Mandatory Retrenchment Notifications wef 1st Jan 2017

StaffOnDemand Blog

A new requirement on mandatory retrenchment notifications will take effect from 1 January 2017. 

Under the Workforce Singapore Agency Act, employers will need to notify the Ministry of Manpower (MOM) of retrenchments within 5 working days after they provide notice of retrenchment to affected employees, if 5 or more employees are retrenched within a 6-month period beginning 1 January 2017. 

Failure to notify within the required timeline is an offence and may be liable on conviction to penalties, including a fine not exceeding $5,000.

These notifications will provide more complete and timely retrenchment information, to better enable Workforce Singapore (WSG) and the Taskforce for Responsible Retrenchment and Employment Facilitation to assist retrenched local employees find alternative employment and relevant training to enhance their employability. 

Who should submit retrenchment notifications?

Employers who employ at least 10 employees are required to notify MOM if 5 or more employees are retrenched within any 6 month period beginning 1 January 2017.

What constitutes a retrenchment?

For the purpose of this advisory, retrenchments are defined as dismissal on the ground of redundancy or by reason of any reorganisation of the employer’s profession, business, trade or work. This applies to permanent employees, as well as contract workers with full contract terms of at least 6 months.

How to Notify

To submit a retrenchment notification to MOM:

  1. Download the retrenchment notification form.
  2. Complete the form with details of workers to be retrenched (e.g. residential status, job title, date of retrenchment)
  3. Submit notification to MOM online here:
    • Company UEN
    • Name of company’s contact person
    • Number of local and foreign workers prior to retrenchment
    • Completed excel notification form as an attachment

 

Source:

Mandatory Retrenchment Notifications, Ministry of Manpower

http://www.mom.gov.sg/employment-practices/retrenchment/mandatory-retrenchment-notifications