The Separation Agreement And Release Of Claims is a crucial document used in Singapore when formally ending an employment relationship. It serves to protect both employer and employee interests by clearly documenting the terms of separation, including financial settlements, continuing obligations, and mutual releases. This agreement is particularly important in Singapore's highly regulated employment environment, where it must comply with the Employment Act, Personal Data Protection Act, and other relevant legislation. It typically includes provisions for final payments, benefit arrangements, confidentiality requirements, and release of potential legal claims, while ensuring all statutory obligations are met.
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1. Parties: Identification of employer and employee with full legal names and addresses
2. Background: Brief history of employment relationship and reason for separation
3. Definitions: Key terms used throughout the agreement
4. Separation Terms: Last day of employment, handover requirements, and final duties
5. Payment Terms: Separation package details, final salary, and benefits payment
6. Release of Claims: Mutual release of legal claims between parties
7. Confidentiality: Ongoing obligations regarding company information
8. Return of Property: Requirements for returning company assets and documents
1. Non-Competition: Restrictions on future employment - used for senior employees or those with access to sensitive information
2. Reference Letter: Terms regarding employment references - included when agreed as part of separation package
3. Outplacement Services: Career transition support provisions - included when offering career transition assistance
4. Equity/Stock Options: Treatment of outstanding equity compensation - included when employee has stock options or equity awards
1. Schedule 1: Payment Calculation: Detailed breakdown of separation payment amounts
2. Schedule 2: Company Property List: Inventory of items to be returned
3. Appendix A: Reference Letter Template: Agreed form of reference letter if applicable
4. Appendix B: Outstanding Benefits Statement: Summary of accrued benefits and entitlements
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