THERE is no industry classification of small and medium-sized enterprises according to size, but most agree that firms with more than 200 staff are larger SMEs that can cope better with the changed maternity leave provisions.

The Singapore Business Federation (SBF), which represents these larger firms, believes the difficulties will occur only in the transitional period.

Chief executive Teng Theng Dar noted that businesses coped well during the last rule change, adding 'if the right processes are in place, the additional month ought not to impact adversely'.

Smaller SMEs with less than 50 staff, however, will have a much harder time.

SCCCI and Asme both said that while larger companies have the financial muscle to hire part-timers to plug gaps, smaller firms would have neither the time nor cash to train new staff just to cover for a few months of work.

Mr Sean Teo, founder of Transmex Systems agrees. He employs 30 staff, 21 of whom are women.

'The main problem is that you find someone, train that person up and then have to make the decision whether this person has to go or stay when the pregnant employee returns from leave.'