As an expat considering a move to Singapore, one of the fundamental decisions you’ll face is whether to be seconded by your current employer or to sign a new employment contract directly with a Singaporean entity. While both paths lead to working in Singapore, they carry distinct legal implications that can significantly impact your rights, benefits, and long-term security.
At its core, a secondment (or intra-company transfer) means you remain an employee of your full-time employer located elsewhere, but are temporarily assigned to work in Singapore. Your primary employment relationship, and often your benefits and long-term career path, remain tied to your original company.
Conversely, entering into a new employment contract in Singapore means you formally resign from your original employer and become a direct employee of a Singapore-based entity (which could be a subsidiary of your current company or an entirely new organisation). Your employment relationship, rights, and obligations are then primarily governed by Singapore law.
The decision between a secondment and a new employment contract is not one-size-fits-all. It hinges on your personal circumstances, career aspirations, and the specific terms offered by your employer. Whilst secondment may provide greater job stability due to continued ties with your full-time employer, a new employment contract may provide more certainty when navigating through employment terms, and basic employment rights.
Expats in Singapore must be proactive in understanding the legal implications of the decision to be seconded into Singapore or to establish a new employment contract. Legal advice can make all the difference in safeguarding your employment rights for a conducive working environment in Singapore.
Do reach out to us at Legal Expat if you require professional advice. We have a team of qualified lawyers that can assist you. Email us at: info@legalexpat.sg or drop us a WhatsApp at: +65 8093 4393 if you require assistance.