Not for love of money, but of Humanity. "Greater is he who works for the good of all, then he who works for the good of himself only" ~ Matthew 25:40: "The King will reply, 'I tell you the truth, whatever you did for one of the least of these brothers of mine, you did for me.'"- (NIV). I live in Singapore where the Emperor must not be disturbed.

Tuesday, February 22, 2011

An annual 'Cohesion dividend' for all Singaporeans

In regard of the new Singapore government foreigner levy increase/ bonanza just round the corner: 'Foreign worker levies to increase, says MOM' [CNA, 21Feb2011], my approximate calculations detailed in 'Singapore government- the new slave trader on the block' [HWZ, 22Feb2011] approximate the amount for collection to be $5,259,240,000.

Originally Posted by cherry6
Singapore government plans $5.26B tax bonanza from new foreign worker levy rates.
Total foreign worker employment levies collected (new levy rates) = $1,651,680,000 (WP-cons) + $511,560,000 (WP FDW) + $2,587,620,000 (WP- svc+mfc) + $508,380,000 (S-pass)= $5,259,240,000.
Originally Posted by cherry6
Same calc, minus the new FW levy rate increases.
Total foreign worker employment levies collected at current rates (YA2011)= $699,360,000 (WP-cons) + $511,560,000 (WP FDW) + $1,588,440,000 (WP- svc+mfc) + $178,620,000 (S-pass)= $2,977,980,000.
The new levy collections, at $5,259,240,000 is a 76.6% increase over the current $2,977,980,000 in annual WP/S-pass levy collections, an increase of $2,281,260,000 in nominal terms.
Given that there seem several significant loopholes in Budget 2011: 'Too many loopholes in budget 2011'. [A1, 22Feb2011]
If the new work permit and S-pass levies were to now be put equally in the hands of every Singaporean as national cohesion dividends- both young and old, how much would each Singaporean receive?

- 'KEY DEMOGRAPHIC INDICATORS, 1970 – 2010' [link]: 2010: Singapore Citizens = 3,230,700.
Amount of 'cohesion dividends' receivable by each Singaporean based upon the new FW employment levy rates= $5,259,240,000/ 3,230,700 = $1628 p.a.

With equal distribution of 'cohesion dividends', Singaporeans can better take control of their own productivity vs the enhancement of productivity through foreign labour deployment. A low WP/S-pass levy would mean more foreigners- greater job competition but higher 'cohesion dividends' for Singaporeans. A high WP/S-pass levy- the same effects vice versa.

And why are these cohesion dividends (a uniform extension over the current 'growth dividend scheme') necessary?
Because firstly, 'Budget 2011 is seriously flawed, clumsy and prejudiced' [A1, 22Feb2011] and secondarily, all Singaporeans, young or old are somewhat affected by the job market and the influx of foreigners. The 'cohesion dividend' scheme allows Singaporeans at all levels to be uniformly compensated for their loss of jobs to foreigners at the same dignified and egalitarian rate, no matter what their station in life. And thirdly, by my estimate based upon levies targeted for collection YA2013, the compensation that the PAP government owes every Singaporean for liberalizing the job market, is $1628 unless otherwise refuted.

It is hoped that in spite of so many harebrained micro-managing PAP schemes around, Singaporeans would, through the concept of 'cohesion dividends' not loose hope nor surrender their lives to an oppressive and authoritarian government whose intent it seems, is to continually obfuscate important labour information in the midst of harebrained policies, all premised upon proclaimed "national interest" such as mentioned in 'Disclose More Information On Foreign Labour': [BT, 09Feb2006].

Majulah Singapura, may the truth be made known to all.


- 'Disclose More Information On Foreign Labour': "The government has maintained that this is sensitive data kept secret for reasons of national interest. It does not want to expose Singapore's vulnerability in terms of its dependence on foreign labour." [BT, 09Feb2006]
- 'Countries with the Biggest Gaps Between Rich and Poor', (by Bruce Einhorn): "No. 2 Singapore-.. Ratio of income or expenditure, share of top 10% to lowest 10%: 17.7". [BW,16Oct2009]

At/ related:
22Feb2011: 'Cohesion dividends for all Singaporeans'
22Feb2011: Increase Foreign Worker Levy? Eat our money?
22Feb2011: 'Cohesion dividends for all Singaporeans'
22Feb2011: 'Cohesion dividend for all Singaporeans'
22Feb2011: (mirror) Foreign Worker Levy ineffective; only drive up Inflation
22Feb2011: Foreign-worker levy hike painful but necessary
22Feb2011: Budget will be something good [For everyone??]: Tharman
22Feb2011: A 'Cohesion dividend' for all Singaporeans
22Feb2011: The only thing that I support govt recently
22Feb2011: An annual 'Cohesion dividend' for all Singaporeans
22Feb2011: Reduction of personal income taxes
22Feb2011: Foreign worker levies to increase, says MOM
22Feb2011: Improving Singaporeans’ Standard of Living
22Feb2011: Budget goodies unveiled by Finance Minister Tharman Shanmugaratnam
22Feb2011: Higher Employer CPF Contributions and Foreign Worker Levies

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