Rikvin is confident that the guide will help employees and employers quickly grasp and understand their rights and duties under an employment contract. This understanding would in turn enable both parties to negotiate fair and mutually-beneficial grounds for employment based on the Singapore employment act, Singapore’s fundamental labor law.

The Overview includes:

1. a brief explanation of the Singapore Employment Act as well as the parties it covers.
2. a brief explanation of what an employment contract is and what it should essentially constitute.
3. other important factors relating to an employment contract.

Rikvin’s guide also lays out eight salient features of an employment contract namely:

1. the designation title and job scope.
2. employee’s commencement date and employment period.
3. hours of work.
4. probation conditions.
5. remuneration package.
6. employee benefits.
7. code of conduct.
8. conditions for termination.

Commenting on the Overview, Mr. Satish Bakhda, Head of Rikvin’s Operations, said, “We have observed that many young entrepreneurs engaging our Singapore company registration services would like to draft fair Singapore employment contracts but do not know how to do so. Rikvin’s Overview of the Singapore Employment Act is a one-stop checklist that gives owners of small enterprises the most important components to draft fair employment contracts. On the other hand, the same guide provides an employee with a concise reference point with which he can check against the terms of his employment contract.”

Furthermore, the Overview is aligned with the recommendations laid out by the Tripartite Alliance for Fair Employment Practices. Drafting a fair employment contract is the first step to establishing a respectful working relationship with an employee, regardless of the type of Singapore work visa he is holding. A fair employment contract is also one of the first documents shared between an employer and a potential employee. As the contract is an extension of the company brand, it is then of utmost importance to begin the relationship on the right foot, even if it does not come to fruition.

To view the complete guide, please visit the Overview of the Singapore Employment Act page.

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Rikvin has unrolled a money back guarantee in the unlikely event of an unsuccessful application. Rikvin guarantees a partial refund of the fees paid by its clients if their application is rejected by MOM. It undertakes to refund the fees after deducting S$1000 for the drafting of Business Plan.

Singapore is evolving into an economic epicenter of the east, where the fast growing markets are located for almost any industry. Given the strategic location, competitive tax rates, world class infrastructure, efficient workforce, wide spanning networks of DTAs & FTAs, robust legal framework etc. Singapore is the most preferred location for the foreign companies and entrepreneurs striving to reach for and serve the regional markets. For foreign entrepreneurs, the EntrePass is a boon as it facilitates multiple entry and long-term stay of successful applicants, as it allows them to establish their venture and actively manage the daily operations of the business.

Elaborating on the money back guarantee Satish Bakhda of Rikvin (www.rikvin.com ) says “We take utmost care and we guide our clients to put their best foot forward, however some of our potential clients back out, from the process for the fear of loosing. This money back guarantee is a little effort from our side to coax irresolute first-timers to take the leap. We spare no effort to ensure the success of the EntrePass applications. In the initial screening process itself our expert consultants, review and advise clients on the probable outcome, and turn down potential failures. We have observed that young entrepreneurs, who often have very lucrative ideas, choose not to pursue doubting the outcome. We believe with this offer, such applicants will be reassured and give the process their best shot without much to loose, and only lot to gain”.

About EntrePass

It is jointly administered by the Ministry of Manpower (MOM) and the Standards, Productivity and Innovation Board (SPRING) of Singapore. SPRING assesses the viability of the proposed venture and MOM issues the EntrePass for successful applicants. In 2009 the investment threshold and certain other conditions were revised to raise the standard of applicants. EntrePass is granted to foreigners based on the feasibility and growth prospects of the proposed business. The EntrePass allows successful applicants’ families to live in Singapore. Dependant passes granted to immediate family members allow them to live, study and work and study in Singapore.

Applications are reviewed against a set of criteria that gauges the effective economic benefits that the proposed venture will bring to the country. Besides job creation for the locals another significant aspiration behind EntrePass is to foster innovation. Singapore as an enterprise hub is extremely receptive towards innovations and facilitates the commercialization of such ideas through several initiatives. Therefore, promoters of ventures that involve application of innovative technology or complement any existing technical innovation, or contribute to the growth of innovations stand a better chance of approval.

About Rikvin.com

Rikvin offers company incorporation for entrepreneurs worldwide. Established in 1998, Rikvin specialises in Singapore Company registration, Employment Pass, EntrePass and related corporate services. Those wishing to embark on Singapore EntrePass application proceedings can contact Rikvin at www.rikvin.com for a quick eligibility evaluation.

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1. A Diploma/degree from a reputable university
2. Related work experience
3. At least a minimum S$2,500 monthly salary
4. Professional qualifications and skills

These four factors play an important role for the approval of the Singapore Employment Pass.  However, the Ministry of Manpower may also base its decision on the reputation of the applicant’s company, his job responsibility, his age, and current citizenship.

Meanwhile, it is important to note that having a degree does not automatically mean that a person is qualified for an Employment Pass. He also needs to meet the criteria in terms of work experience and professional skills.  In fact, some foreigners may qualify for this work permit purely based on their highly impressive professional skills despite not meeting the educational criteria.

The validity of Employment Pass usually lasts a year or two.  During this period, individuals who have this work visa  can easily travel in and out of the country without any hassle.

Also, Employment Pass holders can apply for a permanent residence status just after six months of staying in Singapore, yhowever it is highly recommended that you apply after some years in Singapore.

Meanwhile, the Ministry of manpower will send a mail to the employers of the Employment Pass holders two months before the expiry date of the work permit.  After this, the holders should be able to submit their renewal application to the department four weeks before their permit expires.

One of the advantages enjoyed by the Employment Pass holder is that their family members can apply for the Dependent Pass and Long-term Visit Pass that will allow them to visit and stay in Singapore for a longer period.

Family members who are qualified for Dependent Pass:

• Spouse
• Unmarried children, including those who are legally adopted, aged under 21 years old

Family members who are qualified for Long-term Visit Pass:

• Spouse
• Parents
• Parents-in-law
• Handicapped children regardless of their age
• Unmarried children, including those who are legally adopted, aged under 21 years old

Dependent Pass and Long-term Visa Pass holders can enter and leave Singapore without having to apply for a visa as long as their relatives still continue their employment or business in the country.

Rikvin has helped thousands of professional and entrepreneurs secure their Singapore employment pass thru the formation of a Singapore company.  Upon successfully incorporating the local Singapore entity,  the work visa application will be submitted. There is no quota for work visa, so the approval is based on the company’s  own merits.

For more information on Singapore work permit, please visit:  http://www.rikvin.com/immigration-work-visas/

Rikvin provides cost-effective Singapore company formation, subsidiary incorporation, branch setup, representative office registration and related offshore company formation services in Singapore including accounting, tax, immigration, corporate bank account and related Company compliance services. Our services are designed to be efficient and cost-effective. Our aim is to relieve you of the burdens of statutory compliance and enable you to focus on running and growing your company business. If you do have queries, our friendly consultants are available to assist you with determining the best course for your business. Call us at +65 64388887 or email us.

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The survey, which aims to calculate the member countries’ Potential Net Migration Index (PNMI), was conducted among 350, 000 people in some 148 countries from 2007 to 2010.

To calculate each country’s PNMI, Gallup has subtracted the number of adults who wish to leave the country to the estimated number of people who wish to immigrate and work there.

Survey results showed that Singapore’s population would increase by 219 percent from 4.8 million to 15 million if everyone who wishes to work in the country were allowed in by the government.

Meanwhile, Rikvin, a Singapore company formation and migration specialists, which assists professionals in securing their work visa, said the influx of tourist will have a positive impact on the labour market in Singapore especially casino operators and industries which target visitors from abroad.

One of the major considerations cited by the respondents in choosing Singapore is its impressive gross domestic product (GDP) growth rate in the past five years, Gallup noted.

Singapore was followed by New Zealand (+184 percent), Saudi Arabia (+176 percent), Canada (+160 percent), and Australia (+148 percent) in the worldwide rankings.

On the other hand, the United States, which ranked 14th on immigration list, was still the preferred destination among workers. However, the concentration of people would definitely have less impact on the employment status of the would-be immigrants, the survey added.

Singapore’s neighbouring economic superpower Malaysia failed to make it to the Top 20 countries in the world as workers shy away from its lacklustre economy and worsening social divide.

The population of Malaysia, which ranked 21st in the overall immigration survey, would only increase by some 23 percent to more than 34 million, if the government will allow everyone to leave and enter as they pleased.

Also, Malaysia ranked only fourth in the most popular destination country in the Asia-Pacific region next to New Zealand (top two worldwide) and Australia, which ranked second and third most popular, respectively.

Meanwhile, despite strong economic output in the past three years, Asian economic superpowers like China and India registered a relatively low appeal to migrant workers, losing at least six percent or more than 1 billion of its population if workers were allowed to move freely by their respective governments.

The other Southeast Asian countries that were tagged as the worst destination for migrant workers include Laos (-9 percent), Vietnam (-21 percent), and the Philippines (-22 percent)

Due to decades of war and poor economic condition Sierra Leone, Haiti, and Zimbabwe were placed as the bottom three in the survey and could potentially lose more than half of its total population if migrants were allowed to move freely.

In view of the above, Rikvin predicts Singapore will open up its doors in 2011 to welcome the professionals and entrepreneurs to ensure that the country continue to have sustainable growth, and at the same time increase its productivity to ensure wages rises to a level where it is considered lucrative to workers and affordable to employers. Rikvin has successfully helped thousands of foreign entrepreneurs who wish to migrate to Singapore to run their company operation by securing their work visas using employment pass route once they have incorporated a Singapore company. Alternatively, professional who are interested to work in Singapore can apply for personalised employment pass (PEP), which is the most preferred route as they are not tied down to any employers.

For more information on company incorporation for foreign individual, visit http://www.rikvin.com/incorporation/ to learn more on work visas for Singapore, visit http://www.rikvin.com/immigration-work-visas/.

Rikvin provides cost-effective Singapore company formation, subsidiary incorporation, branch setup, representative office registration and related offshore company formation services in Singapore including accounting, tax, immigration, corporate bank account and related Company compliance services. Our services are designed to be efficient and cost-effective. Our aim is to relieve you of the burdens of statutory compliance and enable you to focus on running and growing your company business. If you do have queries, our friendly consultants are available to assist you with determining the best course for your business. Call us at +65 64388887 or email us.

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With this finding, employment experts said that any Singapore company should implement policies which can provide reasonable accommodations to older employees.
The study – covering some 100 companies, unions, and organizations in Singapore – said that companies are “not ready” for the implementation of the said labor law and that more effort is needed to provide proper consultations process among employees reaching the mandatory retirement age of 62.

In his speech during the National Day Observance ceremony, Minister Lim Boon Heng of the Prime Minister’s Office said that more than half of the firms surveyed have yet to put up structured consultation process while another 70 percent need to further enhance talks with their employees over the certainty of reemployment with their respective companies.

Minister Lim also noted that only 30 percent of the companies surveyed have already put up consultation processing for their employees, which includes reemployment offers three months before the retirement age. “The new legislation aims to give opportunity to older workers who want to remain economically productive even after their retirement age. But there are more work needed to further enhance its implementation,” the minister said.

But despite some “minor” setbacks prior to its full implementation in 2012, Minister Lim expressed confidence that the new law will pick up pace within the next few months, noting that majority of the employers and business owners in Singapore are well aware of the situation. “Many companies are yet to put up consultations with their workers. But, in line with the Tripartite Guidelines, many of the employers [roughly 60 percent] have already prepared several reemployment criteria for their older workers, including performance and medical fitness,” the official said. These companies have also prepared severance and assistance payment for those employees who will not be rehired, Lim said.

Based on the data given by the NTUC, at least 9,400 workers, above the age of 62, have already been reemployed by their respective companies. As of July 2010, the number of rehires has increased by 34.5 percent from 7,000 during the same period last year. Also, Minister Lim said that the number of companies with labor unions practicing the Tripartite Guidelines has reached record-high of 957 in July compared to 128 in January this year.

The minister also urged labor unions and workers’ group to continuously remind their companies about their responsibilities to older employees. Meanwhile, the country is facing a shortage of Singaporean workers which has forced the government to pass immigration policies including the Singapore Personalized employment pass (PEP) which encourage foreign professionals to get work visas in Singapore without securing a job.

Rikvin, a Singapore company incorporation specialists, has seen an increase in the application of PEP from foreign individual and has helped many secure their work visas. For more information, please visit: Personalised Employment Pass

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The rental rates for residential units are scaling the peaks in property prices, with rents for condominiums boosting a price hike of 5.8 per cent over the first half of 2010.
The Urban Redevelopment Authority (URA) has release data showing the surge in median rentals of non-landed residential properties to $32.41 per square metre (PSM) in May from $30.54 psm in January, while rental for units in the central region stands at an even higher price of $36.89 psm. Currently, the maximum monthly rental for non-landed residential properties in central Singapore stands at $114.58 psm.
Across Singapore, maximum rental swerves between $33.65 psm to $60.87psm. while minimum rentals varies between $10.18 psm to $14.36 psm.
Market watchers commented that this surge in residential rents is a direct result of an economy that is picking up as well as a strong property market. The rising number of property owners who increase rent in a bid to earn higher returns could be another contributing factor to the rental surge.

Mr James Nuben of Rikvin Corporate Services said that factors such as the increase in housing demand by more foreign individuals who incorporate a Singapore company, and relocate to the country, also adds to the rise in rental figures.

Rikvin Corporate Services specialises in Singapore company incorporation and the application of Employment Passes or EntrePasses for foreign individuals and companies.
“We get a large number of foreign businessmen looking to incorporate a company in Singapore and wanting to move here to run their operations because the quality of living is very good. Plus, more international companies are also setting up a presence in Singapore and bringing in more foreign talent, who will require accommodations,” said Mr Nuben.
“Business have started to relocate to Singapore and are bringing in a lot of foreign workers, which have increased demand for residential housing, as compared to the first half of last year, when companies were shedding staff,” confirmed Donald Han, managing director of Cushman and Wakefield.

However, Mr Colin Tan, head of research and consultancy at Chesterton Suntec International thinks otherwise – that the rental hikes are due to a sharp drop in housing supply. The number of demolitions conducted in the fourth quarter last year saw 1,441 units torn down compared to the 1,400 units available.
Mr Tan said that this is because there were more collective sales, resulting in more units disappearing. The demolitions caused a drop in the number of units – only 1,407 units, available for rent for the first quarter.

“The higher number of demolitions is probably a one-off effect. The numbers of demolished units returned to about 400 units-odd in the first quarter of this year. Rentals will increase as there are fewer units available and there is a high demand for them,” added Mr Tan.

On a brighter note, Mr Tan said he expects the rental hikes to stop climbing in the next few months.  However, Mr Han said Singapore’s economic growth will bolster rental prices, marking an increase of 5 per cent to 8 per cent by the end of the year. This increment makes it a good time for homeowners who want to lease out their properties to guard against volatile markets and inflation.  “Yields have risen slightly to 3 per cent to 3.8 per cent and are likely to go up over 4 per cent at the end of the year. With the low interest rate of 1 per cent to 1.2 per cent, this is a good time for residential yields,” said Mr Han.

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If you hold an Employment Pass, your spouse is eligible to apply for a Dependant Pass and thereafter to obtain a consent from the Ministry of Manpower (MOM) to work in Singapore.

Who is eligible to apply for an Employment Pass?

Any foreigner may apply for an Employment Pass to be employed or to do business in Singapore if he has acceptable tertiary/professional qualifications or his basic salary per month is above $2500.00.

What are the various different types of Employment Passes?

There are various categories of employment passes in Singapore.

Employment Pass P1 and P2

• For a P1 Pass, you need to have acceptable professional qualifications or specialist skills in a professional, administrative, executive or managerial capacity.
• You must have a basic monthly salary of more than S$7,000.
• For a P2 Pass, you need to be earning more than S$3,500 and up to S$7,000.
• With a P Pass, your spouse, adopted children and dependent children below 21 years of age may accompany you on Dependant’s Passes. Aged parents and parents-in-law can also visit a P Pass holder on long term social visit passes.

Employment Pass Q1

• For a Q1 Pass, you need to possess acceptable degrees, professional qualifications or specialist skills and earn a basic monthly salary of more than S$2,500.
• You may also obtain Dependant’s Passes for your spouse and children.

S Pass

• Applicants for S Pass will be assessed on a points system. The points system comprises four categories, namely, salary, educational qualifications, number of years of work experience and job type to enable a broader assessment of the applicant.
• Applicants chalk up points based on how far they meet the criteria. The points allocated for each category of criteria will vary over time depending on market conditions.
• To qualify for the S Pass, applicants must be paid a minimum monthly basic salary of S$1,800.
• S Pass holders with S$2,500 basic monthly salary may also obtain Dependant’s Passes for your spouse and children.

Singapore Visitors Entry Requirements

Singapore welcomes bonafide visitors. The visas are generally easy to obtain.

All travelers are required to go through immigration clearance on arrival into Singapore.

The granting of social visit passes to visitors is determined by the Immigration & Checkpoints Authority (ICA) officers at the point of entry. Visitors must satisfy the following basic entry requirements before they are allowed to enter Singapore:

• A passport with at least 6 months validity;
• Valid Singapore visa, if applicable;
• Sufficient funds to last for the intended period of stay in Singapore;
• Confirmed onward/return tickets (where applicable); and
• Entry facilities to their onward destinations, e.g. visas.

The period of stay granted is shown on the social visit pass endorsement given on the visitor’s passport. Visitors are advised to check their passports for the arrival endorsement and take note of the number of days stay given before leaving the checkpoint.

All visitors on social visit passes are not permitted to engage in any form of business, profession, occupation or paid employment while in Singapore.

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The report said that Singapore takes justifiable pride in a 40-year development strategy that has enabled the economy to move up the value chain by adopting measures to respond to the changing global economy. The report said that Singapore has consistently strive to facilitate WTO business and the evolution of the Doha negotiations. Singapore’s trade regime reflects its embrace of globalization.  Tariffs are applied on only six tariff lines. Non-tariff barriers do not exist except for those consistent with WTO rules related to universal public policy interests of health, safety and security. Singapore also has one of the most liberal services regimes in the world. Singapore’s liberal investment regime and predictable, transparent and market friendly policies have enhanced Singapore’s attractiveness as an investment destination. Singapore is also one of the most open economies for the movement of business people.

Commenting on the remarks of the analysts Ms. Ragini Danvantray of Rikvin Consultancy says,

“Singapore reacts to the challenges of globalization by constantly reinventing itself through policy adaptations which are friendly, proactive, transparent and viable for enterprises of all sizes. It attempts to create a level playing ground and ensures its resources are efficiently shared, and also accelerate liberalization. Pervasive integrity, stable governance, adherence to international best practices promotes trade, investment and overall a thriving enterprise friendly ecosystem. This is the reason why many international companies choose to establish their regional headquarters here and many start ups find it the best launching pad for their ventures.”

Rikvin consultancy provides highly professional company incorporation services, both in attractive standard packages as well as customized services. Online incorporation being a hallmark service, other services of Rikvin include.

• Offshore Incorporation
• Singapore Immigration -EntrePass / Employment Pass
• GST Registration
• Accounting Services
• Tax Planning & Consulting
• Business Plan Drafting

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The service will generate the most basic information like the name of the company, ROC no., Registered Office Address, Business activities as enumerated in the company profile, and the officers of the company. Since the data is just the first level information it will however not serve as market research tool. Search for companies based on the location will generate records based on the registered office address of the companies, while the actual address of the business operation may differ.

The fee is $30 for every 200 records range generated and an additional $30 is payable for every incremental 200 records. Upon successful payment, an email will be sent to the user within 3 working days, with the URL link to view, print and download the information. The information can be downloaded via Bizfile when it is ready at http://www.bizfile.gov.sg > Information Services > Check Status for Paid Transaction. The URL will be available within 3 working days and the URL will expire in 48 hours from payment date and time.

Welcoming the new effort of ACRA, Ms. Ragini Dhanvantray CEO of Rikvin Consultancy which is offering seamless immigration and company incorporation services says ” This is a testimony to the competence of Singapore Government and its agencies and their endeavour to enable enterprises to function more efficiently. Information is of utmost value in the knowledge based economy and the ease, accuracy and timeliness in which such information is retrieved is crucial for businesses in modern economy. They cannot afford to wait or guess and their resources have to be aptly deployed, this service will not only help the already established business community but for aspiring entrepreneurs who wish to setup their business here, just by few clicks and a moderate price they will be able to get a preview into the market, no doubt it’s a welcome value added service from the regulatory body.

Singapore is ranked 1st for the ease of doing business in Asia (World Bank report: “Doing Business 2007: How to Reform”) and 1st for being the least bureaucratic place for doing business in Asia (Political and Economic Risk Consultancy, June 2006). These are remarkable testimonial to Singapore’s reputation as the ideal location for any business.

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The leniency of the tax regime is the prime motivator to do business in Singapore. The city state in line with its reputation for being pro enterprise constantly reviews and revises its tax structure to sustain its competitiveness in the region. A territorial taxation policy has been adopted in Singapore, by this only income earned in Singapore or received in Singapore is subject to tax. Since June 2003 foreign sourced dividends, branch profits and service income received in Singapore is tax exempt, provided:

The income was remitted from countries with a headline tax rate of at least 15%.

The income was subject to some form of tax in the foreign country.

Singapore offers one of the lowest corporate tax rates globally, the effective tax rate of 20% on chargeable income has been further reduced by 2% to 18% commencing from YA2008. Also effective from EA2008 newly incorporated Singapore companies will enjoy a full-tax exemption on $100K annual profits during the first three years of their business. Moreover, all companies will enjoy a partial tax exemption that will bring tax rate to about 9% on annual profits of up-to $300K.

Apart from the above direct benefits in terms of the proportion of taxable income, rate reduction and exemptions there have been significant developments which will indirectly benefit the enterprises.

With effect from YA2006, a loss carry back system was introduced whereby losses of up to $100,000 incurred by the company in the current year can be carried back for one year. The one tier system introduced in 2003, rules that the income tax, payable on the normal chargeable income of a company is a final tax in Singapore and the dividends received by the shareholders will not be subject to tax again. By means of the group relief scheme a company is able to utilize loss items of another company within the same group to offset its current year assessable income.

Companies resident in Singapore immensely benefit from the extensive Double taxation Agreements (DTA) that Singapore has endorsed. A company is consideredresident in Singapore if the control and management of its business is exercised in Singapore. A resident company is entitled to the benefits conferred under the Avoidance of Double Taxation Agreements (DTA) that Singapore has concluded with treaty countries. DTA serves to relieve double taxation of income earned in one country by a resident of the other country as it clearly enunciates the rights and jurisdiction of treaty partners over the income derived from cross border activities.

Ms. Ragini Dhanvantray CEO of Rikvin Consultancy which is offering a seamless immigration and company incorporation services says,

“ The prudential policies of the government, a lenient tax regime and the robust infrastructure and enterprise pro attitude of the Government have all made Singapore an attractive place to run a business and it is not only the big enterprises that are profiteering from the regime but also the start up SMEs are set to benefit by the tax management which would otherwise be too taxing on their modest cash flows. ”

Read more on Singapore Tax Rate

• [ Singapore Corporate Tax Rates ]
• [ Singapore Personal Income Tax ]
• [ Singapore Non Resident Tax Rates ]

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