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Mandatory Retrenchment Notifications

You must notify MOM of retrenchments within 5 working days after notify any employee of their retrenchment.

At a glance

Who must notify MOM

Employers who:

  • Have businesses registered in Singapore.
  • Have at least 10 employees.
  • Notify any employee of their retrenchment
When to notify MOM Within 5 working days after affected employees are notified of their retrenchment.
How to notify MOM Notify for retrenchment exercise
Related guidelines Tripartite Guidelines on Mandatory Retrenchment Notifications

Notifying MOM of retrenchment exercises will enable Workforce Singapore (WSG), the tripartite partners – the Ministry of Manpower, the National Trades Union Congress (NTUC) and the Singapore National Employers Federation (SNEF) – and other relevant agencies to help affected employees find alternative employment and/or identify relevant training to enhance employability.

What constitutes a retrenchment?Show

Retrenchment is the termination of employees due to redundancy or reorganisation of the employer’s profession, business, trade or work. This includes situations where companies undergo liquidation, receivership or judicial management.

An employer who terminates an employment contract with no plan to fill the vacancy any time soon is presumed to have retrenched the employee.

The requirement to notify MOM of retrenchment applies to permanent employees, as well as contract employees with full contract terms of at least 6 months.

If you are planning a retrenchment in your company, please refer to the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment to find out what your company needs to consider.

Who should submit retrenchment notifications?Show

Employers with businesses registered in Singapore and have at least 10 employees are required to notify MOM when any employee is notified of retrenchment.

You are encouraged to notify MOM of your company’s retrenchment even if your company has fewer than 10 employees. This will allow WSG and the tripartite partners to help affected employees find alternative employment or identify relevant training to enhance employability.

When should I submit the notification?Show

The notification must be submitted within 5 working days after your employee is notified about their retrenchment.

You notify your employee on 1 November 2021 of their retrenchment. Your company must notify MOM by 8 November 2021 with the details of the employees.

Note:

  • A working day is a day other than a Saturday, a Sunday and a public holiday.

How to notify MOM?Show

To submit a retrenchment notification to MOM, you need to first prepare the following information:

  • Company name and UEN
  • Company contact person details
  • Name of union (if company is unionised), and whether the union was consulted
  • Number of employees on the date you submit the retrenchment notification to MOM. This includes all employees, i.e. Singaporeans, PRs and foreigners.
  • Details of employees to be retrenched (i.e. name, NRIC or FIN, residential status, job title, date of effective retrenchment, date of notification of retrenchment to employees)
  • Payment of retrenchment benefit and quantum
  • Provision of employment facilitation assistance

With the information prepared, you can submit a notification to MOM. You need Singpass to log in.

What is the penalty for non-compliance?Show

Failure to comply with the mandatory retrenchment requirements under the Employment Act is a civil contravention, for which administrative penalties of up to $2,000 per contravention can be imposed.

Where to seek further assistance?Show

For assistance on employment facilitation services, companies can contact the following:

Workforce Singapore (WSG)
www.wsg.gov.sg
Phone: 6883 5885

Employment and Employability Institute (e2i)
www.e2i.com.sg
Phone: 6474 0606
Email: followup@e2i.com.sg

For further clarification on the mandatory retrenchment notifications, companies may approach MOM.
Phone: 6438 5122