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Work Permit Holders Can Stay Employed in S’pore for Longer as MOM Tweaks Foreign Worker Rules

work permit changes in singapore

Starting July 1, 2025, Singapore will implement significant changes to its work permit system. The most notable change is the removal of the maximum employment period for work permit holders, which currently ranges from 14 to 26 years.

This change will not apply to migrant domestic workers, who operate under different regulations.

The maximum employment age for work permit holders will also increase from 60 to 63 years, aligning with Singapore's local retirement age. This means your company can retain foreign workers until they reach 63 years of age.

Additionally, the age limit for new work permit applications will be raised to 61 years old (two years below the new maximum employment age).

These modifications aim to help businesses maintain experienced workers who can still contribute productively to the workforce.

Currently, the requirements differ by nationality:

Work Permit Age Requirements (Current vs. New)

CategoryCurrent Age LimitNew Age Limit (from July 1, 2025)
Maximum employment age60 years63 years
New applications (non-Malaysian)Below 50 yearsBelow 61 years
New applications (Malaysian)Below 58 yearsBelow 61 years

 

Starting July 1, 2025, Singapore will implement significant changes to its work permit system. The most notable change is the removal of the maximum employment period for work permit holders, which currently ranges from 14 to 26 years.

This change will not apply to migrant domestic workers, who operate under different regulations.

The maximum employment age for work permit holders will also increase from 60 to 63 years, aligning with Singapore's local retirement age. This means your company can retain foreign workers until they reach 63 years of age.

Additionally, the age limit for new work permit applications will be raised to 61 years old (two years below the new maximum employment age).

These modifications aim to help businesses maintain experienced workers who can still contribute productively to the workforce.

Currently, the requirements differ by nationality:

Work Permit Age Requirements (Current vs. New)

Starting from July 1, 2025, the age limits for employment and work pass applications will be updated as follows:

  • The maximum employment age will increase from 60 years to 63 years.
  • For new applications (non-Malaysian workers), the age limit will be raised from below 50 years to below 61 years.
  • For new applications (Malaysian workers), the age limit will increase from below 58 years to below 61 years.

Expansion of Non-Traditional Sources (NTS) Occupation List

From September 1, 2025, the Non-Traditional Sources (NTS) Occupation List will expand to include more occupations.

This list allows employers in the services and manufacturing sectors to hire workers from a wider range of countries under the work permit scheme rather than through S Passes.

New additions to the list will include:

  • Heavy vehicle drivers
  • Various manufacturing operator roles
  • Cooks in general (not just cooks in Indian restaurants)

To qualify for these positions, workers must:

  • Earn at least $2,000 monthly
  • Make up 8% or less of your company's total headcount (excluding Employment Pass holders)

More Countries Added to NTS List

Currently, the NTS economies include:

  • Bangladesh
  • India
  • Myanmar
  • Philippines
  • Sri Lanka
  • Thailand

From June 1, 2025, three more countries will be added:

  • Bhutan
  • Cambodia
  • Laos

This expansion gives your business more options for building a skilled and adaptable workforce. Typically, services and manufacturing employers can only hire work permit holders from China, Malaysia, Hong Kong, Macau, South Korea, and Taiwan.

Manpower for Strategic Economic Priorities Scheme Enhancements

The Manpower for Strategic Economic Priorities scheme, which allows eligible companies to temporarily hire more foreign workers beyond the standard quotas, will also see improvements. Starting May 1, 2025:

  1. Extended Support Period: Approvals will last for three years instead of two years.

  2. More Flexible Qualifying Conditions: Your company can now qualify by:

    • Committing to sending local employees on overseas exposure programs
    • Providing leadership development opportunities for locals
    • Continuing to hire locals or enrolling them in training programs
  3. Expanded Eligible Programs: More programs will count toward qualification for the scheme.

S Pass Updates

The final stage of previously announced changes to the S Pass system will take effect from September 1, 2025, for new applications, and for renewals of passes expiring from a year later:

Minimum Qualifying Salary Increases:

SectorCurrent MinimumNew Minimum (Sept 1, 2025)For Mid-40s Candidates
Most sectors$3,150$3,300Up to $4,800
Financial services$3,650$3,800Up to $5,650

The S Pass levy rate will be standardized at $650 for all S Pass holders.

Enterprise Workforce Transformation Package

To support businesses through these changes, the government has allocated over $400 million for an Enterprise Workforce Transformation Package. This initiative aims to help your company start transformation efforts, with a particular focus on job redesign.

Key components include:

  1. SkillsFuture Workforce Development Grant: Launching in phases in 2026, this grant consolidates various existing transformation schemes under a single application channel through the Business Grants Portal.

  2. Program Partners: Your business can access advisors for guidance through every stage of the workforce transformation process.

  3. Enhanced Job Redesign Support: Additional assistance specifically for redesigning jobs to improve productivity.

  4. Redesigned SkillsFuture Enterprise Credit: Updated to better support your company's transformation needs.

Tripartite Workgroup on Human Capital Development

A new Tripartite Workgroup on Human Capital Capability Development has been formed by the Ministry of Manpower, together with the National Trades Union Congress and the Singapore National Employers Federation. This group, which began meeting in February 2025, aims to:

  • Strengthen human resources practices
  • Develop national standards to measure human capital outcomes
  • Improve workforce development strategies

Why These Changes Matter for Your Business

These changes represent a significant shift in Singapore's approach to foreign workforce management. By removing the maximum employment period and increasing the maximum employment age, your company can now:

  • Retain experienced foreign workers for longer periods
  • Reduce turnover costs associated with replacing skilled workers
  • Build a more stable and experienced workforce
  • Complement your local workforce with seasoned foreign talent

The Work Permit conditions will still apply, but these changes provide greater flexibility in workforce planning and development.

The Manpower for Strategic Economic Priorities scheme, which allows eligible companies to temporarily hire more foreign workers beyond the standard quotas, will also see improvements. Starting May 1, 2025:

  1. Extended Support Period: Approvals will last for three years instead of two years.

  2. More Flexible Qualifying Conditions: Your company can now qualify by:

    • Committing to sending local employees on overseas exposure programs
    • Providing leadership development opportunities for locals
    • Continuing to hire locals or enrolling them in training programs
  3. Expanded Eligible Programs: More programs will count toward qualification for the scheme.

S Pass Updates

The final stage of previously announced changes to the S Pass system will take effect from September 1, 2025, for new applications, and for renewals of passes expiring from a year later:

Minimum Qualifying Salary Increases:

Starting from September 1, 2025, the minimum salary requirements for S Pass holders will be updated as follows:

  • In most sectors, the minimum salary will increase from $3,150 to $3,300, with salaries for mid-40s candidates reaching up to $4,800.
  • In the financial services sector, the minimum salary will rise from $3,650 to $3,800, with salaries for mid-40s candidates reaching up to $5,650.
  • Additionally, the S Pass levy rate will be standardized at $650 for all S Pass holders.

The S Pass levy rate will be standardized at $650 for all S Pass holders.

Enterprise Workforce Transformation Package

To support businesses through these changes, the government has allocated over $400 million for an Enterprise Workforce Transformation Package. This initiative aims to help your company start transformation efforts, with a particular focus on job redesign.

Key components include:

  1. SkillsFuture Workforce Development Grant: Launching in phases in 2026, this grant consolidates various existing transformation schemes under a single application channel through the Business Grants Portal.

  2. Program Partners: Your business can access advisors for guidance through every stage of the workforce transformation process.

  3. Enhanced Job Redesign Support: Additional assistance specifically for redesigning jobs to improve productivity.

  4. Redesigned SkillsFuture Enterprise Credit: Updated to better support your company's transformation needs.

Tripartite Workgroup on Human Capital Development

A new Tripartite Workgroup on Human Capital Capability Development has been formed by the Ministry of Manpower, together with the National Trades Union Congress and the Singapore National Employers Federation. This group, which began meeting in February 2025, aims to:

  • Strengthen human resources practices
  • Develop national standards to measure human capital outcomes
  • Improve workforce development strategies

Why These Changes Matter for Your Business

These changes represent a significant shift in Singapore's approach to foreign workforce management. By removing the maximum employment period and increasing the maximum employment age, your company can now:

  • Retain experienced foreign workers for longer periods
  • Reduce turnover costs associated with replacing skilled workers
  • Build a more stable and experienced workforce
  • Complement your local workforce with seasoned foreign talent

The Work Permit conditions will still apply, but these changes provide greater flexibility in workforce planning and development.

Big changes for foreign workers in Singapore—no more time limits, higher age caps & more job roles! See how this impacts your business.

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