MOM investigating Twelve Cupcakes for potential breaches of Employment Act
About 80 workers were affected by the company's sudden closure.
A Twelve Cupcakes outlet at Jem shopping centre on Oct 31, 2025.
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SINGAPORE: Bakery chain Twelve Cupcakes is being investigated for non-payment of salaries and other potential breaches of the Employment Act, the Ministry of Manpower (MOM) and the CPF Board said on Friday (Oct 31).
About 80 workers were affected by the company's sudden closure, with the business saying it had been placed under provisional liquidation on Wednesday.
Employees told CNA that there was no prior notice from the management, and they only learned of the closure when liquidators arrived at the office.
Staff were owed salaries, and despite being a unionised company, Twelve Cupcakes did not engage the union early, before affected employees were notified.
Such behaviour is “irresponsible”, said MOM and the CPF Board.
“While retrenchments may be unavoidable, employees should be treated in a responsible and sensitive manner,” they added.
The CPF Board will file a Proof of Debt with the liquidator to recover outstanding CPF contributions for September and October.
CNA has contacted the parent company, Dhunseri Group, and Twelve Cupcakes CEO Juliana Lee for comment.
LOSSES SINCE 2023
The bakery operated outlets at locations including Changi City, Sentosa and Star Vista. In August, it opened a new outlet in Hougang Mall.
Financial statements show that the company has been in the red since 2023, when it made a total comprehensive loss of S$463,618 (US$356,100).
In the 2024 financial year, this figure grew to S$1,070,855, and S$1,233,943 the year after.
In its latest financial statement, auditors hinted at business uncertainty, with a note implying that the bakery could only be sustainable if it continued to depend on its parent company for financial support.
Employees who spoke to CNA said they were only informed of the decision on Wednesday, about an hour before the end of the workday. CNA understands that outlet staff were only alerted later in the evening, through a WhatsApp message.
The abrupt closure has left workers - many of them on work visas - in limbo.
An outlet employee in his late 30s said that management had informed foreign staff that their work permits and S passes would be cancelled on Nov 1 or Nov 2.
This means that those with work permits will have to find a job within seven days, while those on an S pass will have to find a job within 30 days, or return to their home country.
“But the problem is, how are we going to survive this one month, if we don't have any salary yet to pay our rent and our food expenses?” he said.
For now, the most pressing concern is their unpaid salaries, said one staff member. Some have rent that is due at the end of October.
“We did our best for them. But how can they treat us like this?” she said through tears. "It's kind of inhumane."
In its joint statement, MOM and the CPF Board said their priority is to help the affected workers find employment.
"This includes working with Twelve Cupcakes to provide job matching support and career coaching for these employees," they added.
The Tripartite Alliance for Dispute Management (TADM) will also assist employees of Twelve Cupcakes who need to file a Proof of Debt for their salary and other employment claims with the liquidator.
