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SINGAPORE: Singaporean companies say that hiring locals has long-term benefits, but that it may still be necessary to bring in foreigners to fill labor and skills gaps.
The issues of preserving and expanding the jobs held by Singaporeans have been in the spotlight in recent months, and labor market conditions worsened significantly due to COVID-19.
Unemployment figures released last week showed that the country’s unemployment rate had risen to 4.3 percent among citizens, 4.1 percent among residents, and 3 percent overall in July, while the layoffs in the first half of the year reached 11,350, more than the 10,120 registered. during the SARS period.
While the government has said it is reviewing its job pass policies and improving its efforts to crack down on unfair hiring practices, it added that Singapore cannot completely turn its back on foreign talent.
“We must not undermine what has made us successful by closing ourselves off from the world,” Deputy Prime Minister Heng Swee Keat said during a speech last week, emphasizing that Singapore must remain open to the world.
READ: Amid Job Pass Review Singapore Must Not Close From World To Succeed Post COVID-19: DPM Heng
For education providers like the Dyslexia Association of Singapore (DAS), having a wealth of local talent helps the organization formulate its curriculum and offer its policies to suit the local context, said the organization’s executive director. , Lee Siang.
These employees, who are Singaporean or permanent residents (PR), understand the local culture better than foreigners, he said, as does its intensive bilingual education system.
Locals are also more likely to stay engaged in work or industry in Singapore as they are rooted here, he added.
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Collin Ho, CEO of the SF Group, which runs the Collin’s restaurant chain, agreed, adding that he has not faced the problem of local employees changing jobs.
On the other hand, foreign employees are vulnerable to sudden quota cuts, which are applicable to holders of work permits and S passes, he said.
Having a pool of local workers is particularly important as the company has plans to expand even amid weak economic conditions, he said, citing how the company opened two branches in the current quarter and seeks to increase its number of outlets in the Foreign.
As to why the company prefers to hire a Singaporean or PR, he said: “Due to an understanding of local culture, customs and business practices.”
“(And) if it’s a Singaporean brand going overseas … you want to fly the Singaporean flag overseas,” he added, noting that workers are excited about those prospects.
“They say, ‘wow, not only do they post me there, but I bring the pride of Singapore.’ They (not only) represent our culture, our company, but (also) the pride of Singapore with which (they) go there and try to set the same standards of consistency in service and product, “he said.
There are also cost-saving benefits to taking on locals, the companies said.
Bottled water manufacturer and supplier Wanin Industries can save on accommodation allowances while taking advantage of hiring grants and subsidies when it hires someone from Singapore or from public relations, said its head of special projects, Eugene Tan.
The government’s stimulus measures have also targeted residents, Mr. Ho added, pointing to wage subsidies under the Jobs Support Scheme and the SGUnited jobs initiative.
A skilled local workforce also leads to better economic conditions in the country, as this group is often highly paid, leading to higher levels of spending and a consumption-based economy that is often more sustainable than driven economies. by investment in developing countries, said the regional report by ECA International. Asia director Lee Quane.
TOILET PREMISES
About a decade ago, DAS had 10 foreign expats on its team overseeing its assessment and therapy programs. The organization launched its training arm in 2003.
They were brought in as psychologists and therapists who were also top management executives, as Singapore then lacked the local expertise to help people with dyslexia, Lee said. Three of the six senior management positions were held by expatriates during this period.
But the organization “deliberately” groomed entry-level local employees, he said, how to make a conscious decision to progressively promote them to leadership roles and sponsor some of them to advance their studies in subjects such as Chinese or Chinese. math, so they could go back and run dyslexia programs in these areas.
“When staff see that there are career opportunities in niche areas where they can excel and possibly lead the industry, it obviously builds a lot of commitment and morale,” Lee said.
As local dyslexia experience developed, the organization reduced its reliance on foreign experience. DAS now has about five foreign employees working in administrative functions and as educational therapists, he said.
All senior management positions, from the position of CEO to heads of the various DAS programs, are currently held by Singaporeans. The organization has around 300 full and part-time employees.
SF Group’s subsidiary Iron Chef F&B, under which Collin’s is located, decided to formalize its professional development program last year and work with outside vendors to offer their employees courses in areas such as wine appreciation, menu pricing and marketing. .
READ: Layoffs in Singapore on the rise in the first half of the year, surpassing the peak of SARS: MOM
Mr. Ho believes this will help to retain workers and increase their productivity as there is a “sense of commitment” and they see that the company is interested in investing in them, he said.
Being on a “growth trajectory” in which Iron Chef F&B opens a few new restaurants a year also helps attract local workers, he said, as they believe they can develop their careers and move up the ladder quickly if they join the firm. .
Currently, about 80 percent of Iron Chef F & B employees are local.
However, Ho acknowledged that attempts to entice locals to join the company mean making sure the wages paid to them are at or slightly above the F&B industry average, and making commitments during your days off.
Some workers may be studying part-time or unable to work on weekends because they have to babysit or attend religious activities, he said.
HUNDRED PERCENT OF LOCALS?
In recent months, amid the debate over Singapore’s foreign workforce and weak working conditions due to COVID-19, the term “Singaporean core” has resurfaced as politicians push for employers to prioritize residents over foreigners. when it comes to job opportunities.
The economist and associate professor at Singapore University of Social Sciences, Walter Theseira, said that it is impossible to think that foreigners are only necessary in the short term “until there is a mythical transition towards a fully Singaporean economy.”
Foreigners will be required to perform functions such as construction workers and foreign domestic workers, unless Singapore wishes to redirect labor resources to these fields.
“The question, therefore, is how to accept foreigners into the workforce while protecting Singapore’s interests, especially when Singaporeans compete with foreigners for desirable jobs of medium to high skills. I think there is no simple answer to this, ”said Adjunct Professor Theseira, who is also a former designated MP.
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For some jobs that don’t require high skill levels, it will be easier to ensure that Singaporeans take priority without hurting companies.
But in fields where skills are scarce and the stakes are high, companies will be at a disadvantage if required to select primarily from a small group of Singaporeans, he said.
“What we do have to remember is that Singapore’s main disadvantage is size. Even if Singaporeans are more capable and better educated on average than those in many other countries, the size of many economies produces more talent, ”he said.
Expecting their organizations to operate only locally is difficult, company representatives agreed.
The “more laborious” jobs that require workers to deliver many tons of water supplies and dispensers are ignored by locals, said Mr. Tan de Wanin.
Mr. Lee said that a company “cannot be homogeneous” and still needs people with different perspectives.
Foreign experience will also be necessary to fill some of the skills gaps, he said. For example, DAS is interested in introducing dyslexia literacy programs in Malay and Tamil, which means it will probably have to bring in experts from Indonesia or Tamil Nadu.
Employers cannot be expected to replace foreigners overnight either, even if a company puts its resources on local talent, said NUS Business School’s assistant professor in the Strategy and Policy Department, Ong Pinchuan.
“Training takes time,” he said. “(And) foreigners tend to have a more international outlook than locals, and companies might be looking for that, especially in their candidates for managerial positions.”
As for Ho, the food and beverage industry is one where there is a limited group of locals who want to do labor-intensive jobs, be it cooking or serving in a restaurant, even in today’s economic climate.
“I’d say it’s like an employee market right now,” he said.
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