The Employment Act: A Full Guide to Who Is Covered

The Employment Act is a piece of legislation that governs employment relationships in Singapore. It sets out minimum terms and conditions of employment for all employees covered by the Act. In this article, we will provide a full guide to who is covered by the Employment Act and what their rights and obligations are under the Act.

Who Is Covered by the Employment Act?

The Employment Act covers all employees who are working under a contract of service with an employer in Singapore, except for the following groups:

1. Managers and Executives: Employees who are employed in a managerial or executive position and earn a basic monthly salary of more than $4,500 are not covered by the Employment Act.
2. Seafarers: Employees who work on board a Singapore-registered ship are not covered by the Employment Act.
3. Domestic Workers: Employees who are employed as domestic workers in a private household are not covered by the Employment Act.
4. Public Servants: Employees who are employed by the government or a statutory board are not covered by the Employment Act.

What Are the Minimum Requirements of the Employment Act?

The Employment Act sets out the following minimum requirements for employees covered by the Act:

1. Minimum Working Hours: Employees covered by the Act cannot be required to work more than 44 hours per week. Any hours worked beyond this must be compensated as overtime.
2. Annual Leave: Employees covered by the Act are entitled to at least 7 days of paid annual leave if they have worked for their employer for at least 3 months.
3. Sick Leave: Employees covered by the Act are entitled to paid sick leave of up to 14 days per year if they have worked for their employer for at least 3 months.
4. Public Holidays: Employees covered by the Act are entitled to 11 paid public holidays per year.
5. Termination Notice: Employers must give employees covered by the Act notice of termination of employment or payment in lieu of notice. The notice period is based on the employee’s length of service.

Additional Protections Under the Employment Act

In addition to the minimum requirements outlined above, the Employment Act provides additional protections for employees covered by the Act. Some of these additional protections include:

1. Protection Against Unfair Dismissal: Employers cannot dismiss employees covered by the Act without a valid reason and without following due process.
2. Protection Against Retrenchment: Employers who wish to retrench employees covered by the Act must follow a specific process and provide retrenchment benefits.
3. Protection Against Discrimination: Employers cannot discriminate against employees covered by the Act on the basis of race, religion, age, gender, or disability.
4. Protection Against Unlawful Deductions: Employers cannot make deductions from employees’ salaries unless they have obtained written consent from the employee or are required to do so by law.

Enforcement of the Employment Act

The Ministry of Manpower (MOM) is responsible for enforcing the Employment Act. Employers who fail to comply with the Act may be fined or prosecuted. Employees who believe that their rights under the Act have been violated can file a complaint with MOM.

Conclusion

The Employment Act provides important protections for employees in Singapore and sets out minimum requirements for employers. The Act covers all employees who are working under a contract of service with an employer in Singapore, except for managers and executives, seafarers, domestic workers, and public servants. Employers who fail to comply with the Act may face fines or prosecution, and employees who believe that their rights have been violated can file a complaint with MOM. By understanding their rights and obligations under the Employment Act, employees and employers can ensure that they are operating in compliance with the law and treating each other fairly. Employers should review their employment policies and practices to ensure that they are in compliance with the requirements of the Employment Act and other applicable legislation. They should also seek legal advice if they have any questions or concerns about their obligations under the Act.