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Retrenchment as a S Pass worker in Singapore

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craftiest
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Retrenchment as a S Pass worker in Singapore

Postby craftiest » Sat, 08 Jul 2017 6:50 pm

My friend (who is a Filipino national, on a S Pass) had been working in Singapore in the same company for the past 7 years, will possibly be retrenched soon.

Questions
1. Am I right to say the company needs to give her 4 weeks notice?
2. If so, then I assume its up to the company to decide if she needs to work in this notice period? but either way should be paid for the period?
3. At what point in time will the company notify MOM? at the end of the notice period? or when the she was told officially of the retrenchment? We are trying to work out when MOM will cancel the S Pass.
4. And will she have a problem returning to Singapore as a tourist a few weeks after she leaves? (after her 30-day short term visit pass). It will be a one week trip for her.

Thanks in advance! 

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ecureilx
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Re: Retrenchment as a S Pass worker in Singapore

Postby ecureilx » Sat, 08 Jul 2017 11:00 pm

craftiest wrote:
Questions
1. Am I right to say the company needs to give her 4 weeks notice?


no, they can terminate her immediately and pay the 1 month salary and consider the case closed.

craftiest wrote:2. If so, then I assume its up to the company to decide if she needs to work in this notice period? but either way should be paid for the period?


SMEs may expect her to work.

MNCs may send her packing the same day with pay in lieu. Or expect her to go on Garden Leave.

Nobody can predict that.

craftiest wrote:3. At what point in time will the company notify MOM? at the end of the notice period? or when the she was told officially of the retrenchment? We are trying to work out when MOM will cancel the S Pass.


the last day of work, or the termination if it's immediate.

craftiest wrote:4. And will she have a problem returning to Singapore as a tourist a few weeks after she leaves? (after her 30-day short term visit pass). It will be a one week trip for her.

Thanks in advance! 


on her SVP she is expected to fly home, not do a visa run.

She shouldn't have any problem in Singapore if she managed to run the gauntlet in Philippines - Immigration

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sundaymorningstaple
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Re: Retrenchment as a S Pass worker in Singapore

Postby sundaymorningstaple » Sun, 09 Jul 2017 8:55 pm

Key point here. She as worked for 7 years with this employer? If she is to be retrenched, she should be getting retrenchment benefits (this could mean between half to one months salary for each year of service. See the MOM site regarding retrenchments.

However, if she is working for a local SME she needs to be careful as they may try to screw her if it IS in fact a retrenchment exercise (which means generally a fair number of employees will be getting laid off at the same time due to restructuring etc. This also goes if it a restructuring and her position has been made redundant. An MNC will normally paid retrenchment benefits without any qualms, but a local SME will try to find a reason to terminate her services. If she is terminated, for any reason that doesn't sound correct, e.g., she should have been given at least one or two written warnings and have been verbally counseled at least once. If this is not the case then the employer is trying to screw the employee out of retrenchment benefits. If this happens, to directly and immediately to MOM to complain. In the end the odds are it will go to mediation and the employer will be 'advised' by the mediator to settle for one half month per year of service. If they don't then it should be escalated.

Start Here:
http://www.mom.gov.sg/employment-practi ... trenchment

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ecureilx
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Re: Retrenchment as a S Pass worker in Singapore

Postby ecureilx » Sun, 09 Jul 2017 11:51 pm

sundaymorningstaple wrote:Key point here. She as worked for 7 years with this employer? If she is to be retrenched, she should be getting retrenchment benefits (this could mean between half to one months salary for each year of service. See the MOM site regarding retrenchments.


S pass but if Employment letter says Executive Grade, I was pretty sure no go re: "benefits".

Did that change ?

I know an MNC who gave 1 month for each year of service for first batch, no cap.

Next batch, 2 weeks for each year of service, no cap.

Next, 2 weeks for each year of service, maximum 5 months cap, including for guys who been there for more then 12 years. Don't recall any of them going to MOM. And almost all of the last one was SC.

BTW one of my former employer overcame this service issue by buying over all the shares, incorporated a new company, transferred all staff to new company, new employment letter, so all 10+ years of service was zeroed out. And Last I know he's heading a non profit organisation.:o

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Re: Retrenchment as a S Pass worker in Singapore

Postby sundaymorningstaple » Mon, 10 Jul 2017 3:10 pm

Lets just say I went through this with two of my staff late last year (November) both been with the company in excess of 7 years, one was the Personal Assistant to the just stepped down MD and the other an Ops Coordinator (sisters), neither being executive positions. They were both released due to performance (not even retrenchment) but we ended up giving them three months in addition to their month notice paid in lieu. (They were escorted out the door after cleaning out their desks under supervision). Where we lost? They were never given any counseling or warning letters, therefore they had no chance of correction their errors. However, as we were inline with MOM "rules" regarding termination, with today's economy, MOM is not letting employers off that easy. (We subsequently found, while cleaning up, that we had more than ample grounds for termination rather than release from service). But it didn't help at that point. The mediator was quite frank when she told me that we had followed the letter of the law, but unfortunately in today's climate, if they wanted to escalate it to the MOM court, it would have cost us probably a minimum of 2 weeks/YOS. Basically we got off okay with 3 months salary as one had almost 12 years (she joined 5 weeks after I did) and the other over 14 years. Non-executives, albeit they are Singaporeans, but there is no provision in the law to discriminate in that respect.

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Re: Retrenchment as a S Pass worker in Singapore

Postby craftiest » Sun, 16 Jul 2017 4:27 pm

Many thanks for the replies guys, I'll let you know what happens. Sounds like it will happen in the next week or so.
Hopefully it will help others in a similar position! :)


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