Reasons to Choose Employment Pass Over Other Work Passes
There are at least three (3) professional working visas available for foreign expatriate to choose from which are:
The table below will indicate the differences of each pass:
||Personalised Employment Pass
|Who is it for?
||Foreign professionals, managers, and executives to work in Singapore registered Company
||Foreign entrepreneurs to start and operate business that is venture-backed or possesses innovative technologies
||High-earning EP holders or overseas foreign professionals that is not tied to an employer
|Who can apply?
||Employer or appointed agent
||Candidate may apply directly
||Candidate may apply directly
|Duration of the pass?
||1 to 3 years
||1 to 2 years
||Only up to 3 years
||SGD$ 4,500 above
||No specific salary requirement
||SGD$ 18,000 above
|Can bring in family members?
|Foreign worker levy or quota?
Based on the table above, those who wish to start a business with minimum capital injection will opt for Employment Pass. The eligibility criteria are easier to meet compared to the other two options.
Get an in-depth discussion on the types of working visas in Singapore here.
What is the Employment Pass Procedure?
Read this article for a step-by-step on Employment Pass procedures. By engaging with Paul Hype Page & Co., the workflow will be as below:
|Traditional EP application
||Company set up with EP
||Day 1) Register an account on our patented platform. Fill up our incorporation and/or employment pass form.
Day 5) After compliance team approval, Incorporate the company with our nominee services
||For growth, John will look for the next employer to work for.
2 to 3 months Employment Pass application
Day 1) Review client’s Employment pass application and advise on the additional documents that might be needed such as Business Plan, Tenancy Agreement and etc
Day 3) Submit Application to MOM and open company’s bank account. The company’s bank account should have capital of 12 months of the EP applicant’s declared salary.
Day 20) MOM may approve or request for additional documents
Day 30) Submit document after communication with MOM officer and working with client on the needed documents
Day 35 to 60 days) MOM will approve the application and once client secure employment pass, you are considered a local resident director. Hence, no longer needing the nominee director service
|The company should have a minimum 12 months of the applicant’s salary in the company bank account.
E.g. 12 months of $6,000 is $72,000 capital required
|If you engage with our incorporation service, we are able to fund the company with up to $300,000 to secure a higher approval rate.
In a downturn
|EP is cancelled and issued 30 days short term visit pass (STVP) to leave the country
||EP has 1 year validity and can renew before expiry
Is it Difficult to Secure an Employment Pass Now?
Based on recent events, it can be said the Covid-19 pandemic did hinder the Employment Pass application process. MOM first began tightening the requirement for a candidate to qualify holding an Employment Pass and at the same time, decreasing the quota for foreign expatriates.
However, since most of the foreigners working in Singapore under the Employment Pass have left the country during the pandemic, we’re seeing more approvals in the early months of 2022.
This makes now the best time to actually apply for your Singapore employment pass. Although MOM is stricter on the rules, it is not impossible with the insiders’ knowledge of licensed agents like us. All Singaporean companies are still expected to follow MOM’s the Fair Consideration Framework (FCF) to consider local candidates fairly for the job opportunities before hiring foreign expatriates.
New Employment Pass Scheme in 2023
MOM has announced a new Singapore Employment Pass scheme – Complementary Assessment Framework (COMPASS) to guide future EP applications. Under this new scheme, points are awarded on a specific set of criteria to determine applicant fit.
There are 2 key components under COMPASS:
Individual attributes – 40 points
Firm-related attributes – 40 points
This new scheme is expected to be launched in September 2023. We’ve discussed the new changes in our forum here.
Applying for Employment Passes used to be just a matter of paperwork and doing the minimum. Things are different now. The government has released official statements declaring the tightening of foreign worker regulations and a new framework for applications.
If your Employment Pass matters to you, you should seek the right advice and experience. It is, of course, timely to mention that Paul Hype Page & Co. has been servicing foreigners for 14 years now with our in-house immigration agency.
Traditionally, EPs are presented in a way that foreign professionals should have a job offer in Singapore. Instead, reframe and consider setting up a company. This way, you will be considered as the business owner as well as an employee of your own Company.