Conference on Organized labour
Responses to the Conference Paper
Dr Ern-Ser Tan
Department of Sociology, National University of Singapore
21 Aug 1998
Thank you for inviting me to give my views on the above matter. My response to the preliminary document is as follows:
Changing Patterns of employment and Union Membership
One approach adopted in Singapore is the establishment of general unions alongside the usual forms of unions. This means that union membership will not hinge on affiliation to any organization or occupation or craft but to the fact that one is a working person. Given the heterogeneity of the labour market as well as the frequent restructuring occurring in the economy and firms, this approach makes union membership highly flexible and not tied to the changes occurring in individual careers and the structural changes initiated by firms to keep bouyant.
On the point about emphasis on services to workers as individuals, this may be seen as part of additional benefits and does not contradict the objective of collective representation. In stable democracies and IR systems where collective representation has been institutionalised, the need to keep fighting for union recognition and the right to bargain collectively may not be a top priority, hence it would be useful to emphasise new services to attract people to join unions. In some cases, the benefits from collective bargaining cover both union and non-union members; hence, it is necessary to emphasise services to workers as a benefit accruing only to union members. In short, membership must have its privileges. Workers are nowadays less likely to join unions on ideological grounds.
I have elsewhere argued that the state has a responsibility to ensure that workers are given due protection under the law. The Singapore government has instituted various measures in this regard, eg workmen's compensation in the event of work injuries and deaths. In the absence of effective collective representation, international labour organizations and NGOs could play a useful role.
Change in Labour Management Relations
In the Singapore context, the union structure can be described as both centralised and decentralised. Centralisation provides for pooling of resources and worker solidarity, while decentralisation allows for flexibility in bargaining in response to the conditions faced by individual firms and/or industry. The confederation of unions could provide assistance to individual unions, thereby localising what is essentially a local problem. However, where the problem is at the national level, the confederation will act as the voice of its affiliated unions.
In regard to HRM, unions could be involved in bipartite committees at the workplace to ensure that HRM policies and practices do not compromise the rights and benefits accruing to workers. Even when HRM is enhancing the welfare of workers, there is a need for a strong union to act as watchdog, while playing the role of partners in production at the workplace
Challenges in a Hostile Economic Environment
The unions are heavily involved in skills upgrading on the supply-side to improve the employability and productivity of workers. This will benefit both workers and firms. The union congress in Singapore is involved in various national tripartite committees, one of which is the National Wages Council (NWC). The latter is responsible for setting wage guidelines for the economy.
Singapore does not have a social security system, but a system of compulsory savings. Both workers and employers each contribute 20 percent of gross monthly wages to the Central Provident Fund (CPF). In other words, workers save as much as 40 percent of their monthly salaries. Workers could only take out what they have put in plus interest. This means that no one can draw out more than what they have deposited in the CPF. The CPF system is less likely to face bankruptcy than the social secuirty system prevalent in the US.
The Next Steps
I believe it is important to examine the implication of the current Asian economic crisis for trade unionism and industrial relations. My opinion is that governments and international organizations should work towards expanding trade. Measures aimed at "levelling up" welfare rather than "levelling down" welfare should be adopted. The Social Clause adopted by the ICFTU should be adopted.
The above are some of my initial thoughts. All the best in your Institute's research endeavour and agenda for the 21
st
century. I look forward to hearing from you again.
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