HRSINGAPORE Community Discussions

Preparing An Employee Handbook

QUESTION

Hi HR Professionals,

My company is a newly set up company and I am responsible for preparing the employees’ handbook.

If employees are earning more than $2,600/month and if OT is required. Is it necessary for OT pay? If yes, how will the calculation be? For the OT pay calculation, will there be a different approach in calculation for different month? (e.g. September – 30 days, October – 31 days). For prorated salary, is calculation based on number of working days in the month or based on the number of days in the month?

If company will to adopt a policy to reward employees’ performance purely by AWS and Performance Bonus (no. of months varies depending on employees’ performance) and decide not to use salary increment. Is it legal?

Is it compulsory to come up with a Employee Personal Particulars form for every employee to fill up?

Thank you.

Yvonne

 


 

REPLY 1

You could find out more information on OT from the MOM website below.

www.mom.gov.sg/employment-practices/hours-of-work-overtime-and-rest-days

It is not compulsory to give increment, however, it will be difficult for you to keep your staff from leaving. Most of the companies here gives increment. Yes, you could take the particulars of your staff as required under the employment act. Please ensure you also comply under the PDPA where your staffs will have to give consent to the collection of their personal data.

Dan

 


 

REPLY 2

There are 2 parts to look at this:

1st – is the employee a PME (not cover by employment act) or NON-PMEs (cover by employment act)

2nd – Salary and Workman or Non Workman

i. “A workman (doing manual labour) earning a basic monthly salary of not more than $4,500.”

ii. “An employee who is not a workman, but who is covered by the Employment Act and earns a monthly basic salary of not more than $2,600.”

Overtime calculator: www.mom.gov.sg/employment-practices/salary/calculate-overtime-pay

For AWS, please read: www.mom.gov.sg/employment-practices/salary/variable-wage-components#annual-wage-supplement-aws

It is advisable to just do away with the terms AWS, and use performance/variable bonus, which doesn’t fall within the terms infrastructure. Salary increment is advise by national wage council, the min. increment advised have their justification, however they are only guideline. The decision is on the company.

It is a requirement that a company maintain the personal details of your employee for audit purposes, similar to financial audit. However the method and type to collect the information is the company prerogative.

HS

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