HRSINGAPORE Community Discussions


Transfer of Employment - Update 1


QUESTION 

Dear All

We have two employees of whom their employment will be transferred to another company due to restructuring. Their existing terms will be kept as-is. Do we need to draft a whole new employment contract? Or simply just give them an addendum?

And is there anything else that we need to take note of?

Appreciate your advice. Thank you.

CM

 


REPLY 1

A new LOE under the new company is needed. But with a clause mentioning that the join date will be treated as <first join date> since it is a transfer.

Michelle

 


REPLY 2

Is good to re-sign another new employment contract with full details. However, you may state that no probationary period is required and is employed as confirmed staff. Also, do clearly state the transferred date from earlier Company for easy reference in the future.

Season

 


REPLY 3

Yes, new employment contracts need to be drafted accordingly, since key employment terms like the Company (registration no.etc) will be changed as well.

Also, under Contract Law, the agreement needs to be binding for both parties (i.e. Employer & Employee). If no new contracts are issued, agreements may not be valid.

Michelle

 


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