SINGAPORE: Dyson had submitted its mandatory retrenchment notification to the Ministry of Manpower (MOM) within five working days of notifying affected staff, which was “on time”, the ministry said on Saturday (Oct 12).
This enabled the Taskforce for Responsible Retrenchment and Employment Facilitation – comprising representatives from MOM, Workforce Singapore, National Trades Union Congress (NTUC) and NTUC’s Employment and Employability Institute (e2i) – to work with Dyson to provide “career facilitation services and information kits” to affected staff.
The union, United Workers of Electronics and Electrical Industries (UWEEI), and e2i are also providing assistance to affected workers who have approached them, said MOM in a statement.
The ministry added that Dyson had provided its retrenched staff with retrenchment benefits that are aligned with the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment, which states that employees with two or more years of service are eligible for retrenchment benefits.
Dyson will also be giving retrenchment benefits to affected employees with less than two years of service, said MOM.
“The affected employees will have aftercare support, outplacement assistance and access to coaching and career counselling,” added the ministry.
The media statement comes after MOM reached out to both the union and Dyson to facilitate “clarification of the issues of concern”.
The union previously said it had escalated the matter to MOM and that it was disappointed it had only been notified a day before the retrenchment exercise.
Earlier this month, the tech firm conducted a round of layoffs in Singapore, which serves as its global headquarters. Employees from the manufacturing and procurement departments were reportedly affected.
The retrenchment exercise was unexpected, given how the company had announced it was stepping up investments here.
PERIOD OF NOTICE TO UNION WAS “NEGOTIABLE”
In its statement on Saturday, MOM reiterated what it said on Oct 3 – that the notice period to the union was “negotiable” because the retrenched workers were not unionised and were not within the scope of the union’s collective representation.
Employers of unionised workers should notify a union a month before informing affected employees, giving time for the union and the company to work together to assist the staff and arrange job placement services.
“The spirit of engagements between the employer and union is important. It is good practice for companies to give early notice to the union, as this builds trust between the employer and the union,” said MOM.
It added that Dyson has explained to the UWEEI the reasons for not giving it more advance notice, and both parties have “committed to continue working together in the tripartite spirit to support both the needs of workers and businesses”.
In addition, the tripartite partners – comprising MOM, NTUC and the Singapore National Employers Federation – have agreed to further discuss the implementation of Section 30A of the Industrial Relations Act, said MOM.
The act allows unions to represent executives individually on retrenchment benefits beyond the scope of representation in the collective agreement between employees and employers, so as to safeguard both parties’ interests.
“Ultimately, a collaborative and constructive relationship between the union and employer benefits both businesses and workers,” said MOM.
