If a current or former employee has taken a salary or wrongful dismissal claim to the Tripartite Alliance for Dispute Management (TADM) and mediation has not resolved it, the next stage is the Employment Claims Tribunals (ECT) at the State Courts. For the employer, this means preparing a defence with documents: the employment contract, payslips, attendance and leave records, and any correspondence about the dispute. ECT claims are capped at S$20,000, or S$30,000 if the employee’s union filed for them. Settlement remains possible at any stage, and is often the cheapest outcome.
How a claim reaches the tribunal
- TADM first. Salary-related claims and wrongful dismissal claims generally start with TADM, which tries to resolve them by e-negotiation and mediation.
- Claim referral. If mediation fails, the employee can proceed to the ECT.
- The ECT hears the case. The tribunal is designed for parties to present their own case.
If the employer did not take TADM seriously, the dispute reaches the tribunal with positions already hardened. Our guide to preparing for a TADM mediation covers that first stage.
The claim limits
According to TADM, an employee can claim up to S$20,000 through this route, or S$30,000 where the union files on the member’s behalf. An employee who wants to claim more than the cap would need to go to court, usually with a lawyer. For an employer, this means a claim at the ECT has a known maximum, which helps when weighing settlement.
Preparing the employer’s case
| Claim type | Records that matter |
|---|---|
| Unpaid salary or allowances | Employment contract and Key Employment Terms, payslips, payroll and bank records, any agreed salary changes in writing |
| Overtime | Whether the employee is covered by the Act’s overtime rules, timesheets or attendance records, overtime approvals |
| Leave or public holiday pay | Leave records, public holiday work records and how they were compensated |
| Notice pay or wrongful dismissal | Termination letter, notice period in the contract, performance or misconduct records, inquiry notes and the reason for dismissal |
| Deductions | The legal basis for each deduction and any written consent |
Prepare a short chronology, a calculation of what you accept is owed (if anything), and copies of every document you rely on. Tribunals decide on evidence; an employer without payslips or attendance records is at a disadvantage.
Settle or defend?
- Settle where the records are weak, the amount is modest, or management time and reputational cost outweigh the claim. Record any settlement in writing, with a clear release.
- Defend where the claim is not supported by the contract and records, or where conceding would set a precedent for other staff.
- Pay what is clearly owed straight away in any case. Late salary is also a criminal offence under the Employment Act: see when late salary becomes a criminal offence.
Example
Example only, not a client case. A former sales executive claims three months’ commission of S$9,000 and one month’s notice pay. The company’s commission plan says commission is earned only when the customer pays, and two of the deals were never paid. The employer accepts one month’s commission and the notice pay, pays those amounts before the hearing, and defends the rest with the commission plan, the customer payment records and the employee’s signed acknowledgement of the plan.
How Raffles Corporate Services helps
We keep payroll, CPF and leave records for many clients, so we can reconstruct the calculations, produce the payslip and payment history, and prepare the document bundle quickly. Where the dispute involves dismissal, discrimination or a claim above the tribunal limit, we refer the employer to a firm on our panel of Singapore law firms.
Frequently asked questions
Can the employer send a lawyer to the ECT?
The ECT is designed for parties to present their own cases. Check the current State Courts rules on representation for your hearing; legal advice before the hearing is always possible.
What if we ignore the claim?
The tribunal can decide without you. An order in the employee’s favour can then be enforced against the company.
Can a director be named personally?
The claim is normally against the employer, which for most businesses is the company. Separate criminal liability for late salary is a different question, covered in our guide above.
More guides on the employment hub.
Facing an Employment Claims Tribunal claim?
If your company, or you as a director, is dealing with an employee claim at TADM or the ECT, contact the Raffles Corporate Services team at [email protected] or on WhatsApp at +65 8501 7133 or +65 9018 0072. We will help you understand the documents and deadlines and prepare the payroll records and calculations. Where your matter needs a lawyer, we will refer you to a firm on our panel of Singapore law firms that regularly handles employment disputes. Raffles Corporate Services is a corporate services provider, not a law firm, and this article is general information, not legal advice.
The Raffles Corporate Services Editorial Team