Is There Any Quota For The Singapore Employment Pass?

Understanding the Employment Pass and Quota System

In Singapore, the quota system restricts employers from hiring more foreign workers than permitted under specific manpower regulations. This system ensures a balanced workforce and supports the local labour market by controlling the inflow of foreign workers. In this article, we will discuss the Singapore Employment Pass quota.

The Employment Pass (EP), which is designed for professionals, managers, and executives, operates differently from other types of work passes. There is no official quota or foreign worker levy for the Employment Pass. Unlike the S Pass or Work Permit (WP), which are subject to levies and quota restrictions, EPs are not limited by a fixed number that companies can hire.

Theoretically, any Singapore-registered company can hire an unlimited number of foreign professionals on Employment Passes. Despite this, the Singapore Ministry of Manpower (MOM) has imposed strict regulations and assessments before approving the applications.

Hence, the Ministry of Manpower (MOM) closely reviews every EP application to ensure candidates meet Singapore’s professional, educational, and salary benchmarks. The ministry has started tightening the requirements for a EP candidate to qualify, and at the same time, decreasing the quota for foreign expatriates to reside and work in Singapore.

MOM’s Role and Assessment Criteria

The Ministry of Manpower (MOM) continues to refine the criteria for Employment Pass applications. Over the years, MOM has introduced more rigorous frameworks to ensure that foreign hires complement, rather than displace, the local workforce.

All employers must also comply with the Tripartite Guidelines on Fair Employment Practices, which promote:

• Fair hiring practices and merit-based selection
• Transparency in job advertisements and recruitment
• Equal opportunities regardless of nationality or background

This initiative supports Singapore’s long-term goal of maintaining a strong local employment core while attracting global talent that can fill skill gaps in critical sectors.

For entrepreneurs who prefer self-employment,  another option is to set up your own Singapore company setup with EP.

Why Is There No Quota for the Employment Pass?

Unlike the S Pass and Work Permit, the Employment Pass is not governed by a numerical quota because it targets a different talent segment — highly qualified professionals.

The absence of a quota allows Singapore companies, especially those in knowledge-based industries, to attract the best global talent.

However, MOM controls the quality and eligibility through:

• Salary benchmarks
• The Professional qualifications
• Company profile and track record
• Local hiring and diversity practices

MOM also periodically adjusts EP criteria in line with the economic climate. During slower economic cycles or restructuring periods, the ministry tightens requirements to prioritise local employment resilience.

The COMPASS Framework: How EP Applications are Now Evaluated

Introduced in September 2023, the Complementarity Assessment Framework (COMPASS) is a points-based system used to assess all Employment Pass applications.

Under COMPASS, candidates must score at least 40 points across six key criteria, which are divided into individual and employer attributes.

Individual Criteria

1. Salary Level – Assessed relative to local benchmarks for similar roles.
2. Qualifications – Based on recognised degrees, accreditations, or equivalent professional experience.

Employer Criteria

1. Diversity – Evaluates the proportion of nationalities in the company to encourage varied representation.
2. Support for Local Employment – Measures how well the company contributes to hiring and developing local talent.

Bonus Points (Optional)

1. Skills Bonus – For applicants in sectors facing local skills shortages.
2. Strategic Economic Priorities Bonus – For companies contributing to innovation or key economic initiatives.

Does the COMPASS System Impose an Unspoken Quota?

While the Employment Pass does not have a formal quota, the COMPASS framework introduces a diversity component that indirectly influences hiring balance within companies.

Under the “Diversity” criterion, companies are encouraged to maintain a workforce that is not overly concentrated in any single nationality.

For example:

• If a company already employs four Malaysian EP holders, hiring another Malaysian may not earn points under the diversity criterion.
• Conversely, hiring a professional from a different nationality may strengthen the company’s overall COMPASS score.

This measure is designed to promote workplace diversity and ensure a healthy mix of perspectives, cultures, and skills.

However, this is not an official quota, rather, it is an incentive-based system that influences approval likelihood based on workforce composition.

In addition, MOM has clarified that employers who score strongly in other categories, such as salary and qualifications, can still achieve the 40-point threshold even if they do not score in the diversity category.

Why EP Approvals Are Becoming More Competitive?

In recent years, MOM has tightened Employment Pass criteria to ensure that foreign hires continue to meet Singapore’s evolving manpower needs.

Key developments include:

• Higher minimum qualifying salary: Raised from S$4,500 to S$5,000 (and S$5,500 for financial services).
• COMPASS framework implementation: Active from September 2023 onwards.
• Increased scrutiny of job advertisements and local hiring efforts before foreign applications.

These adjustments aim to balance foreign talent inflow while prioritising local workforce development.

In 2025, MOM further refined salary thresholds for senior professionals aged 40 and above, aligning them with market-based progression rates to maintain competitiveness and fairness.

Is it Difficult to Obtain an Employment Pass?

Following Singapore’s transition into the post-pandemic era, the Ministry of Manpower has steadily reopened to foreign talent. EP approvals have increased to fill positions left vacant during the pandemic, particularly in sectors like:

• Technology and engineering
• Finance and professional services
• Healthcare and life sciences
• Sustainability and green energy

However, MOM still conducts thorough evaluations to ensure candidates meet the required standards.

The success of an EP application depends largely on:

• The candidate’s qualifications and experience
• The employer’s credibility and compliance history
• The salary offered relative to the industry
• The company’s commitment to hiring and training locals

With the COMPASS system in place, companies that demonstrate diverse hiring and local workforce support have a stronger chance of approval.

Employment Pass “Quota” by Nationality: What You Need to Know

While there is no nationality-based quota, COMPASS diversity scoring encourages employers to maintain a fair mix of nationalities within their workforce.

This means companies should avoid concentrating too many EP holders from one country. Instead, they should aim for balanced representation across different backgrounds.

If a company’s EP workforce is dominated by one nationality, subsequent applications from that same nationality may score lower under the diversity component.

However, strong scores in salary, education, and local support criteria can still lead to approval even without diversity points.

MOM’s Perspective: Talent Complementarity, Not Restriction

The Ministry of Manpower does not restrict Employment Pass applications based on nationality, industry, or company size. Instead, it focuses on whether the candidate adds complementary value to the Singapore workforce.

Singapore welcomes all talents who:

• Possess skills not readily available locally
• Can transfer knowledge and upskill local employees
• Contribute to innovation and economic growth

Ultimately, MOM’s goal is to maintain a balanced manpower ecosystem that empowers both local and global professionals.

Our Thoughts

There is no official quota for the Singapore Employment Pass. The approval process is designed to identify high-quality professionals who enhance Singapore’s workforce competitiveness.

The COMPASS framework serves as a tool for balanced evaluation, not restriction. Companies with diverse teams, fair hiring practices, and strong local engagement are more likely to succeed in their EP applications.

For candidates, the key lies in demonstrating:

• Strong qualifications
• Competitive salary packages
• Clear contributions to business innovation and local development

All in all, the decision rests with MOM, assessing whether each candidate is a suitable fit to contribute meaningfully to Singapore’s continued growth.