Workers must agree to cut in working days???

From the Star Thursday January 29

Labour DG: Workers must agree to cut in working days

KUALA LUMPUR: The Government will allow companies and factories to shorten their operations to three days a week, provided workers were agreeable to the move, Labour director-general Datuk Ismail Abdul Rahim said on Thursday.

He said the Government’s main concern was to ensure minimal job loss and for companies to continue to operate.

He said it was necessary for employers to get the consent of the workers because if working days were reduced, workers would get less pay.

”It is the duty of the department to ensure that workers were adequately protected and at the same time, companies did not lose out,” Ismail said.

Ismail felt that it would be ideal if employers, workers and their unions could work together for their mutual good and the good of the nation.

__________________


OK. After analyzing the pros and cons, there are indeed some justifications for this move.

I personally felt that in times like this, everyone should move together. That means, workers must also do their bits of sacrifice in order to keep the balls rolling.

In some ways, this can also mitigate job losses.

I call this method: - "SPREAD-OUT INCOME CUT"

__________________

Scenario A (Retrenchment):
-A =RM1000
-B =RM1000
-C =RM1000
-D =RM1000

To save 25% (RM1000) operating cost on labour:
Fire D to save A, B and C

Scenario B (Income Cut):
-A =RM1000
-B =RM1000
-C =RM1000
-D =RM1000

To save 25% (RM1000) operating cost on labour:
Cut 25% of each salaries
-A =RM750
-B =RM750
-C =RM750
-D =RM750

________________

However, negotiation must be thoroughly thought out.
It must not be bounded by Labour Union head agreements. It must get consents of every workers.

Just deduction 25% income from a person is a serious financial burden to them. It could be a matter of near-survival to serious household deficit income.

_______________

Can't we just deduct CEO, General Manager and Director's salaries to give to the workers??

NO???
I guess not.