By Shukry Rashid and Fawwaz Baktee
The NWC Guidelines (1 July 2016–30 June 2017) released on 31 May 2016 focus on helping low-wage workers, promoting productivity and encouraging companies to restructure to remain competitive amidst economic uncertainty. We bring you the main highlights and NTUC's response.
- Press on with restructuring and productivity efforts amidst economic uncertainty.
- Built-in wage increases should be given in line with firms’ business prospects.
- To help low-wage workers, the NWC recommends that:
- To help low-wage workers in outsourced work, the NWC urges:
- Other NWC recommendations:
NTUC Responds to NWC Guidelines
In response to the National Wages Council (NWC) Guidelines released on 31 May 2016, NTUC called for employers to push for higher growth through productivity gains and skills development.
In a media statement, the Labour Movement said: “NTUC supports the NWC guidelines for 2016 – 2017, which take into account the uncertain economic climate as more businesses and workers face both structural and cyclical challenges. Thus, we want employers to ensure wage increases are fair, sustainable and reflective of workers’ performance.”
Enhance Productivity Measures
The Labour Movement also reiterated its call for employers to apply the guidelines to all groups of workers as “the economy restructures, businesses transform and workers’ needs become increasingly diverse and sophisticated.”
Additionally, NTUC said sustainable wage increases can be achieved through productivity-driven growth, and employers and workers should change their mindsets and recognise the urgency to review current business practices to improve productivity.
“To this end, we urge employers to work with the Labour Movement to leverage the Government’s Industry Transformation Programme and other productivity-driven support initiatives. This is to transform existing business models and processes, and adopt the latest technologies where productivity gains can be shared with workers across the board,” NTUC added.
Skills Development
The Labour Movement also reiterated its commitment to work with the Ministry of Education, the Ministry of Manpower, and the Ministry of Trade and Industry to “help workers build skills for the future, and stay well-equipped for jobs and careers of the future.”
It will also work with institutes of higher learning and private service providers to make accessible more timely and relevant courses for workers.
NTUC said: “On the part of our workers, the Labour Movement wants to prepare them and ensure that they are skilled for jobs of tomorrow. We need to strengthen our efforts in continuing education and training, to equip our workers with skills needed by industries of the future.”
On Low-Wage Workers
Touching on low-wage workers, NTUC said it is glad that the NWC supported its call to incorporate more specific NWC wage recommendations into outsourced service contracts.
It added: “We will continue to work closely with the tripartite committees for cleaning, security and landscaping to factor in annual wage adjustments and Annual Wage Supplement for outsourced workers entering into new contracts, and for these employment contracts to take into account the experience and performance of workers when they are offered or renewed.”
Moving forward, NTUC said it will continue its push for more companies to adopt the Labour Movement’s Inclusive Growth Programme and Progressive Wage Model to develop progressive work processes, career development, skills and wages that are able to uplift and future-proof all workers in Singapore.
Source: NTUC This Week
