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Wed, Jan 27, 2010
my paper
Better pay, higher productivity

I AGREE with Senior Minister Goh Chok Tong that the only way to raise Singapore's level of economic growth is through improving workers' productivity.

Like SM Goh, I was also amazed at the many roles a waiter may perform in many developed countries.

In Australia, where I live, a waiter takes orders, makes drinks, handles the cash register and cleans up after a restaurant has closed for the evening.

The restaurant can ill afford to employ more waiters as there is a minimum-wage rule, as in many developed countries.

Thus, waiters are sufficiently compensated for the various roles that they perform.

In Australia, for example, a waiter working part-time in a restaurant can be paid between $15 and $20 an hour.

Though workers have to fulfil many roles, they raise their productivity when they are adequately compensated.

However, in Singapore, there is no minimum wage and employers try to pay lower wages in order to reduce overheads and improve their bottom lines.

Workers in the service industry frequently take on jobs with the intention to move on when they find something better.

It is no wonder that jobs in the services sector tend to be associated with low morale and productivity.

At some workplaces, Singaporeans also find that they are in the minority, as many foreigners have been hired.

An example is a 59-year-old friend, who found a job working in a dessert cafe.

After working for two years, he threw in the towel as his gross pay was only $1,100, even after several adjustments.

He also had to work three shifts as the cafe is open 24 hours. He was affected by frequent staff turnover and a high intake of foreign workers.

I also agree with SM Goh that dependence on foreign workers in the service industry should be discouraged, as productivity has dropped and the social cost is too high.

I also wonder why employers continue to hire foreign service staff who do not speak English well, despite the fact that it has become a major grouse for many in our multiracial society.

I hope employers in the service industry could improve work conditions and compensation.

When adequately paid, workers will perform their roles well and even take on additional work when called upon.

There is no easy way out.

Mr Gilbert Goh Keow Wah


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