Businesses in Singapore have long seen the value of a foreign specialist workforce to complement local workers. However, there are justified concerns from local professionals, managers, executives and technicians (PMETs) that foreign workers should not just provide competition for jobs or suppress wages, but have valuable skills and competencies.
That’s why, since September 2023, policy changes to the Employment Pass (EP) scheme ensure that Singaporean companies are more intentional when hiring foreign professionals, and that employers bring in candidates that complement, not compete with, the local workforce.
One key change was the introduction of a points-based Complementarity Assessment Framework, better known as COMPASS. COMPASS has been in use for all new EP applications since September 2023, and all EP application renewals since September 2024. Earlier this year, Minister for Manpower Dr Tan See Leng revealed that the introduction of COMPASS resulted in 4,000 more PMET jobs for local workers.
As of December 2024, there are 202,100 EP holders, making up almost 13% of Singapore’s total foreign workforce. This is a drop from the previous year’s record of 205,400 EP holders.
Read Also: Understanding Singapore’s Foreign Workforce Numbers
Advertising Requirements Before Applying For An Employment Pass
Even before considering an EP candidate, companies must have exhausted all opportunities to hire a local worker for the role. This includes advertising the job on the MyCareersFuture job portal for Singapore Citizens and Permanent Residents according to the Fair Consideration Framework (FCF).
The advertisement on MyCareersFuture must meet several criteria, including:
- The job requirements need to be clearly explained
- The salary offered needs to be clear, specific, and consistent
- The advertisement needs to be open for at least 14 consecutive days, and no job offer can be made during this period
Companies may be exempted from these advertising requirements if they meet at least one of the following criteria:
- The company has less than 10 employees.
- The fixed monthly salary for the vacancy is $22,500 or more.
- The role is short-term and will not last more than a month.
- The role can be filled by an existing employee within the company, whether based locally or overseas.
After companies in Singapore have met the advertising requirements, they now must consider seven criteria when hiring a foreign worker under the EP scheme.
#1 Qualifying Salary
Despite the addition of COMPASS, qualifying salary remains the core of the EP scheme. Candidates who do not meet this requirement will not be eligible for an EP, regardless of the remaining four criteria.
Since the start of 2025, new EP candidates must now earn at least $5,600 in all sectors except for the financial services industry, where they must earn at least $6,200. This is benchmarked to the top 1/3 local PMET salary.
The qualifying salary is also age-based, which means the amount increases based on the age of the worker. At the highest-end, for EP candidates aged 45 or above, the qualifying salary must be at least $10,700 for all sectors except for the financial services industry, where they must earn at least $11,800.
#2 Salary Criteria
Under COMPASS, points are given if the EP candidate’s salary is at least at the 65th percentile when compared to the salary benchmarks of the company’s sector.
| Candidate’s fixed monthly salary compared to salary benchmarks by sector | Points |
| 90th percentile and above | 20 |
| 65th percentile to less than 90th percentile | 10 |
| Less than 65th percentile | 0 |
#3 Educational Qualifications Criteria
Under COMPASS, points are given if the EP candidate’s educational qualifications are at least equivalent to a bachelor’s degree in the UK system.
| Candidate’s educational qualifications | Points |
| Degree-equivalent qualifications from the top 100 universities based on QS World University Rankings, and other reputable universities in Asia, including Singapore’s six autonomous universities, or Institutions that are highly recognised in a particular field and endorsed by a relevant agency. | 20 |
| Foreign qualifications that are assessed to be comparable to a bachelor’s degree in the UK system, as determined by the Ministry of Manpower. Professional qualifications that are well-recognised by the industry and endorsed by a relevant sector agency also count as “degree-equivalent”. | 10 |
| No degree-equivalent qualifications. | 0 |
#4 Diversity Criteria
Under COMPASS, points are given based on the number of PMETs in the hiring organisation, as well as the proportion of PMETs that share the EP candidate’s nationality.
If there are fewer than 25 PMETs, 10 points are immediately awarded.
If there are at least 25 PMETs, then points are given if less than 25% of PMETs sharing the EP candidate’s nationality are in the hiring organisation.
| Share of candidate’s nationality among organisation’s PMETs | Points |
| Less than 5% | 20 |
| 5% to less than 25% | 10 |
| 25% or more | 0 |
#5 Support For Local Employment Criteria
Under COMPASS, points are given based on the number of PMETs in the hiring organisation as well as the proportion of local PMETs.
If there are fewer than 25 PMETs, 10 points are immediately awarded.
If there are at least 25 PMETs, then points are given if the proportion of local PMETs in the hiring organisation is at least in the 20th percentile in its sector.
| Organisation’s local PMET share relative to its sector | Points |
| 50th percentile and above | 20 |
| 20th to less than 50th percentile | 10 |
| Below 20th percentile | 0 |
A company can score up to 80 points based on the four COMPASS criteria above. Only 40 points are required to pass COMPASS. However, if a company still does not have sufficient points, there are two more bonus criteria that a company can use to make up the points shortfall.
#6 Skills Bonus Criteria (Shortage Occupation List)
If a job requires specialised skills and there is a shortage of those skills in the local workforce, a company will earn points for hiring a foreign worker under the EP scheme if they have those skills.
The job must be on Shortage Occupation List (SOL) to earn points. The SOL is created by the Ministry of Manpower (MOM) and the Ministry of Trade and Industry (MTI) in consultation with sector agencies and tripartite partners. Occupations may be added or removed from the SOL once a year, in response to market conditions.
Currently, there are 7 sectors in the SOL, including:
| Sector | Roles |
| Agritech | Alternative Protein Food Application Scientist |
| Novel Food Biotechnologist | |
| Financial Services | Financial or Investment Adviser (Ultra-High or High Net Worth, Family Office and Philanthropy) |
| Green Economy | Carbon Project or Programme Manager |
| Carbon Standards and Methodology Analyst | |
| Carbon Trader | |
| Carbon Verification and Audit Specialist | |
| Healthcare | Clinical Psychologist |
| Diagnostic Radiographer | |
| Occupational Therapist | |
| Physiotherapist | |
| Registered Nurse | |
| Infocomm Technology | Artificial Intelligence (AI) Scientist or Engineer |
| Applications or Systems Programmer | |
| Cloud Specialist | |
| Cyber Risk Specialist | |
| Cybersecurity Architect | |
| Cybersecurity Operations Specialist | |
| Data Scientist | |
| Digital Forensics Specialist | |
| Penetration Testing Specialist | |
| Product Manager (Digital) | |
| Software and Applications Manager (Technical Lead or Supervisor) | |
| Software Developer | |
| Web and Mobile Applications Developer | |
| Maritime | Marine Superintendent |
| Marine technical Superintendent | |
| Semiconductor | Semiconductor Engineer |
| Instrumentation Engineer | |
| Process Engineer |
In addition to the job being on the SOL, the number of points given depends on the proportion of PMETs that share the EP candidate’s nationality
| Share of candidate’s nationality among your organisation’s PMETs | Points |
| Less than 1/3 | 20 |
| 1/3 or more | 10 |
#7 Strategic Economic Priorities Bonus Critieria
If necessary, a company can earn a further 10 points if they participate in and meet the criteria for at least one eligible programme supported by the Economic Development Board (EDB), Enterprise Singapore (EnterpriseSG), Infocomm Media Development Authority (IMDA), Maritime and Port Authority of Singapore (MPA), Singapore Tourism Board (STB), and National Trades Union Congress (NTUC).
The award of 10 bonus points will be at the discretion of the supporting agency behind the programme. Organisations that qualify for these 10 bonus points will be informed by the Ministry of Manpower.
Subscribe To The DollarsAndSense Business Pass
Enjoy what you are reading and want more? Join The DollarsAndSense Business Pass and unlock access to valuable tools, exclusive networking opportunities, and tap into the wisdom of industry experts to fuel your business expansion!
