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Enforceability of restrictive covenants
In Smile Inc Dental Surgeons Pte Ltd v Lui Andrew Stewart [2011] SGHC 266, the Singapore High Court considered restrictive covenants in an employment contract.
SINGAPORE HIGH COURT RULES THAT FORFEITURE-FOR-COMPETITION CLAUSES ARE NOT RESTRAINTS OF TRADE
Mano Vikrant Singh v Cargill TSF Asia Pte Ltd [2011] SGHC 241
In a landmark decision, the Singapore High Court has ruled in favour of an employer, holding that a clause in an employee incentive bonus plan which requires the employee to forgo deferred incentive payments if he resigns and joins a competitor (referred to as a “forfeiture-for-competition” clause) is not a restraint of trade. The employer need not show that such a clause is reasonable in order to enforce it.
National Wage Council Guidelines 2010/2011
The National Wage Council ("NWC") is a tripartite body comprising representatives from employers, trade unions and Government. The NWC develops a national consensus on wage and wage-related matters and issues guidelines on these matters every year.
LEGISLATION UPDATE
NEW TRIPARTITE MEDIATION SCHEME TO BE INTRODUCED FOR EXECUTIVE EMPLOYEES
Singapore High Court Declares Removal of Director Invalid
In a case described by the Singapore High Court as one which reflects the “unfortunate but increasing incidence of fractious generational transitions within Singapore family businesses”, the Singapore High Court has declared invalid the removal of Ng Joo Soon as a director of Dovechem Holdings Pte Ltd.
ENCOURAGING THE RE-EMPLOYMENT OF OLDER EMPLOYEES IN SINGAPORE
As part of a continued effort to address the issue of Singapore’s rapidly ageing population, the Ministry of Manpower recently released an updated set of Tripartite Guidelines for Reemployment of Older Employees (“Guidelines”) on 11 March 2010. The Guidelines supersede an earlier set of guidelines introduced in April 2008, and was finalised after one month of public consultation.