Foreign employees will have to meet a higher salary threshold before starting employment in Singapore beginning next year. The Singapore Employment Pass (EP) qualifying salary for applications will be raised upwards from January 1, 2025, for new, renewals, and those expiring from January 2026.
Foreign professionals, managers and executives need to secure a Singapore Employment Pass before working in Singapore. To apply for a Singapore Employment Pass (EP), an employer in Singapore or appointed employment agent must apply on behalf of the foreign employee.
To qualify for EP applications, foreign workers need to pass a 2-stage eligibility:
- Meet Employment Pass salary benchmark
- Pass points-based Complementarity Assessment Framework (COMPASS)
The 2-stage eligibility framework applies to new EP applications from 1 September 2023, and renewals of EPs expired from 1 September 2024.
Employment Pass salary benchmark
Foreign workers need to meet the pre-defined income criteria before getting the Singapore Employment Pass. To be eligible for the Employment Pass, foreign employees need to earn at least $5,000 a month in Singapore.
The Fixed monthly salary of the foreign worker to be employed by the employer in Singapore has to be comparable to the top one-third of local professionals, managers, executives and Technicians (PMET) salaries.
Employment Pass salary benchmark starts from $5,000 with age from 23 and increases progressively with age, up to $10,500 for those aged 45 and above.
To be eligible, workers in the financial services industry must earn more money.
From 1 January 2025, the EP qualifying salary for new applications will be revised to at least $5,600, and at least $6,200 for the financial services sector. This revised EP qualifying salary will also apply to the renewal of EPs that are expiring from 1 January 2026.
Pass COMPASS
The second criteria for EP makes it mandatory for foreign workers to pass the points-based Complementarity Assessment Framework (COMPASS). Your application needs to earn 40 points to pass COMPASS.
Those who do not meet the salary benchmark are not eligible for an EP, regardless of the points they would have scored under COMPASS.
The pass duration for first-time candidates is up to 2 years, renewals up to 3 years, and experienced tech professionals with shortage skills may receive a longer 5-year pass.
Singapore may also issue an employment pass, which shall be known as a training employment pass, to a foreigner who is receiving or is about to receive training in connection with the occupation, trade or business of his employer.
In addition, one cap applies for the Personalised Employment Pass which is for high-earning Employment Pass holders and overseas foreign professionals. It is not tied to an employer and offers greater flexibility than an Employment Pass.