Reminder: Minimum monthly salary to be increased

IMPACT – MEDIUM

The Singaporean government 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 increase from 4,500 Singaporean dollars to 5,000 SGD. For EP applicants in the finance sector, the new minimum monthly salary will increase 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 increase 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.

Additional Information: As of Aug. 1, employers can use the Self-Assessment Tool here to determine if their EP or S Pass candidates will meet the new qualifying salary. More information regarding the monthly salary requirement increase is available here.

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 and adjust their budgets if necessary.

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

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