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17/02/2010 09:51:19
Re: Company continued deducting Foreign Workers' Levy

Dear KL Siew,

My company is an F&B company and we have been deducting levy from our more than 200 foreign workers all the time. According to the HR, we have been paying to the government upfront every beginning of the year and recover from foreign workers' salary on a monthly basis.

Ever since the government came out with a circular directing employers not to deduct any more levy from foreign workers, my company was adamant and continues to do so. My foreign colleagues are very upset with this and asked me to help. I had a word with the HR and together we informed the MD but was instead got 'sounded' by the MD for being busybody. I had no choice but to inform the foreign workers that the levy collection should stop by this year as the upfront payment would have been fully collected by December 2009. Sadly, the levy deduction still reflected in the January 2010 salary slip. How can the law curb such irresponsible act?

I also got to know that the MD planned to ask all foreign workers to sign an addendum to the existing contract by changing the word 'levy' to something else...meaning the money will still be deducted from those poor foreign workers.

Please help my foreign workers as they had been working very hard to earn a decent living here.

Thank you and Happy Roaring Tiger Year!
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KL Siew
17/02/2010 10:41:07
Happy Roaring Tiger Year to you too. The proper venue for you to bring up the matter is the Labour Department. You may find the address/contact number here
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Trusha Doshi
19/02/2010 09:32:57
Hi Adri
The Labour Department has issued a letter on levy deductions to all companies who have foreign workers in their employment. This letter was out in April 2009. This letter informed all companies that no more levy deductions from the workers salary is allowed.
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03/03/2010 18:31:02
Guys are you sure of that levy issue? Coz current we have also a hundreds of workers who are continually deduct a levy. Is there any penalty to the company who do deduction of levy?
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Lee Hong
17/03/2010 15:51:38
My company also have around 200 foreign workers and we have stop deduct levy from them since June 2009. We didnt received any black and white document from goverment. We have been calling Immigresen but then noclear answer until we got answer from MEF.

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