Retrench only as 'last resort'


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Nisa

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Retrench only as 'last resort'

Govt, employers and unions urge companies to use other measures to manage excess workers.

Wed, Nov 19, 2008
my paper

THE tripartite partners of the Government, employers and unions are urging companies with excess staff to consider retrenchment only as a last resort.

Instead, they should consider redeploying the workers to other areas of work, implementing a shorter working week or sending the workers for skills training, said Acting Manpower Minister Gan Kim Yong in a written reply to Parliament yesterday.

Companies can also manage their wage costs by using the flexible wage system or implementing temporary layoffs, Mr Gan said.

He was responding to questions from Dr Lim Wee Kiak, Member of Parliament for Sembawang GRC, who asked about the ministry's plans for helping workers in view of the expected rise in unemployment.

However, retrenchments may be inevitable for some companies, even if all the measures to avoid layoffs are implemented, Mr Gan said.

In such situations, companies are encouraged to discuss with their unions and theMinistry of Manpower (MOM) to ensure that retrenchment would be carried out responsibly and smoothly, he said.

'Non-unionised workers who are affected by retrenchment can also seek advice and assistance from MOM.'

He said that this approach to managing excess staff is detailed in the revised Tripartite Guidelines on Managing Excess Manpower, which MOM will release today.

'We urge companies to apply these guidelines and take a longer- term view to managing their manpower,' said the minister.

He added that the tripartite partners will closely monitor the employment situation in affected sectors. They will step up efforts to help companies and affected workers cope with the downturn.

Mr Gan also said that the tripartite partners will help retrenched workers find suitable jobs and, where necessary, help them upgrade their skills to improve their chances of securing another job.

'Retrenched workers and other jobseekers could be deployed to sectors which are still hiring and have strong growth prospects,' he said.

'For example, it is estimated that the retail industry will need at least several thousand retail workers once Ion Orchard, Orchard Central and the integrated resorts are open.'

Details of a new initiative called the Skills Programme for Upgrading and Resilience, which will include a loan-access scheme for businesses and a new training programme for workers, will be announced soon.

Source :http://www.asiaone.com/print/Business/News/Office/Story/A1Story20081119-101721.html
 

azul123

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Dec 4, 2004
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#2
Companies are not obligated to follow, DBS is one such example.

../azul123
 

Nisa

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#4
it has to be a two ways thing.

If you don't want the company to do retrenchment, then employees should also be agreeable to certain measures taken.
 

sORe-EyEz

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Jun 28, 2005
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#5
it has to be a two ways thing.

If you don't want the company to do retrenchment, then employees should also be agreeable to certain measures taken.
most employees have little to no choice but to agree to those terms.

i do not recall any resistance to most "bitter pills" handed out. :embrass: correct me if i am wrong.

:)
 

waileong

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#6
This is just BS and wayang wayang, it's not legislation so companies can just treat it as "ear-side wind".



Retrench only as 'last resort'

Govt, employers and unions urge companies to use other measures to manage excess workers.

Wed, Nov 19, 2008
my paper

THE tripartite partners of the Government, employers and unions are urging companies with excess staff to consider retrenchment only as a last resort.

Instead, they should consider redeploying the workers to other areas of work, implementing a shorter working week or sending the workers for skills training, said Acting Manpower Minister Gan Kim Yong in a written reply to Parliament yesterday.

Companies can also manage their wage costs by using the flexible wage system or implementing temporary layoffs, Mr Gan said.

He was responding to questions from Dr Lim Wee Kiak, Member of Parliament for Sembawang GRC, who asked about the ministry's plans for helping workers in view of the expected rise in unemployment.

However, retrenchments may be inevitable for some companies, even if all the measures to avoid layoffs are implemented, Mr Gan said.

In such situations, companies are encouraged to discuss with their unions and theMinistry of Manpower (MOM) to ensure that retrenchment would be carried out responsibly and smoothly, he said.

'Non-unionised workers who are affected by retrenchment can also seek advice and assistance from MOM.'

He said that this approach to managing excess staff is detailed in the revised Tripartite Guidelines on Managing Excess Manpower, which MOM will release today.

'We urge companies to apply these guidelines and take a longer- term view to managing their manpower,' said the minister.

He added that the tripartite partners will closely monitor the employment situation in affected sectors. They will step up efforts to help companies and affected workers cope with the downturn.

Mr Gan also said that the tripartite partners will help retrenched workers find suitable jobs and, where necessary, help them upgrade their skills to improve their chances of securing another job.

'Retrenched workers and other jobseekers could be deployed to sectors which are still hiring and have strong growth prospects,' he said.

'For example, it is estimated that the retail industry will need at least several thousand retail workers once Ion Orchard, Orchard Central and the integrated resorts are open.'

Details of a new initiative called the Skills Programme for Upgrading and Resilience, which will include a loan-access scheme for businesses and a new training programme for workers, will be announced soon.

Source :http://www.asiaone.com/print/Business/News/Office/Story/A1Story20081119-101721.html
 

Nisa

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Aug 13, 2004
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#7
most employees have little to no choice but to agree to those terms.

i do not recall any resistance to most "bitter pills" handed out. :embrass: correct me if i am wrong.

:)
like u said "most".

I know some employers who are selling their personal properties, going into debts and borrowing money from family members, and yet some employees are still slacking and behaving that they are the bosses, and the employers earn alot because of them.

Give me a break! U don't want to get retrenched, then work with the company. Not against.
 

azul123

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Dec 4, 2004
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#8
This is just BS and wayang wayang, it's not legislation so companies can just treat it as "ear-side wind".
You have to look at it as who is the target audience? general populace, wayang wayang lah.

../azul123
 

dancemania

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Oct 1, 2006
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#11
Not many companies will listen to govt. They just read the papers : "Recession, job cuts" and they follow suit.
 

night86mare

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#13
Let's make retrenchment a crime punishable by law. :bsmilie: :bsmilie:
yes, the company owners should just sink deeper into debt to make sure that they won't have to retrench people

at the end of the day, when they declare bankruptcy and have to shut down the entire company anyways, at least they have the warm fuzzy feeling in their hearts that they had given all the workers a few more months of pay. :sweatsm::sweatsm:

while we're at it, why not sneak in a few more rules, like how bosses should buy their workers coffee and lunch and dinner. :heart:
 

aeskywan

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Feb 13, 2007
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#14
Put it this way from a business point of view, retrenchment is a effective way of cutting cost immediately. And if the govt just talk.... put it this way, it's just talk. They are not going to help companies who keep their staff.

So retrenchment is the way to go for big corporations that are bleeding to death. Rather a few die than the whole company die.
 

night86mare

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#15
Put it this way from a business point of view, retrenchment is a effective way of cutting cost immediately. And if the govt just talk.... put it this way, it's just talk. They are not going to help companies who keep their staff.
i also wonder how the "not-general-populace" thinks that the government should help companies to edge away from retrenchment. :bsmilie:
 

azul123

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Dec 4, 2004
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#16
General populace knows, just don't wayang wayang. We are not dumb.

../azul123
 

night86mare

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#17
You have to look at it as who is the target audience? general populace, wayang wayang lah.

../azul123
General populace knows, just don't wayang wayang. We are not dumb.

../azul123
and thus your argument is.. a little self-defeating.

just a little. but never mind. knows what, btw? :dunno:
 

azul123

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Dec 4, 2004
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#18
and thus your argument is.. a little self-defeating.

just a little. but never mind. knows what, btw? :dunno:
People knows but yet they thinking old trick still works... so they are out of touch and don't know it. My point.

../azul123
 

Jan 23, 2005
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#19

sORe-EyEz

Senior Member
Jun 28, 2005
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#20
Corret me if I'm wrong... isn't NOL held to 2/3 (and thus a controlling majority) by Temasek Holdings? What does it say if the government linked company ignores the government's request?
it goes to show 1 should never trust a 2-headed ogre? :bsmilie:

*sharing a link does not make them 1? :dunno:
 

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