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7 November 2022

Trust and Confidence in Employment Contracts - Fact or Myth?: Dong Wei v Shell Eastern Trading (Pte) Ltd [2022] 1 SLR 1318 [Case Note]

Tan Ly-Ru, Dawn & Tristan Weijian Teo

Published on e-First 7 November 2022

Abstract:
At common law, the implied duty of mutual trust and confidence has been thought to apply to all employment contracts. The implied duty has been rejected in Australia but continues to be applied in the UK, Hong Kong and, until recently, has been thought to apply in Singapore. In Dong Wei v Shell Eastern Trading (Pte) Ltd [2022] 1 SLR 1318, the Appellate Division of the High Court cast doubt on the existence of the implied duty under Singapore law. This case note discusses the court’s reasoning and arguments for and against the implied duty.