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Hiring in Singapore at a glance

Currency

$ / SGD
Working Hours

40 hours / week
Public Holidays

11 holidays / year
Payment Frequency allowed

The most common payment frequency is monthly.
By law, employees must be paid at least once a month.
Local language

English
Population

6M
Minimum Salary

No national minimum wage
Tax year

1st Jan – 31st Dec

Employment Tax

Employee Taxes
    • Social security: 5% – 20%

Central provident fund (CPF):

  • Employees aged 55 or below have to contribute 20% of their ordinary monthly wages
  • employees age 55-60 contribute 13%
  • employees aged 60-65 contribute 7.5%
  • and employees aged 65 and over contribute 5%.
  • The contributions are subject to a monthly ordinary wage ceiling of $6 000 and a total annual wage ceiling of $102 000

Income tax calculated based on income.

Employer Taxes
  • Social security: 7.5% – 17%
  • Employers contribute 17% of employees’ salary for employees aged 55 or below
  • 13% for employees aged 55-60
  • 9% for employees aged 60-65
  • 7.5% for employees over the age of 65
  • Subject to a monthly ordinary wage ceiling of $6 000 and a total annual wage ceiling of $102 000
  • Skills development fund: 0.25%
Employee Tax rates (if any)

Income Tax

Taxable income Tax Rate (%)
$0 - $20 000 0
$20 001 - $30 000 2
$30 001 - $40 000 3.5
$40 001 - $80 000 7
$80 001 - $120 000 11.5
$120 001 - $160 000 15
$160 001 - $200 000 18
$200 001 - $240 000 19
$240 001 - $280 000 19.5
$280 000 - $320 000 20
$320 001 + 22

Employer of Record
in Singapore

Assuming the role of the accredited employer, an Employer of Record is entrusted with ensuring adherence to all legal prerequisites associated with employment in Australia. This encompasses responsibilities like payroll administration, tax adherence, and the issuance of employment contracts in alignment with labor guidelines.

Employer of
Record Process

  • Company

    • Finds their perfect hire and provides Lerio with all the information required to prepare an employment agreement. For Australia, that includes:

    • Full legal name of prospective employee
    • Employee contact details
    • Employee nationality and residency status
    • Proposed start date
    • Right to work status
    • Job title
    • Working hours
    • Job description and deliverables
    • Salary information
    • Benefit information
    • Intellectual property and confidentiality agreement
    • Terms of termination (e.g. notice period)
    • Probation period
    • EMployee bank details
    • All other company-specific requirements (e.g. non-compete, intellectual property clauses, etc.)

  • Lerio

    • Prepares the employment agreement and shares with the prospective employee for signing. Requests all additional documents such as identity documents, proof of right to work in Australia, tax information, etc.

  • Employee

    • Signs employment agreement and submits required documents.

Umbrella Process

  • Employee

    • Now no longer a prospective employee but simply an official employee, who ensures to keep Lerio updated on any personal information changes.

  • Lerio

    • Onboards employee to payroll and benefit programs to get started ensuring that salaries are paid every month and benefits are administered. Tax contributions and benefit fees are paid and payslips are provided to the employee.

    Lerio provides an invoice and statement to the company for each month.

  • Company

    • Receives monthly invoice, reviews and processes. Provides information on whether anything has changed in their relationship with the employee, the employee’s role or the company that will have an effect on the upcoming payroll run.

Employee Benefits

  • Central Provident Fund

  • Health insurance

  • Disability insurance

Non-mandatory
Employee Benefits

  • Extended health insurance
  • Annual bonus
  • Career development
  • Additional holidays

Employee Rights

  • A safe and healthy work environment free from risk
  • Protection from discrimination, harassment and bullying
  • Fair and just dismissal
  • Protection of personal information

Leave

Paid time off

7 days annually. 1 day is added every year until it’s 14 annually
Sick Leave

14 days outpatient and 60 days if hospitalisation is required annually, once employed for 6 months.

Below 6 months is on a sliding scale:

  • 3 months: 5 paid outpatient days and 15 paid hospitalisation days
  • 4 months: 8 paid outpatient days and 30 paid hospitalisation days
  • 5 months: 11 paid outpatient days and 45 paid hospitalisation days
  • 6 months & more: 14 paid outpatient days and 60 paid hospitalisation days
Maternity leave

16 weeks fully paid. Required to take 4 weeks before and 12 after birth
Eligible if:

  • at least 90 days employed
  • child is a Singaporean citizen

* If the child is not Singaporean, only entitled to 12 weeks. 8 paid by the employer and 4 unpaid.

For the first two pregnancies, employer pays for 8 weeks and government pais for 8 weeks
Any children after that, government pays full, capped at $10 00 every 4 weeks
First two pregnancies, the employer pays 8 weeks and the government pays 8 weeks.
Paternity leave

4 weeks paid funded by government capped at $2500 per week
Must be taken 16 weeks after birth or flexibly within first 12 months
Eligible if:

  • The child is Singaporean
  • He’s married to the mother, got married before birth or married within 12 months after birth
  • Has been working for 90 days
Adoption leave

12 weeks (to mother)
Eligible if:

  • Child is below age of 1 when process starts
  • Child is Singaporean or will become in 6 months
  • Have been employed for 90 days
  • There’s less than a year between the starting process and it coming through.

Employer pays for the first 4 weeks for the first two kids and government pays the remaining. Any additional, fully paid by government, capped at $10 000 every 4 weeks.

Fathers gets 2 weeks paid capped at $2 500 paid by government.
Parental leave

6 days per year until the child is 7 for each parent – capped at 42 days total paid 50% by the employer and 50% by the government.

Fathers can share up to 4 weeks of their wife’s government paid-maternity/adoption leave.
Notice Period

Typically one month

Probation

Not mandatory but usually 3 – 6 months

What is a work permit in Singapore?

Work permits are official documents from a country’s government that qualifies an individual to legally work and live in the country. However, this is a broad term and many countries require more than one official document and may use different terms to refer to these documents – and Singapore is one of them. Essentially all terms are referencing documents that prove someone has been given the legal right to work and live in the country. 

In Singapore, the “work permit” required to legally live and work legally is referred to as a work pass, and it’s the only document required.

Who needs a work permit in Singapore?

Singapore requires everyone who is not a citizen or a permanent resident to go through a process of obtaining a work permit. Though most countries belong to a group of countries who have a free movement or similar arrangement, and/or bilateral agreements with another country which allow citizens from some other countries to legally work and live there, Singapore is not one of those. Everyone who is not a citizen or a permanent resident of Singapore requires a work permit. The only exception is that there are different, and simpler, processes for family members of foreigners who already have work permits for Singapore.

How long does it take to get a work permit in Singapore?

  • Employment Pass: 8 weeks
  • EntrePass: 8 weeks
  • The personalised employment pass: 8 weeks
  • The overseas network and expertise pass: 4 weeks, can take longer depending on validation of qualifications
  • Tech Pass: 8 weeks
  • The S Pass: 10 – 14 weeks

Types of work visas in Singapore

Professional Passes

Employment Pass

The employment pass is for professional, managerial and executive employees who earn a required salary and who pass the Complementarity Assessment Framework

Eligibility: 

  • Earn at least the qualifying salary. This is set as a third of the local PMET (professionals, managers, executives and technicians) salaries benchmarked by age. 
  • Pass the Complementary Assessment Framework (COMPASS). This is a points-based system which considers salary, qualifications, diversity, local support. Those who earn more than $22 500 are exempt from this requirement. 

EntrePass

The EntrePass is for entrepreneurs who want to start and operate a business in Singapore. They need to be venture-backed or have innovative technologies. 

Eligibility*: 

  • Company is registered with ACRA (Accounting and Corporate Regulatory Authority) where the applicant owns 30% or more of the company. 
  • Company is venture-backed or holds innovative technologies. How this is classified can be seen here. 
  • These businesses aren’t eligible: 
    • Coffee shops, hawker centres, food courts
    • Bars, night clubs, karaoke lounges
    • Foot reflexology, massage parlours
    • Acupuncture, traditional Chinese medicine, herbal dispensing businesses
    • Employment agencies
    • Geomancy business

*If the company was registered more than 12 months before application, it is assessed based on the pass renewal criteria. 

Personalised Employment Pass

The personalised employment pass offers more flexibility to those who hold an employment pass but are high-earning. 

Eligibility:

  • Earn a fixed monthly salary within the top 10% of employment pass holders. This is currently minimum $22 500 per month
    • If already in Singapore, this can be based on your current salary
    • If not in Singapore, this must be your last 6 months’ salaries

Networks & Expertise Pass

The overseas networks and expertise pass is for exceptional talent in business, arts and culture, sport and, academia and research. 

Eligibility:

Assessed on a case-by-case basis but at least one of these must be met:

  • In the last 12 months, earned at least S$30 000 per month at an *established company
  • Will be earning at least S$30 000 per month at an *established company in Singapore 
  • Outstanding **achievements in sports, arts and culture or academia and research

*An established company is defined as one that has market capitalisation or valuation of at least US$500 million or an annual revenue of at least US$200 million. If it’s a global group, combined income can be assessed on a case-by-case basis. 

** Independent agencies such as the Department of Education or industry-specific agencies assess this

Tech Pass

This pass is different from the others. It is issued through the Singapore Economic Development Board and allows holders to perform different roles concurrently, including: 

  • Begin and run one or multiple tech companies
  • Be an employee at one or more Singaporean companies
  • Consult, mentor or lecture at educational institutions 
  • Invest or be a director in or for one or multiple Singaporean companies

Eligibility: 

  • Earned at least S$22 500 per month
  • Five or more years of experience in a lead role in a tech company that is valued at at least US $500 million or that has raised at least US $30 million in funding
  • Five or more years of experience in a leading role developing a tech product that has at least 100 000 monthly active users or US 100 million annual revenue

Skilled and semi-skilled workers 

S Pass

The S Pass is for skilled workers who earn $3 150 per month

Eligibility: 

  • Job offer from a Singaporean company
  • Monthly salary is in the top third of the local workforce by age range, in the industry

Other industry-specific skilled and semi-skilled workers visas: 

Other visas: 

In addition there are several visa options for students, young trainees and short-term business assignments. These can be seen here.

Application process in Singapore

General process

All passes follow the same general process steps. However there are *small variations for some of the passes. 

*As the Tech Pass is issued by a different department completely, the process is the most different and needs to be submitted to different places. See the process for the Tech Pass here. 

The general process is as follows: 

Submit an application

Submitted by the applicant or by the employer depending on the pass type 

  • Collect the required documents (see below)
  • Submit application through the Ministry of Manpower’s online service. 

If approved, an in-principle approval letter will be sent via email. This will serve as the applicant’s entry visa and needs to be shown to immigration officers upon arrival.. It will also indicate whether a medical exam needs to be done after arrival.

Issue pass

This needs to be done by the applicant once they’ve arrived in Singapore and must be done within six months of an approved application. There are two options to do this, depending on the pass type: 

Option 1: Employment Pass Services Centre: 

  • Complete a medical exam, if advised to through the application process.
  • Make an appointment online to visit the Employment Pass Services Centre.
  • Take the required documents to your appointment
  • Pay the fees
  • A notification letter will be issued immediately. This allows the applicant to start work. This will also indicate whether the employee needs to have their biometric information recorded. 

Option 2: Employment Pass Online Service

  • Complete a medical exam, if advised to through the application process.
  • Submit required information and documents through the Employment pass online service. 
  • Pay the fees 
  • A notification letter will be issued immediately. This allows the applicant to start work. This will also indicate whether the employee needs to have their biometric information recorded. 

Submit biometric information

If required, must be done within two weeks of the pass being issued, 

Receive the physical card

The card will be delivered to the applicant within 5 days of completing the steps to issue the pass or if they were required to submit biometric information, 5 days after that. If for some reason the employee couldn’t take delivery, the card can be collected within 3 days after the delivery was attempted at an Employment Pass Services Centre.

Pass-specific application process: 

The Ministry of Manpower has a detailed process explanation for each type of pass: 

What documents are required to apply for a work permit in Singapore?

As all passes follow the same general process steps, the documents required are also largely similar but with variations. The process below is a description of the general requirements but be sure to see the pass-specific details below. 

General document requirements

Submit an application: 

  • Application form 
  • Proof of professional qualifications and memberships, where applicable
  • Employer or own company information, where applicable
  • Written confirmation that another can apply on your behalf, where applicable
  • Employee information form, where applicable
  • Additional documents may be requested and details will be provided 

In this step, the most differences in requirements exist between different passes. See the required documents for each pass below. 

Issue pass

For the pass, most information from documents are simply recorded onto the system instead of the actual document needing to be uploaded:

Information recorded from documents:

  • Passport information 
  • Contact details in Singapore
  • in-principle approval (IPA) letter details (will ask for visa or  immigration pass details, which is on this letter) 
  • Address (residential and where to deliver card)
  • Proof of medical insurance, where applicable
  • Three alternative individuals’ information who could take delivery of the card, if required (contact number,  NRIC number, FIN or Passport number)

Documents: 

  • Copy of the passport page showing the arrival date in Singapore
  • Medical examination results if an exam was required. If not, a medical declaration form
  • Signed in-principle approval (IPA) letter’s declaration form, this will be attached when you receive the IPA

Submitting biometric information

  • Passport
  • Confirmation of employment
  • Notification letter

Receive the physical card

If delivered, the receiver may need to show some sort of identification. 

If being collected: 

  • By the applicant
    • Passport
    • Notification letter
  • By another authorised person
  • Authorisation letter from employer
  • ID (NRIC or passport)

Pass-specific requirements

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