Few employment topics generate as many questions from Singapore employers as leave. Getting it wrong can lead to underpaid entitlements, disputes with staff and, in some cases, enforcement action by the Ministry of Manpower (MOM). This guide sets out annual leave, sick leave and childcare leave entitlements in Singapore in plain terms, so that business owners and HR teams can check their practices against the baseline rules.
Raffles Corporate Services works with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice. This article is general information only and is not legal advice.
Understanding annual leave, sick leave and childcare leave entitlements in Singapore starts with one point: the statutory figures are minimums. Employment contracts can be more generous, but they cannot fall below what the law requires.
Who this applies to
The Employment Act covers most employees working under a contract of service in Singapore, including managers and executives. Certain groups, such as public servants, domestic workers and seafarers, are outside its scope. Part-time employees are covered too, although their entitlements are calculated on a pro-rated basis.
Childcare leave sits under a different law, the Child Development Co-Savings Act, and applies to working parents of eligible children. Employers of any size are affected, whether the company has two staff or two hundred, and whether the employees are Singapore citizens, Permanent Residents or foreign workers holding an Employment Pass, S Pass or Work Permit. Citizenship matters only for the child’s eligibility under childcare leave, not for the employee’s entitlement to annual or sick leave.
Key rules and requirements in Singapore
Annual leave
An employee who has worked for at least three months is entitled to paid annual leave. The statutory minimum is:
- 7 days for the first year of service;
- an additional day for each subsequent year of service;
- a cap at 14 days from the eighth year onwards.
Where an employee has served less than a full year, leave is pro-rated according to the completed months of service. Many employers offer more than the minimum, particularly for executive and professional roles, and the contract will govern in that case. If an employee leaves before using all of the leave earned, the employer should pay for the unused portion, calculated on a pro-rated basis for the part of the year served. Where an employee is dismissed for misconduct after investigation, different considerations may apply, so check the details before making a decision.
Paid sick leave
After three months of service, an employee is entitled to paid sick leave, provided the absence is supported by a medical certificate from a registered doctor or dentist. The entitlement builds up over the first six months:
- 3 months of service: 5 days of outpatient sick leave and 15 days of hospitalisation leave;
- 4 months: 8 and 30 days;
- 5 months: 11 and 45 days;
- 6 months onwards: 14 days of outpatient sick leave and 60 days of hospitalisation leave in total each year.
The 60-day hospitalisation figure includes the 14 days of outpatient leave, so it is not a separate additional block. Sick leave is paid at the employee’s gross rate of pay. An employer may still require a medical certificate before approving paid sick leave, and an employee who is absent without notice or without a valid certificate may lose the right to be paid for that period.
Childcare leave
Working parents with a Singapore citizen child under seven years old are entitled to six days of paid childcare leave per year, once they have served the employer for at least three months. Parents of Singapore citizen children aged seven to twelve may take extended childcare leave of two days a year. These entitlements are per parent, so both parents can claim if each is employed.
Childcare leave is separate from annual leave and sick leave. An employer should not require an employee to use up annual leave first, and should not treat childcare leave as a favour that can be refused. It is a statutory right. Employers may ask for reasonable notice, but should apply the policy consistently.
Step-by-step process
A simple process helps ensure compliance and avoids misunderstandings later.
- Review each employment contract against the statutory minimums and note any more generous terms.
- State the leave entitlements clearly in the Key Employment Terms (KETs) that MOM requires employers to issue within 14 days of the start of employment.
- Set up a leave record for each employee, showing entitlement, leave taken and balance carried forward.
- Agree on a leave application procedure, including notice periods and who approves requests.
- Document how sick leave is reported, including the deadline for submitting a medical certificate.
- Apply the same policy to all staff and review it annually, particularly when new employees join or when anniversaries trigger higher entitlements.
Payroll should reflect leave correctly. Annual and sick leave are paid at the normal rate, and CPF contributions continue to apply to wages paid during the leave period. Where payroll is outsourced, share the leave policy with the provider so that deductions and payouts are processed accurately.
Common mistakes to avoid
- Treating managers and executives as exempt from the Employment Act, when many of them are covered.
- Counting hospitalisation leave as an extra 60 days on top of outpatient leave.
- Requiring employees to use annual leave when they are ill or when they need childcare leave.
- Forgetting to pro-rate entitlements for new joiners and leavers.
- Leaving leave terms out of the employment contract or the KETs, which makes disputes harder to resolve.
- Failing to keep accurate leave records, which are the first thing MOM will ask to see in a complaint.
Practical examples
Consider an employee who joins on 1 March and has served five months by the end of July. If she is hospitalised in August, she has reached the sixth month of service and her full sick leave entitlement is available from that point. Had the hospitalisation happened in July, her entitlement would have been 45 days, not 60.
Take another employee in his third year of service. His statutory annual leave is 9 days. If his contract promises 14 days, the contract prevails, because it is more favourable than the law. If he resigns in June, the employer should work out how much leave he has earned for the months served that year, deduct what he has already taken, and pay out the balance.
Finally, a mother of a six-year-old Singapore citizen child who has been with her employer for a year may take up to six days of childcare leave. If she takes two days in January, she has four days remaining for the rest of the year. Those days do not reduce her annual leave.
How a corporate secretary can help
Leave policy sits at the intersection of employment law, payroll and corporate governance. A corporate secretary in Singapore can help directors understand their obligations as employers and keep the supporting documents, such as employment contracts and board approvals for policy changes, in order. Raffles Corporate Services can also assist with payroll support, CPF contributions, accounting and tax, as well as ACRA and IRAS filings, so that leave entitlements are reflected consistently across your company’s records.
Absence without approved leave or a medical certificate is handled differently; see employee absent without leave: employer steps.
Frequently Asked Questions
Do part-time employees get annual leave?
Yes. Part-time employees who have served at least three months are entitled to leave on a pro-rated basis, based on their working hours compared with those of a full-time employee.
Can an employer refuse to approve annual leave?
Employers may decline specific dates for business reasons, but they must ensure employees are able to take their entitlement. Where an employer insists that leave is taken at a particular time, the employee should receive reasonable notice.
Can unused annual leave be carried forward?
The Employment Act does not require carry-forward. Whether unused leave carries over, expires or is paid out during employment depends on the contract or company policy, which should be written down clearly.
Is a medical certificate always needed for sick leave?
Paid sick leave is generally conditional on a medical certificate from a registered doctor or dentist, or other medical practitioner recognised by the employer. Companies may set a procedure for short absences, but should check that it is consistent with the Employment Act.
Does childcare leave apply to foreign employees?
It applies where the child is a Singapore citizen and the employee meets the service requirement. The employee’s own nationality is not the test.
Key takeaways
- Statutory leave entitlements are minimums, and more generous contract terms prevail.
- Annual leave starts at 7 days and rises by one day a year to a cap of 14 days.
- Paid sick leave reaches 14 days outpatient and 60 days hospitalisation after six months of service.
- Childcare leave of six days a year is available for parents of Singapore citizen children under seven.
- Clear contracts, accurate records and consistent practice prevent most disputes.
Requirements may change, so always check the latest guidance from ACRA, IRAS or MOM, or consult a professional adviser.
If you would like to find out more about how Raffles Corporate Services can assist with your company’s compliance and corporate secretarial requirements, please get in touch with the team at [email protected].
Yours sincerely,
The editorial team at Raffles Corporate Services
Disclaimer: This does not constitute legal advice. If you require legal advice, please contact a lawyer.