Payment of Retrenchment Benefits to Executives

This is a case concerning payment of retrenchment benefits by NuTune Singapore Pte Ltd to 34 executives formerly employed by the Company. The executives were represented individually by the United Workers of Electronics and Electrical Industries. The Company had been paying the retrenchment benefits to the ex-employees in monthly instalments, but stopped payment in Dec 2011. The Union asked for the retrenchment benefits either to be paid in full, or for the outstanding instalments to be paid immediately and the remaining instalments to be paid according to the agreed schedule. The Company asked for a longer period for instalment payment, citing financial difficulty. The Court agreed to allow the Company more time for payment, but ordered the Company to pay a specified sum to the Union monthly, as well as an additional amount to be determined according to the formula to be agreed between the Company and the Union after the hearing.