Experts in Singapore say the decision by the Ministry of Manpower (MOM) to increase the minimum salary limits for foreign workers will not have much impact on how companies hire or pay foreigners. “Employers generally do not top up or raise salaries just to match a higher salary criteria,” Chan Chong Beng, chief executive of Goodrich Global, told The Straits Times. “They will look at the candidate and the market rate before determining the pay.” Those earning between $4,000 and $5,000 are mostly middle managers according to local HR experts. These individuals “have lower bargaining power than senior executives whom companies, especially multinationals, will go all out to attract to Singapore,” human resource consultant, Martin Gabriel, from HRMatters21 told The Straits Times.
“[The] Singapore economy is going through a transition – to become more manpower lean with a stronger Singaporean core and a better quality foreign workforce,” Lim Swee Say, Minister for Manpower said on Monday. During this speech, which was given at a memorandum of understanding (MOU) signing ceremony between YCH Group and the Workforce Development Agency (WDA), the Minister laid out several criteria which firms must follow in order to compete within Singapore’s tight manpower market.
Singapore: As part of periodic updating, MOM has reviewed the qualifying salary criteria for work pass holders to sponsor dependants. This is to ensure that sponsors are able to upkeep their dependants in Singapore. According to a new advisory on the Ministry of Manpower’s (MOM) website, foreign workers holding a work pass would now need a minimum fixed monthly salary of $5,000 to bring their spouse or children into the country on a Dependant’s pass. The figure is higher than the the previous amount of $4,000.
Source: MOM, Singapore