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Employment terminated, no contract, no notice

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troubles
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Employment terminated, no contract, no notice

Postby troubles » Wed, 05 Mar 2014 8:20 am

hi all,

i am looking for advice....

i am a foreigner working for a small Pte ltd in Singapore for the last 5 years, i have no written contract and my job is being terminated.
i am also the appointed director and a shareholder (10%).
There is no other shareholder agreement than the artcicles or association of the company.

The CEO who is based in Europe sent me an email telling me i have up to 2 weeks to leave the company because there is no work for me (!) and he is closing down soon.

Other employees have written contract with 2 months notice stated, they will continue working till may.

None of the employees are covered by the Employment Act.

I am actively looking for a job but it takes time, and i will face legal and financial issues to stay in Singapore.

I am married with kids.

my questions are:
- Legally, what is the shortest notice period i must get? Is it worth getting a lawyer?

- Starting legal actions will obviously generate some retaliations from the CEO, what can he do to make my life a pain? Specially, regarding my legal appointment as a director, and as a shareholder. As far as i know, i did not commit any faults as a director but i guess not everything is perfect...

Thanks for your advice!

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Strong Eagle
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Re: Employment terminated, no contract, no notice

Postby Strong Eagle » Wed, 05 Mar 2014 1:15 pm

troubles wrote:hi all,

i am looking for advice....

i am a foreigner working for a small Pte ltd in Singapore for the last 5 years, i have no written contract and my job is being terminated.
i am also the appointed director and a shareholder (10%).
There is no other shareholder agreement than the artcicles or association of the company.

The CEO who is based in Europe sent me an email telling me i have up to 2 weeks to leave the company because there is no work for me (!) and he is closing down soon.

Other employees have written contract with 2 months notice stated, they will continue working till may.

None of the employees are covered by the Employment Act.

I am actively looking for a job but it takes time, and i will face legal and financial issues to stay in Singapore.

I am married with kids.

my questions are:
- Legally, what is the shortest notice period i must get? Is it worth getting a lawyer?

- Starting legal actions will obviously generate some retaliations from the CEO, what can he do to make my life a pain? Specially, regarding my legal appointment as a director, and as a shareholder. As far as i know, i did not commit any faults as a director but i guess not everything is perfect...

Thanks for your advice!


Short answer is: You are screwed.

You don't have an employment contract. Therefore, any "contract" that you might have is verbal, can be disputed by those that hired you, and you have no recourse.

Unless... you say that "None of the employees are covered by the Employment Act." Why do you say this? Are all making more than the maximum for the EA? If yes, then in the absence of a contract, there is no notice period that must be given.

Being a 10% shareholder in a privately held company is worthless. You have no power whatsoever to influence shareholder meetings and the resolutions that come from them. Therefore, you can be removed as director whether you like it or not. At worst, this takes 60% shareholder vote. Can you find 51% of shareholder votes that will keep you in?

What legal actions do you think you will start? You don't have much in the way of grounds for legal action. Your director appointment can be removed without recourse by you (although they will need to ensure they have at least one "ordinarily resident" director in Singapore).

There is nothing they can do to you as a shareholder except ask you to sell out. As a 10% minority you have zero power unless your articles of association state otherwise.

I don't think you have any legal recourse. If there are customers in the company, I would be inclined to form my own company and steal them from the one you are working for.

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rajagainstthemachine
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Postby rajagainstthemachine » Wed, 05 Mar 2014 1:32 pm

can you get another job in Singapore in say a month or two? If so then you should concentrate on getting on that instead of screwing your CEO.
I'd say with no contract, no legal document of any kind you have zero chances of any legal recourse with your current employer.
To get there early is on time and showing up on time is late

Beeroclock
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Postby Beeroclock » Wed, 05 Mar 2014 2:14 pm

rajagainstthemachine wrote:can you get another job in Singapore in say a month or two? If so then you should concentrate on getting on that instead of screwing your CEO.
+1. Firstly sorry for your situation! I agree fully with this I'd focus all my time and energy on the next opportunity, and let the current situation go. It may not feel nice but given your position, just be thankful that you got the 2 weeks.

troubles
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Re: Employment terminated, no contract, no notice

Postby troubles » Wed, 05 Mar 2014 3:33 pm

Thanks all, yes i will better concentrate on getting a job but may be tough, i am very specialized and not many opportunities in sg unless cutting a good 40% on my salary, expat privileges....

Strong Eagle wrote:
troubles wrote:
Short answer is: You are screwed.

You don't have an employment contract. Therefore, any "contract" that you might have is verbal, can be disputed by those that hired you, and you have no recourse.

Unless... you say that "None of the employees are covered by the Employment Act." Why do you say this? Are all making more than the maximum for the EA? If yes, then in the absence of a contract, there is no notice period that must be given. YEP THAT S WHAT I MEANT

Being a 10% shareholder in a privately held company is worthless. You have no power whatsoever to influence shareholder meetings and the resolutions that come from them. Therefore, you can be removed as director whether you like it or not. At worst, this takes 60% shareholder vote. Can you find 51% of shareholder votes that will keep you in? NOP, ONLY 2 SHAREHOLDERS, ME AND THE PARENT COMPANY

What legal actions do you think you will start? You don't have much in the way of grounds for legal action. Your director appointment can be removed without recourse by you (although they will need to ensure they have at least one "ordinarily resident" director in Singapore). YES, THAT WILL BE AN ISSUE FOR HIM

There is nothing they can do to you as a shareholder except ask you to sell out. As a 10% minority you have zero power unless your articles of association state otherwise.

I don't think you have any legal recourse. If there are customers in the company, I would be inclined to form my own company and steal them from the one you are working for. MMMHHH

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Mad Scientist
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Postby Mad Scientist » Wed, 05 Mar 2014 5:49 pm

Welcome to Singapore !!

The Land of the Screwed Ones.

I, for one sympathise on your predicament but you are not the first and will not be the last one to get screwed.

Basic Truth is there is no Minimum Wage Guidelines, Human Rights and Labour Law that has the balls to bang on the nuts of unscrupulous employer/s

My advice is Take a paycut as you have family to support
Less Food on the table is better than NO food on the table
To find a better job , you must have a job no matter how miserable the pay is
You can go hungry for 100 days, your family cannot last 10 days
The positive thinker sees the invisible, feels the intangible, and achieves the impossible.Yahoo !!!

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ecureilx
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Postby ecureilx » Fri, 07 Mar 2014 7:03 pm

Mad Scientist wrote:Welcome to Singapore !!

The Land of the Screwed Ones.

I, for one sympathise on your predicament but you are not the first and will not be the last one to get screwed.

Basic Truth is there is no Minimum Wage Guidelines, Human Rights and Labour Law that has the balls to bang on the nuts of unscrupulous employer/s

My advice is Take a paycut as you have family to support
Less Food on the table is better than NO food on the table
To find a better job , you must have a job no matter how miserable the pay is
You can go hungry for 100 days, your family cannot last 10 days


+1

been there done that and now I know what pitfall to avoid when job switching ... including avoiding prestigious director posts ...


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