Parent companies of some MNCs to cut jobs; staff in S’pore may be affected

Channel NewsAsia - Wednesday, December 10SINGAPORE: Many multinational corporations are planning to retrench workers in Asia due to the economic downturn. Among them are Sony Electronics and Nomura, a financial services group. It’s believed staff at their Singapore offices will be affected.

Sony’s Japan headquarters announced that it is cutting 8,000 jobs worldwide as demand for consumer electronic goods has slowed significantly.

Sony said its headquarters is now reviewing its operations in each country.

While there are no specific numbers available for Singapore, what’s clear is that Sony is cutting costs.

Reports have also said that Japan’s biggest brokerage Nomura is laying off 100 people in Asia this year, including some in Singapore.

It is said the positions will be in its equity operations in places like Hong Kong and Singapore.

Nomura said it’s evaluating business opportunities and is now making strategic decisions about resource allocation and employee numbers.

Singapore’s labour movement urged Sony and Nomura to justify the headcount cut.

Halimah Yacob, Deputy Secretary—General, NTUC, said: "What these two companies will have to do is to explain the circumstances under which these retrenchments are being carried out, that they have exhausted all other possibilities and not just merely say this is the headquarters’ instruction to them."

Madam Halimah doesn’t believe the latest retrenchments will trigger a snowball effect, prompting other MNCs to do the same.

She added: "Workers do look at the kind of employers they want to work with so when employers resort to retrenchments when there’s no necessity, then obviously when times are better and they need workers they’ll find it a lot harder to get workers."

Observers said it’s not entirely surprising that companies like those in the electronics and finance industries are resorting to retrenchments. But companies are once again reminded to implement and exhaust all the tripartite guidelines first to cut costs.

Some measures under the guidelines include introducing shorter work weeks and flexible work arrangements. — CNA/vm

CapitaLand to cut staff salaries between 3-20 pct

Source: Yahoo news.singapore

Reuters - 2 hours 8 minutes agoSINGAPORE, Dec 3 - Southeast Asia's largest developer, CapitaLand , said on Wednesday it will cut staff pay between three to 20 percent in light of a slowing domestic economy.

CapitaLand said in a statement that the firm-wide measures will affect mostly management and executive level employees, with its chief executive, Liew Mun Leong, bearing the maximum cut of 20 percent.

The cuts will take effect in January 2009.

"We felt that the proactive measures demonstrate the Groups disciplined capital management and prudence during these global financial and economic uncertainties," Liew said.

Some Singapore firms have started laying off staff and cutting salaries in light of the tough economic conditions. State investor Temasek Holdings [TEM.UL] said last month it will cut staff pay between 15 to 25 percent while DBS Group and Neptune Orient Lines said they will be cutting jobs.