HRSINGAPORE Community Digest

Transport Allowances

Some companies provide Transport Allowances for their employees. While some companies may encourage their workers to take public transport to work and not provide for employees who drive, others may offer different provisions for the two categories of employees. This is largely dependent on the industry and scope of their work, as some jobs require their employees to travel islandwide, such as salesmen and field service engineers.

In our online HR Forum, HR Practitioners generally agreed that Transport Allowances are determined by whether employees can drive and their job title. Employees who travel by public transport are paid S$80 to S$100 monthly. However, the allowance for employees who drive are largely dependent on their seniority. Executives and Managers have a monthly Transport Allowance between S$500 to S$900, with petrol reimbursement included. If excluded, Petrol cost is further reimbursed monthly, ranging from S$300 to S$500. For positions equivalent to Head of Departments or higher, some provide S$850 monthly with no cap for petrol reimbursement whereas others lease cars and provide petrol cards. Due to the nature of their job, employees who have to travel to Malaysia for work reasons can claim S$0.30 to S$0.70 extra for every kilometer driven.

In all, the discussions showed that most companies provide Transport Allowances, determined by the employee’s seniority and qualification to drive, inclusive of miscellaneous fees, such as Petrol Reimbursement, Parking Fees and ERP Surcharges, whereas others calculate separately depending on the seniority of the post.

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