Compliance Rate of Employers in Cases of Non-Payment of Arrears

Assoc Prof Fatimah Lateef asked the Minister for Manpower for workers who have not been paid by their employers and have had their cases heard, what is the compliance rate of these employers paying them appropriately.

Mr Lim Swee Say: Between April and Dec 2017, the Tripartite Alliance for Dispute Management (TADM) and the Employment Claims Tribunal (ECT) concluded 3,750 employee salary claims where the employer was ordered to make payment to the worker. Salaries were fully recovered in about 92% of these orders.

The remaining claims involved 139 employers. 133 of these employers ceased operations or faced business failure due to financial difficulties. TADM works with U Care Centre (UCC) of the National Trades Union Congress or the Migrant Workers’ Centre (MWC) to provide financial relief to lower-income workers who are unable to recover their salaries.

Of the remaining six employers, one has appealed to the High Court. For the remaining five employers who did not pay even though they were not in financial difficulty, MOM will be prosecuting them under the Employment Act. At the same time, TADM is working with UCC and MWC to enforce the order against these five employers.