Global benefits insights - October 2024

Saudi Arabia

Amendments to Kingdom of Saudi Arabia (KSA) Labour Law have been approved

Some of the key revisions include:

• Probationary period: currently an employer can apply a 90-day period that can be extended by a further 90 days by agreement. The new legislation will clarify whether the probationary period can be set to a maximum of 180 days.
• Housing and transport allowance: the new amendments state an obligation on an employer to provide accommodation or transport (or allowances to cover them both) to ensure that adequate housing and transport is available.
• Overtime: currently, all overtime receives an uplift in salary of 50%, but the revisions will make it possible for employers to provide time off in lieu, with employee’s consent.
• Resignation: employers can request to delay the registration for up to 60 days for business reasons (conditions will apply). The revisions also state that if there is no response to the resignation within 30 days, this is deemed as accepted by the employer. The employee also has the right to withdraw their resignation within seven days, on the condition that the notice has not been accepted by the employer.  
• Fixed-term contracts: all non-Saudi nationals are employed on fixed-term contracts, and where the contract doesn’t set its duration, it is determined to be for a period of one (1) year, or the length of the work permit. The amendments now set the term of the contract to one year in cases where there is no end date. 
• Employee’s notice period: for an unlimited term contract, the employee notice period will be reduced from 60 days to 30 days; it will however remain at 60 days for an employer.
• Maternity leave: currently employees are entitled to 10 weeks’ maternity leave, but this will increase to 12 weeks at full pay.
• Parental leave: male employees will be entitled to three days’ paid leave if taken within seven days of the birth of their child(ren).
• Bereavement leave:  the amendments now accommodate for the death of a sibling, where the employee will be entitled to three days’ paid leave.

These revisions become effective 180 days after being posted in the Official Gazette. 

Source: clydeco.com

Singapore

Announces enhanced parental benefits

Effective from 1st April 2025, the Singapore government have approved changes to parental leave and shared parental leave. 

Currently, employers can provide an additional two weeks of paid paternity leave on a voluntary basis - this will become mandated by law. This means eligible working fathers with children born on or after 1 April 2025 will be entitled to four weeks of Government Paid Paternity Leave (GPPL).

It has also been announced that the shared parental leave scheme is being replaced. The new scheme provides 10 weeks of paid parental leave, shared between both parents.

It will be implemented in two phases:

(a) From 1 April 2025 - 6 weeks of shared parental leave will be applicable.

(b) From 1 April 2026: 10 weeks of shared parental leave will be applicable.

The 10 weeks of leave is provided in addition of Government Paid Maternity Leave and Government Paid Paternity Leave entitlements.

Source: madeforfamilies.gov.sg

South Korea

Improves family leave benefits

The state budget released for 2025 includes several improvements to try and boost the birth rate in South Korea.

Some of the improved entitlements include:

• Increasing paternity leave from 10 days to 20 days
• The eligibility period will increase from 90 days to 120 days - the leave can also be taken in up to 3 parts
• An increase in the parental leave benefit from KRW 1,500,000 per month for a total of 12 months to KRW 2.500,000 for 1 to 3 months, KRW 2,000,000 for 4 to 6 months and KRW 1,600,000 for 7 to 12 months leave

These measures are due to apply from January 2025. 

Source: mondaq.com

Tunisia

Increases family leave

Effective from 12th August 2024, Law 2024-44 provides family leave enhancements for employees.

Some of the key provisions include:

• An increase in maternity leave from 30 days up to 3 months following birth (for multiple or complex births the increase is from 45 days to 4 months).
• Up to 15 days of leave during the final month of pregnancy, should it be requested by a physician.
• 1 months’ leave for stillbirths
• Paternity leave is increased from 1 day to 7 days for single births and up to 10 days for multiple birth. Fathers now get 3 days’ leave in the event of a stillbirth
• 1 hour paid nursing break when the mother of a child under 1 works over 4 hours. This is increased to two 1-hour breaks when working over 7 hours.
• Employment protection rights for expectant and new mothers whilst on maternity leave and for 12 months following return to work

Source: mondaq.com

Minimum wage increases from January 2025

Aruba

Effective from 1st January 2025, the monthly minimum wage for employees aged over 18 working 40 hours a week will increase from AWG 1,984.20 to AWG 2,007.05. For employees who work 45 hours per week, the minimum monthly wage will be AWG 2,257.93.

Source: gobierno.aw

Lithuania

Effective from 1st January 2025, the Lithuanian government has increased the minimum monthly wage to €1,038, making the new minimum hourly rate €6.35.

Source: e-tar.lt

Taiwan

Effective from 1st January 2025, the hourly minimum wage will increase from TWN 183 to TWN 190. This means the monthly minimum wage is increased from TWN 27,470 to TWN 28,590.

Source: taiwannews.com