Work Injury Compensation Singapore Act (WICA) creates employer obligations that many Singapore SMEs are not fully aware of until a workplace accident occurs. The first obligation most employers know is insurance. The lesser-known obligation is the reporting timeline: a workplace accident resulting in more than 3 days of medical leave must be reported to MOM within 10 days. Many Singapore employers are not aware of the 10-day reporting deadline. They reported that after the employee returned to work, which can be weeks later. Late reporting is a WICA violation even if the compensation is eventually paid correctly.
Work Injury Compensation Singapore
- Employers must maintain WICA insurance for all employees earning SGD 2,600 or below per month and all manual workers regardless of salary. This insurance covers medical expenses and work incapacity compensation (Source: MOM).
- Workplace accidents must be reported to MOM within 10 days if they result in more than 3 days of medical leave. Late reporting is an offence under WICA.
- WICA covers medical expenses up to SGD 45,000 and lost earnings compensation. The compensation amounts are set by WICA schedules and updated periodically.
Who Is Covered by WICA in Singapore
WICA covers two categories of employees:
- Employees earning SGD 2,600 or below per month (all sectors)
- All manual workers, regardless of salary level
Manual workers include construction workers, factory workers, maintenance staff, delivery drivers, and others engaged in physical labour. A manual worker earning SGD 5,000 per month is still covered by WICA.
Employees NOT covered by WICA:
- Domestic workers (covered by a separate scheme)
- Independent contractors (they are not employees)
- Self-employed persons
For foreign workers, WICA applies in the same way as for local workers. Employers must ensure all covered foreign employees under WICA.
WICA Insurance Requirement
Employers must purchase WICA insurance from an approved insurer before any covered employee starts work. Operating without WICA insurance for covered employees is an offence.
WICA insurance covers:
- Medical expenses resulting from work injuries (up to SGD 45,000 per accident)
- Temporary incapacity compensation (during the period the employee is unfit for work)
- Permanent incapacity lump sum (for permanent disability from a work injury)
- Death compensation (to dependants, in the event of work-related death)
Premium costs vary by industry risk profile. Higher-risk industries (construction, manufacturing) have higher premiums than office-based businesses.
Accident Reporting Requirements
The WICA reporting requirement is the most commonly missed compliance obligation for Singapore SMEs.
Reporting triggers and deadlines:
| Situation | Reporting deadline |
|---|---|
| Accident resulting in more than 3 days of medical leave | Within 10 days of the employer becoming aware |
| Accident resulting in hospitalisation | Within 10 days |
| Accident resulting in death | Immediate (and within 10 days in writing) |
| Occupational disease (including noise-induced deafness) | Within 10 days of diagnosis |
Reporting is done via the iReport system on the MOM website. The report must include the employee’s details, the date and circumstances of the accident, and the expected duration of medical leave.
“The 10-day clock starts when the employer becomes aware of the accident, not when the accident happened. If a worker reports an injury three days after the incident, the employer has 10 days from the date of the report.”
WICA Compensation Calculation
WICA compensation for temporary incapacity is calculated as a percentage of the employee’s monthly earnings during the incapacity period. The compensation rate is based on the employee’s average monthly earnings over the 12 months before the accident.
Medical leave compensation:
- For the first 14 days: full medical leave wages (from WICA insurance)
- From day 15 onwards: 2/3 of the employee’s earnings (from WICA insurance)
- Maximum duration: up to 1 year of temporary incapacity compensation
Permanent incapacity and death compensation amounts are based on MOM’s scheduled scales and the employee’s monthly earnings.
Frequently Asked Questions
Does WICA apply to office workers in Singapore?
WICA applies to office workers earning SGD 2,600 or below per month. Office workers above this salary threshold are not covered by mandatory WICA insurance. Employers may choose to purchase insurance for higher-earning employees voluntarily.
What happens if a Singapore employer does not have WICA insurance?
Operating without mandatory WICA insurance is a criminal offence. If an accident occurs without insurance, the employer is personally liable for all compensation payments. MOM can also prosecute the employer for operating without insurance.
Can a Singapore employee sue their employer for a workplace accident instead of claiming WICA?
Employees covered by WICA can only claim under WICA, not through common law negligence, for workplace injuries. Employees not covered by WICA (earning above SGD 2,600 and not manual workers) can sue under common law. The choice between WICA and common law applies only to uncovered employees.
How does WICA interact with sick leave in Singapore?
Work injury medical leave under WICA is separate from Employment Act sick leave entitlement. An employee on WICA medical leave for a work injury does not consume their standard outpatient or hospitalisation sick leave balance.
What should a Singapore HR team do immediately after a workplace accident?
Immediate steps: ensure the employee receives medical attention, document the accident circumstances, and start the MOM reporting process. The MOM report must be submitted within 10 days if the accident results in more than 3 days of medical leave.
Conclusion
WICA compliance in Singapore requires insurance before employees start work, incident reporting within 10 days for qualifying accidents, and correct compensation payment through the insurance scheme. The most common failure is the 10-day reporting deadline, which most employers miss because they do not know it exists. Adding WICA reporting as a step in any incident response procedure prevents this failure. HR software that includes incident reporting workflows and alerts can automate the reminder.
Tipsoi’s HR platform includes workplace incident tracking to support MOM WICA reporting compliance. Get a quote. Download Tipsoi’s Singapore WICA Compliance Guide for an incident response checklist.