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Labour chief sets productivity goal
Wed, Feb 10, 2010
my paper

By Rachel Chan

THE labour movement has called for a 3 per cent improvement in productivity in all sectors, enterprises and from workers this year.

The goal, which takes its cue from the 2 to 3 per cent productivity- growth target recommended by the Economic Strategies Committee (ESC) last week, was unveiled by labour chief Lim Swee Say yesterday.

Mr Lim hopes that broad-based incentive schemes that encourage "a quantum leap in productivity through pervasive innovation", will be unveiled in the upcoming Budget to push all types of firms onto the productivity bandwagon.

Such measures - some of which may come under the setting up of a National Productivity Fund proposed by the ESC - may also help the labour movement reach another target: innovations in 3 per cent of companies across all sectors in the future, Mr Lim said.

Without companies who take the lead in innovation, the productivity movement would run out of momentum, he added.

The 3 per cent improvement in productivity and "pervasive innovation" are the twin engines that will propel the workforce towards the broad goals of full employment, increasing employment rate and minimising under-employment, he said.

He cited numerous examples of companies that have been raising productivity using machinery, better work processes and sales tactics, among others.

Sheraton Towers, for example, is using a bed-lifting systemto reduce back strain for chambermaids who make beds daily.

The hotel's director of human resources, Mr Francis Tan, said that medical leave among chambermaids fell by 27 per cent after the system was introduced in August 2008. The staff-satisfaction index improved and the turnover rate has been kept at a minimum of 2.4 per cent last year, he said.

Yesterday, Mr Lim also stressed that the push for productivity must be broad-based and inclusive, so that productivity improvements in a sector or company reinforce those in others, bringing about a virtuous cycle of productivity gains.

This means that initiatives to re-employ older workers, attract women to re-enter the workforce and upgrade skills of contract and casual workers should continue, he said.


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