Singapore Employment Pass (EP) vs. S Pass: Which is Right for Your Employees?

Did you know that hiring the wrong work pass for your foreign employee can lead to compliance issues, higher costs, or even quota violations in Singapore? This guide helps employers, HR managers, and business owners understand the key differences between the Employment Pass (EP) and S Pass in Singapore, so you can choose the most suitable work visa for your foreign talent. We’ll cover eligibility, costs, quotas, levies, and renewal factors—all in plain English.

TL;DR: EP vs. S Pass—Here’s the Quick Breakdown

Not sure whether to apply for an Employment Pass or an S Pass in Singapore?
Here’s the fast answer:

✅ Employment Pass (EP): Best for hiring highly skilled professionals earning at least SGD 5,000/month. No quota, no levy, ideal for executives and managers.

✅ S Pass: Suits mid-skilled workers with salaries from SGD 3,150/month, but comes with quota limits and monthly levies. Perfect for technicians or support roles.

🔍 Choosing the wrong pass could lead to rejections, higher costs, or non-compliance.
Read on to find out which pass works best for your business—and how to stay compliant.

👉 Explore all work pass types in Singapore

Why Choosing the Right Work Pass Matters

Hiring the right candidate is only half the battle. Choosing the right work pass affects:

• Hiring eligibility (quotas or Fair Consideration rules)
• Cost-efficiency (salary thresholds, levies)
• Compliance with Ministry of Manpower (MOM) regulations

Getting it wrong can delay hiring, trigger levies, or risk pass rejections. Whether you’re hiring a regional marketing lead or a skilled technician, your decision between an EP and an S Pass will shape your employment strategy.

What Is an Employment Pass (EP)?

The Employment Pass suits professionals, managers, and executives.

Eligibility criteria:

• Minimum monthly salary: SGD 5,000 (increases with age and industry)
• Acceptable qualifications: Degree-level or equivalent professional experience
• No sector-based quota or monthly levy

Key benefits:

• Access to experienced foreign professionals
• No impact on foreign workforce quota
• Straightforward renewal if criteria are met

What Is an S Pass?

The S Pass targets mid-skilled workers, like technicians and team leaders.

Eligibility criteria:

• Minimum salary: SGD 3,150 (higher for older applicants)
• Education: Diploma-level qualification or relevant technical certifications
• Subject to quotas and monthly levies

Key limitations:

• Quota capped at 10%–15% of your workforce (sector-dependent)
• Monthly levy: SGD 550–650 per S Pass holder
• Tight quota controls make workforce planning essential

Key Differences at a Glance (EP vs. S Pass)

Criteria	Employment Pass (EP)	S Pass
Salary	From SGD 5,000/month	From SGD 3,150/month
Qualifications	Degree or equivalent	Diploma or equivalent
Quota	❌ Not Applicable	✅ Yes (sector-specific)
Levy	❌ No levy	✅ Monthly levy applies
Typical Roles	Executives, Managers, Specialists	Technicians, Supervisors
CPF Contributions	❌ Not required	❌ Not required

How Quotas and Levies Affect Your Hiring Strategy

The S Pass comes with a cap. If your company exceeds the quota for foreign S Pass holders, MOM will reject new applications or renewal requests. Quotas vary:

• Services sector: Max 10% of total workforce
• Manufacturing: Up to 15%
• Construction/Marine: Higher but under tighter controls

Each S Pass also triggers a monthly levy, which adds to your cost.

On the other hand, EPs face no quotas or levies—ideal for hiring strategic roles without affecting your foreign headcount limit.

Renewal Criteria and Salary Changes

Both the Employment Pass and S Pass renewals in Singapore depend on updated salary benchmarks. If your employee no longer meets the salary criteria (due to a raise freeze or role change), MOM may reject the renewal.

• EPs can be renewed for up to 3 years.
• S Pass renewals follow the same salary and quota rules as initial applications.

Always review current MOM salary thresholds before submitting renewal applications.

Tips to Stay Compliant

1. Advertise Jobs Fairly
   Under the Fair Consideration Framework (FCF), you must advertise jobs to local candidates for at least 14 days on MyCareersFuture.sg before applying for EPs or S Passes.
2. Maintain Proper Documentation
   Track salary, job descriptions, and working hours. Keep a consistent HR filing system for all foreign hires.
3. Monitor Workforce Ratios
   Especially when hiring S Pass holders. Your quota is tied to your total local workforce, and changes monthly.
4. Consider Outsourcing Work Pass Management
   Partnering with an HR or corporate service provider helps avoid errors, rejections, and missed renewal windows.

For a comprehensive overview of all work passes in Singapore, you can visit our blog on every type of work pass in Singapore.

Conclusion: When to Choose EP vs. S Pass

🟢 Choose an Employment Pass (EP) if:

• You’re hiring a highly qualified professional
• You need flexibility without worrying about quotas
• You want to avoid monthly levies

🟢 Choose an S Pass if:

• You’re hiring mid-skilled technical staff
• Your business can manage quota and levy costs
• You’re filling essential support roles

The right pass supports long-term growth, avoids MOM rejections, and helps you remain compliant. Before making a decision, always refer to MOM’s updated guidelines or consult a professional advisor like Grof!

FAQs

1. Which is better, S Pass or EP in Singapore?
   It depends on the job role. EP suits professionals with higher pay and qualifications, while S Pass works for mid-level roles with more restrictions.
2. How much does it cost to get an S Pass in Singapore?
   Expect to pay a monthly levy of SGD 550–650, on top of the application and issuance fees.
3. What if I exceed my S Pass quota?
   MOM will reject the application or renewal. You must increase local headcount or reduce foreign staff to comply.
4. How long does approval take?
   Most EP or S Pass applications are processed in up to 3 weeks, though delays can happen if additional checks are needed.
5. Do EP or S Pass holders contribute to CPF?
   No. Only Singapore Citizens and PRs contribute to CPF.