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Thursday, July 16, 2026

Singapore to hold directors accountable for unpaid salaries - hcamag.com

MOM says it will look beyond individual companies when investigating wage non-payment linked to a common director

Singapore's Ministry of Manpower has confirmed it will pursue enforcement action against company directors across all entities they control when salaries go unpaid, a policy stance that emerges from the recent KPA Engineering wage scandal.

Responding to questions filed in Parliament, MOM said it would not limit investigations to the company where a breach was first identified.

"When investigating a company, if the director is found to be in breach of employment obligations, MOM will typically investigate other companies under the same director," the ministry said.

"If there is non-payment across multiple companies, the director can be subject to penalties for all cases, and all instances of non-payment will be considered in meting out penalties."

MOM added that it would "look beyond individual companies to examine who exercises effective control over employment and payment decisions, and take enforcement action accordingly."

Salary non-payment scandal

The ministry's remarks were prompted by the case involving KPA Engineering, SK Industries, and VVR Plant Engineering after 407 salary claims were filed by affected migrant workers.

Investigations into the three companies for possible breaches of the Employment Act and the Employment of Foreign Manpower Act are ongoing.

The three firms share a common director, Ramu Palani Velu, who returned to Singapore after it...



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