Minimum monthly salary to be increased

IMPACT – MEDIUM

The Singaporean government has announced that it will increase its monthly salary for employment pass holders in September.

Key Points: 

• On Sept. 1, Singapore’s minimum salary per month for Employment Pass (EP) applicants will be increased from 4,500 Singaporean dollars to 5,000 SGD. For EP applicants in the finance sector, the new minimum monthly salary will be increased from 5,000 SGD to $5,500 SGD.
• Singapore’s minimum salary for S pass applicants will increase from 2,500 SGD to 3,000 SGD. For S pass applicants in the financial sector, the new minimum monthly salary will be increased from 3,000 SGD to $3,500 SGD.
• New applications submitted on or after Sept. 1, 2022, will be subject to the new salary threshold; employers must meet the new salary requirements for renewal applications by September 2023.

BAL Analysis: Businesses may see a slight increase in labor costs because of the new minimum wage. Employers should take the new wage minimums into account when planning their budgets.

This alert has been provided by the BAL Global Practice group. For additional information, please contact berryapplemanleiden@bal.com.

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