Sample EOR Services Contract

a22162
Mar 3
7 min read

Updated: Mar 4

EOR Contract Singapore

Sample Employment of Record (EOR) Services Contract (Singapore)

This is a sample contract for informational purposes only.

Employment of Record (EOR) Services Contract

This Employment of Record (EOR) Services Agreement ("Agreement") is made and entered into as of [Date], by and between:

[Bestar HR Consulting] Pte. Ltd., a company incorporated in Singapore with company registration number [202337005D] and having its registered office at [23 New Industrial Road, #04-08 Solstice Business Center, Singapore 536209] ("EOR Provider"),

and

[Client Company Name] (or Individual), a [Company Type/Individual] with [Company Registration Number/NRIC/FIN] and having its address at [Address] ("Client").

WHEREAS:

The Client desires to engage the EOR Provider to act as the legal employer of record for certain individuals ("Employees") in Singapore.
The EOR Provider is engaged in the business of providing EOR services and is willing to provide such services to the Client.

NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, the parties agree as follows:

1. Services Provided:

1.1. The EOR Provider shall act as the legal employer of record for the Employees in Singapore, including but not limited to:

Issuing employment contracts in accordance with Singaporean employment laws.
Managing payroll, including salary payments, CPF contributions, and tax deductions.
Handling statutory filings and compliance with relevant employment regulations, including the Employment Act.
Administering employee benefits, as agreed upon by the Client and EOR Provider.
Managing work passes if applicable.
Handling employee on-boarding and off-boarding processes.

1.2. The EOR Provider shall provide the Services in a professional and timely manner, in compliance with all applicable laws and regulations in Singapore.

1.3. The EOR Provider will handle all required reporting to the relevant Singaporean authorities.

2. Client Responsibilities:

2.1. The Client shall provide the EOR Provider with all necessary information regarding the Employees, including but not limited to:

Employee names, contact details, and identification documents.
Salary and compensation details.
Job descriptions and responsibilities.
Details of any employee benefits.
Work schedules, and any performance related information necessary for payroll calculation.

2.2. The Client shall be responsible for directing the Employees' day-to-day work activities and performance.

2.3. The Client shall indemnify and hold harmless the EOR Provider from any claims arising from the Client's instructions or actions related to the Employees.

2.4. The Client is responsible for paying all invoices within the agreed upon timeframe.

3. Fees and Payment:

3.1. The Client shall pay the EOR Provider a fee for the Services, as set forth in Schedule A (Fees).

3.2. The EOR Provider shall invoice the Client [frequency, e.g., monthly].

3.3. Payment shall be made within [number] days of the invoice date.

3.4. Late payments may be subject to interest at a rate of [percentage] per month.

4. Term and Termination:

4.1. This Agreement shall commence on [Start Date] and shall continue for a period of [Duration] (the "Initial Term").

4.2. This Agreement may be terminated by either party upon [number] days' written notice.

4.3. This Agreement may be terminated immediately by either party in the event of a material breach by the other party.

4.4. Upon termination the client must provide the EOR provider with all necessary instructions for the smooth offboarding of the employees.

5. Confidentiality:

5.1. Both parties agree to maintain the confidentiality of all confidential information received from the other party.

5.2. Confidential information includes, but is not limited to, employee data, financial information, and business strategies.

6. Limitation of Liability:

6.1. The EOR Provider's liability under this Agreement shall be limited to the fees paid by the Client to the EOR Provider in the [number] months preceding the claim.

6.2. The EOR Provider shall not be liable for any indirect, consequential, or incidental damages.

7. Governing Law and Dispute Resolution:

7.1. This Agreement shall be governed by and construed in accordance with the laws of Singapore.

7.2. Any disputes arising out of or in connection with this Agreement shall be resolved through [Dispute Resolution Method, e.g., mediation, arbitration].

8. Entire Agreement:

8.1. This Agreement constitutes the entire agreement between the parties and supersedes all prior agreements and understandings.

9. Amendments:

9.1. This Agreement may be amended only by a written agreement signed by both parties.

10. Force Majeure:

10.1. Neither party shall be liable for any failure to perform its obligations under this Agreement if such failure is caused by a Force Majeure Event.

Schedule A: Fees

This schedule outlines the fees and payment terms associated with the Employment of Record (EOR) services provided by [Bestar HR Consulting] Pte. Ltd. to [Client Company Name].

1. Service Fees:

Monthly Employee Management Fee:
- SGD [Amount] per Employee per month.
- This fee covers core EOR services, including:
  - Employment contract management.
  - Payroll processing (including salary, CPF, and tax deductions).
  - Statutory compliance and reporting.
  - Basic HR administration.
  - Employee onboarding and offboarding.
Work Pass Application/Renewal (if applicable):
- SGD [Amount] per application/renewal.
- This fee covers the administrative costs associated with work pass applications and renewals.
Employee Benefits Administration (if applicable):
- If the client requires the EOR to administer specific employee benefits, such as health insurance or other programs, the fee will be:
  - SGD [Amount] per employee per month, or a percentage of the total benefits cost.
  - This fee covers the administration and management of the agreed-upon benefits.
One-Time Setup Fee:
- SGD [Amount] (if applicable).
- This fee covers the initial setup of the employee into our systems, and the creation of the necessary paperwork.
Termination/Offboarding Fee (if applicable):
- SGD [Amount] per employee.
- This fee covers the final payroll, and the processing of all offboarding paperwork.

2. Additional Fees (Potential):

Ad-Hoc HR Services:
- Any additional HR services requested by the Client outside the scope of the standard EOR services will be billed at an hourly rate of SGD [Amount] per hour.
- Examples: Performance management assistance, complex employee relations matters.
Expense Reimbursement:
- Any out-of-pocket expenses incurred by the EOR Provider on behalf of the Client (e.g., courier fees, government application fees) will be reimbursed by the Client upon presentation of supporting documentation.
Urgent Processing Fees:
- If the client requests an exceptionally fast turn around time for payroll, or work pass processing, an urgent processing fee of SGD [Amount] may apply.

3. Payment Terms:

Invoicing:
- Invoices will be issued monthly, on the [Date] of each month.
- Invoices will be sent electronically to the Client's designated email address: [Client Email Address].
Payment Method:
- Payment shall be made via [Bank Transfer/Other Payment Method] to the following bank account:
  - Bank Name: [Bank Name]
  - Account Name: [Bestar HR Consulting] Pte. Ltd.
  - Account Number: [Account Number]
  - Bank Code: [Bank Code]
  - SWIFT Code: [SWIFT Code] (if applicable)
Payment Due Date:
- Payment is due within [Number] days of the invoice date.
Late Payment:
- Late payments will be subject to a late payment fee of [Percentage]% per month on the outstanding balance.
Currency:
- All fees are stated and payable in Singapore Dollars (SGD).

4. Changes to Fees:

The EOR Provider reserves the right to adjust fees with [Number] days' written notice to the Client.
Fee adjustments will most likely happen due to changes in Singaporean law, or significant changes in the client's employee base.

5. Security Deposit:

A security deposit is collected by the EOR Provider as a safeguard against potential breaches of the Agreement by the Client.
The security deposit is equivalent to the compensation in lieu of notice specified in the employment contract.
The deposit is refundable to the Client at the end of the Agreement, provided the Client has fulfilled all their obligations under the Agreement.

6. Taxes:

All fees are exclusive of any applicable Goods and Services Tax (GST). GST will be added to invoices as required by Singaporean law.

Example Invoice Structure:

Item	Quantity	Unit Price (SGD)	Total (SGD)
Monthly Employee Management Fee (John Doe)	1	[Amount]	[Amount]
Monthly Employee Management Fee (Jane Smith)	1	[Amount]	[Amount]
Work Pass Renewal (John Doe)	1	[Amount]	[Amount]
GST (if applicable)			[Amount]
Total			[Amount]

Note: This schedule is a sample and may require modifications based on the specific services and agreements between [Bestar HR Consulting] Pte. Ltd. and [Client Company Name].

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

[Bestar HR Consulting] Pte. Ltd.

By: ___________________________

Name: ___________________________

Title: ___________________________

[Client Company Name] (or Individual)

By: ___________________________

Name: ___________________________

Title: ___________________________ (if applicable)

Important Notes:

This sample contract is a starting point and should be customized to fit your specific circumstances.
You must ensure that the contract complies with all applicable laws and regulations in Singapore, including the Employment Act, the Central Provident Fund Act, and the Income Tax Act.
Clearly define the scope of services, fees, and responsibilities of each party.
Consider including provisions for data protection and security, especially when dealing with employee data.

How Bestar can Help

Sample EOR Services Contract

Bestar offers a range of services that can be highly beneficial for companies seeking Employment of Record (EOR) solutions in Singapore. Here's how we can help:

Key Areas Where Bestar Can Assist:

HR & Payroll Services:
- Bestar provides comprehensive payroll services, which are a core component of EOR services. This includes handling salary payments, CPF contributions, and tax deductions, ensuring compliance with Singaporean regulations.
- We offer HR consulting services, which can be valuable for managing employee relations and other HR-related tasks.
Compliance and Regulatory Expertise:
- Bestar possesses in-depth knowledge of Singapore's employment laws and regulations. This is crucial for EOR services, as it ensures that all employment practices are compliant.
- Our expertise in tax advisory and compliance further strengthens our ability to handle the complexities of EOR services.
Company Incorporation and Corporate Secretarial Services:
- While not strictly EOR, these services can be complementary. If a company decides to establish a local entity in the future, Bestar can facilitate the process.
- We can handle the corporate secretarial services which are needed for maintaining compliance with Singaporean law.
Visas & Immigration:
- For companies hiring foreign employees, Bestar can provide assistance with work pass applications and other immigration-related matters. This is a significant advantage for businesses utilizing EOR services.
Comprehensive Business Support:
- Bestar offers a wide array of business services, allowing companies to consolidate their needs with a single provider. This includes accounting, bookkeeping, and other essential support functions.