Coronavirus aka Covid 19 in Singapore
Covid 19 also known as coronavirus has affected every citizen in Singapore one way or another.
From April 7 2020, Singapore was placed on circuit breaker. Many Singaporeans have also referred to it as a lockdown as many things had to stop. All non essential services had to stop all work. This meant that Singapore’s economy was placed on a standstill.
Due to the lack of revenue, companies have resort to cost cutting measures. This means retrenchment, putting people on no pay leave and even firing of people. Especially since circuit breaker in Singapore which is suppose to end on May 4 is now extended to June 1.
Retrenchment happens when the company is trying to reduce cost during economic difficulty. Due to Coronavirus and the Circuit Breaker, it comes at no surprise that it will lead to retrenchment.
In Singapore, the prevailing norm is to provide retrenchment packages ranging from 2 weeks to 1 month’s salary for each year of service. In fact, in practice it is normal to receive 1 month’s salary for each year of service. This means that if you have work 3 years, the market rate for retrenchment package is 3 months salary.
However, what you actually receive will depend on your company. If you are working for an SME, you can expect to receive much lesser. Afterall, the company is trying to reduce cost, they may not be willing to give a big retrenchment package.
Retrenchment during Covid 19
Retrenchment during Covid 19 means that you will have cash to tide you over the circuit breaker period. However, this also means you have to be very careful with your spending. Yes, you have the money to pay your bills for 2 months. But what’s most crucial is what happens after June 1.
It will not be easy to find a new job. Companies are trying to get back on their feet. They may not be actively hiring staff. This will make your job hunt very tough. If you did not set money aside for rainy days, your retrenchment package is the only thing to tide you through this period.
Be prepared to take on jobs that you previously will never have consider. You can take on part time jobs while trying to find a job in your previous trade.
No Pay Leave during Coronavirus
Being put on no pay leave during circuit breaker can drive a person insane. Even if you are not going out and eating in every day, there are still bills and expenses to be paid. Your bills still require payment. Your day to day food expenses require cash.
MOM has recommend companies to not put staff on no pay leave. In order to assist companies during this crisis, please refer to the picture below.
Many people have started doing delivery jobs. For example, delivering of parcels and food. Food deliveries are currently booming as people can only eat at home. Instead of cooking the same food daily, people have turn to ordering their favourite food. If you are on no pay leave right now, you can consider looking for part time jobs like these.
Another way you can go about this is to talk to your employer. Try to negotiate something with your boss and see how they are able to help you during this period.
Fired during Covid 19
Being fired during a crisis is the last thing anyone wants to receive. You will face problems with your bills for the next few months. You may not be able to find a job at all despite life going back to normal.
If you have been affected, please know that our government is doing everything they can to help tide us over. Please apply for the necessary assistance if you have been affected. If you are unsure of your eligibility, you can check it out on the websites.
If you are working in essential services, thank you for continuing to serve everyone. We are truly grateful to all your sacrifices trying to keep us safe and fed in every way possible.
Thank you to all doctors and nurses working around the clock treating people who are affected by the virus.
Thank you to all delivery riders keeping everyone well fed and rushing to bring the food to us.