SINGAPORE — As the Republic’s companies go through restructuring in the midst of a sluggish global economic environment, labour-management relations and unions will become “even more important” in such challenging times, Deputy Prime Minister Teo Chee Hean said yesterday.

Speaking at the National Trades Union Congress (NTUC) May Day Dinner at Orchid Country Club, Mr Teo reiterated the need for unions to adapt and “cater to the needs of our evolving workforce” — including reaching out to PMEs (professionals, managers and executives).

There are about 650,000 PMEs in the local workforce and Mr Teo noted that these workers would form the bulk of the Singaporean workforce in time to come. Out of NTUC’s 700,000-strong membership, about a quarter are PMEs. Nevertheless, the proportion has increased over the last few years, from 20 per cent in 2009.

Mr Teo noted feedback from some white-collar workers that “they want greater workplace representation”. It was “encouraging” that some affiliated unions, such as those representing tour guides and real estate professionals, have set up professional chapters catering to PMEs, he said.

He added: “I understand that our tripartite partners do recognise the need for our unions to progressively represent more PMEs, while at the same time bearing in mind that employers also need sufficient flexibility to manage their human resources.”

A tripartite work group is “studying this issue closely” and the Government looks forward to receiving the proposal, Mr Teo said.

In response, Mr Patrick Tay, Director for NTUC’s Legal Services Department and PME Unit, said in a press release the NTUC “has been advocating for greater representation by our rank-and-file unions of PMEs over the last few years”. He noted that, currently, rank-and-file unions can only represent PMEs individually in four areas — retrenchment, breach of contract, victimisation and unfair dismissal.

Adding that PMEs’ concerns were “not very different from rank-and-file workers”, Mr Tay suggested changes to the laws to allow rank-and-file unions to carry out “collective bargaining” for PMEs in areas “such as increments, bonuses, re-employment and when retrenchment occurs”.

Apart from reaching out to PMEs, Mr Teo said that unions have to continue to take care of blue-collar workers as well as cater to “different types of workers and jobs” — for example, freelancers. He stressed that, in order for the unions to be effective, “management also has a key role to play”. “It is important for management to recognise and accept the constructive role of the unions,” he added.

In her speech at the dinner, NTUC President Diana Chia echoed Mr Teo’s sentiments when she pointed out that workers here are “going through challenging times”. She said: “Growth has slowed, competition is intense, and manpower is tight. As we strive to make the transition towards quality growth, the stresses facing both workers and companies going through these changes are real and immediate ... At times like this, the labour movement has an even more important role to play.”

The rank and file are concerned about salaries as they try to cope with higher costs of living, Ms Chia said. “PMEs are concerned about fair opportunities for jobs and career progression. Older workers are concerned about fair treatment, while many working women hope to be able to juggle better between career and family.”