Practice makes perfect

Some industries are hit more often by such ups and downs. Companies in these industries are less likely to take unions for granted, as they realise that good ties are crucial in order to garner support from workers for cost-cutting.

Take the export-led electronics sector, which faces frequent bouts of retrenchment when, say, a factory relocates to another country.

It has become a norm for employers to give unions advance notice - from five days to a few months - before announcing layoffs, says UWEEI general secretary Cyrille Tan.

'The important thing is that we can add value to management, such as by persuading workers to go for training instead of having a temporary shutdown,' he explains.

'Once they treat you as a partner, they are likely to collaborate with you.'

SIA also found unions to be important in communicating tough decisions to employees and getting support in difficult times like the 1997 Asian financial crisis, the post-Sept-11 downturn in travel, and when Sars hit the region. That period saw cuts in capacity, wages and staff.

SIA spokesman Stephen Forshaw says: 'We've learnt through these times that we need to keep our people well informed about the situation and its impact on our business, and engage them in developing solutions to respond to challenges.

'We do that through our unions and direct communication with our people. Our unions are all workplace unions so (they) understand the importance of the company maintaining profitability and stability.'

In e-mailed replies to The Sunday Times, leading Singapore companies such as SingTel, OCBC Bank and utilities and marine group

Sembcorp Industries expressed similar sentiments about the value of good ties with unions and their commitment to keeping them informed of important developments.