Sunday, January 11, 2009 21:06
MOM advises Employers and Workers on Better Management of Foreign Worker Disputes
In Uncategorized • 1,011 views • 8 Comments
TheOnlineCitizen welcomes the following press release from Ministry of Manpower. We will follow up on this MOM press release along with our special focus on the treatment of foreign workers this week.
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11 January 2009
Employers to Pay Salaries on Time; Provide Proper Accommodation and Upkeep
Workers to Report Arrears Early; Allow Time for Claims Resolution
MOM has been investigating into the salary claims and housing conditions of foreign workers of Tipper Corporation, Gates Offshore Pte Ltd and Goldrich Venture Pte Ltd. MOM would like to provide an update on how these cases have been resolved, and to advise employers and workers in relation to such matters.
UPDATE ON CASES
Salary Arrears
2 The salary arrears of the 276 foreign workers from Gates Offshore and Goldrich Venture have been fully paid on 9 Jan 2009.
3 Similarly, 421 foreign workers under Tipper Corporation have accepted an offer to settle their salary arrears through instalments. Some 160 of them received their first instalments on 9 Jan 2009.
4 MOM has also informed the workers that they can choose to return home, or to be placed on a list of foreign workers available to be hired by other employers.
5 MOM will be prosecuting Tipper Corporation for failing to pay the salaries of its workers on time. Similar action will be considered for Gates Offshore and Goldrich Venture once investigation is completed.
6 MOM will also be prosecuting Tipper Corporation, and its two sub-contractors, S1 Engineering and UPNB, for their involvement in the illegal deployment of foreign workers hired by Tipper, to other companies. This is an offence under the Employment of Foreign Manpower Act.
7 All five companies under investigation have been barred from hiring new foreign workers.
Accommodation & Medical Care
8 In November 2008, as part of MOM’s routine inspections of foreign workers’ accommodation, the dormitory used by Gates Offshore and Goldrich Venture at 468 Tagore Industrial Avenue was checked and found to be non-compliant. The dormitory operator was told to cease operation or to obtain the necessary regulatory approvals. The employers were warned and ordered to relocate their workers to an approved dormitory. As a result, more than 50% of the workers had already been relocated by 15 Dec 2008. The remaining workers have until 21 Jan 09 to move out, failing which prosecution action will be initiated against their employers.
9 MOM is currently investigating allegations that Gates Offshore and Goldrich Venture failed to provide medical care to workers who reported sick.
ADVISORY
Employers
10 MOM will not hesitate to take action under the Employment Act (EA) or the Employment of Foreign Manpower Act (EFMA) against employers who fail to pay salaries on time, or fail to upkeep and maintain the foreign workers they have brought in.
11 Failure to pay salaries on time is an offence under the Employment of Foreign Manpower Act. Employers who fail to pay their employees could be fined up to $5,000 or to imprisonment for a term not exceeding 6 months or to both. If necessary, MOM will pursue prosecution action against the companies, their owners and the directors, even if the salaries are eventually paid up.
12 Employers who fail to upkeep and maintain their foreign workers, including providing acceptable housing and appropriate medical care, will be prosecuted under the Employment of Foreign Manpower Act. Errant employers can be charged and fined up to a maximum of $5,000 with respect to inadequate upkeep and maintenance of each foreign worker.
Workers
13 Workers are strongly advised to report any instances of salary arrears early, before the arrears accumulate. This will help facilitate quicker resolution of the problem, before it escalates.
14 Upon receiving any report of salary arrears, MOM will in the first instance explore if the parties can arrive at a mutually acceptable settlement. In most cases, this has proven to be an effective approach, resulting in a high rate of recovery of arrears and serve to protect the interest of the workers. However, the process cannot be immediate and will take some time. This is because the employer may be facing a cash flow problem, which is heightened during an economic downturn. Time will be therefore be needed for an orderly resolution of the dispute.
15 Workers are assured that MOM is committed to seek a fair resolution to their dispute. They should refrain from taking matters into their own hand, but work within the framework under Singapore’s labour laws.
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8 Comments
anonymous
gemami
Ref: Pt. 14 …..<b?the employer may be facing a cash flow problem, …
This is the clearest stand yet by MOM that reflects the protection of employers over employees. I cannot imagine the worker not having cash flow problem when not paid for months. The least, MOM could have done was to initiate a percentage payment of total sum owed first, so that it can help to tide the worker over until a full resolution is effected. I cannot imagine what these workers would have lived on if not for the behind-the-scene work of kind hearted Singaporeans.
Pt. 12 Errant employers can be charged and fined up to a maximum of $5,000 with respect to inadequate upkeep and maintenance of each foreign worker.
Hope MOM’s prosecution of the employers takes into account that Tipper was reported to be a recalcitrant offender in this regard and mete out the heaviest punishment possible, downtime notwithstanding. It really warrants such a a punishment and it is fully deserved.
pigscanfly
see what unity can do for you – unity among the workers and press.
any wonder why unions are banned in spore. btw NTUC doesn’t count, it’s a business conglomerate.
Gilbert Goh
High time that the govt has decided to take action after at least two years of such adverse news on the labour situation.
Good job by TOC to report on such news on the FWs.
Must be hard work by all in TOC.
Keep up the good work!
lobo76
what about the agency? Despite being paid thousands by the workers, they no need to do anything?
Hahaha
Thanks to TOC, Yawning Bread, TWC2 and all other good Samaritans of Singapore for making the issue visible and thus forcing the MOM civil servants out from their “its not my responsibility” mentality. I hope TOC will continue to monitor this matter. Call me cynical but sometimes officials write beautiful press release to diffuse the heat but the follow-through is wanting. E.g. For those workers already deported, how are the authorities ensuring that they get their payment?
I hope this is the beginning of a potential ombudsman in Singapore.
Femacca
{{ Pt. 12 Errant employers can be charged and fined up to a maximum of $5,000 with respect to inadequate upkeep and maintenance of each foreign worker. }}
What’s a mere $5000 maximum fine compared to the wages and work they have sponged off the hundreds of workers? This deterrent is grossly inadequate. More appropriate will be a percentage of whatever the company has failed to give to workers as promised. It would also force them to be stricter with their selection of sub-cons.
gemami
Hi #7) Femacca,
It is $5000 for each worker.
You are right that the penalty is still grossly inadequate to meet the crime.
MOM must ensure that every cent of the $9000 is returned to them on top of all these penalties, plus interests, plus loss of earning for not keeping to the contractual agreement of assured employment.
The $5000 penalty is not going to go to the foreign worker for sure. In this regard, we must not be seen to make money out of their plight, while not solving their situation.
This is making the matter even worse than it already is.
yes. looks like they have been forced by the negative international publicity caused by the foreign workers’ many mass protests at the MOM to climb down from their roof-tops to take some action – instead of insisting it is between the workers and employers and nothing to do with them.