Current Region & Language
Current Region & Language
Current Region & Language
Currency
Singapore Dollar (SGD)
Employer Taxes
Employer contributions range from 7.5% to 17% depending on the employee's salary.
Payroll Frequency
Monthly
Language
English, Malay, Mandarin, Tamil
Date Format
DD/MM/YYYY
Singapore By The Numbers
5.6 million
Population
SGD 400 billion
GDP
9
National Holidays
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Weekly Working Hours
National Holidays
Leave
EA employees who have worked for at least 3 months are entitled to 7 to 14 days of annual leave per year, depending on their years of service with the employer. Female employees are entitled to either 16 weeks or 12 weeks of paid maternity leave, depending on whether the child is a Singapore citizen and other applicable criteria.
Employment Contracts
There is no legal mandate to have a written employment contract. However, employers must issue key employment terms (“KETs”) in writing to all employees employed for a continuous period of 14 days or more, under the EA.
Types of Employment
There are two types of employment: Employees and Independent Contractors.
Employment Costs
CPF: Ranges from 7.5% to 17 % based on the age of the employee.
Skills Development Levy (SDL) – 0.25%
IC Class Factors
Several factors are considered to determine whether an individual qualifies as an independent contractor (IC) and can work compliantly. These factors include how the IC sets up their business (e.g., as a separate legal entity or sole proprietorship), whether the IC has discretion in selecting working hours and work location, and whether the IC can choose the methodology and means for providing services, such as the frequency of instructions from the client. Other considerations include whether the IC uses their own tools, equipment, and materials, incurs business travel costs, or is hired to deliver specific results. Additionally, it is important to assess whether the IC is integrated into the client’s organization, such as supervising the client’s employees or reporting to the client’s employee. The IC’s previous work history with the client is also relevant, particularly whether the IC has previously worked as an employee for the client. Furthermore, the IC’s ability to perform services for other clients or if they are required to dedicate full-time to the client should be considered. Lastly, it is important to evaluate whether the IC assumes business risk and is liable for damages caused while performing services.
Labor Leasing
Organizations and individuals who place job seekers with employers must get an employment agency license to operate in Singapore, unless exempted.
Minimum Wage Requirements
Singapore law does not generally have a minimum wage stipulation and wages are generally a matter to be agreed between the employer and employee.
However, the Singaporean government has introduced a mandatory Progressive Wage Model (“PWM”) to help uplift lower-wage workers’ wages in certain sectors such as cleaning, security and landscaping.
Medical Benefits
There are no specific requirements regarding medical benefits.
Probationary Periods
There is no statutory limit to the length of an employee’s probationary period, but the common market practice is for a period of between 3 to 6 months.
Termination Notice
Employment contracts typically specify the required notice period for termination. For EA employees, the notice period must be equal for both employer and employee and is usually set by the contract. If the contract is silent, the notice period is based on length of service, ranging from 1 day to 4 weeks. Non-EA employees are entitled to reasonable notice if not specified in the contract. Employees who terminate without notice must pay compensation in lieu, and employers can also make payment in lieu of notice. Notice can be waived by mutual consent.
Severance
Unless explicitly stated in the employment terms, employers are not obligated to pay severance, retrenchment, or redundancy benefits. These benefits depend on the contract, company policy, negotiations, financial position, or collective agreements. For unionized employees, employers must negotiate in good faith with the union and may not have full discretion in determining the terms of retrenchment benefits.
Pre-hire Checks
Employers may generally carry out pre-employment checks on prospective Such checks must comply with the Personal Data Protection Act 2012 (“PDPA”).Immigration checks are required to prove the right to work in Singapore.
Criminal record, reference checks and background checks are dependent on the industry and the job.
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Legal Disclaimer
The information provided on this website is for general informational purposes only and is subject to change without notice. The content on this website is not intended to be a substitute for professional legal advice, diagnosis, or treatment. While we strive to keep the information up to date and accurate, People 2.0 makes no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.
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