First unionised company in NTUC's Infocomm and Media cluster to adopt progressive work practices
to redesign jobs and make work easier, safer and smarter.
NTUC Secretary-General, Lim Swee Say, together with fellow union leaders, visited the Kallang regional base of Singapore Post Limited (SingPost) for one of NTUC's Learning Journeys on Thursday, 19 September 2013.
During the visit, SingPost showcased several projects and initiatives costing over $100 million to implement to enhance productivity, upgrade postal infrastructure and benefit workers. It is the first unionised company in the NTUC Infocomm and Media Cluster to adopt progressive work practices like using technology to help raise productivity; redesigning jobs to make jobs Easier, Safer and Smarter; and adopting a Progressive Wage Model (PWM) to attract more Singaporeans to become postmen and postwomen. With these initiatives, it is now able to provide better jobs for all of its employees.
Raising Productivity with Easier, Safer and Smarter Jobs
SingPost has always been finding ways to step up productivity efforts and early this year, it committed $100 million to various projects and initiatives to do so. For example, the company invested $80,000 in mechanisation by purchasing Ezy Trolleys to make mail sorting easier, safer and less strenuous for its workers. Previously, mail and bulky parcels were sorted into drop-bags, which could weigh as much as 20kg when full. Male workers had to drag the heavy drop-bags across the floor to the next station for further sorting. Now, with the new Ezy Trolleys, workers sort mail and parcels into trays, stack them onto the trolleys and wheel the load to the next stage without running the risk of hurting themselves. Sorting time improved by about 20 per cent, which means that each postman or postwoman is now able to go on delivery beats earlier by 20 minutes, thus improving efficiency.
In another example, SingPost bought 50 new 3-wheelers that are easier and safer to handle compared to the usual 2-wheel scooters. Riders on these 3-wheelers no longer have to balance the vehicle with their feet when coming to a stop. Despite an increase in the volume of mail packets by more than 60 per cent over the last five years, postmen and postwomen are now able to cut down one trip to the Mail Transit Storeroom as the new 3-wheelers can carry up to 40 per cent more load. This has resulted in better efficiency and productivity.
SingPost has also set aside about 30 per cent of the $100 million investment for improving work processes and productivity-related initiatives. One such initiative, which will revolutionise the sending and collection of parcels, is the 'Pick your Own Parcel' stations (POPStation). Parcels will be sent to the POPStation, which is a 24/7 smart locker system, nearest to the recipients' homes. Recipients will receive SMS/email notifications so that they can collect their parcels from the POPStations. This will help to improve productivity as the postmen would only have to send the parcels to one delivery point (i.e the POPStation) instead of sending to 80 delivery points. Five POPStations are already in operation and SingPost expects to roll out up to 100 such stations island-wide in the next 12 months.
Adopting Progressive Wage Model to Attract Singaporean Talent
SingPost has adopted the PWM this year to attract more Singaporeans to join the company. Under the PWM, the company extended the career path of the postmen and postwomen with a new job grade ' the Postman Special Grade 2 (PSG 2) ' in May. Refer to Annex for illustration. This extended career path gives added recognition to staff with consistently good work performance, and rewards them with better promotion aspects and a longer salary range. The scheme of service and salary ranges under the PWM had been negotiated and decided jointly with the union.
Additionally, the company has reviewed its career progression path for the postmen. Refer to Annex for illustration. In the past, a postman without GCE 'N' Level qualification can only progress up to the highest rank of being an Inspector of Post (IP) and no further. However, with SingPost's recognition of the Workforce Skills Qualification (WSQ) certification as an equivalent of the GCE 'N' Level qualification, the IP can now progress along an extended career path under the Postal Officer scheme of service for eventual managerial opportunities. An IP under this scheme of service, and who has attained better skill sets and higher academic qualifications through the WSQ certification, can look forward to holding an executive officer role such as Assistant Manager, Branch Manager and Delivery Base Manager, if he performs his job competently. So far, eight IPs have begun their WSQ courses in literacy, numeracy and computer skills and will undergo further training in LEAN Six Sigma Yellow Belt, which would help them develop projects in enhancing operational processes and improving productivity. They can therefore look forward to advancing further in their careers and enjoy sustainable real wage increases.
To build up and maintain a Singaporean Core in its workforce, SingPost provides various job opportunities for locals and housewives who wish to re-join the workforce. By working with NTUC's e2i (Employment and Employability Institute) and Women's Development Secretariat, SingPost now hires about 680 housewives in Mail Delivery and 217 housewives in Mail Processing, as mail sorters on a full time and part-time basis to augment its workforce. This has reduced the company's reliance on foreign workers. Currently, SingPost hires more than 4500 employees, with Singaporeans and Singapore Permanent Residents making up over 80 per cent of this staff strength.
Valuing Every Worker
In February this year, the company launched the SingPost Inclusivity Fund (SPIF), which is a $10 million fund to help about 3,400 employees (72 per cent of SingPost's workforce) who earn below $2,000. The fund encompasses three components and will be disbursed over five years. About 90 per cent of the fund will be dedicated to help lower-waged staff cope with the rising costs of living through annual special recognition payments, income enhancements and retention awards. This year, because of SPIF, these staff received an annual increment of more than 6 per cent, which was significantly more compared to the average increment of 1.2 per cent in the logistics industry. The remaining 10 per cent from SPIF is to reward staff for upgrading their skills and competencies, as well as channelled towards bursaries, awards and scholarships for staffs' school-going children.
At the end of the visit, Mr Heng Chee How, Deputy Secretary-General of NTUC, said, 'I am happy that SingPost has made significant effort to make jobs Easier, Safer and Smarter (ESS) for its workers. It has also looked into enhancing the career ladder for postmen and postwomen to assume higher positions through the WSQ framework. This is an enlightened approach towards valuing every worker and helping them better their skills and competency levels. In this tight labour market, I encourage more companies in the infocomm and media sector to adopt a similar approach as it will result in mutually beneficial outcomes for both employers and workers.'
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