What is the guideline from MOM on the retrenchment benefit quantum?

Given that the current economic situations, some of the companies have already started to retrench employees for surviving sake. What is the guidelines from MOM on the quantum on the retrenchment benefit? Is retrechment benefit compulsory?

There is no mandatory but only guidelines from MOM that :"Under the Employment Act, an employee who has been employed in a company for at least three years can request for retrenchment benefits if he/she is retrenched.

As the law does not stipulate the quantum to be paid, the amount is subject to negotiation between the employee and employer. The quantum will also depend on the company's financial position.

However, an employee who has worked less than three years in a company is not entitled to retrenchment benefits under the Employment Act. However, the company may pay an ex-gratia payment at its discretion. Both retrenchment benefits and ex-gratia payments do not attract CPF contributions."