Industrial Relations in Singapore

The following sections are included:

• Acknowledgment
• Foreword 1
• Foreword 2
• About the Author
• Contents

In Singapore, industrial relations (IR) is essentially a post-war phenomenon, although for decades before that, some organisations or associations had already been performing some of the modern-day trade union functions. They negotiated work rates with employers, regulated employment and provided welfare and protection to their members. Modern-day trade unionism and IR commenced with the registration of the first trade union of employees in Singapore in 1946. Under the Trade Unions Bill 1940, a trade union must satisfy the terms and rules under the Bill and be registered. Not any association or grouping of workers or employers can call themselves trade unions. These requirements still hold true until today…

The following sections are included:

• Origin of Trade Unions
• Early History of Trade Unions in Singapore
• Anti-colonial Struggle Era
• Internal Struggle within the PAP and within the Labour Movement
• NTUC in the Early Years
• Labour Research Unit and Developing Unions’ Capabilities to Negotiate and Handle Disputes
• Enactment of Employment Act and Industrial Relations (Amendment) Act
• Modernisation of Labour Movement
• PAP–NTUC Symbiotic Relationship
• Changes of Trade Union Movement in Singapore
• Trade Unions Not Affiliated to NTUC
• NTUC Today
• Union Membership
• Union Leadership and Succession
• Achievements of NTUC
• Moving Forward
• Notes and References

The following sections are included:

• Introduction
• Trade Unions Act: Key Provisions
• Registry of Trade Unions and Power of Registrar of Trade Unions
• Forming a Trade Union
• Trade Unions: Types, Structure, Focus, etc.
• Trade Union Management
• Deregistration or Dissolution of a Trade Union
• Protection for Trade Unions and Unionists (Under the Industrial Relations Act)
• Moving Forward
• Notes and References

The following sections are included:

• Introduction
• Employers and Employer Federations as Key Actor of Industrial Relations
• Roles of Individual Employers and Employer Federation in IR
• Employers and Employer Federations in Some Countries
• Employer Federations in Singapore
• The Singapore National Employers Federation
• Modus Operandi of SNEF
• Launch of SNEF 21
• Structure of SNEF
• Key Services of SNEF
• Other Events and Activities
• Putting Forward Employers’ Interests
• Roles of SNEF in Tripartism
• Standing of SNEF
• Success of SNEF
• Singapore Maritime Employers Federation
• Print & Media Association, Singapore
• Other Institutes
• Concluding Remarks
• Notes and References

The following sections are included:

• Introduction
• Roles of the Government in IR
• As Law Maker
• As Initiator and Operator of Key Institutions
• As Influencer and Shaper of Labour Movement
• As Guardian of Industrial Peace
• As Regulator of Industrial Actions
• As Trouble-shooter in Resolving High-stake Industrial Disputes
• As “Arbitrator” or “Referee” for Unfair Termination/Dismissal Appeals and Disputes on Non-re-employment
• As Key Tripartite Partner
• As Promoter of Good Labour-Management Practices
• As Regulator of Inflow of Foreign Manpower
• As Model Employer
• As Architect of Overall Policies and Frameworks to Drive Economic Growth and Job Creation
• As Lifeline to Counter Economic Crises
• Practices in Other Countries
• Approach and Thrust over the Years
• Success of the Singapore Government
• Moving Forward

The following sections are included:

• Introduction
• The Situation in the Early Years
• Regulations on Union Recognition
• Union Recognition Process
• Employers’ Typical Reactions and Reasons for Not Giving Direct, Voluntary Recognition
• Reasons for Employers Giving Direct, Voluntary Recognition to Unions
• Issues before the Conduct of the Secret Ballot
• Conduct of Secret Ballot
• Eligible Employees Not Able to Vote
• Opening of Ballot Box and Counting of Votes
• Situations Where There Are Multiple Offices and Worksites
• Challenges and Issues in the Conduct of Secret Ballot
• Situations Where More Than One Trade Union Has Claimed for Recognition
• Statistics on Number of Recognition Claims
• Class of Employees to be Represented
• When Employer Objects to Union Representing Only Certain Class/Group of Employees
• Resolution of Disputes on Representation of Class of Employees and IAC’s Awards on Such Cases
• Limited Representation of PMEs — 2002 Law, Practices, Impact
• Representation of PMEs as a Group for Full Representation (April 2015)
• Statistics
• Union Membership and Leadership and Participation in Industrial Actions
• Memorandum of Understanding Instead of Union Recognition
• Issues and Challenges on Union Recognition
• Notes and References

The following sections are included:

• Introduction
• Collective Bargaining at the National Level
• Collective Bargaining at the Enterprise Level
• Overall Process — Invite, Accept and Negotiate
• Negotiable and Non-negotiable Matters
• Rights of Employers Are Not Without Restraints or Safeguards to Employees
• Employment Act and Collective Bargaining
• Typical Collective Bargaining Issues
• Who Are Involved in Negotiation?
• Formality Involved and Venue of Negotiations
• Frequency of Negotiation
• Length of Negotiation
• Group Negotiation
• Collective Bargaining in Practice — Informal Meetings
• Factors Affecting Collective Bargaining
• Setting a Precedent and Its Impact on Collective Bargaining
• Unions’ Thinking and Approach
• Management’s Thinking, Concerns and Approach
• Lodging CAs with the IAC
• CA Deemed to be an Award
• Deadlock
• Notes and References

The following sections are included:

• Introduction
• What Is a CA?
• Key Items in a CA
• Format and Language
• Preparation, Lodging with IAC and Review by IAC
• Certification as an Award of IAC and Gazetting
• Variations, Extension and Renewal
• Number of CAs
• Can There Be a Situation of No Collective Agreement?
• Collective Agreement and Individual Employment Contracts
• Moving Forward
• Notes and References

The following sections are included:

• Introduction
• What is Conciliation? Are Conciliation and Mediation the Same?
• Legal Provision for Both Voluntary and Compulsory Conciliation
• Conciliation Officers of the MOM
• Guidelines for Conciliation
• Conciliation — Getting Started
• Conciliation — The Players
• Conciliation — Joint Meetings
• Conciliation — Ex parte Meetings
• Working towards a Conciliated Settlement
• What if an Agreement Is Not Achieved?
• Types and Numbers of Disputes Conciliated
• Challenges Faced by Conciliators
• Effectiveness/Success of Conciliation
• Impact of Arbitration on Success of Conciliation
• Conciliation — Benefits and Acceptance
• Perceived Effectiveness and Impartiality of Conciliators
• Moving Forward
• Notes and References

The following sections are included:

• Introduction and Legal Provision
• Arbitration in the Early Years
• Ways to Refer a Trade Dispute to the IAC
• Significance of IAC Having Cognisance of a Trade Dispute
• Industrial Arbitration Court — Set-up
• Power and Procedures of IAC
• Process — From Application to Hearing and Delivery of Awards
• IAC Awards and Enforcement
• Number of Cases Arbitrated and the Typical Issues
• Significant IAC Cases
• Controversial Cases
• Cases Where IAC Encouraged Both Parties to Try Harder
• Cases and Awards Relating to Trade Dispute over Transfer of Employment
• Arbitration Cases where a Union Represents Executives Individually
• Views on Arbitration and Implications of IAC’s Decisions
• Notes and References

The following sections are included:

• Introduction
• Legal Definition of Industrial Action
• Process — Ballot, Notice, Essential Services
• Industrial Actions and Union Members Who Are Executives in a Rank-and-File Union
• What Constitutes an Illegal Industrial Action?
• Protection of Persons Refusing to Take Part in Illegal Industrial Action or Lock-out
• Picketing
• Minister and President’s Power to Direct Disputes to IAC and No Industrial Actions Once IAC has Cognisance of the Dispute
• Number of Industrial Stoppages
• Hydril Strike in 1986
• Strike by SMRT Bus Drivers in 2012
• SIA Pilots’ Work-to-Rule Action in 1980
• One Averted Action in SMRT in 2003
• Are Industrial Actions Still Relevant?
• Notes and References
• Annex 11.1 Number of Work Stoppages (Strikes and/or Lock-outs) and Man-days Lost.

The following sections are included:

• Introduction
• Key Frameworks
• Employment Act
• Child Development Co-Savings Act (CDCA)
• Fixed-Term Employment Contracts
• Part-Time Employment Regulation
• Central Provident Fund Act (CPFA)
• Workfare Income Supplement (WIS) Scheme
• Workplace Safety and Health Act (WSHA)
• Work Injuries Compensation Act (WICA)
• Collective Agreements (CAs)
• Variations in Terms and Conditions of Employment among Firms and Sectors
• Should the Laws Broaden and Deepen the Provision of Benefits?
• Notes and References

The following sections are included:

• Introduction
• Framework Prior to Roll-out of Tripartite Mediation Framework and Limited Representation
• Current Framework (from 1 April 2017)
• Overall Framework and Coverage
• Institutions (from 1 April 2017), Tripartite Mediation Framework, Tripartite Mediation for PMEs Who Are Union Members
• Tripartite Alliance for Dispute Management (TADM)
• Employment Claims Tribunals (ECT)
• Effectiveness and Implications of the Changes
• Moving Forward
• Notes and References

The following sections are included:

• Introduction
• Wage Policies, Laws and Determination
• Wage Negotiations in the Early Years (pre-1972)
• National Wages Council (NWC)
• Key Phases, Events and Wage Guidelines in the Last Five Decades
• Key Changes to Wage Structure and Practices
• Other Major Recommendations of NWC
• Implementation of NWC Wage Guidelines
• Usefulness of NWC
• Some Inevitable Effects of NWC Wage Guidelines
• Wages and IR
• Current and Future Issues on Wages
• NWC’s Continued Relevance
• Notes and References

The following sections are included:

• Introduction
• Backdrop
• Retirement Age Prior to 1993
• Trade Unions’ Aspirations
• Employers’ Concerns
• Retirement Age Act (1993) and Exemptions
• Extending Retirement Age to 62 in 1999 and the Attendant Conditions
• Retirement and Re-employment Act (RRA) 2012
• Further Extension of Re-employment to 67
• Tripartite Guidelines on Re-employment of Older Employees
• Practices: Continuous Employment beyond 62 without a Separate Re-employment Contract
• Resolution Frameworks for Disputes on Re-employment
• Implications of the Raising of Retirement and Re-employment Age
• Assessment of the Results and Journey Taken: Outcomes of the Changes in Retirement and Re-employment Legislation
• Future Scenario and Challenges
• Notes and References

The following sections are included:

• Introduction
• Retrenchments before 1968
• Legal Provision on Retrenchment (from 1968)
• Tripartite Guidelines on Retrenchment
• Retrenchment in Practice
• Who Should be Retrenched?
• Workers Volunteered for Retrenchment
• Interesting Events in Retrenchment Exercises
• Retrenchment Benefits
• Should Retrenchment Benefits be Specified in the EA?
• Retrenchment Statistics and Changing Trend
• Is Retrenchment Inevitable?
• Should Retrenchment be a Negotiable Item?
• Notes and References

The following sections are included:

• Introduction
• Dismissal and Termination — Is There a Difference?
• Legal Provision under the EA and Industrial Relations Act
• Common Law and Provisions under the EA and IR Act
• Implementation of the Legal Provisions on Appeals to the Minister
• Number of Appeals Received and Manner of Disposal
• Examples of Appeal Cases to the Minister
• Dismissal without Due Inquiry
• Constructive Dismissal or Resignation under Duress
• Basis of Dismissal: Disciplinary Lapses or Poor Performance
• Dealing with Weak Performance Cases
• The Case of Surbana Jurong
• Dealing with Disciplinary Cases
• Constraints on Employers’ Actions
• Terminations/Dismissals and Industrial Relations
• Moving Forward
• Notes and References

The following sections are included:

• Concept of Tripartism
• Legal Basis
• How Did Tripartism Come about and Evolve in Singapore?
• Tripartism in Industrial Disputes Resolution
• Importance and Benefits of Tripartism
• Is Tripartism Successful in Singapore?
• Why Tripartism Works in Singapore?
• Challenges Ahead and How to Sustain Tripartism in Singapore
• Next Phase of Tripartism
• Notes and References

The following sections are included:

• Introduction
• Genesis of IR in the Banking Sector
• Singapore Bank Employees Union
• Singapore Bank Officers Association
• SBOA’s Failure to Represent the Class I Officers
• Restructuring in the Banking Sector and Consequential Job Losses
• Major IR Issues and Disputes in the Banking Sector
• Salary Matters in the Banking Sector
• Salient Features of IR in the Banking Industry
• Group Negotiation
• Other Interesting IR Events
• DBS Bank and DBS Staff Union
• IR in Finance Companies
• Moving Forward
• Notes and References

The following sections are included:

• Introduction
• Early Phase of IR
• The Birth and Evolution of Singapore Airlines
• The SIA Group Unions
• Singapore Airlines Staff Union (SIASU)
• Air-Transport Executive Staff Union (AESU)
• Air Line Pilots Association — Singapore (ALPA-S)
• SIA Engineering Company Engineers and Executives Union (SEEU)
• Significant IR Events
• Involvement of Lee Kuan Yew in the Brewing SIA IR Storm in 2003
• Other Measures to Improve Labour-Management Relations
• Impact of Global Financial and Economic Crisis in 2008 and beyond
• Excess Pilots and Re-employment of Pilots
• The Issue of Expatriate Pilots
• IR in SIA Subsidiaries
• The Recent Additions — IR Still in Infancy Stages
• Summing up IR in SIA Group
• The Challenge of Dealing with Multiple Unions
• Commendable Achievements and Practices in the IR of the SIA Group
• IR in Other Airlines in Singapore and the Demise of Singapore Air Transport Workers Union (SATU)
• Moving Forward — Will IR in SIA Group Continue to Excite?
• Annex 20.1 History of Stormy Relations between Unions and SIA Group
• Notes and References

The following sections are included:

• Introduction
• Early Trade Union Movement in the Oil Industry
• IR Scene in the Early Years
• Second Round of Union Restructuring
• Expansion of UWPI
• Collective Bargaining and IR
• IR at Shell
• Practices on Terms and Conditions of Employment in Petrochemical Sector
• Recent Significant Industrial Disputes in the Petrochemical Sector
• Moving Forward
• Notes and References
• Annex 21.1: Shared Industrial Relations Vision
  • Introduction
  • Objective of a Shared Industrial Relations Vision
  • Desired State of Labour Management Cooperation
  • The Process of Defining a Shared Industrial Relations Vision
  • Defining the Desired Future State of Labour-Management Cooperation in the Company
  • Diagnosing the Present State of Labour Management Relations
  • Defining The Transition State
  • The Shattered Dream
  • Rebuilding the Vision
  • Achievements of the Shared Industrial Relations Vision
  • Institutionalising the Shared Industrial Relations Vision
  • Sustainable IR Development
  • Ensuring Successful Implementation of the Shared Vision
  • Expected Outcome of the Shared Industrial Relations Vision
  • Conclusion
• Annex 21.1.1: Glossary of Terms
• Annex 21.1.2: Code of Industrial Relations Practice Adopted

Industrial relations (IR) is the outcome of the interplay of numerous forces (including political, ideological, economic, social and technological factors) tempered by the ideology, value system and motivation of the government, businesses, workers and labour organisations. As the forces, timing and context of each country differ, the character of IR that has emerged becomes unique to each country…

The following section is included:

• Index