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EP expired before new employment start
EP expired before new employment start
Dear all, my colleague's EP is going to expire by end of this month. He will join new company on 18 june. He need to serve one month notice,so the period of his employment with his current company will cross to the month of June,which his EP was expired. How normally the current employer will do? As the EP application of the new company was approved. Appreciate for advices. Thanks.
- sundaymorningstaple
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Re: EP expired before new employment start
As he apparently waited too late to give his notice (e.g., less than one month's notice as required by IRAS so that Tax Clearance (IR-21) can be filed, it would seem that the employer will be able to deduct the balance of unworked notice as Salary in Lieu of notice as he will not be able to legally work without an EP.lee.dw wrote:Dear all, my colleague's EP is going to expire by end of this month. He will join new company on 18 june. He need to serve one month notice,so the period of his employment with his current company will cross to the month of June,which his EP was expired. How normally the current employer will do? As the EP application of the new company was approved. Appreciate for advices. Thanks.
Or, the company will have to renew the EP for the balance of time till his notice up. This could cause some problems if the new company has already gotten a AIP for him. Why did he wait so long to give his notice?
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers
- sundaymorningstaple
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- Location: Retired on the Little Red Dot
That will depend on his current employer and what they decide to do because of not notifying the current employer he was planning on leaving the company. Win-Win?
Will the new company wait for him to complete his notice? If so, have his current company try to renew the current EP so he is able to finish his notice.
If not, if he thinks the current company is worth it, pay the salary in lieu for the period of time between the end of his current EP and the end of his notice period. In theory, he loses a little but gains it back with the new employer (otherwise, why bother to make the change of employer in the first place).
Will the new company wait for him to complete his notice? If so, have his current company try to renew the current EP so he is able to finish his notice.
If not, if he thinks the current company is worth it, pay the salary in lieu for the period of time between the end of his current EP and the end of his notice period. In theory, he loses a little but gains it back with the new employer (otherwise, why bother to make the change of employer in the first place).
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers
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Re: EP expired before new employment start
I thought that with the EP expiring, that means it is end of employment, so means he finished his end of the contract which means he doesnt need to make 1 month notice? hmm i didn't know you are still considered employee once the EP expired?sundaymorningstaple wrote:As he apparently waited too late to give his notice (e.g., less than one month's notice as required by IRAS so that Tax Clearance (IR-21) can be filed, it would seem that the employer will be able to deduct the balance of unworked notice as Salary in Lieu of notice as he will not be able to legally work without an EP.lee.dw wrote:Dear all, my colleague's EP is going to expire by end of this month. He will join new company on 18 june. He need to serve one month notice,so the period of his employment with his current company will cross to the month of June,which his EP was expired. How normally the current employer will do? As the EP application of the new company was approved. Appreciate for advices. Thanks.
Or, the company will have to renew the EP for the balance of time till his notice up. This could cause some problems if the new company has already gotten a AIP for him. Why did he wait so long to give his notice?
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