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

Hiring a part-time employee in Singapore may be something both companies and workers may be increasingly looking for. Companies can tap on part-timers to continue operations while keeping overheads in check, as well as potentially increasing or decreasing working hours and costs based on their needs. 

Certain types of employees may also prefer to this flexibility in managing their careers and personal time. Rather than staying out of the workplace altogether, part-time arrangements can optimise their time spent working and earning an income.

Hiring part-time employees, though, may introduce key differentiation from full-timers -and these are mainly detailed under the Employment (Part-Time Employees) Regulations

Read Also: Contract of Service VS Contract for Service: What’s The Difference Between These Two “Employment” Relationships?

Payment requirements when hiring part-time employees

#1 Part-Time Employees Are Also Covered Under Singapore’s Employment Act

Singapore’s Employment Act provides protection to all types of employees, including those who are full-time, part-time, temporary and contract employees. Such persons are all considered to be under a contract of service.

The Employment (Part-Time Employees) Regulations is an additional consideration employers need to take note of when hiring part-time employees.

Read Also: 5 Things You Need To Know About Allowing Your Employees To Take A Second Job

#2 Who Is Considered A Part-Time Employee?

While both full-time and part-time employees are protected under the same Employment Act in Singapore, a part-time employee is typically someone who is under a contract of service to work less than 35 hours a week.

Employers’ contract of service for their part-time employees must specify

  • Hourly basic rate of pay
  • Number of working hours per day or per week
  • Number of working days per week or per month
  • Hourly gross rate of pay (which includes allowances, that have to be separately itemised)

Read Also: 12 Things Employers Need To Include In An Itemised Payslip

#3 Are CPF Contributions Required For Part-Timers?

This one is filed under the CPF Act. Employers need to make CPF contributions for their part-time, casual, temporary and contract employees, as long as they earn more than $50 a month.

While the same CPF contribution rates apply to both full-time and part-time employees, the actual contributions may vary depending on the individual employee’s age and total wages in the month.

Employees who earn less than $500 will not have to make their employee CPF contributions, and employees who earn more than $500 but less than $750 will have to make lower employee CPF contributions. In both instances, this does not change the employer’s CPF contribution rates. 

Read Also: Complete Guide To Employer’s CPF Contributions In Singapore

#4 Calculating Overtime Pay For Part-Time Employees

Hours that exceed a part-time employee’s normal daily working hours in their contract will be taken as overtime work.

Part-time employees are entitled to their basic hourly pay for overtime work that exceeds their normal working hours but is less than a full-time employee’s normal working hours. However, if your part-time employee works beyond a full-time employee’s normal working hours, they are entitled to 1.5x their basic hourly rate.

If Hours WorkedOvertime Pay
Exceeds daily working hours but is less than a full-time employee’s normal working hoursAt basic hourly rate of pay
Exceeds a full-time employee’s normal working hoursAt 1.5x basic hourly rate of pay
Source: Ministry of Manpower (MOM)

For example, your part-time employees have a basic hourly rate of $10 per hour, and work 4 hours a day. Your full-time employees work 8 hours a day. If a part-time employee works 10 hours for that day, he or she is entitled to overtime pay of (4 hours X $10) + (2 hours X $10 X 1.5).

Where there is no full-time employee in your company to reference, a “similar full-time employee” will be deemed to work 8 hours a day and 44 hours a week.

Read Also: How To Calculate Overtime Pay For Your Employees During The Month

#5 Calculating Pay For Work On Part-Time Employee’s Rest Days

Part-time employees are entitled to 1 rest day per week, if they are required to work for at least 5 days a week. This can fall on any chosen day by the employer. However, if the rest day is not a Sunday, employers have to prepare a roster informing employees of their rest days before the start of each month.

If part-time employees work on rest days, their entitled pay depends on whether the request came from you (the employer) or them (the employee). If you require them to work on their rest days, they have to be paid at a higher rate.

If Work Is DoneAt Employer’s RequestAt Employee’s Request
Up to half their normal working hours1 day’s salary at basic rate of pay½ day’s salary at basic rate of pay
More than half their normal daily working hours2 days’ salary at basic rate  of pay1 day’s salary at basic rate of pay
More than their normal daily working hours and up to normal hours of full-time employees2 days’ salary at basic rate of pay + basic hourly rate of pay1 day’s salary at basic rate of pay + basic hourly rate of pay
More than normal hours of full-time employees2 days’ salary at basic rate of pay + basic hourly rate of pay + 1.5x basic hourly rate of pay1 day’s salary at basic rate of pay + basic hourly rate of pay + 1.5x basic hourly rate of pay
Source: Ministry of Manpower (MOM)

For example, your part-time employees have a basic hourly rate of $10 per hour, and work 4 hours a day. Your full-time employees work 8 hours a day. If a part-time employee works 10 hours on their rest day at their employer’s) request, he or she is entitled to: (2 days X 4 hours X $10) + (4 hours X $10) + (1.5 X 2 hours X  $10).

Read Also: Overtime Pay; Work Hours; Rest Days: Majority Of White-Collar Workers Are Not Protected Under Part IV Of The Employment Act

#6 Leave Entitlements For Part-Time Employees

Part-time employees are entitled to the same leave entitlements given to full-time employees. This includes paid annual leave and sick leave. Eligible parents also qualify for maternity leave, paternity leave and childcare leave.

Their pay while on leave will be pro-rated based on the similar full-time employee.

Annual Leave Formula:

Sick Leave Formula:

Childcare Leave Formula:

The government will continue to provide Government-Paid Childcare Leave (GPCL). This is also subject to providing a minimum of 2 days.

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

Maternity Benefits

Female part-time employees are entitled to be paid for each day that she would ordinarily have been required to work at her gross rate of pay. The government will continue to provide Government-Paid Maternity Leave (GPML).

Read Also: 17 Types of Leaves Offered By Singapore Companies (Statutory And Non-Statutory)

#7 Medical Benefits For Part-Timers

Employers must pay medical consultation fee for their part-time employees as well. This is subject to part-time employees being 1) covered under the Employment Act; 2) completing at least 3 months of service; 3) granted at least one day of paid sick leave; and 4) the medical certificate (MC) was issued by a public medical institution or appointed by you (the employer).

Read Also: Medical Benefits That Businesses Have To Legally Provide For Their Employees In Singapore

#8 Calculating Part-Time Employees’ Pay Entitlement For Public Holidays

Similar to full-time employees, part-time employees are entitled to public holidays. 

Part-time employees should get paid for each public holiday in Singapore. Part-time employees are entitled to a pro-rated pay based on the number of hours they work:

For example, your part-time employees work 20 hours a week (4 hours a day). Your full-time employees work 40 hours per week (8 hours a day). Here’s how the formula will be calculated: [(20 X 52 weeks) / (40 hours X 52 weeks)] X [11 Public Holidays a year in Singapore] X [8 hours] = 44 hours for all 11 public holidays.

Therefore, part-time employees should be paid 4 hours for each public holiday. 

#9 Pay For Working On Public Holidays For Part-Timers

If you (employers) need your part-time employees to work on public holidays, you should pay them their pay entitled for public holidays + basic rate of pay for 1 day’s work + 1 day’s travel allowance if included in the contract.

Read Also: How Much Employers Have To Pay Employees For Working On A Public Holiday?

#10 Formula To Derive Hourly Basic Rate Of Pay For Monthly-Rated Employees

If you pay your part-time employees on a monthly basis, this is how you should calculate their hourly basic rate of pay, especially for the computation of annual leaves and public holidays.

Source: Employment (Part-Time Employees) Regulations

As you may be able to tell, this formula will be more fair for the computation above as hours are counted over the entire year rather than on a monthly basis.

Subscribe To The DollarsAndSense Business Pass

Enjoy what you are reading and want more? Join The DollarsAndSense Business Pass and unlock access to valuable tools, exclusive networking opportunities, and tap into the wisdom of industry experts to fuel your business expansion!


134 Shares:
You May Also Like