Why would an employer hire a foreigner merely because he is cheaper? If he is cheaper but worse, I wouldn't hire him.
At the very least, he needs to be cheaper but just as good.
If he is cheaper AND better, than it's a no brainer.
If Singaporeans are losing jobs because they are more expensive but not better, then the problem lies not with the Manpower Ministry but with Education.
If our education system is churning our workers that cost more but perform worse (or merely as well as a foreigner), than it has serious problems. It is the Ministry of Education that needs to soul search rather than Manpower.
By tweaking manpower policies we may be attacking the symtoms rather than the causes. Wrong medicine for the wrong disease.
We may be barking up the entirely wrong tree.