Budget 2024 debate: MPs discuss impact of AI, measures to help ITE students and seniors in workforce
Members of Parliament welcomed the ITE Progression Award but one asked if it could be extended to former students.

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SINGAPORE: Members of Parliament (MPs) on Tuesday (Feb 27) extensively discussed Singapore’s future plans for artificial intelligence (AI) as well as government measures to help ITE students.
A total of 27 MPs and Nominated MPs spoke on day two of the Budget debate, which lasted around eight hours.
The debate kicked off on Monday and is expected to last until Wednesday. In all, 56 MPs are expected to speak before Deputy Prime Minister Lawrence Wong wraps up the debate.
Mr Wong, who is also Finance Minister, delivered his Budget speech on Feb 16. He unveiled measures that reflected findings from the Forward SG exercise, including details on better support for Institute of Technical Education graduates and schemes to uplift lower-income families, prompting analysts to call it a “pro-social” Budget.
To bolster AI computing, talent and industry development, Mr Wong announced that more than S$1 billion (US$740 million) will be invested over the next five years.
The national broadband network will also be upgraded to support AI and immersive media technologies.
AN ERA DEFINED BY AI
In their speeches, a number of MPs also emphasised the impact of AI on Singaporeans and the economy. They pointed out that certain skills can now be performed by AI.
"We are at the doorstep of the seismic shift in economy with the rise of artificial intelligence," said MP Desmond Choo (PAP-Tampines).
"Just not too long ago, coding was deemed as the skill of the new economy ... It was almost a must-have for young people to seize new opportunities and thrive.
"Yet today AI can already perform entry-level coding easily, and some even for free."
He added: "What does that leave the many students and young people who have been learning coding in school?"
How can Singapore ensure that its youths are ready for artificial intelligence (AI)? Should Institutes of Higher Learning include AI in all courses and do all our workers and educators now need to have AI booster courses? MP Desmond Choo raised these questions in Parliament on Tuesday (Feb 27). He highlighted how this year’s Budget will help more young Singaporeans to succeed, but pointed out that they still face two rather formidable challenges - a transition to an economy shaped by AI and climate change, as well as navigating the workplace. He highlighted the need to support young Singaporeans looking at career transitions, as well as those affected or displaced by AI or the green transition, and urged the Government to consider lowering the SkillsFuture Credit eligibility age from the current 25 years. He also wanted to know if the Government will provide subsidies for second degrees and consider enhancing subsidies for companies to host career trials for young jobseekers.
In his speech, MP Jamus Lim (WP-Sengkang) echoed similar sentiments.
"Certain skills that we may have until recently thought were future-proof such as coding or writing well, or statistical analysis may quickly become devalued when AI tools can do the jobs just as well, if not better, for a fraction of the cost and time involved," he said.
“It is soft human skills - originality and critical thinking, empathy and teamwork, leadership and communication - that will be ever more important. These are not as easily replicable by AI.
“These are not skills well captured by certifications alone, rather they are nurtured through an emphasis on developing such ability in the classroom, even when they may not be formally evaluated.”
Describing the AI transformation as one which ranks among “the most profound” of them all, MP Christopher de Souza (PAP-Holland Bukit Timah) said that Singapore would have to be careful about how it treads the line between AI innovation and adoption, while continuing to support citizens and livelihoods.
The key to making AI enable, rather than replace jobs, is to allow people to "find their passion" with new responsibilities that require "uniquely human abilities", he said.
He cited the United Kingdom as an example, saying that about 7 million existing jobs in the UK could be affected by AI over the next 20 years, but about 7.2 million jobs could also be created.
“What we must ensure as a government is that no one slips through the cracks,” he said.
“To assure every Singaporean that as we become an AI-enabled society, everybody will have that opportunity to learn and grow and none of us need fear being replaced,” he added.
No one needs to fear being replaced, said MP Christopher de Souza. Speaking in Parliament on Tuesday (Feb 27), he said everybody will have the opportunity to learn as Singapore moves towards an artificial intelligence-enabled society. He said through the right assurances and infrastructure, everyone must be helped to realise their core and unique human skills. On regulation, Mr de Souza said Singapore’s approach has never been to take other countries' practices wholesale. He added that the Government watches global developments and tailors them to the country’s needs.
*Audio issues inherent from source
Mr Choo also pointed out that many young people would need to work with AI regardless of their occupation in the future.
“For our young Singaporeans and workers, they would either be riding this tremendous wave or be sunk by it. Their era would be defined by AI,” he said.
He asked how Singapore can ensure youths are AI-ready and whether all workers and educators would need to have “AI-booster” courses.
When it comes to businesses, Associate Professor Lim said that firms that are likely to fall behind in adopting AI – such as small- and medium-sized enterprises (SMEs) – must be presented with “strong and urgent” incentives to do so. This is no easy task, he added.
These small firms may feel that AI has no direct implication on how they run their businesses and may prefer a “wait-and-see” approach to adopt solutions.
Goals outlined in the National Artificial Intelligence Strategy 2.0 are laudable but incomplete, said MP Jamus Lim in Parliament on Tuesday (Feb 27). He stated that the impending structural shifts that Singapore's economy will face will alter the way that businesses, workers and students operate. He also pointed out that small- and medium-sized enterprises in non-tech and non-professional sectors must be presented with strong and urgent incentives to adopt artificial intelligence (AI) or risk falling behind. He added that Singapore should aim to create an environment where its businesses are AI-enabled and workers AI-savvy, which will naturally attract investments from abroad. He also stressed the need and value of alternative forms of knowledge beyond the classroom and called for SkillsFuture Credits to be allowed to be used for alternative learning modes, such as apprenticeship programmes or on-the-job training.
Ultimately, in the push for AI, it is important that nobody is left behind, said MP Derrick Goh (PAP-Nee Soon).
“I am heartened that Budget 2024 supports our National AI Strategy 2.0, in advocating for Singaporeans to see AI as a friend to increase productivity and enrich lives, instead of a foe that threatens livelihoods,” he said.
He added: “Yet, while we pursue opportunities in AI and other frontier technologies on one end, we must have the right foundations in place, manage risks well, and leave no one behind on the other.”
HELPING ITE STUDENTS
During his Budget speech, Mr Wong announced that graduates from the Institute of Technical Education (ITE) will get financial incentives to further their education.
Under the new ITE Progression Award, graduates aged 30 and below who choose to pursue a diploma will be eligible for two government top-ups.
The first is S$5,000 in their post-secondary education accounts when they enrol in a diploma programme. The second, given when they attain a diploma, is S$10,000 in their Central Provident Fund (CPF) Ordinary Account.
In his speech, Nominated MP Syed Harun Alhabsyi asked if the award could be retrospectively introduced to former students already in polytechnics or those who graduated this year.
This would go a “long way” in helping them move forward into the next phase of their lives and in giving their best to their current studies, he added.
“My view is that through the ITE Progression Award, while relatively modest and encapsulated within the CPF construct, there are practical benefits that could nudge more to consider strongly to move on to diplomas if they qualify,” he added.
“I hope that the ministry monitors this trend to see how it encourages more ITE graduates to pursue diplomas, and if proved beneficial and well received, to consider a greater quantum for them in time.”
Social mobility is the cornerstone of a fair and just society as it allows for individuals to move up or down the "social escalator of life", regardless of their initial background, ethnicity or economic status, said NMP Syed Harun Alhabsyi. "Everyone, regardless of their life circumstances, deserves a fair and equitable chance at success," he said in Parliament on Tuesday (Feb 27). He lauded the SkillsFuture Level-Up Programme in supporting workers and wanted to know how the S$4,000 top-up amount was arrived at, the choice of 40 years old as the age to introduce this programme and why it is limited to diploma programmes. He also asked if it is possible to consider introducing the scheme to younger Singaporeans and if degree programmes could be permitted as well. Dr Harun pointed out that the challenge of social mobility is about building the self-confidence and self-esteem of the vulnerable and less privileged. He stressed the need for humility as it "keeps us grounded (and) informs us of a world view of care and concern for others". It also fortifies a society of ethical values, compassion and kindness, he added.
MP Xie Yao Quan (PAP-Jurong) lauded the award’s introduction.
“It is a huge step by the government because it will uplift ITE graduates, early on in their lives, reduce inequality, and keep social mobility alive,” he said.
Mr Xie added that he hopes more ITE students, both current and future, would have a “strong goal” to work towards, and be strongly motivated to do well to qualify for polytechnic.
“For our corporates, our enterprises and employers, I hope they will accord ever greater recognition of the skills that both our ITE and polytechnic graduates possess, and join hands with the government to continue uplifting the wages of both our ITE and polytechnic graduates.”
MP Melvin Yong (PAP-Radin Mas) said that the award was one of the Budget announcements which “stood out”.
Having a “skills-based, job-relevant” diploma will give a helpful boost to ITE graduates, said Mr Yong, who is an assistant secretary-general at the National Trades Union Congress (NTUC).
“NTUC will work with agencies to develop career progression models with specific career and accreditation pathways for skilled trade workers and essential workers.”
"60 IS THE NEW 40"
MP Sylvia Lim (WP-Aljunied) said that older workers should continue to be tapped on as a resource for the “good of the nation”.
“With better life expectancy and health, 60 is the new 40,” she said. “We still have much to contribute as citizens.”
Ms Lim said that she has met older residents whose job search suggests age discrimination.
While the government has "appropriate and necessary" incentives to encourage the hiring of older workers, Singapore can attain even higher labour force participation of older workers if any ageist mindsets are changed, she added.
As such, Ms Lim said she was looking forward to Singapore’s anti-discrimination framework which is slated to be introduced this year.
“We still have work to do to tackle age discrimination if we are to maximise our country’s potential and well-being,” she said. “All of us should be life-long learners or risk becoming obsolete.”
She also noted the new Level-Up Programme to better support mid-career workers where all Singaporeans aged 40 and above will receive a S$4,000 SkillsFuture credit top-up in May.
“While there is a minimum age of 40 years to access these measures, there is no maximum age. I agree with this approach,” Ms Lim said.
"Not having a maximum eligibility age impliedly recognises that a worker remains potentially employable, regardless of age. This is laudable.”
In Parliament on Tuesday (Feb 27), MP Sylvia Lim responded to remarks made by MP Christopher de Souza on the Government’s efforts to support lifelong learning following her speech earlier in the House.
In his speech, Mr de Souza responded to Ms Lim’s comments and said that there was a "whole raft of measures" to help seniors not only age actively, but to reskill, upskill and re-enter the workforce.
In response, Ms Lim said that he might have “misheard” what she said.
“I think he has misunderstood me or not heard what I’ve said, and kind of accused me of not acknowledging the government’s efforts. I don’t think that’s true,” she replied.
“The main focus of my speech really is on older workers and how we need to tackle ageism in the workplace.”
The Budget debate will continue on Wednesday.