Singapore – Introducing new Work Pass framework

In a press conference on strengthening Singapore’s position as a global hub for talent, held on 29 August 2022, Minister for Manpower and Second Minister for Trade & Industry, Dr Tan See Leng had announced four key enhancements that the Ministry of Manpower (the “MOM”) will make to the local work pass framework to attract top talent and experienced tech professionals in areas faced with skills shortages.

In summary, the MOM will be (i) introducing a new Overseas Network & Expertise Pass; (ii) increasing the benchmark for exemptions of certain Employment Pass requirements and Personalised Employment Pass eligibility; (iii) making changes to Employment Pass procedures; and (iv) introducing the option of a five-year Employment Pass for eligible candidates.

Details of the enhancements are as follows:

1. Overseas Network & Expertise Pass
   The MOM will be introducing a new Overseas Network & Expertise Pass, targeting top talent across all sectors. Applications for the Pass can be made from 1 January 2023.
   
   The Overseas Network & Expertise Pass is a personalised pass that allows holders to concurrently start, operate, and work for multiple companies in Singapore at any one time. The Overseas Network & Expertise Pass will be valid for 5 years and is renewable for 5 years each time, subject to the applicant meeting the eligibility criteria for renewal.
   
   Eligibility
   To be eligible for the Overseas Network & Expertise Pass, applicants must earn a fixed monthly salary of at least S$30,000 within the last 1 year from the date of application or show that they will earn a fixed monthly salary of at least S$30,000 under their future employer based in Singapore.
   
   Overseas candidates with no recent employment history in Singapore must show that they have worked or will be working for an established company. For this purpose, an established company would be a company with a market capitalisation of at least US$500 million or an annual revenue of at least US$200 million.
   
   However, individuals with outstanding achievements in the arts and culture, sports, science and technology, and research and academia, may also qualify even if they do not meet the salary criterion.
   
   Differences from current work passes
   Unlike the Employment Pass and S Pass, companies intending to hire Overseas Network & Expertise Pass will not be subject to the Fair Consideration Framework job advertising requirement and upcoming Complementarity Assessment Framework.
   
   Additionally, unlike current Dependant’s Pass holders who are not allowed to work in Singapore on a Dependant’s Pass, spouses of the Overseas Network & Expertise Pass holders will be allowed to work with a valid letter of consent.
    
2. Increased Benchmark for Exemptions of Certain Employment Pass Requirements and Personalised Employment Pass Eligibility
   
   Exemptions of Certain Employment Pass Requirements
   Currently, Employment Pass holders earning at least S$20,000 are exempted from the Fair Consideration Framework job advertising requirement and upcoming Complementarity Assessment Framework.
   
   From 1 September 2023, the salary requirement for exemption will be raised. As such, Employment Pass holders must earn at least S$22,500 to be exempted from the Fair Consideration Framework job advertising requirement and upcoming Complementarity Assessment Framework.
   
   Personalised Employment Pass Eligibility
   Currently, to be eligible for a Personalised Employment Pass, candidates who are existing Employment Pass holders must earn a fixed monthly salary of at least S$12,000 while overseas foreign professional candidates must have a last draft fixed monthly salary of at least S$18,000 and the last drawn salary must be within 6 months from the Personalised Employment Pass application.
   
   From 1 September 2023, this fixed monthly salary criteria for candidates who are existing Employment Pass holders and candidates who are overseas foreign professional will be increased to S$22,500.
    
3. Changes to Employment Pass Applications
   
   Fair Consideration Framework job advertising requirement
   Currently, companies intending to hire Employment Pass holders are subject to the Fair Consideration Framework job advertising requirement and are required to post to job advertisement for the job vacancy on the MyCareersFuture portal for at least 28 consecutive days.
   
   From 1 September 2022, companies intending to hire Employment Pass holders will only be required to post the job advertisement for the job vacancy on the MyCareersFuture portal for 14 consecutive days.
   
   Employment Pass Application Processing time
   With immediate effect, the processing time for all Employment Pass applications will be 10 working days. Employers can expect to hear from the MOM in relation to their Employment Pass applications within 10 working days.
    
4. Option for Five-year Employment Pass for Eligible Candidates
   With the global shortage of experienced tech professionals and Singapore’s continued efforts to attract experienced tech professionals and develop local tech talent, from 1 September 2023, the MOM will be introducing the option of a five-year Employment Pass for specific tech occupations on the COMPASS Shortage Occupation List.
   
   To be eligible for the five-year Employment Pass, applicants must meet the following requirements:
   • Fill specific tech occupations on the COMPASS Shortage Occupation List;
   • Earn a fixed monthly salary of at least S$10,500 (more experienced candidates will require higher salaries); and
   • Pass the upcoming Complementarity Assessment Framework and score at least 10 points on the Diversity criterion.

Further information on the above key enhancements can be found here. More details will be released by the MOM going forward.