COMPASS takes effect on 1 September 2023. It will apply to new Employment Pass applications from 1 September 2023 and to Employment Pass renewals from 1 September 2024. It affects most employers in Singapore in the following ways: hiring foreign professionals is likely to become more expensive and more than ever, the spotlight will be on educational/professional pedigree and workforce diversity. These developments may mean that employers will need to plan for recruitment much more in advance as business immigration is no longer ticking the box on salary thresholds, or as categorical as maintaining a particular the Singaporean vs. foreigner workforce ratio.
COMPASS is a points-based system which assesses a candidate’s eligibility to apply for an Employment Pass. A candidate is scored against four foundational criteria: 1. Salary, 2. Qualifications, 3. Diversity and 4. the employer’s Support for Local Employment. A maximum of 20 points can be scored for each criterion. An applicant must score a minimum of 40 points in order to pass COMPASS and to be considered eligible for an Employment Pass application. In addition to foundational criteria, a candidate may also score points under bonus criteria such as: 5. Skills Bonus (based on the Shortage Occupational List) and 6. Strategic Economic Priorities Bonus.
Although COMPASS only takes effect later on in the year, employers should begin their preparatory steps now to ensure that their hiring needs are met and go on as planned.
Employers can start strategically looking into the following aspects:
Bird & Bird’s team of Immigration Counsel will be pleased to chat with you on any questions you may have on these questions and help you work through your global mobility strategy in Singapore. Our Immigration Counsel have the requisite cultural empathy and regulatory awareness to help you achieve your workforce goals.
This article is produced by our Singapore office, Bird & Bird ATMD LLP. It does not constitute as legal advice and is intended to provide general information only. Information in this article is accurate as of 4 April 2023.