Impacts of Foreign Worker in Singapore

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IMPACTS OF FOREIGN WORKER IN SINGAPORE
CONTENT
1. Introduction2
2. Demographic Profile of Foreign workers2
3. Reasons Singapore Need Foreign Workers4
3.1 Low Birth Rate4
3.2 Ageing Population4
3.3 High Skilled and Low Skilled jobs4
4. Impacts of Foreign Workers to Singapore5
4.1 Positive Impacts5
4.1.1 Achieve Economic Growth5
4.1.2 Diversify Human Capital6
4.1.3 Increase Income and GST Tax Revenue6
4.2 Negative Impacts7
4.2.1 Congestion in Public Transport System7
4.2.2 Tighter Housing Market7
4.2.3 Conflicts with Labour Laws8
5. Solutions to Reduce Negative Impacts of Foreign Workers in Singapore8 5.1 Control the Population of Foreign Worker8
5.2 Upgrade Public Transport System9
5.3 Control the Quality of Foreign Workers9
6. Conclusion9
Reference11

Impacts of Foreign Workers in Singapore
1. Introduction
In the last few years, Singapore has developed into a global city and economic center. In order to keep the position of economic center, not only the government but also the residents make every effort to build a better Singapore. With a safe living environment, a lot of job opportunities, it has attracted a large numbers of foreigners to work here. As the population of foreign worker is growing, there are some benefits and challenges brought by them. In this essay, I will explain three positive impacts of foreign workers such as they play an important role in improving Singapore economy in the long term. In addition, I will also present three impacts resulted from the migration of foreign workers, and will give solutions to relieve these challenges. 2. Demographic Profile of Foreign workers

“Composition of Singapore’s Total Population” (2012) presents in December 2011 there are 1.46 million non-residents in Singapore. 21% of the non-residents are family members of the residents or employment pass holders, and international students. The other 80% of non-residents are foreign workers:

Chart 1: Population of foreign worker in Singapore as of Dec 2011
Source: Department of Statistics, Ministry of Manpower
[Numbers do not add up due to rounding]
14% of them are foreign domestic workers (FDWs). They engaged in housekeeping, or eldercare or childcare, they allow more Singaporeans to go to work, especially stay home mothers. •46% of them are low-skilled or semi-skilled workers on work permits. They work in industries in which is difficult to employ Singaporean. For instance in construction and marine sectors. •8% of them are mid-level skilled foreign workers (S pass holders). They work in sectors such as retail, food and beverage, manufacturing and healthcare services. •12% of them are higher-skilled foreigners who work on Employment Passes(EP). They include professionals, managers, executives and technicians(PMET). They are mainly work in financial services, aerospace engineering, research and development (“Composition of Singapore’s Total Population,” 2012). 3. Reasons Singapore Need Foreign Workers

3.1 Low Birth Rate
Singlehood, late marriage and late childbirth are common trend in Singapore. Moreover, the work and economic stress also get more and more significant in life, these result in low birth rate (“Our Demographic Challenges and What These Mean to Us,” 2012). For example, most people now want to continue with higher education, they will delay the time to get married and have babies. 3.2 Ageing Population

“Our Demographic Challenges” (2012) revealed from 2012, Singapore begin to experience an unparalleled ageing changes, because many people who are born after the second world war become old. They also present that more than 900,000 old people will retire from work and stay at home. With current low birth rate and without any measures taken, the median age of Singaporean will change from 39 in 2011 to 47 in 2030. 3.3 High Skilled and Low Skilled jobs

On one hand, Singapore do not have enough high skilled workers...
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