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25-02-12, 15:34
http://www.straitstimes.com/PrimeNews/Story/STIStory_767746.html
New rule could lead to fewer housing agents
People intending to moonlight as agents must get boss' approval
Published on Feb 18, 2012
By Daryl Chin
THE number of property agents could fall now that the Council for Estate Agencies (CEA) requires those who are holding another job to get their employer's approval first, before becoming property agents.
Industry watchers say this could lead to a reduction of up to 15 per cent of agents here when the time comes for some to renew their licences next year.
The rule, which kicked in earlier this month, requires applicants to declare if they will be holding another job or doing full-time national service while being a property agent.
If so, they need to submit details of their employment or national service unit, plus a letter of approval from their employer or commanding officer.
The CEA, which started work in October 2010, is part of the Government's bid to raise the standards of the real estate industry through regulation and disciplinary powers.
Ms Purnima Shantilal, CEA director of licensing and investigations, said the new rule was implemented as part of a regular review to enhance professionalism.
'The question was included to allow CEA to gather a more comprehensive profile of the industry. Existing salespersons will be required to make the same declaration during the renewal of their registration status,' she added.
PropNex's senior vice-president Lim Yong Hock said his staff discovered the rule only after they applied for licences for new agents.
'Typically, agents do not need to declare to the property agency if they have other work commitments. It's fine, as long as they are able to do the job,' he added.
His view is that the new requirement will lead to some prospective agents dropping out.
'Overall, the net effect on the industry could be a reduction of between 10 and 15 per cent by next year, as there is a substantial number of people doing this to supplement their income without their employer's knowledge.'
At the start of this year, there were 30,577 property agents registered with 1,487 firms.
ERA Realty's key executive officer Eugene Lim said the new rule would hit hardest those looking for a career change.
'There's a learning curve to being an agent, and sometimes people want to try it out first, and close a deal or two before they decide if it's worth the switch,' he noted.
The number of new agents could also fall as he doubts that those working in the civil service, such as teachers or army regulars, can get the necessary permission.
He added: 'CEA is right in wanting agents to be serious and professional about the job, and not step on two ships. But as this affects those who are genuinely seeking better opportunities, perhaps the rule could be tweaked.'
Colonel Desmond Tan, director of public affairs at the Ministry of Defence, said army regulars are not allowed to engage in activities where remuneration is paid, without prior approval from the ministry.
As for full-time national servicemen (NSF), they will 'not be allowed to undertake salaried or contract employment, or to run businesses, with the exception of those facing financial hardship and who have been granted approval by Mindef'.
CEA is aware of an NSF who is registered as a property agent.
Ms Jacqueline Thoo, a lecturer teaching human resource management at Singapore Polytechnic, said employees generally need to seek their employer's consent before they take on another job.
'Things will be worse if the employer finds out through other means,' she added, noting that one way could be the public register, where consumers or employers can search for the particulars of sales agents using their names, registration numbers or mobile phone numbers.
'The employer is paying you a salary and expects a full-time commitment. So it's only right to be fair to them,' she added.
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New rule could lead to fewer housing agents
People intending to moonlight as agents must get boss' approval
Published on Feb 18, 2012
By Daryl Chin
THE number of property agents could fall now that the Council for Estate Agencies (CEA) requires those who are holding another job to get their employer's approval first, before becoming property agents.
Industry watchers say this could lead to a reduction of up to 15 per cent of agents here when the time comes for some to renew their licences next year.
The rule, which kicked in earlier this month, requires applicants to declare if they will be holding another job or doing full-time national service while being a property agent.
If so, they need to submit details of their employment or national service unit, plus a letter of approval from their employer or commanding officer.
The CEA, which started work in October 2010, is part of the Government's bid to raise the standards of the real estate industry through regulation and disciplinary powers.
Ms Purnima Shantilal, CEA director of licensing and investigations, said the new rule was implemented as part of a regular review to enhance professionalism.
'The question was included to allow CEA to gather a more comprehensive profile of the industry. Existing salespersons will be required to make the same declaration during the renewal of their registration status,' she added.
PropNex's senior vice-president Lim Yong Hock said his staff discovered the rule only after they applied for licences for new agents.
'Typically, agents do not need to declare to the property agency if they have other work commitments. It's fine, as long as they are able to do the job,' he added.
His view is that the new requirement will lead to some prospective agents dropping out.
'Overall, the net effect on the industry could be a reduction of between 10 and 15 per cent by next year, as there is a substantial number of people doing this to supplement their income without their employer's knowledge.'
At the start of this year, there were 30,577 property agents registered with 1,487 firms.
ERA Realty's key executive officer Eugene Lim said the new rule would hit hardest those looking for a career change.
'There's a learning curve to being an agent, and sometimes people want to try it out first, and close a deal or two before they decide if it's worth the switch,' he noted.
The number of new agents could also fall as he doubts that those working in the civil service, such as teachers or army regulars, can get the necessary permission.
He added: 'CEA is right in wanting agents to be serious and professional about the job, and not step on two ships. But as this affects those who are genuinely seeking better opportunities, perhaps the rule could be tweaked.'
Colonel Desmond Tan, director of public affairs at the Ministry of Defence, said army regulars are not allowed to engage in activities where remuneration is paid, without prior approval from the ministry.
As for full-time national servicemen (NSF), they will 'not be allowed to undertake salaried or contract employment, or to run businesses, with the exception of those facing financial hardship and who have been granted approval by Mindef'.
CEA is aware of an NSF who is registered as a property agent.
Ms Jacqueline Thoo, a lecturer teaching human resource management at Singapore Polytechnic, said employees generally need to seek their employer's consent before they take on another job.
'Things will be worse if the employer finds out through other means,' she added, noting that one way could be the public register, where consumers or employers can search for the particulars of sales agents using their names, registration numbers or mobile phone numbers.
'The employer is paying you a salary and expects a full-time commitment. So it's only right to be fair to them,' she added.
[email protected]