SINGAPORE, Sept 21 — Online travel platform Agoda has issued an apology in Singapore after it emerged that some of its severance agreements included clauses discouraging retrenched employees from contacting trade unions, government agencies, or statutory bodies.
The apology follows discussions between Agoda and Singapore’s Ministry of Manpower (MOM), the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP), the National Trades Union Congress (NTUC), and the NTUC-affiliated Singapore Industrial and Services Employees’ Union (SISEU).
In a statement on Friday, Agoda said: “We acknowledge that it is inappropriate for employers to include provisions that discourage or inhibit employees from approaching the authorities for all situations. This runs counter to the spirit of fair and responsible employment practices in Singapore, and Agoda apologises for any language in our agreements that gave the impression employees could not approach government agencies, statutory bodies or trade unions for additional support and advice. This is their statutory right.”
The company also expressed regret over the “negative impact” the clauses may have had on employees and reaffirmed its support for Singapore’s tripartite employment framework.
NTUC secretary-general Ng Chee Meng and SISEU executive secretary Desmond Tan welcomed Agoda’s engagement, stating: “We appreciate the management of Agoda for taking a proactive approach in engaging NTUC, SISEU and the government, and for its transparency in sharing information regarding the exercise. The union has also ascertained that the retrenchment (benefits) provided to the affected workers are aligned with industry guidelines”.
MOM described the development as “encouraging”, framing it as “an endorsement of Singapore’s strong tripartite approach, where employers, unions and the government work closely to safeguard the interests of our workers in the spirit of fair and responsible employment practices”.
“While employers can enter into severance agreements with retrenched employees, they should not prevent the latter from reaching out to authorities and unions with genuine concerns,” it added.
The clauses in question reportedly instructed employees not to make reports with any government agencies, statutory boards or trade unions, including MOM, the Tripartite Alliance for Dispute Management (TADM) and TAFEP. Those who breached the terms risked losing severance entitlements and would have to repay any payments already received (CNA).
Agoda said it was now reaching out to affected employees to ensure they can access support schemes through NTUC’s Employment and Employability Institute (e2i).
“We empathise deeply with employees who have been impacted by this restructuring and want to reaffirm our commitment to maintaining open communication, upholding fair employment standards and supporting Singapore’s world-class workforce,” the company added.
According to media reports, the retrenchments affected around 50 employees in Singapore, alongside roles in Hungary and China, as the company reshuffles positions to other regions and invests in artificial intelligence, product, and technology roles.