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DIRECTORY OF SINGAPORE PROCESS & CHEMICALS INDUSTRIES 2021/2022
EVENT HIGHLIGHTS |
“Bringing members closer to Share, Learn and Grow Together”
Knowledge, Education, Experience & Networking (KEEN)
COVID-19 LEGAL WEBINAR SERIES - MANAGING ATTRITION IN THE PROCESS INDUSTRY
As the Process Industry gradually recovered from the worst impact of the pandemic, employers had to exercise care and caution in managing their workers, especially when deciding on termination, dismissal and retrenchment. To help members better understand their obligations, ASPRI’s Knowledge, Education, Experience & Networking (KEEN) Work Group collaborated with Mr David Shanmugam, Counsel from Netto & Magin LLC, to present the third instalment of the COVID-19 Legal Webinar Series on 14 November 2020. Titled “Managing Attrition in the Process Industry”, it was designed to provide ASPRI members with insights on handling difficult issues during these challenging times.
At the start of his presentation, Mr Shanmugam emphasised that retrenchment should only be undertaken as a last resort, after employers have considered all necessary alternatives, like sending employees for training to allow them to upgrade their skills and enhance their employability, redeploying them to alternative areas of work within the company and implementing flexible work schedules or arrangements to promote shorter work week. Employers could also adjust the wages of employees in line with tripartite norms.
As retrenchment posed a challenge for all parties involved, especially the affected employees and their families, Mr Shanmugam further emphasised the need to treat employees with dignity and respect during a retrenchment exercise.
When carrying out a retrenchment exercise, the selection of employees should be conducted fairly he noted, based on objective criteria such as the ability of the employee to contribute to the company’s future business needs. Employers should not discriminate against any particular group on grounds of age, race, gender, religion, marital status, family responsibility and disability.
Mr Shanmugam then shared three case studies, two of which were examples of good retrenchment approach.
The key takeaway is that companies must notify the affected employees in advance about their retrenchment. If possible, companies should also assist the affected employees regarding job placement facilitation. Any retrenchment benefits should be designed with the company’s financial situation in mind. Should they lack the means to assist their employees, they could always seek help from the Government.
Mr Shanmugam fielded questions at the end of the webinar to help clear any misunderstanding members might have on some of the issues discussed.
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