Speech at National Day Observance Ceremony Organized by UCCW
Mr Lee Yi Shyan, Minister of State , the Singapore Flyer
Mr. Zainudin Nordin, Mayor of Central Singapore District and Director of Unit for Contract and Casual Workers (UCCW), NTUC
Our Tripartite Partners, Union Leaders
Fellow workers
Ladies and Gentlemen,
1. I am happy to be here to celebrate the nation's birthday with you. Just ten days ago we watched the National Day Parade taking place not far from this spot. This year's NDP was impressive. One of the greatest moments was our taking the “National Pledge” at 8.22pm. In that moment, we reaffirmed our commitment to being one people and one nation.
Economic Outlook
2. As a young nation, we have our fair share of challenges in the past 50 years of nation-building. At the National Day Rally, PM spoke about our economy not being out of the woods yet despite initial signs of stabilization. We will need to stay vigilant and flexible, to do what is necessary to overcome the current economic slowdown.
3. Notwithstanding the uncertain economic conditions, our unemployment rate remained stable at 3.3% in Q2. Redundancies have also fallen to 5,500 in Q2, a significant drop from the 12,760 in Q1. All level of jobs have been affected. Contract and Casual workers are however, especially vulnerable.
Tripartite Partnership to help Contract Workers
4. There are some 189,000 contract and casual workers in Singapore today1, a number that has increased in tandem with the trend towards outsourcing. Many of them are employed in the services industry, such as cleaning and security.
5. Recognizing their vulnerabilities, the tripartite partners have been working closely to improve the employability and working conditions of contract and casual workers. A Tripartite Committee on CPF and Work-Related Benefits for Low-Wage Workers, chaired by my colleague Senior Parliamentary Secretary (Manpower) Mr Hawazi Daipi, was set up in 2007 to help this group of workers. The Committee released the Tripartite Advisory on Responsible Outsourcing Practices in 2008 to encourage companies awarding out-source contracts demand their contractors to ensure that their workers receive basic employment terms and benefits and CPF, as provided under the law.
6. MOM, the CPF Board together with NTUC's Unit for Contract and Casual Workers (UCCW) are also working closely together to reach out through forums and seminars, to service buyers, managing agents and employers. An increasing number of companies, including public sector agencies, have adopted or taken reference from the recommendations in the Tripartite Advisory. Best Sourcing Initiatives (BSI) are also being promoted. Best Sourcing is where the expertise and quality of the service providers are placed above cost savings. As such, it encourages contracts to be awarded based on the best value for money. Just last month, the UCCW and NTUC's Employment and Employability Institute (e2i) announced the BSI Early Adopters Scheme to help organisations defray costs incurred in the adoption of BSI practices. The $2 million programme, funded by the Singapore Workforce Development Agency (WDA), will target organisations in the Cleaning, Building Maintenance, Security and Landscaping sectors.
Moving the Cleaning Workforce Up with WSQ Training
7. As we improve the working conditions of contract workers, it is also important to enhance their individual employability. The National Skills Recognition System, or NSRS, for Cleaning has helped more than 23,000 local workers obtain certification for their skills. Employers have also benefited from improved workforce productivity by sending their staff for NSRS training.
8. Cleaning, like other sectors, faces rising customer expectations and demands. More is expected from the Cleaning Workforce - in terms of skills demand and performance on the job. To better prepare the workers to meet the needs of the industry and customers' expectations, WDA will work with the industry stakeholders to develop the Cleaning Workforce Skills Qualifications (WSQ). The WSQ is a national qualifications system that aims to equip our workforce with the necessary employability, industry and occupational skills to remain competitive and add value to the organisation. WDA will announce more details on this when the Cleaning WSQ framework is ready.
Stepped up enforcement
9. Apart from actively promoting the implementation of the Tripartite Advisory, MOM has also stepped up its enforcement efforts against companies who do not provide employment terms and benefits to their workers according to the law. Between 2008 and July 2009, 40 employers were convicted for offences under the Employment Act while another 21 employers are currently being prosecuted in courts. We will take action against errant employers who flout the employment laws. My Ministry will also work closely with UCCW and other agencies to raise awareness among stakeholders and workers about employment rights and CPF obligations.
Continued progress
10. Last but not least, I want to congratulate UCCW for the success of their U Train U Gain Training Initiative. The initiative is aimed at assisting contract and casual workers upgrade their skills for career progression as well as lifelong employability. The training initiative was launched one year ago to and has already benefited 385 workers.
11. Mr Zainudin mentioned the story of Mdm Hoo Hong Moi to me. Mdm Hoo works as a cleaner at a school, earning $700 a month. She is the sole breadwinner in the family as her husband is unable to work after being involved in a motorbike accident. Determined to improve her employability, she participated in the Attitude Skills and Knowledge (ASK) workshop organised by UCCW last December. She was then advised to attend the Workplace Literacy and Numeracy course. Her improved English literacy following the course led to her being specially selected by the school to be their permanent cleaner. Her pay correspondingly increased to $800 a month. She also receives additional income via the Workfare Income Supplement, which will help her save for her longer term needs. Mdm Hoo is now more confident and positive following her training. She has clearly benefited from the “U Train U Gain” Training Initiative.
12. Given the set of challenges faced by this group of workers, UCCW's constant support and encouragement to its members in training and upgrading are truly commendable. I also urge workers to take ownership of their future by actively enrolling themselves for training and upskilling programs to enhance their employability.
13. If individually we are skilled, and as a team we are united, we will overcome the current economic downturn and reach greater heights. With that, I wish you a very happy National Day!
Thank you.