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Every worker matters. As our society becomes more affluent, many of us are concerned about the plight of our low-wage workers. Many of us have heard of the phrase “It takes a village to raise a child.” In the same vein, I say that it takes everyone in society to help low-wage workers! Everyone, regardless of whether you are the Government, an employer, a service buyer or a concerned citizen, must realise that we all have a part to play to uplift the lives of our low-wage workers.
GOVERNMENT’S EFFORTS IN HELPING LOW-WAGE WORKERS
This year’s budget is pro-worker. NTUC applauds the Government for its continued efforts to help low-wage workers. We welcome the enhancements to the Workfare Income Supplement scheme. Perhaps, the Government may want to consider increasing the cash-to-CPF ratio to put more cash in the hands of the low-wage workers to help them better meet their immediate needs, without impacting the allocated budget.
While NTUC continues to rally our workers to upskill, I believe that an important next step would be for the WSQ courses to be reviewed. NTUC stands ready to work with the industry stakeholders, training providers and SSG to ensure WSQ courses are comprehensive and flexible to suit the needs of the industry.
Our Government and employers have been very supportive of the Progressive Wage Model, and this has translated to real outcomes for our cleaners, security officers and landscape workers. NTUC hopes to see more industry stakeholders coming forward to work with the Government and NTUC to develop PWMs for their industries. Coupled with WSQ modules being made more relevant, this would be a sustainable way to raise the wages of our workers.
In this year’s Budget, NTUC welcomes the condition to have positive outcomes for workers as a core criteria for companies to tap on the Enterprise Development Grant. NTUC is encouraging companies to work with their union leaders to set up training committees to identify training that will equip workers with the relevant skills for sustained productivity increase.
Although my previous call for better medical benefits under the Employment Act did not materialise, I welcome the enhanced CHAS subsidies and hope that MOH will allow CHAS cardholders to receive subsidised healthcare treatments at polyclinics even if referrals are made by CHAS-approved private clinics.
SERVICE BUYERS CAN DO MORE
Service buyers have a key role to play in uplifting the lives of our low-wage workers. NTUC has been encouraging them to adopt Outcome-Based Contracting and to place greater emphasis on quality attributes rather than contract prices. Adopting progressive procurement practices will achieve more favourable outcomes for all, including better welfare for our outsourced low-wage workers. What are these progressive practices?
First, contracts should specify service outcomes instead of headcounts, and be evaluated more holistically based on the price-quality method, where quality has a higher weightage over price. Service buyers should avoid cheap sourcing which would lead to service providers undercutting each other in order to win contracts. Because with low margins, service providers are unlikely to provide better staff welfare beyond the statutory benefits.
Second, service buyers should consider longer contract periods. This would incentivise service providers to invest in technology since they can amortise cost over a longer period. Technology makes work easier, smarter and safer, leading to better service outcomes and higher productivity. In addition, it gives outsourced workers greater job security. Service buyers can also consider aggregating their demand to potentially enjoy economies of scale and more efficient manpower deployment.
Third, service buyers should treat their service providers as partners instead of mere contractors. They should ensure that their contracts have fair clauses and avoid unreasonable liquidated damages. When service providers have fair contracts, they are more likely to do a good job and train their workers to deliver higher service standards. Otherwise, workers would usually bear the brunt of bad contracts. This happens when service providers find ways to minimise cost at the expense of workers’ welfare.
Finally, when contracts are renewed, service buyers should consider the experience of the incumbent workers as well. These workers are more experienced and familiar with the job requirements. Thus, in awarding a new or renewed contract, service buyers should ensure that incumbent workers’ wages and benefits are not worse off than before.
NTUC hopes to see more government bodies take the lead to adopt these Outcome-Based Contracting and progressive procurement practices. Our unions have been working closely with the industry associations to engage buyers and catalyse this on the ground.
Besides this, service buyers have a moral responsibility to look after the welfare of their outsourced workers. This includes the area of training – allowing service providers to send their workers to attend training without requesting for headcount replacements – and workplace welfare.
I therefore call for building owners or service buyers to provide designated rest areas for their outsourced workers. I am sure if workers are treated well, they will put in their best efforts to deliver quality service. To lead by example, I call upon all government agencies and related bodies to ensure proper rest areas are provided for outsourced workers. The unions can work with building management to propose solutions for proper rest areas to be built.
SERVICE PROVIDERS MUST NOT BID FOR CONTRACTS AT EXPENSE OF WORKERS
On the part of service providers, NTUC has been vocal against the practice of price undercutting or suicide bids, because when service providers have difficulty maintaining the contract subsequently, it is their workers who suffer. Service providers should not gamble on their workers’ wages and welfare and hope that the contract they won through price undercutting will bring them profit. I urge the government ministries and service buyers to keep a look out for price undercutting and exclude such service providers from getting the contracts.
NTUC has been instrumental in the recent changes to the Employment Act and the introduction of Tripartite Standards. We have been active in encouraging companies and service providers to adopt the tripartite guidelines and standards which promote fair and progressive employment practices, which have also helped make working conditions better for low-wage workers. We hope the Government will only do business with companies that have adopted these tripartite standards.
WORKERS MUST EMBRACE TRAINING AND TECHNOLOGY
Low-wage, vulnerable workers must also help themselves to earn better wages through upskilling and knowing their employment rights. NTUC has been urging our workers to ‘train up to keep up’ and ‘skill up to move up’. We want workers to embrace the adaptive, technology and technical skills relevant to their industry to become Worker 4.0, hand-in-hand with Industry 4.0.
With the huge training subsidies provided by the Government, the onus is also on the workers themselves to seize the opportunities available.
SOCIETY AT LARGE CAN MAKE A DIFFERENCE
Finally, let’s not take for granted clean, green and safe environments that we work, live and play in every day. These are not a given – they are a result of a lot of hard work put in by our cleaners, security officers and landscape workers.
As individuals, we can show our appreciation to them with simple acts. Return our own trays at the food centres; greet and give a smile when you see them. Do not litter and, do not think that you are doing them a favour by creating work for them.
These acts don’t cost us a thing, but they can go a long way in brightening up their lives. Make it our habit to care. A gracious society does not happen by chance; it is up to you and me to make a difference.
Setiap pekerja adalah pekerja penting. Usaha membantu pekerja-pekerja bergaji rendah adalah tanggungjawab semua pihak. Dalam Belanjawan ini, pemerintah telah meningkatkan bayaran bagi Skim Tambahan Pendapatan Daya Kerja (Workfare Income Supplement) dan memberi beberapa bantuan lain seperti CHAS dan sokongan latihan.
Amatlah penting bagi pembeli khidmat dan penyedia khidmat menjalankan urus niaga dengan jujur dan adil agar pekerja-pekerja bergaji rendah dapat menikmati gaji dan suasana pekerjaan yang baik.
Pekerja-pekerja bergaji rendah juga perlu mengambil peluang latihan yang ada untuk meningkatkan kemahiran, terutama sekali dalam penggunaan teknologi. Saya juga ingin menggesa orang ramai supaya lebih bertimbang rasa untuk meringankan beban kerja pekerja-pekerja bergaji rendah.
Ramai di antara kita mungkin tidak sedar, tetapi, dalam tugasan dan kehidupan seharian, kita boleh memainkan peranan untuk membantu pekerja-pekerja bergaji rendah mencari rezeki dengan penuh harga diri.
CONCLUSION
As a society, we are judged by how we care for the less fortunate. Helping low-wage workers earn better wages, gain better welfare and be shown greater respect is not the government’s responsibility alone. It is our collective responsibility to create a better society – one that is inclusive and caring, and one that ensures all workers feel a sense of belonging.
Wherever you are, do what you can, with whatever you have to help a low-wage worker live with dignity. Every worker matters. I support the Budget.
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