The State of Employee Benefits

The State of Employee BenefitsSINGAPORE

The State of Employee Benefits | Singapore

The State of Employee BenefitsSINGAPORE

Findings from Swingvy’s Singapore Employee Benefits Survey 2020.


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Outside of role-fit and job satisfaction, job seekers are searching for much more than a base salary.

Benefits have become important considerations for employees when assessing an employment package. As companies increasingly look for new ways to attract the best talent to remain competitive, providing comprehensive employee benefits may be just the ticket.

Employee benefits cover a wide range of items or conveniences that are offered to employees beyond their standard salary or wages. As the results of this survey show, you don’t have to be a big company to offer great benefits. While some benefits are financial in nature, many that are most valued by employees of all ages are ones that have an impact on work-life balance, and overall wellness.


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Swingvy is an all-in-one people operations platform that helps SMEs to engage and manage their employees in one place. By seamlessly connecting all HR information — employee data, payroll, claims, leave and benefits — Swingvy automates administrative HR work enabling SMEs to improve their people management, and remain compliant with local statutory regulations.

Founded in 2016 by Jin Choeh, Tho Kit Hoong, Hyojun Lee and Jahun Koo, Swingvy is trusted by over 9,000 companies, and has offices in Kuala Lumpur, Singapore, Taipei and Seoul.

Who Are We?

In Singapore, Swingvy integrates with insurance partners to help companies manage employee benefits inside their HRMS platform. This includes real-time quotes, purchasing, management and renewal of medical insurance, without the need for paperwork, or middle-men. Clients gain access to small group medical insurance at prices usually reserved for large companies.

Find out more on our website.

We believe great businesses always put people first. And our mission has been to create a workplace where work empowers people. Because people power companies.

http://www.swingvy.com/sg/products/benefits


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People are your company. They influence everything – your products, your services, and how you separate yourselves from the competition. It’s your people that matter most to the success of your business.

Jin Choeh,CEO Swingvy

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Contents

About This Report

Employment Act

Statutory Requirements

Survey Insights

Leave Benefits

Wellness Benefits

Financial Benefits

Lifestyle Benefits

Additional Benefits

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7

8

10

14

15

18

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Workers Perspectives

Wanted Benefits

Underutilised Benefits

Most Valued Benefits

Benefits & Recruitment

The Future of Employee

Benefits in Singapore

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24

28

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The Singapore Employment Benefits survey was conducted online during the months of September and October 2020.

There were 282 respondents with 203 completing the full survey. Participants were working in Singapore for local and global companies of varying sizes. Participants included Singapore Citizens and Permanent Residents as well as visa holders, varying in age, with the majority of respondents being between 20-39 years old.

Age Group

20-29 20.9%

30-39 56.7%

40-4914.9%

50-595.5%

60+2.0%

About This Report

ResidentStatus

Citizen/PR 76.3%

Visa Holder23.7%


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Asia (ex. SG)16.9%

Singapore37.8%

Europe24.4%

Americas17.4% Africa/

Middle East

0.5%

Australia/NZ3%

Location of Main Company HQ

CompanySize

Almost half (43.3%) of survey respondents work for internationally based organisations. Singapore attracts international investment due to having one of the lowest corporate tax rates. Government policies are very business friendly and the location makes it a great place to base regional operations.

11-50 Employees22%

51-200 Employees18%

>201 Employees

52%

<10 Employees8%


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The Employment Act is Singapore’s legislation governing the contracts between employers and their employees.

The purpose of the legislation is to protect Singapore workers from unfair or unsafe working environments, and maintain workplace standards across the board. The legislation covers the duration of employment, from onboarding to termination.

The act also sets the standard for certain statutory employee benefits, including paid public holidays, annual leave, and sick leave entitlements. These are baseline requirements for employers to provide, however there is common practice in many organisations to offer above what is legally required, in order to attract top talent.

SingaporeEmployment Act


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Requirements of statutory benefits differ by certain groups, including between Citizens/Permanent Residents and visa holders, and are also based on monthly salary. Employees earning less that S$2000 per month are provided with additional protections under part IV of the Employment Act. These protections relate to rest days, hours of work, overtime, annual leave, sick leave, public holidays, retirement and retrenchment benefits, annual wage supplements and more.

Statutory Requirements for Leave EntitlementAccording to the Singapore Employment Act

Citizen/PR Visa Holder

Annual Leave* 7 days + 7 days +

Outpatient Sick Leave 14 days 14 days

Hospitalisation Leave 60 days 60 days

Maternity Leave* 16 weeks 12 weeks

Paternity Leave* 2 weeks n/a

Childcare Leave* 6 days 2 days

*additional conditions apply

Statutory Benefit Entitlements

https://sso.agc.gov.sg/Act/EmA1968#P1IV-


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Singapore Employee Benefits Survey InsightsResults show the prevalence of common leave, wellness, financial, and lifestyle benefits which are offered by Singapore companies.


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Leave Benefits Offered By Singapore Companies

Annual Leave*

Birthday Day Off

Buy/Sell Annual Leave

Childcare Leave*

Compassionate Leave

Maternity/Paternity*

Sickness & Hospitilisation*

Wedding Leave

79.8

95.6

98.0

28.1

47.3

84.2

12.3

65.5

*Statutory Entitlements Apply

% of survey respondents offered each leave benefit by their employers


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Non-Statutory Leave Benefits Offered By Company Size

Birthday Day Off

12.5

Wedding LeaveCompassionate LeaveBuy/Sell Annual Leave

<10 Employees

11-50 Employees

51-200 Employees

>201 Employees

27.3

13.5

36.2

0.0

13.616.2

12.4

43.8

75.0

83.8

95.2

12.5

25.5

43.2

61.0

% of Singapore companies by size who offer each non-statutory leave benefit to their employees

Annual Leave


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Twenty days was the most common number of paid annual leave days given by Singapore based companies at 25.3% of all responses, followed closely by twenty-one days (21.1%).

Unlimited paid annual leave was offered as a benefit by just 2.6% of respondents companies. This has become a hot topic in

15 or fewer days16.5%

16-20 days 43.3%

21-25 days34.5%

26 or more days5.7%

Number of paid annual leave days Singapore workers think should be given

14 days4.6%

18 days11.9%

20 days33.5%

25 days38.1%

Unlimited paid leave11.9%

Number of paid annual leave days provided by Singapore companies

Paid Annual Leave Allowance Offered By Singapore Companies

HR circles. While some business owners agree that having well rested employees prevents burnout and increases productivity, others still fear that employees will abuse the benefit, and company performance could suffer.

While only 5.7% of respondents currently receive over 25 annual leave days, 50% of respondents thought that companies should provide 25 or more days as standard.


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50% of Singapore workers believe companies should provide 25 or more days of paid annual leave.Swingvy’s State of Employee Benefits Singapore Survey, 2020


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Wellness Benefits Offered By Singapore Companies

All Companies

<10 Employees

11-50 Employees

51-200 Employees

>201 Employees

Medical Insurance

Medical Screening

Dental Cover

Mental Health Support

Vision Screening

0% 50% 100%

% of Singapore companies by size who offer wellness benefits to employees

Smaller companies (<10 employees) fall far behind average when it comes to offering their workers medical insurance and health screening. Premiums for medical coverage often reduce with higher numbers added to policies. It was noted by some respondents that companies instead offered flexi-cash benefits to cover medical costs, rather than investing in small-group medical insurance policies.


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Financial Benefits Offered By Singapore Companies

30.2

75.3

20.3

23.6

3.8

39.0


CPF/Pension*

Company Shares

Financial Planning Resources

Referral Scheme

Flexi-Cash Benefit

AWS/Bonus

The Central Provident Fund (CPF) is a mandatory social security savings plan for working Singapore Citizens and Permanent Residents. CPF contributions are made by both employees and employers, with contribution amounts set by the Singapore government.

The 75.3% of respondents who answered that CPF contributions were paid by their companies relates to the fact that just over three quarters of survey respondents are Singapore Citizens or Permanent Residents. In some cases employers may contribute to an employees overseas pension account, or provide an additional payment, equal to a CPF contribution, to foreign employees on top of salary payments.

% of survey respondents offered each financial benefit by their employers


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Non-Statutory Financial Benefits Offered By Company Size

6.3


Company Shares


Referral Scheme

Flexi-Cash Benefit

AWS/Bonus

<10 Employees

11-50 Employees

51-200 Employees

>201 Employees

6.3

6.3

25.0

24.013.913.6

45.233.325.0

9.1 8.3 30.8

31.730.622.7

6.8 3.8

% of Singapore companies by size who offer each non-statutory financial benefit to their employees


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This bonus payment is not required by law, but is a great incentive to improve productivity and performance, and can boost employee morale.

While 20.3% of respondents are offered shares in the companies they work for, only limited companies are offering financial planning resources to their employees.

The highest variance in financial benefit offered by company size is with referral schemes. As companies grow and more positions become available within the business, attracting talent becomes more important and also more challenging. A referral

scheme is a great incentive to get existing employees involved in the recruitment process by tapping into their networks.

It is interesting to note that the smallest and largest companies are offering flexi-cash benefits to employees. This is often given by smaller companies in place of wellness benefits such as medical insurance, due to the cost-per-head when insuring low numbers of employees. However with 95% of companies with >200 employees offering medical insurance, the addition of flexi-cash is an added perk.

30.2% of companies are offering Annual Wage Supplement (AWS) or ‘13th month payment’ to employees.


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Lifestyle Benefits Offered By Singapore Companies

Gym Memberships

Office Food

Phone/Bill Payment

Transport Allowance

Sabbatical

Education Benefit

Paid Volunteer Days

Childcare Expenses

Flexible Hours/WFH

% of survey respondents offered each lifestyle benefit by their employers.

All Companies

<10 Employees

11-50 Employees

51-200 Employees

>201 Employees

0% 50% 100%

This past year has seen a rise in companies embracing remote work, after initially being required to work from home (WFH) to comply with government regulations and safe distancing practices. Some companies are now looking to retain flexible work and remote work long-term, as many workers love working remotely. Business leaders are also reaping the benefits of reported higher productivity of remote staff.


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63% of Singapore companies now offer their employees flexible working hours and/or the ability to work from home.Swingvy’s State of Employee Benefits Singapore Survey, 2020


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Additional Benefits Offered By Singapore CompaniesAdditional benefits offered to survey respondents (larger word sizes indicate this benefit was mentioned more often)

Wellness Leave

Family Care Leave

Maternity InsuranceConferences & Networking Office Exchange

Unlimited Annual Leave

Family Insurance Cover

Expat Package

Business Class Travel

Company Events

Mental Health Support

Company DiscountsPetrol Card

Annual Company Trip


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Benefits from Workers PerspectivesWe asked Singapore workers which benefits they felt they were missing, which they could do without, and their most valued benefits.


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Singapore’s Most Wanted Employee Benefits

Top ten most wanted benefits that Singapore workers are not currently provided

1.2.3.4.5.

Dental Cover

Gym Membership

AWS/Bonus

Flexible Hours/WFH

Better Medical Insurance

Of employee benefits wanted by workers, there is an even split between wellness, lifestyle and financial benefits. Many workers who do not yet have the allowance of working from home would like this. This year companies have embraced digitalisation at accelerated speeds. With technologies now available to keep teams connected wherever they are, remote work has been embraced by both employers and employees.

Dental cover and better medical insurance coverage also featured high on the list of wanted benefits. Some workers are not covered by any medical insurance, and others would like coverage extended to include outpatient and dental cover.

6.7.8.9.10.

Health Screening

Flexi-Cash Benefit

Buy/Sell Annual Leave

Maternity Insurance

Company Shares


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Childcare leave and maternity leave are statutory benefits provided to Singapore workers, so may be underutilised when workers do not have children. Vision screening is offered by 18.9% of survey respondents companies, but many do not take advantage of this.

Interestingly, gym memberships showed up on the list of underutilised benefits. This was the third most wanted benefit by Singapore workers who were not currently offered it.

Underutilised Employee Benefits

Maternity Leave

Flexi-Cash

Mobile Phone Bill Payment

TCM

Book Buy

Referral Scheme

Family Care Leave

Gym MembershipProfessional Memberships

Medical Screening Education Schemes

Medical Insurance

Vision Screening

Childcare LeaveWellness Leave

Travel AllowanceWedding Leave

Underutilised benefits offered to survey respondents (larger word sizes indicate this benefit was mentioned more often)


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Most Valued Employee Benefits by Age GroupTop five most valued employee benefits by Singapore employees of different age groups

Age20-29

Age30-39

Age40-49

Annual Leave

Medical Insurance

Flexible Hours/WFH

AWS/Bonus

Flexi-Cash Benefit

Age50-59

Annual Leave

Medical Insurance

Flexible Hours/WFH

AWS/Bonus

Gym Membership

Annual Leave

Medical Insurance

Flexible Hours/WFH

Company Shares


Medical Insurance

Annual Leave

AWS/Bonus

Company Shares

Dental Cover

Insufficient data for age group 60+


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Most Valued Employee Benefits by Residential Status

These are the top five most valued employee benefits by Singapore employees of different residential status groups; Citizen/PR and Singapore visa holders. Data in these graphs exclude Annual Leave, Medical Insurance, and Flexible Hours/WFH, which were consistently the top three most valued employee benefits respectively for both groups.

Singapore Citizens and PR cited the Annual Wage Supplement (AWS) or 13th month payment and bonus as their most valued employee benefit. Visa holders also valued this financial incentive, however held paid company events where they could socialise and network of higher importance. Visa holders also valued insurance cover that extended to family members. This is not surprising given the relatively high cost of medical care in Singapore.

VisaHolder

Paid Company Events

AWS/BonusFamily Insurance Cover

Company Shares

Gym Membership

Citizen/PR

Flexi-Cash Benefit

Dental Cover

Transport Allowance

Childcare Leave

AWS/Bonus


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Most Valued Employee Benefits by Residential Status & AgeTop three most valued benefits by employees of different residential status groups and age (ages 50+ excluded due to insufficient data)

Singapore Citizen/PR

Age 20-29 Age 30-39 Age 40-49

#1 Flexible Hours/WFH Flexible Hours/WFH AWS/Bonus

#2 AWS/Bonus AWS/Bonus Childcare Leave

#3 Flexi-Cash Benefit Flexi-Cash Benefit Flexi-Cash Benefit

Age 20-29 Age 30-39 Age 40-49

#1 Company Events Flexible Hours/WFH Family Insurance

#2 Flexible Hours/WFH AWS/Bonus Company Shares

#3 Gym Memberships Phone Bill Payment Financial Planning

Singapore Visa Holder

Data excludes Annual Leave and Medical Insurance which were consistently the top two most valued employee benefits by all groups. Both Citizen/PR and visa holder respondents in the age group 40-49 showed value in financial and family based benefits.

Childcare leave was the second most valued benefit of Singaporeans/PR, while insurance cover for family members was the most valued benefit for visa holders who do not have access to MediSave. Visa holder respondents in the age group 20-29 showed value for lifestyle benefits such as paid company events, flexibility and gym memberships.


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Annual leave allowance and comprehensive medical insurance are the most valued employee benefits for all Singapore workers.Swingvy’s State of Employee Benefits Singapore Survey, 2020


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Top Benefit Considerations When Joining a Company

Employee benefit offerings can make a big impact on recruiting processes, helping to attract top talent. Even after a team member is onboard, employee benefits still play a major role in retention, motivation and productivity.

Top ten benefits that would make Singapore workers want to join a company

1.2.3.4.5.

Flexible Hours/WFH

Annual Leave Allowance

Good Medical Insurance

Incentive Bonus

Company Shares

6.7.8.9.10.

Flexi-Cash Benefit

Maternity Insurance

Family Insurance Cover

Education Programmes

Wellness Programmes


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This is followed closely by the allowance of annual leave, then insurance coverage, incentive bonuses and company shares.

Outside of the top ten, respondents also mentioned company culture and reputation as a big draw factor. Workers are interested in companies who have workplace culture initiatives, and who respect and prioritise work-life balance.

Providing equal benefit allowances for Singaporean/PR and visa holder workers was also mentioned. Often statutory requirements provide variances in allowances for these groups, but these can be corrected at a company level.

When asked what benefits if not offered would put them off joining a company, the top answer by survey respondents was medical coverage and a fair amount of annual leave allowance.

Companies who do not provide flexibility or a work-life balance may also suffer during recruitment, however many respondents mentioned that it is not individual benefits that attract them to companies, but rather the collective package that is offered.

Flexibility is the top benefit employees would consider when joining a company.


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The Future of Employee Benefits in Singapore


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This year has seen a growing acceptance and appreciation for the benefits of remote and flexible work arrangements. With many businesses seeing increased productivity, it’s safe to say that for many, these arrangements are here to stay long-term.

Without fancy office environments to attract talent and keep employees happy, companies need to find new ways to maintain engagement and the loyalty of their teams. Implementing a broad range of employee benefits is an effective way to do so.

The results of this survey have shown that benefits don’t always need to cost money. Companies with added flexibility and who encourage a work-life balance are most appealing to Singapore workers. Offering wellness and lifestyle benefits could make all the difference to the happiness of your people. Showing that you value your employees by offering great benefits can help with recruiting, cultivating, and retaining good people. After all, it’s your people that matter most to the success of your business.

People are your company. They influence everything – your products, your services, and how you separate yourselves from the competition.

People Matter.www.swingvy.com

The State of Employee Benefits

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