Help required on offer letter clause

Member since 11 January 2020

bin_devMember11 January 2020 02:42:03

,i am writing this regarding on clarification of a clause in my offer letter.

I signed an offer letter from a company, which contain following condition

"Tenure: Your employment with us would commence in the month of Jan 2020 and would be for a period of one year after which would be extendable based on the need. If you accept the offer letter of xxxx- and fail to join on the joining date, then this employment offer may be withdrawn, and you would be liable to pay one (1) month’s gross salary as compensation.".

But unfortunately my health condition get worst and need immediate medical assistance . i informed my situation along with my health report . but the company now forcing me to join ,if i failed to join ,then i want to pay the money .

i haven't received any confidential information, signed any contract ,payment or any kind of benefits from respective company also i never landed in Singapore yet .also i noticed that they applied EP but its status is 'pending' .

i would like to know ,
1.) can company take legal action against me or i should pay amount to the company as per the agreement.?
2.) How long an employer can keep EP application 'active', will this cause any issue of my future travelling to Singpore.
3.) Will MoM reject the pending EP after certain days ?.

your reply would be great because this is stressful situation and i am suffering pain both physically & mentally .

beppi Germany/Singapore Expert

Member since 08 August 2010

Germany & Singapore Expert

beppiGermany/Singapore Expert11 January 2020 13:47:08

15442

The EP application will be decided on (approved or rejected) by MoM in due course. Your health has no influence on this.
As long as it is not approved, you cannot join and, since this is not your fault, you do not have to pay a penalty. Same if it is eventually rejected.
But if it is approved and you still don't want to join, the contract is valid and the penalty applies.
If you are (and remain) outside of Singapore, I believe the company will not pursue the payment. But if they do (and/or report the issue to MoM), this can influence your future visa applications.
If I were in your situation, I would first wait for moM's decision on your EP application - and if it is approved either join or find a mutually agreeable solution with the company.
Please note that medical care facilities in Singapore are far better than in your home country - and most employment contracts include a heath insurance that might cover all or most of the costs.