3.5. Policy coordination bodies

3.5.Policy coordination bodies

Existing international literature clearly indicates the importance of cooperating with the private sector when designing and implementing industrial policy (Page, J. and Tarp, F. 2017). Singapore, at least since 2010 has been setting-up a comprehensive institutional framework for public-private coordination, integrating both tripartite and sectoral aspects.

Three stages could be identified since 2010 in realising an enhanced coordination of industrial policy in Singapore: the initial set-up, with a unified council for skills and productivity and a limited sectoral coverage between until 2014, focus on skills from 2014 to 2016 and a new push for integrated sectoral strategies with the IPT as of 2016.

3.5.1. National productivity and continuing education council (NPCEC) 2010-2014

Following the conclusions of the conclusions of Economic Strategies Committee in 2010, which explicitly requested to set-up “a high-level national council <...> to oversee and drive efforts to boost productivity and expand CET”. Soon after the adoption of ESC report, such body, named “National Productivity and Continuing Education Council (NPCEC)” was set-up, with the inaugural meeting held already on the 30 of April, 2010. Chaired by the then Deputy Prime Minister Teo Chee Hean and with an initial mandate for 2 years, it was set to comprise representatives from the unions, private and public sectors. The council was set to oversee efforts to improve productivity and competitiveness at sector, enterprise and individual level, most notably being sector-specific productivity development roadmaps.

The sectoral coverage was substantial (i.e. covering a “significant” share – 40% of GDP) but not overly- comprehensive, with 12 sectors to be covered (as of 2012 extended to 16 to cover 55% of GDP). The sectors to be covered included: construction; electronics; precision engineering; transport engineering; general manufacturing; retail; food and beverages; hotels; healthcare; infocomm; logistics&storage; administrative and other support services. Council members included 7 public sector representatives (deputy minister; senior ministers, ministers and ministers of state for industry, manpower, trade, national development and education); 4 trade union representatives from NTUC, SISEU and FDAWU and 8 industry representatives from National employers federation (SNEF); Singapore productivity association (SPA) and companies such as Levi Strauss (apparel), Keppel (marine and infrastructure), CapitalLand (real estate), Apex-pal (food services), Shell (petrochemicals), Tion Seng (construction).

By 2012 the council has approved productivity development roadmaps for 11 sectors (for two sectors from the initial list – electronics and transport engineering such plans were not prepared but an additional sector – food manufacturing has been included). That same year the mandate for the council has been extended for another two years and the membership has been updated with 14 new members. Almost all of the original public-sector members have been re-appointed, while the majority of business and labour unions representatives were changed. New representatives included a consultant – managing directors of BCG Singapore; an academic representative – deputy dean from national university Singapore business school. Representation from industry has been extended with 5 members from trade associations and chambers (SPA and SNEF re-appointments) and new appointments from restaurant association (RAS), federation of merchants association (FMAS) and Singapore business federation (SBF). From companies, re-appointments included from Levi Straus and Tiong Seng and new appointments from Griffin Kinetic (marine logistics), Tetra Pak (food

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packaging), Nan Guan Construction (construction), Harry’s holdings (food services), Molex (electronics) and Teckwah (packaging).

3.5.2.Skills Future Council (SFC) 2014-2016

In 2014, initial media reports stated a second renewal of the mandate of NPCEC towards 2016, however towards the end of 2014 with a new initiative – Skills Future Singapore to be launched, also a new council – Skills Future Council (SFC) has been announced, devolving the responsibility for CET from NPCEC to this new council and renaming NPCEC as national productivity council (NPC). However, given pronounced emphasis on Skills Future Singapore, announced in Annual Budget 2015, little further work of the NPC has been made public – though SPRING Singapore has adopted several second-stage sector productivity roadmaps in 2015 for sectors such as retail and food services.

The composition of SFC has been quite similar to the previous NPCEC – a number of ministers lead by deputy prime minister, labour unions representatives, representatives from research and education institutions, employers associations and individual companies, for the latter representing Park Hotel group (hotels), Infineon technologies (semiconductors), Keppel (offshore and infrastructure), Microsoft (software), Breadtalk (food services), Fluidgim (micro-bio manufacturing), DHL (logistics), Evonik (chemicals), Cathay (leisure), Cold Storage (retail), ITL corporation (medical manufacturing).

3.5.3.Council for Skills, Innovation and Productivity (CSIP) 2016-2017

In 2016, following the announcement in the annual budget statement of the launch of Industry Transformation Programme (ITP), a new council has been launched again merging the previously separate Skills Future Council (SFC) and National Productivity Council (NPC) in a new Council for Skills, Innovation and Productivity (CSIP), with the aim to bring forward the implementation of ITP and in particular to oversee the development of sectoral industry transformation maps (ITMs).

The structure of the membership of the council remained similar as before, with 7 public sector representatives (deputy prime minister and ministers), a mayor, labour unions and employer associations and individual companies, including Infineon (semiconductors), AsiaPac executive insights (consultancy), Scanteak (retail), Monk’s Hill ventures (venture capital), CapitalLand, Straits construction, Evonik, KPMG, McKinsey, Fluidigm, ITL corp.

3.5.4.Future economy council (FEC) 2017...

In 2017, following the publication of the report from the Committee on the future economy (CFE) a new, future economy council was set up to take forward and implement the recommendations stated in the report as well as continue the oversight of the implementation of Skills Future Initiative and the Industry Transformation Programme (ITP) through Industry transformation maps (ITMs). The Council member composition includes representatives from the Government, private sector, unions, Institutes of Higher Learning and Trade Associations & Chambers. Besides the main Council, 6 tripartite FEC sub-committees, led by private and public sector co-chairs, will coordinate the efforts for 6 clusters of industries. At the industry level, Industry Tripartite Committees will be leading the work on the Industry Transformation Maps (ITMs).

3.5.5.Conclusions

Since 2010, Singapore government has been engaged through a structured framework with employers, labour unions, individual companies and other actors to consult and coordinate the design

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