Reviewing Treatment of Variable Remuneration and Earnings Across Pay Scheme Computations to Ensure Consistent and Equitable Treatment of Employees

Ms Yeo Wan Ling asked the Prime Minister and Minister for Finance (a) whether regular sales commissions are included in the computation of Government-Paid Maternity Leave benefits; (b) if not, why may such regular remuneration be excluded when similar variable earnings are recognised in National Service Make-Up Pay computations; and (c) whether the Government will review these frameworks across agencies to ensure consistency and equitable treatment of male and female employees.

Government-Paid Leave Schemes are meant to support working parents who need to take time away from work to care for their children, by ensuring that they receive income during the period of child-related leave without unduly burdening employers financially.

The remuneration for Government-Paid Leave Schemes is computed based on an employee's gross rate of pay, which is aligned to how compensation for other statutory entitlements such as annual leave and sick leave are calculated. This does not include payments associated with additional work done or business outcomes, such as bonus payments and productivity incentive payments. Whether payments such as those termed "regular sales commissions" qualify as part of gross rate of pay depends on whether they fall within such exclusions.

We will continue to work with Tripartite Partners to study feedback and suggestions on how to better support working parents who take child-related leave.