Restructuring economy is "multi-year" effort: Tharman

[princess_morbucks]

http://www.channelnewsasia.com/news/singapore/restructuring-economy-is/959680.html?utm_source=dlvr.it&utm_medium=twitter



SINGAPORE: The work to restructure Singapore's economy to create better jobs and wages, and build a fair and equitable society, is a "multi-year" effort, and cannot be achieved in the next two or three years, said Deputy Prime Minister Tharman Shanmugaratnam.

The minister also said it is critical for the country to "stay on course" to achieve these targets.

Mr Tharman, who is also finance minister, made this point on the sidelines of a family carnival and Lunar New Year celebrations in his Taman Jurong constituency on Sunday.

He was responding to questions on what this year's Budget would look like.

Mr Tharman said efforts to restructure the economy and help small- and medium-sized enterprises to upgrade are in the early to middle stages.

The target remains to create better jobs and higher wages over time.

A major part of the restructuring has been a push for higher productivity through schemes such as the Productivity and Innovation Credit (PIC).

The PIC provides tax deductions or cash payouts to businesses that improve their operations by investing in productivity and innovation.

Mr Tharman said: "Productivity doesn't pick up immediately when the labour market gets tight. The lag is understandable but we're now going to see better results in productivity, I feel.

“We're working industry by industry, with the industry associations as well as individual firms that are taking the lead. To give them the support in technology, in supply chains, provide them assistance so that large firms can help small firms. It's a task that will take a few years, but we are beginning to see results, and we have to press on with the restructuring task."

On how this year's Budget aims to create a fair and equitable society, Mr Tharman said healthcare is an immediate priority, especially for Singapore's pioneer generation.

Prime Minister Lee Hsien Loong said earlier that a Pioneer Generation Package would be announced in Budget 2014 that will focus on meeting their medical needs.

Mr Tharman said: "This is a package which reflects not just how much we can afford in one year's budget. It's really a commitment by the government to honour the pioneer generation and to do it in a way which is sustainable. It's not just some sort of a one-year bonanza but to providing them sustainable help so that they can lead happy and long lives."

Mr Tharman will deliver the 2014 Budget statement next month.

- CNA/xq

[teddybear]

Regarding Medishield Life, they should just exclude those people with pre-existing illnesses. Don't make sense to include them then jack up our insurance premium and we have to help to bear their burden, especially when many of these people try to save money when young and don't want to buy medishield insurance when young!

If govt want to insure them under medishield, they can insure these people separately (may be call it "pre-existing illness medishield life" for people with pre-existing illness)? Then their premium can be calculated separately, and if too high govt can be kind enough to subsidize them since they are the one who want to include them into medishield (despite these people's reckless and irresponsible actions and trying to save money when they are young by not buying medishield?) :p


http://www.channelnewsasia.com/news/singapore/restructuring-economy-is/959680.html?utm_source=dlvr.it&utm_medium=twitter



SINGAPORE: The work to restructure Singapore's economy to create better jobs and wages, and build a fair and equitable society, is a "multi-year" effort, and cannot be achieved in the next two or three years, said Deputy Prime Minister Tharman Shanmugaratnam.

The minister also said it is critical for the country to "stay on course" to achieve these targets.

Mr Tharman, who is also finance minister, made this point on the sidelines of a family carnival and Lunar New Year celebrations in his Taman Jurong constituency on Sunday.

He was responding to questions on what this year's Budget would look like.

Mr Tharman said efforts to restructure the economy and help small- and medium-sized enterprises to upgrade are in the early to middle stages.

The target remains to create better jobs and higher wages over time.

A major part of the restructuring has been a push for higher productivity through schemes such as the Productivity and Innovation Credit (PIC).

The PIC provides tax deductions or cash payouts to businesses that improve their operations by investing in productivity and innovation.

Mr Tharman said: "Productivity doesn't pick up immediately when the labour market gets tight. The lag is understandable but we're now going to see better results in productivity, I feel.

“We're working industry by industry, with the industry associations as well as individual firms that are taking the lead. To give them the support in technology, in supply chains, provide them assistance so that large firms can help small firms. It's a task that will take a few years, but we are beginning to see results, and we have to press on with the restructuring task."

On how this year's Budget aims to create a fair and equitable society, Mr Tharman said healthcare is an immediate priority, especially for Singapore's pioneer generation.

Prime Minister Lee Hsien Loong said earlier that a Pioneer Generation Package would be announced in Budget 2014 that will focus on meeting their medical needs.

Mr Tharman said: "This is a package which reflects not just how much we can afford in one year's budget. It's really a commitment by the government to honour the pioneer generation and to do it in a way which is sustainable. It's not just some sort of a one-year bonanza but to providing them sustainable help so that they can lead happy and long lives."

Mr Tharman will deliver the 2014 Budget statement next month.

- CNA/xq

[phantom_opera]

If Medishiel premium were to rocket 2x or 3x, next will be MCC .. if u know what that is

[princess_morbucks]

If Medishiel premium were to rocket 2x or 3x, next will be MCC .. if u know what that is

MCC= Medisave contribution ceiling.

[limfc]

insurance is just another form of risk pooling.

to exclude those with higher risk or charge higher premium will help the sustainability / profitability of the pooling organizer.

if sustainability / profitability is the organizer's objective, then yes there is the need to segregate the risk pooling.

if the organizer just want blanket coverage as a social objective, I would prefer to include everybody and for everybody to share the risk, because I might be "promoted" to the high risk group, someday.

depending on the health demographics of each generation, the premium might fluctuate accordingly.

with such an "everybody is in" mentality, the focus might just shift to prevention, which might be "cheaper" compared to the cure, for some cases.

[teddybear]

No you are wrong in the concept.
Firstly, if you are already in Medishield insurance coverage, you are already protected.
The problem is there is a big group of people who didn't want to buy Medishield insurance when young, and when old with pre-existing illness and if govt force insurers to insure them, then obviously all our premiums will be jacked up to cover insurers' risks of much higher claims from these high-risk people. They obviously won't be able to recover enough money from these high-risk group since the premiums will be unaffordable to them, so the rest of the money will come from us!

Look no further than Obamacare! That is what Medishield Life is heading towards if we are not careful! Many Americans are complaining left-right-centre for insurance premiums doubling or tripling because Obama want to insure those who are not previously insured and many have pre-existing illnesses!


insurance is just another form of risk pooling.

to exclude those with higher risk or charge higher premium will help the sustainability / profitability of the pooling organizer.

if sustainability / profitability is the organizer's objective, then yes there is the need to segregate the risk pooling.

if the organizer just want blanket coverage as a social objective, I would prefer to include everybody and for everybody to share the risk, because I might be "promoted" to the high risk group, someday.

depending on the health demographics of each generation, the premium might fluctuate accordingly.

with such an "everybody is in" mentality, the focus might just shift to prevention, which might be "cheaper" compared to the cure, for some cases.

[limfc]

I am pretty sure I saw another similar article over the weekend, in either the Sat or Sun ST forum letter section.

Nevertheless, it is similar to this one:
http://tankinlian.blogspot.com.au/2013/03/hefty-increase-in-premium-for.html

insurance companies are mostly profit driven and while they might be forced to commit to providing insurance coverage for a person, up till xx years old, the premium will be adjusted accordingly, year to year.

the premium is usually calculated based on the past claim experience and also the additional / reduced coverage going forward.

usually, the historical purchase / payment of any particular's person is not considered BUT a person's higher risk (e.g. suffered a mild stroke, since last renewal) is considered.