From 1 January 2017, Singapore employers need to notify MoM of retrenchments

On 25th November 2016 the Ministry of Manpower has announced new employment requirement for Singapore employers, effective 1 January 2017. 

Going forward, Singapore employers who retrench 5 or more staffs within a 6-month period after the effective date of 1 Jan will have to notify the Ministry of Manpower within 5 working days, after they give notice of retrenchment to affected employees.

 

Failure to do so is an offence, and offenders may be liable to penalties not exceeding S$5,000.

 

The goal of the new ruling is to provide more timely employment information to the relevant authorities so they could facilitate re-deployment of staffs and offer training support to enhance employability.

 

For employers looking to familize themselves with the new requirement, you can indicate their interest with the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) at query-prog@tafep.sg.

 

 

How to notify MOM in case of retrenchments

 

In case your firm is downsizing due to averse market conditions, you shall notify MoM following the steps below:

 

1.   Download the retrenchment notification form.

2.   Have the following information ready and fill up the form

 

  • Company UEN
  • Company contact person details
  • Size of workforce before retrenchment (Singaporean, PR, foreigner)
  • Details of workers to be retrenched or who have been retrenched:
    • NRIC or FIN
    • Residential status
    • Date of retrenchment
    • Job title

Email the completed form to mom_notifications@mom.gov.sg

 

 

Know more about doing business in Singapore

Want to know more about the procedures for Singapore company setup and Singapore corporate tax rates versus OECD peers? Refer to our introductions below.

PILOTO ASIA'S GUIDE TO SINGAPORE COMPANY SETUP

SINGAPORE AMONG LOWEST IN CORPORATE TAX RATE WITHIN OECD