Reading Today's article on "Higher Levy for Higher Leverage" (see below) baffles me. I fail to see how "higher levies will encourage companies to reduce their reliance on foreign labour and invest in productivity improvements" as quoted by Mr Gan, Manpower Minister.
In the first instance pro-foreign labour policies were drafted out by the Manpower Ministry which you, Mr Gan, and your predecessors had endorsed. The sudden U-Turn can only be related to the coming election. It definitely was not our call to 'invite' these foreigners into our country and then impose levies on them. But then I foresee there will be tweaks again to revert to pro-business post-election.
Wednesday, February 23, 2011
Wednesday, February 09, 2011
Let me share this simply story.
A certain Peter allowed Paul to safe keep his money. When Peter requested it back, Paul not only returned his money, Paul slapped Peter with an interest.
Does this make any sense to you? Does Paul need to charge Peter any interest when it first belonged to Peter? In addition Paul had the luxury to use the money to invest and reap the profits. In fact I'd reckon Paul should pay profit dividends to Peter for using the money.
That is how the stocks of a company work for me and pay me dividends.