Work Pass & Recruitment

6 Common Challenges in Employment Pass (EP) Application and Renewal in Singapore

Singapore continues to be one of the most attractive destinations for global professionals and businesses. Its vibrant economy and pro-business environment make it a hotspot for skilled talents. However, securing an Employment Pass (EP) in Singapore can be a complex process due to evolving regulatory frameworks.

The EP application and renewal process, governed by the Ministry of Manpower (MOM), involves strict evaluation criteria. Whether you’re applying for the first time or renewing an existing EP, understanding potential challenges is key to success.

1. The Tightened Fair Consideration Framework (FCF)

The FCF is designed to ensure that employers consider local candidates fairly before hiring foreigners. Since the 2021 update, employers must advertise the job on MyCareersFuture for at least 14 days before hiring a foreigner for roles with a salary below S$20,000.

Companies found violating this rule may face a ban on hiring foreigners for up to 24 months, along with financial penalties and legal consequences.

2. Special Appeals for Uncommon Job Roles

For niche or emerging roles that don’t have formal qualifications, MOM places more scrutiny on applications. Even if the candidate is highly skilled, MOM may require further proof such as past project work or skill assessments to justify the hiring.

3. Issues with Company Background

MOM evaluates the legitimacy and relevance of the company. Weak financials, unclear business activities, or a low ratio of local employees can result in application rejection. Companies must demonstrate economic contribution and the necessity of hiring foreign talent.

4. Candidate Does Not Match the Job Profile

Applications may be rejected if the candidate’s qualifications or experience are not aligned with the role. For example, changing industries without relevant transferable skills or offering a below-market salary can be red flags for MOM.

5. Low Score in COMPASS

Introduced in 2023, the Complementarity Assessment Framework (COMPASS) requires applicants to score at least 40 out of 120 to pass. The score is based on individual attributes, such as salary and qualifications, as well as firm-related factors like workforce diversity.

6. Foreign Worker Quota Limitations

Although there isn’t a strict quota for EPs, companies must balance local and foreign hires under Singapore’s workforce diversity standards. Exceeding informal diversity thresholds may affect EP approval chances.

Reasons for EP Rejection

Reason for Rejection Explanation
Scope and qualifications mismatch Candidate’s education or work experience doesn’t align with the role.
Insufficient information Incomplete documents or vague job descriptions may lead to delays or rejection.
Oversaturated job market When similar positions can be filled locally, EPs are less likely to be approved.
Imbalance in local-foreign staff ratio A poor ratio may signal weak local hiring efforts.
Discrepancies in credentials Inconsistencies in submitted documents can cause rejection.
Questionable employment history Poor or unverifiable past work records may harm approval chances.
Salary below threshold Applicants must meet the salary benchmark of S$5,000/month.
Weak financial standing of employer Inability to cover operational costs may lead to EP rejection.

Tips for EP Approval

  • 1. Seek expert help: Engage professionals who understand MOM’s regulations.
  • 2. Provide strong justification: Include a compelling letter from HR detailing the candidate’s unique qualifications and role necessity.
  • 3. Submit updated documentation: Ensure all documents, including CVs and certifications, are current and accurate.
  • 4. Highlight past achievements: Showcase prior projects, awards, or skills that prove the candidate’s value.

FAQs

1. What is the minimum salary to apply for an EP in Singapore?
The minimum fixed monthly salary is S$5,000 (S$5,500 for the financial services sector).
2. Can my EP application be approved even if I don’t meet all the COMPASS criteria?
You need a total score of at least 40/120. Failing one criterion can be compensated by exceeding others.
3. How long does the EP approval process take?
Typically, it takes 3 to 8 weeks depending on the completeness of the application and MOM’s current processing volume.
4. Can I appeal a rejected EP application?
Yes. Appeals are allowed, but only if substantial new information or documentation can be provided.
5. Can I renew my EP without a job change?
Yes. However, you must still meet eligibility requirements and ensure all company and role information is updated.

Need Help With Your Employment Pass Application?

At Stars Bridge, we specialise in guiding professionals and businesses through Singapore’s complex visa and regulatory processes. Whether you’re applying for a new EP or facing challenges with a renewal, we’re here to help you succeed with a tailored approach.

📧 Email: enquiry@starsbridge.com
📞 Call/WhatsApp: +65 9380 7956

Let us help you secure your future in Singapore.