Singapore's National Wages Council: An Insider's View by Chong Yah Lim

By Chong Yah Lim

Written through Emeritus Professor LIM Chong-Yah, Founding Chairman of the tripartite nationwide Wages Council (NWC), this distinctive quantity deals readers an insider's view of the genesis and the evolution of the salary decision mechanism and process in Singapore lower than the aegis of the NWC. As a tripartite physique facing wages, salary rules and wage-related concerns and selling progress with fairness, the NWC performed a severe position in remodeling commercial kin in Singapore from the then confrontational method of that of mutual figuring out, esprit de corps and social co-partnership. Drawing from his 30-year adventure as NWC Chairman (1972-2001), Singapore's eminent Economics Professor stocks with readers the real procedure and difficulties of looking equitable salary raises via tripartite consensus according to a each year nationwide salary guide method. The publication additionally chronicles the function of the NWC in challenge administration in 1974, 1985 and 1998, and in monetary Restructuring, 1979-1981. The constitution and operation of this detailed Singapore establishment and the fascinating difficulties of securing unanimity of help from the 3 tripartite companions are published within the booklet. a few vital NWC personalities and their issues and special contributions are curiously lined, anecdotally.

Readership: Undergraduates, postgraduates and common public who've a willing curiosity in labour economics and commercial family.

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Now, coming back to the unanimity principle, why must it be unanimous? Otherwise, you cannot implement the recommendations. It will be very difficult to do so. ” And the ministries might not have one mind. Different ministries might take different positions. And the public might be guessing the position the trade unions take. Unanimity also means that two parties in the NWC cannot gang up against the third. It means that the trade unions and the employers cannot gang up and say, “We want the Government to cut taxes.

And they both agreed to a 4% wage increase, as they had not even earned one cent as a company. indd 22 12/3/2013 12:44:37 PM b1618 Singapore’s National Wages Council: An Insider’s View Tripartism in Singapore: The Wage Guideline System | 23 circumstances. But if both parties disagree, then they have the guidelines to follow. In most companies, when they found that other companies were all following the guidelines, they would also just follow the guidelines. But occasionally you have some smart alecks.

The employers and the unions, however, sent the names of their representatives for endorsement by the Government. The Council has a Chairman. They wanted a neutral and independent Chairman. After a long search, they decided to get a development economist with management and trade union background, that is me, as the first Chairman. The Chairman too must be acceptable to the three bodies. The unions must agree, in particular, with the choice of the Chairman. I was proposed to the Cabinet as Chairman and it was accepted.

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