The Early Termination of Employment Contract is utilized when either employer or employee wishes to end the employment relationship before its intended term in Singapore. This document is essential for ensuring compliance with Singapore's Employment Act and MOM regulations while protecting both parties' interests. It covers crucial elements including notice periods, final payments, confidentiality obligations, and the return of company property. The agreement is particularly important in situations involving restructuring, performance issues, or mutual separation agreements, providing clear documentation of the termination terms and helping prevent future disputes.
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1. Parties: Identification of employer and employee with full legal names and addresses
2. Background: Reference to original employment contract, current employment status, and mutual agreement to terminate early
3. Definitions: Key terms used tHRoughout the agreement including 'Termination Date', 'Final Payment', 'Company Property'
4. Termination Date: Specification of the agreed last day of employment and notice period details
5. Final Payment Terms: Details of salary, pro-rated bonuses, leave encashment, and other financial entitlements
6. Company Property: Obligations regarding return of all company assets, documents, and data
7. Confidentiality: Ongoing obligations to maintain confidentiality of company information
8. Signing Block: Execution provisions including date and signature spaces for both parties
1. Garden Leave: Provisions for employee to serve notice period away from workplace while remaining on payroll
2. Non-Compete Clause: Restrictions on future employment with competitors for a specified period and geography
3. Reference Provision: Terms regarding the provision of employment references and agreed communication about departure
4. Release and Waiver: Mutual release of claims and waiver of rights to future legal action
1. Schedule 1: Payment Calculation: Detailed breakdown of final payment including salary, benefits, and deductions
2. Schedule 2: Company Property List: Itemized list of company assets and materials to be returned by employee
3. Schedule 3: Continuing Obligations: Specific obligations that survive termination including confidentiality and non-compete terms
4. Appendix A: Original Employment Contract: Copy of the original employment agreement for reference
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