Hiring foreign workers in the marine shipyard sector is complicated. Employers need to know the requirements to comply. Work Permit requirements for this sector include business activity, source country, quota, and safety course.
It would help if you met the eligibility criteria before hiring foreign workers. These rules are to maintain safety standards and manage workforce composition in shipyards. It would be best to consider your company’s business activities and the nationality of the workers.
The marine shipyard sector quota dictates how many work permit holders you can have. This is known as the dependency ratio ceiling. You need to consider this when making your hiring decisions. You also need to look at approved occupations for certain nationalities and ensure workers complete the necessary safety courses.
Summary
Employers must meet the criteria to hire foreign workers in marine shipyards
Quota and nationalities affect hiring decisions
Safety courses and approved occupations are important considerations
Employers must meet the requirements to hire foreign workers in the marine shipyard sector. This includes having the right business activity and qualifying as a shipyard or contractor.
The marine shipyard sector refers to shipyards and their contractors involved in shipbuilding or ship repair in Singapore. To be classified under this sector, your company must meet the following:
Principal Business Activity: Your main business must involve shipbuilding or ship repair.
Eligibility as a Shipyard or Contractor: Your company must be a shipyard or shipyard-sponsored contractor.
Engaging in marine-related activities alone is not sufficient to be classified under the marine shipyard sector definition. Companies that do not meet the above criteria will be classified under the services or manufacturing sector as applicable.
Your main business must be in the marine shipyard sector. This includes shipbuilding, ship repair works or offshore engineering. You need to register your business with Accounting and Corporate Regulatory Authority (ACRA).
Ensure your company’s principal activity is in the marine shipyard sector. This is crucial to get approval to hire foreign workers.
To qualify as a shipyard or shipyard-sponsored contractor, you must meet the requirements based on your company type:
Sponsoring Shipyard: Has a certificate of registration and waterfront facility for shipbuilding or ship repair works. Can support common contractors without approval to apply for or renew NTS or PRC Work Permits. Work Permits can be managed independently.
Non-Sponsoring Shipyard: Has a certificate of registration and waterfront facility but needs prior approval to apply for or renew NTS or PRC Work Permit. Can support common contractors subject to approval and manage Work Permit independently.
Resident Contractor: Must be supported by a specific sponsoring shipyard that will handle Work Permit application or renewal. No prior approval is required.
Common Contractor: Can be supported by multiple shipyards but requires prior approval for Work Permit application or renewal. Applications must be submitted by the same shipyard that supported the prior approval.
To hire foreign workers for the marine shipyard sector, you need to meet certain requirements. These cover worker nationality, age limit, employment period, job role, and quota.
You can source from:
Malaysia
North Asian Sources (NAS): Hong Kong, Macau, South Korea, Taiwan
Non-Traditional Sources (NTS): India, Thailand, Bangladesh, Myanmar, Philippines, Sri Lanka
People’s Republic of China (PRC)
Existing marine shipyard workers from NTS, NAS or PRC can be hired if their Work Permit is valid for 14 days or more.
Age limits vary by source:
Malaysia: 18 to 58 years old
NAS, NTS, PRC: 18 to 50 years old
Maximum employment period varies by source:
Malaysia, NAS: No maximum period
NTS, PRC (Basic Skilled - R2): Up to 14 years
Work Permit holders in this sector can only work within the shipyard's premises.
Some approved occupations include:
Welders
Fitters
Electricians
Riggers
Painters
For the full list of occupations, please refer to this document from MOM.
Your company’s quota for hiring foreign workers is based on your total workforce. The quota is capped at 3.5 Work Permit holders for every local employee who earns the LQS.
Levy rates vary by worker’s skill level:
Basic-skilled: $400
Higher-skilled: $300
To qualify for the higher-skilled worker levy rate in Singapore, migrant workers must meet specific criteria related to their qualifications or work experience. These requirements are as follows:
Academic Qualifications:
Skills Certification:
Market-Based Skills Recognition Framework (MBF):
Meeting any of the above criteria will qualify a worker for the reduced levy rate under the higher-skilled worker levy scheme.
Applying for a work permit in the marine shipyard sector involves several steps. Employers must be careful with documentation, submission procedures, and processing time.
To start the work permit application, gather the following documents:
Foreign worker’s valid passport
Educational certificates
Skills qualifications
Medical examination results
Employer’s business registration
Make sure all documents are up-to-date and translated to English if necessary. Check for accuracy to avoid delays.
Fill up the application form. Fill in all fields, and provide accurate job position, salary, and contract duration details.
Submit your application online through the Ministry of Manpower’s website. You will need:
CorpPass account
Digital copies of all required documents
Payment method for application fees
Follow these steps:
Log in to e-Service portal
Select “New Work Permit Application”
Enter worker and job details
Upload supporting documents
Review all information
Pay the application fee
Keep the application number for future reference.
Processing time varies. Typically 1-4 weeks. Factors that affect the timeline:
Completeness of application
Complexity of the case
Current workload of the processing department
Check your application status online. If more information is required, respond promptly to avoid delays.
Plan ahead for permit renewal. Start the process at least 4 weeks before the current permit expires.
Remember, the processing time is estimated. Apply early to ensure continuous employment for your foreign workers.
Foreign workers in the marine shipyard sector must meet certain qualifications and criteria. These requirements ensure workers have the necessary skills and experience to do their jobs safely and efficiently.
Employers must verify the skill level of foreign workers. This involves assessing technical skills and safety awareness. Workers must complete safety courses before Work Permits are issued.
Two types of safety training:
Shipyard Safety Instruction Course for Workers (General Trade)
Apply Workplace Safety course and Health in Shipyard (General Trade)
These courses cover general safety protocols and industry-specific hazards. They ensure workers can work safely in the shipyard environment.
Work experience is a key factor in hiring foreign workers for marine shipyards. Employers usually look for candidates with:
At least 2-3 years of experience in shipbuilding or repair
Knowledge of shipyard equipment and processes
Proven experience in a similar role
Work experience may vary depending on the job position. Some roles may require more specialized experience, while entry-level positions may have lower requirements.
Educational qualifications are a key factor in determining a worker’s eligibility. The marine shipyard sector usually requires:
Minimum secondary education or equivalent
Vocational training in relevant fields (e.g. welding, engineering)
Technical certifications specific to shipyard work
For more skilled positions, a higher education level may be required. Some roles may require a diploma or degree in marine engineering, naval architecture, or related fields.
Employers must verify educational qualifications during the hiring process. This step ensures workers have the theoretical knowledge to go with their practical skills.
Employers in the Singapore marine shipyard sector must follow certain rules when hiring foreign workers. These rules cover contracts, pay, and time off.
You must give foreign workers a labor contract. This contract must state the job scope, work hours, and pay. Must match what you declared to MOM when you apply for the work permit.
Make sure the contract is in a language the worker understands. You can’t change the key terms without the worker’s consent. The contract must also cover overtime, rest days, and holidays.
Keep a copy of the signed contract. You may be asked to produce it.
You must pay foreign workers their fixed monthly salary as declared to MOM. Pay on time, at least once a month. Keep all records.
Provide itemized pay slips. Must show:
Basic salary
Overtime pay
Deductions
Net pay
You can’t make unfair deductions. Housing and food costs must be reasonable. Offer the same benefits to foreign workers as local employees in similar roles.
Set work hours according to Singapore employment laws. Give at least one rest day a week. Limit overtime to within legal limits.
Give leave as required by law:
Annual leave (based on years of service)
Sick leave
Public holidays
For the marine sector, note that workers can only work up to 58 years of age for Malaysians and 50 for non-Malaysians. They must work within the shipyard premises.
Keep records of work hours and leave taken. This will avoid disputes and show you are following the rules.
Employers in the marine shipyard sector must follow strict rules for foreign worker Work Permits. Regular checks and heavy fines ensure compliance with these regulations.
MOM conducts regular inspections of marine shipyards. These checks are to verify that employers are following Work Permit rules.
Inspectors may visit your workplace without notice. They will review documents and interview workers. They will check on:
Valid Work Permits for all foreign workers
Proper living conditions for workers
Compliance with safety regulations
Correct payment of salaries and levies
You must keep records of your foreign workers. This includes their personal details, Work Permit information, and employment history.
Employers must get prior approval applications for non-sponsoring contractors. This approval is to ensure compliance with regulations before applying for a work permit.
Remember to keep your shipyard registration certificate and meet the local qualifying salary for employees. Failure to comply can result in fines or a ban on hiring foreign workers.
By following these rules, employers can manage their workforce and support common contractors on other ocean-going vessels.
Failure to comply with Work Permit rules can result in severe consequences. Penalties may be:
Fines up to $30,000 per charge
Imprisonment for repeat offenders
Revocation of Work Permits
Ban on hiring foreign workers
Common violations include hiring workers without valid permits or from unauthorized sources. Employing workers outside their approved sector is also illegal.
MOM will take serious action against violators. They may charge serious offenders to court. This can result in higher fines and longer jail terms.
Employing foreign workers in the marine shipyard sector requires you to follow specific rules and regulations. Make sure your company meets the classification for the marine shipyard sector.
Remember to consider the different worker source countries and their regulations. Know the quota system and required safety courses for your foreign workers.
If you are a non-sponsoring shipyard, common contractor, or resident contractor, don’t forget to get prior approval before applying for or renewing Work Permits.
Be updated with the latest laws and regulations. Review your compliance regularly to avoid disruptions and legal problems.
Now you can manage foreign workers in the marine shipyard sector.