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Lee Hsien Loong warns Singapore's port against complacency as rivals modernise

At a port workers' union dinner, Lee urged PSA to keep modernising while retraining workers and working with unions as their jobs change.

Lee Hsien Loong and Philippine President Bongbong Marcos meet at the Istana.
File photograph of Singaporean Prime Minister Lee Hsien Loong receiving Philippine President Bongbong Marcos at the Istana in Singapore on 7 September 2022. An anonymous member of the Office of the President of the Philippines, “Lee Hsien Loong and Bongbong Marcos” (resized and converted to WebP). Public domain.Image sourceImage licence: Public domain
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Senior Minister Lee Hsien Loong warned at the Singapore Port Workers Union's 80th anniversary dinner in Singapore on 17 October 2026 that the country's port could lose business if PSA became complacent as regional rivals modernise. CNA reported that he urged continued technological change while helping workers adapt through retraining and cooperation between management and unions.

Lee said rival ports were ‘fast catching up’ and might already be ahead in some respects. He cited Shanghai's Yangshan port as an example of progress in digitalisation and automation. ‘If PSA slackens or becomes complacent, we risk being left behind and losing our business,’ he said, according to CNA.

How PSA's changing jobs affect port workers

Lee pointed to earlier changes at PSA, including remotely operated equipment and automated guided vehicles that move containers through the yard in place of manually driven prime movers. He said PSA had retrained existing employees for new roles during such changes, instead of hiring replacements for the new work.

The adjustments required close coordination between port management and unions, Lee said. That included persuading workers to take up training and helping them adapt to different processes and workplaces. He described the process as demanding for both organisations and individuals, with trust between management and unions central to making it work.

Tuas commute and the next changes in port work

Moves between Singapore's port sites have also changed workers' commutes. Lee said the move to Tuas had significantly lengthened journeys for workers. Bus services to Tuas South have increased through work involving government agencies, the union and PSA management, he said. The agencies are also looking at a Bus Rapid Transit system.

Lee also recalled PSA losing major shipping customers to Malaysia's Port of Tanjung Pelepas in the early 2000s. He said the company changed strategy and cut costs to restore its competitiveness and win business back, a period that brought retrenchments and wage cuts. He presented that episode as an example of why management and unions need to work together through difficult changes.

Looking ahead, Lee identified green fuels such as ammonia and methanol, alongside artificial intelligence, autonomous technology, sensors and robotics, as forces changing port operations. New fuels would require different processes, skills and safety protocols, he said. He envisaged less physically demanding work centred on data and decisions, as well as roles in sustainability management and alternative fuels.

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