26/05/2011. Turning From Confrontation Cooperation Partnership. Singapore strike free since except for a 2-day strike in ,000

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1 SNTUC in Brief Founded in 1961 Only national trade union centre 580,000 members ~25% union density (total workforce) Singapore National Trades Union Congress Internationally affiliated to ITUC (1967), ITUC-AP (housed by SNTUC since 1988), ATUC (1981), GUFs Turbulent Past: 1950s & 1960s In the late fifties, there were lots of problems, strikes, riots and union activities were very much alive. During those days we were only concerned with fighting for increases in wages Oscar Oliveiro, former NTUC President Turning From Confrontation Cooperation Partnership Strikes Per Year Man-Days Lost 1,000,000 Singapore strike free since ,000 except for a 2-day strike in , , , , , , , ,

2 Strong & Effective Social Partnership Enjoyed harmonious industrial relations for past 30+ years ~400 Collective Agreements signed a year ~2,000 disputes in unionised companies a year, 90% settled without 3 rd party help Strong & Effective Social Partnership Today - Tripartite Social Partnership Unions retain right to strike Example: UPWI s new CAs link pay and bonus to performance more closely Example: SBEU and SBOA signed a new CA with UOB Bank enabled bank and employees to stay competitive Labour Legislations Employment Act The Hard Ware Behind Work Injury Compensation Act Workplace Safety and Health Act Central Provident Fund Act Industrial Relations Act Trade Disputes Act 2

3 Collective Agreement (CA) An agreement reached after negotiations between the union and the management Duration - minimum 2 years, maximum 3 years. Procedure sections 18 to 25 of the IR Act. Only atrade union which has been accorded recognition may serve anotice of invitation to negotiate. Collective Agreement (CA) CA Clauses General Items General Terms & Conditions of Employment Termination of Employment Salary & Other Monetary Items Leave Items Medical, Dental Benefits & Insurance Others Collective Agreement (CA) Non-negotiable negotiable Issues Besides the restriction of IR Act Section 18, Clause No. 2, union is free to negotiate with the management. This section is referred to the employer's privilege in the company Promotion of employees Transfer of employees Rights on employment of workers Rights on termination of employment Rights to assign work Union/Management Negotiation Deadlock Collective Bargaining Process Agreement Reached Deadlock Industrial Arbitration Court Awards IAC: Mediation/ Hearing Industrial Action Conciliation at Ministry of Manpower 3

4 Regular Dialogues The Heart Ware Behind Trust, Mutual Respect & Shared Ideals Workers Interests Economic Competitiveness Personal Relations (left) Mr Masatoshi Koike, outgoing Managing Director of Murata Electronics (Singapore) (right) Mr Cyrille Tan, General Secretary of United Workers of Electronic and Electrical Industries (UWEEI) The closest union leader that I have worked with most must be our own Murata Branch Chairman Mr Cyrille Tan. He is seconded full-time to the union and I must commend him for his selfless contributions to the Labour Movement all these years. He is also one of the key reasons why Murata has maintained a strong and harmonious labour-management relationship. Mr Masatoshi Koike, outgoing Managing Director of Murata Electronics (Singapore) 4

5 Doing Good Together Study / Learning Trips Copthorne Orchid Hotel staff and FDAWU unionists at an event hosting residents from the Geylang East Home for the Aged. The FDAWU has enjoyed a history of harmonious relations with the Copthorne Orchid Hotel. For the past five years, the hotel s Management has hosted the Union s adopted charity home to an afternoon of Hi-tea and dance at the hotel s Lounge every Chinese New Year. Taking It Higher In the 1980s Unions have been working on wage reforms and wage restructuring efforts with companies. These include implementing the Monthly Variable Components, and urging companies to move away from a seniority-based system to job, competency and/or performance-based wage systems. During the 2009 economic downturn Unions made a difference by mobilising the workforce on the ground and working closely with company management to ensure swift implementation of various measures. What s Next? 5

6 Preserve Capacity Job is the best welfare The Singapore Labour Movement is committed to be both pro-worker and probusiness to improve productivity it so that t businesses can grow, and in so doing enable workers to enjoy sustained wage increases and inclusive growth. Upgrade Capability Full employment is the best protection IGP is a S$40 million, 2 year Programme Target at bottom 20% of workforce (earning S$1,400 or lower) Aim for measurable productivity improvement, e.g. production per worker, revenue per worker, defect rate, etc Improve value of low-wage wage jobs and raise wages 1. No down-sizing of local workforce 2. Not through longer working hours Through funding, encourage capital build up & deeper skills IGP covers the following: Up to 50% funding for use of equipment, technology, tools, software, etc Up to 50% for process redesign Up to 90% for customised training not funded under Continuing Education & Training system today Funding cap of S$150,000 per project & S$500,000 per company 6

7 IGP targets four levels of stakeholders Early Adopter: TNT Express Industry Recognise skills stds Regulate for quality Buyer Practice best sourcing Company Intensify use of technology, equipment, machines Workers Deeper skills Multi-skills Automation-based Improvements: Sort out the consignments that require custom inspection without human intervention Invoice Reconciliation Damaged Unidentified Consignment The company identified three projects, and IGP comes in as a catalyst for implementation. Once implemented, there will be significant reductions in manual labour and the company will be sharing productivity gains with the workers, who will get increased shift allowance and vouchers for working on public holidays. This is a win-win situation for all. Early Adopter: Royal Plaza on Scotts Multi-Skilling and Cross Deployment * Multi-Skilling in Front Desk, Concierge and Royal Club competencies for GSOs * Butler training for Carousel Adopting technology and automation * Automated Garbage Clearing System * Motorised Trolleys Mr Patrick Fiat, General Manager, said: Embarking on the IGP encourages our workforce to upgrade their skill sets to ensure their employability in the long run. IGP plays a crucial role in the current situation as Singapore and the hospitality industry are facing the issues of ageing population and labour crunch. He added: With the aid of technology, manual work for our employees is decreased and they are better deployed for job enlargements, resulting in a more fulfilling work life and increased productivity. 7