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Coffeeshop Chit Chat - Indian-owned company farked union</TD><TD id=msgunetc noWrap align=right>
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</NOBR> </TD><TD class=msgDate width="30%" noWrap align=right>Sep-20 11:30 pm </TD></TR><TR class=msghead><TD class=msgT height=20 width="1%" noWrap align=right>To: </TD><TD class=msgTname width="68%" noWrap>ALL <NOBR></NOBR></TD><TD class=msgNum noWrap align=right> (1 of 2) </TD></TR></TBODY></TABLE></TD></TR><TR><TD class=msgleft rowSpan=4 width="1%"> </TD><TD class=wintiny noWrap align=right>21398.1 </TD></TR><TR><TD height=8></TD></TR><TR><TD class=msgtxt><TABLE border=0 cellSpacing=0 cellPadding=0 width="100%"><TBODY><TR><TD>Govt steps in on company, union standoff
</TD></TR><TR><TD><!-- headline one : end --></TD></TR><TR><TD>Company broke off talks, would not resume negotiations or go for arbitration </TD></TR><TR><TD><!-- Author --></TD></TR><TR><TD class="padlrt8 georgia11 darkgrey bold" colSpan=2>By Goh Chin Lian, Senior Political Correspondent
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<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->THE Government has stepped in on a long drawn-out dispute between a major construction firm and its union here and has ordered them to seek arbitration.
In a rare move, Manpower Minister Gan Kim Yong last month directed that their case be referred to the Industrial Arbitration Court (IAC).
The disagreement centres on Indian-owned Sembawang Engineers and Constructors' refusal to sign a collective agreement with the Building Construction and Timber Industries Employees' Union (Batu).
Such agreements outline, among other things, the bargaining rights of rank-and-file workers with management on issues ranging from wages to retrenchment benefits.
Negotiations have been on-going since December 2006. This was shortly after New Delhi-based engineering and construction group Punj Lloyd acquired the company from Temasek-linked utilities and marine group SembCorp Industries.
But the company broke off talks with the union in May this year, a Manpower Ministry spokesman said.
And despite the ministry's conciliation efforts and advice, the company has refused to return to the negotiating table.
It would also not agree with the union to jointly refer the dispute to the IAC.
The ministry explained that it was in the interest of harmonious industrial relations that Mr Gan had stepped in and issued a directive on Aug28 to refer the dispute to the IAC.
He has powers to do so under the Industrial Relations Act. These were last exercised in 2004.
Both the company and union were reluctant to go into details of the dispute when contacted.
Sembawang, which described itself as an 'established company with good employer/employee policies and practices in place', said a collective agreement would have covered 232 local, permanent rank-and-file staff.
This is just one-fifth of its 1,039 employees here. The agreement would not have applied to its foreign workers as they are contract staff.
'Our company recognises the union and fully respects the Singapore labour laws,' Sembawang said in a statement.
But it then added: 'We are of the view that it is not necessary to sign a collective agreement.'
The company has been involved in building MRT and LRT stations here. Its current projects include works on the Circle and Downtown lines, and the Marina Bay Sands integrated resort, as well as residential projects in Bahrain and Libya.
Punj Lloyd's latest annual report said Sembawang had a healthy cash flow position and was largely debt free, and that it had earned $775million in revenue in the financial year that ended on March31.
Industry sources say many construction firms, which are heavily reliant on foreign workers, do not have collective agreements and are not unionised.
Sembawang, however, recognised Batu in August 2006 as the negotiating body for its employees.
What this means is that the union has the right to propose a collective agreement to the company.
Bosses, on the other hand, may not sign agreements for a number of reasons.
They may believe that the company's internal processes can adequately deal with issues such as pay and welfare; or they may feel that such agreements restrict their options when it comes to matters of pay and staff levels.
However, a National Trades Union Congress (NTUC) spokesman said agreements are important to rank-and-file workers as they spell out collective bargaining rights, and procedures, such as for the handling of grievances and disputes.
Unions and management can also react swiftly to changes in the business cycle, using the agreement as a common platform for discussion.
Said Batu executive secretary Heng Chee How, who is an NTUC deputy secretary-general and Minister of State (Prime Minister's office):
'As a union, we have a duty to our members to represent their interests in ways that would be a 'win-win' for both workers and business.
'Batu has always valued, and continues to value, mutually respectful engagement with the company toward that end.'
The Oct16 hearing will be before a High Court judge sitting with two others - each a representative drawn from panels representing employees and employers.
The IAC's decision is final, but the arbitration court process can be avoided if the company and union decide to resume talks before then.
[email protected]
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</TD></TR><TR><TD><!-- headline one : end --></TD></TR><TR><TD>Company broke off talks, would not resume negotiations or go for arbitration </TD></TR><TR><TD><!-- Author --></TD></TR><TR><TD class="padlrt8 georgia11 darkgrey bold" colSpan=2>By Goh Chin Lian, Senior Political Correspondent
</TD></TR><TR><TD><!-- show image if available --></TD></TR></TBODY></TABLE>
<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->THE Government has stepped in on a long drawn-out dispute between a major construction firm and its union here and has ordered them to seek arbitration.
In a rare move, Manpower Minister Gan Kim Yong last month directed that their case be referred to the Industrial Arbitration Court (IAC).
The disagreement centres on Indian-owned Sembawang Engineers and Constructors' refusal to sign a collective agreement with the Building Construction and Timber Industries Employees' Union (Batu).
Such agreements outline, among other things, the bargaining rights of rank-and-file workers with management on issues ranging from wages to retrenchment benefits.
Negotiations have been on-going since December 2006. This was shortly after New Delhi-based engineering and construction group Punj Lloyd acquired the company from Temasek-linked utilities and marine group SembCorp Industries.
But the company broke off talks with the union in May this year, a Manpower Ministry spokesman said.
And despite the ministry's conciliation efforts and advice, the company has refused to return to the negotiating table.
It would also not agree with the union to jointly refer the dispute to the IAC.
The ministry explained that it was in the interest of harmonious industrial relations that Mr Gan had stepped in and issued a directive on Aug28 to refer the dispute to the IAC.
He has powers to do so under the Industrial Relations Act. These were last exercised in 2004.
Both the company and union were reluctant to go into details of the dispute when contacted.
Sembawang, which described itself as an 'established company with good employer/employee policies and practices in place', said a collective agreement would have covered 232 local, permanent rank-and-file staff.
This is just one-fifth of its 1,039 employees here. The agreement would not have applied to its foreign workers as they are contract staff.
'Our company recognises the union and fully respects the Singapore labour laws,' Sembawang said in a statement.
But it then added: 'We are of the view that it is not necessary to sign a collective agreement.'
The company has been involved in building MRT and LRT stations here. Its current projects include works on the Circle and Downtown lines, and the Marina Bay Sands integrated resort, as well as residential projects in Bahrain and Libya.
Punj Lloyd's latest annual report said Sembawang had a healthy cash flow position and was largely debt free, and that it had earned $775million in revenue in the financial year that ended on March31.
Industry sources say many construction firms, which are heavily reliant on foreign workers, do not have collective agreements and are not unionised.
Sembawang, however, recognised Batu in August 2006 as the negotiating body for its employees.
What this means is that the union has the right to propose a collective agreement to the company.
Bosses, on the other hand, may not sign agreements for a number of reasons.
They may believe that the company's internal processes can adequately deal with issues such as pay and welfare; or they may feel that such agreements restrict their options when it comes to matters of pay and staff levels.
However, a National Trades Union Congress (NTUC) spokesman said agreements are important to rank-and-file workers as they spell out collective bargaining rights, and procedures, such as for the handling of grievances and disputes.
Unions and management can also react swiftly to changes in the business cycle, using the agreement as a common platform for discussion.
Said Batu executive secretary Heng Chee How, who is an NTUC deputy secretary-general and Minister of State (Prime Minister's office):
'As a union, we have a duty to our members to represent their interests in ways that would be a 'win-win' for both workers and business.
'Batu has always valued, and continues to value, mutually respectful engagement with the company toward that end.'
The Oct16 hearing will be before a High Court judge sitting with two others - each a representative drawn from panels representing employees and employers.
The IAC's decision is final, but the arbitration court process can be avoided if the company and union decide to resume talks before then.
[email protected]
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