Starting next year, foreign employees aiming to work in Singapore will need to meet stricter salary requirements. The qualifying salary for the Singapore Employment Pass (EP) will increase from January 1, 2025, for new applications and renewals, as well as for passes expiring from January 2026.
Foreign professionals, managers, and executives must secure a Singapore Employment Pass before commencing employment in the country. Applications for an EP must be submitted by a Singapore-based employer or an authorized employment agent on behalf of the foreign worker.
Eligibility Criteria for Singapore Employment Pass (EP)
To qualify for the EP, foreign employees must meet a two-stage eligibility framework:
- Fulfill the Employment Pass Salary Benchmark
- Pass the Points-Based Complementarity Assessment Framework (COMPASS)
This framework applies to all new EP applications submitted from September 1, 2023, and to renewals of EPs expiring from September 1, 2024.
1. Employment Pass Salary Benchmark
Foreign employees must meet the minimum salary requirements to qualify for an EP. As of now, the starting monthly salary is $5,000, which is benchmarked against the top one-third of salaries earned by local professionals, managers, executives, and technicians (PMETs).
- The minimum salary begins at $5,000 for workers aged 23 and increases progressively with age, reaching up to $10,500 for those aged 45 and above.
- Workers in the financial services industry are required to meet higher salary thresholds.
From January 1, 2025, the qualifying salary for new EP applications will increase to:
- $5,600 for most sectors
- $6,200 for the financial services sector
This revised salary benchmark will also apply to EP renewals for passes expiring on or after January 1, 2026.
2. Pass COMPASS
In addition to meeting the salary benchmark, foreign workers must pass the Complementarity Assessment Framework (COMPASS), a points-based system. Applicants need to score at least 40 points to qualify.
- If an applicant fails to meet the salary benchmark, they will not be eligible for an EP, regardless of their COMPASS score.
- The first-time EP is valid for up to 2 years, while renewals are valid for up to 3 years. Experienced tech professionals with skills in high demand may qualify for a pass of up to 5 years.
Other Types of Employment Passes
- Training Employment Pass (TEP): Singapore may issue a Training Employment Pass for foreign nationals undergoing training related to their employer’s trade, occupation, or business.
- Personalised Employment Pass (PEP): This pass is designed for high-earning EP holders and overseas professionals. Unlike a standard EP, the PEP is not tied to a specific employer and offers greater flexibility.
Singapore’s revised Employment Pass framework aims to attract highly skilled foreign talent while ensuring fair competition with the local workforce. Employers and prospective employees should prepare for the upcoming changes in salary thresholds and eligibility criteria to ensure compliance and successful applications.
