Singapore legislation

Regulation 2

of Insolvency, Restructuring and Dissolution (Maximum Amount Payable in Priority) Order 2020

Regulation 2

Prescribed amount for purposes of sections 203(2), 296(2) and 352(2) of Act

Subregulation 1

Subject to sub‑paragraph (2), the prescribed amount for the purposes of sections 203(2), 296(2) and 352(2) of the Act is the lower of the following for each employee:

(a)

5 months’ salary (whether for time or piecework) in respect of services rendered by the employee to the company, debtor or bankrupt, as the case may be;

(b)

$13,000, or an amount that is 5 times the amount (if any) prescribed by the Minister charged with the responsibility for manpower under section 35(b) of the Employment Act (Cap. 91), whichever is the higher.

Subregulation 2

Where the amounts in sub‑paragraph (1)(a) and (b) are the same, the prescribed amount for each employee is equal to either of those amounts.