Union Uproar Over Eagle Services Layoffs Sparks Negotiation Stalemate
The flight‑school of worker rights has just had a runway crash. Three unions and the National Trades Union Congress (NTUC) have publicly slammed and halted what they call “unfair” layoffs that racked more than 140 staff at the aircraft maintenance, repair and overhaul giant Eagle Services Asia.
Why the Temp‑Tactics for 3 Days
On July 22, Eagle— a 51:49 joint venture between Pratt & Whitney (P&W) and the listed SIA Engineering Company (SIAEC)— released a list of employees to be let go before they even finished debating the names with the unions.
By that time, negotiations had been simmering, with the Air Transport Executive Staff Union (AESU), the SIA Engineering Company Engineers and Executives Union (SEEU) and the Singapore Airlines Staff Union (SIASU) all fanning the flames.
Unions Step into the Ring
Once the unions saw that Eagle was going ahead, it was like a fleet of jet engines starting the rev‑up: NTUC and the trio of unions waded in and immediately stopped any further move, demanding a fair process, or “no retrenchment exercise please!”
In a joint statement, they declared that the boss’s “lack of transparency and disregard for our negotiations” was not permissible and that the way layoffs were handled was “not how a retrenchment exercise should be conducted.”
Key Facts in One Glance
- 148 employees to be let go in three days (between July 22‑24)
- Deleted from payroll instantly, with no prior notice
- Employees discovered their fate when they walked into the office on the day
- No criteria explained for the cuts
Turnaround Story
Sure, things started off hot. But the unions quickly pushed back, holding a secret ballot to sanction any legal power‑moves if the boss pushed their luck too far.
“There was an overwhelming chorus of support” for such actions. “We’re not going to let them step on our toes – or our rubber soles,” accused NTUC secretary‑general Ng Chee Meng.
After the conversation, Eagle’s management admitted that their process was a bit… hand‑off‑hand. They took advice from NTUC and the unions and improved the layoff procedure.
The improved deal meant:
- Reviewing the selection criteria to protect the Singaporean core while respecting foreign workers.
- More than one training grant for all affected union members.
- Fair compensation package already offered to the employees who got axed.
Job Support On The Ground
NTUC’s Employment and Employability Institute literally stood in the office with the affected staff and matched them to new job opportunities. Union leaders were also present – ready with a card game and coffee.
Expert Voice from the Reigning Authority
On Facebook, Mr Ng noted that he had been contacted by employees and unions a week ago about the unfair layoff. He described the period as “tense negotiations to fight for a fair and dignified retrenchment.”
He ended on a hopeful note: “I am glad that calm and good sense prevailed ultimately. We have since been able to reach an amicable agreement with the company.”
NTUC’s Guiding Principles
- Companies should exhaust all options before cutting hands.
- Layoffs must be transparent and inclusive.
- Follow the Fair Retrenchment Framework and the Tripartite Advisory on Managing Excess Manpower.
Why It Matters
The pandemic’s impact on air travel rattled the entire aviation chain, and de‑ploying at Eagle was a sign of the broader market slow‑down. Yet the unions showcased that even in the turbulence, the workforce can still land on solid ground.
Reactions from the Big‑Brother Companies
Pratt & Whitney said on Tuesday that no employees were let go between July 22 and 24, and that all staff remained on payroll.
SIAEC shares ticked at S$1.79 as of 2:50 pm on Wednesday, down 2.7%.
This article was originally published in The Business Times. Permission required for reproduction.
