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Old 28-05-2014, 11:10 AM
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Thumbs up Minister Gan: another consultation on ageing, but no mention of CPF

An honorable member of the Coffee Shop Has Just Posted the Following:

Ashley Chia
.
Published: May 28, 4:02 AM
TODAY

SINGAPORE — Changing tack to reframe the ageing population — and the challenges that come with it — in a positive light, the Government yesterday announced plans to put together a national effort to prepare Singaporeans for “successful ageing”.

Speaking in Parliament yesterday during the second day of the debate on the President’s Address, Health Minister Gan Kim Yong said the Ministerial Committee on Ageing — which he chairs — will come up with an action plan that covers lifelong learning for seniors, employment, volunteerism, urban infrastructure, healthcare, retirement adequacy and research into ageing.

From the middle of the year, the committee will hold a series of public consultations with a wide cross-section of society — including voluntary welfare groups, academia and businesses — to “hear the aspirations and suggestions from Singaporeans on what we should do to collectively plan for successful ageing for our seniors and ourselves in time to come”, said Mr Gan.

“While we speak of challenges of an ageing population, we should not forget that ageing and longevity is a blessing,” he added. “We are all living longer and that is a good thing, but we must plan ahead to help Singaporeans age successfully and meaningfully.

“Let us now change the conversation about ageing — from worrying about the challenges that come from ageing to celebrating longevity.”

Echoing Mr Gan’s words, Senior Minister of State (Health and Manpower) Amy Khor urged Singaporeans to “not sit back and allow what some call the ‘Silver Tsunami’ to overwhelm us”. “Instead, let us choose to see the silver lining in the grey clouds and opportunity in longevity,” she said.

The comments by Mr Gan and Dr Khor came after some observers, including academics who had argued that the seniors of tomorrow would be healthier, work for longer and have more savings, for instance, had said the tone of the national discussion was unnecessarily pessimistic. During the Population White Paper debate in February last year, opposition Member of Parliament Chen Show Mao similarly made the point that the Government should “stop seeing elderly Singaporeans as just a drain on our economy”.

In response, Prime Minister Lee Hsien Loong noted in his speech during the debate: “It is easy to say we stop immigration; we stop foreign workers (from) coming in. Ageing is a triumph of development as Mr Chen Show Mao (said) … but is it so simple? Can one child look after two elderly parents, whether financially or physically? Is it sustainable? Is it fair?”

Mr Gan said yesterday that the Government would “turn longevity into our advantage”. Noting that the Republic would celebrate the 50th anniversary of its independence next year, he said: “We will work together to forge an action plan to make Singapore a Nation for All Ages. This will be the best tribute to our pioneers and the best gift to the next generation of Singaporeans.”

Ensuring S’poreans have enough savings for old age

In his address earlier this month, President Tony Tan announced that the Government would improve the Central Provident Fund (CPF) system. Yesterday, MPs continued to offer suggestions on ways to ensure Singaporeans will have enough savings for their golden years.

Marine Parade GRC MP Tin Pei Ling said the authorities should evaluate the feasibility of guaranteeing a higher rate of return on CPF monies to, among other things, better withstand inflation. She also suggested more flexibility to allow older Singaporeans to take care of immediate needs, such as their children’s education and mortgages for their flats. Said Ms Tin: “Does it mean a higher risk that some Singaporeans will not have enough in their old age? Maybe, but the reality is some of these Singaporeans are in desperate need (of) help.”

Apart from enhancing the CPF system by reviewing the allocation for the different sub-accounts and raising interest rates, for example, Senior Minister of State in the Prime Minister’s Office, Heng Chee How, pointed out that workers’ CPF savings could be increased by raising their base salaries via higher productivity and skills training, minimising unemployment and helping those who lose their jobs find work quickly, as well as helping older employees to continue working.

Mr Heng, who is also Deputy Secretary General for the National Trades Union Congress, qualified that consumption expectations and choices must remain realistic.

Dr Khor noted concerns about the CPF Minimum Sum, which was raised recently, from middle-aged PMEs (professionals, managers and executives) who are soon approaching 55. “I acknowledge that this is not a perfect system ... We will continue to review how else we can improve it, taking into account feedback and suggestions.”

Still, two core principles of the CPF should remain — long-term sustainability and collective responsibility, where individuals and employers do their part and the Government steps in to help those who need more help — Dr Khor said.

Reiterating the Government’s efforts in helping older workers stay employed, Dr Khor said a tripartite committee, which is looking at the extension of the re-employment age from 65 to 67, (Translation: We want to legally hold on to your CPF another two years!) is finalising its proposals and should be ready to share its plans later this year.

“Raising the re-employment age does not mean that we do not want Singaporeans to retire. It means we want to help those who wish to continue working to be able to do so,” she added.


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