How to Hire Foreign Workers in Singapore

The employment of foreign workers in Singapore is closely regulated by the Ministry of Manpower (MOM) in Singapore. This article aims to provide a broad overview for employers intending to employ foreign workers in Singapore.

If you are looking for information on the employment of foreign domestic workers in Singapore, please refer to our other article instead.

When is a Work Pass Required?

All foreigners who intend to work in Singapore must have a valid pass (commonly known as a work visa) before they start work. Persons who wish to engage foreigners to work in Singapore must likewise ensure that they hold a valid pass.

Compliance with the Employment Act and Employment of Foreign Manpower Act

The Employment Act sets the minimum standard for issues including, but not limited to, salary, working hours, and retrenchment benefits. Foreign employees under a contract of service with an employer are covered by the Employment Act, except for:

• Seafarers
• Domestic workers
• Persons employed by a statutory board or the Government

For these groups of individuals, employment issues are governed by the terms of the employment contract.

Employers who wish to hire foreign workers who are covered by the Employment Act should note that Part IV of the Act, which provides for rest days, hours of work and other conditions of service, only applies to: a) a workman (doing manual labour) earning a monthly basic salary of $4,500 or less and b) an employee who is not a workman, but who is covered by the Employment Act and earns a monthly basic salary of $2,600 or less.

Part IV of the Act does not cover all managers or executives. Do refer to our other article for more information on how to determine if a foreign worker is covered by Part IV of the Act.

The Employment of Foreign Manpower Act covers all foreign employees who hold a work pass, including holders of Work Permits, S Passes, and the Employment Pass. The Act outlines the relevant obligations involved in hiring a foreign employee. Information on specific obligations by type of work pass is available below.

Types of Work Passes, Eligibility & Pass-Specific Obligations

This section outlines the different categories of work passes that foreigners who wish to work in Singapore will need to obtain, including which pass is suitable, eligibility requirements and employers’ obligations, where applicable.

(i) Work Permit for Migrant Workers 

Requirements

A Work Permit is for foreign workers from approved source countries/regions working in the construction, manufacturing, marine shipyard, process or services sector. More information on approved source countries and additional sector-specific requirements may be found here.

There is no minimum qualifying salary, and an employer or appointed employment agent needs to apply for the permit. However, employers are limited by a quota for their industry and have to pay a monthly levy for each worker. More information on the quota and levy requirements can be found here.

Duration of validity and renewal

The Work Permit is valid for up to 2 years, subject to validity of the worker’s passport, security bond, and employment period. During the validity period, the worker is only permitted to work for the specified employer, and in the specified occupation.

The Work Permit is renewable. This should be done six to eight weeks before the end of the validity period. More information on renewing a Work Permit is available here.

Employer obligations

Employers and Work Permit holders are required to comply with requirements stipulated here. Do note that there are also sector-specific Work Permit requirements, set out here.

Employers are required to pay the monthly foreign worker levy for each worker. Levy rates vary depending on the workers’ skills and qualifications and the industry sector. Instructions on calculating levies are available here.

Employers are to hire no more than the permitted number of foreign workers according to the quota system. Quotas vary depending on the industry. Each industry has its own Dependency Ratio Ceiling (DRC), under which the maximum number of foreign workers an employer can hire is calculated as a percentage of the maximum total workforce allowed. Employers may wish to use this free quota calculator to calculate the number of Work Permit holders they are permitted to hire under the quota system. Detailed guidelines on calculating levies and quotas are available here.

A $5,000 security bond has to be purchased by the employer for each non-Malaysian worker, prior to the worker’s arrival in Singapore. Employers are required to pay workers the fixed monthly salary declared to the MOM, within 7 days of the end of the month. Employers also have to foot the cost of upkeep and maintenance, including the cost of medical treatment.

Employers are also required to buy a Primary Care Plan (PCP) for their eligible workers. The PCP provides quality, accessible and affordable primary care to workers. The PCP is valid for a 12-month period and upon expiry, is automatically renewed for another 12 months unless terminated by the employer.

Employers have to ensure that their workers live in acceptable housing, pursuant to the Employment of the Foreign Manpower Act (EFMA). The workers’ residential addresses must be provided to the MOM. The various types of approved housing for foreign workers are listed here. Information on the different requirements that apply to each type of housing and the regulatory approvals to be obtained may be found here. For a list of foreign worker dormitories that have been licensed in accordance with the Foreign Employee Dormitories Act (FEDA), click here.

Procedure

More information on applying for a work permit is available here.

(ii) S Pass

Requirements

The S Pass offers flexibility to employers to hire skilled workers (Associate Professionals and Technicians (APTs)) who may not meet the criteria for an Employment Pass (discussed below), subject to a quota. New candidates (in non-financial services sectors) need to earn at least $3,150 a month – the qualifying salary increases progressively with age from age 23, up to $4,650 at age 45 and above.

For new candidates in the financial services sector, the qualifying salary is at $3,650 a month, which increases progressively with age from age 23, up to $5,650 at age 45 and above.

An employer or appointed employment agent must apply on behalf of the applicant. If the pass holder changes jobs, the new employer has to apply for a new pass.

Do note that MOM will continue to raise the qualifying salaries and levies for S Pass holders in 2025 and 2026.

Employers are also subject to a levy for S Pass employees, and must provide medical insurance for S Pass holders.

Duration of validity and renewal

The S Pass is valid for up to 2 years for first-time candidates, subject to validity of the worker’s passport, security bond, and employment period. During the validity period, the worker is only permitted to work for the specified employer, and in the specified occupation. Should the pass holder change jobs, the new employer would be required to apply for a new pass.

The S Pass is renewable. This can be done up to 6 months before the pass expires. The renewed pass may be valid for up to 3 years, subject to validity of the worker’s passport. The pass can only be valid up to 1 month before your passport expiry date.

More information on renewing an S Pass is available here.

Employer obligations

Employers are required to pay the salaries of S Pass holders using electronic payment methods such as GIRO or funds transfers. Electronic payments must begin within 3 months after issuance of the S Pass. A record of the salary payments must be maintained. Failure to comply with these requirements may result in fines or prosecution of the employer, and may affect future work pass applications. More information on paying the salaries of S Pass holders is available here.

Employers must buy and maintain medical insurance for S Pass holders with coverage for inpatient care and day surgery, including hospital bills for conditions that may not be work-related, throughout the duration of employment. The current minimum coverage for each S Pass holder – for policies with start date effective on or after 1 July 2023 – is $60,000 per year.

Insurance details have to be submitted online before a pass is issued or renewed, and when insurance details change.

Do note that from 1 July 2025, additional requirements for insurance coverage include:

Standardisation of allowable exclusion clauses Introduction of age-differentiated premiums for those aged 50 and below, and those aged above 50 Requirement for insurers to reimburse hospitals directly upon the admissibility of the claim

The number of S Pass holders an employer may hire is limited by a quota, which varies depending on the sector. A quota calculator is available here. Employers have to pay the foreign worker levy for all S Pass holders. The levy liability begins from the date of issue of the S Pass, and ends when the pass expires or is cancelled. Detailed guidelines on calculating quotas and levies are available here.

Procedure

More information on applying for an S Pass is available here.

(iii) Employment Pass

Requirements 

An Employment Pass is meant for foreign professionals, managers and executives. Candidates need to earn at least $5,000 a month and pass the Complementarity Assessment Framework (COMPASS).

An employer or appointed employment agent needs to apply on behalf of the candidate. For an overseas company without a Singapore-registered office, you need to apply through a local sponsor.

In terms of the qualifying salary, the fixed monthly salary must be comparable to the top one-third of local PMET salaries, starting from $5,000 and increases progressively with age, up to $10,500 for those in the mid-40s. Do note that candidates in the financial services sector need higher salaries to qualify.

Duration of validity and renewal

For first-time candidates, the Employment Pass is valid for up to 2 years, subject to validity of the worker’s passport, security bond, and employment period. During the validity period, the worker is only permitted to work for the specified employer. Should the pass holder change jobs, the new employer would be required to apply for a new pass.

The Employment Pass is renewable. This can be done up to 6 months before the pass expires, and must be done before the expiry date. The renewed pass may be valid for up to 3 years. The duration of the renewed pass is not affected by the length of validity of the worker’s passport. More information on renewing an Employment Pass is available here.

Experienced tech professionals with skills in shortage may be eligible for a longer 5-year duration pass.

Employer obligations

The number of Employment Pass holders an employer may hire is not limited by a quota. Employers also need not pay the foreign worker levy for Employment Pass holders.

Employers have the option of providing medical insurance for Employment Pass holders, although this is not compulsory.

Crucially, employers should take note of the Fair Consideration Framework, which outlines the Government’s expectations for companies to consider Singaporeans fairly for job opportunities. Employers are required to advertise the job opening on Workforce Singapore Agency’s MyCareersFuture job portal prior to submission of an Employment Pass application. The advertisement must be open to Singaporeans, comply with the Tripartite Guidelines on Fair Employment Practices, and run for a minimum of 14 calendar days before application for the Employment Pass. The full requirements are available here.

Employers who fail to comply with the Tripartite Guidelines may have their work pass privileges curtailed, and could be barred from making work pass applications.

Procedure

More information on applying for an Employment Pass is available here.

(iv) Personalised Employment Pass

Requirements

A Personalised Employment Pass (PEP) is meant for high-earning Employment Pass holders or overseas foreign professionals. It is not tied to an employer, and offers more flexibility than an Employment Pass in terms of allowing the pass holder to hold a job in any sector. The Pass Holder does not need to reapply for a pass if they change jobs, and are permitted to stay in Singapore for a continuous period of up to 6 months without a job to search for new employment.

However, the PEP does not exempt an individual from complying with registration requirements to practise in Singapore for professions such as medicine, dentistry, pharmacy, architecture, law, etc.

PEP holders need to earn a fixed monthly salary of at least $22,500, as well as meet the relevant eligibility criteria.

The candidate is to apply for the Personalised Employment Pass directly.

Duration of validity and renewal

The Personalised Employment Pass is valid for up to 3 years. It is issued only once, and is not renewable.

Candidate’s obligations

No foreign worker levy or quota is required.

Procedure

More information on applying for a Personalised Employment Pass is available here.