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^{Challenges ahead for Singapore}^continued

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Even the Coordinating Minister for the Economy, Finance and Industry, Kwik Kian Gie, has said that if he were a foreign investor, he would not come to Indonesia. And now there is tension between the President and the Parliament, because the President refused to answer questions which the Parliamentarians had asked him, and the Parliament wants to restrict the powers of the President. This tussle will add to the political uncertainty.

Events in Indonesia will have a major impact on confidence and security
throughout Southeast Asia, including Singapore. Indonesia's problems will take years to be sorted out. We hope that in time Indonesia will overcome all these problems and get back on the right path. But whatever happens there, we should be psychologically prepared.

In Singapore, our economy is not only growing, but also restructuring. That is why although growth is high, not all companies are doing equally well. New companies and industries are growing strongly. But some older ones are having difficulties. For example tourism is up, so the retail business is picking up. But while some shops are doing well, others are not. This restructuring also affects workers. So although more jobs have been created this year, companies have still been retrenching workers. And the workers who lose their jobs take some time to get retrained and to find new jobs. So while there are many job vacancies, our unemployment rate has not come down this year.

The problem is most serious for workers who lack skills or education. Workers with secondary, polytechnic or university education have no difficulty finding jobs. They have skills and training which are in demand. But those with primary education or less do have difficulty. Their unemployment rates are higher.

It is not that there are no jobs available which less-educated workers can do. There are. But they are mostly not of the type which the workers used to do, and they have found it harder to take up the jobs which are now available. For example, not all workers retrenched from an electronics factory may succeed in learning to work in a wafer fab plant. Yet they may be unwilling to become a sweeper or cleaner, jobs which pay well and which they can do. Or they may not be used to working in the service sector, for example in fast food outlets or shops, where many jobs need to be filled. But service jobs are different from working on a production line. It means service with a smile.

What can we do? Firstly, we must make sure that as many Singaporeans as possible receive a good education, and have the skills and knowledge which will help them find jobs. Indeed the Ministry of Education is doing this. Now 20% of Singaporeans make it to NUS and NTU. 40% graduate from polytechnics. Another 20% graduate from ITE, with a solid technical education. This means 80% or more of young people starting work today have technical or skills training. They will be alright, provided they continue to stay up to date and learn new skills throughout their lives.

But many middle-aged and older workers did not have the benefit of university, polytechnic or ITE education. They left school 20 or 30 years ago, when our education system was far behind what it is today. We must help them to retrain and upgrade themselves, in practical ways which they can master if they make the effort. This is what NTUC is doing with the Skills Redevelopment Programme, and what the Government is also doing, through the SDF and many other schemes.

We used to think of certain jobs, like sweepers and cleaners, as being
unskilled and menial. But in developed countries these are skilled jobs, done by well-trained people using sophisticated labour-saving equipment. We too have set up a training centre to train workers to use such equipment. We must change the mindsets of workers, to be flexible in looking for new jobs. But social attitudes must also change, so that workers are respected not matter what job they do, so long as they make the effort and do their job well.

We must tackle this problem of unemployment among less skilled and older workers, because we want every citizen to benefit from the country's progress. This is how we have advanced, not only this year, but for 35 years since independence. Let us continue to work together as one people, to overcome all the challenges that lie ahead, and to improve the lives of all Singaporeans.

If you have any comments or questions, please e-mail us at editor@getforme.com .

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