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The Workplace Fairness Act Will Reshape How Singapore Hires, Are Employers Ready?

The Workplace Fairness Act Will Reshape How Singapore Hires, Are Employers Ready?

For years, fair hiring in Singapore was a matter of good practice and good faith. Employers were encouraged to be fair, nudged along by tripartite advisories and the quiet expectation that doing the right thing was simply part of running a responsible business. That era is drawing to a close. With the Workplace Fairness Act now passed and set to take effect by the end of 2027, fairness is no longer a guideline to aspire to, it is a legal obligation to meet. For any organisation that hires in Singapore, the shift is significant, and the businesses that treat talent acquisition as a structured, compliance-aware discipline will be the ones least likely to be caught off guard.

This is not a minor regulatory tweak. The Act touches every stage of the working relationship, from the wording of a job advertisement to the way a promotion is decided and how a dismissal is handled. Here is what employers need to understand, and why the time to prepare is now rather than 2027.

Key Facts at a Glance

Law Workplace Fairness Act 2025
How it was passed Substantive bill passed 8 January 2025; Dispute Resolution bill passed 4 November 2025
When it takes effect By end of 2027
Who it covers Employers with 25 or more employees (smaller firms exempt at commencement)
Stages covered Hiring, promotion, appraisal and termination
Where claims are heard Employment Claims Tribunals (up to S$250,000) or the High Court

Sources: Singapore Statutes Online and the Ministry of Manpower.

From Guidelines to Law: What Is Actually Changing

Singapore has long promoted fair employment through the Tripartite Guidelines on Fair Employment Practices (TGFEP), overseen by the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP). The guidelines set clear expectations, but they lacked teeth. If an employer discriminated, the Ministry of Manpower (MOM) could investigate and, at most, curtail work pass privileges. Employees themselves had no formal legal avenue to seek redress.

The Workplace Fairness Act changes that fundamentally. Here is the shift in simple terms:

Before (TGFEP) After (Workplace Fairness Act)
Status Voluntary guidelines Legally enforceable law
Enforcement MOM could curtail work pass privileges Directions, administrative and civil penalties
Employee recourse No direct legal avenue Direct right of action and a statutory claim

The government has described the move as a paradigm shift: from encouraging fair employment practices to requiring them by law. For most well-run organisations, the underlying principles will feel familiar. What is new is the consequence of getting it wrong, and the level of documentation and rigour employers must now demonstrate. Companies that already partner with the best recruitment agency in Singapore to standardise their hiring will find the transition far smoother than those still relying on informal, gut-feel decisions.

The Workplace Fairness Act Will Reshape How Singapore Hires, Are Employers Ready?

Who the Workplace Fairness Act Applies To

The Act applies to employers with 25 or more employees when it first takes effect. Smaller businesses, those with fewer than 25 staff, are expected to be exempt at commencement, with their position to be reviewed in the years that follow.

If you employ 25 or more people, the clock is already running. End-2027 may sound distant, but updating policies, training managers, documenting processes and embedding new habits across an organisation takes time. Employers who wait until the deadline approaches risk scrambling, while those who move early can do so calmly and thoroughly.

The Protected Characteristics Employers Must Know

At the heart of the Act is a defined list of protected characteristics. Employers may not make adverse employment decisions based on:

  • Age
  • Nationality
  • Sex
  • Marital status
  • Pregnancy status
  • Caregiving responsibilities
  • Race
  • Religion
  • Language ability
  • Disability
  • Mental health condition

This list draws a clear line: an employment decision cannot be based on any of these characteristics unless a specific exception applies. The Act does allow sensible exceptions, including where a characteristic is a genuine and proportionate requirement of the job, where an age requirement is expressly permitted by law, where employers prefer Singapore citizens and permanent residents in line with work pass and fair consideration rules, and in certain circumstances for religious organisations.

The inclusion of mental health conditions and caregiving responsibilities is particularly noteworthy, as these are areas where unconscious bias often creeps into decisions without employers realising it.

How the Act Reshapes the Employment Lifecycle

Discrimination is prohibited across the entire employment lifecycle, not just at the hiring stage:

Stage What it covers
Pre-employment Job advertisements, screening, shortlisting and selection
In-employment Promotion, performance appraisal and training opportunities
End-employment Termination, redundancy and re-employment decisions

Job Advertisements Under Scrutiny

One of the clearest prohibitions concerns job advertisements. Employers may no longer publish advertisements or job descriptions that reference a protected characteristic as a condition, requirement, advantage or disqualification. A listing stating a preference for a particular age range, sex or nationality, where that preference has no genuine connection to the job, would fall foul of the law.

In practice, every job posting needs review for language that could be read as exclusionary. Phrases that may seem harmless, such as a request for a “young and energetic team player,” can carry real legal risk. This is one reason a structured approach to talent acquisition, built on standardised role descriptions and objective selection criteria, becomes not just good practice but a protective measure.

Promotion, Appraisal and Termination

Many organisations are most exposed here. Promotion decisions are often made quickly and informally. Appraisals can be inconsistent, with different managers applying different standards. Termination decisions during restructuring can inadvertently fall more heavily on protected groups, such as older workers or employees with caregiving commitments.

Under the new regime, employers must show that these decisions were based on merit, performance and capability. That requires clear criteria, consistent application and proper records.

The New Grievance and Dispute Resolution Process

The Act introduces a structured process for handling complaints. Businesses with 25 or more employees must establish a written grievance handling process that covers how a complaint is received and reviewed, how the outcome is communicated in writing, how records are kept, and how confidentiality is protected. The Act also prohibits retaliation against any employee who raises a complaint or assists in an investigation.

According to the Ministry of Manpower, the dispute resolution framework treats adjudication as a last resort and follows three steps:

  1. Internal grievance handling — the employee first raises the matter within the firm.
  2. Mediation — if unresolved, parties must attempt mediation before any claim can proceed.
  3. Adjudication — as a last resort, claims are heard at the Employment Claims Tribunals (for claims up to S$250,000) or the High Court (for larger claims).

Penalties for Getting It Wrong

MOM has said the Act enables “calibrated enforcement action such as issuing directions, administrative financial penalties and civil penalties.” Legal commentators have summarised the reported penalty tiers as follows:

Type of breach First offence Subsequent offence
Administrative (e.g. failing to keep proper grievance records) Up to S$5,000 Up to S$10,000
Serious civil contravention (e.g. retaliatory dismissal, deliberate discrimination) Up to S$50,000 Up to S$250,000

Penalty figures as reported by DLA Piper and Great Place to Work. Both the company and its officers can be held jointly liable.

The government has signalled an education-first approach, focusing on guiding non-compliant employers towards rectification rather than rushing to punish. That is reassuring, but it should not breed complacency, as the protection only extends to employers making a genuine effort to comply. Partnering with a best recruitment agency in Singapore that understands these obligations helps embed compliant practices into the hiring process from the outset, rather than retrofitting them under pressure later.

What the Act Means for Foreign Companies Hiring in Singapore

For international businesses building a presence in Singapore, the Act adds a new layer to an already complex compliance picture. Foreign companies must already navigate work pass rules, the Fair Consideration Framework, CPF obligations and the Employment Act. The Workplace Fairness Act now overlays anti-discrimination obligations across recruitment, contracts, day-to-day management and termination.

This is precisely why many overseas companies choose to enter the Singapore market through an EOR arrangement. An Employer of Record allows a business to hire local talent quickly and compliantly without first setting up its own legal entity, with the provider taking on the formal employer responsibilities. As the new fairness obligations take effect, that compliance role becomes even more valuable.

Choosing the right EOR partner therefore matters more than ever. A capable provider does more than process payroll. It ensures employment contracts, grievance procedures and termination practices meet local standards, shielding the parent company from inadvertent breaches it may not even realise it is committing.

A Practical Checklist: How Employers Can Prepare Now

The deadline may be end-2027, but preparation should begin well before then. A practical starting point:

  1. Review your job advertisements and templates, removing any language that references protected characteristics without a genuine job reason.
  2. Standardise your selection criteria for hiring, promotion and appraisal so decisions can be explained and defended.
  3. Document your people decisions, keeping clear records of why candidates and outcomes were chosen.
  4. Establish a written, confidential, retaliation-free grievance process.
  5. Train managers and HR teams to recognise bias and apply the Act correctly.
  6. Audit your existing hiring, promotion and termination patterns to catch unintended disparities early.

The Workplace Fairness Act Will Reshape How Singapore Hires, Are Employers Ready?

Turning Compliance Into Competitive Advantage

It is tempting to view the Workplace Fairness Act purely as a compliance burden. That would be short-sighted. Singapore faces an ageing workforce, persistent talent shortages and rising competition for skilled professionals. Employers who build genuinely fair, merit-based practices will not only avoid penalties, they will widen their talent pool, strengthen their employer brand and retain people for longer.

In a tight labour market, fairness is a recruitment advantage. Candidates increasingly choose employers based on values and culture, and a reputation for fair, transparent treatment is a powerful draw. The organisations that get this right will find that compliance and competitiveness point in the same direction. The Workplace Fairness Act will reshape how Singapore hires. The only real question is whether your organisation will adapt early and deliberately, or late and under pressure.

Frequently Asked Questions

When does the Workplace Fairness Act take effect?

MOM aims for the Act to take effect by the end of 2027. This gives employers and workers ample time to familiarise themselves with the new rules and prepare. The two bills that form the Act were passed in January and November 2025.

Does the Workplace Fairness Act apply to small businesses?

At commencement, the Act applies to employers with 25 or more employees. Smaller firms are expected to be exempt initially, with their position reviewed in the years ahead. In the meantime, the Tripartite Guidelines on Fair Employment Practices continue to apply to all employers regardless of size.

What should an employee do if they experience workplace discrimination?

They should first raise the matter through the employer’s internal grievance process. If it is not resolved, the parties must attempt mediation before any claim can proceed to adjudication at the Employment Claims Tribunals or the High Court, which is treated as a last resort.

Are there any exceptions to the Act?

Yes. Employers may rely on a protected characteristic where it is a genuine and proportionate requirement of the job, apply age criteria where expressly permitted by law, and continue to prefer Singapore citizens and permanent residents in line with work pass and fair consideration requirements.

How is the Workplace Fairness Act different from the existing guidelines?

The Tripartite Guidelines on Fair Employment Practices were voluntary and could not be directly enforced by employees. The Workplace Fairness Act makes anti-discrimination obligations legally binding, introduces calibrated penalties, and gives employees a direct right to bring a claim against an employer.

Partner With Achieve Group for Fair, Compliant Hiring

For more than 35 years, Achieve Group has helped employers across Singapore and the region hire with confidence. As the regulatory landscape evolves, having an experienced partner matters more than ever.

Our consultants bring deep local expertise to every engagement, helping you build hiring practices that are effective and fully aligned with Singapore’s fair employment standards. Whether you are strengthening your recruitment process, refining your talent acquisition strategy, or expanding into Singapore through a compliant EOR solution, Achieve Group offers end-to-end support tailored to your needs.

As a trusted and best recruitment agency in Singapore, we combine market-leading recruitment, executive search, staffing and employer-of-record services to help your business attract the right people the right way. Get in touch with our team today to find out how we can help you prepare for the Workplace Fairness Act and hire with clarity and confidence.