Littler Global Guide - Singapore - Q1 2020

Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Managing Excess Manpower and Responsible Retrenchment in View of COVID-19

New Regulation or Official Guidance

Author: Benjamin Gaw, Director - Drew & Napier LLC

The tripartite partners - the Ministry of Manpower (MOM), the National Trades Union Congress (NTUC), and the Singapore National Employers Federation (SNEF) - have jointly updated the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment in view of the evolving COVID-19 situation to provide clearer guidance to affected employers on the appropriate measures to manage excess manpower. These include: (a) implementing a flexible work schedule, where employers can consider reducing weekly working hours, thereby creating a “time bank” of unused working hours which can then be used to offset the increase in working hours in subsequent periods; and (b) and focusing on training and upskilling, where employers can tap on training support schemes under the SkillsFuture movement, redeployment programs under the Adapt and Grow initiative, and other government grants. As of March 12, 2020, employers registered in Singapore and with at least 10 employees are required to notify the MOM within a week if they implement any cost-saving measures, which affect the employees’ monthly salaries, and indicate that they have done so fairly.

Employees’ Nonessential Travel in View of COVID-19

New Regulation or Official Guidance

Author: Benjamin Gaw, Director - Drew & Napier LLC

On March 16, 2020, the tripartite partners – the MOM, the NTUC and the SNEF – issued the Advisory for Employers on Employees’ Non-Essential Travel in response to Updated Travel Advisory (COVID-19), which has since been updated as of March 20, 2020. The Advisory seeks to guide employers on setting clear HR policies with regard to the treatment of employees who travel outside Singapore during this period of pandemic whether it is for work or otherwise. The Advisory states that broadly, such HR policies could include any company-imposed leave of absence from work, not exceeding 14 days, upon the employee’s return. Unionized companies should consult the unions when developing the HR policies. Employers must communicate and explain the HR policies to their employees before implementing them.

Workplace Measures in View of COVID-19

New Regulation or Official Guidance

Author: Benjamin Gaw, Director - Drew & Napier LLC

The tripartite partners – the MOM, the NTUC and the SNEF – issued the General Advisory for Workplace Measures, to guide employers to continue running their operations while minimizing risks of community spread of the COVID-19. The Advisory was last updated as of March 20, 2020. Among others, the Advisory states that employers should step up their Business Continuity Plans (BCPs) and prepare for widespread community transmission, and should take certain measures to safeguard the well-being of their employees, particularly vulnerable employees. The Advisory also provides that prior to executing the BCPs, employers should clearly communicate and explain to employees the measures that are being implemented, as well as their roles and responsibilities. Where possible, unionized employers should engage their unions on their BCPs early to provide assurance to employees.

MOM Entry Approval and Stay-Home Notices Now Covers All New and Existing Work Pass Holders

New Regulation or Official Guidance

Author: Benjamin Gaw, Director - Drew & Napier LLC

Starting on March 20, 2020, 2359 hours, the MOM requires all new and existing work pass holders currently out of Singapore and In-Principle Approval holders who have yet to enter Singapore (including their dependents) to obtain the MOM’s approval before commencing their journey to enter Singapore. All affected work pass holders will be placed on a mandatory 14-day Stay-Home Notice (SHN) upon entering Singapore. When making the application, employers will be required to declare to the MOM that they have made suitable arrangements for the affected employees and should inform the affected employees (including their dependents) not to make travel plans to Singapore until approval has been received from the MOM. Further, the MOM has stated that employers and work pass holders have a joint duty to ensure that the entry approval and SHN requirements are complied with, and that employers are responsible to ensure that their work pass holders on SHN can obtain meals and other daily essentials, and to make the necessary arrangements if the work pass holders are unable to make their own arrangements.

Singapore Government Announces Additional Support Measures

Proposed Bill or Initiative

Author: Benjamin Gaw, Director - Drew & Napier LLC

The Singapore government announced on March 26, 2020 that it will be implementing additional support measures for workers, businesses and households in light of the COVID-19 situation. In particular, the Jobs Support Scheme will be significantly enhanced and extended, to provide more impactful and sustained wage support, such that a total of S$15.1 billion will be allocated to support more than 1.9 million local employees under the Jobs Support Scheme. Support for skills upgrading will also be enhanced, with: (a) enhanced training support to be extended to the arts and culture and land transport sectors, from April 1, 2020, and (b) 90% absentee payroll rates to be extended to all employers, so as to provide additional cash flow relief when they send their workers for training, from May 1, 2020.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.