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Renumeration Formula for Political Appointees


Superyandao
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Currently the formula is pegged to the top 8 professions.

 

I think this introduces a few problems such as likely to cause a skew and biasness and hence increase the income gap. The more the top professions earn, the more the political appointees earns. It then naturally make sense to favour the top 8. This KPI is also not holistic. Too selective. How the lesser mortals are doing is not accounted for.

 

Instead, I think it's better to change the formula peg to the median income of the ENTIRE population regardless of profession. This ensures that the PAs are only rewarded for improving the income of the OVERALL population.

 

There should be an income ceiling of maybe 10-20x of the median income for the entire range of the PAs. If the median income is 3k/mth, then the top PA (President) should not earn more than 20x which is 60k (720k pa) and similar for the lower grades.

 

That amount of income is considered decent. They would be able to afford most luxuries of life. Their children and grandchildren would be well taken care of.

 

What's the point of giving them so much in excess? There's a limit to how much they could and should spend, especially as civil servants. Our President stayed in office for 2 terms. That 10yrs gave him unreachable (to lesser mortal) savings of 25m thereabouts. That's how many lifetime of earnings of the common citizen? Is there a need for so much? How to spend? Imagine MM and PM. No term cap.

 

Moreover, they should be working more for the good of the people than for money. If they are paid more than they need to spend, then bribing them is pretty pointless isn't it?

 

With the current system, I believe majority of the country's millionaires are civil servants. Is this correct? I personally think this is wrong. The wealthiest people in the country should not be civil servants.

 

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sigh... with those unreachable income how can they ever comprehend the minds of the man on the streets? how then to create appropriate policies?

 

it's just like those bankers who are used to seeing millions and millions crossing their hands every minute. the numbness must be a considerable factor for the financial crises... reminds me of the barings bank. that's what happened to nick leeson. too used to big numbers and keep on taking bigger risks until he forgot how he started out...

 

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wonder pay them so much for what? multimillionaire minister spend a "miserly" 50k to learn cooking also kenna censor. earn already spend also need to control. might as well use that money to improve our lifes.

 

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This is what happened when u have one party system. No check & balance.

 

My suggestion is that the party be split into 2 parties voluntarily and fight among themselves for parliamentary seats if we really want check and balance at current situation.

 

Regards,

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the usual argument is since it's so good, why aren't there more people going for the job?

It's legal, it's easy, it's zero risk, why not many want the job?

Or are we all happy with just $5k per month?

 

 

 

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sigh... with those unreachable income how can they ever comprehend the minds of the man on the streets? how then to create appropriate policies?

 

it's just like those bankers who are used to seeing millions and millions crossing their hands every minute. the numbness must be a considerable factor for the financial crises... reminds me of the barings bank. that's what happened to nick leeson. too used to big numbers and keep on taking bigger risks until he forgot how he started out...

 

sorry..bankers get retrenched....fired...they have short shelf life. Singapore's PAP ministers have iron rice bowls....and lifetime tenures

 

see: http://groups.yahoo.com/group/Sg_Review/message/6856

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see old well circulated article: http://groups.yahoo.com/group/Sg_Review/message/6856

 

Singapore Ministers Pay, Legitimised Corruption

 

With the extended downturn in the recession we see large banks falling,

accompanied with salary cuts and retrenchments in the private sector.

 

One looming question is whether the pay of Singapore's Million Dollar ministers

(which are supposed to be pegged to private sector salaries of top income

earners) will also see a 50-70% pay-cut?

 

We think not and circulate an old article which discusses this issue

 

-----------------------------------------------------------------------------

 

Singapore Ministers Pay, Legitimised Corruption

Singapore Review, 2 May 2003 (updated May 2005)

By Mellanie Hewlitt

 

The headlines blared loudly in the 2 May 2003 issues of the Straits Times and

Business Times "Pay cut? Ministers ready to lead by example: DPM", announcing to

the entire world this selfless act of leadership by Singapore's Ruling Elite.

 

In what appeared to be an initial move to reduce severely inflated salaries, to

more reasonable industry standards, Singapore's Ruling Elite have bowed to

public pressure and hinted at accepting a pay cut.

 

Or have they?

 

What exactly does "Leading By Example" mean? Lets try to put some substance

behind those brave words. As of last count, average take home pay of a Singapore

minister was well in excess of SGD100,000/- a month.

 

The below table puts things back in proper perspective: (these are basic figures

as of July 2000 and did not include last year's pay hikes or other benefits.

Otherwise the updated numbers may well be much larger)

 

1. Singapore President's Basic Salary US$1,483,000 (SGD$2,373,100)*a year

Singapore Prime Minister's Basic Salary US$1,100,000 (SGD1,958,000) a year

Minister's Basic: US$655,530 to US$819,124 (SGD1,166,844 to SGD1,458,040) a year

 

2. United States of America President: US$200,000 Vice President: US$181,400

Cabinet Secretaries: US$157,000

 

3. United Kingdom Prime Minister: US$170,556 Ministers: US$146,299 Senior Civil

Servants: US$262,438

 

4. Australia Prime Minister: US$137,060 Deputy Prime Minister: US$111,439

Treasurer: US$102,682

 

5. Hong Kong Chief Executive : US$416,615 Top Civil Servant: US$278,538

Financial Sec: US$315,077

 

Source: Asian Wall Street Journal July 10 2000 *Singapore President's salary

which was updated in 2005 from the Singapore Straits Times

 

In relative terms, less then 20% of Singaporeans here have take home salaries

exceeding SGD100,000/- A YEAR.

 

In stark contrast, BASIC SALARY FOR A MINISTER STARTS AT SGD1,166,844 A YEAR,OR

JUST UNDER SGD100,000 A MONTH.

 

What these ministers earns in just ONE MONTH exceeds the ANNUAL TAKE HOME

salary of 80% of Singapore's income earning population. Lets not even begin to

compare annual packages which will exceed SGD1 million easily.

 

With the above numbers and figures now in perspective, it is easier to give

substance to the words "leading by example". Several facts are noteworthy here;

 

a) That the ministerial salaries are grossly out of proportion, even when

compared with their counterparts in much larger countries (US and UK) who have

far heavier responsibilities.

 

b) That these salary reductions were long overdue. In the past, such handsome

remuneration were "justified" on the back of resounding performance. However,

Singapore's economy has been in the doldrums of a recession for several years

now (with beginnings reaching as far back as the 1997 Asian economic crisis).

This economic barometer is a rough measure of performance and implies that

ministerial salaries were due for review at least 3-4 years ago.

 

c) That adjustments should be made to bring them back within the industry

benchmarks. Taking the salary of US vice president as a rule of thumb, the

percentage for reductions should start at 50% of current pay. Even if a

Singapore minister takes a 50% pay-cut, he would still be earning much more then

the US vice president.

 

d) The percentage reductions should greater then 50% if the intent is to bring

the salaries within the perspective of Singapore's domestic scene.

 

With such inflated figures, it is understandable why the local government

controlled media (Singapore Press Holdings) have taken pains to exclude mention

of actual numbers for the world to see. The numbers would be too glaring and no

amount of window dressing or creative writing could have reconciled these

numbers with a sane figure and restored credibility.

 

Also relevant is the question whether such highly paid million dollar ministers

can ever relate to the plight of the average man on the street. The remarks of

Mrs Goh Chok Tong, that a SGD600,000/- per annum salary (of NKF CEO) is PEANUTS,

is a harsh reflection of the real mind-sets, priorities and values of

Singapore's million dollar ministers. And it is these same million dollar

elitist bureucrats who will shape and determine public policies which will touch

on the daily lifelihoods of every Singaporean.

 

http://f5.grp.yahoofs.com/v1/QKgPRJ1g291aU...8ok-QJiK5\

xGY1KbdcQm03b-1sjI6V2gQYH8YVi1o6U/Peanuts.jpg

 

It is unlikely that Singapore's Ruling Elite will accept such huge salary cuts.

Exactly How much and when the ministerial pay-cuts takes effect is not revealed.

Ask any man on the street and 9 out of 10 responses indicate many agree the

current ministerial salaries are grossly inflated, especially in these lean and

difficult times.

 

Said a long time forumer from an internet political chat group:

"First of all the Ministers are NOT leading on pay cut. Workers' salaries have

been drastically reduced since the beginning of the recession while thousands

have been unemployed. so the Ministers are NOT LEADING. they are only CATCHING

UP. And they have several decades to catch up on."

 

"Secondly, how much of a pay cut will Ministers take? 10%? 20%? unless its a cut

that will affect their lifestyles, it is merely symbolic and they would still

not know what it feels like to be a normal worker. as such, this is not Leading

by Example. Its just another bogus political propaganda stunt"

 

A 29 yr old executive who requested to remain anonymous admitted sheepishly ;

"The numbers (ministerial salaries) are a national embarrassment really, because

it reflects the underlying materialistic value systems of Singapore Ministers.

No matter how you look at it, the fact remains that our ministers are money

faced, and these are supposed to be Singapore's leaders, with value systems that

Singaporeans should follow." "It (the ministerial salaries) puts Singapore in a

bad light in the eyes of the world. The rest of Singaporeans really put in an

honest days work for every penny they earn. And the process for review and

approval of the ministerial salaries is also a joke. Imagine sitting on the

board and approving (on White Paper)your own salary increments! Its all a wayang

show".

 

This also raises the question as to the authenticity of the actual process for

review and approval of cabinet minister's salaries. Who decides on these

numbers? Is there independence and transparency?

 

Veteran opposition figure J.B. Jeyaretnam on Wednesday, Nov 20, 2002 challenged

Singapore government ministers to take a pay cut to show they understand the

economic hardships faced by the public. And the over-riding concern is that

Singapore's Ruling Elite are unable to appreciate the economic hardship that the

masses face in these tough times.

 

The growing public resentment comes afew months after PM Goh's careless comments

that "lay-offs were not all bad", drew a backlash from the public with a flood

of e-mails being sent to the foreign press to register public indignation.

 

It is a revelation that when the "paycuts" were finally effected they amounted

to a miniscule 10% haircut from the massively bloated ministerial salaries.

 

It is also a revelation that barely a year later (in June 2004) the bloated

ministerial salaries were restored and increased beyond their original levels

even as the rest of Singapore was still struggling in the throes of a recession.

(There were no CPF restorations for the rest of working Singaporeans).

 

Source Sg_Review group

 

Singapore Review welcomes honest feedback on this hotly debated topic. You can

Send your comments to the editor: [email protected]

 

--------------------------------------------------------------------------------\

-----

 

From: Julie Rogers

To: Singapore Review

27 October 2004

 

Does Inequality Make You Sick? S'pore ministers salaries

 

Hi, I pondered over Catherine Lim's article "PAP and the people: A return of

disaffection?"

(see: http://www.singapore21.org.sg/art_disaffection.html#debate1)

 

Until recently I knew next to nothing about Singapore so it is a revelation

that my first introduction to this little speck is through various discussions

on the internet about Ministerial Salaries.

 

Quite frankly I am rather appalled by the fact that ministers in your country

can earn upwards of USD 1 million. Any officer of the state is a

public servant and this was a once noble and honourable calling. In the

civilised world, persons assume this office because they want personally to

contribute to the well being of the country. Self sacrifice and altruism are

essential hallmarks for a public office holder and the minister must be ready

and willing to make these personal sacrifices.

 

If the heart is not in this noble service, then it will be wasted effort.

Money should not be an issue at all and if it is, then your "elected leaders"

have very ill-placed priorities and are obviously in it for the wrong reasons.

 

Even if we were to overlook the misplaced financial motives of your ministers,

the sheer gulf in income disparity between ministerial salaries and those of

the working class will create a huge irreconcilable dichord and disenchantment

with any normal voting public. (A valid point in Catherine Lim's article)

 

But I am told that Singapore is a democracy with elected leaders! So I have to

assume that Singapore must have a very unique "voting public" which is able to

silently and willingly take all this in their stride. Singaporeans should take

note here that Who they vote for and who they elect is a reflection of their

own core value systems and the undeniable fact remains that Singaporeans have

elected a group of Leaders who are eminently pre-occupied with escalating their

on salaries.

 

I for one will never be able to accept this unequal state of affairs if ever it

was my lot. And thank goodness it isn't for I will never be able to sleep

soundly at nights knowing that the fate, future and well being of my country

are in the hands of a bunch of financially motivated hired mercenaries.

 

Below is a further write-up of some of the social ills that a huge income

disparity can create. There is an old saying that the most efficient form of

governance is a Monarchy, but this assumes the Monarch has the same priorities

and agenda as the people he rules. Is this the case with Singapore's Monarchy?

 

I repeat that who you elect is a mirror image of your own core values and

Singaporeans have to ask themselves whether their current leaders who require

million dollar salaries to be in office, have the same value systems as the

voters who elected them.

 

Lastly, I have also copied in Guniess World of Records to see if this unique

feature of your country will earn it a place in the world record books.

 

Julie Rogers

 

------------------------------------------------------

 

Mellanie Hewlitt

22 Feb 2005

Singapore Review

Million Dollar Mini$terial $alaries - The Rea$on$ Again?

 

In light of the recent Singapore Budget 2005, we recirculate below discussions

as a comparison to how much singapore's million dollar ministers have

"contributed" to the country.

 

a) Is there a budget for Singapore's million dollar ministers?

b) Is there accountability and transparency?

c) Who authorises ministerial pay increments and are these approving authorities

once removed from duress and influence?

d) How are these increments justified?

e) If these salaries are performance based how do you measure the performance of

a million dollar minister?

f) Does the general public and voting citizens feel these million dollar

salaries are justified?

g) Where is the dividing line between legitimised corruption and legitimate

million dollar salaries?

h) Do these million dollar ministers have values which represent those of the

average Singaporean?

 

The list of questions is endless but there are still no convincing answers.

Read on and decide for yourselves.

 

http://groups.yahoo.com/group/Sg_Review/message/1360

 

 

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When economy is moving slow, they will tell u it due to external factors like US Financial Crisis but when economy is good, they will take credit & get big fat bonuses on top of their bigger fatter salaries.

 

PAP will tell u that if u vote for OP then all yr HDB price will drop (not supply & demand?) but they forget that they r also once an OP prior to GE on 30 May 1959.

 

If Singaporean didn't have the courage to vote for OP which is PAP in 1959 history will be different today. Likewise today we should have the same courage to vote for our OP in the coming GE.

 

U know what happen to the consumer if the market is control by the monopoly for too long.

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When economy is moving slow, they will tell u it due to external factors like US Financial Crisis but when economy is good, they will take credit & get big fat bonuses on top of their bigger fatter salaries.

 

PAP will tell u that if u vote for OP then all yr HDB price will drop (not supply & demand?) but they forget that they r also once an OP prior to GE on 30 May 1959.

 

If Singaporean didn't have the courage to vote for OP which is PAP in 1959 history will be different today. Likewise today we should have the same courage to vote for our OP in the coming GE.

 

U know what happen to the consumer if the market is control by the monopoly for too long.

 

 

 

After reading your post, I feel deeply troubled.

 

This brings to mind deep thoughts like why...

 

Why? ...

 

 

 

 

 

...the cat is still patting the duck...

 

 

 

 

 

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Lol at this thread. much more entertaining than walking around in a clown suit with an exposed bottom [rolleyes]

 

Its less funny when u realise u r paying for their million dollar salaries from your income tax, CPF, COE, ERP, GST, etc...sorry but i dont see the humour in this. The only ones LOL all the way to the bank r the PAP ministers...

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Its less funny when u realise u r paying for their million dollar salaries from your income tax, CPF, COE, ERP, GST, etc...sorry but i dont see the humour in this. The only ones LOL all the way to the bank r the PAP ministers...

 

only to be taken seriously when an opposition member brings this up in parliament. other than that, its just another joke [laugh]

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I am fine with the current policies just that I am not happy with the FT policy. Mr Goh rcently wanted to offer citizenships to 10% of the PRs. In all my life spent staying in other countries such as US etc, I have not seen a gahmen cheapening citizenship by so much. Perhaps they want the FTs to vote for them? I mean dont these minsters realise that these PRs are only here for the high pay they managed to wrestle from Singaporeans? and that they will not stay for long?

 

By the way, is it possible that most good gahmen policies are often initiated, thought and planned by the middle ranking people working in ministries and stat boards, seldom the ministers come out with the ideas. The ministers just approve and read out loud in parliament.

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