The Work Injury Compensation Act ('WICA') came into force on 1
April 2008 replacing the Workmen's Compensation Act. WICA applies
to all workplace injuries that happen on and after 1 April 2008;
for accidents that occurred before 1 April 2008, the Workmen's
Compensation Act will continue to apply.
Unlike the Workmen's Compensation Act which covers only manual
workers and non-manual workers earning $1,600 per month or less,
WICA covers all employees whether they are manual or non-manual
workers and regardless of their level of earnings.
WICA aims to provide a quick and simplified process for
obtaining compensation for workplace injuries that is an
alternative to claiming for damages under the common law.
Unlike civil lawsuits against the employer, compensation is
payable under WICA on a 'no-fault basis', as long as an employee
suffers an injury arising out of and in the course of his
employment. There is also a fixed formula in the Act on the amount
of compensation to be awarded, and capped so that the financial
liability on the employer is limited.
Employees who sustain injuries or who contract occupational
diseases arising out of their work, or the estates of employees who
die in a work-related accident, are entitled to claim work injury
compensation. WICA covers all employees engaged under a contract of
service or apprenticeship, regardless of their salary.
Notable Exceptions - Self-employed persons, independent
contractors, domestic workers, members of the Singapore Armed
Forces, officers of the Singapore Police Force, the Singapore Civil
Defence Force, the Central Narcotics Bureau and the Singapore
Prison Service are not covered by WICA.
An injured employee can make a claim under WICA for personal
injury by accident arising out of and in the course of his
employment - i.e. arising during working hours or while on official
duties; including accidents that happen while travelling to and
from his place of work in company provided transport (not by public
transport); and injuries sustained abroad while on overseas
assignments.
Subject to the maximum amounts prescribed by WICA, an injured
employee or, as the case may be; the estate of an employee who dies
in a work-related accident is entitled to claim -
medical expenses, including medical consultation,
hospitalisation, treatment and surgery, artificial limbs and
surgical appliances;
compensation for Permanent Incapacity or Death; and /or
wages while on medical leave,
where applicable
For medical expenses, these must be incurred within one year
from the date of the accident, or up to a cap of $25,000, whichever
is reached earlier.
For Permanent Incapacity, the maximum is $180,000 x [% loss of
earning capacity] + a further 25% if you suffer permanent total
incapacity (i.e. You suffered 100% loss of earning capacity).
For death, the compensation amount payable to your dependents is
subject to a maximum of $140,000.
For medical leave wages, full pay up to 14 days outpatient
medical leave, and full pay up to 60 days hospitalization. Once
this limit is reached, two-thirds of salary is payable up to a
maximum period of one year following the date of the accident.
Yes for manual workers regardless of their salary and non-manual
workers with monthly earnings of $1,600 or less per month who are
already covered prior to 1 April 2008. For employees newly covered
under WICA (i.e. non-manual employees earning above $1,600 per
month), insurance coverage is not compulsory but it is recommended
by the MOM that Employers also buy insurance against claims under
WICA for all employees.
The time limit for filing a claim with the Ministry of Manpower
('MOM') is one year from the date of the accident. After this 1
year period, no claims under WICA will be entertained.
Within 10 days of the accident, the employer is required to file
an accident report with the Commissioner of Workplace Safety if the
accident has resulted in the employee being unfit for work for 3
consecutive days or is admitted in hospital for 24 hours or more.
Failure to report such accidents is an offence that carries a fine
of up to $5,000 for first time offenders and up to $10,000 and or a
jail term for subsequent offences.
The steps for filing a claim under WICA are:
The objecting party must file a notice of objection within 14
days of service of the Notice of Assessment.
During this time (but not later than 28 days after service of
the Notice of Assessment), the injured employee can elect any of
the following courses of action:
Withdraw his objection and accept the assessed amount as
compensation; or
Proceed with the dispute resolution process provided under WICA;
or
Withdraw his claim under WICA and commence a lawsuit against his
employer under common law.
The MOM will conduct a pre-hearing conference to see if the
parties are ready to agree on the compensation amount. If no
compromise is reached at this stage, MOM will refer the case to the
labour court for Hearing. If the compensation in dispute relates to
a permanent incapacity, MOM will refer the employee to the Work
Injury Compensation Medical Board for a final medical assessment.
The medical assessment by this Medical Board is final and no
further objection to the percentage of the permanent incapacity
will be considered by the Court. The employer has 21 days from the
judgement order to make payment of the compensation.
Failure to pay the compensation (as assessed) is an offence
carrying a fine of up to $10,000 and or a jail term of up to 12
months. In addition, the employer may be required to pay interest
on the compensation amount for each day the payment is late.
The Work Injury Compensation Medical Board's (previously known
as Workmen's Compensation Medical Board) primary function is to
assess cases where objections are raised (by the insurer, employer
or employee) to the initial assessment of the employee's medical
condition. The medical assessment is conducted by a panel of two
specialists appointed by the Board.
