Speech at Launch of Keppel Shipyard's Safety Excellence 2010

Mr Gan Kim Yong, Acting Minister for Manpower, Keppel Shipyard

Mr Lim Chee Onn
Chairman, Keppel Corporation

Members of Keppel Corp's management team

Distinguished Guests

Ladies and Gentlemen

Good morning

Introduction

1.   I am happy to join you this morning for the launch of Keppel Shipyard's Safety Excellence 2010. This is a good initiative that will benefit the Shipyard and its 14,000 employees.

2.   Last October, I launched the inaugural Keppel Corporation Safety Convention. Mr Lim Chee Onn had shared with me then that the corporate-level commitment would lead to new safety initiatives being launched by all companies under Keppel Corporation. Today's launch marks the first of such important programmes.  I am encouraged by these initiatives because, for Singapore to achieve higher workplace safety standards, industry must take the lead to promote safety. 

Placing Singapore in the top three

3.   Safety at the workplace is a critical area that will stay high on my Ministry's agenda. MOM, together with the industry, has been working hard to reduce the workplace fatality rate. Initial efforts have achieved good progress, with a steady decline from 4.9 fatalities per 100,000 employees in 2004, to 2.9 in 2007 - a 40% drop in three years. Our Prime Minister has recently challenged us to aim for one of the best workplace safety records in the world.

4.   The new goal aims to reduce the rate to 1.8 by 2018. This will place us in the league of the top 3 developed countries with the best safety records. It is an ambitious target but I believe we can achieve it. As a start, my Ministry, together with the WSH Council and industry partners, will focus on three ways to achieve this new target.

Raising standards through setting of acceptable WSH practices

5.   Firstly, raising standards through setting of acceptable WSH practices. The Workplace Safety and Health framework has put in place a performance-based regime. To help companies implement 'reasonably practicable' measures under this new regime, the new WSH Council will set down acceptable practices in consultation with industry. Industry leaders like yourselves have domain knowledge about operational challenges and specific risks. By tapping on your expertise and guidance, the Council will be able to develop and issue codes of practices that are robust and applicable to the industry.

6.   At the same time, there is the need to also step up enforcement efforts against companies with poor safety management. This is a fair approach. While we laud companies with the foresight to treat safety seriously and protect their workers, we must also take to task companies and individuals who put workers' lives at risk. The WSH Act enacted in March 2006 puts in place tougher penalties for poor safety management. This applies not just to cases where fatalities or injuries occur, but also to workplaces where safety management is poor and allow us to take stern action before an accident actually happens.

7.   To date, 27 companies have been fined for at a total of more than $1.3 million under the WSH Act, with each company fined between $50,000 to $130,000. Six of these companies involved cases where there was no injury or fatality but where there was imminent danger and safety management was not acceptable. Another 15 individuals, including CEOs, safety professionals and supervisors, were fined between $5,000 to $50,000 each for failing to ensure that work was carried out safely. My Ministry will continue to place priority on enforcement. We will also work closely with the Council, to provide information and materials to help companies improve their safety practices before MOM enforcement officers step in.  

Industry Capability Building

8.   Secondly, we need to build new and stronger capabilities to manage safety and health at workplaces. The WSH Council has worked with the Singapore Workforce Development Agency (WDA) to establish the WSH Professionals Workforce Skills Qualifications or WSQ, leading to formal recognition of specific skills and competencies. This will help us develop a pool of competent WSH Professionals to drive safety improvements and build safety and health culture on the ground.

9.   One of Keppel Corp's employees, Mr. Issac Yeo, a Health, Safety and Environment officer, is among the first batch of 52 trainees who has benefited from this new WSQ framework. The rigorous training provided by the course has raised his skill levels and safety consciousness, thus enabling Issac to carry out his work more effectively and safely.

10.   For Professionals, Managers, Executives and Technicians (PMETs) who desire to make a mid-career switch to the WSH profession, WDA has also designed a new WSH Professional Conversion Programme or PCP under the WSH Professional WSQ framework. This is essentially a Place-and-Train programme where professionals are selected by potential employers before they are sent for skills training. This allows those without prior experience an assurance of a job upon completion of WSH skill training. I would like to commend Keppel Corp's commitment to support programme by sponsoring up to 70 eligible subcontract workers for the course.

Greater Industry Ownership and Partnership

11.   Thirdly, improving and developing a vibrant WSH culture requires the collective effort, cooperation and strong partnership of all stakeholders. Senior management plays a critical role to lead and strengthen this collective effort. Keppel Corp, led by Mr Lim Chee Onn, has demonstrated strong commitment to drive safety from the top and down through the line to the entire organisation. Such commitment can only come about when companies understand that safety is a core corporate value and good safety records will contribute much to business performance. For example, many of Keppel Offshore and Marine's customers value safety. In turn, Keppel expects the same safety commitment from its contractors. At the same time, higher safety standards also mean higher productivity, stronger employee morale and greater competitive advantage.

12.   I hope to see many more companies follow the example of Keppel Corp leading the way for better safety performance.

Closing

13.   Going forward, robust growth is expected in sectors such as construction, marine, oil and gas. Heightened activities and the need to bring in more workers new to these work areas will pose greater challenges in safety and health. I urge on all stakeholders to play an active role in safety and health as you go about your work everyday, to put into practice this year's National WSH Campaign slogan "Safety starts with me". Together, we can realise our goal of making Singapore one of the safest place to work. Thank you.