S’pore firms must notify MOM of any retrenchment from Nov 1

Firms in Singapore with a minimum of 10 staff will quickly be mandated to inform the Ministry of Manpower (MOM) every time they retrench any employees from November 1.

This notification should be filed by employers inside 5 working days after they supply the discover of retrenchment to the affected labored.

At present, employers solely must notify MOM once they retrench 5 or extra staff inside a six-month interval.

“The revised notification permits the tripartite companions, Workforce Singapore, the Employment and Employability Institute, in addition to different companies to higher attain out to affected native staff to offer employment and job search help,” mentioned MOM.

Dr Koh Poh Koon, Senior Minister of State for Manpower mentioned that a greater manner to assist jobseekers is to be “notified earlier of when there could also be a threat of retrenchment” in order that they’ll execute help measures to assist them search for a brand new job, comparable to profession steerage and training.

“By streamlining this and mandating the notification from the primary worker to be retrenched … hopefully we are able to intervene earlier to assist every single worker who could also be dealing with retrenchment.”

He added that this additionally helps the employers, as a result of they not want to trace who’s the fifth retrenched worker over the six-month interval.

Firms can notify MOM of retrenchments by submitting related info through its web site, comparable to the dimensions of workforce earlier than retrenchment and job designation of affected employee. The complete course of takes about 10 minutes to finish.

Penalties of as much as S$2,000 may be imposed on employers that don’t adjust to this regulation, which was launched in 2017.

Unemployment has been on the rise in Singapore

Singapore’s total unemployment charge has crept increased to 2.8 per cent in July, rising 0.1 share factors from the earlier month, marking the primary time unemployment charges rose in 10 months.

This displays a dip in demand for employees as sectors like meals and beverage and retail commerce have been impacted by Covid-19 restrictions.

Resident unemployment charge – which covers Singaporeans and Everlasting Residents – rose by 0.2 share factors to three.7 per cent, whereas citizen unemployment charge climbed 0.2 share factors to three.9 per cent. This interprets to 87,300 residents unemployed in July, in addition to 77,200 residents.

MOM has attributed the uptick in retrenchments primarily to a small improve in layoffs within the manufacturing and building sectors.

Economists notice that the state of affairs is probably going momentary, and that the roles market is ready to recuperate as Singapore reopens.

Manpower Minister Tan See Leng assured that MOM and Workforce Singapore will proceed to help jobseekers and employers to match employees to the out there alternatives. Jobseekers can faucet on initiatives such because the SGUnited Jobs and Abilities Bundle to be positioned into jobs and abilities alternatives.

Featured Picture Credit score: Wan Wei