Monday, February 16, 2009

Laying off staff - Contrasting Philosophies

This is the Singapore way, and I am using Singapore Airlines as an example which just announced cutting back capacity ahead of time by 10%. I quote its CEO.

"We have already taken action, such as expanding and stepping up training and retraining programs, and we will contemplate retrenchment only as a last resort, but we do not have the luxury of time and we need to agree and act on some measures quickly so that we can push back the point of retrenchment as far as possible and improve our chances of avoiding it altogether," Singapore Airlines Chief Executive Chew Choon Seng said in the statement.

Now SQ is known for being a tough nut employer and was often resorting to the Industrial Arbitration Courts in high profile disputes with its unions, especially the pilots.

For the Dubai way, you cannot look to the media for direction. It must come from hearsays. Here they don't try very hard to cut cost or even reduce salaries. They just fire, often as a result of combining departments or simply because the firm ran out of business or cash.

Many companies are laying off staff in tens daily spread out over weeks. This is to avoid media attention. If they can help it, they will call you up one at a time, some will bunch all the employees into two rooms. One room for "execution" and the other to prevent those of death row from contaminating those who will "live", at least for now.

Of course, some get escorted to the door by security guards after they are given a few minutes to hastily pack their belongings.

In the labour camps, where most construction workers live, it is even quieter - They leave at night and directly for the airport. At least they often get to ride in air-con coaches but many are going home to face loan sharks whom they had borrowed money to come here in the first place. We all feel sorry for them.

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