Workers in the lowest strata of the economy took centrestage in the National Wages Council's (NWC) recommendations for 2012/2013.
The Council recommended that companies grant low-wage workers a built-in wage increase of at least $50 for those earning a basic salary of up to $1,000.
The Labour Movement has also fully supported these recommendations that pay special attention to low-wage workers.
"The tripartite partners note that the low-wage workers have not seen significant income growth over the last 10 years. We are thus heartened that NWC has accepted NTUC’s proposal to call for companies to grant low-wage workers with a built-in wage increase in the form of a dollar quantum and a percentage wage increase.
"Companies that are doing well are also urged to grant these workers an additional one-off lump sum payment," said Cham Hui Fong, NTUC Assistant Secretary-General.
According to NWC's Chairman, Professor Lim Pin, as productivity improvement is the driver of sustainable real wage increases for our workers, companies and their management teams are strongly urged to lead the drive for productivity, with the support of the unions and workers.
"To enable our workers to benefit from their share of productivity improvements and at the same time allow our businesses to remain competitive, real wages should increase in line with productivity growth over the long term."
In addition, the NWC urges both companies and employees to invest in continuous training and skills upgrading to further complement productivity innovations. It also strongly encourages companies to share the gains from productivity improvements with workers.
The recommendations also include companies adopting best practices on re-employment, and inclusive growth to benefit workers.
You can find more details on NTUC's response and NWC guidelines 2012-2013 at www.ntuc.org.sg
