Based on the Manpower Ministry’s 2015 Labour Force Report, contract workers form 11.3% of the resident workforce. With this alarming statistics, it is no surprise that new guidelines have been implemented on 20 June 2016. This aims to protect the interest of contract workers, to ensure a more equitable entitlement, especially since term contract employees are as valuable as permanent employees.
The guidelines were established to provide clarity on leave benefits and notice period for term contract employees, whose contract will terminate upon the agreed last day of service, subject to renewal.
Previously, term contract employees who have served more than 3 months continuously in their employment with their employers are entitled to benefits. However, employees who are on separate term contract shorter than 3 months of service, but are constantly renewed with a break in between the contract, will not be entitled to this benefits.
It is now encouraged for employers to provide benefits based on the cumulative term of the contract. Recurrent contract renewals will be treated as continuous if they are renewed within a month of the previous contract. Term contract employees who usually have their contracts renewed on a recurrent basis should also be given sufficient notice, where it is defined as more than one day if the employee has been working for less than 26 weeks. This allows either party to make necessary arrangements.
Reference: http://www.channelnewsasia.com/news/singapore/guidelines-released-on/2887122.html