Before the year is up, CPF members will have a chance to demand every cent of OUR CPF back at 55. We will also be able to deny PAP’s arbitrary rewriting of CPF rules to continue increasing and channeling our CPF into GIC until we die.
Since GIC’s inception in 1981, PAP has hidden all material information with regard to CPF. Should anyone even trust PAP to manage hundreds of billions when we don’t even know where our CPF is invested?
PAP should come clean with CPF members and by that I don’t mean cleaning out some CPF annual reports with a revamp of CPF website. Fact: PAP is unable to return members all CPF monies at 55; if it could, it would not have delayed the withdrawal age in the first place.
The amount of CPF monies trapped by PAP is not peanuts. From the table below, total CPF balances of members above age 55 and above amounted to $79 BILLION last year. It is obvious PAP does not have $79 BILLION to return to us. Or even part of it.
Members aged between 50 and 55 will likely contribute more than $30 billion to GIC by 2020. In 5 years time, PAP would have trapped more than $110 billion of CPF belonging to senior citizens.
When CPF members highlighted the need for OUR money at 55, PAP appointed its own CPF Wayang Panel which dictated to us 3 options to RETAIN our money, ie Basic, Full and Enhanced Payout. PAP is not even bothered to listen.
PAP is trying to buy time by agreeing to a partial withdrawal at 65. If PAP majority in parliament is not removed, expect CPF rules to be tweaked.
The CPF Wayang Panel has further complicated an already unstable CPF scheme by introducing unnecessary changes. After all the wayang, the problem of retirement inadequacy is still not resolved.
Retirement shortfall is caused by PAP’s flawed policies such as depressing wages by forcing locals to compete with ‘FTs’ for third world wages, preventing CPF from being invested by channeling all contributions into housing during the initial years, channeling CPF into Medisave account and severely limiting its use, etc.
A PAP majority in parliament has proven it can’t be trusted as it will legislate changes against our interest. Although book smart PAP MPs could articulate better than SDA’s Desmond Lim , none of them highlighted CPF concerns until Roy and Hong Lim Park woke them up from their slumber. Even after the wake-up call, their ‘solution’ is to tackle CPF issues …. with even more tweaks.
CPF members must be wary about supporting PAP because it never intended to return OUR CPF. Its plans have all been laid out, ie more than $110 billion of senior citizens’ CPF will be trapped by 2020. A PAP parliamentary majority will also cook up more ‘justifications’ to increase GIC’s funds by raising the legislated minimum (retirement) sum.
Laws are not cast in stone and must serve a purpose. When the retention of retirement funds hurt hundreds of thousands of ordinary citizens, our laws have to be amended.
When a government abuses its power by allowing CPF returns to be creamed off, money which rightly belongs to members, it is morally bankrupt and is in no position to lead the people.
GE 2015 is an opportunity for ordinary citizens to get back OUR CPF. We must learn to ignore all propaganda and make the right decision as to which party could be trusted to serve our interest.
On the CPF issue, we’re left with an easy choice to either boot PAP out or kiss our CPF goodbye.