JAPA: Singapore Introduces Revised Employment Pass Guidelines for Local and Foreign Workers

Singapore’s Ministry of Manpower (MOM) has unveiled modifications to the Employment Pass (EP) application protocols, targeting a better alignment between local and foreign professional workforce standards.

These changes, set to commence in phases starting September 2024, are intended to attract highly skilled workers while maintaining competitive standards.

TravelBiz reports that “new salary benchmarks will come into effect for all new EP applications from 1st January 2025, with renewals affected for EPs expiring from 1st July 2025 onwards.” An Employment Pass is a permit issued to foreign professionals working in Singapore.

Detailed Adjustments to Employment Pass Requirements

The updated salary benchmarks will be required for new applications from January 2025. For renewals, these benchmarks will apply to EPs expiring after 1st July 2025.

The previous salary benchmarks, released in May 2023, will continue to apply for new EP applications submitted until 31st December 2024, and for renewals of EPs expiring between 1st September 2024 and 30th June 2025.

Under the COMPASS 1 (C1) salary criteria within the COMPASS framework, a points-based system used for evaluating EP applications candidates must earn at least the 65th percentile of local salaries within their sector. Additionally, professionals earning a fixed monthly salary of SGD 22,500 are exempt from the COMPASS evaluation.

The EP qualifying salary thresholds are set at SGD 5,000 per month for general sectors and SGD 5,500 for the financial sector, which will increase with age.

Important Updates for Applicants

From January 2025, the qualifying salaries for general sectors will be adjusted to SGD 5,600, and for financial services to SGD 6,200, applicable to renewals starting January 1, 2026.

These changes will likely make it more challenging for companies to recruit foreign workers for senior roles and might limit entry-level opportunities for foreign professionals.