Employment claims and wrongful dismissal rise in 2025
Employment and wrongful dismissal claims in Singapore reached their highest levels since 2019 in 2025. The rise is largely attributed to an increase in salary claims among foreign workers, particularly in the construction and service sectors.
Why it matters
The data highlights growing labor market instability and the effectiveness of mediation services in resolving disputes during periods of economic transition.
A total of 13,083 employment claims and appeals were lodged in 2025, equivalent to about 3.44 claims per 1,000 employees.
Listen Summarise More employees filed salary claims in 2025, reaching 2.84 claims per 1,000 workers, with $22 million recovered, the highest in recent years. Wrongful dismissal claims also rose in 2025 to 0.57 per 1,000 employees, with employers paying $2.71 million in compensation. Over 90 per cent of salary claims were fully recovered, and 67 per cent of wrongful dismissal cases were resolved through mediation at TADM, promoting faster dispute resolution. AI generated
SINGAPORE - The rates of salary and wrongful dismissal claims rose in 2025 to their highest levels since 2019 amid more retrenchments, dismissals and business closures.
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