New Employment Pass Salary Requirements in Singapore: How Businesses Can Prepare

Posted by Written by Ayman Falak Medina Reading Time: 3 minutes

Learn about Singapore’s new 2025 Employment Pass salary thresholds and COMPASS framework. Find out how businesses can prepare to meet the updated requirements.

Singapore’s Ministry of Manpower has announced the new salary threshold for Employment Pass (EP) applicants for 2025. The EP is a work visa for foreign professionals, managers, and executives seeking employment in Singapore. It permits holders to live and work in the country, facilitating multiple entries without the need for separate visas.

First-time candidates can obtain an EP for an initial two years which can then be renewed for up to three years at a time.

Understanding Singapore’s COMPASS Framework for Employment Passes

Under Singapore’s COMPASS framework, EP applicants must pass a two-step assessment to qualify:

Step 1: Salary qualification

Candidates must first meet a minimum salary requirement, which is benchmarked to the top one-third of local wages for professionals, managers, executives, and technicians (PMETs) by age. Meeting this requirement is essential for eligibility.

Step 2: Points-based assessment

In this stage, candidates need to achieve a minimum score based (40 points) on factors such as educational qualifications, skills relevancy, and industry demand. Candidates meeting the salary requirement but falling short of points may still qualify if they meet specific exemptions, but those who do not meet the salary requirement in Step 1 are ineligible regardless of their points score.

Other foundational criteria

Diversity

This criterion evaluates the diversity within the hiring company, particularly the representation of the applicant’s nationality among the company’s PMETs. Greater workforce diversity, particularly in senior roles, is encouraged to foster a balanced, inclusive workplace.

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Support for local employment

The Ministry of Manpower assesses the company’s track record of hiring and developing local employees. Companies with a strong commitment to nurturing Singaporean talent score better in this criterion. This ensures that companies hiring foreign talent also contribute to the growth and upskilling of the local workforce.

What is the new salary threshold for Singapore’s 2025 Employment Pass?

Starting January 1, 2025, the minimum monthly salary requirement for new EP applications will increase:

  • For individuals in non-financial services, the minimum salary will be raised to S$5,600 (US$4,196), up from the current S$5,000 (US$3,747).
  • For those in financial services, the minimum salary will increase to S$6,200 (US$4646), up from S$5,500 (US$4,122).

Additionally, EP holders with passes expiring on or after January 1, 2026, must meet the updated salary requirements for their respective sectors, regardless of whether they submit renewal applications before or after this date.

How can businesses prepare

To align with the upcoming EP requirements, businesses in Singapore can take several proactive steps:

Review compensation structures

Employers should assess current salary packages, particularly foreign professionals, managers, and executives, to ensure they meet the new minimum thresholds. Adjusting salaries where necessary can help maintain competitiveness in attracting top global talent.

Plan recruitment strategies

Given the stricter salary and COMPASS framework requirements, companies may need to evaluate their recruitment plans. By targeting roles that align with the framework’s benchmarks, companies can increase their chances of successful EP applications.

Enhance support for existing EP holders

For EP holders with passes expiring in 2026 or later, employers should assess the salary levels well before the renewal deadlines to ensure compliance with the new sector-specific requirements. Offering upskilling and career development opportunities could help justify higher compensation levels.

Implement workforce planning for critical roles

The COMPASS framework’s two-step assessment emphasizes both salary and points requirements. Employers should identify critical roles and ensure these positions align with the framework’s scoring criteria. Additionally, planning for workforce needs in advance can help businesses navigate the complexities of EP applications.

Engage with human resource and immigration specialists

Businesses may benefit from consulting HR or immigration specialists to understand better the nuances of the new requirements and how they affect hiring strategies. This support can also help develop policies that meet MOM’s criteria, reducing the risk of application rejections.

By proactively aligning with these new requirements, businesses in Singapore can continue to attract and retain international talent while ensuring compliance with the Ministry of Manpower’s updated EP regulations.

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