Going beyond a union's traditional role of negotiating collective bargaining agreements, NTUC has built a chain of business cooperatives ranging from child and elderly care to insurance, condominiums, supermarkets and lifestyle clubs.

Its 32-storey skyscraper, costing S$282 million, is a landmark in the central business district and the NTUC secretary general is a member of the cabinet.

Set up in 1961, the NTUC eschewed the militant brand of trade unionism that characterised communist-led labour groups at that time and has since avoided virtually any confrontational policies -- there has been only one strike in the nation's 40-year history.

It became part of a "tripartite" system in which the unions, the government and employers work in partnership to get workers' benefits and amicably settle differences.

Officials of NTUC -- which groups 63 affiliated unions -- describe their relationship with the ruling People's Action Party as "symbiotic", but critics accuse the labour group of surrendering its independence to the state.

The critics say NTUC's cosy ties with the government have prevented it from standing up for workers, such as in 2003 when many were retrenched or had their wages cut due to the economic downturn triggered by the SARS epidemic.

An airline employee, who did not want to be named, noted that only the pilots' union tried to fight the wage cuts. It was no coincidence that the union was the only one in Singapore not affiliated with the NTUC.

However, the NTUC makes no apologies for its relationship with the government and big business. The nation's industrial peace is an important mix in the city-state's allure for multinational firms.

"It's a philosophy: if you are a union movement you have to decide -- either you stand outside and you put pressure on the government to change policies to your favour," NTUC assistant secretary general Halimah Yaacob told AFP in an interview.

"Or you can choose to be inside and influence the government from the inside. And for our workers, we have accepted that this is a more effective model. We are a lot more powerful in that sense.

"If you are a hothead in Singapore, you will stand out like a sore thumb so you don't want to be standing and behaving in a most unreasonable manner."

NTUC's success in its money-making business cooperatives have gained both praise and brickbats.

Its supermarket chain, Fairprice, is the most popular in the city-state with more than one billion dollars in annual sales.

Often criticised for taking away business from small entrepreneurs, the NTUC chain of stores has also helped tame inflation by keeping prices of essential items low.

Each time they shop, union members earn points which can be converted into cash later.

NTUC Income, which has an "AA" rating for financial strength from international credit rating agency Standard and Poor's, is a leading domestic insurer with more than 1.2 million policy holders and $13 billion in assets.

Its medical plan provides lifetime coverage for up to $900,000. Its life insurance premiums amounted to $1.6 billion in 2004.

NTUC Club caters to the working classes' leisure needs through a network of resorts and clubhouses featuring lounges, disco pubs, fine dining, live band entertainment, karaoke rooms, jackpot machines and a golf course.

It also operates a world-class facility offering rides and go-karting, as well as Singapore's biggest water theme park.

"This is really to give our members a choice. We also have people who are professionals, (university) graduates who want to play golf for instance. We need to cater for them also, otherwise we become irrelevant," Halimah said.

A property cooperative, NTUC Choice Homes, builds residential condominiums, while others focus on health, child and elderly care.

"There's no doubt that NTUC is probably the wealthiest trade union federation in Asia or even the world," a Singapore-based economist told AFP.

Halimah also said NTUC makes sure the cooperatives do not lose sight of their social objective by ensuring that prices of goods and services remain affordable to the working class.

The cooperatives are also required to publish an annual "social report" containing their charitable and other services.

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