From Al Jazeera:
The first Asian country to confirm it’s in recession is now seeing its financial woes worsening. Singapore‘s downturn has deepened beyond expectations since last month.
—-
HELP keep the voice of TOC alive!
If you like this article, please consider a small donation to help theonlinecitizen.com stay alive. Please note that we can only accept donations from Singaporeans. Thank you for your assistance.Do you have a flair for writing? Volunteer with us. Email us your full name and contact details to theonlinecitizen@gmail.com
Ya it looks as bad as it can be and the govt is trying to camouflage rather than telling us the truth.
Many people will suffer as we don’t have unemployment benefit.
Many will also resort to illegal ways to raise cash here.
It is times like these that communication between the govt and its people becomes the most important factor in getting the country to resolve to work toward recovery as soon as possible.
With the poeple aking so many question pertaining to the climate of uncertainty and the absolute silence from the govt; separation can only be deem inevitable.
This govt has to sit down at the various platforms available and carry out forums with the people to tell us how it plans to deal with the economic situation in plain and simple languages that all can understand.
Every worker live in fear of the R word and this govt is doing nothing about it except to play shadow boxing with the businesses that are so quick to take advantage of the situation to clear stocks of the human kind.
We are in deep shit made deeper by a govt wthat does not know what it wants to do because it does not know what needs to be done.
Yes this global economy downturn is affecting everyone. All governments in the world are having a tough time trying to minimize the impact on its people. Many of us complained about rising unemployment and falling wages due to this crisis.
But at the same time, we must not forget that things would have been much worse if not for the strong economic foundation that had been built.
Gemami, you require the government to sit down with you and explain its course of actions. Our government’s style is more of action than talk (they are from the People’s ACTION party remember). Sweet talking its people is not something it does best.
Gilbert, if I ask you what truth you are suggesting that the “govt is trying to camouflage”, would you reply with an essay? It’s like what Gemami said, the govt does not talk enough. No wonder suspicions and conspiracy theories are the favourite past times of so many people.
Soon the crime rate will increase starting 2009 when people turned jobless, hungry and desperate.
Hi Jayden,
In situation like this, it is better to focus on what we are rather than what we could be or could have been. Yes, we do have a strong economic foundation like most 1st world countries have.
The difference here is that while these other first world leaders never claimed themselves to be more super than superman, ours have a knack for doing this and have assured Singaporeans that we are paying for the best so that when problems come, the best solutions could be found quickly and the people whom they govern would not have to face too much discomfort like those other leaders who are paid much lesser.
Remember the equation: Money = Quality = Your Confidence.
The govt’s style might be less talk more action but seriously, what actions have they taken thus far that helps the people more than businesses? It cannot continue to tell the same story that taking care of businesses is taking care of the people, not when the businesses they are taking care of are giving these same people the boot to carry home with them.
You also read, ‘People’s Action’ wrongly. You only picked out the word ‘Action’ and conveniently forgeting the ‘People’ element in it. If the party that calls itself People’s Party cannot see itself fit to come explain themselves to the people, for which they claim to have their interest in, then it is sad for us the people to conclude that they have forgotten us and forgotten their reason for being.
Just kick some of the FTs out to make way for local workers…and yes I’m a protectionist
with recent bride cases from the ICA, it is beginning to show there is a fundamental failure in the government. It is a internal break from within. I think this might be only tip of the iceberg, since some of the implication might be too shameful for them to disclose in our local news.
Not only the PAP is out of touch, I do believe they are totally out of control. I believe by the time all this is disclosed. It might even be more than that of the NKF. The Singapore government is failing systematically as we
Speak.
This is the damn problem when money is being used to lure people into the country. People higher up will back stab each other to keep their $$$ going, everyone will start their own politics within their work place, and instead of spending time looking after the company (country), they prefer to waste time on looking out to destroy any potential candidates who can out perform them. This is Singapore today.
Wasn’t it less than 3 months ago that our esteemed leaders told us that Singapore’s economy is strong enough to withstand any shocks blah blah blah when the rest of us have already started feeling the slowdown some 6 months ago…
Out of touch? They have no idea how far they are in their ivory towers – it may be easier to touch the moon than connect with us these days…sigh
I don’t think so they know what they are doing or what solutions they have to counter all these problems besides knowing that they are still getting their million dollar salaries.
Reuters disagrees with Jayden.
Singapore Economy is actually MORE VULNERABLE than other countries. So much for the ATeam!
“Singapore seen emerging Asia’s weakest economy
Thu, Dec 11, 2008
Reuters HONG KONG- Singapore is poised to be emerging Asia’s worst-performing economy next year, when it is likely to remain entrenched in recession as the global downturn erodes demand for its exports”
Maybe Jayden only reads the MSM, so he thinks all’s rosy with Singapore.
Jayden, what is u favorite color?
I do agree with Jayden that the Govt is definitely doing something to minimize the impact, while making the country as business friendly as possible.
There will be pain involved, and even as we disagree with many things the govt had been doing, rather than nitpicking now, perhaps what would be good is to objectively see whether what’s being done is the best solution, at least to bail us out of this crisis.
THEN, there will be reckoning. When the patient that is Singapore is out of the ICU, then we will really need that long-delayed discussion about the economic direction and model of the country.
Hi Joshua,
Without going into indepth details, I remember the govt calling on companies to work into their salary scheme a variable component which can be used to save the employees jobs in place of retrenchments.
For the longest time, NTUC had shouted itself hoarse and given us the picture that the big companies have adopted this practice and there was only the need to get the medium and small companies to follow suit.
Suddenly when trouble knocks, the first step these big companies did was to retrench. Why didn’t they heed the govt’s call? Why do we have to find out that we were lied to only when trouble appears. Same with the TC issue right?
We were made to believe that these were pre-emptive measures against such economic downturn and now we are asking for answers and accountability but they are all so many miles and hours away.
With all these promises, one would expect that the answers would already have been there to just put in place. Why this tarrying? and uncertainty as to what to do next?
Not that we do not want to trust or believe them, but we have already being bluff to.
hi gemani
Firstly I have to confess, I don’t so much about economics and stuff to know what’s the best solution to bail us out. I suspect the reason why our govt is still not giving us much answers is because (and we can see it from a mile away), we are seriously screwed. Screwed by the big corporations. See, we like to think that if we make sure that the population is obedient, and our costs low, and we give the corporations the best infrastructure money can buy, then they will stay, and even have our workers’ interests in mind. Our at least that’s what Pappies like to think. ( i think). But corporations are corporations – capitalistic entities. In fact, it is becoming very apparent that corporations, not governments are the main entities that’s shaping people’s lives and the world now.
What happens when there’s a recession? Corporations do what corporations do … and even if they close down their operations here.. what can our govt do? Pout and say, “Oi! You tua me!” ?
In the light of so little legal protection for our workers, what can the govt do besides ‘urging’ and making slogany statements?
Our govt cannot be seen as powerless, see. The only reason why we put up with compromised human rights and speech is because of their (supposed) ability to bring food to the table. But it seems like the corporations will screw us over even if we are the most cowed and ‘stable’ country in the world.
Orrbeeegood angmohchiakchooloot!
(lol, i’ve lost my train of thought. forgive me if I went out of point…)
The Union chief came up with a slogan to counter recession. He called it ” upturn the downturn” Any one here knows what he meant by that?
Singapore leaders please be advised to learn from TW :
quote from internet news on http://www.bloomberg.com/ :
“Taiwan and China resumed direct shipping, air and postal links as warmer relations eased a six- decade ban, shaving time and transport costs for two economies with $125 billion in annual trade between them. ”
Mah Ying Jiu is solid performer!
Even in this crisis , he able to generate so much fortune for his country. many jobs and business opportunities are being created as a result of this achievement.
Please learn from him.
TW Jia You!
Thanks to Al Jazeera, I get to see another side of the news.
Our local media has termed the crisis as an “economic tsunami”, implying that the impact of the downturn is so great that none can escape. No fault of the government.
Observing as a business risk consultant, I concur on the global impact of the crisis. But the sub-prime crisis unrevelled in the US way back in mid-2007. Where was the tsunami early warning system?!?!
If there is a system, where were the people manning it? Basking in the sunshine of an impeding golden age perhaps.
Singapore is an independent country in name.
There is nothing independent, only the Government is independent of the citizenry.
Oh, maybe we are independent in water now. BUT, we are dependent on others(foreign) for foods, power(fuel/electricity) and even consumptions(for the many shops/services) to survive.
Just one word for the people, leave(go abroad) when You can afford before it is too late. A prolong recession is extremely hurtful to the poor.
puppy.
We must always be mindful that our “first world” leaders in Singapore cannot fail.
How can they fail?
Having paid them “out of this world” salary, would they allow a “bad dose of government” befall Singapore? No way! Bulldoze, maybe. Bad dose of government, never!
Even we are having recession, even if our friends and relatives (and even ourselves) are retrenched, it’s not our dear leaders’ fault.
If they are “first world” enough to spend resources chasing and putting kangaroos in jail, they must have enough brains and resources to keep Singaporeans away from the jaws of white tigers, MRT trains and the hard concrete landing of bloody flesh and bones from highrise! Or have they decided that Economic Euthanasia is the best solution for those retrenched?
What caused the present crisis? It’s not the government. It’s not globalisation.
It’s the complacency of Singaporeans!
I have learnt my lesson. I do not want to be complacent anymore. I’m preparing the womenfolk in my family to be maids in other countries.
Since paying peanuts get monkeys, I think we should pay $10 million instead of $3.7 million to our dear prime minister and up the rest of the ministers’ salaries too!
That should be incentive enough for them to solve the problem instead of “upturn the downturn”. It will also help them decide if retrenching FT’s or Singkies first is the better option for the employers.
feedmetothefish
The government cannot do much. The current recession is a worldwide phenomenon. They can only try to stimulate the local economy through appropriate fiscal policies but recovery depends on the situation in the world. MOM can try to advise companies not to retrench and come up with all sorts of retraining and reimbursement plans but they are helpless if the companies intend to carry out retrenchment.
aiyoyo
hope the stimulation package is good for commoners to tide over the gloomy
economy.
can the ELITEs have huge pay cut too?
(one people one nation…)
not sure why things are still so high priced?
aiyoyo
Hi Joshua,
I do agree with you on your take on the economics of business and why govts are oftentimes left high and dry and very much at the mercy of these businesses.
However, I am inclined to see it from the point of view that these are the govt’s own doing. If the focus is on building wealth (under the pretext that wealth is health) then it is apparent that these govts have to find ways to support the growth of these businesses. Failure to do so would be detrimental to their pursuit of this ‘wealth is health’ philosophy.
I would like to just touch on one topic.
I am very perturbed that in Singapore’s context, where the human factor, being its most important asset, because we do not have natural resources to crow about, the failure to look into the interests of the people is just as detrimental to the failure to support businesses.
What makes this failure to look into the people’s welfare more hard to swallow is that we are now being told to accept foreigners into our midst to compound the matter. This govt has to come out and tell its people how much we are being valued. Is there a different degree of value as one ages? Is there a difference in value if one is not as academically gifted? Is there a difference in value compared to our alien invaders? And what these differences are? How do we bridge them?
We cannot be told to ‘retrain ourselves so that we can get a better job with income’ but when after retraining, we find that we have to compete with hundreds of our own people with the same retraining certificates and looking for the same jobs.
On one hand, we become ‘over-qualified’ for the lower end jobs which are now given to the foreigners. We then remain jobless. It makes no sense. On the other hand, no matter how much we retrain, we are never good enough for the top job in any businesses. So we are left in the middle sector where we cannot go ahead or reverse – STUCK!
So you see, this govt cannot pretend to use the global model to implant into Singapore’s situation. We only have our people to see us through any storm. Businesses, though important, ought to be of lesser importance than the people. If we have to slow down a little and earn a little less for our national kitty, so be it. If not the mad drive to become the biggest bank (Singapore) in the world will bring literal death to its people.
Yah, I know I have side-tracked too, cannot help it lah.
Hi Gemani
Very well-thought out. Often, I am baffled by how we can improve or overhaul our economic model. But my limited knowledge often make me stuck. As an owner of a small-time business, I realise the ‘futility’ of forever depending on clients, on outside sources to support my business. Hence I’m always finding opportunities and free time to do more ‘creator-owned’ stuff. Eventually the plan is to move away from contract work and focus solely on my brand of products.
So i often wonder, is our main problem because this is what Singapore really is? We provide services. We take contract jobs from MNCs. And yet we are always conscious of the less developed nations catching up (maybe that’s why we prop up their incompetent leaders because then they won’t catch up) , and so, as CSJ have put it in his book, it is a race to the bottom in terms of wages.
But to be fair, (though I don’t know how this will benefit the everyman) the govt is always actively sourcing for business opportunities and partnerships from overseas. I have friends working in IE who can vouch for that.
And this is the conundrum innit? How to make Singapore a viable place to attract businesses and investments, and yet ensure that the average joes are protected by minimum wages and humane retrenchment benefits.
Or perhaps we need some sort of evolution of our economic system into something else. We now have so many ‘polises’ biopolis, mediapolis, sexopolis (located in geylang), but ultimately these are still the service providers. How long reaonably will they last? Remember when at one point of time we were like the semi-conductor hub of the world? That lasted only ten years before the MNCs packed up and went elsewhere. Oh, and with the North Pole melting, ships can bypass our port liao.
Perhaps we really have to get out of our service provision, attracting investment mindset, and invest rightly in the people. Ironically, sometimes the way our govt go about doing things also make things quite difficult for budding entrepreneurs… but that is another story for another day.
Hi Joshua,
You are right and we should be baffled by how we can overhaul and improve our economic model.
I often think about how Singapore got to where it is today in terms of progressing from 3rd world to 1st world status. As much as I feel that status is just a transient state, measured against the ideals set before it, and, once this ideal changes, the state is lost.
My thoughts travel often over whether it was LKY who should be accorded this credit, as most would surely not hesitate to declare we should. Or, should we credit it to the social and economic climate that made it conducive for such speedy progress? Or, should the people whose hands were roughened and bones broken who should be credited for it? Or, is it a mixture of all these positive conditions, very much like saying, we were lucky?
One thing I concluded is that it was very much the people as much as it was the leader who made this possible. The condition wasn’t that conducive but we somehow managed to ride it and build Singapore together.
Why do I make such a lengthy elaboration on a simple point? Because if you look further into the underlying factor that made Singapore’s progress possible, it was the fact that the people were willing to work with their leader, without the leader having to give carrots and sweets and mee siam my hum.
This point is important because it reflects the rapport and trust and willingness to work for the same cause in all honesty and sincerity between both the leader and the followers. It’s the kumcheng factor. We eat, sleep, fight and die together. This sort of bonding money cannot buy.
So you see, the overhaul you are looking for is not something untenable. It is so simple to find it. It does not cost anyone a cent.
All this government need to do is to look into its heart. Give the people the attention they deserve. Don’t do any thing, business or governing, against the welfare of the people. Loosen up and come party with us from time to time and allow us all, both people and country, to really enjoy the good stuff – LIFE.
Give life back to the people and all other things will fall back into place. The history of Singapore and its people lay testament to the fact that this ideal had worked before and will work if there are enough people who believe it still does.
ps: I like your melting North Pole part.
PAP’s economic formula is networking & partnership. That’s why we are always on the look out for pacts/treaties, investments, joint ventures, etc, and that’s why we are so focused on getting the form right to attract, rather than the underlying substance.
In business terms, we are like a distributor, or put simply, a middleman. There’s nothing wrong with this approach per se, but do know that we are at the mercy of the principals (creator-owners). If they go under, or direct to end users, which is bound to happen once the principals are better established in their own networks, we end up one brand short. This is what is happening/has happened to certain projects with China and India. We start off as partners, with these countries depending on our name and reputation to make inroads into the global arena. Once that has happened, we are no longer needed, and they will say “bye bye” and call upon us again only in areas where we have still that reputation advantage.
Like any good distributor, Singapore seeks to maintain at any one time a good spread of sources from US, Europe, China, India, Middle East, etc to mitigate the risks of any one major source drying up, and diligently forms good relationships that can be tapped on some time in the future for economic gains. This can theoretically go on perpetually as there will always be an opportunity to act as a go-between in a global economy, even between superpowers. In fact, our undisputed leadership in ASEAN puts us in an advantage when it comes to brokering deals with other groups.
However, the downside of such a model is that we are paying a hefty price to invest in those external relationships at the expense of citizen relationship and domestic opportunities. Everything must look right & open enough for the prospective partners. It’s like spanking the child to make him behave in front of visiting guests or reserving exotic cuisine only for the guests. This explains why PAP must ensure at all costs a one-party rule (that’s them), state-controlled media, and insignificant political alternatives, so that as a nation, we remain economically & politically correct for this model.
I was on leave yesterday & saw many people are shopping at Orchard Road. Most of them were locals.
Do you see any riots or protests? People are still shopping, there are still many cars on the streets, buses and MRT are packed, restaurants are filled with people. Life is still bustling.
What recession? Evidence of peace and prosperity are still there on the ground. No wonder the PAP is as confident as ever.
And even if it becomes bad, as long as there is peace and the opposition is as weak or weaker than before, absolutely no problem. It’s great to be the PAP, given the kind of electorate and the kind of opposition. In fact, one of a kind and uniquely SIngapore.
#3 jayden
Yes this global economy downturn is affecting everyone. All governments in the world are having a tough time trying to minimize the impact on its people.
Very true. Singapore is especially vulnerable to the global economic turmoil since our exports is about 200% of the GDP [1,2].
In comparison, although China’s exports is hugh in terms of raw numbers, $1.2 trillion, it accounts only for about 40% of their GDP $3.2 trillion [3]. So a fiscal stimulus could work for them but not us.
[1] http://www.state.gov/r/pa/ei/bgn/2798.htm (exports= $313 bil, GDP=$168bil)
[2] http://earthtrends.wri.org/text/economics-business/country-profile-160.html
[3] http://www.state.gov/r/pa/ei/bgn/18902.htm
Get the PAP ministers to eat the food of some retrenched workers.
Some are so poor they only have rice and soya bean sauce for food.
Yet the PM is getting USD 2.46 million per year.
Why not get him to volunteer to get one dollar per year like some American CEOs when their companies went through hard times.
I practice what I preach.
I work for free as a volunteer photographer, reporter and subeditor for an English daily in Indochina.
I pay out of my pocket for food, bed and transport.
Why not the PM and his ministers – token pay of one dollar per year and donate their salaries to the real poor.
Bonnie