The announced revisions to be made to the Employment Act (EA) is a fruition of extensive engagement of numerous stakeholders, including members of the public with the Manpower Ministry, intensive consultations with the unions, as well as close discussion amongst tripartite partners, namely the Government, Labour Movement and employers. The National Trades Union Congress is heartened that the revised EA is offering protection to more working people, as well as providing better protection to working people in Singapore.
The EA sets the minimum employment terms and conditions in Singapore, hence it is a vital national employment protection net to working people in Singapore. NTUC has asked for an increase in the salary cap for workers (non-workmen) so that more workers are protected, shortening the tenure of employment service for workers to receive retrenchment benefits, better protection of workers in the event of transfer of employment, and putting in place mandatory payslips and written employment contracts to protect the low-wage and contract workers, amongst others.
We commend the Ministry’s revision of the salary cap for non-workmen from current $2,000 to $2,500, thus allowing more workers to be covered by the act. We are also pleased that suggestions that have broad-based impact are taken in, such as mandatory payslips and reducing the minimum service period for retrenchment benefits. We will continue to put forth our proposed changes to EA, including better protection for outsourced workers, short-term contract staff, and freelancers to protect these vulnerable groups of working people; as well as on priority of claims of salaries and wages, retrenchment benefits and ex-gratia when a company winds up.
NTUC has also asked for a review of EA so that professionals, managers and executives (PMEs) will be protected by legislation. We are happy that about half of the PME populace will now be protected under the general provisions of EA, beyond salary protection. These are progressive steps towards our goal of ensuring that majority of PMEs will be covered under EA. NTUC will continue to push for more working people, regardless they are workmen, non-workmen or PMEs, to be protected by the labour law.
NTUC applauds the changes made to the EA as it means that Singapore’s main labour law is evolving together with the changing workforce profile and employment trend in Singapore. We will continue our regular close engagement with union leaders to gather feedback, and work closely with the ministry to review the act. We believe there are other areas in the EA that can be further fine-tuned and strengthened so that it remains relevant to our working people.
Mr Patrick Tay
Director, Legal Services, and
Professional, Managers and Executives Unit
National Trades Union Congress