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Singapore

Dyson retrenchment package understood to be one month per year's service; Singapore union 'concerned' over lack of info

The NTUC-affiliated United Workers of Electronics & Electrical Industries (UWEEI) says it does not know if there is a cap on this retrenchment package.

Dyson retrenchment package understood to be one month per year's service; Singapore union 'concerned' over lack of info

Technology company Dyson's global headquarters at St James Power Station in Singapore. (File photo: Dyson)

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SINGAPORE: While laid-off workers at Dyson's global head office in Singapore were believed to have received the usual one month's pay for every year worked, the union speaking out on their behalf said it remains in the dark over any possible limit to this retrenchment package.

In its second public statement on Tuesday's (Oct 1) layoffs, the United Workers of Electronics & Electrical Industries (UWEEI), via the union's executive secretary Patrick Tay, said it was still trying to confirm details of the package. 

"We understand from some affected employees that they were told to keep it confidential or risk affecting their retrenchment package," said Mr Tay in a Facebook video posted on Wednesday.

"As far as we know, it is in line with the UWEEI norm of one month per year of service. But we do not know if there is a cap on this retrenchment package.

"That is why we are concerned that we have not received more information from Dyson on who the affected workers are or their job levels as Section 30A of the Industrial Relations Act also allows UWEEI to represent executives individually on retrenchment benefits."

Mr Tay - who is also the assistant secretary-general of the National Trades Union Congress (NTUC), the umbrella organisation UWEEI is affiliated to - reiterated the disappointment it had initially expressed about the short notice it was given, despite Dyson being a UWEEI unionised company.

"This is unacceptable, as it does not give sufficient time for discussion between Dyson and UWEEI to ensure not just a fair, but also a responsible and progressive retrenchment exercise," said Mr Tay in the video.

If UWEEI had been informed earlier of the retrenchment exercise, he said, this would have allowed the workers affected to be better supported as well as ensured that their interests and welfare were looked after. 

By not informing UWEEI earlier, Mr Tay said that Dyson was going against the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment. 

The union has formed a "taskforce" to support affected workers, added Mr Tay, who ended his video message with a call for workers in Dyson to join the union.

"Together, we are stronger," said Mr Tay.

When asked by CNA on Tuesday, Dyson said it had "respectfully informed UWEEI in advance", adding that the company was "following all prevailing (Ministry of Manpower) guidelines".

A spokesperson for the manpower ministry told CNA on early Thursday morning that the period of notice to inform UWEEI was negotiable in Dyson's case since the retrenched employees were not unionised and were not part of the union's collective representation.

"The formula adopted for computing the retrenchment benefit quantum for the PMEs (also) does not have to be based on that used for a rank-and-file employee," they added. 

"It is negotiable between the union and the company. This is an agreed tripartite position."

MOM said it understood that the retrenched Dyson employees would have after-care support and outplacement, alongside unlimited access to coaching and career counselling in the next 3 months.

It said it met with Dyson on Wednesday and would also meet with UWEEI to understand the concerns of both parties and explore an "amicable resolution".

"The union has indicated that insufficient notice was given to the union prior to Dyson’s retrenchment exercise," said the spokesperson.

"MOM will discuss with both parties on ways to improve communications going forward."

"Singapore supports companies such as Dyson to continue investing and setting up operations in Singapore," MOM added. 

"We will work with these companies, economic agencies and NTUC to ensure that we remain both pro-worker and pro-growth."

Tuesday's layoffs came three months after Dyson said Singapore was "not directly impacted" by a global restructuring that involved 1,000 job cuts in Britain.

The number of retrenched workers from the Singapore office remains unknown.

Source: CNA/lh(ac)

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