INDuSTrIAL PEACE AN INGrEDIENT For ECoNoMIC SuCCESSBesides an astute industrialisation programme, Singapore’s economic success is due largely to a peaceful labour situation since Independence. Its framework for good industrial relations is a result of careful work by the government to balance excessive demands by unions. Instead of being confrontational via strikes and other violent methods, the unions protected the interests of workers through consultation and arbitration.

C v Devan Nair, Secretary-General of the National Trades union Congress (NTuC), initiated the modernisation movement and played a critical role in maintaining industrial peace and persuading workers to increase productivity and efficiency. He transformed the trade union movement, bringing government and unions into a relationship that evolved into tripartism.

In January 1965, NTuC, the Singapore Employers Federation and the Singapore Manufacturers Association (SMA) signed the Charter for Industrial Progress and the Productivity Code of Practice. This marked the beginnings of tripartism where the government, employers and workers agreed to co-operate for the good of Singapore.

Source: SPRING Singapore

Charter for Industrial Progress and the Productivity Code of Practice

Source: NAS

To further encourage industrial peace, Mr S Rajaratnam introduced the Employment Act and the Industrial Relations (Amendment) Act in 1968. The Acts gave employers greater responsibility over matters such as workers’ promotion, transfer, dismissal, allocation of duties, retrenchment and re-hiring. They also set the basic conditions for employer-worker relations.

Source: Singapore Year Book 1968

The introduction of tripartism in Singapore resulted in a marked decrease in the number of work stoppages and man-days lost by 1968.

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