Enhanced Family Benefits and Retrenchment Support for Employees in Singapore

Posted by Written by Ayman Falak Medina Reading Time: 2 minutes

The Singapore government has introduced significant updates to Employment Law, aimed at providing better support for employees and their families. These changes include enhancements to paternity and shared parental leave as well as a new financial support scheme for retrenched workers.

As Singapore continues to adapt to evolving workforce needs, these updates reflect a commitment to creating a more family-friendly environment while also safeguarding workers facing involuntary unemployment.

Employers will need to adjust their policies and manpower planning to align with these new regulations, ensuring compliance and support for their employees.

Additional paternity leave

Working fathers are entitled to two weeks of paid paternity leave. Since January 1, 2024, employers were encouraged to grant an additional two weeks of paternity leave voluntarily.

From April 1, 2025, this will become mandatory, meaning that working fathers with children born on or after April 1 will be entitled to four weeks of paternity leave.

Enhanced shared parental leave

Currently, eligible working mothers could share up to four weeks of their paid maternity leave with their spouses.

From April 1, 2025, shared parental leave will now be increased to six weeks and this will be increased to 10 weeks from April 1, 2026.

The government will fund the new shared parental leave, up to a cap of S$2,500 (US$1,933) per week.

Further, employers should be aware of the following additional requirements:

  • The new shared parental leave is in addition to maternity leave and parental leave;
  • The shared parental leave must be taken within 12 months of the child’s birth;
  • The employee must give a minimal four weeks’ notice before applying for shared parental leave; and
  • Parents have the flexibility of reallocating their share of the SPL to each other.

Once an employee has verified their shared parental leave, the employer can submit reimbursement claims via the Government-Paid Leave Schemes portal.

Support for retrenched workers

The Singapore government will introduce a new SkillsFuture Jobseeker Support Scheme from April 1, 2025, to provide financial support for involuntarily unemployed workers. Over six months, the amount will be up to S$6,000 (US$4,640). Involuntary reasons include retrenchment, business closure, dismissal, or termination due to illness, injury, or accident.

To qualify, workers must have earned up to S$5,000 or less within the last 12 months. The applicant must also demonstrate that they are proactively searching for a job. Further details of the scheme will be issued next year.

Conclusion

As these changes come into effect, employers should take the necessary steps to update their internal policies, ensuring compliance and providing their workforce with the support they need.

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