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Sunday, 16 November 2008

Barking NTUC Chief has no bite

So NTUC Chief Lim Swee Say tries to show his teeth. That’s just about it, isn’t it? The fact is that in Singapore, LEGALLY, the NTUC has no recourse, even if DBS retrenches the entire staff without telling the union a single word before the exercise.

For those not familiar with the legal status of unions (and workers) in Singapore, here is a statute telling in no uncertain terms, that DBS (or any other employer) has the right to retrench, and there is NOTHING unions can do about it.

Section 17 of the Industrial Relations Act (Cap 136)
http://www.lawgazette.com.sg/2002-4/Apr02-focus.htm
Under s 17 of the Industrial Relations Act (Cap 136), a trade union may serve on an employer (or vice versa) a notice setting out proposals for a collective agreement and inviting negotiations. It is not unusual for collective agreements to contain provisions for employees to receive retrenchment benefits calculated on the basis of a formula involving a percentage of monthly salary and the number of years of service.

It has been recently reported that one of the major local banks involved in a merger had agreed on a retrenchment package based on a percentage of monthly pay and the number of years of service plus a lump sum payment for members of the Singapore Bank Employees Union and Singapore Bank Officers Association. Yet another major local bank had announced retrenchment packages of this nature for both unionised and non-unionised staff.

It should be noted, however, that s 17(2) of the Industrial Relations Act (Cap 136) provides that one of the matters which a trade union is not entitled to include in a notice under s 17 of this Act (ie one of the non-bargainable matters) is: 'the termination by an employer of the services of an employee by reason of redundancy or by reason of the reorganisation of an employers' profession, business, trade or work or the criteria for such termination'.

It was reported in the ST on 16 November, http://www.straitstimes.com/Breaking%2BNews/Singapore/Story/STIStory_302964.html ,
WITH more retrenchments expected in the coming months, the Ministry of Manpower (MOM) is reviewing its guidelines for employers on how to handle excess manpower.

Just guidelines? Hah! You think employers would care? It must be remembered that DBS is a unionised company. That union is an affiliate of the NTUC. DBS cared no hoot, even when an advisor of the union happens to be an MP. You think guidelines would be respected?

It has long been argued, for decades, that as long as S17(2) of the Industrial Relations Act is in place, all the hot air MOM or NTUC talk about retrenchment will be just that – hot air. The retrenchment exercise by DBS has proven just that.

What should be done is to repeal S17(2), so that at least unions can negotiate (as a right) the terms and conditions of termination and retrenchment of employees. Only then will employers think twice about retrenching employees without consultation.

Would the PAP government dare repeal S17(2) of the IR Act and risk the wrath of employers, including foreign investors? We all know the answer. The PAP has never been sympathetic towards the ordinary worker or layman on the street.

7 comments:

black feline said...

he's throwing tantrums now...refusing food....crying and screaming...flipping his silly hairdo at the same time..."i dont care i dont care! they didn't consult me...i dont care i dont care!" Real stupid goon!

Anonymous said...

Someone shud bring him his CPF statement.

Then he will feel richer and happier again.

tewniaseng said...

no use to have a Ntuc chief who is powerless, just talk only useless.He can sit in PM office comfortably, do u think he cares for the workers?

Anonymous said...

My advice is just take care of yourself. The Union cannot help you in times like this. All they can say is use the opportunity to upgrade. But some who upgraded are still left to take on lower paid jobs because foreign workers are prepared to accept those jobs at even lower salaries. Employers will definitely do the smartest thing and that is hire those who can survive on the lowest wages. On that basis, foreign workers will beat Singaporeans hands down.

The Government collects the levy, the employers save on cost and Singaporeans remain the suckers.

Anonymous said...

If Lim Swee Say is MM Lee's idea of division one talent then Singapore is really in very big trouble.

Anonymous said...

Sometimes this Lim Swee Say bite at the wrong place. For instance, he said he felt very rich because of his CPF and he also pays ERP every day, like all motorists. Don't know whether he has a sense of proportion. Sometimes he can also act very well, like crying on TV.

Anonymous said...

I tot DBS have already annouce to Singapore in the News that they are going to retrench 900 employee two week or more before they act on it, and our NTUC give it a deaf ear to it. When the retrenchment is conducted, NTUC then voice out their unhappiness. What kind of Unoin is this? So slow in action to stop the retrenchment. Now NTUC making a big fuss out of it. So what action will NTUC do to DBS Management? Employ all the retrenched employee back?