Private security officers to benefit from better jobs and better pay with the launch of the Progressive Wage Model for the security industry

The security industry currently faces operational and manpower challenges, such as low basic wages, low productivity, high turnover of SOs, and unattractive working conditions due to excessive overtime (OT) hours.
29 Oct 2014
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Security Officers (SO) in Singapore can now look forward to skills upgrading, better jobs and better pay with the Progressive Wage Model (PWM) for the security industry, announced by the Security Tripartite Cluster (STC) today. Spearheaded by the Labour Movement, the PWM for the security industry will benefit an estimated 33,000 SOs who are currently active in the industry.

The security industry currently faces operational and manpower challenges, such as low basic wages, low productivity, high turnover of SOs, and unattractive working conditions due to excessive overtime (OT) hours. The prevalence of the practice of cheap sourcing in the industry has made it difficult to address these challenges.

The STC was formed in September 2013 to address these challenges by developing a PWM to raise basic wages, skills and productivity, and set out an approach to reduce the industry’s reliance on excessive OT.

Recommendations by STC

Progressive Wage Model

The STC has since completed its review and recommends the implementation of PWM in the security sector to help security officers achieve sustainable real wage increase through skills upgrading and productivity improvements. There are four key components in the PWM: salary progression, skills upgrading, career advancement and productivity improvements. The proposed PWM for the security sector is shown in diagram 1.                                                                         

 

Diagram 1: Progressive Wage Model for the Security Industry

 

The different levels take into consideration the job functions and level of responsibility of SOs. The recommended starting monthly basic wage for SOs is $1,100 and increases as an SO becomes better skilled, more productive and takes on more responsibilities. The career progression levels would apply across the industry and affect an estimated 33,000 active SOs.

In the development of the PWM for the security industry, the STC has engaged industry stakeholders in discussions via dialogues and one-to-one engagement sessions. On 22 July 2014, the STC conducted a dialogue session for the security industry. More than 60 per cent out of a total of about 260 SAs participated, which included owners of SAs as well as their representatives. They hire the majority of all SOs. These sessions have allowed the STC to have a deeper understanding of the challenges and concerns on the ground and tailor the PWM recommendations to the security industry.

The STC has also taken into account the National Wages Council (NWC)’s 2013/2014 guidelines in its recommendation.

To ensure that these changes are implemented consistently across the industry and there is a level playing field for all SAs, the STC recommends that the PWM for the security industry be included as a mandatory licensing condition under the security agency licences issued by the Singapore Police Force.

Overtime reductions and exemptions

Noting concerns about the long working hours and critical manpower shortage in the industry, the STC feels strongly that the long-term attractiveness of the industry also depends on more sustainable working hours. The STC commends SAs which have already taken steps to reduce OT hours clocked by SOs. These steps include moving from a six-day week to a five/six-day week, which will reduce OT to 72 hours per month, without a reduction in gross salary.

The STC urges the industry to adopt these progressive practices to become more sustainable in the long run. The STC will consider in 2017 recommending measures to reduce OT to the permissible 72 hours under the Employment Act after carefully monitoring industry movement, changes in shift patterns and streamlining of manpower requirements, which may take place in the next two to three years due to the implementation of PWM.

Performance-based contracts and use of technology

Besides skills upgrading, career progression and progressive wages, the STC also strongly recommends for SAs and service buyers to work together on performance-based contracts, improve and redesign job processes, implement efficient manpower deployment, and invest significantly in technology and productivity enhancement. The STC urges all stakeholders to make full use of the schemes offered by the Government, NTUC and e2i to adopt the PWM and embark on productivity improvements.

Assistance for Early Adopters

To encourage security agencies to enhance their productivity and be early adopters of the PWM’s progressive wages, a dedicated Inclusive Growth Programme (IGP) scheme for the security sector is now available.

Launched by NTUC’s e2i (Employment and Employability Institute) today, the ‘IGP for Security Sector’ is a newly-packaged $5-million scheme set aside for productivity projects in the private security industry. The scheme is available with immediate effect, and will end when the $5 million grant is used up, or on 30 June 2015, whichever is earlier. 

Security agencies who wish to find out more about this funding scheme may contact e2i at igp@e2i.com.sg.

A Better Future for All

Having a PWM for the security industry benefits all stakeholders. The PWM provides a clear career pathway for SOs to earn higher wages through enhancing their skills, productivity and job responsibilities. With higher wages, SOs will have the option of better work-life balance through working fewer OT hours, which in turn reduces fatigue and increases vigilance and performance. This engenders a sense of pride and professionalism and motivates SOs to perform better.

The industry will also be better placed to attract and retain well-trained workers to meet its manpower needs. SAs will gain from a higher-skilled and more productive workforce that leverages on the use of technology. This in turn allows service buyers to enjoy higher standards of security services, and creates safer spaces for people to live and work in.

NTUC Assistant Secretary-General Zainal Sapari, who is also a member of the STC, said, “The tripartite partners have been working closely together with the common aim of raising the professionalism of the private security industry and, very importantly, to provide our security officers with better jobs and better wages. We are also very encouraged that many security agencies and service buyers have expressed their support for the PWM. Moving forward, we hope to see more agencies become early adopters of the PWM as we transition to a framework that we believe will be beneficial to all stakeholders.”

Appreciating U – Our Security Officers

As part of the Labour Movement’s Appreciating U initiative, the NTUC U Care Centre and Union of Security Employees (USE) went about appreciating security officers at their worksites in roving vans today. Security officers were presented with appreciation packs consisting of NTUC FairPrice vouchers, an appreciation certificate and a “Serving With Pride” tumbler.

The roving vans visited three security sites to showcase ‘better working conditions’, ‘better working hours’ and ‘better wages’:

a. ‘Better Working Hours’ – Aexis Security Management Pte Ltd

SOs at One Marina Boulevard have the option of working six- or eight-hour shifts, as compared to the common industry practice of 12-hr shifts. This gives the SOs the opportunity to achieve better work-life harmony.

b. ‘Better Working Conditions’ – Premier Security Co-operative Limited

SOs at Raffles City Shopping centre have a furnished, air-conditioned rest area for their use.

c. ‘Better Wages’ – AcePro Security Consultancy Pte Ltd

All full-time SOs employed by AcePro Security Consultancy receive a basic monthly salary of at least $1,000, which is currently higher than the industry average. With the announcement of the PWM for the security industry, AcePro will be working towards adopting the progressive wage structure recommended by the STC.

This marks the commencement of a series of ground-up initiatives the Labour Movement hopes to inspire amongst service buyers and providers, where employers and workplaces are encouraged to show their appreciation to their security officers in their own ways.

 

Click here for the recommendations of the security tripartite cluster on the progressive wage model for the security industry

Issued by the National Trades Union Congress and the Security Tripartite Cluster.

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