Tan See Leng on layoffs at Lazada
The recent incident involving layoffs at Lazada clearly demonstrates the success of Singapore’s unique model of tripartism, Manpower Minister Tan See Leng said in Parliament on Monday (Feb 5). He said his ministry stepped in to ensure an amicable settlement between the company and union, and secure an improved package for laid-off workers. That was after Lazada failed to inform the union of its retrenchment exercise in early January, which was not in line with a tripartite advisory. In many other countries, said Dr Tan, a similar issue may have been approached in a more confrontational manner, which would have led to potentially acrimonious and longer-term negative implications for all parties. Dr Tan told the House that while some MPs have called for stronger action to protect workers, even without legally mandating retrenchment benefits, data from 2019 to 2023 shows that around nine in 10 eligible employees received such benefits. He said Singapore’s approach has always been one that protects workers while giving businesses flexibility. With continued downside risks in the global economy, the Manpower Ministry will continue to work with its tripartite partners to ensure that any retrenched workers will be treated fairly, said Dr Tan.
The recent incident involving layoffs at Lazada clearly demonstrates the success of Singapore’s unique model of tripartism, Manpower Minister Tan See Leng said in Parliament on Monday (Feb 5). He said his ministry stepped in to ensure an amicable settlement between the company and union, and secure an improved package for laid-off workers. That was after Lazada failed to inform the union of its retrenchment exercise in early January, which was not in line with a tripartite advisory. In many other countries, said Dr Tan, a similar issue may have been approached in a more confrontational manner, which would have led to potentially acrimonious and longer-term negative implications for all parties. Dr Tan told the House that while some MPs have called for stronger action to protect workers, even without legally mandating retrenchment benefits, data from 2019 to 2023 shows that around nine in 10 eligible employees received such benefits. He said Singapore’s approach has always been one that protects workers while giving businesses flexibility. With continued downside risks in the global economy, the Manpower Ministry will continue to work with its tripartite partners to ensure that any retrenched workers will be treated fairly, said Dr Tan.
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