How To Calculate Annual Leave And Sick Leave Entitlements For Part-Time Workers

Hiring part-timers has become more accepted and is even encouraged to help companies cope with the tight labour market while giving more flexible work options to would-be employees. To be considered a part-timer, the worker must be hired under a contract of service to work less than 35 hours a week.

Just like full-time employees, part-time employees are entitled to employee benefits and protected under the same Employment Act in Singapore. This includes annual leave and sick leave entitlements.

Read Also: Part-Time Employment Regulations: 10 Things To Know When Hiring A Part-Timer

How To Calculate Annual Leave Entitlements For Part-Time Workers

Part-timers are entitled to paid annual leave once they have completed at least 3 months of service. This is prorated in proportion to the yearly entitlement of a similar full-timer.

Source: MOM

For example, a part-timer works 21 hours a week (7 hours for 3 days). A similar full-timer works 44 hours a week (8 hours for 5.5 days). Assuming that the full-timer’s leave entitlement is 14 days, here’s how to calculate the leave entitlement for the part-timer:

[(21 hours x 52 weeks) ÷ (44 hours x 52 weeks)] × 14 days of annual leave for full-time × 8 hours per day for full-time = (1092 ÷ 2288) × 14 × 8 = 53.4 hours or 7.6 days based on the part-timer’s normal working hours of 7 hours a day.

Note: the year is computed on a 52-week basis and not 12-month-basis. As both MOM and the Employment Act round the figures to 1 decimal place, our calculations follow the same accordance.

Read Also: Complete Guide To Understanding Annual Leave Entitlements In Singapore

Part-Time Workers Can Forgo Annual Leave And Encash It As Part Of Their Hourly Pay

Instead of taking annual leave, part-timers can also choose to encash their earned annual leave and add it to their hourly gross rate of pay. This must be agreed by the employer and clearly stated in the contract of service.

For part-timers who work only a few hours a week, forgoing annual leave entitlements may make more sense than computing and taking annual leave. However, this option is not applicable for workers who work at least 5 days a week and from 30 to 34 hours a week. As they work less than 35 hours a week, they are still considered part-timers, but they cannot choose to encash their leave to incorporate to their hourly gross pay.  

Here’s how to calculate the increase in hourly pay due to the incorporation of encashed annual leave:

Source: MOM

For example, a part-timer’s leave entitlement is 7 days or 49 hours and his weekly working hours is 21 hours a week. His hourly pay is $10.

[49 hours ÷ (21 hours × 52 weeks)] × $10 = (49 ÷ 1092) × 10 = $0.45

By forgoing his annual leave entitlement, the part-timer’s hourly pay rate will increase to $10.45 per hour.

Note: the year is computed on a 52-week basis and not 12-month-basis. As both MOM and the Employment Act round the figures to 2 decimal place, our calculations follow the same accordance.

Read Also: How To Calculate Leave Encashment Or Salary-In-Lieu Of Notice Period For Your Employees

How To Calculate Sick Leave Entitlements For Part-Time Workers

Part-timers are also entitled to paid sick leave and hospitalisation leave if they have completed 3 months of service and are covered by the Employment Act. Sick leave entitlements cannot be encashed.

Here’s the formula to calculate sick leave entitlements:

Source: MOM

For example, a part-timer works 21 hours a week (7 hours for 3 days). A similar full-timer works 44 hours a week (8 hours for 5.5 days). Assuming that the full-timer’s sick leave entitlement is 14 days and hospitalisation leave is 60 days, here’s how to calculate the leave entitlement for the part-timer:

[(21 hours x 52 weeks) ÷ (44 hours x 52 weeks)] × 14 days of sick leave for full-time × 8 hours per day for full-time = (1092 ÷ 2288) × 14 × 8 = 53.4 hours or 7.6 days based on the part-timer’s normal working hours of 7 hours a day.

[(21 hours x 52 weeks) ÷ (44 hours x 52 weeks)] × 60 days of hospitalisation leave for full-time × 8 hours per day for full-time = (1092 ÷ 2288) × 60 × 8 = 229.1 hours or 32.7 days based on the part-timer’s normal working hours of 7 hours a day.

Part-Timers Are Also Entitled To Medical Reimbursement

In addition to sick leave and hospitalisation leave, part-timers are also entitled to medical reimbursement if they are eligible for it.

Employers must pay for medical consultation fees if the part-timer:

  • Is covered by the Employment Act
  • Has completed at least 3 months of service
  • Is granted at least one day of paid sick leave
  • Has a medical certificate (MC) issued by a medical practitioner from an approved public medical institution or appointed by the company.

However, employers are not required to grant paid sick leave or reimburse medical consultation fees for cosmetic procedures. Whether a procedure is for cosmetic purposes would be determined by the doctor performing the examination.

This article was first published on 19 May 2022.

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