HRSINGAPORE Community Discussions
Transfer of Employment
We have two employees of whom their employment will be transferred to another company due to restructuring. Their existing terms will be kept as-is. Do we need to draft a whole new employment contract? Or simply just give them an addendum?
And is there anything else that we need to take note of?
Appreciate your advice. Thank you.
REPLIES & COMMENTS
A new LOE under the new company is needed. But with a clause mentioning that the join date will be treated as <first join date> since it is a transfer.
Is good to re-sign another new employment contract with full details. However, you may state that no probationary period is required and is employed as confirmed staff. Also, do clearly state the transferred date from earlier Company for easy reference in the future.
Yes, new employment contracts need to be drafted accordingly, since key employment terms like the Company (registration no.etc) will be changed as well.
Also, under Contract Law, the agreement needs to be binding for both parties (i.e. Employer & Employee). If no new contracts are issued, agreements may not be valid.
If the worker's last day falls on a weekend, the S Pass cancellation has to be on the following Monday. If the last day falls on a Friday, the employer can still cancel the S Pass on the Saturday (and the STVP has to be given on the same day).
Under normal circumstances, the date of return should not be determined by the foreign worker, and it is for the HR to ensure ample communication is made between HR and the employee as to when the flight is on, pending company exit clearance and tax clearance (which should be done before the employee's last day).
For S Pass, unless mutually agreed otherwise, the employer has to purchase the air ticket to send the worker back home, which means that the employer has the prerogative to determine to flight date, not the employee. In case the worker is purchasing his/her own ticket, the employer still has to ensure that he/she is cleared by the relevant authorities to return before the trip is made.