Unpaid bonus and commission disputes in Singapore
If your employer has not paid a bonus, commission, or share award you believe you earned, the short answer is this: a bonus or commission your contract guarantees is a debt you can claim, and even a "discretionary" bonus has to be decided honestly and cannot be withheld in bad faith. Bonuses and commissions stated in your contract can be recovered through a salary claim at TADM and the Employment Claims Tribunals, up to S$20,000, or S$30,000 with union-assisted mediation. Bigger awards, like a large equity payout, go to the civil courts. This guide, aimed at senior managers, sales leaders, and executives chasing variable pay, walks through each type, with the rules from MOM and the Singapore Courts.
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Contractual vs discretionary bonus
The single question that decides most bonus disputes is whether your bonus is contractual or discretionary. MOM puts the starting point plainly: a bonus is "not compulsory, unless specified in the employment contract or collective agreement." The wording of your contract, offer letter, or bonus scheme does the heavy lifting. The same goes for the Annual Wage Supplement, the 13th month payment, which MOM says "is not compulsory" and depends on "what is in your employment contract or collective agreement."
A contractual or guaranteed bonus is one your contract promises on stated terms, for example a fixed 13th month, or a bonus tied to targets you have met. Once the conditions are satisfied, that bonus is a debt. You can claim it the same way you would claim unpaid salary, and the Employment Claims Tribunals can hear a claim for a "bonus or annual wage supplement (AWS) stated in the contract," according to Singapore Courts guidance.
A discretionary bonus is one your employer decides each year, often "subject to company and individual performance" and "at the company's sole discretion." That discretion is real, so the employer usually has room to set the amount, including nothing in a bad year. But it is not a blank cheque. As a general principle of law, an employer that holds a contractual discretion has to exercise it honestly and in good faith, and cannot act irrationally, capriciously, or for an improper purpose. A bonus withheld out of spite, or on a reason that makes no commercial sense, can be challenged on that basis.
| Feature | Contractual / guaranteed bonus | Discretionary bonus |
|---|---|---|
| What it is | Promised on stated terms in your contract or scheme | Decided by the employer, usually "at its discretion" |
| Is it owed? | Yes, once the stated conditions are met it is a debt | Not guaranteed, but the discretion must be used honestly |
| Your strongest argument | The contract says I met the conditions, so pay it | The refusal was irrational, dishonest, or in bad faith |
| Where to claim | Salary claim at TADM / Employment Claims Tribunals (within the cap) | Often the civil courts, as good faith is fact-heavy |
Commission disputes
Commission is where sales leaders and account executives most often get shortchanged, usually on timing. How your commission is calculated, when it is treated as "earned," and whether it survives your last day all come from your commission scheme and contract, not from a general rule. A well-drafted scheme spells out the rate, the crediting rules, when a deal counts, and what happens to commission that is still in the pipeline when you leave.
The recurring fight is over post-termination and "in the pipeline" commission: deals you sourced or closed that pay out after you resign. Some schemes say commission is only payable if you are employed on the payout date, which can wipe out months of work. Others treat commission as earned when the sale is booked or the customer pays, in which case leaving does not strip it. The answer sits in the scheme wording, so the first job is to read it clause by clause against the deals you are chasing.
Where commission is stated in your contract, it counts as part of your pay for a salary claim. Singapore Courts guidance lists "commissions stated in the contract" among the contractual claims the Employment Claims Tribunals can hear. If the money owed is within the tribunal's limits, that is a faster and cheaper route than court. If a commission scheme is vague or silent on pipeline deals, that ambiguity is often argued in your favour, and it is worth advice before you sign any exit paperwork that could waive the claim.
Share options and ESOP on leaving
Share options and other equity awards follow their own rulebook. Your employee share option plan (ESOP), restricted share units, or share award is governed by the plan rules and your grant letter, not by the Employment Act. When you leave, three things decide what you keep: how far your awards have vested, what the plan says about leavers, and how you left.
Most plans split leavers into two camps:
| Good leaver | Bad leaver | |
|---|---|---|
| Who it usually covers | Redundancy, retirement, ill health, or leaving on agreed terms | Resignation, or dismissal for cause or misconduct |
| Vested options | Often retained, sometimes with a window to exercise | May be cancelled or bought back, depending on the plan |
| Unvested options | Sometimes accelerated or kept on a pro-rata basis | Usually forfeited |
These are common patterns, not fixed rules: the exact labels, definitions, and outcomes are whatever the plan documents say. Because how you are classified can swing a large sum, the reason and manner of your exit matter. If you were pushed out and then treated as a "bad leaver," the classification itself can be part of the dispute. Equity awards are also frequently large enough to sit outside the tribunal's caps, which pushes them toward the civil courts. If your departure is a senior exit with equity in play, read executive severance in Singapore and senior executive dismissal alongside this page.
How to claim what you're owed
Bonuses, commission, and allowances that form part of your pay are treated as part of "salary" for a claim, so the route is the same one used for unpaid wages. It runs through the Tripartite Alliance for Dispute Management (TADM) first, and then the Employment Claims Tribunals (ECT) if mediation does not settle it. Singapore Courts guidance confirms the ECT can hear contractual claims including a bonus or AWS stated in the contract and commissions stated in the contract.
- Read the contract and the scheme rulesPull your employment contract, offer letter, bonus plan, commission scheme, and any ESOP plan and grant letter. These, not a general figure, decide what you can claim.
- Gather your evidenceSave payslips, targets and performance records, deal or sales reports, and any emails or messages that show what you were promised and what you delivered.
- File at TADM within the time limitFile for mediation at TADM. If you have left, you must file within 6 months of your last day of employment, or your claim is time-barred. Union members file through NTUC.
- Attend mediationA TADM mediator helps both sides try to settle. Many variable-pay disputes are resolved here without a tribunal hearing.
- Go to the ECT, or the civil courtsIf mediation fails, the mediator issues a claim referral certificate for the ECT, which hears claims up to S$20,000 (S$30,000 union-assisted). If your claim is larger, it is pursued in the civil courts instead.
The full path, including what happens at the tribunal, is set out in the employment dispute process. If the core of your problem is unpaid wages rather than variable pay, see salary claims in Singapore.
When to get a lawyer
A clean, contractual bonus within the tribunal's cap can often be pursued through TADM without a lawyer. Advice earns its keep when the money is large, the wording is arguable, or the dispute is tangled up with how you left. A few situations in particular:
- The bonus is "discretionary." Arguing that a discretion was exercised dishonestly or irrationally is fact-heavy and document-driven. A lawyer can tell you whether the wording and the facts give you a real case.
- The amount is over the cap. If you are owed well above S$20,000, or hold a sizeable equity award, the claim likely belongs in the civil courts, and how you frame and value it matters.
- Commission and ESOP hinge on how you left. If you were pushed out and then denied pipeline commission or reclassified as a "bad leaver," the reason for your exit becomes central. See senior executive dismissal in Singapore.
- You are being asked to sign a release. A settlement or exit agreement can quietly waive a bonus, commission, or equity claim. Get it read before you sign.
A lawyer can tell you quickly whether you have a solid claim and help you prepare before the 6-month deadline passes. If you are not sure where your situation sits, the free case review below is a good first step.
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Frequently asked questions
Can I claim an unpaid bonus in Singapore?
It depends on whether the bonus is contractual or discretionary. MOM says a bonus is not compulsory unless it is specified in your employment contract or collective agreement. If your contract guarantees the bonus, it is a debt you can claim, and the Employment Claims Tribunals can hear a claim for a bonus or Annual Wage Supplement stated in the contract. A purely discretionary bonus is harder to recover, but even then the employer has to exercise its discretion honestly and cannot withhold the bonus irrationally or in bad faith.
Is a discretionary bonus ever payable if my employer just decides not to pay it?
A discretionary bonus is not a guaranteed entitlement, so an employer usually has room to decide the amount, including zero. As a general principle of law, though, that discretion is not unlimited: the employer must exercise it honestly and in good faith, and cannot act irrationally, capriciously, or for an improper reason. Whether a particular refusal crosses that line turns on the wording of your contract and bonus scheme and the facts, so it is worth having a lawyer read the documents.
Can I claim commission after I leave my job?
Whether commission earned before you left, or "in the pipeline" when you resigned, is still payable depends on your commission scheme and contract. Many schemes set out exactly when commission is earned and whether it is forfeited if you are not employed on the payout date. Commissions stated in your contract can be recovered through a salary claim, but you must file at TADM within 6 months of your last day of employment, so read the scheme rules and act early.
What happens to my share options or ESOP when I leave?
Your employee share option (ESOP) or share award is governed by the plan rules and your grant letter, not by employment law defaults. Most plans distinguish a "good leaver" from a "bad leaver" and set out what happens to vested and unvested options on termination. Unvested options are commonly forfeited when you leave, and how you leave (resignation, redundancy, or dismissal for cause) often changes the outcome, so the plan documents are the first thing to check.
How much can I claim for an unpaid bonus or commission?
Bonuses, Annual Wage Supplement, and commissions stated in your contract can be claimed through TADM mediation and, if that does not resolve it, the Employment Claims Tribunals. The tribunal can hear claims up to S$20,000, or up to S$30,000 if your case went through union-assisted mediation or the Tripartite Mediation Framework. Larger or more complex claims, such as a big equity award, fall outside those caps and are pursued in the civil courts instead.
Work Rights SG provides general information about employment rights in Singapore. It is not legal advice and does not create a lawyer–client relationship. It is a free service that connects you with an employment law firm; we do not provide legal advice ourselves. For advice on your situation, speak to a qualified employment lawyer.