Lawmaker slams tricky LRT employer swap

About 100 employees transferred from MTR Railway Operations (Macau) Company Limited (MTR (Macau)) to Macao LRT Corporation, Limited (MLM) due to a concession change have been deprived of their service periods, lawmaker Ron Lam has said in a statement.

The lawmaker said employees dismissed from the MTR have approached him for assistance.

In 2018, the government awarded the 80-month service contract for the LRT’s Taipa Line operation and maintenance assistance services to MTR (Macau).

MTR (Macau) is a wholly owned subsidiary of Hong Kong’s MTR Corporation.

Earlier this year, Secretary for Transport and Public Works Raimundo do Rosário told a parliamentary session the LRT operational concession will no longer be granted to MTR.

Operation of the local railway network will be transferred to the government-owned MLM. Consequently, this involves transfers of workforce.

The lawmaker said the government had promised to “retain” most of the MTR (Macau)’s existing workforce and that MLM’s annual report had clearly stated certain workers were to be “transferred” from the MTR to the MLM.

Nonetheless, some workers have told him both companies evaded their questions about their service periods.

These workers discovered the new contract they were being urged to sign contained provisions on probationary periods, meaning they were new employment contracts instead of transfers.

He added some workers had reportedly involuntarily signed a voluntary termination of employment and that MLM had “hired” them without acknowledging it had done so.

The lawmaker wondered whether this might be a violation of the Labour Relations Law.

He said that over 10 years ago, the government had clearly stated that there is a requirement of reasonable compensation during dismissal, should a concessionaire not have its contracts renewed. This applies to bus and urban cleaning services, he noted.

In addition, he argued that whether from the perspective of protecting workers or that of honoring concession contracts, these “transferred” workers should either enjoy reasonable compensation or be considered transferred employees, with their service periods and existing remuneration schemes honored by the MLM.

Lam said he had sent a letter to the Chief Executive to call for his concern over the matter.

Despite being semi-private such as discounted transfer between different modes of transportation, because partnership between private and public entities is impossible, Rosário has said.