HOUSE UNIONS (Establishment and operations)

Encik Mansor Haji Sukaimi asked the Acting Minister for Labour if he is satisfied with the progress in the establishment of house unions and to state what problems and difficulties that had been encountered and what further measures will be undertaken to promote the establishment and effective operations of house unions.

The Acting Minister for Labour (Prof. S. Jayakumar): Mr Speaker, Sir, first, let me explain that the Government's policy is to promote the formation of house unions. This is because experience here and elsewhere has shown that house unions can contribute to better labour-management relations. Through house unions, the nexus between the company and workers can be better strengthened and workers will be better able to appreciate that their future and welfare are closely tied to the prosperity and viability of their company. It will also help employers to get to know union leaders better and thus be more willing to work with the union as a team.

To-date, there are 14 house unions in the public sector and 15 in the private sector. Of these, eight were formed in the last three years when the Ministry and the NTUC first started to promote house unions. The concept of house unions is catching on with workers and there is greater awareness by both managements and unions of its positive attributes. In this regard, the progress in the establishment of house unions can be said to be satisfactory.

The problems encountered in the formation of house unions depend on the individual companies involved. Much depends on how the management and workers identify with each other and hence the level of their mutual trust. There must be a realization on the part of both management and workers that a house union will be in the collective interest. There must be available mature and responsible union leaders on the one hand and on the other hand care and concern for the workers must be shown by management.

The Government will continue to strongly promote the formation of house unions in view of the positive contribution they can make to the enhancement of productivity. I must, however, stress that the actual establishment of house unions must be left to the workers themselves and to some extent the management of the company. They must be convinced that the house union will serve their interest and objective of fostering closer relations within the company and thus contribute to its continued growth.

Mr Jeyaretnam: A supplementary question, Mr Speaker, Sir, for the Acting Minister. Will the Minister state whether the promotion of these house unions has been brought about for the benefit of the companies and the employers, or is it designed primarily for the benefit of the workers? Secondly, as I understood the Acting Minister, it is not being forced on the workers. Would the Minister say whether, in every case before a house union is promoted, a secret ballot is taken of the workers to find out whether they would rather have a house union instead of an industry or allied trade union?

Prof. Jayakumar: Mr Speaker, Sir, the Member for Anson has raised two questions. The first arises from his not having listened to the answer which I have just given and, that is, for whose benefit the house union is intended to promote. I took care to explain that the rationale of house unions is to precisely promote the benefit of workers as well as to promote the nexus between management and labour, which nexus will also bring about greater productivity, greater profits which in turn will be shared by the workers. And so the answer is clear - it benefits both the company and their management.

The second question relates to the procedure of decision-making. The answer to that obviously must be that the decisions are taken in accordance with the rules and constitution of each union.

Mr Jeyaretnam: May I again, Sir, with your permission, ask the Minister to give me a specific answer to a specific question, and that is, whether the willingness of the workers is determined by a secret ballot taken from the workers or not. May I have an answer to that question - is a secret ballot taken?

Prof. Jayakumar: The answer to that is, "Yes, a secret ballot will be taken." But the answer must also depend on the constitution and rules of the union concerned.

Mr Jeyaretnam: Is the Minister aware that there is unhappiness among some unions about this Government forcing house unions on them? Because in many cases they are left without effective leadership in the house unions.

Prof. Jayakumar: Mr Speaker, Sir, we again have the Member for Anson resorting to his usual parliamentary tactic of wild allegations without substantiation. I have just said that the Government will strongly promote the formation of house unions. There has been no instance of anyone being forced to have a house union. On the contrary, some unscrupulous and irresponsible leaders have resorted to intimidation and threats to prevent the genuine formation of house unions. It is that kind of intimidation which exists in isolated cases with regard to which the Ministry of Labour will take a strong stand. If he has specific details of anybody being forced to have a house union, then can he substantiate his allegation in this House now?

Mr Jeyaretnam: Mr Speaker, Sir, is the Minister not aware of a resolution that was passed by the Petroleum Workers Industry Union and which they were asked to revoke?

Prof. Jayakumar: That is precisely the kind of intimidation that I am referring to, where persons who want to form a house union are intimidated and threatened against supporting the idea of a house union. It is those kinds of threats and intimidation that the Member for Anson should seek to have publicly denounced in this House.