Singapore raises salary thresholds for foreign PMETs to strengthen local workforce
Singapore's Ministry of Manpower announced significant changes to its foreign worker policies as part of Budget 2026. Starting January 2027, the minimum qualifying salary for Employment Pass holders will increase from 5,600 to 6,000 Singapore dollars per month in most sectors, and from 6,200 to 6,600 dollars in financial services. S Pass minimum qualifying salary will rise from 3,300 to 3,600 dollars per month from early 2027. The Local Qualifying Salary used to calculate foreign worker quotas will increase from 1,600 to 1,800 dollars from July 2026. These phased increases, alongside the COMPASS points-based assessment framework, aim to ensure foreign professionals command competitive salaries aligned with top-tier local professionals while creating better opportunities for Singaporeans. The government also expanded hiring from new countries and adjusted work permit age limits to 63 to balance labour market flexibility with local employment protection.
Key facts
- Employment Pass minimum qualifying salary increases from S$5,600 to S$6,000 per month from January 1, 2027 for most sectors
- S Pass minimum qualifying salary rises from S$3,300 to S$3,600 per month from January 2027
- Local Qualifying Salary increases from S$1,600 to S$1,800 per month from July 1, 2026
- EP and S Pass salary thresholds are benchmarked to the top one-third of local PMET wages
- Changes are phased over 2027-2028 to give employers time to adjust
- COMPASS assessment framework requires foreign professionals to score at least 40 points on criteria including salary, qualifications, workplace diversity, and local employment support
Limits of this briefing
Search results primarily reflect official government policy documents and business advisory sources rather than news media with distinct political perspectives. Limited coverage from left-leaning or right-leaning news outlets that might frame the policy differently—for instance, critics might argue restrictions harm economic competitiveness, while progressives might emphasize worker protection benefits.
Sources
- Ministry of Manpower Singapore: Factsheet on Foreign Workforce Policies - Budget 2026 Centre
- World Travel Docs: Singapore Employment Pass 2026: Higher Salary Threshold Centre
- Newland Chase: Singapore announces further updates to foreign workforce policies Centre
- Migrant Times: Singapore to Tighten Foreign Worker Rules and Raise Salary Floors Centre