SINGAPORE: When Dyson conducted “surprise” layoffs in Singapore last week, it received a rebuke from the union representing its workers about the one-day notice it gave to inform the union of the retrenchment.
Although the consumer appliances firm abided by the law, the way the layoffs were done may have affected its reputation, business analysts told CNA.
Professor Lawrence Loh of the National University of Singapore (NUS) Business School said: “It is not just about the letter of the law, but the spirit of being a good employer. The company needs to upkeep its broader reputation.”
Employees were likely caught off guard because Dyson said in July that the Singapore office would not be directly impacted by job cuts in Britain.
“What the company says at that point in time is accurate, it had no plans,” Prof Loh said. “But when (the announcement) comes — 24 hours, one email, one meeting — you’re out.”
With only one day’s notice, the union had no time to engage the parties for discussions or to find a better way to handle the layoffs.
Dyson should not have “skimped on this last mile”, Prof Loh said, especially since the company moved its headquarters to Singapore from the United Kingdom “with such fanfare” in 2022.
Singapore’s Ministry of Manpower (MOM) said that the period of notice given to the United Workers of Electronics & Electrical Industries was negotiable because the retrenched employees were not unionised.
The union, which represents workers in the electronics industry, said last week that the staff members who were laid off are believed to have received a compensation package of one month’s pay for every year worked, which is the norm for the union.
However, it said that it was unsure whether there was a cap on the package and remained concerned that it had not received more
