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MOM Probes Agoda Severance Clauses After Customer Support Layoffs

Regulators are reviewing provisions that told departing staff not to contact authorities or unions, a move unions say is unacceptable.

Overview

  • Singapore’s Ministry of Manpower and TAFEP are looking into severance terms offered to retrenched Agoda employees, saying such clauses are inappropriate and warning they may take action.
  • Severance documents seen by CNA instructed staff not to report to MOM, TADM, TAFEP or trade unions and to refrain from filing mediation requests or employment claims.
  • The agreements stated that breaching these conditions would revoke severance and require full repayment on demand, including recovery of legal costs.
  • Agoda confirmed it phased out customer support roles in Singapore, Shanghai and Budapest, with about 50 affected in Singapore, and said it created new roles elsewhere while complying with local laws and supporting staff.
  • NTUC and SISEU said they were appalled by the reported terms, urged Agoda to clarify its position, and offered job-matching, coaching and financial assistance through e2i to affected workers.