MOM seeks public feedback on amendments to Employment Act

The Manpower Ministry (MOM) is reviewing the Employment Act, and is seeking feedback from the public on the proposed changes. Members of the public can provide their feedback from now till 22 September at the REACH portal.

Under the proposed amendments, MOM will revise the coverage of the Employment Act.

Currently, non-manual workers who earn less than $1,600 are covered under Part IV of the Act which entitles them to statutory benefits such as overtime payment and annual leave eligibility.

MOM has proposed to raise the salary ceiling from $1,600 to $2,000 to reflect increase in wages.

Also proposed is that confidential staff - such as human resource clerks and secretaries, and managers and executives earning less than $2,500 a month - will also enjoy employment and salary protection.

MOM will also review employment benefits and standards.

To encourage employers to offer more part-time jobs, part-time workers will be redefined as those who work 35 hours a week, up from the current 30 hours.

MOM says it is necessary to have a balanced approach between employment protection for workers and maintaining Singapore's labour market flexibility and competitiveness in updating the Employment Act.

The Employment Act, which covers about 1.4 million workers, was last reviewed in 1995.

The Act provides workers with basic employment benefits such as salary protection, minimum employment terms and dispute resolution.

Since then, MOM says there are now more workers employed in the services industries, and the proportion of Professionals, Managers, Executives and Technicians (PMETs) in the workforce has also increased over the years.

The growth of outsourcing has led to shorter employment tenures and more contract workers, while median wages have gone up by 49 per cent since 1995.

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