Sylvia Lim replies to Eng Hen
Responding to Eng Hen's comment that WP was silence on many issues, Sylvia Lim replied yesterday saying that Low Thia Khiang was overseas and that WP has made its stands on many issues, including ministerial pay. I quote, "On Mr Low's silence in response to PM Lee, she said: 'Benchmarking ministerial pay to corporate pay, but without corresponding corporate consequences, brings to the fore the contentious issue of whether ministers should be paid at top corporate rates. Is the comparison of minister to CEO valid?'" Normally, in the corporate world, high pay is associated with responsibility and accountability. CEOs are paid for the job they are doing and for the responsibility they are shouldering. Both come together as a package. You cannot have a big job scope with no responsibility or accountability. The high pay is exactly for these. But Singapore can benefit from learning from the Americans. The Americans will hand the sacked CEO a huge severance angpow in the tune of tens or hundreds of millions for being sacked, or for taking responsibility for a mistake or failure. The recent one from the subprime fallout was a cool US$68 mil! This will be more palatable and kind, and gracious. We should adopt such a practice so that CEOs will be most happy to take responsibility and the sack, and of course the big angpow.