S Pass qualifying salary to increase: S$3,300 from September 1, S$3,800 for those in financial services

SINGAPORE: Starting Sep 1, 2025, Singapore’s minimum qualifying salary for S Pass applicants will be S$3,300, up from the previous S$3,150, marking the third increase in three years.

According to The Business Times, on Thursday (March 6), Manpower Minister Tan See Leng announced that the qualifying salary will continue to rise with age, reaching up to S$4,800 for those in their mid-40s. These changes were first proposed in Budget 2022.

S Pass holders in financial services will have higher wage requirements due to the sector’s pay scale. Their minimum qualifying salary will increase from S$3,650 to S$3,800 and will gradually rise to S$5,650 for those in their mid-40s. The higher salary requirements will apply to new applicants from Sep 1, 2025 and renewals from Sep 1, 2026.

The Tier 1 levy for S Pass holders will also increase from S$550 to S$650, matching the Tier 2 levy starting Sep 1.

The government has been adjusting these requirements over the years, with previous salary hikes raising the minimum from S$3,000 in 2022 to S$3,150 in 2023. Financial services salaries also increased from S$3,500 in 2022 to S$3,650 in 2023.

The minister also gave an update on the Complementarity Assessment Framework (Compass), which assesses Employment Pass (EP) applicants.

Since its introduction in September 2023, about 30% of existing EP holders have been evaluated under the system. One of the key factors considered is diversity, which looks at how many employees of the same nationality are in a firm’s PMET (professionals, managers, executives, and technicians) workforce. 

Dr Tan said the diversity criteria has led to a 7% drop in firms heavily relying on foreigners from a single nationality. Overall, firms that depend more on foreign workers have decreased by 15%. He added that these companies have also created 4,000 more PMET jobs for locals.

Changes were also announced for the Manpower for Strategic Economic Priorities (M-SEP) scheme, which allows firms to hire additional S Pass and work permit holders if they meet certain conditions. Currently, companies qualify for two years of additional foreign worker access if they contribute to Singapore’s economic priorities and commit to hiring and training locals.

From May 1, 2025, the support period will be extended to three years.

Firms will also have a new way to meet the local hiring requirement by sending Singaporean employees on overseas programmes for exposure or leadership training. More qualifying programmes will be added, though details have not yet been announced. /TISG

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