From 1st of January 2025, the Ministry of Manpower (MOM) has announced some changes to the Employment Pass (EP) Criteria mainly on the COMPASS framework. With such changes, it is important now for Business owners and companies’ Human Resource to understand the Employment Pass updates so that you are able to efficiently plan your hirings.
Since its implementation on 1 September 2023, COMPASS (Complementarity Assessment Framework) has been a pivotal tool for evaluating Employment Pass (EP) applications. With the latest updates in the Employment Pass (EP) policy, it aims to align with industry needs and limit the number of new EP holders working in Singapore.
Overview of the Singapore Employment Pass
The Singapore Employment Pass (EP) is a work visa suitable for foreign professionals with specialised skills, managers, and company directors to work and live in Singapore. This work pass scheme allows individuals to reside and work in Singapore together with their family members (under the Dependant Pass scheme), as well as travel in and out of Singapore freely. Typically, the Employment Pass (EP)is issued for 1-2 years and can be renewed 6 months upon expiration date. You are also eligible for the Singapore PR under the current EP scheme which makes it attractive option for foreigners looking to establish in Singapore on a long-term basis.
Eligibility Criteria for the Employment Pass (EP)
To be eligible for a Singapore Employment Pass, candidates must meet specific criteria set by the Ministry of Manpower (MOM). The reviews all Employment Pass applications to ensure compliance with these guidelines. Notably, there is no cap on the number of Singapore Employment Passes that a Singapore-based company can sponsor. To be eligible for an Employment Pass, candidates must:
- Earn a minimum salary of S$5,000 or more per month.
- Hold a degree or a professional qualification from a recognised institution
- Possess at least 3 – 5 years of relevant work experience.
- Company sponsor should meet the sponsoring criteria of an Employment Pass
Changes to the Employment Pass Application from 1 January 2025
Starting from 1 January 2025, candidates must meet the new points-based Complementarity Assessment Framework (COMPASS) requirements, scoring a minimum of 40 points to be eligible for the pass. The COMPASS system evaluates Employment Pass applications based on a combination of individual qualifications and company attributes, scoring them on several criteria:
- Salary: Ensuring competitive remuneration.
- Qualification: Recognised educational credentials.
- Diversity: Contribution to workplace diversity.
- Support for local employment: Commitment to hiring local talent.
- Skills bonus: Possession of in-demand skills.
- Strategic economic priority bonus: Alignment with Singapore’s economic priorities.
Other updated changes to the Employment pass EP
- The Employment Pass (EP) qualifying salary has been revised higher for all industries which will affect both the New and Renewal Employment Pass application.
- Employment Pass Renewal applications is required to meet the new COMPASS Framework requirements;
- Minor Changes to the COMPASS FrameworkC1: Salary Criteria
i. The salary benchmarks has been revised for certain sectors
ii. Companies must now ensure that the proposed salaries meet the update salary benchmark to score 10 points in COMPASS; 2.
C2: Qualifications Criteria
i. Updated list of Internationally recognised institutions that qualifies for both 10 and 20 points. Employers should verify the qualification of the employment pass applicant to ensure that he/she meets the qualification criterion
- C5: Shortage Occupation List (SOL) under the bonus criteria
i. New Occupations have been added to the Semiconductor industry under the SOL list
ii. Companies in this sector are able to benefit from the updated SOL list to gain higher points for COMPASS. Refer to the SOL Employer Guide for detailed insights.
Steps to Stay Compliant with Singapore Employment Pass
To secure approval for Singapore Employment Pass (EP) applications from 1 January 2025, you should follow these steps:
- Make use of the Self-Assessment Tool (SAT): The MOM’s SAT tool has been updated to reflect the new criteria.
- Review Salary Benchmarks by Sector:Make sure that the offered salary meet or exceed the revised benchmarks.
- Verify Candidate Credentials: Ensure that the education qualifications of the candidate align with the updated institutions. This would impact the score of COMPASS significantly
- Address to the Shortages in the Semiconductor Industry: Employers should always review the most updated list of short occupation to maximise the COMPASS scores.
- Ensure you have received the notification letter:This allows the candidate to work and travel while waiting for their physical Employment Pass card.
To get the updated information on COMPASS, you may visit our Ultimate Guide for Employment Pass in Singapore.
Why Are These Updates Important for Companies?
The annual COMPASS updates shows that the MOM is committed to ensuring that Singapore’s workforce remains competitive and adaptable. By staying ahead of these changes, employers can plan their foreign manpower hiring accurately and improve their chances of securing Employment Pass for their foreign professionals.
An employment agent can assist employers in understanding and adapting to these updates, ensuring compliance and improving the chances of securing Employment Passes for their foreign professionals.
Need Help with COMPASS or Your Employment Pass Application?
Navigating the evolving COMPASS framework and the Employment Pass application process can be challenging. At One Visa, we are an immigration firm that provide end-to-end support from setting up your company in Singapore to the application of your employment passes. Contact us today for a free assessment and professional support with your Employment Pass application.
