SMRT Corporation Ltd

251 North Bridge Road

Singapore 179102

Tel : 65 6331 1000

Fax : 65 6339 4229 www.smrt.com.sg

Date of Issue: 28 November 2012

Update on SMRT Service Leaders

The rate of attendance of Service Leaders (SLs) on 28 November is back to normal and all our bus services are running as scheduled.
Meanwhile, SMRT personnel, including 20 of our Chinese SLs, are currently assisting the police in their investigation into possible breaches of the law as a result of the strike.

Addressing the concerns of Service Leaders

We would like to address the concerns raised by the SLs from China. Remuneration
Unlike SLs from Malaysia, who are employed on a permanent basis, SLs from China are hired on
2-year contracts that carry different terms of employment. While the starting pay for SLs from China is lower, the company provides for their accommodations and utilities as well as daily transport to their workplace.
As part of SMRT's ongoing salary review, in July 2012, all SLs under permanent employment received an increment in their starting pay. A special increment was also given to the SLs from China even though such an increase is not in their contract. Another round of salary adjustments for SLs under permanent employment was made in October 2012. Similarly, an additional adjustment of $25 per month for SLs from China was finalised last week and we were in the process of communicating this.
SMRT pays competitive market wages. Labour markets and wages vary in different countries. Taking into account the foreign worker levy and the provision of transport, accommodations and utilities, our remuneration packages for SLs from China and Malaysia are equitable. The table in Annex A shows a comparison of the remuneration packages.

Dormitory conditions

The SLs had earlier raised, with SMRT, concerns on the living conditions, such as bed bugs at the dormitories provided by private operators. Fumigation works were scheduled at the Woodlands dormitory but have not been carried out yet. We acknowledge that swifter actions could have been taken to improve the conditions of the dormitories. We will implement fumigation as soon as possible, and other improvement measures such as remedial works on fittings are already underway. We have also decided to provide alternative accommodations when the
leases at the dormitories expire from early 2013.
Management had assured the SLs during the discussion on 26 Nov that it will review and address their concerns. We will share our decision with the SLs next week.
On the latest developments, Executive Vice President (Roads & Commercial) Ms Teo Chew Hoon said: "There are lessons from this episode, including how we can better engage our SLs, and we will improve in this area. In the meantime, we are doing our utmost to make immediate improvements to their living conditions.
For majority of our Chinese SLs who are putting their best in their duties, I would like to reassure them that we continue to value their services."

- End - Annex Remuneration package - comparison

Chinese SL

Malaysian SLs

Employment terms

2-year contract

Permanent

Basic salary before salary adjustment in July 2012

$1,000

$1,200

Basic salary after July 2012 adjustment

$1,075

$1,350

Basic salary after Oct 2012 adjustment

$1,075

$1,400

Bonus

1 month's salary + ex-gratia

(1 month) on completion of 2- year contract

$1,400 (13th month) + Annual

Wage Supplement (AWS)

Cost of accommodation + utilities bills (provided by company)

$275/month

None

Worker's levy

Paid by company

Paid by company

distributed by