Dyson informed MOM of its retrenchments ‘on time'
Consumer electronics giant Dyson had submitted its mandatory retrenchment notification to the Ministry of Manpower (MOM) “on time”, within five working days of informing the affected employees, said the ministry on Oct 12.
This enabled the Taskforce for Responsible Retrenchment and Employment Facilitation to work with Dyson to provide career facilitation services and information kits to the affected employees, said MOM. The taskforce was formed in 2016 to help retrenched individuals and encourage responsible retrenchment among employers.
The United Workers of Electronics and Electrical Industries (UWEEI) – the union Dyson had signed a collective agreement with – and the Employment and Employability Institute are also helping affected workers who have approached them.
MOM said Dyson provided retrenched employees with benefits that are aligned with the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment. The company will also provide retrenchment benefits to all affected employees with less than two years of service.
“The affected employees will have after-care support, outplacement assistance and access to coaching and career counselling,” said MOM.
Singapore-headquartered Dyson laid off an undisclosed number of workers on Oct 1. On the same day, the UWEEI said it was disappointed that it was given only one day’s notice of the retrenchment exercise. The union said there was insufficient time for meaningful discussion between the parties involved.
Where it is provided in the collective agreement, the norm is to notify the union a month before informing employees of a retrenchment exercise, MOM said on Oct 12. This enables the union and company to work together to assist affected employees and arrange job placement services.
“We understand that the retrenched employees from Dyson are PMEs (professionals, managers and executives) who are not unionised. Thus, they are not within the scope of the union’s collective representation, and the period of notice is therefore negotiable,” the ministry said on Oct 12, repeating its earlier statement on Oct 3.
MOM said it reached out to the UWEEI and Dyson, and helped to clarify issues of concern.
The ministry said it is good practice for companies to give early notice to the union. Dyson has explained to the UWEEI the reasons for not giving more advance notice to the union, added MOM, without giving details of Dyson’s explanation.
The tripartite partners – MOM, the Singapore National Employers Federation and the National Trades Union Congress – have agreed to further discuss the operationalisation of Section 30A of the Industrial Relations Act to provide safeguards for the interests of both employees and employers, noted MOM. The section allows unions to represent executives individually on retrenchment benefits, beyond the scope of representation in the collective agreement.
MOM said: “Ultimately, a collaborative and constructive relationship between the union and employer benefits both businesses and workers."
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