If you are planning to move to Singapore or your existing Employment Pass is expiring soon, you should read further to stay updated on the new EP changes.
Since its independence, Singapore has maintained a distinct character as a global business hub. It has grown tremendously in industrial and ecological sectors and weathered difficult times through fair practices and stringent policies.
Often dubbed the Asian tiger for its commercial and industrial character, Singapore is a dream destination for professionals and entrepreneurs to start and grow their businesses.
The authorities of Singapore regulate the influx and stay of foreigners through the Ministry of Manpower (MOM). The recent budget in 2022 saw drastic changes in the structure and eligibility criteria for visa seekers.
New Criteria For Employment Pass (EP) in 2022
The recent changes in Employment Pass or EP criteria are discussed in the bullets. All the requirements and eligibility changes will come into effect from September 01, 2022.
- Singaporean businesses that are seeking foreigners for the position of executives and managers will have to pay them at least $5,000 salary, an almost 10% bump from the original $4,500
- Companies operating in the finance sector will have to pay $5,500 to their employees at least to secure EP for the upcoming year.
- Qualifying salaries for people in their 40s or old age remain higher and almost double their younger counterparts.
These developments have affected the businesses that are seeking their employees. This is evident from the number of EP holders shrinking from 189,7000 in June 2020 to 177,100 in December that same year. Check out our full list of requirements for Employment Pass.
Latest Developments In S Pass
The requirement for the issuance of S Pass has also seen significant changes. From September 01, 2022, the minimum wage for S Pass will be $3,000, an increment of $500 from the original $2,500.
The Ministry of Manpower has also declared that there will be no amendments to levies and quotas. Check out our full list of requirements for S Pass.
Stringent Fair Consideration Framework (FCF)
Fair Consideration Framework (FCF) has also experienced a significant overhaul as MOM has tightened the rules of play around hiring foreigners. The ministry has vowed that it will consider things deeper when it comes to PMET consideration of organizations.
To ensure Singaporeans do not face discrimination or ill-treatment in hiring and economic opportunities, MOM will take a strict stance and act accordingly against businesses that were found guilty of malpractices.
The primary decision in this regard is to instruct companies to post a job on the job offers portal, MyCareersFuture. In the earlier legislation, Sg (MCF) for 28 days, a raise from 14 days.
Those companies that are found in violation of these rules can be penalized, either through quota reduced in both S Pass and EP, or they could face punitive legal actions.
Singapore wants to preserve its commercial and business-friendly character by promoting a culture of nurture and growth. Still, MOM is also very considerate about the economic well-being of Singaporeans who were severely hit by the pandemic, especially retail, hospitality, and tourism industries. The results of these developments are yet to be seen once they are applied in September 2022.
Surrounding the latest developments in EP and S Pass policies, if you are wondering whether you would be eligible for a visa, contact us today for a free profile assessment!