Overtime Pay in Singapore: A Comprehensive Guide
Working overtime is often a necessary aspect of jobs in Singapore. It's crucial to understand your rights and how overtime pay is calculated. This guide offers a comprehensive overview of overtime pay in Singapore, addressing common questions and clarifying the regulations under the Employment Act.
How Much Extra Money Will I Get Paid for Overtime?
Overtime pay in Singapore is dictated by the Employment Act. The amount received is influenced by several factors:
Eligibility
- Overtime pay is applicable to non-workmen earning up to SGD 2,600 per month and workmen (manual laborers) earning up to SGD 4,500 per month.
In Singapore, overtime pay regulations under the Employment Act specify that non-workmen are eligible for overtime pay if they earn up to SGD 2,600 per month, while workmen (manual laborers) qualify if they earn up to SGD 4,500 per month.
Overtime Pay Rate
The overtime pay rate is 1.5 times your hourly basic rate of pay.
In Singapore, under the Employment Act, eligible employees receive overtime pay calculated at 1.5 times their hourly basic rate of pay.
The formula used is:
Overtime Pay = (Hourly Basic Rate of Pay × 1.5) × Number of Overtime Hours Worked
Calculating Your Hourly Basic Rate
- Monthly-rated employees: (12 × Monthly Basic Rate of Pay) / (52 × 44)
- Daily-rated employees: Daily Pay at the Basic Rate / Working Hours Per Day
Example Calculation
An employee earning SGD 2,600 per month works 2 hours of overtime:
- Hourly basic rate: (12 × 2600) / (52 × 44) ≈ SGD 13.60 per hour
- Overtime pay: SGD 13.60 × 1.5 × 2 = SGD 40.80
Additional Considerations
- Rest Days and Public Holidays: Work on these days is included in the overtime limit and paid accordingly with specific rules depending on the hours worked.
- Maximum Overtime Hours: Generally limited to 72 hours per month, unless exemptions are approved by the Ministry of Manpower (MOM).
What is Considered Overtime Work in Singapore?
Overtime is defined as any work exceeding your usual or contractual hours, excluding breaks and meal times. This often means exceeding 8 hours a day or 44 hours a week.
Eligibility for Overtime Pay
- Non-workmen earning up to S$2,600 per month.
- Workmen earning up to S$4,500 per month.
Managers, executives, domestic workers, statutory board employees, and civil servants are generally exempt.
Maximum Overtime Hours
Employees cannot work more than 12 hours a day, except in emergencies or essential services, with a cap of 72 overtime hours per month.
Special Conditions
Overtime on rest days or public holidays entails additional calculations and higher pay rates.
Maximum Overtime Hours Allowed Per Month
The maximum allowed overtime is 72 hours per month.
The maximum allowed overtime is generally 72 hours per month, with exceptions permitted under specific conditions requiring approval from the Ministry of Manpower.
Are Part-Time Workers Eligible for Overtime Pay?
Yes, part-time workers are eligible if their earnings meet the criteria (non-workmen earning up to $2,600, workmen earning up to $4,500) and they are covered under the Employment Act.
Part-time workers in Singapore are covered under the Employment Act, but their eligibility for benefits is not based on the salary criteria of $2,600 for non-workmen and $4,500 for workmen.
Overtime pay is calculated at 1.5 times their hourly basic rate.
Overtime Pay for Public Holidays and Rest Days
Overtime pay calculations differ for public holidays and rest days. Refer to the detailed breakdown provided earlier in this guide.
Which Employees Are Not Eligible for Overtime Pay?
- Managers and Executives: Generally exempt.
- Employees exceeding salary caps: Non-workmen earning over SGD 2,600 and workmen earning over SGD 4,500.
- Certain Categories of Workers: Seafarers, domestic workers, statutory board employees, and civil servants.
Can Employers Offer Time-Off Instead of Overtime Pay?
No, employers cannot substitute overtime pay with time off for employees covered under Part IV of the Employment Act. For those not covered, it depends on the employment contract.
Is Overtime Pay Mandatory for All Companies?
No. Overtime pay is mandatory only for eligible employees as defined by the Employment Act.
What to Do If Your Employer Refuses to Pay Overtime
- Verify Eligibility: Ensure you meet the criteria.
- Calculate Overtime Pay: Accurately calculate the amount owed.
- Review Your Contract: Check for relevant clauses.
- Communicate with Your Employer: Explain the situation and provide evidence.
- Seek Mediation (TADM): Consider mediation through the Tripartite Alliance for Dispute Management.
- File a Claim (ECT): File a claim with the Employment Claims Tribunal if necessary.
- Contact MOM: Report the issue to the Ministry of Manpower.
Overtime Pay for Shift Workers
Overtime pay for shift workers is calculated at 1.5 times their basic hourly rate for hours exceeding the average of 44 hours per week over 3 weeks. Higher rates apply for work on rest days and public holidays.
| Day Type | Pay Rate |
|---|---|
| Normal Workday (Overtime) | 1.5x Hourly Rate |
| Rest Day | Double Daily Rate + Overtime |
| Public Holiday | Double Daily Rate + Overtime |
This guide offers a general overview. For specific details, consult the Employment Act and the Ministry of Manpower's website.
