Global HR Insights Archives - Page 5 of 7

During the tax season in the Philippines, you may be tasked with submitting a set of documents to the Bureau of Internal Revenue (BIR), leaving you questioning their necessity.

Among the various tax forms required, the BIR Form 2316 is one of the most important forms as it provides insight into the tax ratio for an individual employee, breaking down their payments into various categories. With the form deadline right around the corner, this guide aims to provide you with all the necessary information to gain a clearer understanding of the BIR Form 2316.

What is the BIR Form 2316?

The BIR Form 2316, also known as the Certificate of Compensation Payment or Income Tax Withheld, is an annual tax return form in the Philippines. It consolidates an employee’s gross income along with the corresponding taxes and government deductions withheld throughout the calendar year or relevant taxing period.

In other words, it acts as evidence that a salary underwent income tax deductions, aiding the BIR in verifying businesses’ tax compliance. Moreover, in the event of an employee quitting, it assists their new employer in calculating the taxes withheld for the remaining portion of the year and can serve as proof of financial eligibility for various applications.

Employers are required to issue this form to employees subject to a declaration of final tax or any salary or remuneration and submit it to the BIR. Additionally, it should be attached to the employee’s Annual Income Tax Return (AIR) if they file one or if they are not eligible for substituted filing.

To be specific, the BIR Form 2316 should be attached to the BIR form 1700 for employees receiving purely compensation income or BIR form 1701 for employees receiving mixed income.

Download the BIR Form 2316

Who Should Prepare the BIR Form 2316?

Employers are in charge of preparing the BIR Form 2316 for any employee who received a salary, wage, or any other forms of remuneration from the organization during the preceding year.

Once the forms are accurately filled, employers are in charge of submitting the BIR Form 2316 on behalf of its employees. It is essential to prepare three copies: the original form designated for the employee, a duplicate for the BIR, and an additional copy for record-keeping purposes, which employers must retain for the next ten years.

When to Prepare the BIR Form 2316

Employers are required to prepare the BIR Form 2316 after computing the annual taxes for the year. This means preparing the tax return form towards the conclusion of the financial year for employees whose taxes and gross incomes are implicated.

When is the Deadline for the Submission of BIR Form 2316?

Generally, employees must receive their BIR Form 2316 on or before January 31 of the succeeding year.

However, there are two other deadlines to be aware of:

Employer filing: For employers required to file the BIR Form 2316 on behalf of your employees, the deadline for the submission is 28 February 2024.
Duplicate copy submission: For employees who received a BIR Form 2316 from their employer, they are required to submit a duplicate copy to the BIR by 29 February 2024.

How to Submit the BIR Form 2316

To submit the BIR 2316, you should follow these steps. First off, head over to the BIR certificate pages and download the BIR form.

Then, collect the needed employee information in Part 1. You’ll need to enter the date, which should be January 1. The only exception is for employees who you’ve hired in the past year; the date for those is their tenure start date. Note that items nine to 11 apply to employees who earn minimum wages only.

Next, enter the required employer information in Part II. Fetch the Certificate of Registration (RIB form 2303), as it includes the data you need for items 12 to 15. Under Part II, you’ll either check Main Employer for full-timers or Secondary Employer for part-timers.

Part III is dedicated to previous employer information. For employees that you’ve hired in the past year, you’ll need to check that the details of their previous employer are accurate.

Now, in Part IV, you fill in all your employee benefits (taxable and non-taxable), government contributions, and remunerations. It’s divided into sections A for your employee’s financial summary and B for their compensation income and taxes withheld details. Afterward, consider items 29 to 33 only if your employee is a minimum wager.

Also, the authorized signatory must sign item 51. You’ll need to sign item 52 and enter your current Community Tax Certificate number or a valid ID number, the paid amount, and the place of issuance. Finally, note that items 53 and 54 apply only to employees eligible for substituted filing.

Don’t forget the signatures. You must sign on item 53, and your employee must sign on item 54. Then, create your three copies, and submit or store them (as mentioned above).

To illustrate, you’ll need to save the electronic copies individually on a USB drive, DVD, or DVD-R. They must be in a PDF file format with the file names alphabetically arranged in the DVD-R. To name them, follow this naming convention: EmployeesLastName_EmployeesTin_TaxablePeriod.

What are the Required Attachments for BIR Form 2316?

For any BIR 2316 form, you should submit the original copy of the following documents:

Notarized Sworn Declaration

This document is a sworn declaration to affirm that the soft copies of all the BIR 2316 in the DVD-R are complete and typical of the originals.

You swear:

That in compliance with the requirements of Revenue Regulations No. 02-2015, submitted herewith is/are one (1) DVD-R containing ___________ covering the period of 12/31/2023

That the contents of the DVD-Rs being submitted herewith conform to the conditions/specification requirements set by the Bureau of Internal Revenue.

That the soft copies of the BIR Form 2316 contained in the DVD-R/s being submitted herewith are the complete and exact copies of the original thereof.

Notarized Substituted Filing Declaration

This form is composed of a list of the employees that qualify for substituted filing. It’s a table including the following information about each employee working for you:

Name of employee
Taxpayer identification number
Amount of compensation
Tax due withheld and remitted

Then, you follow the list with this statement: “I declare under the penalties of perjury, that this declaration has been made in good faith, and to the best of my knowledge and belief to be true and correct.”

Transmittal Form

This form includes a list of all the employees with the BIR Form 2316 in the submitted DVD or USB drive. Simply, it contains the employees whom you’re submitting the BIR Form 2316 on behalf of. Also, it includes the tax identification number and taxing period covered in the income tax withheld form.

What is Substituted Filing?

Understanding the eligibility criteria will help you submit exactly the needed forms according to the BIR, which should make the tax filing process as smooth as possible. Substituted filing applies to employees who:

Receive purely compensation income of any amount
Have one employer only in the Philippines for the calendar year
Have a spouse who complies with the above conditions

Another eligibility aspect relates to you. For your employee to not have to file their own AITR and to rely on the BIR Form 2316, you must:

Withhold the taxes of your employees properly
File the BIR Form 1604-C for them
Issue the latest version of the BIR Form 2316 for them

Are Electronic Signatures Allowed in the BIR Form 2316?

Yes, electronic signatures are allowed on the BIR Form 2316. Based on the Revenue Memorandum Circular (BCM) No. 29-2021 issued by the BIR on February 26, 2021, e-signatures are permitted for four forms including the BIR Form 2316. This includes digital signatures among other methods.

This decision was necessary to address the difficulties that COVID-19 posed and comply with the mandates of Republic Act (RA) No. 11032 or the “Ease of Doing Business and Efficient Government Service Delivery Act of 2018.” In the past, you and your employee would’ve needed to sign the BIR Form 2316 manually or in wet ink for it to be valid and binding.

What is the Purpose of the BIR Form 2316 From Previous Employer?

Employers typically request that their new hires provide them with the BIR Form 2316 for two reasons. It’s proof of their previous income and the taxes withheld (during the taxable year) by their previous employer. This way, new employers don’t deduct the same taxes already withheld by the former employer.

If your employee requests the BIR Form 2316 when leaving, you are obliged to provide them a copy on their last payday or back pay.

Other Use Cases of BIR Form 2316

BIR Form 2316 is beneficial to the HR department, as it makes it easier to conduct payroll processing. The most common use case of BIR Form 2316 is for BIR to monitor businesses’ tax compliance as it proves that the right taxes were withheld from your employees’ total income.

Other use cases include an employee proving their financial eligibility for a loan, credit card, visa, or scholarship. By presenting the BIR Form 2316, they can prove that they meet the requirements. Likewise, government agencies and private organizations may demand this form as part of certain applications.

Another use case concerns expats. Expatriates living or working in a country other than their own can submit this BIR Form 2316 to prove that they are paying taxes. This way, they can avoid getting taxed for the same income source in their home country.

Automate Your Compliance Process with Omni

Completing the BIR Form 2316 can be a daunting task for many organizations due to its complexity and the meticulous detail it requires. However, with the right tools and systems in place, this process can be significantly simplified.

Omni helps HR teams stay up to date with the latest laws and regulations while streamlining the end-to-end employee management lifecycle. With secure and centralized employee records, HR teams can easily store, update, and communicate employee information across departments and with employees.

Our solution offers a comprehensive payroll solution tailored to Philippines specific requirements. With features like support for Philippine peso, automated tax calculations, and managed SSS, PhilHealth and PAG-IBIG contributions, Omni can help HR teams simplify their payroll processing and ensure compliance with ease.

Start your 14 days free trial and see how Omni can simplify the intricacies and complexities of preparing and submitting the BIR Form 2316 and minimize the costs associated with common errors.

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A decent work life balance is the key to an engaged and healthy workforce. As an employer, understanding your employees’ rights and benefits regarding Singapore leave entitlements is crucial for fostering an engaged workforce, reducing burnout and ensuring compliance with local Singapore regulations.

Annual leave is one of the more standard elements of employee benefits and has its own set of rules and regulations unique to Singapore leave entitlements. Here, we’ll explore the laws, requirements, challenges, and strategies for administering, tracking and managing annual leave under Singapore leave entitlement regulations to help you ensure compliance and boost employee engagement.

What is annual leave?

Annual leave refers to a period of paid time off granted to employees by their employer. Apart from Singapore public holidays like National Day or Deepavali, employees can utilize their annual leave for any reason, whether for vacation or just for a day off. The allocation of this type of Singapore leave is usually set out in the employment agreement with the number of days granted per year based on company policies and HR calendars, or employee’s tenure.

Is annual leave mandatory?

As per the Singapore Employment Act, annual leave is a mandatory form of Singapore leave for employees. Under this protection, employees are entitled to receive a designated number of paid annual leave each year.

Employers are mandated to keep accurate and current records of Singapore leave, including annual leave taken by their employees. They may compensate employees for any unused annual leave days upon their departure from the company, but are not legally required to do so. Alternatively, employees may be allowed to use the remaining annual leave to offset their notice period, at the company’s discretion. Whichever method, the Singapore government does mandate that employers are required to allow employees to carry forward their annual leave, which guarantees that employees receive their full entitlement of annual leave during their employment.

It is also worth noting that an increasing number of companies are offering unlimited paid time off as an employee benefit. Under these circumstances, the regulations governing annual leave no longer apply, as the Employment Act establishes a minimum standard while unlimited paid time off exceeds this minimum, removing the need for regulation. Similarly, unlimited paid time off policies aim to empower employees by granting them greater control over their time off. Enforcing the strict rules of annual leave regulations may conflict with this flexibility.

Who is eligible for paid annual leave?

Under the Singapore Employment Act, all employees are eligible for annual leave if they have worked in the company for at least 3 months.

The annual leave entitlement for employees is based on their duration of service with the company, starting from their first day of employment.

For full-time employees, the number of annual leave days increases gradually for each year of service, starting at 7 days during the first year and adding 1 day for each subsequent year. This progression culminates at 14 days after the eighth year.

On the other hand, part-time employees are entitled to annual leave in proportion to the yearly entitlement of a full-time employee, based on the number of working hours. Similarly, employers can also offer more generous leave policies than the minimum requirement.

Example of part-time employee annual leave calculation:

Full-time annual leave entitlement: 14 days per year

Part-time employee: Rachel works 20 hours per week

Calculation:

Full-time working hours: 40 hours per week (assuming a standard full-time work week)
Rachel’s proportion of working hours: 20 hours / 40 hours = 50%
Rachel’s pro-rated annual leave: 14 days * 50% = 7 days

Therefore, Rachel is entitled to 7 days of annual leave per year based on her pro-rated calculations.

Can annual leave be pro-rated?

In Singapore, annual leave can be pro-rated in the following situations:

For part-time employees: As mentioned above, part-time employees are entitled to annual leave based on their weekly working hours. This inherently involves prorating their leave based on the reduced work hours compared to a full-time employee.
For incomplete years of service: Whether you’re full-time or part-time, if you have yet to complete a full year of service, the Singapore leave entitlement is pro-rated based on the number of complete months as per below:

(Number of completed months of service/12 months) x full-time leave entitlement.

Omni tip for Singapore leave: Proration is always calculated by rounding down to the nearest whole day. If the fraction of a day is less than one-half, round it down; if it is half or more, round it up to one day.

Carrying Forward or Encashment of Annual Leave

Employees covered under Part IV of the Employment Act, which encompasses workers earning a monthly basic salary of $4,500SGD or less and non-workers earning a monthly basic salary of $2,600SGD or less, retain the right to carry forward any unused annual leave to the next leave cycle of 12 months.

However, there are no laws specifying that unused leave after the carry forward period must be encashed. Whether employees are allowed to encash their unused leave depends on their employer’s discretion. The employer has the right to decide whether to offer leave encashment and under what conditions (e.g. a minimum number of unused days).

In situations where the accumulated unused annual leave surpasses the statutory entitlements, employees are recommended to consult their employment contract to understand the company’s protocol for handling such leave. This might involve choices such as encashment, carry-forward to the following year, or forfeiture.

For employees that are not covered under Part IV, such as managers, executives or professionals with higher salaries, the employment contract serves as the primary resource to determine eligibility and procedures regarding the carry-forward or encashment of annual leave. Some contracts permit carry-forward with specific limits, while others might provide options for encashment or forfeiting unused leave.

What Happens if Annual Leave is Used Up?

In the case where employees have exhausted their accrued annual leave, they have the option to request for unpaid leave, also known as no-pay leave. This arrangement allows employees to take time off without pay, but approval for such Singapore leave is entirely at the employer’s discretion.

HR professionals must carefully consider the implications of approving unpaid leave, as it directly affects Singapore payroll processing and budgeting.

Can Employers Refuse or Force Annual Leave?

As stated in the Employment Act, employers are not permitted to refuse employees’ requests for annual leave. Nevertheless, should the employee’s requested leave period clash with the company’s operational requirements, the employer reserves the right to propose an alternative date for the employee to utilize their leave.

Similarly, employers are prohibited from compelling employees to utilize their annual leave. Employees have the right to use their annual leave days at a time convenient for them, and it is not within the employer’s jurisdiction to dictate when they should take their leave.

Challenges in Managing Singapore Annual Leave

Managing Singapore leave effectively poses various challenges for HR professionals. Here are some of the common challenges faced:

Manual processes

Many organizations still rely on paper-based systems or spreadsheets for employee time off requests and approvals. This can lead to inefficiencies, errors, and delays in processing leave requests and updating records. Manual processes are also prone to human error, making it difficult to maintain accurate and up-to-date leave records.

Take your manual leave processes to the next level:

Try our free employee time off request template

Compliance complexities

Compliance with labor laws, Singapore employment passes, and regulations regarding Singapore leave can be complex, especially in jurisdictions with stringent requirements or where laws are frequently updated. HR professionals need to stay informed about legal requirements related to annual leave requirements, carryover limits, and payment for unused leave upon employee’s departure. Failure to comply with these requirements can expose organizations to legal risks and financial penalties.

Data accuracy

Accurate tracking of annual leave balances and usage is pivotal for ensuring that employees receive their entitled Singapore leave and that payroll calculations are correct. However, maintaining data accuracy can be tricky, especially when using manual systems or disparate processes that are not integrated. Inaccurate leave records can cause disputes between employees and employers and may even result in legal or financial repercussions.

Lack of transparency

Last but definitely not least, employees may face challenges in accessing information about their annual leave entitlements, remaining balances, and the status of their leave requests. A lack of transparency in the leave management process can lead to employee frustration, confusion and mistrust, causing employee engagement and morale to drop. HR professionals need to ensure that Singapore leave policies and procedures are clearly stated and communicated to employees and provide access to accurate and timely information about their leave entitlements.

Strategies to Effectively Manage Singapore Leave

Managing annual leave in Singapore effectively requires organization, awareness and clear communication. Here’s some strategies to mastering Singapore leave management:

Develop a record keeping process

Developing a record keeping process for tracking employee annual leave is pivotal. This system should include employee details, leave requests, taken leaves, balances, and any supporting documents, all while adhering to data privacy regulations.

Using a cloud-based HRIS system is recommended as it automates the process, freeing HR professionals of administrative burdens and reducing the likelihood of manual errors.

Stay up to date with local regulations

To stay up to date with changing regulations, HR professionals should subscribe to Ministry of Manpower updates for timely notifications regarding changes in leave entitlements, regulations, and penalties.

Additionally, joining associations or forums can provide valuable insights into industry best practices and legal interpretations, aiding in staying current with local regulations. Regular audits should also be conducted to ensure company policies and practices comply with current regulations.

Clearly communicate leave policies

Another key to managing Singapore leave involves creating a detailed leave policy document that clearly outlines entitlements, types of leaves, procedures, and blackout periods in a concise manner. Once the document is prepared, it should be published online or distributed in hard copy, and made easily accessible to all employees.

Moreover, the policy should be explained during onboarding, with Q&A sessions held to address any queries. Changes or updates to the policy should be communicated through email or newsletters in a timely manner. Finally, translating the documents into different languages is important for inclusivity and to cater to a diverse workforce where applicable.

Not sure what to include in your employee handbook for onboarding?

Download your free employee handbook template

Leverage automation and HR tools

As mentioned above, leveraging automation with HR tools can simplify the management of Singapore leave. These HR tools are designed to automate request approvals, track balances, and generate reports for efficient leave management. With these features, analyzing leave trends and identifying areas for improvement in policy or resource allocation is simplified.

Additionally, some HRIS softwares provide employee self-service portals, enabling employees to manage their leave directly, thus reducing administrative burden and empowering employees to take advantage of their benefits. Similarly, HR software with e-signature features facilitate online approvals, reducing paperwork and streamlining the process.

Effortless Singapore Annual Leave Management with Omni

Addressing these Singapore leave challenges requires HR professionals to invest in modern leave management systems and processes.

Omni’s time off management capabilities help managers and HR teams swiftly navigate employee leave management. Omni’s platform allows you to approve leave applications on the go and keep track of who’s in and out of the office with at-a-glance scheduling.

Our employee self-service portal enables employees to submit their time off requests, which are automatically routed to the appropriate manager thanks to customizable approval workflows. Our user-friendly mobile application further simplifies the process, allowing employees to apply for time off requests on the go.

For further leave management ease, Omni seamlessly integrates with common work tools such as Slack, enabling managers to manage time off approvals with a simple push of a button. With automated calculations, employees and managers can easily view leave balances in real-time, and track how many vacation days they have left without having to go through HR.

Our localized solutions and inter-connected system merges your Singapore leave management efforts with payroll processing, facilitating automatic, accurate calculations and compliance with local regulations for various regions.

If you’re ready to take your leave management to the next level,

book a demo with us today.

We’ll walk you through our platform’s capabilities and demonstrate how Omni can transform your leave management processes, saving you time, reducing administrative burdens, and enhancing overall efficiency.

In a 2023 Ipsos survey conducted in over 31 countries, Singapore had the highest satisfaction rate for its healthcare system (71%). Yet, that didn’t seem to translate to the mental health department. Mental health was found to be the top 2023 health concern, higher than cancer and the coronavirus.

By better understanding workplace mental health Singapore can enhance its economy and transform its market. Even on an individual level, it can boost employee morale, engagement, and productivity.

In this article, we’ll help you better support your workers with employee mental health strategies and programs designed for workplace mental health Singapore.

Are Singaporeans Facing Poor Mental Health at Work?

Unfortunately, when it comes to workplace mental health Singapore isn’t the best. We’ve mentioned how mental health is the top health concern, but the survey results revealed there’s more to it than that.

“In the past year, 30% of Singaporeans say that they had felt stressed to the point where it had an impact on how they lived their daily lives; 26% of Singaporeans had felt stressed to the point where they felt like they could not cope/deal with things;”

The survey further adds, “24% had felt depressed to the point that they felt sad or hopeless almost every day for a couple of weeks or more, and yet another 12% had seriously considered suicide or self-hurt.”

If you’re unsure how that looks in the workplace, Alistair Carmichael, Expert Associate Partner of the People and Organizational Performance Practice at consultancy McKinsey & Company, stated that the percentage of people reporting signs and symptoms of burnout in Singapore is higher than the global average (at 29%).

Why Employee Mental Health is Important

For workplace mental health Singapore should support it simply because it’s a fundamental right, according to the World Health Organization (WHO).

More than that, it means less tension and conflicts, higher retention, productivity, attendance, and performance rates, better employee morale and working conditions, and increased returns.

Additionally, employee mental health renders the workplace more accessible to people with psychological conditions. With workplace mental health Singapore will witness more inclusion, recovery, and social functioning. Not to mention, your business will enjoy higher engagement and productivity when employees are at their healthiest.

How employers can better support mental well-being in the workplace

To reap the benefits of enhanced workplace mental health Singapore business owners like you can help by:

Promoting mental health awareness

Employee mental health awareness efforts reduce the stigma around mental health struggles with knowledge. In fact, indicators of a workplace with good mental health include discussions and dispelling myths about mental health. To achieve that, you can:

Offer training, talks, and workshops by community partners in employee mental health awareness and literacy.
Get supervisors to discuss employee mental health conditions.
Start company-wide initiatives or employee mental health-related corporate social responsibility (CSR) events.
Spread awareness about the resources available to employees who need help.

Offering employee assistance programs

Employee Assistance Programs (EAP) are voluntary, work-based intervention programs that should help employees with their personal and work-related problems, including everything from work stress to mental health disorders.

EAP counselors offer free and confidential short-term counseling, referrals, assessments, and follow-up services. They also consult supervisors and managers to address broader employee challenges.

Annex A includes a non-exhaustive list of EAP service providers with details on their services. You’ll find “80% of counselors and psychologists registered with Singapore Association for Counseling and Singapore Psychological Society or equivalent Association/Society; as well as (ii) at least 1 year of experience in providing EAP services.”

Flexible work arrangements

Flexible work arrangements (FWAs) are work schedules or environment conditions that don’t follow the restrictions of a traditional workplace, reducing stress and promoting work-life balance.

To improve workplace mental health Singapore business owners like you can allow extensions and modified assignments, time-off for health appointments, annualized or banking hours, part-time contracts, leaves, sabbaticals, job sharing (where employees split full-time jobs with other employees), and compressed work weeks (like four 10-hour days).

However, you have to establish FWA policies so that employees know which options are available (flexible time, place, or workload arrangements) and how to request them.

These policies should balance between employee and business needs. You can check out the Tripartite Alliance for Fair & Progressive Employment Practices (TAFEP) if you need guides on FWAs.

Training for managers

For better workplace mental health Singapore enables your managers and frontline supervisors to be trained in employee mental health conditions. After all, they’re partly responsible for the well-being of others and should implement policies to support them. Such training programs can help them do the following:

Know the signs of emotional distress and spot them in workers.
Know how to approach workers who may be struggling.
Be aware of the resources that they can direct those who need help to.
Develop the interpersonal skills needed to share their stories so that others feel encouraged to do the same.
Understand how job stressors impact employee mental health and how to manage them.

Regular check-ins

Regular one-on-one check-ins allow you to establish a relationship built on trust with your peers and allow you to give positive or constructive feedback in a much better way. Check-ins and the trust they build, help employees develop emotional safety at work, and give leaders a closer insight into their employee’s mental health. In conjunction with proper training, managers can be prepared to respond sensitively to any struggles employees share during those meetings.

Check-ins are especially important for workers after they return from time-offs for physical or mental health conditions. These check-ins ensure recovering employees are dealing well with their return to work. If not, you can make adjustments to their workloads.

Inclusive policies

To boost workplace mental health Singapore HR leaders can set inclusive policies. With them, your workplace can accept people with mental health disorders and varied abilities, avoid discrimination during hiring, and access wider talent pools. Review your employee mental health policies, and ask yourself:

Are these policies inclusive?
Are they suitable and customized to the needs of my employees?

If not, you can work with external partners (as needed) to help reshape policies to make them more inclusive. For example, you can add mental health days off to the paid time-off (PTO), establish anti-discriminatory policies among peers, and set policies regarding the confidentiality of information that employees share about their mental health.

Singapore Programs Available for Employee Mental Health Improvement

To boost workplace mental health Singapore has effective programs, which can be helpful tools to make your workplace more mental-health friendly and increase employee satisfaction, retention, and performance rates.

The National Council of Social Services (NCSS) is an umbrella body including over 500 member social service agencies in Singapore. It gives you access to social services, empowers these agencies, and nurtures strategic partnerships within this field.

For example, the NCSS released a guide called Beyond the Label, addressing stigma in corporations, and the Mental Health Toolkit for Employers, your guide to hiring and supporting people with mental illnesses.

MindFit at Work

If you want a better mental health workplace, Singapore is home to a MindFit at Work head office, a workplace wellbeing company. It offers employee mental health, well-being, mindfulness, and resilience training, consultations, and EAP programs. The company uses psychology and behavioral science to improve the performance and lives of your employees.

Workplace Outreach Wellness (WOW) Programme

With the Workplace Outreach Wellness (WOW) programme for workplace mental health Singapore offers you the support your company needs, with a locally registered Unique Entity Number (UEN) and the objective of creating a mentally healthy workplace.

The Health Promotion Board (HPB) created this programme with its workplace health promotion offerings. Then, the Singapore National Employers Federation (SNEF) became an appointed project manager for it in 2023. Its general programs cover various activities that promote employee mental health, such as:

Physical activity
Mental wellbeing
Nutrition
Ergonomics

WOW also offers chronic disease health screening and health coaching and gives you co-funding options.

Wellbeing Champions Network

The Wellbeing Champions Network is a program for workplace mental health Singapore supported. In fact, the Tripartite Alliance Limited supports the Wellbeing Champions Network.

The network includes Wellbeing Champions who “(i) rally senior management to implement policies and to support employees’ mental wellbeing; (ii) organize and curate mental wellbeing programmes and resources; and (iii) establish a system to refer persons in distress to professional help.”

In short, this community features a number of Champions, who are management-level employees implementing wellbeing initiatives for the company, possibly with the help of other employees.

This way, you can create a supportive work environment, normalize employee mental health practices, give your employees access to training and resources, and refer them to professionals (if needed).

Learn more about Singapore’s Workplace Wellbeing Champions Network

WorkWell Leaders Workshops

Thanks to WorkWell Leaders (WWL) Workshops for workplace mental health Singapore has a non-profit organization that helps you build healthy workplaces. It uses leadership programs and practices that increase support and inclusivity and designs frameworks that help you apply policies all over the company.

This organization calls for managers to improve their own well-being as a necessary step in improving the well-being of employees. This mentality is clear in its programs. The Be Well series is composed of the following programs:

CEO Dialogue – Twice yearly closed-door gatherings for CEOs to discuss pragmatic solutions of Being Well to Lead Well in a safe space.
CEO Commit – A step-by-step guide developed for CEOs to manage their own wellbeing across all dimensions of their lives and to help them better empathize with the wellbeing of team members.
CEO Connect – A peer support program that allows CEOs to share personal wellbeing challenges and insights, fostering honest conversations among leaders.
CEO Breath – Monthly mindfulness sessions for CEOs to enhance focus, clarity, and interpersonal connections while promoting wellbeing and encouraging the integration of mindfulness in work environments.

Additionally, there’s the Lead Well initiative, featuring the following programs:

Learn – Collaborative training with knowledge partners, to provide a deep dive into wellbeing issues, such as organizational mental health frameworks, peer support group establishment, and employee reintegration after mental health challenges.
Action – A members-only assessment of corporate mental health service providers, aiding informed choices for employee wellbeing.
Share – Designed for HR and operations leaders, these sessions offer practical wellbeing solutions, encourage knowledge sharing, and promote awareness of available resources.
Inspire – WorkWell Leaders Awards & Gala to establish a national standard for best practices in employee and leadership wellbeing and culture that drive business outcomes.

Championing Employee Mental Health with Omni

With the right tools, you can ensure a smooth transition to a more inclusive workspace that champions employee mental health.

Omni empowers HR teams with the tools they need to make simple yet impactful changes to improve the accessibility within their organizations. Whether it’s updating leave policies, helping you easily prioritize new policies that support employee mental health, or access to employee data to swiftly analyze performance and detect signs of employee burnout. Omni’s highly customizable platform equips you with the tools and systems you need to make updates, save time, and connect with your workforce.

Book a call with our team today to learn more!

Diversity is a key driver of innovation, and is particularly important (and impactful) when it comes to leadership positions.

When we think of diversity initiatives, organizations tend to focus on factors such as race or gender, but often fail to consider ability.

Persons with disabilities (PWDs) often face difficulty in getting jobs, let alone reaching a position of power. However, the Singapore government has set a target of increasing the PWD employment rate by 40% by 2030. To reach this target, 10,000 more PWDs require employment, as it stands at 31% as of now.

Agencies like SG Enable are helping the government reach that target by providing education and employment opportunities to PWDs.

In this article, we will take a closer look at SG Enable, and strategies for creating an equitable working environment.

What is SG Enable?

Based in Singapore, SG Enable is an organization dedicated to empowering individuals with disabilities. They offer various support services, addressing aspects like education, employment, healthcare, and social inclusion. The focus extends to those facing physical, mental, intellectual, or sensory development challenges, with conditions involving total or partial loss of bodily functions.

The agency, with all its efforts, focuses on creating an inclusive environment, helping people with disabilities to engage in society and actively lead fulfilling lives. Even when we are yet to reach the set employment targets, SG Enable has seen considerable growth in job opportunities for PWDs in growth sectors such as logistics, healthcare, IT, banking, and the public sector. It aims to take the numbers up from here to break the notion that PWDs can only thrive in the F&B and Hospitality sectors.

What are the Services Offered by SG Enable?

SG Enable helps PWDs become independent, confident, and financially secure by providing the following support services:

Employment opportunities: the agency excels at connecting PWDs with relevant skills and qualifications with employers
Disability professionals network: the network helps disability professionals learn more about development in policies, practices, and trends in disability
Consultancy services: the agency helps organizations enable disability inclusion, allowing them to serve consumers with disabilities better
Training services: SG Enable puts enough effort into training individuals with disabilities to help them thrive in their personal and professional development
Financial assistance: the agency provides financial support to PWDs and their families using government grants and schemes
Accessibility support: SG Enable recognizes the importance of providing accessible support to ensure PWDs thrive in society without hassle.

Complications Faced by PWDs to Get a Job in Singapore

Research has shown that of the resident persons with disabilities in Singapore in the age group 15 to 64, 31.4% were employed, 3% were unemployed, and 65.7% were outside the labor force.

As we can see from the current status of PWDs, it’s time we make a collective effort to change the percentage of people outside the labor force. But before that, let’s understand the complications faced by PWDs to get a job in Singapore:

Limited accessibility

When buildings lack ramps or elevators, it becomes difficult for PWDs to access workplaces or attend job interviews. Transportation hurdles add to the challenge, as inadequate public transportation or lack of private options can make commuting to work difficult.

Moreover, the requirement for technology in many jobs becomes an additional barrier. If tools and platforms are not designed with accessibility, PWDs may find it challenging to perform essential tasks.

Prejudice and stereotypes

Employers and colleagues often underestimate the skills and potential of PWDs based on pre-existing stereotypes. Employers might hold unconscious biases that PWDs are incapable, leading to discriminatory hiring practices, such as overlooking qualified candidates with disabilities.

Even if PWDs end up getting employment, they can be subject to hostile work environments that stem from prejudice towards disabilities. They might be excluded from important decisions, social events, or decision-making processes. Such a negative work culture often pushes them to leave the organization.

Limited job opportunities

People, including PWDs, have a belief that disabilities limit the availability of job options. However, there have been plenty of instances where PWDs have thrived in different sectors, such as technology.

For example, Mr. Joshua Tseng, who is blind, works as an accessibility consultant with Etch Empathy, an NPO. He looks into and deals with accessibility issues of software like apps and websites. This further helps people with different disabilities access crucial platforms like banking apps more easily.

Such instances are explicit depictions that limiting job opportunities due to disabilities is a big issue hindering the growth of PWDs globally.

Lack of inclusive policies

Companies often lack inclusive policies that consider the unique needs and abilities of PWDs. Sometimes, PWDs need help to apply for a job as online application processes are incompatible with assistive technologies. If they get a job, they deal with the absence of flexible work options such as remote work, hybrid setup, or adjusted schedules.

In fact, employees and managers may not receive adequate training on creating an inclusive work environment. PWDs need to receive dedicated attention and instructions per their requirements to feel more valued and welcomed in the organization.

Educational barriers

PWDs may need help getting specific educational assistance, like sign language interpreters, note-takers, or adaptive technology. For individuals with visual, hearing, or cognitive impairments, ensuring materials and resources are available in accessible formats becomes vital.

Without this accessibility, their learning and academic success are significantly hindered. Moreover, PWDs often experience restricted opportunities to participate in extracurricular activities, internships, and vocational training programs. This limitation hampers their ability to develop practical skills essential for the job market.

Communication barriers

Many workplaces rely heavily on digital communication tools such as email, messaging apps, and collaborative platforms. PWDs may encounter obstacles if these tools are not designed with accessibility features, such as screen readers, magnification options, or compatibility with assistive technologies.

Financial barriers

Many PWDs require assistive technology or equipment to perform their job duties. These technologies remain costlier, making it difficult for organizations to acquire and maintain them.

From the perspective of PWDs, they might need help affording the training programs and educational opportunities required to get into specific sectors.

Legal and policy gaps

Despite anti-discrimination laws in place, PWD may still face discriminatory practices during recruitment and hiring processes. Some employers may also not provide reasonable accommodations, as the law requires, to enable PWDs to perform their job tasks effectively.

Moreover, enforcement of disability-related employment laws and policies may be insufficient, leading to a lack of accountability for non-compliance.

Advantages of Employing Persons with Disabilities

Employing persons with disabilities can do wonders for your organization. Here are some significant advantages you will experience:

Innovation and creativity

When employing persons with disabilities, you open your organization to some out-of-the-box ideas. They can bring unique perspectives and problem-solving skills to the workplace. You’ll be surprised to see the innovative ideas that stem from the minds of those who have gone through terrible misery.

Take Nicholas Huchet, for example, a French Drum player whose right hand was amputated. He then built his own myoelectric prosthesis in a lab using a 3-D printer. Surprisingly enough, the design of his prosthesis cost him only 200 € when the market cost was between 35000-45000€.

Huchet then moved further to head an association. He started a project to develop affordable myoelectric prostheses and let people participate in the process to help them find the best possible solution for their disability.

Access to untapped skills

Studies have shown that autistic people excel at paying attention to details, completing tasks efficiently, and showing great dedication to their work. Despite having these traits, a minimal number of autistic people are employed.

That’s just one example of the potential we miss out on when neglecting people with PWDs. As people that live in a world that may not be fully accessible to their needs, PWD often possess excellent problem solving skills with an innovative approach and a focus on adaptability.

Increased productivity

Many leaders in the technology arena are putting an effort into breaking stereotypes and experiencing enhanced productivity after bringing PWDs to their teams.

In our conversation with Mr. Rongzhong Li, the CEO/Founder of Petoi, the maker of futuristic bionic robot pets for adults and kids, he told us,

“When I brought in a team member with a disability, their unique perspective and problem-solving skills added a whole new dimension to our projects. It’s not about charity; it’s about building a stronger, more creative team. Plus, it turns out there are tools and strategies that make the workplace even more inclusive. Simple things like making sure your office is physically accessible and using communication tools that accommodate various needs can make a huge difference. Creating an equitable working environment isn’t rocket science; it’s just about being open, flexible, and recognizing the value everyone brings to the table.”

With simple changes in your current practices, you can create an equitable working environment that takes productivity to the next level and boosts employee engagement.

Positive impact on workplace culture

When an organization actively hires people with disabilities, it demonstrates a commitment to inclusivity. This commitment helps create an environment where individuals of all abilities feel welcome and valued.

Companies that make an active effort in hiring and helping people with disabilities reach leadership positions and create a thriving company culture that people want to be a part of. Such efforts significantly reduce attrition rates as strong workplace culture and inclusivity foster high levels of engagement.

Tools and Strategies to Create an Equitable Working Environment

Did you know that 160 million people alone with moderate and severe vision impairment (MSVI) are within the working age? In fact, globally, the annual cost of potential productivity losses of MSVI and blindness was $410.7 billion.

Imagine the drastic economic impact worldwide when people with the capabilities to contribute aren’t given enough opportunities to do so.

To ensure we reduce this number, here are some ways to create an equitable working environment where PWDs get their fair share of chances, opportunities, and financial benefits:

Diversity and inclusion training

According to a Harvard Business Review Report that focused on actions taken by organizations around diversity and inclusion, 78% of leaders claimed that they focus on employee training in areas such as bias reduction and inclusion. You can take a lot of initiatives to mitigate bias. As for PWDs, unconscious bias training could be of utmost help.

Unconscious bias training involves conducting activities where decisions or judgments are made, and participants discuss potential biases. For instance, a scenario might include hiring based on resumes and job applications.

Participants could analyze their immediate impressions, preferences, or assumptions regarding educational backgrounds, experiences, or disabilities. This exercise helps prompt individuals to recognize unconscious biases that may unconsciously affect their evaluation of candidates.

Closely examining these situations will help participants handle real-life situations differently. It will help them break their set notions and create a more welcoming organization for PWDs.

Inclusive hiring practices

To create an inclusive workplace, you must cultivate a culture promoting open discussions about disabilities. However, inclusivity should not be confined to the workplace alone; it should extend to the hiring process. Here are some steps you can take:

Craft clear job postings accessible to screen readers.
Use flexible interview approaches, such as remote or video interviews
Form a diverse interview panel to reduce biases and enhance objectivity
Implement online application systems with ease of navigation and submission
Provide training for hiring managers and recruiters on disability
Proactively inquire about candidates’ accommodation requirements and fulfill them

You can also collaborate with disability organizations and participate in job fairs explicitly targeting persons with disabilities. Such hiring practices will show your candidates that your organization respects and values all talent.

Equal pay analysis tools

To mitigate any pay disparities that may affect PWDs, organizations can rely on compensation data to analyze employee pay across their organization.

Using payroll tools, collecting, centralizing, and analyzing this data becomes more effortless. It also allows you to review payroll variations at a glance. To identify disparities, you can then examine the salary levels for similar roles and responsibilities. Adjustments are also more manageable with these tools as you can quickly assess and make adjustments without disrupting payroll practices.

Flexible work arrangements

Flexible work arrangements benefit employees in various ways. For PWD this may offer additional accommodations for medical appointments, transportation needs, or other particular nuances that may affect their ability to keep regular work hours or commute daily.

Some organizations opt for job-sharing arrangements where two employees share the responsibilities of one full-time position. This can benefit PWDs who prefer a reduced workload or need more time for self-care.

You should also implement flexible leave policies that accommodate the unique needs of PWDs, including medical appointments, rehabilitation, or intermittent leave.

Inclusive policy management systems

An organization’s inclusive policy focuses on practices, procedures, or interactions accommodating the diverse needs of all individuals regardless of differences such as race, gender, age, or ability. Whether it’s eliminating gender discrimination, racism, or issues related to disabilities, these policies make for a more equitable work environment.

Ensure you implement frameworks that break the barriers and provide equal access to information, services, and opportunities for everyone, including PWDs. This includes designing and managing accessible websites and digital content, creating physically accessible places, and using suitable communication methods. And can play out in seemingly simple ways that have a huge impact on the employees who benefit from them, such as adding closed captioning to video calls for hearing impaired individuals.

You should also support forming employee resource groups focused on disability inclusion. These groups can provide a platform for PWDs to share experiences, offer support, and collaborate on initiatives to enhance inclusivity.

Championing Inclusion with Omni

Now that you have seen how SG Enable helps PWDs gain better opportunities, it’s time to update your processes. With the right tools, you can ensure a smooth transition to a more inclusive workspace.

Omni empowers HR teams with the tools they need to make simple yet impactful changes to improve the accessibility within their organizations. Whether it’s accessible job postings that allow automated interview screenings and scheduling, helping you easily prioritize hiring practices for a more diverse workforce, or access to employee data to swiftly analyze payroll practices or personnel audits. Omni’s highly customizable platform equips you with the tools and systems you need to make updates, save time, and connect with your workforce.

Book a call with our team today to learn more!

A physically and mentally well workforce is more productive than those torn between unrealistic deadlines and pressure. Workplace wellbeing initiatives aim to create such work cultures where employees thrive, grow, and are satisfied with their jobs.

In fact, according to a 2020 Deloitte survey on workplace wellbeing, 80% of executives claimed that well-being was their top priority. Yet, the Human Capital Trends report stated that nearly 90% of employees feel their work life is getting worse.

The data illustrates that despite the current efforts of Singaporean companies to invest in workplace wellbeing, their strategies are falling short. This disconnect is a contributing factor to the necessity of Singapore’s Workplace Wellbeing Champions Network, a government-backed initiative to help create a more positive work environment for Singapore employees.

What is Workplace Wellbeing?

Workplace wellbeing refers to optimizing employees’ health, satisfaction, and overall fulfillment within a professional setting. It extends beyond the traditional notions of health and safety by incorporating elements of physical, mental, emotional, social, and professional dimensions. At its core, workplace wellbeing seeks to create an environment that not only protects employees from physical harm but helps them navigate stress, career dilemmas, and other work-related issues.

Some examples of workplace wellbeing initiatives are as follows:

Allowing employees to work remotely or provide flexible working hours
Offering gym memberships, fitness classes, or wellness workshops
Providing access to counseling services and stress management workshops
Organizing team-building activities, social gatherings, and other group activities
Conducting regular one-on-one meetings between employees and managers
Encouraging the use of vacation days and time off to prevent employee burnout
Offering training programs, mentorship, and other opportunities for career advancement

Implementing a blend of these wellbeing initiatives is crucial, as physically and mentally well employees are likely to be more focused, energetic, and productive in their roles. Such a positive culture that prioritizes employee wellbeing also attracts top talent and reduces organization’s attrition rate. This is becoming increasingly important as 59% of employees would consider leaving their current role for a company offering better wellbeing benefits.

Role of a Workplace Wellbeing Champion

A workplace wellbeing champion is a trusted individual within your organization whom employees feel comfortable turning to when they need support. Instead of internalizing their concerns, these wellbeing champions bridge the communication gap between leaders and team members. With this, timely action can be taken, preventing a surge in employee turnover rates and serving as a value add and benefit to attract new talent.

As Mr. Aslam Sardar, Chief Executive of the Institute for Human Resource Professionals, states, “When you have very good well-being programs, you are attractive to an employee and are more likely to attract talent, especially the younger generations.”

According to WHO, creating a healthy workplace requires including initiatives in four crucial areas—the physical work environment, psychological environment, personal health resources, and enterprise involvement in the community. Based on that, here are some specific duties of workplace wellbeing champions:

Provide resources and information: Create a centralized hub for employees to quickly get resources, articles, and information on various aspects of wellbeing, such as mental health support, fitness programs, and healthy eating.

Organizing wellness programs: Planning and implementing wellness challenges, such as step-count competitions, yoga sessions, or mindfulness programs to encourage physical activity and stress reduction. These programs reduce absenteeism by 14-19%, and 80% of employees claim to enjoy their work days when wellness programs are in place.

Facilitate open discussions: Create a safe space for colleagues to discuss their concerns, challenges, or ideas about well-being openly. This can be done through regular meetings, informal gatherings, and offering mental health days at work.

Mental health advocacy: a 2019 Cigna wellbeing survey revealed that a staggering 92% of employed respondents in Singapore were stressed, and 44% of them believe that their existing workplace programs did not address mental health. A sentiment that has only intensified in a post pandemic world. Running awareness campaigns on mental health, providing resources on coping strategies, and reducing the stigma around mental health support have become crucial in supporting employees.

Collaborate with relevant stakeholders: Collaborate with management, Human Resources, and other stakeholders to integrate well being into your overall organizational strategy. They may also collaborate with external partners, such as wellness experts or healthcare providers.

Collecting feedback and suggestions: Asking for feedback via surveys is another crucial area in enhancing your wellbeing initiatives. You can use this information to tailor programs and meet employees’ specific needs, helping to identify specific pain points within your organization.

While the role is often voluntary, wellbeing champions should have the time to attend meetings, organize events, and stay informed about relevant wellness topics.

Who can be a ‘Workplace Wellbeing Champion’?

Any employee within an organization who is passionate about promoting a positive work environment can become a workplace wellbeing champion. The role is typically voluntary, and individuals interested in their colleagues’ well-being often take on this responsibility.

However, according to Gan Siow Huang, the Minister of State for Manpower, “wellbeing champions are typically management level employees, who can rally senior management to implement policies to support employees’ mental wellbeing.”

Some characteristics and qualifications that make people well-suited to be workplace wellbeing champions include:

Passion for wellbeing: Wellbeing champions should genuinely care about the health and happiness of their colleagues. It isn’t just a title but a desire to walk people through their distressing times and lead them to better paths.

Good communicator: Wellbeing champions must communicate information about wellness initiatives, resources, and events to their colleagues effectively. Sometimes, people who need these initiatives the most need a little convincing to become a part of it. That’s where strong verbal and written communication skills would help.

Approachable and supportive: The wellbeing champion should be the first person colleagues turn to when they are in need of support. This ensures that seeking advice or discussing concerns isn’t difficult for those dealing with significant issues.

Enthusiastic and positive: A positive attitude can be contagious. Wellbeing champions who approach their role with optimism can motivate others to prioritize their own wellbeing. At the same time, champions should empathize with the challenges for providing meaningful support and guidance.

Respect for privacy: Wellbeing champions deal with sensitive information related to the health and wellbeing of their colleagues. They must prioritize privacy and maintain confidentiality to create a safe space. To ensure employees share the needed information, asking the right question becomes essential. Prepare a list of employee satisfaction survey questions that equally focus on job satisfaction, work environment, communication, work-life balance, and professional development.

What is Singapore’s Workplace Wellbeing Champions Network?

The Wellbeing Champions Network is Singapore’s largest network for workplace mental health and wellbeing, supported by the Tripartite Alliance Limited. They focus on three things— feeling well, functioning well, and connecting well, providing a 360-degree wellbeing experience.

Feeling well focuses on both physical and emotional wellbeing. It includes breathing techniques for better awareness, incorporating physical movements in the busy work schedule, focusing on emotional intelligence, and creating a sense of belongingness in the workplace community.
Functioning well focuses on creating a sense of work fulfillment, which remains extremely important to bring the best out of employees. It includes boosting skills and opening the mind to new ideas and experiences to lead employees in the right direction
Connecting well helps in strengthening the relationship with the community and the environment. It focuses on contributing to others in both small and large ways and adding value to life by building meaningful relationships.

Comprising 50 founding members from renowned organizations, the Wellbeing Champions Network aims to create a safe space and culture of sharing without the fear of discrimination.

The network was formed based on research showing that a significant number of employees fail to deal with work demands and pressures. These employees took a lot of medical leave and were prone to accidents much more than other employees. So, focusing on mental wellbeing became critical for both productivity and safety.

So, as part of Singapore’s National Mental Health and Wellbeing Strategy 2023, employers are recommended to have wellbeing champions within their teams. However, the concept of workplace wellbeing is new. That’s where a community-based approach via the network could help, as you can learn from experiences and expert insights.

The whole idea of Singapore’s Workplace Wellbeing Champions Network is to create a unified and collaborative space where every employee is heard, seen, and respected for their issues, big or small.

How to Join the Workplace Wellbeing Champions Network?

Joining the workplace wellbeing champions network is free, and champions and other nominated employees can join the network with no fee. All you need to do is email Kaleidoscope Labs at hello@kaleidoscope.sg, the official vendor appointed by the Workplace Safety and Health Council.

The Expansion of Tripartite Advisory on Mental Health

The subject of mental health has long been somewhat of a taboo in Singapore as Singaporean society believes in hard work and resilience. However, we observed a significant shift after COVID-19 with a growing emphasis shifted to the importance of mental health and wellbeing in the workplace.

The Tripartite Advisory on Mental Health was then launched in 2020 to provide employers with knowledge and skills to better support their employees’ mental health and well-being. The initiative collaborates with the government, employers, and workers’ unions.

In 2023, the Tripartite Advisory was expanded to include new measures such as the Workplace Wellbeing Champions Network. The network successfully connected individuals dedicated to promoting well-being practices in the workplace.

The Advisory also included new measures to eliminate stigmas and implement a peer support system of trained staff to create a supportive and positive work environment. We also observed an increased focus on hiring individuals with mental health conditions to create a more inclusive workplace.

Empowering Teams for Health and Wellbeing

The Workplace Wellbeing Champions Network has numerous benefits for your employees and organization. It’s important to emphasize the benefits, showcase their positive impact, and create a compelling narrative around the initiative to facilitate stakeholder and employee buy-in.

To empower more employees to join the network, focus on conveying personal benefits such as enhanced leadership skills, increased job satisfaction, and the opportunity to positively impact workplace culture. You can also provide examples of successful wellness programs and initiatives within the organization or from other companies.

Read next: Practical Approaches to Identify and Tackle Employee Burnout Signs

Remember that the key is to personalize your communication and tailor your approach to your organization’s unique characteristics and culture.

How Omni Supports Singapore Businesses

Localized payroll

Manual payroll is made easier with tools like our payslip template Singapore. For companies at risk of common errors such as miscalculations, typos, and missed deadlines, automating your payroll with Omni offers a comprehensive payroll solution tailored to Singapore’s specific requirements. With features like support for SGD, automated tax calculations, and managed CPF contributions, Omni can help HR teams simplify their payroll processing and ensure compliance with ease.

Try Omni’s free CPF Calculator

With automated payroll outsourcing services, digitized and secure payslip distribution and records keeping, and dedicated support teams to guide your team and ensure compliance, Omni’s payroll processing reduces common payroll errors as well as the administrative burden of your HR team and frees up valuable time to dedicate to more impactful business processes.

Documents and visa management

E Pass salaries and other regulatory changes are a common reality for Singapore businesses, technology can help manage the various documents and E Pass salary requirements needed to support your foreign talent.

Omni allows your organization to securely and centrally manage employee information such as proof of qualifications and written consent necessary to obtain a Singapore E Pass. Our employee-portal makes it easy for employee’s to upload and update their information, centralizing critical information such as E Pass numbers, expiry dates, and renewal reminders, helping ensure your E Pass management meets the regulations set by the Singapore government.

Benefits administration

Omni’s time off management capabilities help managers and HR teams swiftly navigate employee leave management, promoting wellbeing and work-life balance. Omni’s platform allows you to approve leave applications on the go and keep track of who’s in and out of the office with at-a-glance scheduling.

Our employee self-service portal empowers employees to submit their time off requests, which automatically routes to the appropriate manager thanks to customizable approval workflows. With automated calculations, employees and managers can easily view leave balances in real-time, and track how many vacation days they have left without having to go through HR.

Our localized solutions and inter-connected system integrates your leave management efforts with payroll processing, facilitating automatic, accurate calculations and compliance with local regulations for various regions.

Book a free demo with our team

The International Labor Organization (ILO) estimated that “nearly three million workers die every year due to work-related accidents and diseases, an increase of more than 5 percent compared to 2015.” Out of those three million, 330,000 are due to work accidents. This statistic partly explains the numerous local, state, and international laws set all around the world, but in APAC specifically, to protect the health, safety, and equity of workers.

While HR leaders must abide by these regulations in APAC at all times, frequent updates could make HR compliance a struggle. To make it easier, follow this comprehensive HR compliance checklist when setting your company guidelines to ensure compliance.

What is HR Compliance?

HR compliance is the adherence of your company to the relevant laws (including industry-specific ones) on a local, state, national, and international level. If your organization covers various geographical regions, there are more rules that you might have to account for.

To be compliant, your company policies must align with these regulations, including setup, enforcement, and ongoing alignment. This requirement plays into several HR roles, such as recruitment, working hours, and work environments.

Why is HR Compliance Important?

You may be curious about the significance of HR compliance for your business. The reason is simply: HR compliance can potentially save your company millions of dollars by preventing avoidable fines, penalties, settlements, and legal entanglements.

These regulations are established to safeguard employees, with compliance encompassing equitable compensation, workplace safety measures, and the prohibition of employee discrimination.

Challenges in APAC HR Compliance

Although it may seem overwhelming, dissecting the difficulties that HR leaders encounter in their pursuit of compliance in APAC will empower you to approach them proactively and prepare for them. Some of the common challenges that APAC HR leaders may face include:

Keeping Up With Changing Regulations

Many HR professionals may lack assurance in staying abreast of the constantly evolving laws and regulations across the APAC region.

For example, in Malaysia, significant amendments were implemented to the Employment Act 1955, as reported in the Asia-Pacific Employment Law Bulletin 2023, which took effect on January 1, 2023.

Meanwhile, in Australia, the recent reforms to labor and employment laws were initiated by the new federal labor Government in 2022. Additionally, China experienced alternations in its Covid policy after its reclassification from Class A to a Class B infectious disease.

As such, it is to no surprise that keeping up with changing regulations could be burdensome and overwhelming for HR leaders.

Navigating Statutory Requirements

Ensuring statutory compliance entails adhering to employment-related laws established by local, state, or federal governments. These regulations cover a broad spectrum, ranging from minimum wage requirements to protocols for reporting incidents of money laundering. To ensure compliance, it is essential to set workplace policies that align with these legislations and enforce them consistently.

For example, in Thailand, when employers terminate employees without justifiable cause, they are obligated to provide compensation including salaries up to the last working day, severance pay, payment in lieu of notice, and compensation for accrued but unused annual leave.

However, defining what constitutes “justifiable cause” varies across different jurisdictions, adding complexity to compliance efforts. For instance, subpar performance might not suffice as a valid cause for termination in some regions, necessitating careful consideration and adherence to the specific regulations applicable to your operating area.

Balancing Diverse Recruitment Strategies

To tap into the diverse talent pools across the APAC region, it is crucial to refine your hiring approach to accommodate various needs. This entails identifying the point where HR compliance aligns with the diverse cultural and business practices of each country, including local customs.

For instance, certain negotiation styles prevalent in the APAC region should be embraced while ensuring compliance with labor laws. This ensures that offers made are not below the minimum wage threshold.

Most Common APAC HR Compliance Issues

That being said, let’s delve into the prevalent HR compliance issues in the APAC region to help you steer clear of repeating these mistakes or rectify any that may have occurred.

Hiring Discrimination

It begins with your job advertisements! Many ads explicitly mention requirements related to a particular protected class, which is discriminatory. These include criteria such as:

Race
Sex
Color
Nationality
Religion
Disability
Age
Genetic information (like family medical histories).

Protected information should not influence the hiring process. It’s essential to utilize neutral language that neither specifies nor implies such preferences. Fortunately, there are online tools and readily available templates to assist with crafting inclusive job ads.

Wrongful Dismissals

Non-compliance in the form of terminating employees on unjustified grounds is an issue. Each country in the APAC region has regulations stipulating valid reasons for employment termination, including:

Serious misconduct
Neglect of duties
Breach of contract or policies
Diseases and injuries
Incompetence
Deliberate disobedience of lawful orders
Fraud against employers

In comparison, personal feuds, race, gender, and religion are invalid reasons to terminate employment.

For instance, terminating a worker in the middle of a conflict can come with the risk of wrongful termination lawsuits. Not to mention, it can hurt the remaining employees’ trust in their managers. Other examples include termination of contract during leave. In Indonesia, this is prohibited unless employees were absent due to sickness for more than 12 months.

Maternity Discrimination

In an area rife with HR complexities, adherence to maternity guidelines is frequently compromised due to breaches or loopholes in maternity leave policy. A concerning phenomenon involves expectant mothers concealing their pregnancies at work out of fear of potential job loss.

In an online panel discussion, it was emphasized that Indonesia lacks cash benefit schemes for maternity leave. This situation has also led some employers to exhibit reluctance in hiring female employees of childbearing age due to the full liability they bear for such benefits.

Salaries Owed to Employees

Employees may experience delays in receiving their salaries, partial payments (resulting from unfair deductions), or even complete non-payment.

Lead India, a law firm, has pointed out that certain organizations exploit employees’ unfamiliarity with the extensive law safeguarding their rights in India. Despite the existence of numerous laws, some businesses may terminate contracts arbitrarily or even withhold salary payments, escaping accountability.

APAC HR Compliance Checklist

So, where should you start with HR compliance? Use this checklist as your roadmap, assisting you in maintaining a risk-free business and resilience against legal actions!

Recruitment and Hiring

In terms of recruitment, consider the model provided by Australia’s Fair Work Act. It incorporates completing employment contracts, providing necessary training, and conducting HR compliance procedures. The main pillars of this act are:

Workforce rights (such as making complaints, claiming benefits, working hours, unfair dismissal, and minimum employment standards)
Discrimination
Industrial activities (meaning that employees can be a member of an industrial association)
Pressure to negotiate individual arrangements

Employee Records and Documentation

In Malaysia, onboarding involves completing employment contracts and maintaining HR compliance with the Employment Act. You should also refer to both the Personal Data Protection Act 2010 and the Companies Act 2016.

For the duration of employment and for seven years after, businesses are required to keep personal information and the employment contract. The duration differs across record types, such as leave records and payment details, so be sure to check relevant legislations that apply to your business to ensure compliance.

Wages and Benefits

When it comes to wages and benefits, the National Employment Standards (NES) sets the guidelines that Australian businesses must adhere to. It details the bare minimum terms and conditions of what you must provide to all employees in the national workplace relations system. The standards the NES governs are:

Flexible working arrangements
Offers and requests to convert from casual to permanent employment
Maximum weekly hours
Requests for flexible working
Annual leave
Parental leave and related entitlements
Personal/carer’s leave, compassionate leave, domestic violence, and family leave
Long service leave
Community service leave
Public holidays
Notice of termination and redundancy pay
Superannuation contributions
Fair Work Information Statement and Casual Employment Information Statement

Maternity and Paternity Leave

In Singapore, employees are eligible for a maternity leave of 16 weeks, with 8 weeks of Government-paid leave, in the case of:

The child being a Singapore citizen
Working under you for at least three continuous months before the birth (if the mother is employed).
Giving you at least a week’s notice before the maternity leave and informing you as soon as possible of her delivery.

In the Philippines, employees get 105 days of maternity leave, fully paid, if they notify you of their pregnancies and the probable dates of childbirth. They can also extend the maternity leave by 30 days without pay.

If you’re in Singapore, you should ensure that the mandatory contributions of employees reach the Central Provident Fund (CPF), a program that supports citizens with housing, healthcare, and retirement aid. Plus, you should ensure the contributions are the right amounts depending on employees’ ages and positions.

Free CPF Calculator

In Malaysia, you should comply with the Employees Provident Fund (EPF) conditions, a retirement savings fund. Contribution is mandatory for employees whose contract details are not covered by the First Schedule, Section 2, EPF Act 1991.

As for China, the social security system comprises five insurance types and a mandatory housing fund. You must make timely, monthly payments on behalf of your employees.

Read more:

Payroll Singapore Reference Guide: Everything You Need to Know

Your Guide to Malaysia Payroll

Workplace Safety

If you’re operating in Australia, you must comply with Work Health and Safety (WHS), also called Occupational Health and Safety (OH&S), to keep your workplace safe and avoid putting employees at risk.

These laws regulate the machinery and structures, their usages, handling, and storage, health monitoring, facility maintenance, and the resources needed for safety.

Termination and Offboarding

The Labor Standards Act (LSA) sets the working conditions standards necessary for your employees’ livelihood in South Korea, including termination and offboarding policies. We’re talking about justifiable grounds for contract termination, 30-day notice periods, and rules for mass termination.

Moving to Singapore, you can refer to the Employment Act. It obliges you to give the leave notice determined in the contract or pay in lieu. If unspecified, you can refer to the act to learn how long the duration needs to be, which can vary from one day to four weeks. Also, the legislation prohibits discrimination on employment termination.

Australia’s offboarding process involves ensuring HR compliance with Fair Work requirements, like the reason for dismissal and notice period. Employees must receive one to four weeks notice from you (depending on their tenure) and no notice is needed in cases of summary dismissals.

Data Protection and Privacy

Data protection codes are designed to prevent data breaches against the personal information of employees (like medical records). Some regulations that need to be accounted for when setting up your HR compliance include China’s Personal Information Protection Law (PIPL) or Malaysia’s Personal Data Protection Act (PDPA) for lawful and fair data processing.

Regular Compliance Audits

To ensure HR compliance, you should set a solid data governance plan that stores data for up to six years. This way, when your HR data is subjected to internal or external compliance audits, all the relevant information will be there, ensuring maximum compliance for your business.

Learn more: 8 Reasons Small Businesses Need an All-in-One HR Software

Guidelines for Better HR Compliance

While adhering to HR regulations is crucial for avoiding legal issues, it is even more fulfilling to prioritize compliance for the well-being of your employees. Make it your goal to enhance their working conditions, leading to increased job satisfaction and employee engagement.

Adding purpose into tasks that may seem mundane or bureaucratic motivates you to strive for excellence, achieving better HR compliance in the process. We understand that this might seem like additional effort, but a reliable HR software solution takes on the bulk of the workload, allowing you to focus on advancing your mission.

With Omni, you gain access to data-driven insights that empower informed decision-making, as well as seamless integrations that effortlessly connect with your existing employee favored systems, making your entire engagement process more efficient and modern.

Omni scales alongside your team so you can customize and leverage the system to meet your business exactly where you are—as well as where you’re going.

With a full suite of modules to support every aspect of your business, Omni’s platform offers an intuitive and fully customizable platform that integrates with your team’s favorite tools for a seamless and timely adoption.

If you’d like to learn more about how Omni’s all-in-one HR software automates the entire end-to-end employee lifecycle, saving People leaders from administrative tasks and increasing organizational innovation,

book a demo with our team!

A Gartner report states that 47% of HR leaders intend to boost their 2023 budgets, focusing primarily on investments in recruiting and HR technology. This is no surprise as HR technology, like HRIS solutions, has consistently adapted to meet the growing challenges in the field, including tax filing complexities.

With the income tax 2023 deadline approaching, many Malaysian business owners and HR leaders are swamped preparing for tax file reporting. However, tax season can pose an issue if you are not aware of these common challenges. Read on to discover the top 5 challenges of Malaysia’s Tax season and how HRIS solutions can help you make the tax season less overwhelming.

When is the Tax Season in Malaysia?

The tax season in Malaysia is the period leading up to 30 April for individuals who are filing Forms BE in the following calendar year. There’s a 15-day leeway for e-Filing, which gives you until 15 May. However, some forms must be delivered as early as 29 February, so the exact deadline depends on the type of form you are filing.

Learn more: Your Guide to Payroll Malaysia

What is Included in Malaysia’s Tax Season?

With the numerous form types and procedures that could be overwhelming, let’s review all necessary filings and tasks done before the income tax 2023 deadline Malaysia.

Individual Income Tax

According to PwC, “an individual, whether tax resident or non-resident in Malaysia, is taxed on any income accruing in or derived from Malaysia. Resident individuals are also subject to tax on foreign-sourced income received in Malaysia.”

In other words, individuals who receive income in Malaysia are required to file for individual income tax or Form BE by the deadline of 30 April 2024 or 15 May 2024 for e-Filing.

Corporate Income Tax

Regarding corporate income tax, PwC explains that corporate income tax (CIT) applies to both resident and non-resident companies on income generated within Malaysia. Resident companies are additionally taxed on foreign income received in Malaysia.

This tax obligation pertains to Malaysian business owners, requiring filing 30 days before the start of the basis period, which represents the annual tax-paying timeframe for sole traders or partnerships.

Goods and Services Tax/Sales and Services Tax

The Malaysian government introduced the Sales and Services Tax (SST) to replace the Goods and Services Tax (GST), reforming the tax system. The goal was to increase buying power, especially among middle and lower-income earners.

The Sales and Services Tax is a tax return on the importation of taxable goods in Malaysia by registered manufacturers. You must file it every two months (the taxable period).

Employee Compensation Reporting

Employee income is subject to taxes if your employee:

Is employed in Malaysia
Is on paid leave from employment in Malaysia
Is a director of a company based in Malaysia or working on an aircraft or ship by a Malaysian resident
Is working outside Malaysia for the benefit of employment within Malaysia

Form E is a statement of payments that your employees receive. It includes the number of employees, new hires, employee and employer details, and payment details, such as allowances, wages, salaries, bonuses, and incentives.

As an employer, you must submit Form E to the Inland Revenue Board of Malaysia (IRBM), also referred to as Lembaga Hasil Dalam Negeri (LHDN).

Tax Planning and Compliance

Tax planning involves leveraging tax law knowledge to minimize tax payments. Ensuring your business is tax-efficient is crucial before the income tax 2023 deadline Malaysia. This involves analyzing income timing and size and implementing strategies such as tax gain-loss harvesting.

Typically, compliance with the income tax 2023 deadline Malaysia entails paying taxes punctually and in full, while completing all necessary forms. Due to their complexity, some entities may choose to opt to outsource compliance duties.

Challenges that Malaysian Corporates Face During Tax Season

As the saying goes, awareness is the first step in solving a problem, here are the top challenges that you should be aware of before the income tax 2023 deadline Malaysia.

Complex Tax Regulations

Over 80% of respondents in the Asia Pacific Tax Complexity Survey by Deloitte claim that the tax compliance and reporting obligations in the countries they operate in aren’t simple.

As a result, many businesses devote big portions of their resources to understanding tax regulations and complying with them. It’s even more challenging to maneuver them when you’re operating in different geographical regions (aside from Malaysia) and have to comply with multiple legislations.

Tax regulations are complex because they aim to raise revenue and uphold values like fairness, efficiency, and practicality, simultaneously. Balancing these objectives make them complicated. On top of that and the constant changes in provisions, it is no surprise where the majority of HR leaders are overworked during the income tax 2023 deadline Malaysia.

Deadline Pressures

It is understandable if you feel overwhelmed by keeping up with tax deadlines. Balancing responsibilities like filing tax forms such as Form E and Form BE for all employees in your medium-sized business can be challenging. On top of that, ensuring accurate payments and meeting the income tax 2023 deadline Malaysia, which varies based on the form type, adds to the pressure.

Data Accuracy and Documentation

According to the Employment Act, you must keep most employee records for at least six years. You might also need to put together these documents and ensure all their data is accurate before the income tax 2023 deadline Malaysia. Accurate documents serve as evidence of your position during an audit or dispute with tax authorities.

The changing tax requirements make employee data sourcing, financial and personal, more challenging. Not to mention, financial data comes with different required levels of detail for the purpose of tax disclosures, which you need to keep in mind.

Employee Tax Compliance

Completing personal tax returns can be tedious, but managing taxes for an entire organization before the income tax 2023 deadline Malaysia presents a significant challenge. This includes payroll tax compliance, income tax compliance, determining taxable income, and navigating legal ambiguities. Failure to comply results in penalties, which can have financial and reputational consequences for you as a business owner in Malaysia.

ADB states that most revenue bodies admit to having compliance risk management processes, which are integral to their strategies. These processes are further proof of the difficulties that tax compliance brings about.

Adapting to Regulatory Changes

Tax regulations undergo frequent updates to adapt to evolving circumstances or improve existing ones. It’s essential to stay abreast of these changes and ensure your tax filing aligns with them before the income tax 2023 deadline Malaysia. Recent factors driving such changes include the COVID-19 pandemic and the increasing prevalence of remote work and digitalization of processes.

As outlined in the Asia Pacific Tax Complexity Survey, governments introduced measures such as tax filings, payments, and reductions/deferrals in response to the pandemic. While beneficial, these adjustments can be challenging to navigate.

Furthermore, regarding digitalization, Malaysia as a member of the Organization for Economic Co-operation and Development (OECD), adopted the Base Erosion and Profit Shifting (BEPS) framework, including Pillar One and Pillar Two in 2020. Among its objectives, these tax regulations address the taxation of automated digital services.

In Malaysia, changes introduced in the Finance (No. 2) Act 2023, effective from 30 December 2023, include the imposition of a capital gains tax (CGT) on profits derived from the disposal of specific shares and assets. Implementing such alterations in your records before the income tax 2023 deadline Malaysia can pose certain challenges.

How Implementing an HRIS Can Help

According to the Asia Pacific Tax Complexity Survey, respondents were asked about their strategies for handling tax affairs and risks. While 25% indicated that tax digitalization was part of their plans, 70% expressed willingness to adopt such measures if budget constraints were not a concern.

Before investing in digital solutions such as HRIS, it’s crucial to understand how effectively they can resolve the challenges you will encounter before the income tax 2023 deadline Malaysia.

Automated Payroll Processes

Since payroll taxes complicate compliance, automating these processes via HRIS is just what you need. Some software options generate tax forms for compliant payroll and benefits administration. This way, tax filing is easy, quick, and error-free. Not to mention, it frees you up for other integral tasks before the income tax 2023 deadline Malaysia.

Document Management

HRIS models give you a centralized database of employee records, pulling from separate files and sheets. With such a system, you can easily access, update, and share data with the rest of your HR team.

This feature facilitates record keeping and reduces errors so that it’s easy for you to retrieve any data for tax filing, audits, or disputes with tax authorities around the income tax 2023 deadline Malaysia.

Learn more: 5 Ways Employee Database Software Elevates Your Business

Real-Time Reporting

Unlike traditional on-premises software and manual reporting systems, cloud-based HRIS solutions give you real-time access to data and reports. They regularly update documents, automatically synchronize changes, and promptly generate reports using imported data.

In essence, utilizing these solutions guarantees accurate, updated, and swift reporting. This enables you to meet the income tax 2023 deadline Malaysia and successfully avoid tax-related stress and penalties.

Compliance Alerts and Updates

HRIS service providers in Malaysia ensure they are abreast of tax regulations, automatically updating their systems accordingly. Some may even provide alerts when compliance requirements change. However, configuring the HRIS system to facilitate updates is necessary during implementation.

By receiving timely updates, your business can easily adapt to frequent changes such as those introduced by the Finance (No. 2) Act 2023, OECD rules, and any future regulations. This streamlined process helps mitigate tax compliance risks.

Employee Self-Service Portals

Most HRIS solutions provide employee self-service portals (ESS) which allows employees to gain quick and easy access to HR-related actions and services that HR personnels would otherwise have to provide.

As the income tax 2023 deadline Malaysia approaches, certain HRIS solutions offer features to alleviate the workload of the tax season. This includes delegating specific tasks to employees, such as tax-saving declarations, setting submission deadlines, and providing notifications to those employees.

Read next: Your Guide To Successfully Pitching HR Software To Leadership

Omni Supports Malaysian Businesses Through Tax Season (and Beyond)

Tracking and calculating hours, managing employee records, and administering payroll for income tax 2023 deadline Malaysia requires a clear, secure, and accurate system to ensure compliant and timely payouts for your employees.

Our comprehensive payroll solution is tailored to Malaysia’s specific requirements. With features like support for MYR, automated tax calculations, and instant payroll reports, Omni can help HR teams simplify their preparation process for income tax deadline 2023 Malaysia while ensuring compliance.

Start your free trial today and see how Omni can simplify the intricacies and complexities of preparing and submitting for income tax deadline 2023 Malaysia and minimize the costs associated with common errors.

The Philippines is quickly cementing itself as a leading commercial hub in Asia, thanks to its business-friendly laws and large English-speaking workforce. While it is undoubtedly a great country to have a business in or hire remotely from, you need to consider the relatively intricate payroll taxes system in the Philippines.

From social security contributions, to housing subsidies, there are many different taxes employers need to consider, with more than a few exemptions on top. Remaining compliant to these regulations needs to be top priority, so that legal challenges and fines don’t eat into your bottom line.

Here’s everything you need to know to navigate the intricacies of payroll taxes in the Philippines:

How is Payroll Calculated in the Philippines

In the Philippines, calculating payroll is a fairly meticulous process. Many factors are considered, reflecting the country’s specific regulations and requirements. Payroll calculation encompasses not only the basic salary but also allowances, deductions, and statutory contributions. The simplest way to express this calculation is take your employees’ gross pay, and add to it the entirety of the payroll taxes you must contribute on top (which we’ll get into further down).

Understanding the local tax landscape is necessary as it directly impacts an employee’s take-home pay and your company’s compliance with the law. From the intricacies of income tax to the nuances of mandatory deductions, a comprehensive grasp of how payroll is calculated will give you the tools and confidence you need to manage it successfully.

What are the Payroll Taxes in the Philippines

Payroll taxes in the Philippines are a primary source of revenue for the government, and are taken seriously due to the value they bring to the country and its people. These taxes are levied on employees’ income and play a fundamental role in funding public services and initiatives.

Like most places, the Philippine government operates with a tiered tax system, where the rate of taxation increases with income. This helps distribute the tax burden fairly, helping to create a fair and sustainable method.

In the Philippines, employers are responsible for deducting payroll taxes from their employees’ salaries, reflecting the goal for a collective contribution to national development. Payroll taxes in the Philippines serve as a financial foundation for essential government functions, and employers play a major role in helping that revenue stream flow smoothly.

Key Components of Payroll Taxes

As mentioned above, the payroll taxes in the Philippines encompasses a few key components. This will help you and your employees know why money is being deducted, where it’s going, and ensure everything is paid in full.

Taxable Income and Exemptions

In the Philippines, determining taxable income requires a thorough and nuanced assessment of an employee’s earnings, considering things like basic salary, allowances, bonuses, and benefits. Basically, employers need to consider their workforce’s entire earnings, not just the recurring salary they make.

There are several exemptions, including for dependents, certain allowances (such as the 13th Month Pay which serves as a form of recognition for employees’ contributions throughout the year is often untaxed up to a certain amount), and specific benefits (like small-value uniform or rice allowances, called De Minimis Benefits). Just like employers need to ensure they are deducting enough tax, they also have to make sure not to miss income or allowances that are exempt.

The Social Security System in the Philippines is a comprehensive program designed to provide financial protection to employees and their beneficiaries. It encompasses contributions for retirement, disability, sickness, maternity, and even death benefits. Employers and employees contribute specific percentages of the employees’ monthly salary to the SSS fund. Understanding the intricacies of these contributions is vital for both employers and employees, ensuring comprehensive social security coverage.

PhilHealth Contributions

PhilHealth, the national health insurance program, mandates contributions from both employers and employees to maintain national health-related benefits. The contributions are calculated based on a percentage of an employees’ monthly salary, with a set income ceiling.

These funds are a major pillar of support for the healthcare needs of employees and their dependents, which is why accurate and timely PhilHealth contributions are so important.

Home Development Mutual Fund (Pag-IBIG) Contributions

The Pag-IBIG Fund, managed by the Home Development Mutual Fund, focuses on providing housing loans and financial assistance to its members. Both employers and employees contribute to this fund, which for many, plays a major role in helping them afford adequate housing.

It is a good idea to take the time and help your employees understand how they can access housing-related benefits, which can be a major contribution to their well-being and appreciate the taxes they pay.

Challenges in Complying with Payroll Taxes in the Philippines

It’s clear that payroll taxes in the Philippines aren’t exactly simple to understand, with many different kinds of deductions and exemptions. Here are some key challenges you can expect to face, and how to overcome them:

Changing Payroll Taxes Regulations

Like elsewhere, the tax rules in the Philippines is an ever-evolving system. Frequent changes in tax laws, amendments, and updates require an agile and consistent approach to ensure you remain compliant.

Staying up to date with these changes requires dedicated efforts to interpret and implement new regulations accurately. You should establish a process, or dedicated personnel for monitoring updates and have plans in place to swiftly automate and adapt your payroll processes to remain compliant, and avoid any legal complications or fines.

Complex Payroll Taxes Calculations

The complexity of calculating payroll taxes, considering various components such as taxable income, exemptions, and contributions to SSS, PhilHealth, and Pag-IBIG, adds another layer of intricacy to the compliance process.

Manual calculations are prone to errors, and the risk increases with the complexity of the tax structure. Investing in advanced payroll software and ensuring that your employees who are responsible for tax computations are well-trained can help to mitigate this challenge.

Read next: Your Guide to Successfully Pitching HR Software to Leadership

Implementing Robust Record-Keeping Systems

Robust record-keeping systems are essential for ensuring accurate payroll tax compliance. Employers should invest in digital record-keeping solutions that efficiently capture and organize relevant payroll data. These systems should enable easy retrieval of records, regardless of age, ensuring that your organization can provide the necessary documentation if you ever face an audit or inquiry.

Regular internal audits of record-keeping practices help identify discrepancies or gaps in data, allowing you to address issues proactively. Consider cloud-based storage solutions that offer accessibility and security, making sure that records are not only comprehensive but also protected from potential data loss.

Regular Audits and Internal Controls

Conducting regular internal audits is an important proactive step you can take to identify and fix potential issues in payroll tax compliance. Internal controls should be established to monitor the accuracy of your payroll calculations and tax deductions. These controls should include periodic reviews by designated employees.

Internal audits provide an opportunity to take a look at the effectiveness of your payroll procedures, identify areas for improvement, and confirm that you remain compliant with tax regulations. By establishing a culture of continuous improvement through regular audits, your organization can fortify their payroll tax compliance framework, and stay resilient to change or challenges that might come down the road.

While these steps cannot account for every single challenge that could arise from administering payroll taxes, each one is a major step towards streamlining your process and reducing errors. This isn’t just useful from an efficiency standpoint—following these steps should reduce overall workload, avoid fines, and ultimately benefit your business’ bottom line.

Payroll Taxes in the Philippines Made Simple

Managing payroll taxes in the Philippines is a complex and detail-oriented task that demands a deep understanding of the region’s unique legal requirements and a commitment to accuracy and compliance. That’s why it’s important to have the right technology on your side.

Omni offers a comprehensive payroll solution tailored to Philippines specific requirements. With features like support for Philippine peso, automated tax calculations, and managed SSS, PhilHealth and PAG-IBIG contributions, Omni can help HR teams simplify their payroll processing and ensure compliance with ease.

Omni’s suite of features makes the requirements for running a compliant and efficient payroll system and taxes in the Philippines easy. With secure and centralized employee records, HR teams can swiftly access employment contracts and essential documents that support payroll practices.

Our time and attendance features empower teams to automate data and produce accurate reports in minutes, making payroll calculations seamless and accurate. And with payroll solutions that support Philippine peso and pay schedules, Omni offers an entire suite of solutions to make your payroll taxes in the Philippines seamless.

If you’re ready to take your payroll taxes management to the next level,

book a demo with us today.

We’ll walk you through the platform’s capabilities and demonstrate how Omni can transform your payroll processing, saving you time, reducing administrative burdens, and enhancing overall efficiency.

Recognizing the need for streamlined and efficient HR processes, many businesses in the Philippines are embracing HR tools to leverage technology that helps modernize their businesses. These tools incorporate technology, automation, and data-driven decision-making strategies to keep HR teams on top of growing workplace trends. The integration of HRIS Philippines plays a vital role in modernizing the Filipino workforce.

But which HRIS Philippines is the best option for your organization? Here, we take a look at the top HRIS Philippines HR teams are utilizing to guide you in your search.

What is HRIS?

HRIS stands for Human Resources Information System, and is often referred to as HRIS, HRIS software, or HRIS system.

An HRIS system makes it easier for you to manage your HR processes and data. It’s a software that companies use as a central source of information for all of their employee management needs. Functions of an HRIS system include:

Managing employee time off and attendance
Benefits administration (such as insurance)
Performance reviews
Onboarding functions
Payroll
Employee self-service
Documents and e-signatures

HRIS Philippines, like all HRIS, manages all of your end-to-end Human Resources functions, such as the collection and storing of employee data including names, addresses, salaries, work permits, and benefits information.

This information system then helps carry out the many functions of HR, including recruitment, onboarding, applicant tracking, employee time and attendance, learning and development, performance reviews, analytics, and reporting.

Learn more: What is HRIS? Why HR Needs Automation in 2023

HRIS Philippines: Why Filipino Companies are Leveraging HR Technology

HRIS Philippines is a growing trend, helping companies both large and small, improve their operations and reduce the amount of time spent on administrative tasks. There are many advantages to the HRIS Philippines organizations are leveraging. Let’s take a look at why HR teams are leveraging HRIS in 2024.

Time and cost savings

HRIS Philippines helps save significant time and reduce costs associated with the various manual tasks performed every day by HR and leadership. Studies have shown HR automation can decrease administrative costs by 30% for HR professionals and 49% for employers.

Routine HR workflows, such as data entry, employee onboarding, leave management, and payroll processing, are streamlined and automated, freeing up HR teams to focus on more strategic and value-added activities that drive productivity and profitability for your organization.

Increased efficiency and accuracy

HRIS Philippines enhances efficiency and accuracy. Manual data entry and paper-based systems are prone to errors and can be incredibly time-consuming. HR technology eliminates these issues by automating data collection, storage, and retrieval, ensuring data integrity and reducing the likelihood of errors. Additionally, the automated HR workflows HRIS Philippines offer enable faster and more streamlined processes, reducing bottlenecks and improving overall efficiency.

Improved employee experience

HRIS Philippines enhances the employee experience by providing self-service options and reducing administrative burdens. Employees can access HR systems to update personal information, view pay stubs, request leave, and access other HR workflows without relying on HR teams or managers to facilitate these simple yet time-consuming tasks. This empowers employees and gives them greater control over their HR-related activities, leading to increased satisfaction and employee engagement.

Enhanced compliance and data security

Many HR workflows involve sensitive employee information such as payroll and visa information, and compliance with data protection regulations is crucial. HRIS Philippines systems often incorporate built-in security measures, ensuring that employee data remains secure and confidential. HRIS Philippines can also help organizations stay compliant with local labor laws, regulatory requirements, and internal policies by enforcing consistent processes and providing audit trails for HR workflows.

Data-driven decision making

HRIS Philippines generates a wealth of data that can be leveraged for strategic decision making. Automated systems provide comprehensive reports and analytics on various HR metrics, including employee performance, turnover rates, training needs, and workforce demographics. These insights enable HR teams and organizational leaders to make data-driven decisions, identify trends, and develop effective HR strategies that align with your organization’s goals.

Scalability

As your organization grows and evolves, your HR needs also expand. HRIS Philippines provides scalability by accommodating increased employee numbers, organizational structures, and geographic locations without significant additional resources. Automated HR systems can handle a larger volume of employee data, manage complex workflows, and scale up to support the needs of your growing organization. This ensures that your HR workflows can adapt to changes and effectively support your organization’s expansion, without requiring a proportional

increase in HR staff or resources.

Top HRIS Philippines Companies are Using in 2024

Omni

Omni is an all-in-one HRIS platform that frees HR teams from administrative cycles by automating the entire end-to-end employee lifecycle—from recruitment and onboarding to employee engagement and payroll—allowing you to redirect your time to strategic work that drives business growth.

Basic Features:

Employee records – Secure, centralized, and fully-customizable employee records management to capture all the unique needs of your organization. From visa status to compensation information, Omni automatically notifies you of important deadlines to keep you organized and compliant.
Time off – Automated leave allowance calculation, at-a-glance scheduling, Pre-routed approval sequences, digital payroll calculations and localized calendars to ensure you never miss a holiday.
Onboarding – Customized templates, onboarding workflows, and task sequences with automated task tracking to ensure a consistent onboarding process. Document processing allows digital, real-time signatures for employment contracts and employee handbooks to build culture. Integrations with your team’s favorite tools ensures swift account set-ups so your new hires can be productive from day one.
Document management – Send and collect documents from employees, follow up with system reminders, and store completed documents directly in employee profiles. Develop a customized document database for easy retrieval and organizational transparency.
Electronic signatures – Send and receive offer letters on-the-go with support for multiple signatures and secure document storage.
Reporting – Access real-time analytics that drive informed decisions that shape business outcomes.
Workflow automation – Automate administrative tasks in a matter of seconds, saving time, reducing errors, and improving efficiency within your organization.
Employee self-service – Empower employees to access their benefits, manage their profiles, and communicate with their managers without the intervention of HR, minimizing the disruption to daily work.

Sprout Solutions

Sprout Solutions offers automation from timekeeping to payroll, enabling companies to manage HR processes as well as data management and analytics.

Basic Features:

Leave management
Attendance management
Employee management
Dashboard
People analytics

peopleHum

With its people-centric approach, peopleHum’s platform minimizes the concerns of its users and customers to better prepare their company for the future of work.

Basic features:

Recruitment
Performance modules
Leave management
Communications

PayrollHero

PayrollHero is a time, attendance, scheduling, HRIS and leave management platform that uses facial recognition to increase employee accountability.

Basic features:

Time tracking
Leave management
Attendance management
Employee management
Dashboard

GreatDayHR

GreatDay HR is a cloud-based HRIS that provides an automated solution that helps manage the employee lifecycle.

Basic Features:

Time tracking
Payroll management
Recruitment management
Employee database
Task management

HReasily

HReasily provides solutions with products that enable companies to improve productivity by streamlining HR work processes.

Basic Features:

Employee self service
Payroll management
Mobile support
Payslip
Salary adjustment

Why Omni is the Top Choice for HRIS Philippines

Omni’s modern HRIS frees Philippine’s HR teams from administrative cycles by automating the entire end-to-end employee lifecycle—from recruitment and onboarding to employee engagement and payroll—allowing HR to redirect their time to strategic work that drives business growth.

Omni’s solutions are built by regional teams in Asia for modern teams in Asia. With localized support in the Philippines timezone, your team can access the support they need at the time they need from a team that understands the nuances of Filipino culture and business at a localized price that won’t break the bank.

Start your free trial!

Omni scales alongside your team so you can customize and leverage the system to meet your business exactly where you are—as well as where you’re going. With a full suite of modules to support every aspect of your business, Omni’s platform offers an intuitive and fully customizable platform that integrates with your team’s favorite tools for a seamless and timely adoption.

Book a free demo today and see why Omni is one of the best HRIS Philippines solutions!

With HR becoming increasingly vital to the success of organizations around the world, an increasing number of companies are shifting their focus to sourcing talents internationally for various reasons such as cost-effectiveness, accessing better HR technology or to stay compliant. While hiring remote workers is a possibility, many are finding a different option more compelling—outsourcing.

This is no different in the Philippines, which has been experiencing explosive growth over the last decade, and commands a position as a global business powerhouse. That means HR outsourcing Philippines is a topic that leaders and HR professionals will have to carefully consider.

However, there is a lot that needs to be taken into consideration before you commit to HR Outsourcing. Here’s what you need to know:

What is HR Outsourcing?

If it is not in-house, it is outsourced. For businesses in the Philippines, that means partnering with third-party organizations to manage different HR roles and functions. HR outsourcing Philippines encompasses a range of services, including recruitment process outsourcing (RPO), payroll outsourcing, benefits administration, employee training, and compliance management. Companies can choose to outsource specific HR functions or opt for end-to-end HR outsourcing solutions.

Organizations looking for HR outsourcing Philippines typically partner with specialized service providers, who are experts in a specific area. This offers access to expertise, technology, and resources to efficiently manage individual processes, offering peace of mind that HR is in the right hands, and allowing business leaders to focus on other areas of their organization.

Reasons for HR Outsourcing Philippines

Like elsewhere, HR outsourcing Philippines offers a range of potential benefits, depending on the nature of your organization, and your goals within your Human Resources department.

Cost efficiency: HR outsourcing allows businesses to tap into a global talent pool, potentially at a fraction of maintaining an in-house HR team. This cost-effectiveness is particularly attractive for small and medium-sized enterprises (SMEs), who may lack the large budget to justify an in-house team. A global pool of potential HR partners allows for organizations in the Philippines to search around for a solution that aligns with their needs within their budget.

Scalable solutions: Whether it is recruitment, training, or compliance management, your business can access specialized HR services that scale according to your evolving needs. This scalability means organizations in the Philippines can quickly adapt to changes or rapid growth, increasing their outsourced HR resources as needed, rather than going through the lengthy process of recruiting new in-house HR professionals.

Strategic focus: HR outsourcing Philippines allows businesses to concentrate on core competencies and strategies, rather than having to develop skills in the often challenging and tricky-to-navigate world of Human Resources. With basic administrative HR tasks managed externally, your organization can allocate more resources to business growth, innovation, and employee satisfaction.

Compliance and risk management: Providers of HR outsourcing help businesses in the Philippines adhere to local regulations, reducing the risk of legal complications and labor disputes. By entrusting HR responsibilities to outsourced experts, businesses in the Philippines can minimize compliance issues, employee relations, and legal challenges. This is a proactive approach that protects your company’s reputation, and maintains a safe and legal workplace for your employees.

Operational continuity and global support: HR outsourcing Philippines means organizations can tap into global support, so companies can maintain efficient HR operations even in a distributed or international work environment. It also means businesses can access HR support around the clock, regardless of timezone, which is particularly beneficial for global and remote teams.

Challenges of HR Outsourcing Philippines

While HR outsourcing Philippines brings numerous benefits, it is not without its potential challenges. Understanding these challenges will help your organization decide if outsourcing is the right choice.

Cultural alignment: Despite the Philippines’ proficiency in English and familiarity with international business practices, cultural nuances can still impact communication and collaboration. Ensuring cultural alignment between the outsource provider and the business is necessary for effective HR. For instance, if your outsourcing takes place in English, but your team speaks mostly Tagalog, it could be difficult for effective team management.

Data security concerns: Handling sensitive employee data requires robust security measures. Your business needs to carefully assess the data protection practices of outsourcing partners to prevent unauthorized access or data breaches, all while staying compliant with privacy regulations.

Quality of service: Maintaining the same standard of quality as an in-house HR team can be a challenge. Be it timezone issues, communicating remotely, or simply lacking a comprehensive understanding of your business, outsourcing may be lacking in some of the benefits that having an in-house HR team brings. Hence, your organization should establish clear performance metrics and expectations, regularly assessing the outsource provider’s delivery against these benchmarks.

Integration with company culture: Outsourced HR services may face challenges in aligning with the unique culture of your organization. This is particularly important for HR functions involving employee engagement, where understanding and embodying the company culture is necessary.

Communication and collaboration: Effective communication is necessary in all departments, and this is especially the case for HR. Differences in time zones, communication styles, and language nuances may pose challenges, especially if the culture of the outsourced HR service is very different from your own organization. Regular and clear communication channels should be set up, and check-ins done frequently to address any potential issues.

Legal compliance: The Philippines has specific labor laws and regulations that businesses must adhere to. It is crucial to ensure that the outsource provider is well-versed in local employment laws to ensure compliance and avoid any legal complications.

HR Outsourcing Philippines Alternatives

While traditional HR outsourcing Philippines is a common practice, businesses can take alternative approaches to meet their HR needs. These provide flexibility, control, and customization, designed to meet the unique needs of different organizations.

Hire a global team

Establishing an in-house global HR team involves recruiting and managing HR professionals in-house, but sourced from around the world, providing companies with direct control over their Human Resources functions and broadly expanding their talent pool.

This approach works for organizations that prioritize a hands-on approach to talent management, employee relations, and company culture. Having a dedicated team in-house allows for real-time collaboration, swift decision-making, and a deep understanding of the company’s global strategy. Companies can tailor their HR strategy to align with specific organizational goals and help develop a cohesive and closely-knit working environment.

Leverage automation tools

Automation tools have become essential for increasing HR efficiency by automating repetitive tasks and processes—many of these tasks being prime candidates for HR outsourcing.

These tools play a key role in lowering dependency on external providers and reducing the costs associated with HR outsourcing and manual errors. Payroll processing, attendance tracking, and performance management are among the many functions that can be automated, freeing up your team to focus more on strategy and less on paperwork. Automation not only increases efficiency but it also minimizes errors and helps ensure compliance with changing regulatory requirements.

Invest in HRIS

Leveraging a comprehensive Human Resources Information System (HRIS) offers your organization an integrated solution for managing all HR functions simultaneously. This includes employee data management, benefits administration, and advanced analytics that lead to actionable performance insights.

A good HRIS offers a centralized platform that streamlines HR operations, providing a holistic view of your workforce. It helps with better decision-making by offering insights into employee performance, engagement, and other important HR metrics. This empowers your organization to enhance your HR capabilities without over-reliance on external providers

Learn more: What is HRIS? Why HR Needs Automation in 2024

How Omni Supports Philippines HR Teams

Omni offers a customizable, all-in-one HR solution that easily adapts to how companies in the Philippines operate.

With Omni, you’ll be getting remarkable efficiency through a fully automated and highly customizable platform. Our intuitive platform encompasses a wide range of features to create a highly engaged and efficient work environment for your team to thrive.

Omni frees HR teams from administrative cycles by automating the entire end-to-end employee lifecycle—from recruitment and onboarding to employee engagement and payroll— allowing you to redirect your time to strategic work that drives business growth.Our easy-to-use training modules, automated reminders, and personalized communication ensure an efficient and seamless experience that saves you time and offers your team a customized support experience that is designed to adapt and grow alongside your business.

Book a free demo today and see why Omni is one of the best alternatives to HR outsourcing in the Philippines!