Say it until it comes true

[vip]

http://propertysoul.com/2016/03/11/s...it-comes-true/

Say it until it comes true


March 11, 2016

In my twelve years studying in a Catholic girls school, I was taught to pray if I need to. Till today, whenever I run into troubles, I just keep praying. And I also visit different temples to say the same prayer just in case. I believe that, in the end, some God will do something. It may have nothing to do with my devotion, but the fact that God just can’t stand my nagging any more.


Play it again, Sam

I am not alone.

Recently, stakeholders in the property industry are sharing the same belief: The more you say it, the more chances your wish will come true.

On February 18, President of REDAS (Real Estate Developers’ Association of Singapore) Augustine Tan claimed that there is an “urgent need” to bring stability and ensure a soft landing in the property market “to prevent further damage to the fragile economy”.

A week later, Kwek Leng Beng, Chairman of Hong Leong Group and City Developments, told the press that the government will press the button at the right time. He suspected that the Additional Buyer’s Stamp Duty (ABSD) will be abolished first and he hoped that the authority would do it sooner rather than later.

Not long ago in July 2014, Mr Kwek had told the government to review the cooling measures, or risk losing property investment dollars to other countries.

This Wednesday PropNex put forward a proposal to advise the government why and how to tweak property cooling measures, including loosening ABSD, loan-to-value limits and Mortgage Servicing Ratio.

See how the industry stakeholders are singing the same tune. Their philosophy is: If you want the government to do something, you have to say it again and again.


If you build it, they will come?

But the question is: What make them think that their problem will be solved if the government relax the cooling measures tomorrow?

No one can tell what will happen tomorrow. The uplift of property buying restrictions can be coincided with an untimely stock market clash, financial crisis or economic recession.

In 2005, the government introduced a series of property measures trying to stimulate the property market. That’s when loan-to-value limit was raised from 80 percent to 90 percent. But still, there were few takers.

What the developers and their marketing agents really want is to offload the unsold units to the buyers. Never mind the fact that, the moment buyers sign the Option to Purchase, they are bound by the rules of TDSR, ABSD and Seller Stamp Duty. Buyers are exposed to the risks of supply glut, soft rental, interest rate hike and economic downturn.

Afterall, it is no longer the developers’ problem once their problem becomes someone else’s problem.

Many projects in the market now are on sites where developers bought from the government at all time high. But just because developers have submitted a high bid to secure the land parcels doesn’t mean that buyers have to foot the bill.


Two ways to save the bell

There are two feasible solutions to help clearing developers’ outstanding stock:

1. Stimulate the demand

The government can loosen the existing property cooling measures in TDSR, stamp duties and loan-to-value limits. Or it can increase housing demand by import of more foreigners.

On the other hand, developers can offer attractive discounts on their unsold units. Potential buyers might be tempted to take the plunge if the price is right. Lowering prices can make the units more affordable which automatically expands the pool of buyers.

2. Limit the supply

This is under the complete control of Singapore Land Authority. The government has announced that it would cut land sales. But in the first half of 2016, it is still be selling three confirmed residential sites and another eight sites on the reserve list, with the potential to build 7,420 new homes. This is on top of the 7,825 homes from residential sites released by Singapore land sales in second half of 2015.

REDAS claimed that, as of end of last year, there are over 60,000 units in the pipeline and a record 26,500 vacant units.

There is no way for developers to clear their stock if there is incessant supply in the pipeline.


Developers fighting an uphill battle

Developers have five years to sell all units in a residential project, or pay ABSD on the unsold units. REDAS’ Mr Tan estimated that there are some 700 unsold units from 13 projects that will be affected by the Qualifying Certificate rule by the end of this year, with extension charges amounting to S$100 million.

This is under the law that developers have to obtain Temporary Occupation Permit (TOP) for their projects five years after the land sales and sell all the units two years after TOP. Failing to do so, they have to pay extension charges of 8 to 24 percent of the land cost in the subsequent years. Moreover, land purchased after Dec 8, 2011 are subject to ABSD of 10 percent after five years. The first batch of projects to pay ABSD will be in December this year.

Of course, developers can take the easy way out by selling the unsold units to an investment holding subsidiary or a cash-rich corporate buyer. Or they can simply unlist from the Singapore stock exchange.

Look like industry stakeholders have no choice but continue their prayers until they see the silver lining.

[Kelonguni]

http://propertysoul.com/2016/03/11/s...it-comes-true/

Say it until it comes true


March 11, 2016

Play it again, Sam

If you build it, they will come?

But the question is: What make them think that their problem will be solved if the government relax the cooling measures tomorrow?

No one can tell what will happen tomorrow. The uplift of property buying restrictions can be coincided with an untimely stock market clash, financial crisis or economic recession.

In 2005, the government introduced a series of property measures trying to stimulate the property market. That’s when loan-to-value limit was raised from 80 percent to 90 percent. But still, there were few takers.

Many projects in the market now are on sites where developers bought from the government at all time high. But just because developers have submitted a high bid to secure the land parcels doesn’t mean that buyers have to foot the bill.


Two ways to save the bell

There are two feasible solutions to help clearing developers’ outstanding stock:

1. Stimulate the demand

The government can loosen the existing property cooling measures in TDSR, stamp duties and loan-to-value limits. Or it can increase housing demand by import of more foreigners.

On the other hand, developers can offer attractive discounts on their unsold units. Potential buyers might be tempted to take the plunge if the price is right. Lowering prices can make the units more affordable which automatically expands the pool of buyers.

2. Limit the supply

This is under the complete control of Singapore Land Authority. The government has announced that it would cut land sales. But in the first half of 2016, it is still be selling three confirmed residential sites and another eight sites on the reserve list, with the potential to build 7,420 new homes. This is on top of the 7,825 homes from residential sites released by Singapore land sales in second half of 2015.

REDAS claimed that, as of end of last year, there are over 60,000 units in the pipeline and a record 26,500 vacant units.

There is no way for developers to clear their stock if there is incessant supply in the pipeline.


Developers fighting an uphill battle

Developers have five years to sell all units in a residential project, or pay ABSD on the unsold units. REDAS’ Mr Tan estimated that there are some 700 unsold units from 13 projects that will be affected by the Qualifying Certificate rule by the end of this year, with extension charges amounting to S$100 million.

This is under the law that developers have to obtain Temporary Occupation Permit (TOP) for their projects five years after the land sales and sell all the units two years after TOP. Failing to do so, they have to pay extension charges of 8 to 24 percent of the land cost in the subsequent years. Moreover, land purchased after Dec 8, 2011 are subject to ABSD of 10 percent after five years. The first batch of projects to pay ABSD will be in December this year.

Of course, developers can take the easy way out by selling the unsold units to an investment holding subsidiary or a cash-rich corporate buyer. Or they can simply unlist from the Singapore stock exchange.

Look like industry stakeholders have no choice but continue their prayers until they see the silver lining.

For 1, I think both are happening. It is just happening very slowly and gradually. We are still increasing population by around 60K in 2015. And developers are indeed lowering prices sincerely. Their asking prices in 2013 and today PSF wise is different by at least over 10%, with some over 20%. Just like how much EU and Japan can lower interest rate. Until negative how to lower some more? Even 0.1% more, meaningful?

For 2. Confirmed sites and reserve sites are very different in nature and intent. My confirmed site in Holland V was moved to reserve site in 2014 and until today no news... Supply is definitely drying up if developers do not meet reserve bids or they bid even higher to secure reserve sites which undergo open bidding.

I guess your intent is for developers to lower prices further so you can go and buy resales at an even cheaper price. I doubt it will really happen, but I wish you the best in this.

[proud owner]

In 2005, the government introduced a series of property measures trying to stimulate the property market. That’s when loan-to-value limit was raised from 80 percent to 90 percent. But still, there were few takers.

Guess who was one of those FEW TAKERS ?

Singaporeans are trained to FOllOW ....

the FEW who have learned to LEAD have gained ... since 2005 ...

Cutting prices alone will not help, really.

I know of many foreigners, who are staying away from Singapore properties because of the ABSD.

These buyers have money to spend, but they are not stupid to pay that ABSD where the Govt is the sole beneficiary in the name of "Cooling the market"

[Kelonguni]

In 2005, the government introduced a series of property measures trying to stimulate the property market. That’s when loan-to-value limit was raised from 80 percent to 90 percent. But still, there were few takers.

Guess who was one of those FEW TAKERS ?

Singaporeans are trained to FOllOW ....

the FEW who have learned to LEAD have gained ... since 2005 ...

Cutting prices alone will not help, really.

I know of many foreigners, who are staying away from Singapore properties because of the ABSD.

These buyers have money to spend, but they are not stupid to pay that ABSD where the Govt is the sole beneficiary in the name of "Cooling the market"

You also a taker? Mine was 2006. Really moved into an empty building then.

[proud owner]

You also a taker? Mine was 2006. Really moved into an empty building then.

Started taking in end 2004...

began with landed ... then PHs..... basically went for all huge units....

[teddybear]

As I have said before, when market is down (and caused by their property cooling measures), by then, all kind of stimulus they thought they can implement will actually be useless.
They still haven't learnt their lesson yet (no wonder many of them missed the 2009 boat)............

In 2005, the government introduced a series of property measures trying to stimulate the property market. That’s when loan-to-value limit was raised from 80 percent to 90 percent. But still, there were few takers.

Guess who was one of those FEW TAKERS ?

Singaporeans are trained to FOllOW ....

the FEW who have learned to LEAD have gained ... since 2005 ...

Cutting prices alone will not help, really.

I know of many foreigners, who are staying away from Singapore properties because of the ABSD.

These buyers have money to spend, but they are not stupid to pay that ABSD where the Govt is the sole beneficiary in the name of "Cooling the market"

[stalingrad]

In 2005, the government introduced a series of property measures trying to stimulate the property market. That’s when loan-to-value limit was raised from 80 percent to 90 percent. But still, there were few takers.

Guess who was one of those FEW TAKERS ?

Singaporeans are trained to FOllOW ....

the FEW who have learned to LEAD have gained ... since 2005 ...

Cutting prices alone will not help, really.

I know of many foreigners, who are staying away from Singapore properties because of the ABSD.

These buyers have money to spend, but they are not stupid to pay that ABSD where the Govt is the sole beneficiary in the name of "Cooling the market"

"Singaporeans are trained to FOllOW." Truer statements have never been uttered before. I literally cannot tell two sinporeans apart.

[Spincity1]

"Singaporeans are trained to FOllOW." Truer statements have never been uttered before. I literally cannot tell two sinporeans apart.

haha, that's why

[diveaces]

I think current market is already quite stabilize. There's still demand but given the sentiments and measures, a lot of funds are divested out to other markets which is a great disadvantage for SG ... while most are waiting at the sidelines given the sentiments.
- removing absd
- removing the penalty where the developers have to sell within 5-6years
will actually help stabilize the market and maintaining a stable prize .. the other measures can probably remain to maintain a healthy market ..
TDSR literally killed most speculations .. so the rest of the measures are really pointless.

[Kelonguni]

The other measures are becoming apparent as tax generating measures similar to GST, ironically largely supported by the population whom the measures tax.

In the end, PPI drops say 10-15% but tax generated from stamp duties also increase by 10-15%.

I think current market is already quite stabilize. There's still demand but given the sentiments and measures, a lot of funds are divested out to other markets which is a great disadvantage for SG ... while most are waiting at the sidelines given the sentiments.
- removing absd
- removing the penalty where the developers have to sell within 5-6years
will actually help stabilize the market and maintaining a stable prize .. the other measures can probably remain to maintain a healthy market ..
TDSR literally killed most speculations .. so the rest of the measures are really pointless.

[challenger]

I think current market is already quite stabilize. There's still demand but given the sentiments and measures, a lot of funds are divested out to other markets which is a great disadvantage for SG ... while most are waiting at the sidelines given the sentiments.
- removing absd
- removing the penalty where the developers have to sell within 5-6years
will actually help stabilize the market and maintaining a stable prize .. the other measures can probably remain to maintain a healthy market ..
TDSR literally killed most speculations .. so the rest of the measures are really pointless.

ABSD makes it more expensive for people to buy a 2nd and 3rd units, thus making it cheaper for first timer. It also makes it cheaper for Singaporeans, compared to foreigners. It is a social mechanism. If the rich becomes richer, and keep hoarding private properties, because other forms of investment is not as attractive, property price will shoot up. As such, the quantum of the additional stamp duty must be meaningful.

However, I think there is good reason for some tweaking of how ABSD is computed. There is no point penalising the super rich for buying penthouses in prime areas since these are out of reach for normal mortals anyway. One way to address this, and yet appeal to the common Singaporeans is to use a tier concept. Increase the ABSD for the first million or 1.5million and waive ABSD from $x million and above.

Removing the penalty for developers to sell within 5-6 years makes it harder for government to control supply. The government may tweak the measure in new land sales. But for those existing development, I think they will not give extension, and rightfully so, as it sets a bad precedence.

[Kelonguni]

The rich depends on who we refer to.

Ultra rich main thing is whether they like a property. Give you an example. If you go to an emerging market now and super like the culture and a particular property, will you be concerned there is a 15% tax on a 50K to 100k property?

Have also discussed with some earlier on. The really rich I know tend to have 1 luxurious property. Renting strategy is not for them due to high income tax. It is also critical for them to hold cash for businesses and equity.

So do consider carefully who are actually the ones taxed for multiple property purchases.

ABSD makes it more expensive for people to buy a 2nd and 3rd units, thus making it cheaper for first timer. It also makes it cheaper for Singaporeans, compared to foreigners. It is a social mechanism. If the rich becomes richer, and keep hoarding private properties, because other forms of investment is not as attractive, property price will shoot up. As such, the quantum of the additional stamp duty must be meaningful.

However, I think there is good reason for some tweaking of how ABSD is computed. There is no point penalising the super rich for buying penthouses in prime areas since these are out of reach for normal mortals anyway. One way to address this, and yet appeal to the common Singaporeans is to use a tier concept. Increase the ABSD for the first million or 1.5million and waive ABSD from $x million and above.

Removing the penalty for developers to sell within 5-6 years makes it harder for government to control supply. The government may tweak the measure in new land sales. But for those existing development, I think they will not give extension, and rightfully so, as it sets a bad precedence.

[proud owner]

I think current market is already quite stabilize. There's still demand but given the sentiments and measures, a lot of funds are divested out to other markets which is a great disadvantage for SG ... while most are waiting at the sidelines given the sentiments.
- removing absd
- removing the penalty where the developers have to sell within 5-6years
will actually help stabilize the market and maintaining a stable prize .. the other measures can probably remain to maintain a healthy market ..
TDSR literally killed most speculations .. so the rest of the measures are really pointless.

Exactly

TDSR single handedly killed the market .. and it is itself more than sufficient.

But the other measures are money making tools for govt ....
till they make enough until the pai sei ( if ever ) then they will consider lifting them

[teddybear]

They will feel pai sei meh????
More likely they will lift only when they see inevitable sign of all market segments crashing????

Exactly

TDSR single handedly killed the market .. and it is itself more than sufficient.

But the other measures are money making tools for govt ....
till they make enough until the pai sei ( if ever ) then they will consider lifting them

[PropVestor]

These cooling measures are temporary but temporary might mean one property cycle or until we hit a recession. So in a way I agree with teddybear.

I still feel that there are underlying demand from foreigners which SG government is trying to reduce but not eliminate. Our gahmen can also see our neighbours being 'less competitive' in terms of political, economic and social stability. The Singapore story is holding up pretty well....so far. I know quite alot of Hong Kongers and Malaysians trying to shift themselves and/or their monies out. Singapore is usually one of their consideration.

For the time being, the caps are all artificial or non really created by market forces (there is a gap between people having jobs and property prices going down). In the macro view, major economy powerhouses are trying damn hard to prevent a hard landing. In Singapore, we still have jobs and those who are letting go on 'fire sale' are really over leveraged. 1-2% interest increase across multiple properties has a multiplier effect on them. I call them speculators, not investors really.

As a single unit property investor myself, I am seeing probably 10% drop in my investment. I learn this: if we do not have holding power, better don't enter property at all. I just have to pay and pay until my very low floor Duo unit is completed in 2017 which we all know is not the most ideal year but who knows that in Nov 2013? No one forced me to sign the papers, PropertySoul thinks its a shit idea to enter the market etc. We did our sums and hope for the best.

All in all, I am supporting the cooling measures as ultimately, it will stop all the speculation and over zealous loans. Cheap money makes people stupid. Stupid people follow more stupid people. You want, I also want. A property market crash sparked by loan defaults is really no joke.

My 2 cents

[Werther]

These cooling measures are temporary but temporary might mean one property cycle or until we hit a recession. So in a way I agree with teddybear.

I still feel that there are underlying demand from foreigners which SG government is trying to reduce but not eliminate. Our gahmen can also see our neighbours being 'less competitive' in terms of political, economic and social stability. The Singapore story is holding up pretty well....so far. I know quite alot of Hong Kongers and Malaysians trying to shift themselves and/or their monies out. Singapore is usually one of their consideration.

For the time being, the caps are all artificial or non really created by market forces (there is a gap between people having jobs and property prices going down). In the macro view, major economy powerhouses are trying damn hard to prevent a hard landing. In Singapore, we still have jobs and those who are letting go on 'fire sale' are really over leveraged. 1-2% interest increase across multiple properties has a multiplier effect on them. I call them speculators, not investors really.

As a single unit property investor myself, I am seeing probably 10% drop in my investment. I learn this: if we do not have holding power, better don't enter property at all. I just have to pay and pay until my very low floor Duo unit is completed in 2017 which we all know is not the most ideal year but who knows that in Nov 2013? No one forced me to sign the papers, PropertySoul thinks its a shit idea to enter the market etc. We did our sums and hope for the best.

All in all, I am supporting the cooling measures as ultimately, it will stop all the speculation and over zealous loans. Cheap money makes people stupid. Stupid people follow more stupid people. You want, I also want. A property market crash sparked by loan defaults is really no joke.

My 2 cents

Looking at some recent transanctions, prices have really tumbled for some development and think is good time to get in, provided you do not need to pay absd. Even some freehold superb location, prices have corrected and i heard some sellers are quite desperate to sell as they cant get good rent. If wait for another 6-months, sure got fire sale coming.

[teddybear]

But Singapore's economy is turning bad, growth will decelerate to 1.9% projected (most likely will be revised lower in future), and will get worse, just recent news from NTUC saying more PMEs seeking their help to find jobs, and even those earning >$10k pm (individual income) also kenna retrenched........

Chua Hak Bin another prominent casualty of economic slowdown

Melissa Tan
The Business Times
Thursday, Mar 17, 2016

Singapore - AN ongoing pullback in the regional banking industry has claimed another prominent casualty in Singapore as the weakness of the global economy and a slowdown in China continued to bite.

Well regarded economist Chua Hak Bin, who had been head of ASEAN economics at Bank of America Merrill Lynch (BoAML), was let go on March 15, sources told The Business Times. He had been at the bank since 2010.

Dr Chua's departure came amid a slew of reported job reductions across Asia for the bank, and occurred just over a week before the Singapore government is scheduled to unveil its 2016 Budget on March 24.

BoAML is said to have axed at least 15 senior bankers at its investment banking unit in Asia, including three managing directors and 12 directors, with most of the cuts in Hong Kong, according to a Bloomberg report on March 11.

Bellerina Yeo, a spokesman for BoAML, declined to comment. Attempts to reach Dr Chua were unsuccessful.

Foreign banks operating in Singapore have been paring their local operations in recent months, with banks such as Barclays, Standard Chartered and the Royal Bank of Scotland laying off staff here.

In March last year, another prominent economist, Song Seng Wun, was also let go by CIMB Group Holdings. Mr Song later rejoined CIMB as an economist for its private banking unit.

These cooling measures are temporary but temporary might mean one property cycle or until we hit a recession. So in a way I agree with teddybear.

I still feel that there are underlying demand from foreigners which SG government is trying to reduce but not eliminate. Our gahmen can also see our neighbours being 'less competitive' in terms of political, economic and social stability. The Singapore story is holding up pretty well....so far. I know quite alot of Hong Kongers and Malaysians trying to shift themselves and/or their monies out. Singapore is usually one of their consideration.

For the time being, the caps are all artificial or non really created by market forces (there is a gap between people having jobs and property prices going down). In the macro view, major economy powerhouses are trying damn hard to prevent a hard landing. In Singapore, we still have jobs and those who are letting go on 'fire sale' are really over leveraged. 1-2% interest increase across multiple properties has a multiplier effect on them. I call them speculators, not investors really.

As a single unit property investor myself, I am seeing probably 10% drop in my investment. I learn this: if we do not have holding power, better don't enter property at all. I just have to pay and pay until my very low floor Duo unit is completed in 2017 which we all know is not the most ideal year but who knows that in Nov 2013? No one forced me to sign the papers, PropertySoul thinks its a shit idea to enter the market etc. We did our sums and hope for the best.

All in all, I am supporting the cooling measures as ultimately, it will stop all the speculation and over zealous loans. Cheap money makes people stupid. Stupid people follow more stupid people. You want, I also want. A property market crash sparked by loan defaults is really no joke.

My 2 cents

[PropVestor]

Melissa Tan's report about 15 senior bankers kenna chop is enough to spook you? Wait till you see FINtech automation comes into full swing and you will see brokers, insurance agents and front line banking staff needing to be 'restructured'. This is only the start.

Regardless of the slowdown we will thread a course to building what the government calls a 'SMART NATION'. All the way from inviting Silicon Valley big honchos to giving more license to Telco, Broadband providers. 20Gbps plans make sure you don't say its not enough. This has to do with our Singapore Story of course. We are a small boat in a big ocean, some parts needed replacement to make us more nimble in case of 'large waves'. Painful but necessary. It even forces me to upgrade and learn some new analytics software last year.

I really think so that we still have jobs to service our loans. Take the 6-degrees of separation test. How many you know are losing jobs rapidly or being re-trenched? Not in a big scale I reckon to spook most people including banks now. Maybe soon...but we all know a recession is definitely coming. Only a matter of time right? A bell curve has peaks and dips, we know that.

Whats why the gahmen say, go for re-training so that we remain relevant. FINtech courses anyone?

My 2 cents

[teddybear]

Already starting in many sectors, not just banks....
Even oil, refineries, chemicals, plastics, oil-rigs, offshore, shipping are feeling the pain with many retrenchment and many are PMETs (many are potential HDB upgraders)..........


Still looking for work 6 months after losing job

Friday, Mar 18, 2016
Jeremy Koh
The Straits Times

After he heard the dreaded news in 2014 that the plant he was working in will be closed down, Mr Chua G.C., as he prefers to be known, put on a brave front at home, keeping the news from his wife and child.

But the anxiety would creep up and paralyse him in the middle of a meal.

Seized by fear, he would sit in silence for more than an hour, worrying about the future, especially for his school-going children, now aged 18 and 15.

The manufacturing company will completely shut its operations later this year and Mr Chua will be without a job for the first time since he started working.

Worse, he is worried he will not be able to get another job paying equivalent pay, given his age.

Mr Chua, who has a degree in chemical engineering from the National University of Singapore and has worked in the plastics industry for over 20 years, was a manager at a plastic production firm earning between $8,000 to $10,000 a month.

He has not received a single firm offer since he started sending out resumes since October last year.

.................................

"Imagine you are already 45 and you go for an interview just like a fresh grad and you need to go and sell yourself, the feeling is not nice."

Melissa Tan's report about 15 senior bankers kenna chop is enough to spook you? Wait till you see FINtech automation comes into full swing and you will see brokers, insurance agents and front line banking staff needing to be 'restructured'. This is only the start.

Regardless of the slowdown we will thread a course to building what the government calls a 'SMART NATION'. All the way from inviting Silicon Valley big honchos to giving more license to Telco, Broadband providers. 20Gbps plans make sure you don't say its not enough. This has to do with our Singapore Story of course. We are a small boat in a big ocean, some parts needed replacement to make us more nimble in case of 'large waves'. Painful but necessary. It even forces me to upgrade and learn some new analytics software last year.

I really think so that we still have jobs to service our loans. Take the 6-degrees of separation test. How many you know are losing jobs rapidly or being re-trenched? Not in a big scale I reckon to spook most people including banks now. Maybe soon...but we all know a recession is definitely coming. Only a matter of time right? A bell curve has peaks and dips, we know that.

Whats why the gahmen say, go for re-training so that we remain relevant. FINtech courses anyone?

My 2 cents

[Arcachon]

Don't understand, I so poor why buy more than one when there are so many rich people don't want to buy.

[hopeful]

With fewer clients using her contractor husband's renovation services, commodity specialist Wong C.K., 41, and her family have had to make swift decisions to cope with a smaller budget.

The family income has shrunk by more than half - from $11,500 to $5,500 - after her husband's business fell by about 70 per cent since 2014.

Hmm, a commodity specialist at 41 earn like $2900 a month ?
By the way, what is a commodity specialist?

[proud owner]

Already starting in many sectors, not just banks....
Even oil, refineries, chemicals, plastics, oil-rigs, offshore, shipping are feeling the pain with many retrenchment and many are PMETs (many are potential HDB upgraders)..........


Still looking for work 6 months after losing job

Friday, Mar 18, 2016
Jeremy Koh
The Straits Times

After he heard the dreaded news in 2014 that the plant he was working in will be closed down, Mr Chua G.C., as he prefers to be known, put on a brave front at home, keeping the news from his wife and child.

But the anxiety would creep up and paralyse him in the middle of a meal.

Seized by fear, he would sit in silence for more than an hour, worrying about the future, especially for his school-going children, now aged 18 and 15.

The manufacturing company will completely shut its operations later this year and Mr Chua will be without a job for the first time since he started working.

Worse, he is worried he will not be able to get another job paying equivalent pay, given his age.

Mr Chua, who has a degree in chemical engineering from the National University of Singapore and has worked in the plastics industry for over 20 years, was a manager at a plastic production firm earning between $8,000 to $10,000 a month.

He has not received a single firm offer since he started sending out resumes since October last year.

.................................

"Imagine you are already 45 and you go for an interview just like a fresh grad and you need to go and sell yourself, the feeling is not nice."

Yes i read that article ...

6 mths and still no job .....

i know of friends ... who kana chopped the very very first mini wave ... 2012 .... till now 2016 ... still NOT A SINGLE JOB INTERVIEW ....

[teddybear]

Many of the PMETs who are over 50 years old are NOT easy to find a job, let alone one that pays almost the same that they lost............. (Ok, caveat here, you won't be in this predicament if you have connections, since those with connections can still collect fat salary until they die...........)

Yes i read that article ...

6 mths and still no job .....

i know of friends ... who kana chopped the very very first mini wave ... 2012 .... till now 2016 ... still NOT A SINGLE JOB INTERVIEW ....

[proud owner]

yes you are right ... those friends of mine are 50 and older... and used to draw between $15-25k a mth excl bonus...

lucky they have investments and savings over the years...

feel really bad for them ...

one day we will all reach 50 years old ....

while the nation celebrates SG 50 .... many of our fellow 1965 babies stay home worrying .....

[teddybear]

Actually if they already have more than enough to retire, than it may not be a bad thing for them - since they can really retire, enjoy life and smell the roses (get out of the rat race)......

Only if they still don't have enough to retire than that will be a big worry for them....

It is also good for the younger ones because they have chance to move up the ladder (previously occupied by the older people)....

It is a worry if all those top people don't retire and hoard the top position and continue to do so significantly beyond retirement age (or retirement age keep increasing for them or no age limit for them) and the younger ones have no chance to climb up..........

yes you are right ... those friends of mine are 50 and older... and used to draw between $15-25k a mth excl bonus...

lucky they have investments and savings over the years...

feel really bad for them ...

one day we will all reach 50 years old ....

while the nation celebrates SG 50 .... many of our fellow 1965 babies stay home worrying .....

[Kelonguni]

Agree.

I aim to reach a status where I can opt to retire at 50, latest 55.

Actually if they already have more than enough to retire, than it may not be a bad thing for them - since they can really retire, enjoy life and smell the roses (get out of the rat race)......

Only if they still don't have enough to retire than that will be a big worry for them....

It is also good for the younger ones because they have chance to move up the ladder (previously occupied by the older people)....

It is a worry if all those top people don't retire and hoard the top position and continue to do so significantly beyond retirement age (or retirement age keep increasing for them or no age limit for them) and the younger ones have no chance to climb up..........

[kellogs]

I think it is always a good idea to start planning early for retirement and exit from rat race.

For example if you require 200K per annum ... i think it is good to have SGD 5 millions worth of assets (rental properties, bonds and shares) which could generate 4% per year.

Work toward that goal and life would be much easier.

[Kelonguni]

The your figure a bit large for retirees leh...

I think I require maybe 40 or 50K a year...

I think it is always a good idea to start planning early for retirement and exit from rat race.

For example if you require 200K per annum ... i think it is good to have SGD 5 millions worth of assets (rental properties, bonds and shares) which could generate 4% per year.

Work toward that goal and life would be much easier.

[teddybear]

For 1 person or 2 people (including your spouse)?
$40-50k a year for 2 people is actually quite minimal these days..... Ok to pass life but can't really afford much, no car, no overseas holidays, no indulgence in restaurants dinning?

The your figure a bit large for retirees leh...

I think I require maybe 40 or 50K a year...

[Kelonguni]

For 1 person. Luckily, my spouse loves working and is considerably younger. Phew...

For 1 person or 2 people (including your spouse)?
$40-50k a year for 2 people is actually quite minimal these days..... Ok to pass life but can't really afford much, no car, no overseas holidays, no indulgence in restaurants dinning?