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Emplymnt Contract: Termination Penalty??

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Emplymnt Contract: Termination Penalty??

Postby UKGal » Fri, 02 Oct 2009 10:31 pm

My boyfriend has just been given his contract of employment and it has a clause stating that he would have to pay $8000 if he wanted to leave before 12 months (medical reasons being the exception).

Is it normal for such a clause to be included & is this a fair amount??

His wage is $3000/month with 1000 of that going to rent... He works in hospitality, we're both form the UK.

Any advice is much appreciated

Last edited by UKGal on Sat, 03 Oct 2009 12:02 am, edited 1 time in total.

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Postby sundaymorningstaple » Fri, 02 Oct 2009 11:59 pm

In Singapore it's the law that Salary in Lieu be equal for both parties. Therefore, if the company wants to terminate his services (for other than just cause) they should also have the same liability.

It's up to the company to set any penalty that they desire but it has to be equal both ways. some require a month's notice or a month's salary in lieu, other require 3 months. If three months are required that would be equal to 9K so yes, it's fair if that's the policy of the company.


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Postby ScoobyDoes » Sun, 04 Oct 2009 4:02 pm

If the company is also paying to ship you guys out to Singapore and cover visa/EP related issues, it is fair they ask you to compensate them in return if you don't hold up to your end of the contract.

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