Term Contracts in Singapore: Safeguard Your MOM Benefits Before You Sign

Term Contracts in Singapore: Safeguard Your MOM Benefits Before You Sign

When Contract Workers Become the Real Lifters

If you thought your regular office crew was running on fumes, meet the contract crew – working just as hard but often left high and dry on perks. The MOM is stepping in to end the exploitation saga.

Leave Benefits That Don’t Suck

  • Annual Leave – 7 days for the first year, plus 1 day for every year that follows, topping out at 14 days. If the contract is shorter than a year, prorate it. (If your boss is giving you just 7 days, she’s basically playing a pity game.)
  • Sick Leave – at least 14 days, with a 60‑day option for hospital stays. If you’re sick and the job’s still on your plate, you’re not guaranteed a paycheck.
  • Family Leave – maternity, paternity, adoption, childcare and extended childcare. Contract staff deserve the same family joys – not the “no benefits” nightmare.

One Contract, One Life

Some unscrupulous employers bite the trend of chopping contracts into tiny 3‑month slices. That’s a sham! If a new contract kicks in within a month of the old one ending, MOM says, treat it as a continuous contract. So, no loophole shenanigans – you’re one career, not a 30‑piece jigsaw puzzle.

Notice Periods – Because “Will I Be Gone?” Isn’t Fun

Stale employment anxiety is real. The new guidelines set a clear timeline:

  • Below 26 weeks – 1‑day notice.
  • 26 weeks to 2 years – 1-week notice.
  • 2 to 5 years – 2‑week notice.
  • Beyond 5 years – 4‑week notice.

Remember, “you’ll be there or you’ll just be days away” isn’t corporate jargon. The notice period framework wants everyone to head‑butt plans in time.

Bottom Line – Contract Worker Rights Checklist

  • If the contract is ≥3 months, you’re entitled to leave perks.
  • If the new contract starts within a month of the last one, it counts as one continuous tenure.
  • For any contract >26 weeks, you deserve a fair notice period: 1 week for 26 weeks‑2 yrs, 2 weeks for 2‑5 yrs, and 4 weeks for 5 + yrs.

Have you ever worked as a contract employee? Drop your tale below and let us know if your employer ever played these rules like a prank.

MoneySmart.SG (published under “Financial literacyjobsworkplace etiquette.”)