Companies to face harsher penalties if taking of medical leave is part of employee appraisal

GeneralMarch 03, 2022 10:17

Manpower Minister Tan See Leng said on Feb 14 that it is not fair practice to appraise or pay workers based on how much medical leave they use and employers will need to make adjustments to be in line with the Tripartite Guidelines on Fair Employment Practices.

This issue was raised in a Facebook Post by President Halimah Yacob, who commented on how low-wage workers should be paid better so they are not reliant on work incentives such as $100 attendance allowance if they went on medical leave. Incentivising workers to take fewer medical leave is also prevalent in some industries in Singapore.

"As a matter of principle, if an employee is unwell, he should seek medical attention, firstly for his own well-being, and secondly, for the well-being of his co-workers…To the extent that attendance incentive schemes discourage the taking of sick leave, even if unintentionally, it contradicts the overriding principle to protect the well-being of workers," said the Manpower Minister.

Furthermore, firms that continue to have attendance-related incentives that include medical leave utilization could face harsher enforcement action such as a suspension of work pass privileges in 2023.

Adding on to the harsher penalties against errant firms which continue to have attendance-related incentives, Minister of State for Manpower Koh Poh Koon said on 28 Feb that,"The Tripartite Committee on Workplace Fairness is deliberating on the scope and design of legislation to enshrine the Tripartite Guidelines on Fair Employment Practices (TGFEP) in law…The key objective of this new legislation is to provide a strong statement against workplace discrimination and broaden the range of actions that can be taken when workplace discrimination on the basis of characteristics such as age, nationality or race occurs." 

Some companies have since switched to providing wellness benefits.

What other benefits could be in place to support the well-being of workers and encourage higher productivity?