Employment Termination Agreement Template for Singapore

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Key Requirements PROMPT example:

Employment Termination Agreement

"I need an Employment Termination Agreement for a senior software engineer who is leaving our Singapore tech company on March 15, 2025, with a 3-month non-compete clause and provisions for unvested stock options."

Document background
The Employment Termination Agreement is a crucial document used in Singapore when ending an employment relationship, whether by mutual consent, resignation, or dismissal. It ensures compliance with Singapore's Employment Act and related employment legislation while providing a clear framework for the separation process. The agreement typically includes provisions for final payments, benefits, CPF contributions, confidentiality obligations, and release of claims. It serves to protect both employer and employee interests by clearly documenting all termination terms and preventing future disputes.
Suggested Sections

1. Parties: Identification of employer and employee with full legal names and addresses

2. Background: Brief history of employment relationship, reference to original employment contract, and reason for termination

3. Definitions: Key terms used tHRoughout the agreement including 'Termination Date', 'Final Payment', etc.

4. Termination: Formal statement of employment termination, including effective date and notice period details

5. Final Payments: Details of all final payments including salary, leave, bonuses, and CPF contributions

6. Company Property: Requirements for return of company property and documents

7. Confidentiality: Ongoing obligations regarding confidential information

8. Release and Waiver: Mutual release of claims between parties

Optional Sections

1. Reference Letter: Terms regarding provision of reference letters - include when agreed as part of termination package

2. Post-Employment Restrictions: Non-compete and non-solicitation clauses - include when original contract contains these provisions

3. Outplacement Support: Details of any career transition assistance - include when offering additional support services

4. Medical Benefits Extension: Continuation of medical coverage terms - include when extending medical benefits post-termination

Suggested Schedules

1. Schedule 1: Final Payment Calculation: Detailed breakdown of all final payments and deductions

2. Schedule 2: Company Property List: Itemized list of company property to be returned

3. Appendix A: Original Employment Contract: Copy of referenced employment agreement

4. Appendix B: Benefits Summary: Summary of any continuing benefits or special arrangements

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Industries

Employment Act: Primary legislation governing employment relationships in Singapore, including statutory notice periods, salary provisions, and basic employment terms

Employment Claims Act 2016: Legislation governing employment disputes and claims resolution, relevant for release and waiver clauses in termination agreements

Retirement and Re-employment Act: Legislation protecting older employees and governing retirement-related terminations

Industrial Relations Act: Framework for employer-employee relationships and union matters in termination contexts

Central Provident Fund Act: mandatory social security savings scheme requirements for final payments and contributions during termination

Notice Period Requirements: Statutory and contractual notice period obligations that must be addressed in the termination agreement

Salary and Benefits Computation: Calculation and payment of outstanding salary, pro-rated leaves, annual wage supplement, and expense reimbursements

CPF Obligations: Final CPF contribution requirements and compliance procedures for termination payments

Confidentiality Provisions: Post-employment confidentiality obligations and handling of company information

Restrictive Covenants: Non-compete and non-solicitation clauses enforcement and limitations under Singapore law

Release and Waiver Clauses: Mutual release of claims and waiver provisions compliant with Singapore employment laws

Personal Data Protection Act: Requirements for handling employee personal data post-termination and data protection obligations

Income Tax Act: Tax implications and requirements for termination payments and benefits

Foreign Employee Considerations: Additional requirements for terminating foreign employees including tax clearance and work pass cancellation

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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