Training and redeployment
During a downturn, employers should examine ways to retain staff while keeping the business viable. Training and skills upgrading may qualify for absentee payroll support. SkillsFuture training support, redeployment programmes and other grants can help. Where business changes are structural, enlarge, enrich or restructure roles and redeploy or rotate employees with the necessary training.
Shorter weeks and temporary layoffs
These arrangements are recommended alternatives under the tripartite advisory, rather than a reason to disregard contractual obligations. Review the arrangement with employees and any relevant union. A flexible work schedule is another option, subject to its separate approval requirements.
| Arrangement | Duration | Salary and leave |
|---|---|---|
| Shorter work week | Reduce work by no more than 3 days a week; a 3-day reduction is for severely affected businesses. Keep the arrangement within 3 months. | For non-working days, MOM indicates at least 50% of gross salary may be paid. Employers may ask staff to use up to 50% of earned annual leave. |
| Temporary layoff | Normally no more than 1 month per instance, subject to review; a facility shutdown or a company-wide arrangement may be involved. | MOM indicates at least 50% of gross salary may be paid for layoff days; up to 50% of earned annual leave may be requested. |
Other cost measures and assistance
If conditions are extremely poor or uncertain over the longer term, employers may consider adjusting annual increments, the monthly variable component or other allowances. No-pay leave is a last resort. The official managing-excess-manpower study contains company examples. Employees can seek job-search help from SWDA Careers Connect and NTUC e2i career centres.