed with e2i. Since the start of this year, e2i and its partners have assisted over 20,000 workers and placed more than 8,000 of them in new jobs. The institute has embarked on many projects and worked with many employers in sectors which are currently actively hiring, such as the Tourism (Integrated Resorts), Retail (ION Orchard), Childcare, Construction, Security, Landscape, Public Transport (Bus Driving) and Call Centres. e2i is also discovering job vacancies in new sectors such as Aerospace and Clean Energy, in order to place more Singaporeans into jobs.
Success Stories
11 At e2i, we can find many success stories of Singaporeans who encountered difficulties, but fought back with a never say die attitude.
12 34-year old Mr Neo Hock Lye was working as an operator in a manufacturing factory. He decided to make a career switch. Through e2i, Mr Neo took up a vocation as a trainee foreman in structural works with Wing Tuck Engineering. He was subsequently sponsored by the company to attend a 9-month training programme conducted at the Building and Construction Authority (BCA) Academy. Mr Neo graduated with a Trade Diploma in Structural Steel Works in March 2009, and was promoted from a foreman to a supervisor in the company’s prefabrication factory. While his job is very different from his previous role, Mr Neo is happy to have made the career switch. The job is stable, and there are attractive progression opportunities. He looks forward to upgrading himself further by taking more courses related to structural steel works.
13 49 year-old Mdm Ong Gek Lan left her office administration job in 1985 to take care of her two children and rejoined the workforce five years ago. Since then, she has taken on several jobs such as working in a restaurant, and driving a taxi. Mdm Ong is currently working on a part-time basis in a confectionary, taking care of orders. She attended e2i’s Integrated Resort Industry Preview in March 2009, hoping to get a permanent job which would provide her with a more stable income. The e2i Employability Coach who spoke with her was impressed by her pleasant personality and positive attitude and referred her to the Certified Service Professional course to prepare her for the interview with Marina Bay Sands. She was offered a Letter of Intent in June, and is very excited to start her job as a dealer when the Integrated Resort opens.
Conclusion
14 I find these stories inspiring and encouraging. Singapore is strong, because our people are a collection of such spirited and passionate people.
15 But supporting each individual Singaporean is a system of strong and sound government, an open and competitive economy, an internationally trusted Singapore brand, a peaceful and harmonious society where Singaporeans help out each other, and an effective Tripartite framework where workers, employers and Government work closely together for overall good.
16 These are fundamental tenets of our society that have been built up painstakingly over the past 50 years of self-governance. They are the reasons why Singapore is an outstanding and competitive global city, and why we can weather global storms together as a nation. Let’s continue to stand shoulder to shoulder, and upturn the downturn.
17 I wish everyone a Happy National Day!
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