Dear HR Practitioners,

1. Is a person title with executive but salary lower than $4500 covered under Employment Act?

2. Is employer allowed to cut employee pay by 25% during employee's notice period Does it means employee sign on warning letter represent they agree on this cut-off?

Thank you.

Eun

REPLY 1

It depends on the work scope & duties of said employee rather than just salary fall below $4500/-. Meaning taking into consideration of the mentioned 2 factors.

The acceptance of signed warning letter does not mean acceptance of salary reduction during notice period. Unless the letter did state the clause.

Season

REPLY 2

1. Yes. Covered. However, generally Executives are not covered under Part IV. Do take note MOM look at the job itself instead of the name of the title. Part IV of the Employment Act is concerned on OT, Rest Day, etc.

2. Signing on Warning Letter doesn't mean that one agree to the cut in salary, unless it is stated clearly on the form. Further, employer cannot cut employee salary during notice period.

Chris

REPLY 3

1. Depends on the scope of work rather than the title.

2. Signature on warning letter does not mean agreement of salary cut unless stated in the warning letter.

Regards
Munjit

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