COVID-19: Treat employees fairly or lose support and privileges, MOM warns companies
SINGAPORE — Companies which do not pay salaries to employees or threaten them with termination during the circuit breaker period may be denied future employment support and have their work pass privileges curtailed.
In a media release on Thursday (23 April), the Ministry of Manpower (MOM) reminded employers to treat all their employees fairly and responsibly, regardless of nationality.
It added that it has received complaints of unpaid salaries by companies during the current elevated safe distancing period to curb the spread of COVID-19. Some employees were also allegedly threatened with termination if they report such issues to MOM.
“While we understand that employers may themselves face difficulties, it is not reasonable to implement extended no-pay leave or other wage-saving measures without engaging or seeking the consent of their employees,” MOM said in the media release.
“MOM will investigate valid complaints and may suspend JSS/FWL (Job Support Scheme/Foreign Worker Levy) payouts for these companies until investigations complete. Where there is evidence of irresponsible or unfair treatment, employers may be denied future employment support (including JSS, FWL rebate and waiver) and have their work pass privileges curtailed.”
Extension of rebate, waiver
As part of the Solidarity Budget announced by Deputy Prime Minister Heng Swee Keat to help companies tide through the COVID-19 pandemic period, the government will extend the JSS wage subsidy of 75 per cent for all sectors until May.
This will help employers retain their local employees and continue paying them salaries during this period. Companies that reduce their employees’ salaries or put them on no-pay leave will receive correspondingly lower payouts in subsequent tranches.
The government has also extended several FWL measures. The $750 FWL rebate for each S Pass or work permit holder will be provided for companies who employ them as of 1 May, extended from 29 February. In addition, levies due to be paid in May have been waived.
Companies with PayNow Corporate accounts must acknowledge by 8 May to receive the FWL rebate on 29 May; those that acknowledge by 22 May will receive the rebate on 19 June.
Companies without PayNow Corporate accounts must acknowledge by 22 May to receive the payment by cheque from 3 July.
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