Singapore
Changes to local qualifying salary
Impact date: 1 July 2026
The local qualifying salary (LQS) is the minimum monthly or hourly wage that a Singaporean or Permanent Resident employee must be paid in order for an employer to count that employee towards its Work Permit or S Pass quota. The Progressive Wage Credit Scheme (PWCS) is a Singapore Government wage‑support scheme that helps employers manage the cost of raising wages for lower‑wage Singaporean and Permanent Resident workers.
During the Singapore Budget 2026 on 12 February 2026, the Singapore Government announced revisions to the LQS.
From 1 July 2026, the LQS will be increased from SGD 1,600 to SGD 1,800 to keep pace with wage growth. To help businesses defray some of the cost, the Singapore government will enhance the PWCS – the PWCS co-funding support for 2026 will be raised from 20% to 30% and the PWCS will be extended for two more years, to 2028. From 2027, the government will raise the minimum wage increase to qualify for PWCS support from SGD 100 to SGD 200.
Employer implications/action needed Employers should note the changes to the LQS.
Employer risk N/A
Revisions to retirement age and re-employment age
Impact date: 1 July 2026
On 3 March 2026, the Singapore government announced that the minimum retirement age in Singapore will be raised to 64 for employees born on or after 1 July 1963. Employers must offer re-employment to eligible employees who turn 64, to continue employment in the organization for at least one year, with the option to renew every year up to age 69.
Employer implications/action needed Employers should note the changes to the retirement age and re-employment age and take the necessary steps to ensure eligible employees are either re-employed or offered an EAP.
Employer risk N/A
Occupational progressive wages for administrators and drivers
Impact date: 1 July 2026 The National Wages Council (“NWC”) and the Ministry of Manpower (“MOM”) have increased the occupational progressive wage (“OPW”) for Singapore citizens and permanent residents who are full-time or part-time administrators or drivers, employed by firms that hire foreign employees. Similarly, overtime wage requirements have also been increased.
The job scope for administrators has been expanded to encompass a wider group of workers. Unlike administrators, drivers are no longer classified solely based on their job scope but are instead categorized according to their class of license and any additional duties they perform.
To fulfil the OPW requirements, employers must ensure employees who qualify under this scheme:
- are paid the revised progressive wage which corresponds to their job scope or class of license
- are paid overtime wage, which is the higher of either the Employment Act 1968 (“Employment Act”) rate for overtime pay or the total progressive wage model gross wage requirement, where full-time employees work more than 44 hours a week and are covered by Part IV of the Employment Act and
- have at least one workforce skills qualification statement of attainment, or have an in-house training programme
Employer implications/action needed Employers should note the increase in minimum wage and the expanded job scope for administrators and drivers.
Employer risk Non-compliance with the OPW requirements risks an employer’s eligibility to obtain or renew work passes.
Enhancements to heat stress management framework
Impact date: 1 December 2026
The Ministry of Manpower (“MOM”), in consultation with its tripartite partners, have introduced enhancements to the heat stress management framework to strengthen protections for outdoor workers against heat-related risks.
To standardize the heat stress measures adopted by employers across the industry, the following recommended practices will be elevated to mandatory requirements:
- establish a heat stress training programme for workers exposed to heat
- provide cool drinking water supply near work areas
- ensure cold water, ice packs or water spray are on standby for emergency response and
- provide suitable clothing that can mitigate or protect workers from excessive heat stress
MOM further recommends employers to provide workers with shaded rest areas that are well-ventilated and well-insulated or cooled.
Employer implications/action needed Employers should review their workplace practices and implement the necessary measures by 1 December 2026.
Employer risk Employers run the risk of facing enforcement actions such as stop-work orders and composition fines if they are not compliant with the mandatory requirements.
National Wages Council to develop annual guidelines
Impact date: The guidelines are expected to be released by end-October 2026.
On 19 August 2026, the National Wages Council (“NWC”) was convened to develop annual guidelines on wage and employment-related issues.
The NWC comprises of employer representatives, employees and the Singapore government, who will take into account factors such as Singapore’s economic competitiveness, labour market conditions, inflation, productivity growth and the global economic outlook, in developing its guidelines.
Employer implications/action needed Employers should monitor upcoming employment guidelines released by the NWC.
Employer risk N/A
Introduction of a new ONE Pass (AI and Tech track)
Impact date: From 1 January 2027
On 3 March 2026, it was announced that a new ONE Pass (AI and Tech track) will be introduced under the existing Overseas Networks & Expertise (ONE) Pass framework from January 2027. The new track is intended to replace the current Tech.Pass scheme administered by the Singapore Economic Development Board.
The ONE Pass (AI and Tech track) is aimed at attracting top global talent in the artificial intelligence and technology sectors, including founders, senior executives and technical experts. Applicants will be required to satisfy the prevailing ONE Pass eligibility requirements, including the applicable salary thresholds, although additional AI- and technology-specific criteria are expected to apply.
Employer implications/action needed N/A
Employer risk N/A
Uplifts to minimum qualifying salary for Employment Pass and S Pass applicants
Impact date: January 2027
During the Singapore Budget 2026 on 12 February 2026, the Singapore Government announced revisions to the qualifying salary thresholds that foreign workers (Employment Pass (EP) and S Pass holders) must earn to qualify for the relevant work pass.
From January 2027, the minimum qualifying salary for new EP applicants will increase from SGD 5,600 to SGD 6,000. In the financial services sector, the minimum qualifying salary will rise from SGD 6,200 to SGD 6,600. Qualifying salary thresholds for older EP applicants will be adjusted correspondingly. These revised criteria will apply to EP renewal applications from 2028.
Similarly, from January 2027, the minimum qualifying salary for new S Pass applicants will increase from SGD 3,300 to SGD 3,600. In the financial services sector, the threshold will be raised from SGD 3,800 to SGD 4,000. Qualifying salaries for older S Pass applicants will be adjusted in tandem, with the updated requirements applying to renewal applications from 2028.
Employer implications/action needed Employers should note the uplifts to the minimum qualifying salary for EP and S Pass applicants.
Employer risk N/A
Enhanced primary care plan
Impact date: 1 April 2027
The Ministry of Manpower (“MOM”) plans to make clinics more accessible and affordable to migrant workers under the enhanced primary care plan (“PCP”).
Under the enhanced PCP, the distance between migrant workers’ accommodation and primary healthcare services will be reduced from the current 3km to 2km. Annual capitation rates will also be lowered from the current rate of $108 to $138 to the range from $97 to $113, and co-payments for physical consultations and telemedicine services will be standardized at $5 per consultation to accommodate the heightened costs of delivering telemedicine services. These changes encourage timely access to care for migrant workers and lower the annual capitation rates borne by employers, while ensuring co-payment consultation remains affordable for migrant workers.
MOM will also introduce a PCP enrolment portal, which serves as a centralized online platform designed to streamline worker enrolment. This one-stop portal will improve efficiency compared to the existing arrangement where separate enrolment processes are administered by different anchor operators.
Employer implications/action needed Employers to monitor developments on the enhanced PCP.
Employer risk N/A
Public Consultation on the Workplace Fairness Second Bill
Impact date: Anticipated to take effect in end of 2027
The Ministry of Manpower (MOM) launched a public consultation, from 26 August 2025 to 19 September 2025, on the Workplace Fairness Act (WFA) Second Bill (the “Second Bill”), which sets out the process for individuals to make claims against firms if they experience workplace discrimination.
On 4 November 2025, Parliament passed the Second Bill which addresses the following:
- creation of statutory tort of discrimination
- appropriate judicial forum and parameters for workplace discrimination claims
- safeguards against frivolous workplace discrimination claims
- amicable resolution of workplace discrimination claims
Employer implications/action needed Employers should be prepared for more structured dispute resolution processes and possible greater union involvement. It would be prudent to review existing HR and grievance-handling policies to ensure they can withstand scrutiny under the new framework.
Employer risk N/A
Links Ministry of Manpower Press Release (4 November 2025)
Ministry of Manpower Press Release (14 October 2025)
Ministry of Manpower Press Release (4 August 2025)
Increase in leave entitlement for outsourced progressive wage model workers
Impact date: 2029
The Ministry of Manpower, in consultation with its tripartite partners, the National Trades Union Congress and the Singapore National Employers Federation, intend to increase the minimum annual leave entitlement for outsourced workers protected under the Progressive Wage Model (“PWM”) from 7 days to 10 days. Approximately 60% of outsourced workers in the cleaning, security, landscape, lift and escalator, and waste management industries will benefit from the annual leave increase.
The annual increase in leave under the Employment Act 1968 (“Employment Act”) should not be affected and any leave benefits already received by outsourced employees in addition to this new minimum, should remain in accordance with their terms of employment and the Employment Act.
Employer implications/action needed Employers should monitor developments to the outsourced PWM and make plans to incorporate the change into their contracts and better manage the operational and cost impact that will arise.
Employer risk N/A
Review of the Employment Act
Impact date: Awaiting details to be announced. Recommendations to the Government are expected by the second half of 2026.
On 4 August 2025, the Tripartite Workgroup, co-chaired by leaders from the Ministry of Manpower, National Trades Union Congress, and Singapore National Employers Federation, convened its first meeting to develop recommendations for the review of the Employment Act 1968 (the “Employment Act”). The tripartite partners agreed on the scope and focus areas of work in order to account for the changing labor force profile, evolving forms of work and challenging economic landscape. This would include ensuring adequate protection for different groups of workers and streamlining the Employment Act to reduce regulatory and compliance costs for businesses.
Employer implications/action needed Employers should monitor upcoming announcements on the Employment Act review, as potential changes may impact employment terms and HR practices. Early awareness will help ensure timely adjustments, if needed.
Employer risk N/A
Tripartite Jobs Council to address AI’s impact
Impact date: Awaited
On 30 April 2026, the Ministry of Manpower, National Trades Union Congress and Singapore National Employers Federation announced plans to form a Tripartite Jobs Council (“TJC”) to ensure workers and businesses are well-positioned to benefit from AI-driven transformation, while managing transitions in a fair and inclusive manner.
The Council’s objectives will focus on:
- coordinating support for enterprise workforce transformation in tandem with AI adoption
- broad-based and sectoral training for workers, as well as targeted transition support for at-risk worker segments and occupations to facilitate timely transitions and
- building public awareness of AI and encouraging take-up of initiatives
Employer implications/action needed Employers should monitor developments relating to AI governance, workforce transformation and reskilling initiatives, and assess how AI may affect workforce planning and employee training obligations.
Employer risk N/A
Uplifts to childcare leave and employers’ reimbursements for parental leave
Impact date: Awaiting details to be announced.
On 23 August 2026, the Singapore government announced that childcare leave for working parents will be increased, according to the number of children they have under the age of 12. Under the new childcare leave scheme, each working parent will receive eight, ten or 12 days of childcare leave, with one, two or three or more children respectively.
Further, the Singapore government also intends to fund the full cost for all statutory child-related leave up to the reimbursement limit of $500 a day or $2,500 a week, irrespective of the child’s birth order, instead of sharing the cost with employers under the current arrangement. This applies to maternity leave, paternity leave, shared parental leave, adoption leave and childcare leave.
Employer implications/action needed Employers should monitor the developments relating to childcare leave and reimbursements for parental leave.
Employer risk N/A
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