Appraising or remunerating employees based on sick leave goes against guidelines: MOM

APPRAISING and remunerating employees based on their taking of sick leave goes against existing Tripartite Guidelines on Fair Employment Practices (TGFEP), said Manpower Minister Tan See Leng on Monday (Feb 14).

This was in a written reply to parliamentary questions from Nominated Member of Parliament Shahira Abdullah and Workers' Party MP Leon Perera.

Perera had asked MOM to consider mandating that companies suspend the practice of giving employees an attendance allowance if they do not take medical leave, and instead incorporate such allowances into base pay, given public health concerns in the current Covid-19 climate.

He also asked for safeguards to ensure sick employees are not disincentivised to take medical leave when necessary.

In January, a pest control technician was sentenced to jail for refusing to be swabbed for Covid-19, as he feared losing his S$100 monthly attendance allowance if he went on medical leave. The case highlights a "common employment practice that can be detrimental to workers", President Halimah Yacob said in a Facebook post then.

On Monday, Dr Tan clarified that the tripartite guidelines "require employers to appraise and remunerate employees in a fair and objective manner, taking into consideration the employees' performance and contributions".

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"For the avoidance of doubt, we will make clear that appraising or remunerating employees based on consumption of sick leave entitlement goes against this principle. The tripartite partners will clarify this point to all stakeholders," he added.

MOM does not collect data on the prevalence of attendance-related incentive schemes, said Dr Tan.

While these schemes might have aimed to deter malingering or instil a more disciplined workforce, they should not be seen as a reasonable or fair practice since they contradict the overriding principle to protect the well-being of workers, he added.

"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."

The tripartite partners have been actively working with companies that have these schemes to restructure them into productivity and welfare schemes that do not take into account sick leave, he added.

MOM will also work with other trade associations and chambers to clarify the understanding of the TGFEP. Companies will be given some time to review and make adjustments where necessary.