Singapore Expats Forum

Pre termination penalty in employment contract

Discuss about getting a well paid job or career advancement. Ask about salaries, expat packages, CPF & taxes for expatriate.

User avatar
Wd40
Director
Director
Posts: 3797
Joined: Tue, 04 Dec 2012
Location: SIndiapore

Postby Wd40 » Tue, 04 Mar 2014 5:50 pm

The company you mentioned Nityo Infotech is listed on Monster as Employer of choice on their front page and they have like 9 open positions which seem quite high end.

http://www.monster.com.sg/

I dont understand how can they exist in their current form if they are pulling off such rip offs like you mention.
:???:

lalitpct
Member
Member
Posts: 42
Joined: Mon, 09 Dec 2013

Postby lalitpct » Tue, 04 Mar 2014 8:35 pm

Wd40 wrote:The company you mentioned ** is listed on Monster as Employer of choice on their front page and they have like 9 open positions which seem quite high end.

http://www.monster.com.sg/

I dont understand how can they exist in their current form if they are pulling off such rip offs like you mention.
:???:


I know you wont believe but i am suffering like hell because of stupidity done long back ..anyways if we are carefull then this things wont happen

User avatar
x9200
Moderator
Moderator
Posts: 9245
Joined: Mon, 07 Sep 2009
Location: Singapore

Postby x9200 » Wed, 05 Mar 2014 7:16 am

I would follow beppie's advice: wait for their move. On the first letter with demand (if any comes) deny the demands (just deny without giving any legal ground or say something general "I deny to pay the demanded charges as they are unfair employment practice and have no legal ground under Singapore law") and mention MOM, overtime and unpaid salary.

You should also go to a lawyer to verify what was mentioned about the employment act. Also ask to what level you can publicize the details of your case. If this is MNC, they should be concerned about their image outside Singapore and you can always write a letter to an UK or US journal asking for help.
I believe there are some lawyers around working pro bono or just go and pay for the advice (~$100).

You can not prevent this so there is no way to double ensure unless you pay. And even if you pay they can get even more greedy so who knows.

lalitpct
Member
Member
Posts: 42
Joined: Mon, 09 Dec 2013

Postby lalitpct » Wed, 16 Apr 2014 5:15 pm

Friends Today I got call from that company HR'S , she mentioned below points
1)Your wife is absconding and she left the job without informing anyone.
I rejected this and said , company terminated her.

2)She has Company assets and hence company want's my new address details, If I dont give they will file a police complain for contract breach.
I asked what are the assets and they didnt tell , kept on insisting new address I said You can get it from police station.

They want new address so that they can send letters , I said please get it from police , any advice on this.

AngMoG
Reporter
Reporter
Posts: 609
Joined: Wed, 17 Apr 2013

Postby AngMoG » Wed, 16 Apr 2014 5:29 pm

lalitpct wrote:Friends Today I got call from that company HR'S , she mentioned below points
1)Your wife is absconding and she left the job without informing anyone.
I rejected this and said , company terminated her.

2)She has Company assets and hence company want's my new address details, If I dont give they will file a police complain for contract breach.
I asked what are the assets and they didnt tell , kept on insisting new address I said You can get it from police station.

They want new address so that they can send letters , I said please get it from police , any advice on this.


For 1), I hope you have the termination letter. If so, then that claim has no basis.
For 2), you did the right thing. If there are any assets that she needs to return that rightfully belong to the company, they need to list the assets that they want returned. Then go from there. Even if they get police involved - just tell the officer the same thing, that you asked what assets and that they didn't want to tell you.

Also, afaik there is no such thing as a police complaint for contract breach. If they want to claim contract breach, they have to file a case in court, not go to the police. The best they can do is claim stolen property, but even then they have to list what, and are on very thin ice.

Also, to add, I heard rumors previously that Nit-yo is a really lousy employer, and their job ads and few times I was contacted by them seem to confirm that.

PNGMK
Director
Director
Posts: 4896
Joined: Thu, 21 Mar 2013

Postby PNGMK » Wed, 16 Apr 2014 10:54 pm

I've helped a couple through this before. A single letter from a lawyer was enough to convince the employer to back off. This is an atrocious practice.

Typically these clauses were originally put in to recover the cost of moving an expat into the country. That clearly doesn't apply in your case.

lalitpct
Member
Member
Posts: 42
Joined: Mon, 09 Dec 2013

Postby lalitpct » Thu, 17 Apr 2014 12:16 pm

Hi PNGMK,

Can you shed more light on how you helped the couple , more over what shall I do now to handle this as I am feeling stressed after the call.

I was aggresive on call but what legal standing they have I dont know.

yogaloungeforever
Chatter
Chatter
Posts: 212
Joined: Sun, 23 Sep 2012
Location: Singapore

Re: Pre termination penalty in employment contract

Postby yogaloungeforever » Thu, 17 Apr 2014 1:56 pm

The practice explained below by OP is so common across Singapore, especially amongst small (indian and chinese) companies. They target professionals coming from outside of Singapore as these workers would not know their rights and what to do in the event they breach the contract. I hope MOM is reading this thread right now to see that companies even the size and reputation that of Nityo can be do bloody dodgy. For as long as companies like these are around there's never going to be an end to exploitation of workers


samSG2012 wrote:Dear All,

I'm a qualified professional employed with a Singapore based software company. I joined in Feb 2012 with EP at a salary of S$5000. My EP would expire on 28th Feb 2013.

Compensation from employees for terminating a contract :
As per the clause in my 2 years employment contract, I may be asked to pay back a value equivalent to 3 months of salary (in addition to 3months notice period), if I leave before 12 months of my employment. Kindly note that, company has not incurred any additional expenses on me in the form of training, etc.

When I checked this with MoM, I got a response as below :
"The terms pertaining to monetary compensation for premature termination of the contract is a private contractual agreement and not governed by the Employment Act. The Civil Court will have jurisdiction in deciding such disputes. You may wish to consult a lawyer on this matter. "

As you all are aware, consulting a lawyer in SG is expensive affair.

1. Pls suggest if the compensation amount has to be paid, even if my EP expires.

2. Am I still bound under contractual obligation after EP expiry.

3. Since my EP expires on 28th Feb 2013, can I have the right to refuse extension/renewal of my EP. Would this cause any impact when any other company applies for my Singapore EP at a later stage.

4. Assuming that if I submit my resignation on 30th Jan 2013, would my notice period become ineffective as on 1st March 2013. Am I required to serve this notice period after 28th Feb 2013.

Appreciate any response on the above points.


Thank you.
[/list]
Life is short hence I live it to its fullest, that is .... I eat and sleep

PNGMK
Director
Director
Posts: 4896
Joined: Thu, 21 Mar 2013

Postby PNGMK » Thu, 17 Apr 2014 4:32 pm

lalitpct wrote:Hi PNGMK,

Can you shed more light on how you helped the couple , more over what shall I do now to handle this as I am feeling stressed after the call.

I was aggresive on call but what legal standing they have I dont know.


I arrange a local lawyer to write a letter - we succeeded in getting them to back off.

Beeroclock
Reporter
Reporter
Posts: 718
Joined: Thu, 31 Oct 2013

Postby Beeroclock » Thu, 17 Apr 2014 5:13 pm

I guess they want your address to send you a legal letter. As per earlier advice, the ball is in their court to fire the first shot. So you can play a waiting game and avoid giving your address. Or if you want to proactively settle the matter you can get legal advice as per PNG and send your own letter telling them to back off. IMO would do the former... Wait and let them make a written demand/accusation first.

lalitpct
Member
Member
Posts: 42
Joined: Mon, 09 Dec 2013

Postby lalitpct » Mon, 21 Apr 2014 3:44 pm

Beeroclock wrote:I guess they want your address to send you a legal letter. As per earlier advice, the ball is in their court to fire the first shot. So you can play a waiting game and avoid giving your address. Or if you want to proactively settle the matter you can get legal advice as per PNG and send your own letter telling them to back off. IMO would do the former... Wait and let them make a written demand/accusation first.


Its weird that
-They didnt pay one and half month salary (1500 sgd)
-They said we terminated you and hence you breach the contract , that is paradoxical statement.
It means we dont have control in following or breaching the contract.
-Termination was at the spot without any notification , whereas if we resign then we need to server 3 month notice .
-There were nearly 10 resources and 9 of them resigned/terminated after heavy pressure on them, last one remaiing is boss wife.
-I know it was our mistake to sign the contract but does it mean court overlooks all these other factor and penalised us to pay 10k
while salary is 1k.

Beeroclock
Reporter
Reporter
Posts: 718
Joined: Thu, 31 Oct 2013

Postby Beeroclock » Mon, 21 Apr 2014 5:44 pm

lalitpct wrote:
Beeroclock wrote:I guess they want your address to send you a legal letter. As per earlier advice, the ball is in their court to fire the first shot. So you can play a waiting game and avoid giving your address. Or if you want to proactively settle the matter you can get legal advice as per PNG and send your own letter telling them to back off. IMO would do the former... Wait and let them make a written demand/accusation first.


Its weird that
-They didnt pay one and half month salary (1500 sgd)
-They said we terminated you and hence you breach the contract , that is paradoxical statement.
It means we dont have control in following or breaching the contract.
-Termination was at the spot without any notification , whereas if we resign then we need to server 3 month notice .
-There were nearly 10 resources and 9 of them resigned/terminated after heavy pressure on them, last one remaiing is boss wife.
-I know it was our mistake to sign the contract but does it mean court overlooks all these other factor and penalised us to pay 10k
while salary is 1k.
Well I wouldn't say it's "weird", unfortunately the world is an unfair place and there are unscrupulous employers out there who try to take advantage of vulnerable workers. I can tell it's causing you a lot of stress and worry. Not sure what else to say.... I still think your best option is try and forget it / put it to the side. Wait until they send you a formal letter outlining their complaint and claim. If you want to do something in the meanwhile, then try to collect all the facts/evidence you have to support your case. Make notes of all the various things they did / told you, with the dates, as much details as you can. Furthermore try and hunt around for legal advice that you can afford, or someone who will help you pro bono. These are constructive actions you can take to help defend yourself if needed, which might help distract and ease your worries.

lalitpct
Member
Member
Posts: 42
Joined: Mon, 09 Dec 2013

Postby lalitpct » Mon, 21 Apr 2014 6:53 pm

Beeroclock wrote:
lalitpct wrote:
Beeroclock wrote:I guess they want your address to send you a legal letter. As per earlier advice, the ball is in their court to fire the first shot. So you can play a waiting game and avoid giving your address. Or if you want to proactively settle the matter you can get legal advice as per PNG and send your own letter telling them to back off. IMO would do the former... Wait and let them make a written demand/accusation first.


Its weird that
-They didnt pay one and half month salary (1500 sgd)
-They said we terminated you and hence you breach the contract , that is paradoxical statement.
It means we dont have control in following or breaching the contract.
-Termination was at the spot without any notification , whereas if we resign then we need to server 3 month notice .
-There were nearly 10 resources and 9 of them resigned/terminated after heavy pressure on them, last one remaiing is boss wife.
-I know it was our mistake to sign the contract but does it mean court overlooks all these other factor and penalised us to pay 10k
while salary is 1k.
Well I wouldn't say it's "weird", unfortunately the world is an unfair place and there are unscrupulous employers out there who try to take advantage of vulnerable workers. I can tell it's causing you a lot of stress and worry. Not sure what else to say.... I still think your best option is try and forget it / put it to the side. Wait until they send you a formal letter outlining their complaint and claim. If you want to do something in the meanwhile, then try to collect all the facts/evidence you have to support your case. Make notes of all the various things they did / told you, with the dates, as much details as you can. Furthermore try and hunt around for legal advice that you can afford, or someone who will help you pro bono. These are constructive actions you can take to help defend yourself if needed, which might help distract and ease your worries.


Thanks , yeah u r right extremely stressed about all this ..to save 10k it takes me 1 year.
My wife took that job as it was getting extremely difficult with only my salary.
Before going to MOM, wanted to check how strong is my case for the penalty clause.
MOM clearly said that they help in salary and termination one but nothing about penalty clause.
I will check for legal option

PNGMK
Director
Director
Posts: 4896
Joined: Thu, 21 Mar 2013

Postby PNGMK » Mon, 21 Apr 2014 9:05 pm

In the time you've been fluffing around you could have had a letter drafted and sent off and know that someone is backing you up.

lalitpct
Member
Member
Posts: 42
Joined: Mon, 09 Dec 2013

Postby lalitpct » Tue, 22 Apr 2014 9:42 am

PNGMK wrote:In the time you've been fluffing around you could have had a letter drafted and sent off and know that someone is backing you up.


But I havent received any letter yet , just a threateining call ..
I got hold of one lawyer on call (will be meeting personally latter as appointment is next month bcoz he is v busy),He mentioned few things which made sense that they will not mention it as penalty (in that case they will loose) but they will say the cost occured to the company .

This term looks very vague as we know that there was no cost involved for any sort of training ,
Does any one have idea on this ??


  • Similar Topics
    Replies
    Views
    Last post

Return to “Careers & Jobs in Singapore”

Who is online

Users browsing this forum: No registered users and 5 guests