SINGAPORE: Requiring employers to notify authorities before they retrench workers may discourage talks to save jobs, Manpower Minister Tan See Leng said on Tuesday (Mar 3).
He was responding to calls by labour chief Ng Chee Meng and other members of parliament (MPs) from the National Trades Union Congress (NTUC) to implement advance mandatory retrenchment notifications.
Dr Tan said: “While advance notification has merits, mandating such a requirement poses non-trivial challenges.
“Retrenchment is … always a difficult process for all parties involved, and is often a last resort for companies.
“Many a time, the senior management, together with the board, conduct backroom negotiations to try to save as many jobs as possible.
“If we mandate advance notifications, this may inadvertently push companies to finalise retrenchments faster, discouraging such dispute negotiations.
