I read this article with a heavy heart, I felt sorry for those that will be facing retrenchment.
I fear for not only themselves but their families because almost 50% of them are Singaporeans. Our country's biggest bank in assets is retrenching despite having a decent profit of S$379 million!
Today, the affected personnel were handed layoff letters. Most of them were from the upper management.
I'm saddened by the fact that DBS, the bank that most Singaporeans had an account with, is the first to retrench. This is a bank that had acquired POSB in 1998. The POSB that we all know so well, the bank that grew up with a lot of us. Remember the squirrel in the advertisements that taught us to save for a rainy day? Remember the big key on your first passbook?
The implications that this retrenchment brought about is to me, going to be pretty bad. Being the largest and the first to retrench it gives the others the reason to do so.
"If DBS have to retrench, we as the no. 2, 3, or 4 player, will have to do so..."
Even if it may not be as bad, some companies may take the opportunity to. What's even worse is, this group of people will have great difficulty looking for other jobs because whether you like it a not, many companies are now working on 'contract' basis or foreign workers!
I know of a few off-shore/ foreign banks in Singapore,that had started to retrench approximately 10-20 staffs. I'm not surprise if the trend continues.
Why did DBS not use the MVC mechanism first to cope with the downturn in business?
What about other methods like freezing employment or cutting bonuses?
Why add to the rate of unemployment?
Retrenchment should be the last resort!