Public transport operator SMRT announced a rise in the wages of its non-executive staff after signing a revised Collective Agreement with the National Transport Workers' Union (NTWU) on 7 March 2013.
Both parties inked the agreement at a signing ceremony at SMRT's Headquarters which was witnessed by NTUC Secretary-General Lim Swee Say.
Delivering his address, SMRT President and CEO Desmond Kuek said that the wage review is "a significant step towards achieving one of the company’s goals of developing a world-class workforce and promoting organisational health".
He added: "This breakthrough wouldn’t have been possible without the strong and mutually beneficial relationship we have with the union, and I thank them for working with us towards these outcomes."
The new wage framework came after several months of industry review and an extensive consultation with NTWU. The wage revision will benefit 90 per cent of SMRT employees, excluding its bus captains who had received salary enhancement packages last year.
Starting this month, there will be a base salary increment of $320 after an industry benchmarking exercise. Employees will also receive a one-off payment of $1,000 to bring the annual basic salary to the current market benchmark.
In April, a monthly performance incentive bonus of up to $250 will be given to employees should they meet a set of operational performance targets. In addition, the starting salaries and salary ranges for each employee grade will be increased accordingly.
Commenting on the milestone, SG Lim said it was heartening to see SMRT "taking better care of their staff".
He added: "I am very happy to see the spirit of this negotiation. It is done in a positive and constructive manner between the management and the union."
NTWU Executive Secretary Ong Chin Ang also emphasised that trust and confidence are necessary elements in a good labour management relationship.
He assured members: "We will continue to nurture it, and I assure you that your welfare, treatment, work environment will continue to be top priority for the union."