Employees Making Restitution for Damage or Loss of Property Caused at Workplace by External Individuals

Dr Tan Wu Meng asked the Minister for Manpower (a) whether there is available data on the number of cases over the past three years of employees being asked to make restitution for property at the workplace which has been damaged or stolen by external individuals when this requirement is not explicitly stated in the employee's terms and conditions of employment; and (b) if data is available, what is the outcome of these cases.

The Ministry does not track employees being asked to make restitution for property at the workplace that has been damaged or stolen by external individuals.

The Employment Act already provides some protection for employees in such situations. While employers can deduct from the salary of an employee for damage to or loss of goods due to the employee’s fault, such deductions must not exceed 25% of the employee’s one month’s salary, except with the Commissioner for Labour’s permission. Before deducting the employee’s salary, the employer should hold an inquiry to determine if the employee is directly at fault and give the employee an opportunity to explain.

Employees who feel aggrieved by such salary deductions may seek help from the Tripartite Alliance for Dispute Management.

The Ministry also investigates complaints on unauthorised or excessive salary deductions and will take enforcement action against the employer if the deductions are found to have contravened the Employment Act.