MoM underscores tripartite efforts to safeguard workers following Dyson layoffs

The ministry urges companies to work with unions.

Singapore needs to “strike a balance between protecting workers and providing flexibility for businesses,” the Ministry of Manpower (MoM) said.

This statement was made in response to questions about retrenchments and advance union notifications, following a recent round of layoffs at Dyson.

On 1 October, Dyson conducted a round of surprise layoffs, notifying the affected employees only a day before.

The United Workers of Electronics & Electrical Industries (UWEEI) said that they were informed a day before Dyson notified the affected employees.

However, MoM said that the retrenched employees are PMEs professionals, managers, or executives (PMEs) and are not unionised and are not within the scope of the union’s collective representation, which makes the period of notice negotiable. 

“Dyson handled the recent retrenchment exercise in accordance with our laws and tripartite advisories, as the PMEs were not under the collective agreement,” MoM said.

MoM added that Dyson explained to UWEEI the reasons for not being able to provide more advance notice to the union. Dyson also submitted its mandatory retrenchment notification (MRN) to MoM within five working days of notifying the affected employees, which was on time.

Through this, the Taskforce for Responsible Retrenchment and Employment Facilitation (RTF)  was able to offer employment assistance to affected employees.

In addition, Dyson provided retrenchment benefits for PMEs with less than two years of service, aside from those in line with the tripartite advisory, which covers employees who have served the company for at least two years.

“Companies should value Singapore’s tripartite culture and work closely with the unions. At the same time, the unions also need to do their part to manage the concerns of employees, while recognizing business needs,” MoM said.

MoM also stated that the government has collaborated closely with tripartite partners, including unions and employers, to create an ecosystem that supports workers proactively, without waiting for retrenchments to occur.

In addition, the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) will engage with companies that do not comply with the tripartite advisory.

“Together with our tripartite partners, we will work upstream to help companies and their workforce upskill, transform, and redesign jobs to improve talent retention, workforce productivity, and wages,” the ministry added.