Singapore is a business-friendly country with a strong economy. Thanks to its clear regulations and pro-business policies, Singapore ranks second globally for ease of doing business. However, for your business to thrive, you must have a clear understanding of HR rules and regulations.
HR rules and regulations are quite comprehensive in Singapore. These cover wages, benefits, discrimination, and workplace safety. Every business, from startups to large corporations, must follow these rules.
This guide explains key HR rules in simple terms. You’ll learn about fair hiring, salary rules, benefits, and compliance. Let’s examine Singapore’s HR rules and regulations.
Workplace Discrimination Laws
Workplace discrimination is greatly damaging for a company’s operational aspects as well as its reputation. Singapore has established clear regulations to prevent workplace discrimination. Let’s first understand what workplace discrimination is.
What is Workplace Discrimination?
Workplace discrimination occurs when an employer treats an employee unfairly based on personal traits unrelated to job performance. Singapore enforces strict rules to ensure fair and merit-based employment.
Some common types of workplace discrimination
- Race discrimination: Treating employees unfairly based on their ethnicity or national origin.
- Disability discrimination: Denying opportunities to qualified employees with disabilities or failing to provide reasonable accommodations.
- Age discrimination: Preferring younger or older employees without considering skills and experience.
- Gender discrimination: Offering different pay, roles, or opportunities based on gender rather than qualifications.
- Pregnancy discrimination: Penalizing employees for taking maternity leave or refusing to hire pregnant candidates.
- Marital status discrimination: Favoring or rejecting employees based on whether they are married, single, or have children.
- Religious discrimination: Treating employees unfairly because of their religious beliefs or practices.
Key Rules and Regulations Against Workplace Discrimination
Singapore has a comprehensive set of rules and regulations to protect employees from workplace discrimination. Some of the common rules and regulations to prevent workplace discrimination and promote fairness include:
1. Tripartite Guidelines on Fair Employment Practices (TAFEP)
TAFEP prohibits discrimination based on age, gender, race, religion, nationality, marital status, or disability. Employers must assess candidates based on skills and experience, not personal traits.
TAFEP encourages employers to:
- Recruit based on merit
- Respect employees
- Provide fair opportunities
- Reward fairly, and
- Comply with labor laws
2. Fair Consideration Framework (FCF)
The Fair Consideration Framework (FCF) ensures that employers consider Singaporean candidates fairly before hiring foreign employees. Some key provisions include:
- Mandatory job advertising: Employers must post job vacancies on MyCareersFuture for at least 14 days before hiring foreign professionals.
- Non-discrimination: Employers cannot reject candidates based on nationality, age, gender, race, or religion.
- Exemptions: Small firms with fewer than 10 employees and roles paying S$22,500 or more per month do not require job advertising.
- Penalties: MOM can bar companies from hiring foreign workers for up to 24 months if they violate fair hiring rules.
3. Equal Pay for Equal Work
Employers must provide the same salary for employees performing the same job, regardless of gender or nationality. Pay disparities based on discriminatory factors can lead to investigations.
4. Maternity and Parental Protection
Employers cannot fire or demote pregnant employees due to pregnancy. Eligible mothers receive 16 weeks of paid maternity leave, and fathers get two weeks of paid paternity leave under the Employment Act.
There are many essential policies you should include in your organization’s framework to ensure compliance and protect employees. Learn more about such policies from our blog, “Essential HR Policies And Procedures With Key Examples”.
Hiring fairly is just one part of responsible employment. Employers in Singapore must also follow strict rules on wages, working hours, and overtime to ensure fair treatment at work.
Wages and Hours Law
Singapore’s Employment Act sets clear rules on wages, working hours, overtime, and rest days. Employers must follow these regulations to ensure fair treatment.
Who is Eligible?
The Employment Act applies to most employees,
- Except domestic workers,
- Seafarers, and
- Government staff.
Additional protections apply to manual workers and lower-salaried employees.
Working Hours and Overtime:
Here are the key rules related to working hours and overtime:
- Employees work up to 8 hours a day or 44 hours a week.
- They cannot work more than 6 hours without a break.
- Overtime is paid at 1.5 times the basic hourly rate.
- Employees cannot work more than 12 hours a day or 72 overtime hours per month.
Rest Days and Public Holidays:
Here are the rules related to rest days and public holidays:
- Employees must get one rest day per week.
- If employees work on a rest day, they receive extra pay.
- Singapore has 11 public holidays, and employees are entitled to paid leave on these days.
Salary and Payment Rules:
These are some rules and regulations related to salary payments:
- Employers must pay salaries at least once a month.
- Salary payments must be made within 7 days after the pay period ends.
- Overtime pay must be given within 14 days.
- Employees must receive proper pay slips with details of salary, deductions, and allowances.
Fair wages and reasonable working hours form the foundation of good employment practices. But a strong workplace also includes benefits that support employees’ well-being. Singapore’s laws ensure workers receive essential benefits like leave entitlements, medical coverage, and retirement contributions.
Employee Benefits Laws
Singapore’s employment laws ensure that employees receive essential benefits, promoting well-being and job satisfaction. Here’s an overview of key employee benefits mandated by law:
1. Central Provident Fund (CPF)
The CPF is Singapore’s mandatory social security savings scheme. Both employers and employees contribute monthly to support retirement, healthcare, and housing needs.
Key CPF Rules:
Here are some key rules related to CPF:
- Employer Contributions: Employers must contribute to CPF based on the employee’s age and wage band.
- Employee Contributions: Employers deduct the employee’s CPF share from wages and submit it to the CPF Board.
- Payment Deadline: CPF payments must be made by the end of each month.
- Penalties: Late or missing payments may lead to fines, interest charges, or legal action.
2. Annual and Sick Leaves
In Singapore, the Employment Act outlines the following key provisions regarding annual leave:
- Eligibility: Employees are entitled to paid annual leave if they have worked for their employer for at least three months
- Entitlement: The minimum annual leave entitlement is seven days for the first year of service, increasing by one day for each additional year, up to a maximum of 14 days.
- Pro-Rated Leave: For employees who have not completed a full year of service, annual leave is pro-rated based on the number of completed months worked.
- Sick Leave: To qualify for sick leave the employee must be certified unfit for work by a medical practitioner.
3. Maternity Leaves
Singapore labor laws provide for maternity leaves to support working mothers during and after childbirth. The rules related to maternity leave vary based on the citizenship of the child. Here’s a simple breakdown:
You must provide 16 weeks of paid maternity leave if the employee meets the below criteria:
- The child is a Singaporean citizen.
- The employee is legally married to the child’s father.
- She has worked for at least 3 months before childbirth.
- You pay for the first 8 weeks, and the government reimburses the rest (subject to caps).
Provide 12 weeks of leave if the child is not a Singaporean citizen or the employee is unmarried.
Ensuring fair pay and benefits is only part of responsible employment. Employers must also create a safe working environment by following Singapore’s workplace safety laws.
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Workplace Safety Laws
The Workplace Safety and Health Act (WSHA) sets clear rules to ensure health and safety at the workplace in Singapore.
Key Provisions of the WSHA:
Here are some key provisions of WSHA to ensure safety of employees at work:
- Comprehensive Coverage: The WSHA applies to all workplaces, ensuring that every work environment meets safety and health standards.
- Stakeholder Responsibilities: The Act assigns safety obligations to various parties, including employers, occupiers, principals, and employees to maintain a safe workplace.
- Risk Management: Employers must implement effective risk management systems to identify and mitigate workplace hazards, reducing potential risks at their source.
- Incident Reporting: All workplace incidents, including near misses, must be promptly reported to the Ministry of Manpower (MOM), facilitating timely interventions and preventive measures.
While health and safety laws are very important for every stakeholder at the workplace, companies must take extra care to protect employees’ information. Companies in Singapore must handle personal information responsibly and comply with strict data protection laws to prevent misuse and breaches.
Keeping Employee Information Private
In Singapore, the Personal Data Protection Act (PDPA) governs how organizations handle personal data, including that of employees. The PDPA ensures that companies collect, use, and disclose personal data responsibly.
Key rules to follow:
Here are some key rules that you must follow to protect your employees’ personal information:
- Get consent: Inform employees before collecting or using their personal data.
- Limit data use: Use employee data only for work-related purposes.
- Keep data secure: Protect personal information from leaks or unauthorized access.
- Allow access and corrections: Employees can view and correct their data when needed.
- Retain data only when necessary: Delete personal data when it’s no longer needed.
- Report serious breaches: Notify authorities and affected employees if a data breach occurs.
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HR Challenges in Singapore
The HR landscape of Singapore is evolving constantly, and there are several challenges that companies must overcome to stay competitive. Here are some key HR challenges that companies face:
- Hybrid Work Adaptation: HR professionals need to come up with new policies to accommodate employees working remotely and from the office.
- Employee wellbeing and mental health: Rising stress at the workplace makes it imperative for the HR to focus on wellness programs.
- Regulatory compliance: Frequent updates in employment laws demand that businesses stay informed and ensure fair treatment of all employees.
- Aging workforce: As Singapore’s population ages, HR teams must focus on succession planning, knowledge transfer, and workplace policies that support older employees.
Conclusion
Singapore’s HR laws cover everything from fair hiring and wages to workplace safety and data protection. You must follow strict regulations to ensure compliance, prevent legal issues, and create a positive work environment. This blog has given a general overview of various HR rules and regulations.
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