NTUC to set up new fund to help low-income workers tide over recession

[metalslug]

http://www.channelnewsasia.com/stories/singaporelocalnews/view/410607/1/.html

NTUC to set up new fund to help low-income workers tide over recession
By Valarie Tan, Channel NewsAsia | Posted: 21 February 2009 1848 hrs

Photos 1 of 1

Lim Swee Say

Related Videos

NTUC to set up new fund to help low-income workers tide over recession


SINGAPORE : Singapore's labour movement plans to set up a new fund called "U Care" to help needy workers tide over the recession.

It will be part of the S$20 million the unions hope to raise by May this year - to be given out to low-income households.

The labour movement plans to help low-income workers tide over the recession through a new fund called "U Care".

NTUC's plans include more bursaries for children from low-income families - like the S$70,000 given out by the Healthcare Services Employees' Union to some 530 students on Saturday - and more vouchers to help offset household spending.

Lim Swee Say, Secretary-General, NTUC, added: "What will be new this year is how we can provide hardship support for retrenched workers who may not receive fair compensation.

"Maybe the companies fold up or just disappear, and as a result they (workers) may not receive any retrenchment benefits, or the amount could be so low that it may not be enough to tide them over in the short term."

The unions plan to raise at least S$20 million this year - three times the amount given out in 2007. NTUC gave out a total of S$13 million in 2008.

Mr Lim said: "We know that it will not be easy. In fact, it will be doubly difficult; firstly, the sum is bigger, secondly, it comes (during) a downturn. Many organisations are cutting costs, but from our initial (feedback) from many of our social enterprises and business partners, I would say the support level has been fairly strong."

And the unions say the money will be given out in the form of vouchers to help families offset expenses in utilities and transport. But if need be, additional vouchers will be given out to help in other areas.

On Singapore Airlines' recent announcement of an 11 per cent cut in capacity, Mr Lim said SIA's management and unions are in close consultation on the matter.

He said: "Both the unions and management are committed to work together to cut costs and save jobs. So the unions and management are in close dialogue.

"I think both sides are committed that retrenchment will only be a last resort. They are not talking about retrenchments, they are talking about how closely we can work together, make full use of our flexible wage system, flexi work arrangement, cutting not just the wage costs but the non-wage costs as well."

Mr Lim said such management-union ties sets Singapore apart from other countries.

He said: "Our unions are not going to go on strike, our unions and our management are not just going to retrench workers, and cut jobs to save costs, but rather work together to cut costs and save as many jobs as we can." - CNA/ms

 

[metalslug]

http://www.straitstimes.com/Breaking+News/Singapore/Story/STIStory_341552.html

NTUC to give more aid
By Nur Dianah Suhaimi

'With the global recession, we expect to see some retrenched workers whose companies have folded,' said Mr Lim Swee Say. -- PHOTO: THE BUSINESS TIMES

Retrenched and needy workers can expect more help from the National Trades Union Congress (NTUC), which hopes to boost its war chest to $20 million by May.
Particularly in need are workers who received little, if any, retrenchment benefits, said its secretary-general, Mr Lim Swee Say, yesterday.

A new fund, U Care, will be added to its existing Care and Share programme which provides aid to needy union members in the form of transport and utility vouchers.

The new fund may have a 'hardship grant' component, aimed at retrenched workers.

The Care and Share programme will increase its annual budget to at least $20 million this year, compared to $13.1 million last year and $7 million in 2007.

Mr Lim, who is also Minister in the Prime Minister's Office, spoke to reporters at the Healthcare Services Employees' Union bursary awards event.

'With the global recession, we expect to see some retrenched workers whose companies have folded,' he said.

These workers may not get any retrenchment benefit or the sum could be too low to tide them over in the short term, he added.

NTUC will look to various social enterprises, cooperatives, companies and unions to raise the $20 million by the first half of this year.

The fund will also continue to focus on helping needy families with their children's school expenses, and to offset their utility bills. 'We will do everything possible to care for the workers,' Mr Lim said.

Read the full story in The Sunday Times today or subscribe to ST Digital.