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DPP: Budget needs to focus on positive and sustainable impact, long term challenges

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10 years ago

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dpp

By Democratic Progressive Party

A country’s yearly Budget is not only about giving one-off monetary hand-outs that last the year till the next year’s Budget. A country’s yearly Budget must be about how a Government apportions expenditure of tax-payers’ money in ways that address the country’s medium-to-longterm political, social, economic and other challenges.

In this year’s Budget, there are many “goodies” in terms of cash handouts of various forms. Whilst Singaporeans may rejoice in the immediate and short-term relief these bring, the larger question is whether these “goodies” actually lead to real and substantive positive and sustainable impact on long term challenges.

For example, providing 50% personal income tax rebates (capped at $1,000), quarterly and one-off cash pay-outs to the low-income elderly, $500 SkillsFuture credit for further education, etc are all essentially cash “gifts” that may alleviate some pain this coming year, but does not automatically address long term problems.

A more relevant Budget would be one that addresses creating higher-paying value-creating jobs for the middle-and-lower class and the elderly, bringing down the cost of public goods like public transportation, public healthcare, government housing service and conservancy charges, public utilities like water and electricity, and designing a budget that funds the financing needs of public goods without increasing the cost to the people. It does not help if cash handouts are given out on one hand, and on the other hand, taxes and other costs of public services start to increase.

The recent changes in CPF resulting from the CPF Review as well as the Budget, whilst laudable in many areas, still appear to the public as not sufficiently addressing their concerns of interest rate returns on their CPF savings compared to inflation rate and bank interest rates, of giving greater decision-making on withdrawals to the people themselves, and of where the investment profits being earned from the use of CPF funds are going to if not back to the people themselves.

A citizen who has been working from age 20 years old to 55 years old has 35 years of funds contribution to their CPF. Many think it time to give back to the working class their CPF monies, because when the CPF was introduced before Singapore became independent, the main objective is to fund their retirement after 55 years old. Many want to see CPF changes that allow them to withdraw their hard-earned CPF money.

The common impression that the people’s hard-earned CPF funds seem to be used as a source of cheap funds for Government and GLCs investments, at the expense of higher interest rate returns on their CPF funds, also need to be quickly and properly address, or it will be a ticking political timebomb.

The Budget’s intention to help companies to innovate and expand overseas is well-placed, but again, the solution is through giving of grants, deferred tax/levys, etc. What the Budget really needs to address more directly, is the creation and supply of higher-quality local labour in value-creating jobs, a faster and more effective way of increasing productivity, and focusing on business where Singapore companies can have a clear competitive advantage in the region against global and regional competition.

The areas of industry priorities outlined in the Budget are also not industries that can easily create many more new jobs or absorb lower-income workers quickly. This will likely rear its head again down the road.

We need each year’s Budget to build more and more longterm self-sustainable local businesses as they grow and expand overseas organically, and for this sustainability to in turn lead to longterm strategic self-sustainable economy in Singapore.

Higher taxes for top 5 percent income earners from 2017 does indeed give a “Robin Hood” flavour to the Budget. But the real question is, where and how will this increased tax revenue be distributed and spent on, and will it lead to a greater re-distribution of real financial wealth downwards to the middle and lower income groups?

Or will the funds go towards other government expenditures that end up benefiting the rich and upper-middle class, and end up squeezing the middle and lower class even more?

Apportioning annual budget to national infrastruture should always be a good thing, as it leads to increase in public good. However, this is true only if the infrastructure being built benefits the majority in society, especially the middle-to-lower income group. Such worthwhile infrastructure include public roads, public transportation systems, public hospitals, etc.

In this regard, increasing hospital beds and public MRT lines are steps in the right direction. But it is difficult for the middle-to-lower income group of people to see how a large Airport Terminal 5 or more nursing home capacity will benefit them directly where it counts, ie the daily cost-of-living.

Any such investment in public infrastructure, should also not lead to increase in additional basic cost-of-living, like public transport cost, public healthcare cost, etc. Otherwise, such development expenditures end up increasing the daily ongoing financial burden of the common man even more.

All-in-all, we at the Democratic Progressive Party of Singapore, call for a Budget that:

  • creates higher-value jobs for the middle-and-lower income, elderly and marginalised in society
  • increases productivity, competitiveness and long-term self-sustainability of local SMEs, which in turn builds a long-term self-sustainable economy for Singapore
  • greater investment in public goods, like public infrastructure, public transportation, public healthcare, etc that can be shared and benefited by the majority in society (especially the middle-to-lower income groups), and lead to lowering, not increasing, of cost-of-public-goods to the common man
  • a longer term sustainable national wealth re-distribution from the very rich down to the sandwiched middle-class and further down to the poor and marginalised. This should not be designed as annual-Budget-to-annual-Budget cash handouts and incentives, but as a self-sustaining, self-operating systemic wealth re-distribution set of policies in job creation, minimum wages, affordable public services, etc.

We encourage the Government to actively seek the feedback and suggestions of the community, various interest groups, and other political parties, and to openly and thoroughly discuss and review the Budget. We also call on Parliament to vote for any necessary tweaking for a revised budget that is more relevant to addressing key challenges of today as well as tomorrow in Singapore.

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Current Affairs

Farewell to Dr Lee Wei Ling: Rain marks solemn tribute, echoing her father’s funeral

Dr Lee Wei Ling’s funeral was conducted on 12 October 2024, in Singapore, with family members leading the procession in the rain. In a heartfelt eulogy, her brother, Lee Hsien Yang, remembered her dedication to medicine and family. Dr Lee had requested a simple ceremony, with her ashes to be scattered at sea.

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1 day ago

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12 October 2024

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Li Huanwu and Li Shaowu sending off their aunt, Dr Lee Wei Ling in the rain (Photo: Lianhe Zaobao/唐家鴻)

Dr Lee Wei Ling was farewelled on 12 October 2024, in a solemn funeral ceremony attended by close family members and friends.

The weather was marked by light rain, drawing comparisons to the conditions during her father, Lee Kuan Yew’s funeral in 2015.

Her nephews, Li Huanwu and Li Shaowu, led the procession, carrying Dr Lee’s portrait and walking side by side under the rain, symbolically reflecting the loss felt by her family.

In his emotional eulogy through a recorded video, her brother, Lee Hsien Yang, spoke of Dr Lee’s profound contributions to medicine and her unshakable devotion to family.

He described her as a remarkable individual whose life had left an indelible mark on those who knew her, as well as on Singapore’s medical community.

Expressing deep sorrow at her passing, Lee Hsien Yang reflected on their close bond and the immense loss he felt, having been unable to attend her final farewell.

He recalled his private goodbye to her in June 2022, a poignant moment that stayed with him during her last months.

Lee Hsien Yang also reiterated Dr Lee’s wish for a simple funeral, a reflection of her humility.

In accordance with her wishes, her body was cremated, and her ashes will be scattered at sea, symbolising her desire for a modest and unobtrusive departure from the world.

LHY acknowledged the efforts of his sons, Li Huanwu and Li Shaowu, for their role in managing their aunt’s care during his absence, thanking them for their dedication to her comfort in her final days.

During his eulogy for his sister, Lee Hsien Yang also conveyed a message from Dr Lee regarding the family’s long-standing issue surrounding their home at 38 Oxley Road.

Quoting from Dr Lee’s message, LHY said: “My father, Lee Kuan Yew, and my mother, Kwa Geok Choo’s, unwavering and deeply felt wish was for their house at 38 Oxley Road, Singapore 238629, to be demolished upon the last parent’s death.”

Dr Lee had been a vocal advocate for ensuring that this wish was honoured since Lee Kuan Yew’s death in 2015.

Dr Lee and LHY had strongly supported their father’s wishes, while their elder brother, Prime Minister Lee Hsien Loong, took a different stance. This disagreement led to a public and highly publicised rift within the family.

In her final message, Dr Lee reiterated: “Lee Kuan Yew had directed each of his three children to ensure that their parents’ wish for demolition be fulfilled. He had also appealed directly to the people of Singapore. Please honour my father by honouring his wish for his home to be demolished.”

Dr Lee had maintained a private life, focusing on her medical career as a respected neurologist. She was known for her candid views, often unflinching in her advocacy for transparency and integrity.

Her professional accomplishments, combined with her strong commitment to her parents’ legacy, made her a significant figure in both Singapore’s medical community and public discourse.

Diagnosed in 2020 with progressive supranuclear palsy (PSP), a rare neurodegenerative disorder, Dr Lee faced immense physical and emotional challenges in her final years.

The illness progressively affected her movement, speech, and ability to swallow.

Despite her health struggles, Dr Lee remained actively involved in public discussions, particularly on matters concerning her father’s legacy, until her condition worsened to the point where communication became difficult.

By March 2023, her brother LHY revealed that her condition had deteriorated significantly, and he feared he might not be able to see her again due to his own circumstances.

Even in her final months, Dr Lee maintained a close relationship with her immediate family, who cared for her during her illness.

Dr Lee’s funeral and cremation mark the end of a significant era for the Lee family and Singapore.

Her legacy as a dedicated neurologist and a firm advocate for her parents’ values will continue to resonate, even as the debates over the future of the Oxley Road property remain unresolved.

The rain that fell during her funeral, so reminiscent of her father’s final farewell, added a symbolic layer to this momentous chapter in Singapore’s history.

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Current Affairs

TJC issued 3rd POFMA order under Minister K Shanmugam for alleged falsehoods

The Transformative Justice Collective (TJC) was issued its third POFMA correction order on 5 October 2024 under the direction of Minister K Shanmugam for alleged falsehoods about death penalty processes. TJC has rejected the government’s claims, describing POFMA as a tool to suppress dissent.

Published

1 week ago

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6 October 2024

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The Transformative Justice Collective (TJC), an advocacy group opposed to the death penalty, was issued its third Protection from Online Falsehoods and Manipulation Act (POFMA) correction direction on 5 October 2024.

The correction was ordered by Minister for Home Affairs and Law, K Shanmugam, following TJC’s publication of what the Ministry of Home Affairs (MHA) alleges to be false information regarding Singapore’s death row procedures and the prosecution of drug trafficking cases.

These statements were made on TJC’s website and across its social media platforms, including Facebook, Instagram, TikTok, and X (formerly Twitter).

In addition to TJC, civil activist Kokila Annamalai was also issued a correction direction by the minister over posts she made on Facebook and X between 4 and 5 October 2024.

According to MHA, these posts echoed similar views on the death penalty and the legal procedures for drug-related offences, and contained statements that the ministry claims are false concerning the treatment of death row prisoners and the state’s legal responsibilities in drug trafficking cases.

MHA stated that the posts suggested the government schedules and stays executions arbitrarily, without due regard to legal processes, and that the state does not bear the burden of proving drug trafficking charges.

However, these alleged falsehoods are contested by MHA, which maintains that the government strictly follows legal procedures, scheduling executions only after all legal avenues have been exhausted, and that the state always carries the burden of proof in such cases.

In its official release, MHA emphasised, “The prosecution always bears the legal burden of proving its case beyond a reasonable doubt, and this applies to all criminal offences, including drug trafficking.”

It also pointed to an article on the government fact-checking site Factually to provide further clarification on the issues raised.

As a result of these allegations, both TJC and Annamalai are now required to post correction notices. TJC must display these corrections on its website and social media platforms, while Annamalai is required to carry similar notices on her Facebook and X posts.

TikTok has also been issued a targeted correction direction, requiring the platform to communicate the correction to all Singapore-based users who viewed the related TJC post.

In a statement following the issuance of the correction direction, TJC strongly rejected the government’s claims. The group criticised the POFMA law, calling it a “political weapon used to crush dissent,” and argued that the order was more about the exercise of state power than the pursuit of truth. “We have put up the Correction Directions not because we accept any of what the government asserts, but because of the grossly unjust terms of the POFMA law,” TJC stated.

TJC further argued that the government’s control over Singapore’s media landscape enables it to push pro-death penalty views without opposition. The group also stated that it would not engage in prolonged legal battles over the POFMA correction orders, opting to focus on its abolitionist work instead.

This marks the third time TJC has been subject to a POFMA correction direction in recent months.

The group was previously issued two orders in August 2024 for making similar statements concerning death row prisoners.

In its latest statement, MHA noted that despite being corrected previously, TJC had repeated what the ministry views as falsehoods.

MHA also criticised TJC for presenting the perspective of a convicted drug trafficker without acknowledging the harm caused to victims of drug abuse.

Annamalai, a prominent civil rights activist, is also known for her involvement in various social justice campaigns. She was charged in June 2024 for her participation in a pro-Palestinian procession near the Istana. Her posts, now subject to correction, contained information similar to those presented by TJC regarding death penalty procedures and drug-related cases.

POFMA, which was introduced in 2019, allows the government to issue correction directions when it deems falsehoods are being spread online.

Critics of the law argue that it can be used to suppress dissent, while the government asserts that it is a necessary tool for combating misinformation. The law has been frequently invoked against opposition politicians and activists.

As of October 2024, Minister K Shanmugam has issued 17 POFMA directions, more than any other minister. Shanmugam, who was instrumental in introducing POFMA, is followed by National Development Minister Desmond Lee, who has issued 10 POFMA directions.

Major media outlets, including The Straits Times, Channel News Asia, and Mothership, have covered the POFMA directions. However, as of the time of writing, none have included TJC’s response rejecting the government’s allegations.

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