By Naseema Banu Maideen
Prima Limited has affirmed its support for progressive wages, a model the Labour Movement advocates in its bid to help level up the wages of low-wage workers.
With a tight labour market at work, Minister of State for the Ministry of Finance and Ministry of Transport Josephine Teo noted and commended the company’s move in looking into further salary benchmarking as well as creating career and salary milestones.
She said: “The Government recognises that to put all the burden on businesses will make it very difficult for them, and in the end could actually end up hurting our own Singaporeans.
“That is why, we have not through legislation insisted on a minimum wage, but instead the Labour Movement has put forward a better idea, which is the progressive wage… an approach of letting people with skills upgrading and productivity improvement earn wage increases.”
She was speaking at the National Day Observance Ceremony held at Prima’s premises on 14 August 2012, jointly organised by the company and Food, Drinks and Allied Workers’ Union (FDAWU).
She pointed out that the challenge of productivity “has come at a time when there is also a need to find a way to tackle the growing income gap”.
In response, Prima Limited Chief Executive Officer and Founder Primus Cheng acknowledged that many low-wage workers have not benefitted proportionately from the wealth creation in Singapore.
He added: “I believe the real sustainable solution to income disparity is escalated productivity growth. On Prima’s part, management has already over the past two years set clear and comprehensive directions for greater productivity. These include process improvement, work efficiency and job enlargement.
“This is to maintain a healthy organisation, inculcating in our staff the desire to better one self and subsequently providing the right training. I am happy to say that our staff have taken this to heart and are continuously making the effort... this will make Prima more future-ready. Being future-ready is the new ace card to ensure that we survive and grow.”
