Budget 2023 debate: Gerald Giam on challenges faced by businesses, workers and families
In these trying times, it is imperative to keep our minds open to workable solutions regardless of where they may emerge from to help Singaporeans in need and progress and prosper together as a nation, said MP Gerald Giam. Speaking in Parliament on Thursday (Feb 23), he pointed out that it is natural that Singaporeans are apprehensive, especially for their children. Soaring prices have made it increasingly challenging for families to purchase a new home, while a period of high inflation is likely to persist throughout the first half of this year, he noted. He highlighted the challenges faced by three stakeholders in society, namely businesses, workers and families. On businesses, Mr Giam said they can improve the welfare of workers by increasing their income as long as the wage increases do not set off a sustained wage-price spiral. High rental costs, however, benefit a smaller segment of society, namely landlords and property owners, and come at the expense of tenants, he said. They can also affect the competitiveness of these businesses, he added. Mr Giam said the Government needs to look for ways to moderate industrial and commercial rental costs for small- and medium-sized enterprises, as this will benefit a broader base of businesses which play a critical part in growing the economy and providing good jobs. To achieve this, JTC could expand its market share for industrial space that offers more low-rent options to stimulate micro businesses and entrepreneurship in the heartlands. Turning to jobs, he urged the Government to do more to raise awareness of the opportunities and career prospects in sectors which are perceived to be less prestigious and physically more demanding. He suggested that schools work with industry representatives to introduce these career opportunities to students as early as lower secondary level. Turning to the increased CPF housing grant and its effect on home buyers, Mr Giam pointed out that some property analysts have cautioned that this may also raise demand and the prices of resale flats. He said this could potentially offset any progress made towards enhancing the availability and affordability of resale flats. As such, it is important to understand the projections on how the increase in the CPF housing grant will elevate resale HDB flat prices over the next two years, he said. He urged the Government to provide more information on these projections to assess the net effect of the grant.
In these trying times, it is imperative to keep our minds open to workable solutions regardless of where they may emerge from to help Singaporeans in need and progress and prosper together as a nation, said MP Gerald Giam. Speaking in Parliament on Thursday (Feb 23), he pointed out that it is natural that Singaporeans are apprehensive, especially for their children. Soaring prices have made it increasingly challenging for families to purchase a new home, while a period of high inflation is likely to persist throughout the first half of this year, he noted. He highlighted the challenges faced by three stakeholders in society, namely businesses, workers and families. On businesses, Mr Giam said they can improve the welfare of workers by increasing their income as long as the wage increases do not set off a sustained wage-price spiral. High rental costs, however, benefit a smaller segment of society, namely landlords and property owners, and come at the expense of tenants, he said. They can also affect the competitiveness of these businesses, he added. Mr Giam said the Government needs to look for ways to moderate industrial and commercial rental costs for small- and medium-sized enterprises, as this will benefit a broader base of businesses which play a critical part in growing the economy and providing good jobs. To achieve this, JTC could expand its market share for industrial space that offers more low-rent options to stimulate micro businesses and entrepreneurship in the heartlands. Turning to jobs, he urged the Government to do more to raise awareness of the opportunities and career prospects in sectors which are perceived to be less prestigious and physically more demanding. He suggested that schools work with industry representatives to introduce these career opportunities to students as early as lower secondary level. Turning to the increased CPF housing grant and its effect on home buyers, Mr Giam pointed out that some property analysts have cautioned that this may also raise demand and the prices of resale flats. He said this could potentially offset any progress made towards enhancing the availability and affordability of resale flats. As such, it is important to understand the projections on how the increase in the CPF housing grant will elevate resale HDB flat prices over the next two years, he said. He urged the Government to provide more information on these projections to assess the net effect of the grant.
Popular Shows
