Singapore Work Permit Updates for 2025: New Rules for Foreign Workers & Employers

Singapore Work Permit Updates 2025: There have been Singapore work permit updates in 2025 recently, which are going to change the face of foreign workers and employers in several industries. The update has mainly made changes in salary thresholds, EP, and S Pass eligibility criteria, revised levy rates, and ensured fair hiring practices.

These new policies will ensure competitive and balanced numbers of workers but still provide employment opportunities for Singaporean professionals so that Singapore’s status as an international hub is maintained for its highly skilled talent. This booklet will help readers, foreign employees, employers, and businesses familiarize themselves with the new and updated requirements.

Singapore Work Permit Updates 2025

UpdateDetails
Employment Pass (EP) Salary IncreaseSGD 5,600 minimum (previously SGD 5,000); SGD 6,200 for financial sector
S Pass Minimum SalarySGD 3,300 (previously SGD 3,150); SGD 3,800 for financial sector
COMPASS Framework for EP ApplicationsPoints-based system to assess salary, qualifications, diversity, and local hiring commitment
S Pass Levy Rate IncreaseTier 1: SGD 650 (from SGD 550); Tier 2 remains SGD 650
EP & S Pass Renewal DeadlinesEP: January 1, 2026
Workforce Fair Hiring & ComplianceStricter regulations to ensure prioritization of local workforce
Official SourceMinistry of Manpower (MOM)

Having raised salary threshold for the work permit, new hiring rules being tightened, and with the implementation of the COMPASS framework, Singapore’s 2025 updates toward work permits are due to the country’s continuous commitment toward work-life balance between local and foreign talents within its workforce.

Lenders and foreign workers should prepare by making adjustments in salaries, improvement in qualifications, and ensuring that recruitment processes comply with the new regulation. However, this change represents a sea change in the way the country issues work permits. >

Major Changes in Singapore’s Work Permit Rules for 2025

1. Revised Salary Requirements for Employment Pass (EP)

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

  • SGD 5,600 per month (up from SGD 5,000) for most industries.
  • SGD 6,200 per month for professionals in the financial sector.
  • Older applicants will require higher salaries (e.g., SGD 10,700 for applicants in their mid-40s).
  • Salary thresholds for renewals have to comply by January 1, 2026.

2. Increased Minimum Salary for S Pass

The S Pass is the mid-skilled foreigner’s pass. New salary and levy requirements on September 1, 2025, apply for >

  • Most industries = SGD 3,300 per month (previously SGD 3,150)
  • Financial sector employees = SGD 3,800 per month.
  • Employers will have to pay an increased levy rate that is paid per worker, from SGD 550 to SGD 650.

New S Pass holders and existing holders before September 1, 2026 are also affected by the change in new criteria.

3. Introduction of the COMPASS Framework for EP Applications

COMPASS is a new points-based system for EP applications. It examines applicants on multiple criteria to ensure that they would add value to Singapore’s economy. Employers and foreign workers must score at least 40 points based on the following criteria: >

  • Salary Competitiveness, compared to local professionals in similar roles.
  • Educational Qualifications, where higher degrees score more points.
  • Company Workforce Diversity, supporting a mix of local and foreign talent.
  • Support for Local Hiring (companies must show commitment to hiring locals).

4. Strengthening Fair Hiring & Compliance Measures

Singapore is doubling down on the Fair Consideration Framework (FCF) by giving priority access to job openings to local professionals before hiring foreign workers. Employers are required to:

  • Advertise a job opening on MyCareersFuture before hiring foreign employees.
  • Evidence actual efforts to hire locals before submitting for foreign work passes.
  • Be transparent in hiring practices to avoid discrimination based on nationality.

Non-compliance may attract penalties such as delayed work pass approvals and possibly MOM watchlist.

5. Work Pass Renewal Deadlines & Transition Periods

The government has also set renewal deadlines for existing pass holders to make the transition smoother:

  • EP holders must meet the new salary requirements by January 1, 2026.
  • S Pass applicants must satisfy updated salary and levy requirements by 1 September 2026.

Employers will need to start adjusting salary levels and workforce plans to comply with these new provisions.

Effects on Foreign Workers & Employers

For Foreign Workers:

  • Higher salaries mean that Foreign Workers have to bargain for good salaries with future employers.
  • Those who are already older must meet the age-based salary thresholds
  • Higher qualifications & in-demand skills increase the prospect of getting EP or S Pass.
  • Fewer opportunities in lower-skilled jobs as hiring preferences shift towards local employees.

For Employers:

  • Increased costs due to higher salary thresholds and levy rates.
  • Tighter hiring regulations requiring more documentation and compliance.
  • Stronger competition for work passes, necessitating better employee benefits to attract foreign talent.
  • Potential delays in work pass approvals if fair hiring practices are not followed.
  • Employers should review hiring strategies, salary structures, and compliance measures to align with Singapore’s updated regulations.

FAQs:

1. Who will be affected by Singapore’s new work permit rules?

All foreign workers applying for an Employment Pass (EP) or S Pass in 2025 must meet the new salary thresholds and COMPASS assessment criteria.

2. What are the deadlines for existing work pass holders?

Employment Pass (EP) holders must comply by January 1, 2026.
S Pass holders must comply by September 1, 2026.

3. How do I qualify for an EP under the COMPASS framework?

Applicants must earn at least 40 points, assessed on salary, education, workforce diversity, and local hiring contributions.

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