Singapore Raises Foreign PMET Salary Thresholds; Job Displacement Debate Continues
Singapore's government has announced significant changes to its foreign worker policies for skilled professionals. Starting in 2025 and 2026, the country is raising minimum qualifying salaries for Employment Pass holders and S Pass workers, with EP salary thresholds rising to six thousand dollars and higher in certain sectors. Simultaneously, Singapore is removing maximum employment duration limits for work permit holders and expanding approved source countries. The government argues these measures balance attracting global talent needed for economic growth with ensuring local workforce opportunities. Officials point to data showing that over the past decade, local professional jobs grew by 382,000 while foreign skilled workers increased by just 38,000. However, opposition voices and independent analysts question whether this job growth primarily benefited native Singaporeans versus permanent residents and new citizens, and whether foreign workers are indeed creating complementary opportunities or reducing wages and job prospects for mid-career locals. The policy reflects Singapore's persistent challenge of managing openness to foreign talent while addressing citizen concerns about fair competition.
Key facts
- Singapore increased Employment Pass qualifying salary from S$5,600 to S$6,000 in 2027, and S Pass salary thresholds rose from S$3,300 to S$3,600 effective September 2025
- Over the past decade, resident PMET jobs grew by 382,000 while Employment Pass and S Pass holders increased by 38,000
- From July 2026, maximum employment duration caps for Work Permit holders were removed, allowing indefinite retention
- Government claims for every 1 additional foreign PMET hired, 10 local PMET jobs were created; opposition disputes attribution to native-born Singaporeans
- In 2025, roughly four of every five new jobs added in Singapore went to non-resident workers, with 55,500 total jobs added
- PMET retrenchment incidence reached 10.1 per 1,000 resident employees in 2025, above pre-recessionary norms
How different outlets framed it
Left-leaning coverage: Progressive voices and opposition politicians highlight that job growth statistics may mask real challenges. They argue that reported PMET expansion partly reflects reclassification of existing workers rather than genuine new positions, that much growth went to foreign-origin permanent residents rather than Singapore-born citizens, and that mid-career retrenchment rates and wage stagnation persist despite overall employment figures. They emphasize systemic concerns where foreign workers—particularly those with employer-sponsored visa dependency—may be favored by managers over locals who could job-hop.
Right-leaning coverage: Right-leaning voices emphasize Singapore's need to maintain global competitiveness and economic openness. They argue that restrictive foreign worker policies risk hindering business investment and competitiveness, that foreign professionals attract multinational corporations creating jobs for locals, and that without foreign talent, companies relocate elsewhere. They highlight Singapore's small population and aging demographics, noting that foreign workers help sustain fiscal health and economic dynamism in a geographically constrained city-state.
Limits of this briefing
Reliable data disaggregating job growth between native Singaporeans, permanent residents, and foreign workers remains limited in government disclosures. Causality claims—whether foreign workers create or displace local opportunities—remain contested between government analyses and independent researchers, with both drawing from incomplete or differently-weighted datasets.
Sources
- Ministry of Manpower Singapore: Factsheet on Foreign Workforce Policy Announcements at COS 2025 Centre
- The Online Citizen: Tan See Leng's Job Growth Claim Questioned: 1 in 3 'New' PMETs Were Just Reclassified Left
- Progress Singapore Party: Local PMETs Face Systemic Challenges Left
- KPMG International: Singapore Budget 2026 - Foreign Worker Policy Updates Centre
- The Financial Coconut: PMET & GE 2025: How Each Party Plans to Address Mid-Career Employment Challenges Centre