Changes in EP and S Pass Salary Criteria

Aug 28 2020
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As announced by the Ministry of Manpower (“MOM”) on 26 August 2020, effective 1 September 2020, the minimum salaries for Employment Pass and S Pass holders will be raised. This is part of the Government’s drive to encourage a strong Singaporean core.

Employment Pass
From 1 September 2020 onwards, firms applying for new Employment Pass applications for foreign professionals will be subject to the new minimum salary requirement of S$4,500, a raise from the current S$3,900.

Subsequently, the minimum qualifying salary for Employment Passes in the financial services sector will be further raised to S$5,000 for new applicants, from 1 December 2020 onwards.

For renewal of Employment Passes, the salary criteria will take effect from 1 May 2021. Please take note that qualifying salary for older, more experienced Employment Pass candidates in their 40s will be raised accordingly, and will remain double of the minimum qualifying salary of younger applicants.

S Pass

For foreigners with S Passes, the qualifying salary will be increased to S$2,500, a raise from the current S$2,400, effective 1 October 2020.

For renewal of S Passes, the salary criteria will take effect from 1 May 2021.

There will be no changes to levies and quotas as well as the previously announced reductions in the quotas for the services, construction, marine shipyard, and process sectors.


Fair Consideration Framework

Employers are encouraged to adhere to the Fair Consideration Framework (“FCF”), and give due consideration to local job applicants regardless of their age, gender, and ethnicity. Companies found to practise discriminatory hiring will face prosecution and have their work pass privileges reduced.

Employers are advised to avoid overconcentration of Employment Pass and S Pass employees. Companies whose workforce profiles suggests a bias against locals will be placed on a watchlist; in addition to being subject to greater scrutiny for all their work pass applications.

The FCF will be updated accordingly with effect from 1 October 2020:

  • Extension of FCF Job Advertising Requirement for S Pass applications
  • Increase of FCF Job Advertising duration for Employment Pass and S Pass applications from 14 to 28 days

Please refer to the infographic below:
Capture
For more information, please refer to the Ministry of Manpower’s press release:
https://www.mom.gov.sg/newsroom/press-releases/2020/0827-tightening-of-work-pass-requirements

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with end to end Work Pass Management by taking care of the Application, Appeal (if necessary), Renewal and Cancellation of the Work Passes

Learn more about how PayrollServe Work Pass Management can help your business, please Contact Us.

For more details pertaining to changes during this period, please refer to our COVID-19 Resource Centre.

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