HR Employment Contract

Are you a new start-up company in Singapore?  Are you familiar with the Singapore Employment Act?  Are you aware of the difference between a Contract of Service and the Contract for Services?  What is the requirement for the different contracts?

(1) What is Contract of Service?

Contract of Service is an agreement for a relationship where a company agrees to hire a person as an employee for the company.  It is an agreement between both parties for an employer and employee relationship.  Employer and employee must abide to the terms and conditions stated in the agreement till the terms are changed or when the employer or employee terminates the contract. An agreement which includes the employment conditions, roles and responsibilities, compensation and benefits plan.

Are you aware that that with effect from 1st April 2016, the key employment terms must be issued in writing to employees that are covered by the Employment Act?

What are the different employment terms for a full-time employee and a part-time employee?

When to issue a fixed term or a contractual term contract of service?


(2) What is Contract for Services?


Contract for Services is not an employment contract.  It is a contract to provide services which is a client and contractor relationship agreement.  A Contract for Services is a legal binding agreement before business and a self-employment individual or a vendor is engaged for a fee to carry out an assignment or a project.  An individual who signed a Contract for Services is not covered under the Employment Act and statutory benefits do not apply to the individual. 



When to issue Contract for Services? When to issue Contract of Service?  When to issue fixed-term or contractual term contract? When to issue a full-time of part-time contract? Do give SmartSelect a call or drop us an email. We will be able to advise you on the right contract for employment to be issued and we will be able to draft a contract for your company.

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