Starting January 1, 2025, Singapore’s Ministry of Manpower (MOM) will enforce new salary thresholds for Employment Pass (EP) applicants. The EP is designed to facilitate high-skilled foreign professionals, allowing them to live and work in Singapore. Under the revised criteria, non-financial service professionals will need a minimum salary of S$5,600, and those in financial services must earn at least S$6,200. This move aligns with MOM’s COMPASS framework, which evaluates candidates not only on salary but on other key factors that support Singapore’s talent diversity and local workforce development.
In a bid to attract global talent while supporting local workforce development, Singapore has revamped its Employment Pass (EP) requirements. MOM’s new COMPASS framework introduces stricter salary qualifications and a point-based system for candidates to ensure that only the most competitive professionals are granted an EP. With these updated policies taking effect from January 2025, businesses must adapt to maintain a compliant and competitive workforce in Singapore.
Understanding the COMPASS Framework
Step 1 – Salary Qualification
To qualify for an EP, foreign professionals must meet a minimum salary benchmark tailored to their sector. This benchmark is set according to the top one-third of salaries for local professionals, managers, executives, and technicians (PMETs) and is adjusted by the candidate’s age. For instance:
Non-Financial Services: Minimum monthly salary raised to S$5,600 (US$4,196), up from S$5,000.
Financial Services: Minimum monthly salary now S$6,200 (US$4,646), increased from S$5,500.
These changes apply to new EP applicants from January 1, 2025. Current EP holders must comply with the updated salary requirements by their renewal date if their pass expires after January 1, 2026.
Step 2 – Points-Based Assessment
After meeting the salary criterion, candidates are assessed on a 40-point scale based on educational qualifications, skills, and sector demand. Candidates who do not meet the salary benchmark are ineligible, regardless of their score on the point-based assessment. However, candidates who meet the salary requirement but score slightly below the points threshold may qualify if they meet specific exemptions.
Additional Criteria in the COMPASS Framework
Diversity and Local Employment Support
Under MOM’s COMPASS, employers are encouraged to maintain workforce diversity and commit to developing local talent. Companies scoring well in these areas improve their EP application success rate. Key factors include:
Workforce Diversity: MOM values diverse teams, particularly at senior levels, as they offer varied perspectives and promote inclusive workplace culture.
Local Employment Support: Companies with a history of hiring and training Singaporean workers benefit from higher scores, signaling a commitment to the local labor market.
How Can Businesses Prepare?
Step 1 – Review Compensation Structures
Employers should immediately review and adjust salary structures for foreign PMETs to ensure compliance with the new thresholds. Strategic adjustments now will prevent last-minute complications and ensure companies remain attractive to global talent.
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Step 2 – Refine Recruitment Strategies
With stricter requirements, employers need to align job roles with the COMPASS framework. Hiring for roles that align with MOM’s benchmarks can boost application success.
Step 3 – Support Existing EP Holders
For EP holders facing renewal deadlines in 2026 or beyond, companies should verify that salary levels meet updated sector standards well in advance. Providing upskilling and career growth opportunities can support higher compensation, helping employees meet future thresholds.
Step 4 – Plan for Critical Workforce Roles
Businesses should proactively identify critical positions and prepare these roles to meet COMPASS criteria, both in salary and points. Early planning can help employers navigate EP application complexities.
Step 5 – Engage with HR and Immigration Specialists
Consulting HR and immigration experts can provide businesses with a comprehensive understanding of MOM’s new criteria, reducing application rejections. These experts can also advise on policy development to ensure ongoing compliance.
The revised EP salary requirements and COMPASS framework mean adjusting hiring and compensation practices to attract top talent. This shift also underscores MOM’s dedication to promoting a fair and inclusive workplace, balancing foreign expertise with local talent development. These changes present both a challenge and opportunity for businesses to elevate their workforce standards.
Starting January 1, 2025, Singapore’s new EP salary requirements and COMPASS framework will set higher benchmarks for foreign professionals. Companies must adapt to these changes to attract international talent and support local workforce growth, ensuring a diverse, competitive team.
Sources: Asean Briefing, MOM Gov SG (2024)
Keywords: Employment Pass Salary, Singapore Salary Thresholds, Company Requirements
