Oral Answer by Mr Hawazi Daipi, Senior Parliamentary Secretary for Manpower and Education, to Parliamentary Question on Plans to enact legislation to give more Employment Rights to low wage contract workers

1. The Employment Act is the primary legislation that sets out the basic employment terms and conditions in Singapore. Regardless of whether employees are on term or permanent contracts, they are protected under the Employment Act.
2. All workers covered under the Act enjoy protection of salary payment, protection against unfair dismissal, notice period requirements and conditions pertaining to termination of service. Some of these workers are further covered under Part IV of the Act, which provides for additional coverage such as rest day, hours of work and annual leave.
3. Notwithstanding these, we understand that contract workers may feel that they lack employment certainty and job security due to the short tenure of their contracts. While they are protected under the Employment Act, they might not be eligible for certain benefits such as annual or sick leave if they do not meet the qualifying period of 3 months due to breaks in contracts.
4. We encourage employers to consider converting their contract employees into permanent staff, if they are found to be suitable for the job and if the job is expected to be available on a permanent basis. Employees who feel a greater sense of belonging ultimately contribute better to the performance of the company.
5. We are working closely with our tripartite partners and our stakeholders to review the Employment Act. At this stage, we are considering suggestions and feedback on various issues, including the protection of low wage contract workers. Ultimately, we wish to ensure that the Act safeguards basic employment standards to those who need it, while still giving employers sufficient flexibility to manage their businesses. We will be sharing more details in due course.