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Singapore Work Permit Updates 2025 – Salary Increases, COMPASS Rules & Compliance

Singapore has introduced major updates to its work permit regulations for 2025, impacting foreign workers and employers across multiple industries. The new policies focus on:

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  • Higher salary thresholds for Employment Pass (EP) and S Pass holders.
  • Revised levy rates for S Pass workers.
  • Implementation of the COMPASS framework for EP applications.
  • Stricter fair hiring and compliance measures to prioritize local talent.
  • Updated renewal deadlines for existing work pass holders.

Employers and foreign workers must adapt to these changes to ensure compliance and continued employment in Singapore’s workforce.

Singapore Work Permit Updates

What Are the Major Work Permit Changes for 2025?

Update Details
Employment Pass (EP) Minimum Salary SGD 5,600 (previously SGD 5,000); SGD 6,200 for financial sector
S Pass Minimum Salary SGD 3,300 (previously SGD 3,150); SGD 3,800 for financial sector
COMPASS Framework for EP Applications Points-based system evaluating salary, qualifications, workforce diversity, and local hiring commitment
S Pass Levy Rate Increase Tier 1: SGD 650 (from SGD 550); Tier 2 remains SGD 650
EP & S Pass Renewal Deadlines EP: January 1, 2026; S Pass: September 1, 2026
Workforce Fair Hiring & Compliance Stricter job posting requirements, penalties for non-compliance
Official Source Ministry of Manpower (MOM)

Singapore’s 2025 work permit changes are aimed at balancing local and foreign talent, ensuring fair wages and hiring transparency while maintaining the country’s global competitiveness.

How Have Employment Pass (EP) Salary Requirements Changed?

The Employment Pass (EP) is for foreign professionals, executives, and managers. Starting January 1, 2025, new salary requirements apply:

  • SGD 5,600 per month (previously SGD 5,000) for most sectors.
  • SGD 6,200 per month for financial sector applicants.
  • Higher salary thresholds for older candidates (e.g., SGD 10,700 for those in their mid-40s).

All existing EP holders must meet these new salary criteria by January 1, 2026.

What Are the New S Pass Salary & Levy Requirements?

The S Pass is issued to mid-skilled foreign workers. From September 1, 2025, the following updates apply:

  • Minimum salary: SGD 3,300 (previously SGD 3,150).
  • Financial sector salary: SGD 3,800.
  • Levy increase: Tier 1 levy rises from SGD 550 to SGD 650; Tier 2 remains at SGD 650.

All existing S Pass holders must meet these new criteria by September 1, 2026.

Employers should review their workforce plans to comply with the new salary and levy structures.

What Is the COMPASS Framework for EP Applications?

Singapore is introducing the Complementarity Assessment Framework (COMPASS) to evaluate EP applicants based on a points-based system.

To qualify for an EP, candidates must score at least 40 points based on:

Category Evaluation Criteria
Salary Competitiveness Compared to local professionals in similar roles.
Educational Qualifications Higher degrees score more points.
Company Workforce Diversity Encourages a mix of local and foreign talent.
Support for Local Hiring Employers must show a commitment to hiring Singaporeans.

Employers must prepare stronger EP applications by meeting salary benchmarks, hiring diverse talent, and demonstrating local workforce contributions.

What Are the Stricter Fair Hiring & Compliance Rules?

The Fair Consideration Framework (FCF) ensures Singaporeans have priority in hiring before companies recruit foreign workers.

New employer requirements include:

  • Advertising job vacancies on MyCareersFuture before applying for work passes.
  • Providing evidence of genuine efforts to hire Singaporeans first.
  • Complying with fair hiring practices to prevent nationality-based discrimination.

Non-compliant companies may face:

  • Work pass approval delays.
  • Placement on the Ministry of Manpower (MOM) watchlist.

Employers must align recruitment strategies with Singapore’s hiring transparency goals.

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What Are the Work Pass Renewal Deadlines for EP & S Pass Holders?

To ensure a smooth transition, the MOM has set specific renewal deadlines:

  • Employment Pass (EP) holders must meet the new salary criteria by January 1, 2026.
  • S Pass holders must comply with revised salary and levy conditions by September 1, 2026.

Employers should start adjusting payroll structures and workforce plans well before these deadlines.

How Will These Changes Impact Foreign Workers & Employers?

For Foreign Workers:

  • Higher salary thresholds mean negotiating competitive wages is crucial.
  • Older applicants must meet age-adjusted salary requirements.
  • Stronger qualifications and in-demand skills improve EP/S Pass approval chances.
  • Lower-skilled roles may decline as hiring priorities shift toward local workers.

For Employers:

  • Higher hiring costs due to increased salary and levy requirements.
  • Stronger hiring competition for top foreign talent.
  • Tighter regulations requiring transparent recruitment processes.
  • Potential work pass delays for companies failing to meet fair hiring standards.

Employers should proactively review recruitment plans to remain compliant with Singapore’s evolving workforce policies.

Are There Any Alternative Work Pass Options?

Depending on eligibility, foreign professionals and businesses may explore alternative passes:

Pass Type Key Features
Tech.Pass For highly skilled tech professionals and entrepreneurs.
Overseas Networks & Expertise Pass For senior talent earning SGD 30,000+ per month.
Personalised Employment Pass (PEP) Offers greater flexibility for EP holders earning SGD 22,500+.

Employers should consider different work pass categories when hiring foreign talent.

FAQs

Who qualifies for an Employment Pass (EP) in 2025?

Foreign professionals earning at least SGD 5,600 (or SGD 6,200 in finance) and meeting COMPASS criteria.

How does the COMPASS framework impact EP applications?

EP applicants must score at least 40 points based on salary, qualifications, workforce diversity, and local hiring support.

What are the new S Pass salary requirements?

The minimum salary increases to SGD 3,300, with financial sector workers needing SGD 3,800.

When do existing EP and S Pass holders need to meet new salary requirements?

  • EP holders: By January 1, 2026.
  • S Pass holders: By September 1, 2026.

Will work pass renewals be affected by these changes?

Yes, all EP and S Pass renewals must comply with updated salary and levy structures.

What happens if employers fail to meet hiring compliance rules?

Non-compliant employers may face work pass approval delays and penalties from MOM.

Where can employers find more details?

Visit the Ministry of Manpower (MOM) website for official updates.

Click here to know more.

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