| I AM 58 years old and my employment in a public-listed company was terminated recently after 27 years' service. Compensation was one month's salary in lieu of one month's notice, as per the terms of my contract.
I feel unfairly treated. Conflicting verbal excuses from management did not make things easier. In addition, I am only a few years short of retirement age. After 27 years' service, could the company not have waited for a few more years to retire me?
I approached the Ministry of Manpower (MOM). After several exchanges, the conclusion was there is little MOM can do as long as the termination is within the terms of the contract between employer and employee.
The Employment Act and Retirement Act offer minimal checks and protection to deter employers from removing employees with minimal compensation, especially older workers like me. I believe there are a number of people in their 40s and 50s in similar situations, who realise their limited alternatives for further recourse. There are many responsible employers, but socially irresponsible ones are also prevalent.
Allow me to make some suggestions:
Employers should give additional notice of termination of service based on length of service with the company. For example, two months' termination notice for five to 10 years' service, 10 to 15 years, four months' notice, and more than 15 years, six months' notice, with the employer having the right to release employee earlier, in lieu of payment.
MOM should make it a requirement that employers specify in writing why the service of each employee was terminated. Currently, employers do not have to do so, so it is difficult to gather evidence in any dispute. This leaves employees on the losing end in any civil case.
Although there are skill upgrading courses for retrenched workers and retirees, many have very specific skills tailored to their industry. Should a worker's service be terminated, his company (and not the Government) should be made responsible for finding a similar job in another company. After all, the company should have the resources and networks to do this. Failing which, the company should pay for retraining courses so that affected workers can upgrade themselves to be more employable. This should be mandatory, at least for public-listed companies.
Theng Chong Aik
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