Tackling inequality: Social attitudes just as important as government policies, says PM Lee

SINGAPORE — Successful or wealthy Singaporeans “owe respect and gratitude” to their fellow citizens, and they have a “responsibility to contribute back something” to the society and the system which enabled them to do well, said Prime Minister Lee Hsien Loong as he noted the importance of social attitudes in addressing inequality.

At a recent closed-door dialogue with about 530 grassroots leaders, he also stressed that ensuring progress benefits every citizen remains the Government’s “basic philosophy”, not just for economic or political reasons.

“But it is actually for a fundamental aim — that is, we are doing this because we want to improve the lives of our people, to improve the lives of all Singaporeans,” said Mr Lee.

He was speaking at a post-National Day Rally (NDR) dialogue with grassroots leaders held earlier this month. The transcript of his opening remarks and parts of the question and answer session was released by the Prime Minister’s Office on Monday (Oct 22).

The event is part of the People Association (PA) Kopi Talk series of dialogues “where Singaporeans come together to better understand and discuss government policies and issues that they care about, including healthcare, cost of living, housing and transport”, the Ministry of Communications and Information said. 

Returning to the topic of inequality, which has been in the spotlight in past weeks, he reiterated at the PA event held on Oct 14 that inequality and lack of social mobility could pose a threat to the Government’s objective of improving life for everybody.

INEQUALITY ‘EXISTS EVERYWHERE’  

Noting that inequality “exists everywhere”, Mr Lee said: “In every society, there is a certain amount of inequality and there is no society where the top and the bottom are the same. Even when you go to North Korea, you can be sure that the Chairman is not the same as the labourer.”

He added: “And if you look at your own children, you know, same parents, but the kids, brothers, sisters, they are not the same. Each one is different. Different temperaments, different characters, different abilities, and different life outcomes.”

In Singapore, inequality “has always existed”, Mr Lee noted.

“If you look back 50 years ago, a lot of people were poor and lived miserably, and still there were rich towkays and landlords. And there was a range from the rich to the poor,” he said. “But we have worked hard to lessen this inequality, to raise the base level up, to make sure that Singapore becomes a fair and just society.”

This was done through “high quality and affordable housing, education and healthcare for everybody”. The country also has a progressive tax system in place, with more being redistributed to the lower income. Poorer households also receive proportionately more subsidies and support in all areas ranging from public housing grants and transport vouchers to utilities rebate and healthcare subsidies.

Social safety nets have been enhanced over the last decade as income gaps widened.

These policies have mitigated income inequality in Singapore, said Mr Lee. 

But he added: "The worry is not just inequality, but also worry about the lack of social mobility. Because people can accept that some are rich, some are poor, provided if I am poor I have a chance to work hard and get better off."

Also, social attitudes are just as important as government policies, he pointed out.

“We want to, and I think we generally do, live in a society where the ethos is open and informal. We want people to interact freely and comfortably as equals and we must have regard and respect for one another, regardless of income or status,” he said.

Lower-income individuals should not feel that they are being discriminated against, and this is their lot in life, he added.

To that end, he called on those who “happen to be successful and happen to have been born in a wealthy family” not to flaunt their wealth or success.

“No need to show off, and people are not impressed. If you succeed, remember, it is not purely the result of your own hard work or even of your own talent. Because many others have helped you along the way,” he said.

He added: “If you grew up in another country, you probably may not have the same opportunities. You may not have had the same success.”

Referring to Singapore’s achievement in topping the World Bank’s inaugural Human Capital Index, Mr Lee reiterated that the Singapore government does “not spend the most on education and healthcare, but we get the best outcomes” in terms of various indicators such as years of education, standard of education, infant mortality and adult health.

“We have made the most of our human capital, we have invested in our people,” he said.

MAJULAH GENERATION PACKAGE NEXT?

During the Q&A session, the grassroots leaders asked questions on topics covered in Mr Lee’s NDR speech on Aug 19, such as the Merdeka Generation Package, the public housing lease expiry issue, and the cost of living.

Mr Lee quipped that before his NDR speech was over, there was already a message going around on social media stating that after rolling out the Pioneer Generation Package and the Merdeka Generation Package, the Government will next unveil the “Majulah Generation Package”.

“I can tell you I do not know; I do not know because first it depends whether the government can afford further packages. Secondly, also because with successive generations, the later one, actually we have made more provision for you and help people more during your working lives,” he said.

He also reiterated the explanation on why the Government has to take back a public flat at the end of its 99-year lease.

“You have got 99 years of use out of it. The Government gets back the land, recycle and redevelop for somebody else… that is fair,” he said. “I think that is the fundamental point which we have to understand because if we made it forever, or if we said at the end of 99 years, you give me back the house, I give you back your dollars. Then what about the years when you have been living in the house?”