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MOM met with Dyson over retrenchments, will meet union & explore 'amicable resolution'

The ministry highlighted that unionised companies should give unions early notice when informing employees of retrenchments.

By
Ruth Chai

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October 03, 2024, 10:31 AM

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The Ministry of Manpower (MOM) will meet the United Workers of Electronics and Electrical Industries (UWEEI) to address the issue of Dyson's retrenchments of its workers on Oct. 1.

They have already met with Dyson on Oct. 2, and the ministry seeks to understand the concerns of both parties to come to a amicable resolution, they said in a statement dated Oct. 3.

Support for laid-off employees

Retrenched Dyson employees will have after-care support and outplacement, as well as unlimited access to coaching and career counselling for the next three months, MOM said.

However, the ministry highlighted that under the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment (TAMEM), which encourages employers to consider retrenchment as a last resort, unionised companies should give unions early notice when informing employees of retrenchments.

While Dyson as a company was unionised, the retrenched workers were not and not part of the "scope of the union's collective representation."

"Hence the period of notice to inform UWEEI is negotiable," the ministry said.

Negotiation should occur

MOM also highlighted that an agreed tripartite position would be for the company and the union to negotiate the formula adopted for computing the retrenchment benefit quantum for workers.

The formula need not be based on what is typically used for rank-and-file employees, who are ordinary members in a company as opposed to its leaders or managers.

"If there are issues, MOM will conciliate the matter," they said.

UWEEI have previously expressed their dissatisfaction with the one-day notice given to the union prior to Dyson's retrenchment exercise.

MOM would be discussing with both parties in ways to improve communications going forward.

"Singapore supports companies such as Dyson to continue investing and setting up operations in Singapore. We will work with these companies, economic agencies and NTUC to ensure that we remain both pro-worker and pro-growth," the ministry said.

Surprise layoffs

Mothership understands that the layoffs came as a surprise to employees, and it is unclear how many staff were let off.

This was after Dyson’s staff strength in Singapore rose by 35 per cent to nearly 2,000 in 2023.

Three months ago, the technology firm had said Singapore was “not directly impacted” by a global restructuring that saw 1,000 jobs cut in Britain.

UWEEI expressed disappointment at how little advance notice it was given.

UWEEI, which is affiliated to the National Trades Union Congress (NTUC), said in its statement to Mothership: "UWEEI was disappointed that the union was only given one day's notice of the retrenchment exercise, leaving insufficient time for meaningful discussion between both parties."

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Top photo via Dyson website 

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