Hire employees and contractors in Singapore
Outstaffer’s guide to employing in Singapore.
Facts & stats
Singapore, officially the Republic of Singapore, is a sovereign island city-state in maritime Southeast Asia. According to the World Economic Forum’s Global Competitiveness Report 2019, Singapore is the world’s most competitive economy, having overtaken the United States.
Singapore also ranks highly on the United Nations’ Human Development Index (HDI) and finds a place among the top 10 countries in per capita nominal GDP, as estimated by the International Monetary Fund.
- Capital city
- Singapore
- Currency
- Singapore dollar
- Official Languages
- English, Malay, Mandarin, & Tamil
- Population size
- 5,850,342 (est. Dec 2020)
- Ease of doing business
- Very Easy
- Cost of living index
- $$$$ (11 of 139 nations)
- Payroll frequency
- Monthly
- VAT - standard rate
- 7%
- GDP - real growth rate
- 3.1% (2018)
Tech Talent in Singapore
Singapore has established itself as a hub for tech talent in Southeast Asia. The country boasts a highly skilled community of software developers, engineers, and IT professionals. Singaporean universities and educational institutions provide top-notch technical education, and the city-state's strategic location and business-friendly policies have attracted a thriving ecosystem of tech startups and multinational tech companies. Singapore's commitment to research and innovation, as well as its world-class infrastructure, make it an attractive destination for tech talent. Singaporean tech professionals are renowned for their expertise, innovation, and adaptability, contributing significantly to the country's status as a regional and global tech powerhouse.
Grow your team in Singapore with Outstaffer
Looking to employ workers in Singapore? Companies hiring in Singapore must either own a legal entity in the country or work with a global employment solutions provider, usually one that provides employer of record services.
Outstaffer can employ your team in Singapore on your behalf through our local legal entity in the country and handle payroll, benefits, taxes, and compliance for your Singapore team. You can also pay contractors now in Singapore with Outstaffer.
Minimum wage
There is no statutory minimum wage in Singapore, with two exceptions. Cleaners employed in the cleaning sector must have a minimum wage of SGD 1,200 per month, and security guards must have a minimum wage of SGD 1,100 per month.
Payroll cycle
All employee payments are made bi-monthly by Outstaffer.com on your behalf and passed through to you.
Onboarding time
We can help you get a new employee started in Singapore fast. The minimum onboarding time we need is only 5 working days.
Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Outstaffer platform. The onboarding timeline is also dependent upon registration with local authorities.
For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.
Please note, payroll cut-off dates can impact the actual first day of employment. Outstaffer has a payroll cut-off date of the 10th of the month unless otherwise specified.
Employing in Singapore
The primary sources of employment law in Singapore are the Employment Act and common law. Other sources of employment law include the Child Development Co-Savings Act, the Employment of Foreign Manpower Act, the Work Injury Compensation Act, and the Workplace Safety and Health Act.
Singapore’s employment law provides strong labor conditions and protections for employees, so employing workers in the country is an important investment and commitment. Temporary agencies are popular options in certain industries.
To employ workers in Singapore, contact Outstaffer to learn more about your options.
Risks of misclassification
Public holidays
Jan 1
New Year's Day
Apr 22
Hari Raya Puasa
Dec 25
National Day
Jan 23
Chinese New Year
May 1
Labour Day
Dec 25
Christmas
Jan 24
Chinese New Year
Jun 3
Vesak Day
Dec 26
Deepavali
Apr 7
Good Friday
Jun 29
Hari Raya Haji
Competitive benefits package in Singapore
Outstaffer supports our clients by offering competitive benefits packages that will help you attract and retain the best talent across the globe! Our benefits specialists have done the research on norms and requirements in each local market and have crafted packages that will allow your employees to thrive, no matter what country they live in.Our benefits packages in Singapore are tailored to fulfil the local needs of your employees. Typically, our packages contain some or all of the following benefits:
Private health insurance
Supplemental dental insurance
Supplementary vision insurance
Supplemental maternity insurance
Supplemental screening & vaccine insurance
Additional paid holidays
Flexible work schedule
Employee engagement funds
Taxes in Singapore
Learn how employment taxes and statutory fees affect your payroll and your employees’ paychecks in Singapore.
Employer
- Up to 0.25% - Skills Development Levy (SDL)
- 9% - 17% - CPF (Pension)
- Up to 17.25% Total Employment Cost
Employee Payroll taxes
- 7.5 - 20% - CPF (Pension)
- 7.5 - 20% Total Employee Cost
Employee Income Tax
- 0 - (Up to 20000)
- 2.0% - (20000-30000)
- 3.5% - (30000-40000)
- 7% - (40000-80000)
- 11.5% - (80000-120000)
- 15.0% - (120000-160000)
- 18% - (160000-200000)
- 19% - (200000-240000)
- 19.5% - (240000-280000)
- 20% - (280000-320000)
- 22% - (320000 and above)
Types of leave
Statutory leave
All full-time workers are legally entitled to a minimum of seven days of annual leave after completing three consecutive months at a company. After that, one additional day must be added per year until reaching 14 days after completing seven years at the company. However, it is common for employees to receive 14 to 20 days of annual leave. Additionally, full-time employees receive 11 paid public holidays every year.
Pregnancy and maternity leave
Expecting mothers are entitled to 16 weeks of pregnancy leave as long as they have been employed for more than 3 months prior to giving birth and the child is a Singapore citizen. Companies are not allowed to terminate employment during this period.
For the first two children, the compensation for the first 8 weeks is paid by the employer and the remaining balance can be reimbursed by the government. For the third child onward, all 16 weeks of maternity leave is reimbursed by the government.
Maternity leave is 12 weeks if the child is not a citizen of Singapore.
Paternity leave
Fathers are entitled to a paternity leave of two weeks in Singapore. In order to meet the requirements of government-paid paternity leave, the child must be a Singapore citizen and the father must have been legally married to the mother between the conception and birth of the child. Paternity leave is applicable even when the child is adopted, as long as the child is a Singapore citizen. Managers earning more than SGD 4,500 per month are covered by specific terms of the employment contract.
Other leave
Work-Related Injury Leave: The employer covers costs for all work-related injuries that an employee suffers, either directly or through insurance. As per the Work Injury Compensation Act (WICA or WIC), the employee must receive 100% of their average monthly earnings in the 12 months prior to the disability for 14 days, if not hospitalized. After 14 days, they shall receive 66.7% of this average monthly compensation. From September 1, 2020, there is a mandate from the government that all work-related medical leave must be reported to the Ministry of Manpower. Note: As of January 1, 2021, all WIC insurance policies must be issued by a designated insurer and must comply with the Ministry of Manpower’s compulsory terms.
Employment termination
Termination process
As per the employment act in Singapore, either party can give the other a notice to terminate the contract of employment. In the event of a termination of a local employee, the employee’s salary must be paid on the last day of employment.
In case the employee resigns without notice and no notice period is served, the employee’s salary for the period he or she worked must be settled within 7 days of the last day of employment. In case of termination due to misconduct, the employee’s salary must be settled on the last day of employment. However, if this is not possible, the employee must be paid within 3 business days.
Notice period
The statutory notice period in Singapore depends on the duration of employment.
- One day of notice for less than 26 weeks of employment
- One week of notice for employees who have worked with the company for more than 26 weeks and less than 2 years
- Two weeks of notice for employment of over two years and less than five years
- Four weeks of notice for over five years of employment
Probation periods
In Singapore, probation periods are not mandatory, but common practice is from three to six months.
Get started with Outstaffer in three easy steps
01. Book a call or sign up
Book a call with one of our Solutions Managers or create your free account. It’s quick, easy, and you’ll be ready to get started in minutes.
02. Add your people
From new hires to your existing team, onboard them seamlessly with our simple-to-use self-serve platform
03. Dedicated onboarding
Our dedicated team is here to guide you every step of the way ensuring you’re confident, supported, and set up for success.