Your Guide to Recruiting People in Singapore

Your Guide to Recruiting People in Singapore

Singapore is widely known for its ‘business-friendly’ nature. Companies who want to infiltrate the Asian Market, start their business venture in the country. Making your company in Singapore is super easy, and before you know it, your company is ready to start. But you cannot operate without staffs and employees. Recruiting crews and employees in Singapore is simple—if you follow the guidelines.

Whether you’re a foreigner or a local who are working together with a job recruitment agency in Singapore, it is essential that you know your responsibilities towards your employees— which the country’s Employment Act states.

What is the Employment Act?

It is an act that was implemented last April 1, 2014. The act states the terms and conditions for employment.

The act covers all employees, be it local or foreign, however, the act has exemptions. Managers and executives who earn more than $4 500 salaries per month. Civil Servants, Statutory Board Employees, Domestic Workers, and Seafarers are also not included in the act. Which means these people will solely rely on the contract they signed.

This act also covers:

  • Rest Day
  • Overtime
  • Retirement Benefits
  • Annual Leave
  • Sick Leave
  • Public Holidays
  • Retrenchment Benefits
  • Yearly Wage Supplements

The Recruitment of Workers in Singapore

For Managers and Executive Positions /  Staffs and Employees Earning More than $2 500 a Month:

  • Must work for 5 days a week with a total of 40-50 hours per week
  • Overtime and Bonus will be as the contract specifies
  • Only the locals are required to pay more than $50  for (CPFC) Central Provident Fund Contribution for Singapore Citizens
  • Annual Leave (Paid) for 14 days
  • Sick Leave (Paid) for 14 days
  • Maternity Leave (Paid)
  • Annual Childcare Leave (Paid)
  • Infant Care Leave (Unpaid)
  • 11 Public Holidays (Paid)
  • Probation Period
  • Termination Period
  • Medical Insurance
  • Retrenchment

For Employees that Earn $2 500 or less a Month:

  • Must work 6 days a week with a total of 44 hours per week
  • Overtime: 72 hrs. Maximum (per month) at 1.5 times the regular rate
  • The bonus will be the contract specifies
  • Only the locals are required to pay more than $50  for (CPFC) Central Provident Fund Contribution for Singapore Citizens
  • Annual Leave (Paid)
  • Sick Leave (Paid)
  • Maternity Leave (Paid)
  • Annual Childcare Leave (Paid)
  • Infant Care Leave (Unpaid)
  • 11 Public Holidays (Paid)
  • Probation Period
  • Termination Period
  • Medical Insurance
  • Retrenchment

For more information about Recruitment in Singapore, click here.

Because Singapore allows foreigners to build companies the country, they also will enable the recruitment of foreigners. However, the foreign workers with insufficient skills for the job, the worker must the FWL, also known as the Foreign Worker Levy, an imposed tax for Foreign Workers. This is because the Government wants the recruitment companies in Singapore to hire only those who are highly competent in their job.

The Penalty

Although Singapore is open to all workers, may it be foreign or locals, they are strict when it comes to imposing their rules. Which means failure in complying with the law will result to penalty.

1st Offence:

  • A fine of $3 000 – $ 15 000
  • and/or 6 months in Jail

2nd Offence:

  • The fine is raised to $6 000 – $30 000
  • and/or 12 months in Jail

Final Thoughts:

Recruiting in People Singapore can be easy. Several recruiting agencies will help you look for people you need in your company. Just make sure you’re going to abide by Singapore’s Employment Act if you don’t want a penalty knocking upon your door.