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THE criteria for semi-skilled foreign workers coming to Singapore are to be tightened in a move to improve the skills and quality of those who will be employed here.
Acting Manpower Minister Gan Kim Yong, who disclosed this yesterday, did not provide details but said his ministry would brief industry players on the changes.

The announcement came as he responded to seven MPs who spoke on Singapore's foreign manpower policy during the debate on the budget estimates for his ministry. They reflected concerns that Singapore workers had about foreigners competing for employment in a job market that was stagnating given the current global economic downturn.

Dr Lim Wee Kiak (Sembawang GRC) and Madam Halimah Yacob (Jurong GRC) spoke in particular about the plight of local professionals, managers, executives and technicians (PMETs).

The MPs noted that mid-level skilled foreign workers were in direct competition with PMETs who face retrenchment and are looking for jobs. Dr Lim wanted to know if the Manpower Ministry would reduce the number of such foreign workers, also known as S-Pass holders.

The S-Pass is an employment pass for semi-skilled workers with diploma-level or post-secondary-level education and who earn at least $1,800 a month.

They were meant to supplement sectors that lack skilled Singaporeans, and to fill jobs Singaporeans shunned in sectors like nursing and marine engineering.

As of December 2007, there were some 757,000 non-residents on work permits, 143,000 on employment or S-Passes, and 85,000 on student passes here.

While the ministry would tighten the criteria for S-Pass holders, Mr Gan said it would hurt Singapore to shut them and other foreigners out.

Foreign talent remained a key competitive advantage for Singapore's economy, he said. They help bolster growing industries and keep businesses competitive.

Foreign workers also take up jobs that Singaporeans might not have the skills for, or are unwilling to take up.

'We should not undermine our competitive advantage of a flexible labour market, or deviate from the fundamental policy to attract and retain talent, as we address the short-term challenges of the recession,' said Mr Gan.

To illustrate his point, he used the analogy of a race. Singapore could win the race by one of two ways: get rid of the competition, or produce better runners.

Adopting the first strategy and eliminating the competition would help Singapore win local races. But it would not work when Singapore competes against other nations in international races. 'We cannot get rid of all other competitors just because they are faster than us and make it into a locals-only game. It is better for us to train our athletes, make them strong and help them compete,' he said.

Likewise, if Singapore made it difficult for firms to access foreign manpower, they might relocate to places with unrestricted access to cheaper labour.

Singapore's approach, Mr Gan explained, has been to 'spur our athletes on by improving their odds of winning - subsidised training, quality equipment and good coaches - so they have an edge'.

He was referring to initiatives such as Jobs Credit and the Skills Programme for Upgrading and Resilience that aim to boost local workers' competitiveness.

'Instead of hurting businesses and sending the wrong signal to investors, it is better for us to go for a win-win strategy. This is what we have done.'

This article was first published in The Straits Times.