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MOM expects rise in salary and wrongful dismissal claims in 2025

Published July 25, 2026 at 8:02 AM UTC

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Singapore's Ministry of Manpower (MOM) said it expects an increase in salary and wrongful dismissal claims in 2025, likely tied to ongoing retrenchments and business closures in a challenging economic climate. The forecast, based on preliminary data and economic indicators, signals that more workers may face disputes over unpaid wages or unfair termination as companies restructure. MOM urged employers to adhere to fair employment practices and reminded workers to seek help early through the Tripartite Alliance for Dispute Management. The ministry also noted that mediation services are available to resolve issues without costly litigation. Labour unions have expressed concern for vulnerable workers, especially in sectors like manufacturing and services where job losses have been concentrated. The expected uptick comes amid a broader slowdown in global demand and rising costs for businesses. MOM said it is monitoring the situation closely and will adjust policies if needed to protect both workers and employers. For now, the focus is on early intervention and maintaining industrial harmony.