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11 Jun 2021  (656 Views) 
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Ministry of Manpower


Expand Employment Act to recognize non-regular work
There is a dispute between the bus drivers and SBS Transit over the working conditions. The bus drivers engaged a lawyer to take a legal case against the employer over "unfair work practices". The case will be heard in the High Court, as it has far reaching ramifications.

Apparently, the trade union representing the workers could not find a solution to the grievances. This led to the workers engaging the lawyer on their own.

I am not familiar with the details of the grievances, but I like to offer a perspective that may be overlooked.

I believe that the problem lies with our Employment Act. This legislation, which has existed for over five decades, basically assume a "regular"  work environment that existed long ago. 

In those days, the worker performs a regular job for 8 hours a day, and is entitled to sick leave, annual leave, medical benefits and CPF contribution. Any work in excess of 8 hours or on weekends is considered as "overtime" and carries a higher overtime rate. 

This employment structure does not fit the public transport service, which does not have "regular" hours and has to operate 18 hours a day, 7 days a week.

It also does not fit the part time work that is now quite common in many businesses.

It is complicated for the compute the remuneration of workers on  non-regular or part time work using the structure specified in the Employment Act. This leads to disputes and complains about "unfair work practices".

What is the solution?

We need a major change to the Employment Act. The revised Act should recognize that there are two categories of employment:

a) The current structure can continue to jobs that fit the "regular" work.

b) A new structure should be devised for jobs that are based on "non-regular" or part time work. The worker will be based on an hourly rate that includes the sick leave, annual leave, medical benefits and CPF contributions. This rate is higher (maybe by 30%) than the rate for regular work, as it incorporates the "fringe benefits".  

The employer and worker can agree on employment terms that fit the new structure. This is likely to be cleaner and fairer and avoids the disputes about "unfair work practices".

I hope that the government will consider this approach, i.e. to offer an alternative structure for empoyers and workers to adopt.

Tan Kin Lian


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