Secondment Agreement Template for Singapore

A Secondment Agreement sets out the terms when one company temporarily loans an employee to work at another organization. It's commonly used in Singapore when businesses share talent, especially for projects requiring specialized skills or during organizational restructuring.

The agreement clearly defines who's responsible for the employee's salary, benefits, and supervision during the arrangement. It protects everyone's interests by spelling out important details like work scope, duration, confidentiality rules, and which employer handles CPF contributions. Under Singapore's Employment Act, these agreements help maintain clear employment relationships while letting organizations share expertise legally and efficiently.

Use a Secondment Agreement when your organization needs to temporarily share talent with another company in Singapore. This typically happens during joint ventures, when specialized expertise is needed for specific projects, or when helping a subsidiary or partner company build capabilities.

The agreement becomes essential when dealing with high-value employees, sensitive intellectual property, or complex reporting structures. It's particularly important in regulated industries like banking or healthcare, where clear documentation of employment relationships is mandatory. Having this agreement in place prevents disputes about workplace injuries, confidentiality breaches, and employment rights under Singapore's Ministry of Manpower guidelines.

• Employee Secondment Agreement: The standard form used for most secondments in Singapore, adaptable for different durations and industries. Can be modified for domestic or international secondments, part-time or full-time arrangements, and varying levels of responsibility transfer. Key variations include how it handles compensation structures, reporting relationships, performance management, and intellectual property rights. Additional clauses may address industry-specific compliance requirements, especially in regulated sectors like financial services or healthcare.

• Home Organization (Primary Employer): Initiates the secondment process and remains the official employer, handling core benefits and maintaining the employment relationship
• Host Organization: Receives the seconded employee and manages their day-to-day work, often providing additional benefits or allowances
• Seconded Employee: The professional temporarily transferred between organizations, maintaining original employment terms while adapting to new workplace requirements
• HR Managers: Coordinate the secondment details, ensure compliance with Singapore's employment laws, and manage administrative processes
• Legal Teams: Draft and review the agreement to protect both organizations' interests and ensure MOM compliance

• Basic Details: Gather employee information, secondment duration, and both organizations' registered details
• Role Specifics: Define job scope, reporting relationships, and performance evaluation criteria
• Compensation Structure: Clarify salary arrangements, benefits continuation, and any additional allowances
• Legal Requirements: Check MOM guidelines for employment passes and CPF obligations
• Compliance Points: List confidentiality requirements, intellectual property rights, and data protection measures
• Documentation: Use our platform to generate a comprehensive agreement that includes all essential elements and meets Singapore's legal standards

• Parties and Relationships: Full legal names of home company, host company, and seconded employee
• Duration Terms: Clear start and end dates, extension options, and early termination provisions
• Work Arrangements: Job scope, location, reporting lines, and performance management structure
• Employment Terms: Salary, benefits, CPF contributions, leave entitlements, and expense policies
• Legal Safeguards: Confidentiality, intellectual property rights, data protection, and non-compete clauses
• Compliance Framework: References to relevant Singapore employment laws and MOM regulations
• Dispute Resolution: Clear procedures for handling disagreements under Singapore jurisdiction

A Secondment Agreement differs significantly from an Agency Agreement in several key aspects, though both involve one party performing work for another. Here's how to distinguish between them in Singapore's legal context:

• Employment Relationship: Secondment maintains the original employment relationship while temporarily placing the employee with another organization. Agency creates a principal-agent relationship without direct employment
• Duration and Integration: Secondments typically last for defined periods with full integration into the host company. Agency arrangements are often project-based or ongoing but with limited integration
• Control and Liability: In secondments, the host company gains day-to-day control while the home employer retains primary employment obligations. Agents maintain independence and bear their own liability risks
• Benefits and CPF: Seconded employees continue receiving benefits and CPF contributions from their original employer. Agents handle their own benefits and CPF arrangements as independent contractors