MOM said it had heard concerns about rising costs of manpower and constraints in hiring and therefore moderated the increase in the qualifying salary to give businesses more time to adjust.
Dr Tan also provided an update on the points-based Complementarity Assessment Framework (COMPASS), which has been used to evaluate new employment pass applications since Sep 1, 2023, and renewals since Sep 1, 2024.
He said about 30 per cent of the current employment pass stock had passed through COMPASS, and early results suggested “we are moving in the right direction”.
The share of firms with higher dependence on foreigners of a single nationality has fallen by 7 per cent, while the share of firms with higher dependence on foreigners generally has reduced by 15 per cent.
These firms also created 4,000 more PMET jobs for locals, said Dr Tan.
ENHANCEMENT OF M-SEP SCHEME
The ministry also announced enhancements to the Manpower for Strategic Economic Priorities (M-SEP) scheme.
M-SEP, launched in December 2022, allows companies that have expansion plans to temporarily hire more S Pass and work permit holders beyond industry quotas.
From May 1, the scheme’s support period will be extended from two to three years. Firms must still meet two conditions to qualify.
First, they must be contributing to Singapore’s key economic priorities by promoting investments that support the country’s hub strategy, engaging in innovation and research and development, or supporting internationalisation.
Second, they must commit to hiring and training local workers, either by increasing the size of the local workforce, sending workers for training that results in job enhancement, or participating in selected qualifying programmes.
From May 1, another pathway will be added to the second condition, where firms that commit to sending locals on overseas exposure or leadership programmes can qualify. MOM will also expand the list of eligible programmes recognised under the two conditions.
Editor’s note: This article has been edited to correct the number of work permit holders that is referred to in Minister of Manpower Tan See Leng’s speech as being 17 per cent above pre-pandemic levels. The original information was provided by MOM, which subsequently advised it was incorrect.
