Low-wage workers are not immune to the disruption and changes in technology and they must be willing to upgrade themselves to make sure they continue to be relevant in the workforce, said NTUC Assistant Secretary-General (ASG) Zainal Sapari in an exclusive interview with NTUC This Week.
“We have been trying hard to push for workers to upskill and reskill to keep themselves relevant. The moment they stop, they will become irrelevant and replaced by technology, and they will find themselves in a worse off position,” said ASG Zainal.
NTUC has been making sure that support is given to these workers through entities such as NTUC’s e2i (Employment and Employability Institute) and NTUC LearningHub, where union members workers are eligible for training subsidies with the NTUC Union Training Assistance Programme on top of utilising their SkillsFuture Credit.
However, ASG Zainal noticed that there are still many low-wage workers who are not going for training because they are bogged down with their jobs or are unwilling to attend training during their non-working days.
“Therefore, it is important that the employers have an open mind. Encourage and allow workers to upskill themselves during working hours [where possible],” he said.
The Wage Issue
Fewer low-wage workers received pay rises last year. The Report on Wage Practices 2016 released by the Manpower Ministry recently showed that 59.8 per cent of companies said they did not give wage increases to low-wage workers earning a basic monthly wage of $1,100 and below in 2016. This is compared to the 53.5 per cent in 2015.
Many cited poor business performance or that they are already paying the market rate.
ASG Zainal said that companies that do not give annual increments to workers will risk losing them to other industries that are doing so.
“Personally, I think it is just an excuse to not be paying these workers an increment. Typically, when the companies are doing well, they will always cite uncertain business prospects to exercise wage restraints. However, it is heartening to see that bigger unionised companies are still open to giving wage increments to low-wage workers.
“I notice many SMEs [small- and medium-sized enterprises] are giving this excuse. I urge them to adopt new technologies and business models to improve productivity and employ skilled workers. Hopefully, this will allow their low-wage workers to earn a better living,” he said.
Selective Giving
ASG Zainal also said that although the Report on Wage Practices showed that 49 per cent of companies with outsourced workers earning up to $1,100 stated that they adopted the National Wages Council (NWC) recommended quantum of $50 in 2016, all is not what it seems.
“During our ground engagement, we noticed that NWC recommendations are not given to all workers in the company. Many companies give the recommended quantum to retain their workers rather than follow the intent and spirit of the NWC and giving to everyone,” he said.
With this, he encouraged companies to give the recommended quantum to all workers instead of only those they wished to retain.
ASG Zainal also echoed the NWC recommendations that urged service buyers in outsourced sectors to allow contract values to be adjusted when necessary as this will allow service providers to give the recommended quantum to its employees.
From this year, cleaners will benefit from changes to the Progressive Wage Model (PWM) that makes it mandatory for employers to give wage increments. NTUC and its tripartite partners are also looking to include a compulsory annual wage increase and bonuses for workers in outsourced sectors such as security and landscape where the PWM has been introduced.
Related Stories:
- Sharon Kwek: Taking Charge of Her Career
