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Employment Contract

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Full time means that the employee works no less than 35 hours per week.



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Employment Contract Page of
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EMPLOYMENT CONTRACT

THIS EMPLOYMENT CONTRACT (the "Agreement") dated this ________ day of ________________, ________

BETWEEN:

Employer

________________________________________
(the "Employer")

Employee

________________________________________
(the "Employee")
  1. BACKGROUND:
  2. The Employer is of the opinion that the Employee has the necessary qualifications, experience and abilities to assist and benefit the Employer in its business.
  3. The Employer desires to employ the Employee and the Employee has agreed to accept and enter such employment upon the terms and conditions set out in this Agreement.

IN CONSIDERATION OF the matters described above and of the mutual benefits and obligations set forth in this Agreement, the receipt and sufficiency of which consideration is hereby acknowledged, the parties to this Agreement agree as follows:

  1. Particulars of Employment
  2. As required by the Employment Act, s. 95A, the Employee’s key employment terms will be provided to the Employee in written form, soft or hard copy, within 14 days of the Employee starting employment with the Employer, and are attached to this Agreement.
  3. Commencement Date and Term
  4. The Employee will commence permanent full-time employment with the Employer on the 3rd day of October, 2022 (the "Commencement Date").
  5. Job Title and Description
  6. The initial job title of the Employee will be the following: ____________________
  7. The Employee agrees to be employed on the terms and conditions set out in this Agreement. The Employee agrees to be subject to the general supervision of and act pursuant to the orders, advice and direction of the Employer.
  8. The Employee will perform any and all duties as requested by the Employer that are reasonable and that are customarily performed by a person holding a similar position in the industry or business of the Employer.
  9. The Employer may make changes to the job title or duties of the Employee where the changes would be considered reasonable for a similar position in the industry or business of the Employer. The Employee's job title or duties may be changed by agreement and with the approval of both the Employee and the Employer or after a notice period required under law.
  10. The Employee agrees to abide by the Employer's rules, regulations, policies and practices, including those concerning work schedules, annual leave and sick leave, as they may from time to time be adopted or modified.
  11. The Employee warrants that the Employee is legally allowed to work in Singapore.
  12. Employee Remuneration
  13. Remuneration paid to the Employee for the services rendered by the Employee as required by this Agreement (the "Remuneration") will include a wage at the rate of S$________ per hour.
  14. This Remuneration will be payable twice per month while this Agreement is in force. The Employer is entitled to deduct from the Employee's Remuneration, or from any other remuneration in whatever form, any applicable deductions and remittances as required by law.
  15. The Employee understands and agrees that any additional remuneration paid to the Employee in the form of bonuses or other similar incentive remuneration will rest in the sole discretion of the Employer and that the Employee will not earn or accrue any right to incentive remuneration by reason of the Employee's employment.
  16. The Employer will reimburse the Employee for all reasonable expenses, in accordance with the Employer's lawful policies as in effect from time to time, including but not limited to, any travel and entertainment expenses incurred by the Employee in connection with the business of the Employer. Expenses will be paid within a reasonable time after submission of acceptable supporting documentation.
  17. Pension
  18. The Employee is entitled to access the following pension scheme: ______________________________
  19. Details of the pension scheme are set out in ______________________________, which will be provided or made available to the Employee.
  20. Place of Work
  21. The Employee's primary place of work will be at the following location:
    • ____________________________________________________________
  22. Time of Work
  23. The Employee's usual work days are ______________________________
  24. The Employee's normal hours of work, including breaks, ("Normal Hours of Work") are as follows: ______________________________
  25. However, the Employee will, on receiving reasonable notice from the Employer, work additional hours and/or hours outside of the Employee's Normal Hours of Work as deemed necessary by the Employer to meet the business needs of the Employer, and as permitted by law.
  26. Rest Days
  27. If the Employee falls under section 35 of the Employment Act, the Employee is entitled to one rest day a week, without pay, which can be on Sunday or any other day as determined by the Employer, or to a rest period as required by law.
  28. If the Employee works on a rest day at the request of the Employer, the Employee will be paid one day’s basic rate of pay for working up to half the Normal Hours of Work; or two days’ basic rate of pay for working more than half the Normal Hours of Work but no more than the Employee's Normal Hours of Work for one day; or, if the period of work exceeds the Employee's Normal Hours of Work for one day, two days’ basic rate of pay and at least 1.5 times the Employee's hourly basic rate of pay for each hour or part thereof that exceeds the Employee's Normal Hours of Work for one day.
  29. If the Employee works on a rest day at the Employee's own request, the Employee will be paid half a day’s basic rate of pay for working up to half the Normal Hours of Work; or one day's basic rate of pay for working more than half the Normal Hours of Work but no more than the Employee's Normal Hours of Work for one day; or, if the period of work exceeds the Employee's Normal Hours of Work for one day, one day’s basic rate of pay and at least 1.5 times the Employee's hourly basic rate of pay for each hour or part thereof that exceeds the Employee's Normal Hours of Work for one day.
  30. Employee Benefits
  31. The Employee will be entitled to the additional benefits that are currently available as described in the lawful provisions of the Employer's employment booklets, manuals, and policy documents or as required by law, as well as the following retrenchment benefits: should the Employee be terminated due to retrenchment then, if the Employee has been employed with the Employer for two years or longer, the Employee will be entitled to the retrenchment payment of two weeks' salary for each year of employment.
  32. Employer discretionary benefits are subject to change, without compensation, upon the Employer providing the Employee with 60 days' written notice of that change and providing that any change to those benefits is taken generally with respect to other employees and does not single out the Employee.
  33. Annual Leave
  34. The calendar year will commence on the ______ day of ________________ and run for one year (the "Calendar Year").
  35. During each Calendar Year, the Employee is entitled to two weeks of paid annual leave, such entitlement accruing on a pro rata basis.
  36. The times and dates for any annual leave will be determined by mutual agreement between the Employer and the Employee.
  37. Upon termination of employment, the Employer will compensate the Employee for any accrued but unused annual leave.
  38. Public Holidays
  39. The Employee is entitled to a paid holiday at the Employee's full rate of pay on every official public holiday, except that the Employer and Employee can agree to substitute any other day for a public holiday.
  40. If a public holiday falls on a rest day, the Employee is entitled to the following work day as a paid holiday.
  41. If the Employee is required by the Employer to work on a public holiday, the Employee shall be paid an extra one day’s pay for that day.
  42. Sick Leave
  43. The Employee will not be entitled to sick pay until the Employee has been employed by the Employer for a period of not less than three months.
  44. If the Employee is sick or unable to make it to work, the Employee will inform the Employer of the reason for the Employee’s absence as soon as possible after their sick leave is certified by a certified medical practitioner.
  45. The duration of the paid sick leave will be determined by a certified medical practitioner and as required by law.
  46. During such absence the Employer will pay the Employee contractual sick pay as follows:
    1. If hospitalisation is necessary, the Employee’s gross rate of pay for:
      1. the lesser of 15 days each year, or the aggregate of 5 days plus the number of days on which the Employee is hospitalised, where the Employee has worked for the Employer for a period of at least 3 months but less than 4 months;
      2. the lesser of 30 days each year, or the aggregate of 8 days plus the number of days on which the Employee is hospitalised, where the Employee has worked for the Employer for a period of at least 4 months but less than 5 months;
      3. the lesser of 45 days each year, or the aggregate of 11 days plus the number of days on which the Employee is hospitalised, where the Employee has worked for the Employer for a period of at least 5 months but less than 6 months; or
      4. the lesser of 60 days each year, or the aggregate of 14 days plus the number of days on which the Employee is hospitalised, where the Employee has worked for the Employer for a period of not less than 6 months.
    2. If hospitalisation is not necessary, the Employee’s gross rate of pay excluding any allowance payable in respect to shift work for:
      1. 5 days each year, where the Employee has worked for the Employer for a period of at least 3 months but less than 4 months;
      2. 8 days each year, where the Employee has worked for the Employer for a period of at least 4 months but less than 5 months;
      3. 11 days each year, where the Employee has worked for the Employer for a period of at least 5 months but less than 6 months; or
      4. 14 days each year, where the Employee has worked for the Employer for a period of not less than 6 months.
  47. Maternity and Childcare Leave
  48. If the Employee is a female entitled to maternity protection and benefits under the Employment Act, the Employer will provide maternity leave and pay as required by law.
  49. If the Employee is entitled to childcare leave under the Employment Act, the Employer will provide childcare leave and pay as required by law.
  50. Variable Pay
  51. The Employee will be entitled to a yearly Annual Wage Supplement from the Employer in the amount of one month's salary.
  52. The Employee will be entitled to a yearly bonus or variable payment from the Employer if and as described below: __________
  53. Work Injury Compensation Insurance
  54. The Employer will obtain the necessary work injury compensation insurance for the Employee as required by law.
  55. Duty to Devote Full Time
  56. The Employee agrees to devote full-time efforts, as an employee of the Employer, to the employment duties and obligations as described in this Agreement.
  57. Conflict of Interest
  58. During the term of the Employee's active employment with the Employer, it is understood and agreed that any business opportunity relating to or similar to the Employer's actual or reasonably anticipated business opportunities (with the exception of personal investments in less than 5% of the equity of a business, investments in established family businesses, real estate, or investments in stocks and bonds traded on public stock exchanges) coming to the attention of the Employee, is an opportunity belonging to the Employer. Therefore, the Employee will advise the Employer of the opportunity and cannot pursue the opportunity, directly or indirectly, without the written consent of the Employer.
  59. During the term of the Employee's active employment with the Employer, the Employee will not, directly or indirectly, engage or participate in any other business activities that the Employer, in its reasonable discretion, determines to be in conflict with the best interests of the Employer without the written consent of the Employer.
  60. Contract Binding Authority
  61. Notwithstanding any other term or condition expressed or implied in this Agreement to the contrary, the Employee will not have the authority to enter into any contracts or commitments for or on the behalf of the Employer without first obtaining the express written consent of the Employer.
  62. Termination Due to Discontinuance of Business
  63. Notwithstanding any other term or condition expressed or implied in this Agreement, in the event that the Employer will discontinue operating its business at the location where the Employee is employed, then, at the Employer's sole option, and as permitted by law, this Agreement will terminate as of the last day of the month in which the Employer ceases operations at such location with the same force and effect as if such last day of the month were originally set as the Termination Date of this Agreement.
  64. Termination of Employment
  65. Where there is just cause for termination, the Employer may terminate the Employee's employment without notice, as permitted by law.
  66. The Employee and the Employer agree that reasonable and sufficient notice of termination of employment by either party is the greater of one week or any minimum notice required by law.
  67. The Termination Date specified by either the Employee or the Employer may expire on any day of the month and upon the Termination Date the Employer will forthwith pay to the Employee any outstanding portion of the remuneration including any accrued annual leave and banked time, if any, calculated to the Termination Date.
  68. Once notice has been given by either party for any reason, the Employee and the Employer agree to execute their duties and obligations under this Agreement diligently and in good faith through to the end of the notice period. The Employer may not make any changes to remuneration or any other term or condition of this Agreement between the time termination notice is given through to the end of the notice period.
  69. Remedies
  70. In the event of a breach or threatened breach by the Employee of any of the provisions of this Agreement, the Employee agrees that the Employer is entitled to a permanent injunction, in addition to and not in limitation of any other rights and remedies available to the Employer at law or in equity, in order to prevent or restrain any such breach by the Employee or by the Employee's partners, agents, representatives, servants, employees, and/or any and all persons directly or indirectly acting for or with the Employee.
  71. Severability
  72. The Employer and the Employee acknowledge that this Agreement is reasonable, valid and enforceable. However, if any term, covenant, condition or provision of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, it is the parties' intent that such provision be changed in scope by the court only to the extent deemed necessary by that court to render the provision reasonable and enforceable and the remainder of the provisions of this Agreement will in no way be affected, impaired or invalidated as a result.
  73. Notices
  74. Any notices, deliveries, requests, demands or other communications required here will be deemed to be completed when hand-delivered, delivered by agent, or seven days after being placed in the post, postage prepaid, to the parties at the following addresses or as the parties may later designate in writing:
    • Employer:

      Name:

      ____________________

      Address:

      ____________________

      Phone:

      __________

    • Employee:

      Name:

      ____________________

      NRIC number:

      __________

      Address:

      ____________________

      Phone:

      __________

  75. Modification of Agreement
  76. Any amendment or modification of this Agreement or additional obligation assumed by either party in connection with this Agreement will only be binding if evidenced in writing signed by each party or an authorised representative of each party.
  77. Governing Law
  78. This Agreement will be construed in accordance with and governed by the laws of Singapore.
  79. Definitions
  80. For the purpose of this Agreement the following definitions will apply:
    1. "Termination Date" means the date specified in this Agreement or in a subsequent notice by either the Employee or the Employer to be the last day of employment under this Agreement. The parties acknowledge that various provisions of this Agreement will survive the Termination Date.
  81. General Provisions
  82. Time is of the essence in this Agreement.
  83. Headings are inserted for the convenience of the parties only and are not to be considered when interpreting this Agreement. Words in the singular mean and include the plural and vice versa. Words in the masculine mean and include the feminine and vice versa.
  84. No failure or delay by either party to this Agreement in exercising any power, right or privilege provided in this Agreement will operate as a waiver, nor will any single or partial exercise of such rights, powers or privileges preclude any further exercise of them or the exercise of any other right, power or privilege provided in this Agreement.
  85. This Agreement will inure to the benefit of and be binding upon the respective heirs, executors, administrators, successors and assigns, as the case may be, of the Employer and the Employee.
  86. This Agreement may be executed in counterparts. Facsimile signatures are binding and are considered to be original signatures.
  87. If, at the time of execution of this Agreement, there is a pre-existing employment agreement still in effect between the parties to this Agreement, then in consideration of and as a condition of the parties entering into this Agreement and other valuable consideration, the receipt and sufficiency of which consideration is acknowledged, this Agreement will supersede any and all pre-existing employment agreements between the Employer and the Employee. Any duties, obligations and liabilities still in effect from any pre-existing employment agreement are void and no longer enforceable after execution of this Agreement.
  88. This Agreement constitutes the entire agreement between the parties and there are no further items or provisions, either oral or written. The parties to this Agreement stipulate that neither of them has made any representations with respect to the subject matter of this Agreement except such representations as are specifically set forth in this Agreement.

IN WITNESS WHEREOF, the Parties have duly affixed their signatures on this ________ day of ________________, ________.

__________________________
Per:
____________________________
(Seal)
Officer's Name: __________________________
_______________________________
______________________ (Employee)
Employment Contract Page of
©2002-2022 LawDepot.com®

Last updated April 27, 2022

What is an Employment Contract?

An Employment Contract is a document that outlines the rights, responsibilities, and obligations of an employer and employee during a period of employment.

By writing out the key terms and conditions of a job in a contract, employers and employees gain a clear understanding of their roles in a company. This sets expectations for both parties in the working relationship and minimises potential disputes.

An Employment Contract is also known as:

  • An employee agreement
  • A contract of service

What are the different types of Employment Contracts?

Employment Contracts differ based on whether an employee works temporarily or permanently and on either a full-time or part-time basis.

Singapore’s Employment Act outlines workers’ rights, and the type of Employment Contract you sign can affect an employee’s entitlements and protections under the act. For example, part-time workers and full-time workers are entitled to different rest days, overtime pay, and leave benefits.

LawDepot’s Employment Contract template gives information on the employee entitlements that may apply based on the answers you select in our questionnaire.

1. Permanent, full-time Employment Contract

Full-time employees work at least 35 hours a week. Permanent positions do not have a pre-determined end date for employment.

2. Permanent, part-time Employment Contract

Part-time employees work less than 35 hours a week. Permanent positions don’t have a pre-determined end date for employment. This type of work arrangement is sometimes called a casual employment agreement because working hours can be sporadic and unreliable.

These employees should refer to the Employment of Part-Time Employees Regulations of the Employment Act for guidance on their employee entitlements.

3. Fixed-term Employment Contract

Fixed-term employees have an end date for their employment, as stated in their Employment Contract. As such, their employment automatically expires on this date and neither party needs to give any notice to terminate the working arrangement.

If the employee wishes to quit before the pre-determined end date, they should submit a formal letter of resignation. However, some employers may include repercussions in their Employment Contract when fixed-term employees terminate the agreement early.

What key terms does an Employment Contract template include?

Employers can clearly describe an employee’s role in an organisation by outlining important terms such as working arrangements, payment methods, benefits, and more in an Employment Contract.

LawDepot’s Employment Contract template gives employers the option to include the following key employment terms:

1. Employer and employee details

Provide the employer’s full name (or company name, if applicable), street address, and contact information. Describe the employee’s details as well, including their name, National Registration Identification Card (NRIC) number, mailing address, and other contact information.

2. Job title, duties, and responsibilities

Provide important details about the employee’s job, including their formal job title, a description of their main duties and responsibilities, their start date, and whether the position is permanent. If the job isn’t permanent, include an end date for the position as well.

Consider addressing other terms that are crucial for an employee starting a new position, such as:

  • Where the employee will work
  • What days they will work
  • How long their work hours will be
  • If there is a probation period and, if so, how long it is

Keep in mind that you can update this contract to reflect any changes as the employee gains work experience.

3. Remuneration

Describe the type of remuneration (i.e., financial compensation) being offered to the employee:

  • An hourly wage
  • A salary
  • Commission
  • An hourly wage plus commission
  • A salary plus commission

Be sure to include how often the employee gets paid. If applicable, you can also address an Annual Wage Supplement (AWS) or any other financial incentives that an employee can earn.

4. Types of leave and other benefits

Establish how many weeks of annual leave the employee can take. Consider giving part-time employees the option to encash their annual leave or public holidays. LawDepot’s Employment Contract template includes provisions for public holidays and other types of leave as well.  

Typically, employers should enrol the new employee in the Central Provident Fund. Describe this pension plan and any other applicable schemes that the employer offers.

Certain employees may also be eligible for benefits, such as retrenchment benefits. If these or any other type of benefits apply, you can address them in your Employment Contract.

5. Termination

Specify the minimum length of notice required to terminate the contract. Notice periods may vary depending on the length of employment. LawDepot’s Employment Contract template supplies the statutory minimums in our questionnaire to help inform your decision.

Why is it important to have key employment terms clearly stated in a contract?

Employers in Singapore are required by law to provide an employee with a record of key employment terms (KETs) within 14 days of their start date. 

It’s crucial for employees to understand their rights, roles, and responsibilities when accepting a job position. By expressly providing employees with a record of their key employment terms, employers can mitigate the risk of conflicts in the workplace. 

Although LawDepot’s Employment Contract covers many of the required KETs in detail, we also give employers the option to attach a separate sheet that summarizes these terms for quick reference. The Ministry of Manpower provides a sample KETs form that you can use to suit this purpose.

What restrictive covenants can I include in an Employment Contract?

A restrictive covenant is a contract term that prohibits employees from engaging in certain behaviour. An employer may reasonably restrict behaviours that they believe could put their company’s success at risk. For example, you can include the following clauses in an Employment Contract:

1. Non-competition clause

Also known as an exclusivity clause, this provision aims to prevent an employee from competing for business with their employer. This term may be in effect while the employee works for the company or for a certain length of time after they leave.

Typically, a non-competition clause prohibits the individual from:

  • Giving advice, money, or skilled labour to a competing business or individual
  • Directly competing for business as an owner, sole-proprietor, partner, or otherwise

2. Non-solicitation clause

This provision aims to prevent an employee from interfering in the employer’s relationship with other employees or contractors. Any such interference could be damaging to the business. A non-solicitation term may be in effect while the employee works for the company or for a certain length of time after they leave.

Typically, this clause prohibits the individual from:

  • Convincing an employee or contractor to quit
  • Discussing other employment opportunities with employees or contractors
  • Hiring an employee or contractor to work for a competing business

3. Confidentiality clause

Provisions about confidentiality address the fact that an employee may come in contact with sensitive or proprietary information that is the exclusive property of the employer. In this case, the provisions clearly define what constitutes confidential information and how the employee may use this data.

Typically, duties and obligations concerning confidential information include:

  • Protecting the information from unauthorized parties
  • Disclosing the information to third parties when appropriate

4. Conflict of interest clause

This provision addresses business opportunities that come to the attention of the employee. If the employee becomes aware of a business opportunity, they must inform their employer and get written permission to pursue the prospect. If the employee pursues the job without consent, this could be in conflict with the best interests of the company. 

While the other restrictive covenants are optional, LawDepot's Employment Contract template always includes a conflict of interest clause.

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