History, theories of NTUC Singapore

1. NTUC Cooperatives and Social Enterprises
in Singapore

2. Theoretical Framework of
NTUC Cooperatives
Sydney and Beatrice Webb
of England

3.  Webb is a Christian socialist who joined
the Fabian Society while at university in
1885.
 The society believed that capitalism had
created an unjust and inefficient society*.
 Later, he was a co-founder of the London
School of Economics and Political
Science.
* Spartacus Educational, http://www.spartacus.schoolnet.co.uk/TUwebbS.htm

4.  Sidney Webb was a reformist who
claimed that coop advocate
Robert Owen was the real
founder of British socialism.
 Together with his wife Beatrice, they sought an
end to the laissez-faire approach to economics
and urged the government to play a more active
role in regulating the economy. Their ideas
helped influence the development of a welfare
State.

5.  The Webbs wrote the following books: History of
Trade Unionism in1894; and Industrial Democracy
in 1897*.
 The main function of the trade union is to enforce a
“common rule” for a trade in a shop through three
alternative methods- mutual relations, collective
bargaining and legal enactment. (Sibal, J., Origins of IR as a Study of
Trade Unions, UP SOLAIR)
*Dame Margaret I. Cole, Encyclopaedia Britannica

6.  The NTUC Labor Movement is a network of
affiliated unions, associations, social enterprises,
staff, members and partners working together for
the benefit of all working people and their families
in Singapore.
 NTUC’s family includes 61 trade unions and one
taxi association, and 12 social enterprises that
serve more than 2 million customers and 4 related
organizations.

7. 1960s
The NTUC was set up in 1961, following a split in
the labor movement over whether Singapore
should join the Federation of Malaysia and
become independent within a large political entity.

8.  The NTUC supported Singapore’s People's Action
Party (PAP) decision to join Malaysia.
 When the Federation of Malaysia was formed in 1963,
it was opposed by communist countries and
Indonesia.
 Within Malaysia, conflicts developed between
Singapore and Kuala Lumpur on the issue of race
(Bumiputra*).
 This led to Singapore separating from Malaysia in
1965. The PAP Government, backed by the NTUC,
then set out to prove their ability to survive and
prosper.
*In the 1970s, the Malaysian government implemented racially discriminatory policy favoring local Malays
(bumiputras) against Chinese Malaysians which included affirmative action in public education. (The Economist,
2003, “The slaughter of sacred cows”)

9.  The crisis deepened after the British started
withdrawing all military forces from Singapore.
Thousands would be jobless- those working in the
British bases.
 To save jobs, NTUC supported the government in
transforming the military bases for civilian use by
attracting foreign investors.
 In 1969, as membership dropped, NTUC
cooperated instead of confronting management.

10. Organized were:
• Consumer coop (called NTUC Welcome)
•Taxi coop (NTUC Comfort) to help taxi drivers secure
licenses and own their taxis
•Insurance coop (NTUC Income) with low premiums
•By end of 1970s, as labor-intensive industries were
moving out, NTUC engaged
in skills training and childcare
services

11.  To avoid a crisis in mid-1980s, NTUC supported
a flexible wage system that linked productivity
growth and profitability.

12.  NTUC Club was started for the social and
recreational needs of workers. Resorts were built
to give workers amenities previously open only to
the higher income.

13.  The NTUC Pasir Ris Resort was upgraded while
two new resorts were constructed - the Orchid
Country Club and the Sentosa Beach Resort.
 Lifestyle Centers were built.
 NTUC provided pharmaceutical services, food
business with hawkers under a franchise scheme,
quality homes for workers, eldercare and
strengthening media services.

14.  Post 2000- A new chapter is added every day in
the continuing story of the Labor Movement. Take
a look at the milestones achieved in the Labor
Movement during these 50 years!

15.  NTUC Choice Homes Co-
operative Limited was set up in
November 1995.
 NTUC Choice Homes has 15
projects or 6,944 units
comprising six executive
condominiums, eight private 99-
year leasehold condominiums
and one freehold
condominium.

16.  Established in December 1986 to
provide affordable recreation for
union members and the public.
 One of the largest leisure providers
in Singapore with 4 clubhouses
(Scarlet City, Union Square, Happy
Days and Jest D' Place), 3 resorts
(Costa Sands Resorts at Downtown
East, Pasir Ris and Sentosa), a
water theme park (Wild Wild Wet), a
golf course (Marina Bay Golf
Course), 5 bowling centres (Orchid
Bowl) and a one-stop recreation
cum lifestyle complex (Downtown
East), which includes the latest
shopping and leisure mall, E!hub.

17.  Set up in April 1997 to
meet the growing ageing
population. NTUC
Eldercare caters to the
physical, mental and social
needs of the elderly.
 They have a Care@Home
(a non-medical homecare
service), Wellness
Program, Caregivers’
Training and Support
Group.
 NTUC Eldercare currently
manages 7 Silver Circle.

18.  NTUC Enterprise is a holding co-operative set up by
NTUC, Singapore Labour Foundation (SLF) and unions
affiliated to both NTUC and SLF.
 NTUC SEs build on the firm foundation of the social
impact that they deliver to make an even greater
difference in the lives of working families in Singapore.

19.  Founded in 1973 as NTUC Welcome, with a social mission
to moderate the cost of living in Singapore.
 In 1983, it merged with the Singapore Employees Co-
operative to form NTUC Fairprice Co-operative Ltd.
 From one supermarket, NTUC FairPrice has become
Singapore’s largest retailer, with a network of more than
200 outlets comprising FairPrice supermarkets, FairPrice
Finest, FairPrice Xtra, FairPrice Xpress and Cheers
convenience stores. NTUC FairPrice also owns a Fresh
Food Distribution Centre and a centralized warehousing
and distribution company.

20.  NTUC First Campus was established as NTUC
Childcare in 1977 and became a co-operative in 1992.
 NTUC First Campus represents the highest quality
standards of professionalism in early childhood
education and is committed to making the best quality
pre-school education.
 It has a staff of over 1,000 dedicated professionals.

21.  NTUC Foodfare Co-operative Ltd was established
in 1995 to serve cooked-food to workers and their
families to help them stretch their dollar and
improve their quality of life.
 It serves Halal-certified food and holds a Hazard
Analysis and Critical Control Point (HACCP) food
safety certification in their manufacturing plant and
operations.
 It is ISO-9000 certified.

22.  NTUC Income Insurance Co-operative Limited was
established in 1970 for affordable insurance for
Singaporean workers.
 Considered a national icon, it is the only insurance co-
operative in Singapore and is built on strong and
sound business principles.
 With a capital of $1.2 million, NTUC Income is
Singapore's leading insurer offering life, health,
general insurance and investment-linked products with
total assets of about S$20 billion as of 2008.
 NTUC Income currently has about 2 million customers
from all strata of society.

23.  NTUC LearningHub Private Limited was corporatized in
2004 to enhance employability of the workforce by
providing high quality, innovative products and affordable
learning.
 The training programs include Infocomm Technology,
Professional IT Certificates, Soft Skills & Literacy,
Workplace Safety & Health, Employability Skills System,
Customer Service Training, Pharmaceutical, Trades,
Cleaning, WSQ Security and Manufacturing Skills.
 It has trained close to 800,000 executives and working
adults and has worked with more than 10,000
companies.

24. Prepared by:
PROF. JORGE V. SIBAL
Director
Center for Labor and Grassroots Initiatives
University of the Philippines
School of Labor and Industrial Relations
Diliman, Quezon City, Philippines
References:
Dame Margaret I. Cole, Encyclopaedia Britannica,
http://www.britannica.com/EBchecked/topic/1353697/Sidney-and-Beatrice-Webb
(opened- 9.14.12)
Sibal, J., “Origins of IR as a Study of Trade Unions”, UP SOLAIR
Spartacus Educational, http://www.spartacus.schoolnet.co.uk/TUwebbS.htm
NTUC, http://www.ntuc.org.sg/wps/portal/up2/home/aboutntuc
NTUC,
http://www.ntuc.org.sg/wps/portal/up2/home/aboutntuc/organisationdirectory/
ntucsocialenterprises (opened 9.5.12)