SINGAPORE — A six-month notice period may look like an insignificant line in an employment contract when a new job begins. But when an employee eventually wants to leave, that single clause can become one of the biggest obstacles standing between them and their next opportunity.
A recent Singapore court case — together with accounts from workers caught in lengthy resignation periods — has put renewed attention on a part of employment contracts many jobseekers tend to overlook: how long they must remain with the company after resigning.
The issue gained prominence after CNA TODAY reported on an early childhood educator in her late 20s, identified only as Melanie, who discovered that a promotion came with a six-month notice period.
Although she was concerned, she accepted the new contract because other promoted colleagues had agreed to similar terms.
The clause became far more significant when she eventually decided to resign.
Instead of being able to move quickly into another role, Melanie found herself facing half a year before she could officially leave — potentially making it difficult to convince another employer to wait for her.
A S$36,000 Court Case Shows the Risk Is Real
The consequences of ignoring notice-period clauses are not merely theoretical.
In a separate case reported in July, Aerospace Solutions Enterprises successfully sued former manager Low Eng Wah after he served only two months of a contractual six-month notice period.
Low was earning S$9,000 a month and told the company he intended to leave after two months rather than complete the full six months.
The company pursued him for the remaining four months.
A Singapore court ordered Low to pay S$36,000, equivalent to four months of salary, along with interest.
Low argued, among other things, that the six-month notice requirement was unreasonably long.
But the court did not accept that argument.
District Judge Evans Ng found that the clause operated as a reciprocal termination mechanism: either side could end the employment relationship subject to the agreed notice requirements or payment in lieu.
That ruling is particularly important for employees who assume an unusually long notice period will automatically be considered unenforceable simply because it appears excessive.
Can Your Employer Actually Stop You From Resigning?
No.
Under Singapore Ministry of Manpower guidance, an employer cannot reject an employee’s resignation.
Employees have the right to resign, provided they comply with their contractual obligations — normally by either serving the required notice period or paying salary in lieu of notice.
MOM explicitly states that preventing an employee from leaving their job is an offence.
That distinction is critical.
An employer generally cannot say, “You are not allowed to resign.”
But the employer may be entitled to enforce the financial or notice obligations contained in the employment contract.
How Long Can a Notice Period Be?
Singapore law does not impose a universal maximum contractual notice period.
Where an employment contract specifies a notice period, that agreed period generally applies, and the length must be the same for both employer and employee.
CNA TODAY quoted recruitment professionals who suggested that, as a general industry benchmark, notice periods often look something like:
- Around one month for junior or entry-level workers
- Around two to three months for mid-level professionals
- Around three to six months for senior executives or leaders
These are industry observations rather than statutory limits.
The logic behind longer periods for senior employees is that companies may need more time to transfer institutional knowledge, replace key personnel, manage clients or complete major projects.
But recruiters also warned that long notice periods can severely limit job mobility because prospective employers may be unwilling to wait several months for a candidate to become available.
What If Your Contract Says Nothing About Notice?
Singapore’s Employment Act provides default notice periods when a contract does not specify one.
The required notice is:
Less than 26 weeks of service: 1 day
26 weeks to under 2 years: 1 week
2 years to under 5 years: 2 weeks
5 years or more: 4 weeks
The day on which notice is given counts as part of the notice period. Weekends, rest days and public holidays are also generally included.
Can You Pay Your Way Out?
Potentially, yes.
An employee who does not want to serve the entire contractual notice period may pay salary in lieu of notice for the portion that will not be served.
The payment is generally equivalent to the salary that would have been earned during that outstanding period.
This is essentially what made the S$36,000 case so costly: four unserved months multiplied by S$9,000 per month.
Some workers also negotiate with their incoming employer to cover or “buy out” part of their existing notice requirement so that they can start the new role sooner, according to employment experts interviewed by CNA TODAY.
Annual Leave Could Help — But You Need Agreement
Another possibility is using unused annual leave to shorten the effective notice period.
But employees cannot necessarily decide this unilaterally.
MOM says annual leave may be used to offset a notice period only with the employer’s agreement.
If both sides agree, the employee’s final employment date can be brought forward.
This is different from simply taking approved annual leave while serving notice. In that situation, the employee remains employed until the original notice period ends.
Your Notice Period May Still Be Negotiable
One of the most important lessons for employees is that employment contracts are not always completely non-negotiable.
Recruitment and legal experts told CNA TODAY that workers — particularly experienced candidates or those with sought-after skills — may be able to negotiate clauses before signing.
That includes:
Notice periods, non-compete provisions, probation terms, restrictive covenants, benefits and other termination conditions.
Even after an employee resigns, an employer may agree to shorten or completely waive part of the notice period.
However, MOM says such a waiver should be made by mutual consent, and employment lawyers advise putting any agreement in writing rather than relying on verbal conversations.
That documentation can become crucial if a disagreement later ends up in court.
Don’t Look Only at the Salary
The broader lesson extends far beyond notice periods.
Employment experts interviewed by CNA TODAY urged workers to examine clauses covering:
working hours, overtime, probation, termination, bonuses, benefits, garden leave, confidentiality, non-compete agreements and non-solicitation restrictions.
Singapore’s Ministry of Manpower also identifies the notice period as one of the key employment terms that should be clearly stated in applicable employment documentation.
A strong salary package can therefore hide conditions that later make changing jobs far more difficult than expected.
The Bigger Lesson for Singapore Workers
For workers eager to accept a promotion or new job, resignation terms can seem like a problem for another day.
But the recent S$36,000 judgment demonstrates why that attitude can be expensive.
Once a contract has been signed, employees may discover that the clause they barely noticed when joining the company becomes one of the most important provisions when they try to leave.
The safest approach is remarkably simple:
Read the exit terms before celebrating the entry offer.
Because the question is not merely how much a company will pay you to join.
It is also what it could cost you to leave.
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