Singapore tightens PMET hiring rules, raises salary floors for foreign workers
Singapore's government has introduced significant changes to its foreign worker policy affecting professionals, managers, executives, and technicians, known as PMETs. Starting January 2027, employers must pay foreign professionals at least six thousand dollars monthly, compared to the current five thousand six hundred. The Local Qualifying Salary for local workers counts increased from sixteen hundred to eighteen hundred dollars per month from July 2026. These policy adjustments aim to strengthen the local workforce while maintaining Singapore's global competitiveness. The government introduced a points-based assessment system called COMPASS that evaluates foreign worker applications on salary, qualifications, nationality diversity, and local workforce support. Officials report that firms with excessive foreign reliance have reduced foreign employment by 15 percent and created four thousand additional PMET jobs for locals since the system's introduction in 2023.
Key facts
- From January 2027, Employment Pass holders must earn at least SGD 6,000 monthly, up from SGD 5,600, with even higher requirements in financial services at SGD 6,600
- Local Qualifying Salary increased from SGD 1,600 to SGD 1,800 per month starting July 2026, affecting how many local workers count toward foreign worker quotas
- Since COMPASS introduction in September 2023, firms with excessive single-nationality foreign concentration decreased by 7 percent and those with high foreign dependence fell 15 percent
- Ministry of Manpower reported 4,000 additional PMET jobs created for locals following COMPASS implementation through 2024
- Over the past decade, the number of resident PMETs grew by 382,000 while Employment Pass and S Pass holders increased by only 38,000
- Approximately 3,000 Employment Pass applications have been rejected or withheld by MOM, and about 1,000 companies face heightened scrutiny for excessive foreign hiring
How different outlets framed it
Left-leaning coverage: Progressive advocates argue that Singapore's foreign worker restrictions do not go far enough to protect local PMETs. They highlight ongoing retrenchments among Singaporean professionals and contend that foreign workers, particularly those from specific nationalities, still dominate certain sectors and companies. Some call for stronger anti-discrimination laws and point to cases where companies hire foreigners despite available qualified locals.
Right-leaning coverage: Business and free-market perspectives caution that tightening foreign worker policies could harm Singapore's competitiveness and increase costs for firms. They argue that raising salary thresholds and implementing stricter quotas may reduce Singapore's ability to compete with lower-cost regional alternatives. Some worry that excessive restrictions on foreign hiring could limit business expansion and economic growth.
Limits of this briefing
Most sources focus on government policies and official data; critical voices from affected migrant workers or smaller employers expressing concerns are underrepresented. Recent wage-related labor disputes in mid-2026 suggest implementation challenges not fully reflected in policy announcements.
Sources
- Ministry of Manpower Singapore (Official): Factsheet on Foreign Workforce Policy Announcements at COS 2025 Centre
- Factually (Singapore Government Fact-Check): Impact of Foreign Professionals on our Economy and Society Centre
- The Independent Singapore: Singaporean PMETs - discriminated in their own country Left
- Singapore National Employers Federation / Business Commentary: PSP's Foreign Talent Policy Proposals Will Hurt Singapore's Competitiveness Right
- KPMG: Singapore – Announcement of Budget 2026 Centre