Hi HR professionals, how do you administer annual leave for part-time employees in Singapore who do not work fixed hours every week?
Administering annual leave for part-time employees who do not work fixed hours each week can be a bit challenging compared to full-time employees with regular hours.
However, there are several ways to approach this to ensure fairness and compliance with local labour laws.
In Singapore, for example, the entitlement to annual leave for part-time employees is usually proportional to the amount of work they perform, as compared to a full-time employee.
Here’s a method you can consider:
Pro-Rata Basis: Calculate leave on a pro-rata basis according to the hours worked. The Employment Act of Singapore requires that employees who have worked for at least three months are entitled to paid annual leave. For part-time employees, their annual leave entitlement can be calculated based on the proportion of the hours they work as compared to a full-time employee.
Accrual System: Another common method is to accrue leave based on the number of hours worked. For instance, you might accrue a certain number of hours of leave for every “X” hours worked.
When determining the right structure, it’s crucial to consult the relevant employment guidelines in Singapore to ensure that your policy is legally compliant. Always maintain clear records of the hours worked by part-time employees and the leave accrued/taken.
Please do consider the specific rules in your employment contracts and company policies, and remember that while this is general advice, it is always best to have a detailed consultation for your specific situation. For tailored advice, consider using HRSINGAPORE’s HR Consultancy Services. We can help you craft the appropriate policies and ensure that you are compliant with local employment laws.
Give me an example of calculating using an accrual system.
Here’s an example of how you might calculate annual leave for a part-time employee using an accrual system based on Singapore’s employment guidelines:
Let’s say you have a part-time employee, and the full-time annual leave entitlement at your company is 14 days per year. Assume a full-time workweek is 40 hours.
To calculate the leave accrual rate per hour worked, you would first determine the total annual leave hours for a full-time employee: 14 days * 8 hours/day = 112 hours of leave per year.
Next, you would calculate the accrual rate per hour worked: 112 hours of leave per year / 2080 hours (40 hours/week * 52 weeks/year) = Approximately 0.0538 hours of leave accrued per hour worked.
Now, let’s say your part-time employee works an average of 20 hours per week. To find out the leave they accrue each week, you would multiply the hours worked by the accrual rate: 20 hours/week * 0.0538 hours of leave/hour worked = Approximately 1.076 hours of leave accrued per week.
When the employee wants to take a day off, you would convert their accrued hours into leave days based on their usual workday length. For a part-timer working 4 hours per day, they would need to have accrued at least 4 hours of leave to take one day off.
It is important to keep accurate records of the hours worked and the leave accrued, and to make sure that the system is clear and communicated effectively to all part-time staff.
Remember, this is just an illustrative example and your organisation’s actual accrual rate will depend on the terms of employment and the local labour laws. It’s essential to tailor the calculations to the specific circumstances of your employees and to ensure compliance with all statutory requirements.
Which method do you use to administer AL for PT employees?
Pro-Rata Basis: 75.00%
Not Sure: 8.33%
We have no part-timers: 16.67%