Contract Workers Do Get CPF Contributions from Employers

Ministry of Manpower (08 February 2007): Contract Workers Do Get CPF Contribution from Employers

The New Paper (30 January 2007): Don't Discriminate Against Contract Workers

Contract Workers Do Get CPF Contributions from Employers
- The New Paper, 08 February 2007

Please refer to the letter by Mr Louis Francis Albert "Don't discriminate against contract workers" (TNP, 30 January).

2. Contract workers refer to those on fixed-term employment contract as well as those on casual/on-call employment who are employed on an ad-hoc basis, as and when the company requires additional manpower. Under the Employment Act, contract workers are entitled to basic terms and conditions of employment such as rest days, hours of work, annual leave and sick leave. Similarly, under the CPF Act, all employers must contribute towards the employee's or contract worker's CPF if the latter is paid more than $50 a month. Employers who are found to have underpaid or failed to make CPF contributions for employees and contract workers have to pay the arrears as well as interest on late contributions. Employers who are first-time offenders may be fined up to $2,500 for each offence. Repeat offenders may be fined up to $10,000 for each offence.

3. We invite Mr Albert to contact our officer at (65) 6317 1398 to provide us with details of his case. Workers who have been denied CPF contributions should seek assistance from the CPF Board at (65) 6229 3850.

Don't Discriminate Against Contract Workers
- The New Paper, 30 January 2007

The one group that is not mentioned concerning CPF contributions is the contract worker. This group contributes to the growth of the company, but they are not entitled to CPF or medical benefits and they work, come rain or shine. If they do not work, they do not get paid. And they try to work as hard as they do not want to be terminated for any reason. A full-time worker can go on medical leave for the slightest reason, like having a stomach ache or headache, or because they have a job interview somewhere. Yet, they know they are getting their full salary at the end of the month.

Visiting the Ministry of Manpower website did not help much. Contracts are drafted in legal terms. How is the layman to understand the terms of employment when they vary from one to another? In some cases, a contract worker has to mark the attendance sheet and in other cases, he has to send in his invoice. Do all these matter?

At the end of the day, the contract worker puts in more hours of work because he cannot take medical leave of absence. I have been a contract worker for more than 30 years. The only company too contribute to my CPF is the Grand Hyatt Singapore. Sometimes, I work longer hours in a company than a full-time worker. I would like to understand the reasons for the general discrimination.