NTUC, employers tussle over foreign workers issue

The labour movement and Singapore's main employer group are divided over the need for new measures to curb the hiring of foreign workers.

In a rare show of public dispute, the Singapore National Employers Federation (SNEF) issued a statement arguing against the National Trades Union Congress' (NTUC) position on Friday.

The NTUC called for more measures to reduce employers' reliance on foreign workers because these workers suppressed locals' wages and could lead to companies dominated by these employees, reported The Straits Times.

Shortly after, however, the SNEF issued a response, arguing that more measures to control hiring of the workers will add to costs and make businesses less competitive.

The group instead wanted employers to intensify efforts to hire and groom Singaporeans and to undertake more measures targeted at providing re-training and better job matching, reported the paper.

The NTUC, which called for nurturing a Singaporean core of employees at all levels, is considering changes to two government schemes.

The first is to introduce quotas on foreign professionals on Q1-type passes, the lowest of Employment Pass for foreigners earning at least $2,800 monthly, unless employers effectively find ways to attract, retain and nurture Singaporean workers.

The other consideration is for a tiered S Pass scheme with higher qualifying salaries.

SNEF, which represents 17 business groups, criticised the ideas saying it would make the labour market more rigid for employers.

It also noted that measures to raise foreign worker levies and reduce quotas were already introduced last year.

Pointing out that Singapore may lose out on growth opportunities over the long term, SNEF further argued that foreigners take up jobs local shun.

The statements were issued after a tripartite panel gave an update on the feedback received for proposed guidelines on fair employment practices.

The Tripartite Alliance for Fair Employment Practices (TAFEP) said it would consider reasonable and practical ideas for guidelines, which aim to put Singapore's first in jobs, education and housing. It is to be ready by the end of the year.