Home News New Retrenchment Policy for SG Companies With 10 or More Employees

New Retrenchment Policy for SG Companies With 10 or More Employees

New Retrenchment Policy for SG Companies With 10 or More Employees

New guidelines regarding retrenchment have been framed for companies with a workforce of 10 or more than 10. According to the latest regulations, employers are bound to notify the Ministry of Manpower if they retrench any worker. The notification has to be furnished mandatorily to the MOM within five days of serving the notice of retrenchment to the worker. If employers fail to comply with the guidelines, they will have to endure a penalty of up to $2000. The said regulations will be effective from November 1, 2021. According to the existing guidelines, employers have a six months time period to notify MOM about retrenchment, which will be reduced to five days on the commencement of the latest regulations. Presently, the companies are required to inform MOM only on the retrenchment of five or more employees, which has been further reduced to one employee.

The companies and employers can use MOM’s portal to notify them about any retrenchment along with relevant details of the worker and the company as well. The newly formulated regulations will allow MOM, Tripartite partners, Workforce Singapore, the Employment and Employability Institute, and other agencies to help the retrenched employees find another job, provide training and coaching for upskilling, and lessen their mental stress as well as a financial burden. Retrenched workers will retain support through job fairs, referrals, job matching, workshops, career coaching, etc.

Talking about the new policies, Dr. Koh Poh Koon, Senior Minister of State for Manpower said, “Part of the way to help them better, is not just to get better data, but to go upstream to be notified earlier of when they may be at risk of retrenchment, so that we can execute the measures that can help them to either look for a new job, to provide career guidance and coaching as well”. In the aftermath of the coronavirus pandemic and due to consequent regulations, Singapore’s second-quarter labor market faced the brunt in terms of employability and retrenchments. The number of retrenchments rose from 2270 in the earlier quarter to 2500 in June. The majority of the retrenchments were observed in the manufacturing and construction industry.

Eskalera, a Startup Led by Goldman Sachs’ Former HR Head Has Launched a Diversity and Inclusion Index

Eskalera, a technology startup led by Goldman Sachs former human resources head Dane Holmes, has launched an index to measure corporate diversity and inclusiveness,...

HSBC to Remove 35,000 Jobs Amidst Covid-19 Crises

HSBC Holdings Plc has restarted cutting as many as 35,000 jobs, three months after the coronavirus outbreak forced it to pause a long-awaited overhaul...

Genpact Offers Its Internal Skill Training Program Globally for Everyone

Genpact has announced Adapt and Rise, a role-based online learning platform that leverages Genpact's expertise honed from delivering real-world change for hundreds of clients....

San-Francisco Based Learning Platform Degreed Has Raised $32 Million in New Funding

The upskilling platform, Degreed, has announced $32 million in new funding in direct response to overwhelming demand for better skill insights, talent mobility, and...

Research Shows the Implications of Workplace Layouts on Employee Productivity and Overall Performance

As some workplaces prepare for the gradual return of employees and overhaul office layouts and seating plans, research has shown this could also have...

Employee Concierge ‘Back Technologies’ Integrates Automation Into Internal HR and Other Support Tasks

Companies are under increasing pressure to automate workflows and digitally service their employees, particularly in light of trends toward remote work. It takes an...

HR Strategies to Help Your Business Navigate the New ‘Normal’

No business is immune to the massive changes resulting from the health crisis. Organizations have proven themselves to be agile, and employees have demonstrated...

The Importance Of Diversity And Inclusion In HR, Hiring, Talent Management: Thoughts From A Top Expert

Michael C. Hyter is one of today’s best-known experts on inclusion and diversity and the author of The Power of Choice: Embracing Efficacy to Drive Your Career and The...

HR Expert Highlights Actionable Steps to ‘Make Real Change’ Against Racism in Your Workplace

Kyra Leigh Sutton, Ph.D., is a faculty member at the Rutgers University School of Management and Labor Relations, where she teaches human resources courses...

Adidas Employees Want Company to Investigate HR Chief for Response to Racial Issues

A group of Adidas employees from around the globe is asking the company to investigate its chief human resources officer, as part of a...