Singapore is renowned as a global business hub, attracting talent from around the world. However, for Filipino and other foreign job seekers, securing employment in the city-state is increasingly challenging. This article explores the most common reasons behind these difficulties, from policy shifts to economic realities.
Strong preference for local talent
Singapore’s government has implemented several measures to ensure that local workers are prioritized for employment. The Fair Consideration Framework mandates that companies must advertise jobs to Singaporeans before considering foreign applicants.
This policy is designed to protect the interests of local workers and address concerns about foreign competition for jobs. Many employers are now encouraged—and sometimes required—to hire locals for entry-level and mid-level positions, especially in white-collar industries.
Higher salary thresholds for foreign workers
To maintain a level playing field, Singapore has raised the minimum salary requirements for foreign workers seeking Employment Passes (EP) and S Passes. As of recent updates, new EP applicants must earn at least S$5,600 per month (S$6,200 in the financial sector).
These higher thresholds make it more expensive for companies to hire foreigners, especially for roles that do not require top-tier skills or experience. Small and medium-sized enterprises (SMEs) in particular find it harder to justify the increased labor costs.
| Year | Non-Financial Sector (S$) | Financial Sector (S$) |
|---|---|---|
| 2020–2022 | 4,500 | 5,000 |
| 2023–2024 | 5,000 | 5,500 |
| 2025 onwards (new applicants) | 5,600 | 6,200 |
Increased scrutiny and quotas
The government enforces strict quotas and dependency ceilings on the number of foreign workers a company can hire, which vary by sector and type of work pass. For example, the percentage of foreign workers allowed per company can range from 10% to 80%, depending on the industry.
These quotas are intended to ensure that local workers are not displaced and to manage the inflow of foreign labor. Meeting these requirements can be a bureaucratic hurdle for both employers and job seekers.
Rising cost of hiring foreign workers
Beyond salary thresholds, companies must pay a monthly foreign worker levy, which can range from S$50 to S$470 per worker, depending on the sector and skill level. This additional cost makes hiring foreign workers less attractive, especially for lower-skilled roles. Employers often prefer locals to avoid these extra expenses, unless the foreign candidate brings unique skills or experience.
Competition from other foreign nationals
Singapore attracts talent from across Asia and beyond, including countries like India, China, and Malaysia, which are also major sources of foreign workers.
This diversity means that Filipino job seekers must compete not only with locals but also with a large pool of other foreign nationals, many of whom may have similar or better qualifications.
Preference for “own team” or network-based hiring
Some companies, particularly those with regional or multinational operations, prefer to recruit workers from their home countries or established networks. This practice can create a ripple effect, where existing foreign managers hire more people from their own communities, further reducing opportunities for other foreign job seekers.
| Challenge | Description |
|---|---|
| Strong preference for local talent | Jobs must be advertised to locals first; quotas limit foreign hires |
| Higher salary thresholds | Minimum salaries for EP/S Pass holders have increased |
| Increased scrutiny and quotas | Strict foreign worker quotas and dependency ceilings |
| Rising cost of hiring foreign workers | Employers pay additional levies for foreign hires |
| Competition from other foreigners | Large, diverse pool of foreign applicants |
| Preference for “own team” or network-based hiring | Companies favor recruiting from existing networks or home countries |
| Reluctance to fill low-skilled or labor-intensive roles | Locals avoid these jobs; foreign worker quotas are tight |
| Skills and experience gaps | Foreigners may lack local context or required skills |
| Policy adjustments and public sentiment | New rules favor local employment growth |
| Limited job openings for foreigners | Fewer roles available to non-locals, especially non-specialized jobs |
Reluctance to fill low-skilled or labor-intensive roles
While Singapore still relies on foreign workers for low-skilled jobs—such as construction, domestic help, and certain service industries—many Singaporeans are reluctant to take on these roles due to low wages and challenging conditions. However, the government tightly controls the number of low-skilled foreign workers to prevent over-reliance and ensure social stability.
Skills and experience gaps
Foreign workers are often perceived as more experienced or educated than their local counterparts of the same age, especially if they have not undergone mandatory military service or spent extra years in Singapore’s competitive education system. However, this advantage is offset by the preference for local talent and the need for specific skills that match Singapore’s evolving economy.
Policy adjustments and public sentiment
Recent policy changes, such as raising the salary threshold for foreign workers and reserving more jobs for locals, reflect growing public sentiment that locals should have priority in the job market. These adjustments are intended to address income inequality and ensure that Singaporeans do not feel like “second-class citizens” in their own country.
Limited job openings for foreigners
Due to the above factors, the number of job openings available to foreign workers is shrinking, especially for non-specialized roles. Employers are more likely to hire foreigners only when they cannot find suitable local candidates or when the foreign worker’s skills are in high demand.
Facing the challenges of Singapore’s competitive job market as a foreign job seeker can be daunting, but it’s far from insurmountable. To move forward, focus on strengthening your unique skills, gaining relevant certifications, and staying informed about evolving policies. Networking with industry professionals and utilizing job portals tailored for expats can open new doors.
By adapting to these realities and positioning yourself as a highly skilled, indispensable candidate, you can turn these challenges into opportunities for career growth and success in Singapore.