Employment Act Essentials
Introduction
- The Employment Act is the main piece of labour law in Singapore.
- It states the minimum terms and conditions for employees covered by the Act.
- Subject to some exceptions, all local and foreign employees under a contract of service with an employer are covered.
- For an example of an exception, managers and executives are not covered by Part IV of the Act which deals with rest days, hours of work, etc.
- NOTE: Foreign workers under work pass are also covered by the Employment of Foreign Manpower Act.
- NOTE: Employees who work less than 35 hours a week are part-time employees and they are also covered by the Employment of Part-Time Employees Regulations.
- NOTE: The following classes of employees are not covered:
- seafarers
- domestic workers
- statutory board employees
- civil servants
- A contract of service is an agreement in which
- one person agrees to employ another person as an employee; and
- the other person agrees to serve the employer as an employee.
- It can be:
- in writing;
- verbal;
- express; or
- implied.
- It may be in any form, including
- letter of appointment
- letter of employment (or employment letter)
- letter of acceptance or nomination
- trainee agreement
- internship agreement
- apprenticeship agreement
- All employers must issue Key Employment Terms (KETs) in writing to all employees who
- enter into a contract of service on or after 1 April 2016.
- are covered by the Employment Act.
- are employed for 14 days and above (length of contract, not number of days worked).
- The KETs must be issued within 14 days from the start of employment.
- MOM (Ministry of Manpower) blank KETs sample form.
- MOM KETs sample form - with explanations.
- Unless an item is not applicable, the KETs must include the following items:
- employer's full name
- employee's full name
- job title
- main duties and responsibilities
- start date of employment
- if a fixed term contract, duration of employment
- working arrangements such as
- daily working hours
- number of working days per week
- rest day(s)
- salary period
- basic salary (For hourly, daily or piece-rated workers, indicate basic rate of pay, eg, $x per hour, $y per day or $z per piece)
- fixed allowances
- fixed deductions
- overtime payment period (if different from salary period)
- overtime rate of pay
- other salary-related components such as
- bonuses
- incentives
- type of leave such as
- annual leave
- outpatient sick leave
- hospitalization leave
- maternity leave
- childcare leave
- other medical benefits such as
- insurance
- medical benefits
- dental benefits
- probation period
- notice period
- place of work (optional; used when the work location is different from the employer's address)
