SUBSCRIBE: Newsletter

Human Resources

Toggle

Article

“Retrenchment Benefits 2015” report released by the Manpower Research and Statistics Department, Ministry of Manpower

Most staff shown the door get a month’s salary per year of service



Back in Hong Kong for its fourth year on September 5 at the Hotel ICON, Learning and Development Asia is bigger and better than ever before and earned its reputation as the most influential L&D strategy event in Asia.
Book your tickets now!
Contact us now for an amazing group discount

Amid softer economic conditions and ongoing business restructuring, 15,580 workers were laid off in 2015 in Singapore compared to 12,930 in 2014. Accordingly, the eligibility service period for retrenchment benefits was shortened from three years to two years, effective 1 April 2015.

These are the key findings from the Retrenchment Benefits 2015 report released by the Manpower Research and Statistics Department, Ministry of Manpower (MOM).

In 2015, nine in 10 organisations (91%) paid retrenchment benefits to eligible employees, down slightly from 94% in 2012. Among these, large establishments with at least 200 employees (97%) and unionised establishments (100%) were more likely to pay retrenchment benefits.

For employees who served less than two years and hence not eligible for retrenchment benefits, two in three establishments (67%) still paid retrenchment benefits to them.

MOM report on retrenchment benefits 2015

 

A majority of establishments (83%) paid retrenchment benefits by years of service in 2015, with more than half paying one month of salary per year of service.

However, the proportion of establishments paying retrenchment benefits in lump sum increased in 2015 (17%, up from 7% in 2012), with the quantum typically one to two months of salary.

From 1 January 2017, it will be mandatory for employers with at least 10 employees to notify MOM if five or more employees are retrenched within any six-month period beginning 1 January 2017.

Lead photo / StockUnlimited
Infographic / Retrenchment Benefits 2015

For the 5th consecutive year, HR Distinction awards will again honour the very best in the HR industry. Winning is both an affirmation of the exceptional quality of your work in the industry and among peers. Book your gala dinner table now
Contact us now for more details.

Read More News

in Singapore by

How to be happier in 2014

There are plenty of things we should (and shouldn't) do to make ourselves happier in work and life, but why don’t you start with t..

Trending

Leave a Reply

You must be logged in to post a comment.