THE 2,000 workers who will be laid off by hard-disk maker Seagate, which is shutting down its Ang Mo Kio plant next year, will get help from the Manpower Ministry, the union and their employer.
Some workers will get to explore redeployment within the company, others will be provided opportunities to retrain for new skills so they can be re-employed in other sectors.
Giving this assurance yesterday, Manpower Minister Gan Kim Yong told reporters: "This Seagate announcement is also a stark reminder to all of us that the economic challenges are still there. We must not be prematurely optimistic."
The affected workers, however, need not be disheartened as there are still 25,000 jobs available in the market.
Declining to say whether there would be a possible second wave of retrenchments in Singapore, Mr Gan nonetheless stressed the growing importance of helping workers tap the Skills Programme for Upgrading and Resilience (Spur).
Seven months since the scheme began, more have taken advantage of it. As at end-July, 159,000 workers and 2,200 companies have committed to Spur, revealed Mr Gan.
He was speaking at the National Day Observance ceremony organised by the Singapore Industrial and Services Employees Union and ST Aerospace - which, Mr Gan noted, as of last month had sent some 1,012 professionals, managers, executives and technicians and 74 non-PMETs for Spur training.
"We will not be able to avoid retrenchment altogether," said Mr Gan. "We will not be able to avoid companies restructuring altogether. But we want to minimise the number of people affected, keep as many jobs as possible in Singapore by keeping the companies competitive and helping them cut costs."
- Channel News Asia
Showing posts with label Seagate. Show all posts
Showing posts with label Seagate. Show all posts
Aug 5, 2009
'A reality check'
SEAGATE'S decision to lay off 2,000 workers at its hard-disk plant is a stark reminder to Singaporeans that 'we must not be prematurely optimistic' about an economic recovery, said Manpower Minister Gan Kim Yong on Wednesday.
But at the same time, Singaporeans need not be disheartened by the news, he added, pointing to 25,000 job openings yet to be filled and the hiring blitz by the two integrated resorts in the coming months.
Mr Gan's comments come 24 hours after the American multinational announced that 2,000 workers will be retrenched by the end of next year when its Ang Mo Kio plant is closed.
Its decision shows there are still economic challenges to be tackled despite some signs of recovery, the minister told reporters after a ceremony at Singapore Technologies Aerospace to mark National Day, which falls on Sunday.
Latest official figures show that the economy expanded for the first time in a year when it grew by 20.4 per cent in the second quarter over the previous quarter.
The improvement led the Government to raise its growth forecast this year from a contraction of 6 per cent to 9 per cent, to a contraction of 4 per cent to 6 per cent.
But Mr Gan warned against being blinded by the new ray of hope.
'It's important for us to continue to work together, for the Government, employers, unions and workers to press on with the various measures that have been put in place.'
Among them are the Jobs Credit wage subsidy scheme and the Skills Programme for Upgrading and Resilience (Spur), which subsidises training.
The Seagate announcement came amid repeated warnings from the labour movement about a possible second wave of retrenchments later this year.
- The Straits Times
But at the same time, Singaporeans need not be disheartened by the news, he added, pointing to 25,000 job openings yet to be filled and the hiring blitz by the two integrated resorts in the coming months.
Mr Gan's comments come 24 hours after the American multinational announced that 2,000 workers will be retrenched by the end of next year when its Ang Mo Kio plant is closed.
Its decision shows there are still economic challenges to be tackled despite some signs of recovery, the minister told reporters after a ceremony at Singapore Technologies Aerospace to mark National Day, which falls on Sunday.
Latest official figures show that the economy expanded for the first time in a year when it grew by 20.4 per cent in the second quarter over the previous quarter.
The improvement led the Government to raise its growth forecast this year from a contraction of 6 per cent to 9 per cent, to a contraction of 4 per cent to 6 per cent.
But Mr Gan warned against being blinded by the new ray of hope.
'It's important for us to continue to work together, for the Government, employers, unions and workers to press on with the various measures that have been put in place.'
Among them are the Jobs Credit wage subsidy scheme and the Skills Programme for Upgrading and Resilience (Spur), which subsidises training.
The Seagate announcement came amid repeated warnings from the labour movement about a possible second wave of retrenchments later this year.
- The Straits Times
Aug 4, 2009
Seagate to shut Singapore plant
US-based Seagate Technology said Tuesday it will close its hard-disk drive manufacturing plant in Singapore by the end of next year and lay off about half of its 4,000 workers.
The firm said in a statement it plans to move production to existing sites in other countries to cut costs.
"This consolidation is necessary in order for Seagate to further increase efficiency and reduce costs by leveraging investments across fewer manufacturing sites," the statement said.
The company said it is looking at moving some employees from the hard disk plant to other Singapore operations, while those who are laid off "will be offered severance benefits, in keeping with company policy."
Despite the closure of the hard disk plant, Seagate said its product development and design centre and recording media plant will remain in Singapore.
The two facilities employ more than 5,300 workers, according to the company website.
"Singapore will remain a key strategic partner for Seagate, with focus on high-value activities, and Seagate will continue to make strategic investments here," the statement said.
Last month, Seagate reported a loss of US$81 million ($117 million) for the fourth quarter and a full-year loss of US$3.1 billion ($4.45 billion).
"While there are signs of improved visibility, the ongoing uncertainty in global economic conditions makes it difficult to predict product demand and other related matters," the firm said in its business outlook.
- AFP
The firm said in a statement it plans to move production to existing sites in other countries to cut costs.
"This consolidation is necessary in order for Seagate to further increase efficiency and reduce costs by leveraging investments across fewer manufacturing sites," the statement said.
The company said it is looking at moving some employees from the hard disk plant to other Singapore operations, while those who are laid off "will be offered severance benefits, in keeping with company policy."
Despite the closure of the hard disk plant, Seagate said its product development and design centre and recording media plant will remain in Singapore.
The two facilities employ more than 5,300 workers, according to the company website.
"Singapore will remain a key strategic partner for Seagate, with focus on high-value activities, and Seagate will continue to make strategic investments here," the statement said.
Last month, Seagate reported a loss of US$81 million ($117 million) for the fourth quarter and a full-year loss of US$3.1 billion ($4.45 billion).
"While there are signs of improved visibility, the ongoing uncertainty in global economic conditions makes it difficult to predict product demand and other related matters," the firm said in its business outlook.
- AFP
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