Comprehensive Report: Labor Management Relations in Singapore

This report provides an in-depth analysis of labor management relations (LMR) in Singapore, focusing on the key players involved: employers, employees, trade unions (specifically the NTUC), and the government. It examines the roles and responsibilities of each player, highlighting the significance of the tripartite relationship in maintaining industrial peace and fostering a competitive advantage. The report details the functions of the Singapore National Employer’s Federation (SNEF) and the National Trades Union Congress (NTUC), emphasizing their contributions to achieving excellence in employment practices and enhancing worker's work life. It further discusses the government's role in providing a stable economic environment and the impact of various acts and amendments on the working conditions and benefits of employees. The report concludes by summarizing the key issues, such as job creation, skill upgrading, and fair remuneration, and emphasizes the importance of collaborative efforts among all stakeholders to ensure a stable and productive labor environment in Singapore, which attracts foreign investors.

Running Head: Labour Management Relations
Labor Management Relations

Labour Management Relations 1
Contents
Introduction......................................................................................................................................1
Analysis of 4 key players.................................................................................................................1
Employers....................................................................................................................................2
Employees....................................................................................................................................2
Trade union..................................................................................................................................3
Government.................................................................................................................................4
Analysis of competitive advantage..................................................................................................4
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

Labour Management Relations 2
Introduction
The report talks about the labor management relation; it incorporates aspects of industrial life,
for instance; aggregate bartering, exchanges unionism, train and grievance taking care of, current
enquiry, employee assistance in administration and the conversion of work laws. The collective
bargaining process is the main share of industrial relations. The report includes the role of the 4
players that help in increasing the effective labor management relation (Shields, et.al, 2015).
Singapore trade union came into existence in the year 1951; this union underpins the brief
Labour Front government tormented by the work unsettling influence by the Lim Yew Hock
government that was deregistered by the activist Shop Workers ‘Union and Singapore factory.
However, it was not till the 1960s-mid, when National Trades Union Congress (NTUC), set up in
1962; rise completed the "radical" Singapore Association of Trades Unions (SATU), getting to
be "depoliticised" (Metters & Metters, 2017). The Singapore trade union is interconnected with
all sectors of the economy. Recently, as per the government policy; the private sector in a
country should take the opportunity to supervise the economy and to convert the public
transform the general population division customs to business elegance, and to make a fresh
form of connection among topmost management and representatives.
Analysis of 4 key players
The main players in the labor management relation include employees, employers, government
and trade union. To manage the relation these 4 players play a vital role.

Labour Management Relations 3
Employers
In Singapore, the SNEF (Singapore National Employer’s Federation) speaks to a union of
organizations to commit to support the ventures management and benefits industries to
accomplish greatness in business rehearses, increment productivity, effectiveness and
additionally the nature of specialists' work life (Waring, & Lewer, 2013). The SNEF was
founded in the year 1980 with the aim to help the employers to accomplish excellence in
employment activities, competitiveness along with the value of the employees work life. SNEF
shows a dynamic role in supporting the tripartite association among employees, government and
the trade union (Huat, 2015). The SNEF represented businesses of Singapore in nation
worldwide tripartite committee and meetings. The SNEF is getting support from approximately
2,000 corporate members and this how it became the active player in enabling the tripartite
partnership. The employer generally takes part in the tripartite committees such as NWC. On the
sessions of NWC, bosses who are worried about the growing expense of work have achieved an
accord to limit preservations. To enhance the competitive advantage; the LMR players try to
increase the employability through the policies like wage freeze or shorter work week to help the
employer's cut cost (Greenglass, et.al, 2014).
Employees
The employee faces some of the issues with the employer. Though, employees are important for
managing the labor management relation. These incorporate dependency on external specialists,
effect of organizations moving their labour‐intensive enterprises to diverse nations, and concerns
recognized with the privatization of administration‐linked organizations. The work of remote
laborers is obliged by a forced collect and portion. Expanding the retirement age gives
occupations to more established specialists (Singapore Country Commercial Guide, 2017). Be

Labour Management Relations 4
that as it may, managers see them as not so much beneficial but rather more costly unless the
wage framework can be adjusted. Specialists made repetitive by business migration are the fewer
talented. Over here, the employees need to show the talent and skills (Akkas, Chakma, &
Hossain, 2015). Considering the skills the employers will be able to increase the wages of the
employees. For the worker's side, they try to manage the relationship with the trade union as well
as with the employer. They support the trade union who takes the steps in the favor of the
employees and try to implement new laws in the favor of the employees. Though, the training
facility workers get the skills to work. At the same time, the workers need to show their loyalty
towards the company. Approximately 30% of the workers switch their job every year (Employee
Relations Management, 2015). To make the worker stay in the single company will be resolved
with the appointment of the trade union. The union performs the role of the collective bargaining
that brings a good connection between the employees and the employers.
Trade union
Singapore trade union played a vital role in managing the labor management relation. The NTUC
(National trade union congress) is a national federation of exchange unions in the mechanical,
administration and exposed partitions speaking to more than 500,000 specialists in Singapore
(Union Of Power & Gas Employees, 2017). The aim and objectives of the union congress are to
help the Singapore stay competitive in addition the employees to stay employable for life. The
NTUC too works for the betterment of the workers. Hence, the NTUC try to enhance the social
status of the workers along with the well-being of the workers. The NTUC tries to take
responsible, strong and caring labor movement that can bring appositive change for the
employees of the industries. NTUC works with a vision, which states to be comprehensive while
taking the labor movements for all the ages, collars and nationalities. Trade union act 1982,

Labour Management Relations 5
defines the role of the trade unions. According to the 1982 amendment, the role of the union is to
promote the industrial or business relations among the workers and the employers. The union
talks about improving the productivity but considering the mutual welfares (NTUC, 2017).
Trade unions associated to the National Trades Union Congress (NTUC) bolstered the
management's summon to travel from the normal antagonistic unionism and irritated work
management relations, with a mutual conviction to take a stab at mechanical peace through
equity. Additional soul of tripartism was in this way perceived, with the administration, a
responsible work expansion, and illuminated bosses embracing a consultative critical thoughtful
method to deal with address the problems of industrialization for the mutual benefit of managers,
authorities, and society (Tremewan, 2016).
Government
Government takes on the role of the custodian of worker and financial organizer. They give a
objective and nonpartisan perception on financial viewpoint and situation that inspire unions and
management to accomplish a practical and agreeable settlement, which would be to the utmost
benefit of Singapore (NTUC, 2017). Trade union encourages the government to take steps for the
betterment of the employees. The steps include the amendment of the act that is in the hand of
the government. The amendment of the Industrial Relation Act (IIR Act), Employment Act,
Wages Act and workplace benefits can bring the changes in the working of the employees
(Ministry of Manpower, 2017). The development of the country take place as better workplace
and better relationship between the employer and employee give rise to the foreign investments.

Labour Management Relations 6
Analysis of competitive advantage
In Singapore, the industrial relations are categorized by the tripartite relationship among the
labor movement, employers, and the government. LMR of the Singapore knows how to deal with
the situation and how to maintain the competitive advantage to attract the investors. For instance,
in the year 2008, the country was able to attain the progress in employment with the rise from
2.95 million in 2008 to 2.99 million in 2009. This rise in employment took place at the time of
the global financial crises in Singapore. In the year 2011, Singapore has positioned the greatest
aggressive Asian nation with the utmost helpful work manager associations by the World
Economic Forum. Normal incomes have expanded 6 overlays since 1965 in the wake of altering
for swelling.
Another example, even with 2016's unobtrusive financial development with indeterminate
prospects, combined with the difficulties of both here and now repeating and longer-term basic
fluctuations, Labour Movement is utilizing, fresh, its nearby connections with managers and
Administration to secure specialists' benefits and help them to stay pertinent and versatile
through nonstop preparing. This versatile attract the foreign investors towards Singapore
(Leamer, & Storper, 2014).
The labor management has been forcing for the PWM (Progressive Wage Model), with its stress
on skills, output, and progressive pathways across industries. PWM make efforts to motivate
organizations to embrace the yearly National Wages Council (NWC) rules prompted solid wage
increments in 2015. Specialists in unionized organizations delighted in a fundamental wage
increment of around 4% and assessed extra payments averaging around 3 months.

Labour Management Relations 7
Protection of the workers is must considering the shifting workforce profile. NTUC encouraged
bringing the fluctuations in the Workforce law and the Industrial Relation Act (IIR Act). The
amendment of the employment act in Singapore shows a positive response more of the people
started working especially managers, professionals, executives (PME). The altered IR Act, which
permits majority union to speak to PMEs, is slated to profit 100,000 unionized PMEs with the
possibility to affect another more than 600,000 PMEs in the workforce. With more prominent
mindfulness on their work rights, 72% more PMEs additionally looked for help with 2015 (from
2014's 424 to 2015's 729). The union plays a vital role in settling the industrial relation cases.
The labor movement settled approximately 2,851 cases as compared to the 1,953 cases the year
before. Out of all the cases, 90% of the cases were properly resolved by the union-management
level.
Singapore LMR plays a vital role in enhancing the workplace benefits. For instance, Workers in
the unionized sector take advantage of the 99% gave merciful leave for the passing of close
relatives up from 98%. 91% gave marriage leave, up from 88% of every 2014. Child sick leave
went up by 1% to 11%. Eldercare depart rose to 11% from 8%. Family-mind leave jumped 4%
from 2014's 5%. The most critical change was in the arrangement of extra paternity leave well
beyond the one-week Government-paid paternity leave - 6% rather than 0% of every 2014
(NTUC, 2017). Moreover, 320 unionized organizations stipulated 5 days of preparing and
examination leave by and large. For providing the work place benefits there is need of the
approval from the government of the Singapore and these benefits are suggested by the trade
union of the Singapore. After providing these benefits to the workers, they get motivated and the
willingness of the workers towards the work increases (NTUC, 2017).

Labour Management Relations 8
The good labor management relation indicated that the four players of the LMR are able to fulfill
their responsibilities. To attract the investors towards the country, there is need of the reason.
LMR gives the reason to the companies to expand their operations in Singapore. Listening to the
employee's grievances, acknowledge the issues and resolving it on the real time basis can help in
managing the smooth labor management relations (Ministry of Manpower, 2017). The LMR of
the Singapore has taken some of the steps for the betterment of the employees that helps the
employers in getting the profitability is becoming the competitive advantage. The Ministry of
Manpower aims to develop the globally competitive workforce and a great workforce will bring
secure economic future for all Singaporeans.

Labour Management Relations 9
Conclusion
Singapore’s tripatism is facing some of the key issues that include re-creating jobs for the
Singaporean, training and upgrading the skills of the workforce, raising the lowest retirement
age, flexible remuneration system, and fair remuneration system. These key issues can be
resolved by the Singapore government, trade union and employers. The player role is precious
for the Singapore labor management relations. The report throws light on the how players role is
helpful in maintaining a stable labor management relation. The brief description of the role of the
government, trade union, employees, and an employer is discussed in the report. The workforce
of the Singapore brings the competitive advantage for the company. This gives a reason to the
investors to get attracted towards the country. The labor management relation shows the picture
of the working environment of the country.
There were few steps taken by the government and trade union of the Singapore related to the
workplace as well as workers benefits. That helped in showing the growth in the employment
rate in Singapore. The benefits provided to the employees include protection of workers, wages
of the workers and workplace benefits (Fossum, 2014). This helps in recreating the jobs in the
country through the investment by the foreign investors.

Labour Management Relations 10
References
Akkas, M. A., Chakma, A., & Hossain, M. I. (2015). Employee-management cooperation: The
key to employee productivity. Journal of US-China Public Administration, 12(2), 81-88.
Employee Relations Management. (2015). 3 Forces Threatening Singapore Labour Unions.
Viewed on 15th September 2017. http://www.hrinasia.com/employee-relations/3-forces-
threatening-singapore-labour-unions/
Fossum, J. A. (2014). Labor relations. Mcgraw Hill Higher Educat.
Greenglass, E., Antonides, G., Christandl, F., Foster, G., Katter, J. K., Kaufman, B. E., & Lea, S.
E. (2014). The financial crisis and its effects: Perspectives from economics and
psychology. Journal of Behavioral and Experimental Economics, 50, 10-12.
Huat, C. B. (2015). Singapore: Growing Wealth, Poverty Avoidance and Management.
Developmental Pathways to Poverty Reduction, 201.
Leamer, E. E., & Storper, M. (2014). The economic geography of the internet age. In Location of
International Business Activities (pp. 63-93). Palgrave Macmillan UK.
Metters, R., & Metters, R. (2017). Gender and operations management. Cross Cultural &
Strategic Management, 24(2), 350-364.
Ministry of Manpower. (2017). Industrial Relations. Viewed on 15th September 2017
http://www.mom.gov.sg/employment-practices/trade-unions/industrial-relations

Labour Management Relations 11
Ministry of Manpower. (2017). Labour Relations and Workplaces Division. Viewed on 15th
September 2017 http://www.mom.gov.sg/about-us/divisions-and-statutory-boards/labour-
relations-and-workplaces-division
NTUC. (2017). ACTS THAT GOVERN US. Viewed on 15th September 2017,
https://www.ntuc.org.sg/wps/portal/up2/home/industrialrelations/actsthatgovernus
NTUC. (2017). INDUSTRIAL RELATIONS LANDSCAPE IN SINGAPORE. Viewed on 15th
September 2017,
https://www.ntuc.org.sg/wps/portal/up2/home/industrialrelations/irlandscapeinsingapore
NTUC. (2017). UNIONS & U. Viewed on 15th September 2017,
https://www.ntuc.org.sg/wps/portal/up2/home/industrialrelations/unionsandu
NTUC. (2017). WORKING WITH EMPLOYERS. Viewed on 15th September 2017,
https://www.ntuc.org.sg/wps/portal/up2/home/industrialrelations/workingwithemployers
Shields, J., Brown, M., Kaine, S., Dolle-Samuel, C., North-Samardzic, A., McLean, P., ... &
Plimmer, G. (2015). Managing Employee Performance & Reward: Concepts, Practices,
Strategies. Cambridge University Press.
Singapore Country Commercial Guide. (2017). Singapore - 9.3-Labor Policies & Practices.
Viewed on 15th September 2017 https://www.export.gov/article?id=Singapore-Labor
Tremewan, C. (2016). The political economy of social control in Singapore. Springer.
Union Of Power & Gas Employees. (2017). Tripartism in Singapore. Viewed on 15th September
2017. http://www.upage.org.sg/wps/portal/upage/home/ourwork/industrialrelations/
tripartisminsingapore/!ut/p/