Can employment agreements be backdated in Singapore?
Yes, to a certain extent, and provided it is within the same month.
We strongly recommend against inter-month backdating. (Inter-month backdating means we backdate to the previous month.) Velocity Global cannot accommodate this as this will incur penalties from the Central Provident Fund Board for late lodgment of contributions for Singapore citizens and permanent residents.
Can a supported employee work before their start date?
This depends on the nationality of the supported employee and whether they have work rights in Singapore. If they do not have work rights, they cannot work before their start date and before they obtain work rights (i.e., Employment Pass) in Singapore. If a Singapore citizen or permanent resident supported employee commences work before their contractual start date, we should amend their start date where possible.
Can we pay the salary in a different currency than the local currency?
Salaries must always be paid in Singapore Dollars (SGD) to ensure fluctuation of currency does not affect the supported employee and you. Velocity Global can only facilitate payments in SGD to a Singaporean bank account.
Should we classify our talent as a contractor or an employee?
There is no statutory definition of an independent contractor in Singapore, and courts use a multi-factor test to determine if someone is an independent contractor or not. Before making a decision, the courts will consider all factors, including:
Factors Indicating Independent Contractor/Principal Relationship
Factors Indicating Employee/Employer Relationship
|There is explicit mention in the contract regarding independent contractor status and the intention of the parties||The employer determines how the work is performed|
|Independent contractor sets his/her own schedule||The employee has an ongoing expectation of work|
|Independent contractor bears financial risk for making profit or loss on each task, and he/she has his/her own insurance policy||The employee is obliged to work for only that employer|
|Independent contractor uses his/her own tools and equipment||The employer supplies the employee with tools and equipment or a tools allowance|
|Independent contractor submits an invoice for work completed||The employee is paid regularly
The employee is paid overtime pay, if applicable
The employer has the right to dismiss, suspend, or discipline the employee
The employee receives paid leave or loading in lieu of leave