Labour movement aims to keep job losses below 29,000 this year

SINGAPORE : The labour movement is going to do all it can to keep job layoffs under 29,000 this year - the level last seen during the Asian Financial Crisis in 1998.

Analysts have said that Singapore could see unemployment hit a 20-year high in 2009.

Up to 51 million jobs are expected to be lost globally this year.

But the labour movement said Singapore can try and beat the odds to avoid exceeding the high unemployment rate of 5.2 per cent recorded in 2003.

Speaking at NTUC's annual Workplan Seminar on Thursday, Lim Swee Say, Secretary-General, NTUC, and Minister, Prime Minister's Office, said: "We recognise that the odds are against us. But as a labour movement, we refuse to give in to the odds without putting in our very best effort from the labour movement and from our tripartite partners.

"In Singapore we have tripartism, and the tripartism has served us very well. It is a unique advantage, so as we go through this downturn, our challenge is to continue to unleash this unique Singapore advantage."

To keep unemployment low, the labour movement has made four commitments - it wants to be the most pro-business economy in the world, the most pro-worker nation in the world, and have the most united tripartite relationship, with a most caring labour movement.

To fulfil the first commitment, it said it will intensify efforts to help companies cut costs and workers increase productivity.

Mr Lim said the recent Jobs Credit scheme announced during the Budget has already prompted some multinationals to re-look retrenchment plans, and he said the government will be forthcoming with more help for companies if the situation continues to worsen.

Mr Lim also called on workers to build an understanding with employers.

He said: "Both parties are under a lot of stress. So when we are under stress, that is a moment of truth. Some union leaders (and) some management under stress...end up divided. (For) some union leaders (and) some companies under stress, under heat, the heat bonds them together..."

On the worker front, the labour movement said it will ramp up its efforts to help workers re-skill and upgrade their skills.

Already, 170 companies and 7,800 workers have committed to the Skills Programme for Upgrading and Resilience (SPUR).

Singapore has already seen retrenchments in the electronics, chemicals, precision engineering and services sector.

But Mr Lim said the key concern of the labour movement is structural unemployment, because there are new jobs being created in the healthcare, tourism, construction and public sectors.

And the country is expected to receive at least S$10 billion worth of investments from foreign companies this year.

The key challenge is to retrain retrenched workers for these jobs.

The labour movement said it will also continue to help older workers stay employed and help women get back to work.

Last year, NTUC helped 2,329 women find jobs and had 706 unionised companies committed to re-employing 4,659 older workers.

This year, the target is to help another 2,000 women and another 4,500 workers.

And with migrant workers expected to form the bulk of workers retrenched here, NTUC will work with the Singapore National Employers Federation to set up a contact centre for them.

This will offer such workers another place to turn to, besides the Manpower Ministry.

The labour movement has also earmarked S$20 million for vouchers, subsidies and discounts to be distributed to members facing financial difficulties.

Meanwhile, the Labour Movement is reorganising its structure, to deliver its four commitments set out at its annual Workplan Seminar.

From February 1, the Employment and Employability Institute (e2i) will be merged with NTUC's Employment Enhancement Department.

Catering to professionals and rank-and-file workers, e2i offers information on training programmes and new jobs.

Chairing e2i will be NTUC's Assistant Secretary General Ong Ye Kung.

The NTUC Learning Hub, which currently trains about 200,000 workers a year and has an annual revenue of S$30 million, is also set to expand.

Finally, to better align and mobilise union leaders, the Ong Teng Cheong Institute of Labour Studies and the Leadership Development Department of NTUC will be merged to form the Ong Teng Cheong Labour Leadership Institute from February 1.

NTUC Deputy Secretary General Heng Chee How has been appointed the chairman of the Executive Committee of this Institute.