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NEWS · MOM · Foreign manpower

Domestic-worker agency fees: early-termination refund option

MOM publication date:

Announcement and status

From 1 June 2022, the announced policy required agencies to offer at least 50% of employer-paid service fees back when an MDW’s employment ended within its first six months. It covered up to three workers placed by the same agency with the employer; replacement could be requested instead where offered.

Case details and examples

Exceptions included administrative-only service without matching, employer employment-law breaches or offences against the worker, and a caregiving need that no longer existed. Employers had to notify the agency before termination so both parties could explain the reasons and improve the next match.

Official advisory and follow-up

The annex’s examples below distinguish one three-month placement, a subsequent eight-month placement, three short placements and hiring a fourth worker. A placement lasting beyond six months or engaging a fourth worker removes the entitlement described in those scenarios, including earlier service fees. The official current policy link is retained.

Annex: refund scenarios

1st MDW2nd3rd4thRefund described in annex
3 months———Eligible: first placement ends within six months
3 months8 months——Not eligible: second exceeds six months, including earlier fees
3 months3 months3 months—Eligible: all three end within six months
3 months3 months3 months3 monthsNot eligible: fourth hired through same agency

These are the official annex’s historical examples, subject to the policy’s exceptions and notice requirement.

Official attachments and further guidance

Official source

This report is independently written from the MOM release dated above. Case status, policy announcements and historical figures refer to that release.

Read the complete MOM release ↗

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