Just a month after the National Wages Council (NWC) announced its recommendations on wage and wage-related guidelines, 60 unionised companies from the industrial and service sectors have decided to give one-off special lump sum payments to their workers, including lower wage ones, to help them cope with the higher inflation. This follows the National Trades Union Congress (NTUC)–affiliated unions’ negotiations with their respective companies on the NWC guidelines. Collectively, this would benefit about 40,000 workers from a wide range of industries like construction, hospitality, chemical, electronics, manufacturing, education, logistics, public transport, marine and aerospace.
NTUC is pleased to note that these unionised companies have been receptive to and supportive of the NWC’s recommendation for employers to do their part in helping rank and file workers, especially the lower wage ones, cope with the higher inflation, by giving them one-off special lump sum payments ranging from $100 to $1,000. Some of these unionised companies have also extended the payments to their executive staff as well.
For the public sector, the Government has earlier negotiated with the public sector unions and announced that it would grant civil servants a mid-year Annual Variable Component and a dollar quantum ranging between $100 to $300, with a heavier weightage for lower wage workers, to reward them for their contributions and to help them cope with the impact of inflation.
With about 1,000 unionised companies in Singapore, NTUC expects more companies to come onboard over the next few months in giving the one-off special lump sum payment as unions begin or are still in negotiations with their companies on the NWC guidelines. As a pro-worker and pro-business labour movement, NTUC recognises that not all unionised companies are able to give the one-off special lump sum payment because some may face poor business performance and a lack of affordability to pay. At the same time, some unionised companies that have given considerable amount of annual increment and bonuses to their workers earlier, have already taken into account the higher inflation and tighter labour market situation and thus, will not be giving the payment.
Nonetheless, NTUC encourages companies that have the ability to give the one-off special lump sum payment to join the Labour Movement and the Government in helping workers during this period. NTUC also urges companies to continue pursuing productivity improvement so that workers’ wages can increase in a sustainable manner.
Heng Chee How
Deputy Secretary-General
National Trades Union Congress and
NTUC's National Wages Council Team Leader
Ms Cham Hui Fong
Director
Industrial Relations Department
National Trades Union Congress
