1997 Country Profile: Singapore

Overview

The Singapore economy according to the Ministry of Trade and Industry, has performed well mainly due to the favorable external environment. Singapore has benefitted from the boom in global demand for electronics and manufactured goods. These external demands accounted for three quarters or more of growth in Singapore's economy between 1992 and 1995. In 1996, economic growth was down to 7% from the previous year's 8.8%. The manufacturing sector was affected by the downturn in the global demand for electronics. Slower regional growth also affected hub-related services like entrepot trade and shipping. The ministry pointed out that in order for Singapore to remain competitive, it had to address various limitations. Some of the key economic strategies involved the continual upgrading of the labor force, prompting new economic activities in the manufacturing and service sectors, restructuring the domestic sector and promoting Research & Development.

To meet this economic plan and direction, the demand for various skills and qualifications in the banking, finance, accounting and investment management sectors, for example, prompted the Singapore government to focus on achieving a higher level of education for Singaporeans. Presently, more than half of the total labor force in Singapore have at least secondary education and in white-collar occupations.

More and more Singaporeans hold white collar jobs, many blue collar jobs have to rely heavily on imported workers from neighboring countries.

Migrant Workers: Snap Shot

At present, migrant workers in Singapore are estimated to be more than 300,000. They are usually from the neighboring countries of Indonesia, Thailand, Philippines, Malaysia and Myanmar. With a total work force of 1.7 million, this means that foreign labor constitutes 18% of the total. As of February 1995, there were about 80,000 foreign domestic workers in Singapore. Of these, 60% were from the Philippines, 30% from Indonesia, and the other 10% from Thailand, Sri Lanka, India, Bangladesh and Myanmar.

The Singapore government imposes a levy on the employment of work permit holders. This is to ensure that employers hire foreign workers on the grounds that they can not find locals to fill the vacancies, and not because foreign labor is cheap. The levy ranges from S$200 (US$143 at 1996) per month for skilled workers in the construction industry through to S$330 in manufacturing, service and the domestic industries. For unskilled workers in the construction industry, the levy is S$440.

The wages and benefits of the migrant workers differ depending on occupation and the country from which they come. A male migrant worker in the construction industry can earn as little as S$13 to S$20 per day. This worker has to pay for his own meals, with free dormitory accommodation on the construction sites. A worker in the food industry (restaurants) can earn up to S$700 per month with meals and abode provided. A female domestic helper from the Philippines earns about S$300, while her counterpart from Indonesia earns about S$160-300. The domestic helpers from Sri Lanka are probably the worst off, earning as little as S$160-180 per month. All domestic helpers generally stay with their employers, with meals provided.

Key Issues

The management of foreign labor, particularly in more recent years, has been marked with incidents which have at times, strained Singapore's relations with the countries of origin of the workers. As early as in 1989, an undocumented Thai worker was sentenced to three months in jail with three strokes of the cane. In 1990, 16 Thai workers died mysteriously in their sleep from what is medically known as Sudden Unexplained Nocturnal Death Syndrome (SUNDS). The Thai press attributed the deaths to poor living conditions. Between 1984 and 1991, 200 Thai workers have died from the disease and presently, there are seven to eight deaths on average per month.

In 1994, the hanging of Filipina domestic helper Flor Contemplacion who was found guilty of murdering a fellow Filipina domestic helper and her four-year old charge, led to a tense situation between the two countries. More recently, in early 1997, the suspicious death of another Filipina domestic helper, Anita Fuggan caused another outcry; and in the same year, an undocumented Bangladeshi construction worker was found unconscious in a deserted place. He was battered by his employers who wanted to get rid of the evidence of employing an undocumented worker. This worker was so badly injured that he lost the use of his limbs and became handicapped. He spent long periods in the hospital and a welfare home before being repatriated to his country.

Key problem areas for migrants include:

Government's Responses

The Singapore government seems to be oblivious to the treatment and working conditions of migrant workers, and often makes very little attempt to address the concerns of migrant workers. In 1995, the Ministry of Labor turned down a Philippine government request to grant an "in-principle" approval of work permits for Filipino women who wanted to work there. The Singapore government claimed that it would be difficult to have different control systems for workers from different countries. Until now, the Singapore government has not imposed regulations to restrict Filipinas who go to Singapore to work as domestic helpers through a tourist visa (later converted into a work permit). This practice is considered illegal by Philippine law, because it does not provide any protection for the women if they sign a contract with unfair provisions.

Although the Singapore government has released the Employment of Foreign Workers Act, there are no stipulations on a minimum working standard. The Act has no concrete guidelines on protections for the migrant workers. The working standards are very much left to the recruitment agencies and the employers to decide. Also, the political system allows very few NGOs to voice their concerns, which means that there are no NGOs who can render any aid/assistance or alternatives for migrant workers to pursue their rights. The government seems to have shifted its responsibility of providing a protective net (e.g. welfare services for migrants). Obviously, these two parties cannot be objective in the treatment of their employees.

The Singapore government's ambiguous stand toward the treatment of migrant workers was demonstrated in the statement of Singapore's Labor Minister, Lee Boon Yang, in his May Day speech of 1997. He said that the future economic growth in Singapore should come mainly from productivity improvement, and not from admitting more foreign workers; that over reliance on foreign workers especially on low-skilled ones, would retard efforts to upgrade Singapore's industries and affect competitiveness in the long run.

The official statement directly discourages sending countries. It also has an underlying meaning: the Singapore government informs sending countries that it has the power to stop the flow of migrant workers into Singapore. This implies that sending countries have to play by its rules and regulations and not agitate and affect current peaceful relations. This has a special impact on sending countries such as Philippines and Thailand which rely in large part on the remittance of their migrant workers to the national economy. Hence, the Singapore government seems to relay a message that foreign labor will be imported as and when needed, and will be managed by its own rules and regulations. It also seems to be confident that foreign labor will continue to flock into the country as wages would still be higher than wages in their own home countries, even though they could face many uncertain conditions.

Members of the public have periodically voiced their concern over the situation faced by the migrant workers. The association of Women for Action and Research called on the government to use part of the revenue generated from the domestic helpers levy to establish some form of welfare programs for the domestic helpers. The Ministry of Labor vetoed the suggestion. A member of parliament, Kanwajit Soin suggested the imposition of minimum welfare standards for domestic helpers. The Minister of State for Labor said this was impractical and difficult to enforce.

As mentioned earlier, the country's political mood also discourages any organizations or individuals to actively advocate for a more comprehensive study into the working standards of the migrant workers. Thus, it seems that the government is not ready to break new ground or to make any amendments to the present migrant labor situation in Singapore. It is therefore hoped that the Singapore government will create a more understanding atmosphere for resolving the issues that affect the migrant workers and will make amendments that protect workers. After all, these migrant workers are the very ones that have or are contributing to the economy and growth of Singapore. Their rights should not be ignored.




This report was written by Wong, Yock Leng.

References:

Cheung, Yuen Kay (Department of Organizational Behaviour, National University of Singapore), An Overview of the Situation of Migrant Workers in Singapore, paper submitted at the Consultative Meeting of ANWIM (Asia Network & International Migration), October 9 - 12, 1996, Batam, Indonesia.

Employment of Foreign Workers Act (Chapter 91A), The Status of the Republic of Singapore.

Human Resources, October 1996.

Migrant Trends and World News, Global Focus 1997.

Heyzer, Noleen and Wee, Vivienne, Domestic Workers in Transient Overseas Employment : ho Benefits? Who profits?

The Sunday Times, 23 February 1997.

Villalba, May-an, "Understanding Asian Women in Migration: Toward a Theoretical Framework," in Women in Actions, Isis International, 2&3/93.