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A Guide to New FWA Guidelines for Singapore SMEs from Dec 2024 

Starting December 1, 2024, Singapore will see a significant shift towards supporting flexible work arrangements (FWAs), as mandated by the newly established Tripartite Guidelines. At Counto, we understand the intricacies these changes bring, particularly for SMEs, and are here to help you navigate through them effectively. Here’s a breakdown of what you need to know:

Understanding the Scope of FWAs

The definition of FWAs has broadened considerably beyond the commonly known remote or hybrid models, which gained popularity during the COVID-19 pandemic. The new guidelines also encompass:

  • Flexi-time: This includes options like staggered work hours and flexible workdays, allowing employees to start and end their work at non-standard times.
  • Flexi-load: Options such as part-time work and job-sharing are also recognised, providing employees the possibility to share job responsibilities or reduce their workloads.

These flexible options are designed to cater to diverse employee needs and help businesses retain talent in a competitive market.

Formal FWA Request Process

For an FWA request to be considered formal, it must be submitted in writing. Employers are encouraged to set up straightforward processes, possibly through a digital work portal or direct email to a supervisor. The request should include:

– The date of the request

– Type of FWA desired

– Duration and frequency of the arrangement

– Reason for the request

– Proposed start and end dates

Employers must respond to these requests within two months, offering a written decision. Should a request be denied, reasons must be strictly business-related, such as cost implications or feasibility concerns.

Building a Cooperative Environment

While the guidelines mandate employers to consider FWA requests, the decision ultimately rests with them, based on business viability. However, it’s crucial for employers to engage in open discussions with their employees to explore possible alternatives if the initial request cannot be accommodated.

Resolution Mechanisms

In instances of disagreement or non-compliance with the guidelines, employees are advised to use their company’s internal grievance handling mechanisms. 

Unionised workers can seek further assistance from their unions, and all others might approach the Tripartite Alliance for Fair and Progressive Employment Practices (Tafep) for guidance.

Continuous Support and Resources

To aid in the implementation of these guidelines, Tafep and the Institute for Human Resource Professionals will provide ongoing training and resources. These are set to be available from May 2024 and can be accessed through the Tafep website.

The Importance of Flexibility in Today’s Market

With Singapore’s tight labour market, adopting flexible work arrangements can significantly enhance a company’s attractiveness as an employer. Studies indicate job postings with such options draw considerably more applicants, showcasing the value potential employees place on flexibility.

Summary 

As we approach the implementation date, it’s vital for all businesses, especially SMEs, to embrace this shift with a strategic approach. 

As a small business owner, familiarise yourself with these guidelines, prepare to integrate them into your operational strategies, and make your business a preferred choice for the modern workforce.

Experience the Counto advantage

Counto is the trusted provider of accounting, tax preparation and CFO services for startups and SMEs. Get accounting plans that combine bookkeeping with corporate tax filing to help you stay compliant at an affordable price. To learn more, speak to us directly on our chatbot, email us at [email protected], or contact us using this form.

 

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