Proposal for Prohibition against Attendance Bonus which is a Disincentive for Employees Taking Medical Leave

Mr Louis Ng Kok Kwang asked the Minister for Manpower with regard to the proposed legislation on workplace discrimination which the Government is considering (a) whether the Government will consider including a prohibition against attendance bonus, which is a disincentive for employees taking medical leave when they are sick; and (b) if not, why not.

Mr Speaker, I refer the Member to MOM's earlier reply to Dr Shahira Abdullah and Mr Leon Perera on 14 February, where we explained that the Tripartite Guidelines on Fair Employment Practices (TGFEP) already require employers to appraise and remunerate employees in a fair and objective manner, taking into consideration the employees' performance and contributions. Attendance-related incentive schemes that consider sick leave utilisation are contrary to this principle. Companies should therefore review and make adjustments where necessary.

From next year onwards, the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) will engage and advise employers who still continue with such schemes to stop doing so. If they continue with the practice, TAFEP will recommend to MOM to take enforcement action, which could include the suspension of work pass privileges.

The Tripartite Committee on Workplace Fairness is deliberating on the scope and design of legislation to enshrine the TGFEP in law. The key objective of this new legislation is to provide a strong statement against workplace discrimination and broaden the range of actions that can be taken when workplace discrimination on the basis of characteristics such as age, nationality or race occurs.

Together with tripartite partners, we adopt a range of approaches, such as guidelines and education, that are effective in addressing various workplace issues. It is not necessary to rely on legislation as a solution to every workplace issue.

Thank you, Sir. I thank the Senior Minister of State for the reply. I just worry that if we just leave it as guidelines, it does not show that we are placing enough importance on this issue. There are workers that are out there who are sick, who are going back to work, so that they can get these attendance-based incentives. And I think the Government has to step in here to show that we are putting a strong importance on this issue and to protect our workers, so that at least when they are sick, they can get enough rest.

I think we can do that through legislating this into the upcoming legislation on workplace discrimination.

Sir, in my main reply, I already said that from next year onwards, the TGFEP will deem such actions as contrary to the principles of the TGFEP. So, TAFEP will engage employers and recommend that they stop doing so or we will take suspension of work pass privileges as an enforcement action on employers who continue to do this practice.