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SINGAPORE: In the debate that followed the announcement involving civil service pay revisions, Members of Parliament generally agreed with paying competitive salaries for top talent in the civil service.
However, they had reservations about some issues, mainly the benchmark used and the timing of the changes.
The government has said top civil servants must be paid top dollar to retain talent in the public sector.
But MPs questioned if money was everything.
Ho Geok Choo, MP, West Coast GRC, said: "Are there other reasons why talented people leave the civil service? This begs the next question: Is money the only way to "block" the drain on talent? Many of the former admin service officers who have left for the private sector deny that it was the higher pay that pulled them away. Most cited other reasons, such as yearning for more exciting challenges."
It has been 13 years since the issue of pegging ministerial pay to a private sector benchmark was first introduced, but the topic remains as hot as ever.
The formula pegs salaries of ministers and top civil servants at two-third the median income of the top eight earners in each of six chosen professions.
Inderjit Singh, MP, Ang Mo Kio GRC, said: "This benchmark is the reason why the whole debate has become emotional. Many holes have been poked into it."
Among the issues raised is the arbitrariness of selecting six professions, the fact that the top earners in one year may not be at the top the next year whereas ministers will be in place for at least five years, and the big difference in risk between the public and private sectors.
Lim Biow Chuan, MP, Marine Parade GRC, said: "In the private sector, many of the top earners receive such a high income because they either built up the companies themselves, like UOB, or they take huge risks with their personal fortunes."
MPs suggested having an independent panel review the way benchmarks are derived.
Many also suggested strengthening the performance bonus element.
For example, if the policy is to increase the number of public transport trips, remuneration should be in tandem with the ministry's performance.
Timing was another big issue.
Many felt it was insensitive to introduce it at a time when many were still grappling with difficulties and an impending GST hike.
Mr Singh said: "How do we answer the man in the street when he is told that 1/4 to 1/3 of the expected revenue increase this year from GST is going to be for the bill for the proposed ministerial and civil service pay increases – about S$214m?
"Many of those I spoke with now think that one of the key drivers for a 2 percent GST increase was to fund these salary revisions to the civil service."
There were also concerns that too much focus on the monetary aspects would undermine the moral authority of the leaders.
- CNA/so
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