Changes To Singapore's Employment Act

The speech by Mr Gan Kim Yong, Acting Minister for Manpower for the 2nd Reading of the Employment (Amendment) Bill 2008, 18 November 2008 at Parliament can be found @ www.mom.gov.sg.

According to the Ministry of Manpower website, the following changes (in brief) come into effect on 1st January 2009:

(I) Coverage of the Employment Act

Extend coverage to confidential staff.

Protect managers and executives earning a basic monthly salary of $2,500 and below against non-payment of salary and give them access to MOM Labour Court for salary claims.

Raise Part IV salary ceiling for non-workmen from a basic monthly salary of $1,600 to $2,000.

Introduce a new Part IV salary ceiling for workmen at a basic monthly salary of $4,500.

Re-define part-time employees from those who work less than 30 hours a week to those who work less than 35 hours a week.

(II) Employment standards and benefits

Apply paid sick leave and paid public holiday to all employees covered under the Act, and not just those covered under Part IV of the Act.

Reduce qualifying period for paid sick leave from 6 months to 3 months of completed service. Phase in sick leave entitlements between the completion of 3 months and 6 months of service.

Allow employees to obtain medical certificates (MC) from public medical institutions for the purpose of going on paid sick leave, and not confined to MC issued from employer appointed doctors (if there is one) for paid sick leave.

(III) Penalties for infringements of Employment Act

Increase maximum penalty fines for most offences under the Employment Act from $1,000 to $5,000.

Increase maximum penalty fines for most repeat offences under the Employment Act from $2,000 to $10,000.

Increase composition fine for offences from $200 to $1,000.