Employment Pass application process to be refined

[taxico]

http://www.todayonline.com/singapore/em ... d-swee-say

To guard against a concentration of Employment Pass holders in certain companies and locations, the authorities will be refining the application process — and adding three criteria — for the passes.

...(The) Manpower Minister said these additional factors will be “company related”, unlike the current practice of processing applications based on the applicant’s qualifications, experience and salary.

...the strength of (its) Singaporean core will be taken into consideration... (its) commitment to nurturing a core group of Singaporeans, and its relevance in the economy and society will be the other two new criteria.

“If they are not here, how much will we be affected? If the answer is not much, then they are what we call the ‘triple weak’ companies,” said Mr Lim.

The Tripartite Alliance for Fair Employment Practices (TAFEP) – which will be carrying out the assessment – will also recommend firms to be put on a watchlist.

... firms with a weaker Singaporean core, relative to others in the industry, would face closer scrutiny of Employment Pass applications from October.

So far, TAFEP has served notice on 100 companies – all of which have more than half of their employees holding Employment Passes – and will be working with them to review their human resources practices. A review will be conducted in six months’ time.

...“Triple weak” firms which make zero progress may eventually have their work pass privileges suspended. The processing of new employment pass applications will also be affected.

The curtailment of work pass privileges will have serious consequences on their continued operation and growth in Singapore...

At the opposite end of the spectrum, firms with a strong Singaporean core, a commitment to nurturing this core and strong economic linkage and social impact will be recognised – and partnered - by the Government.

This is especially so for firms in sectors “critical” to future growth, such as advanced manufacturing and smart nation.

[Strong Eagle]

Singapore seems bound and determined to kill any entrepreneurial talent in Singapore that is not native.

And what of Singapore "entrepreneurs"? For the most of them, it seems its about opening one retail store, one more hair salon, right next to the other 50 "entrepreneurs" in the same building.

Singapore is going to end up with a few big MNC's who can maintain that "core" and a bunch of mom and pop businesses. Gone will be the SME's that provide services to the MNC's. Gone will be contributions of money and vitality to the economy. Short sighted thinking.

[x9200]

... firms with a weaker Singaporean core, relative to others in the industry, would face closer scrutiny of Employment Pass applications from October.

I think the above and underlined is the critical part so probably the real impact on an average company will be rather limited. I see it more as the PR thing. Besides, it's a fair move.

[BBCWatcher]

It's more good news for renters and prospective real estate buyers, I'd say.

[sundaymorningstaple]

Yeah, but it's gonna suck if you are a LL. Payback.

[BBCWatcher]

Payback.

Right. "Be careful what you wish for."

That said, most voters are not landlords. More voters work and earn salaries. Reducing the inflow of foreigners seems to be raising real wages among resident workers, at least for now.

[Strong Eagle]

Reducing the inflow of foreigners seems to be raising real wages among resident workers, at least for now.

Cites? Stats?

[BBCWatcher]

Easy to find. Refer to points 7 and 8. Seven percent real wage growth (3% per annum for the past 5 years), and with broadly shared prosperity across income quintiles, is pretty darn impressive.

[Strong Eagle]

Easy to find. Refer to points 7 and 8. Seven percent real wage growth (3% per annum for the past 5 years), and with broadly shared prosperity across income quintiles, is pretty darn impressive.

And the correlation to the reduction in foreign talent is???????? You're spouting bullshit right now.

[ecureilx]

Easy to find. Refer to points 7 and 8. Seven percent real wage growth (3% per annum for the past 5 years), and with broadly shared prosperity across income quintiles, is pretty darn impressive.

3% per annum ? Statistics, yes ?

Reality says otherwise.

In SME environment pay has gone down.

[ecureilx]

That said, most voters are not landlords. More voters work and earn salaries. Reducing the inflow of foreigners seems to be raising real wages among resident workers, at least for now.

Again, almost all HDB rented out are owned by voters ... not sure what you meant there.

They all gonna start cursing the gov when tenants move out.

[BBCWatcher]

And the correlation to the reduction in foreign talent is????????

Whatever Singaporean voters think it is.

You're spouting bullshit right now.

If it's "bullshit," it's the government's, not mine.

Reality says otherwise.

No, it really doesn't. Singaporean residents' real wages have indeed averaged about 3% per annum growth over the past five years -- and hit about 7% growth over the past year.

Again, almost all HDB rented out are owned by voters ... not sure what you meant there.

Most HDB units aren't rented out, at least not at any one point in time. "....Most voters are not landlords." True.

[Wd40]

... firms with a weaker Singaporean core, relative to others in the industry, would face closer scrutiny of Employment Pass applications from October.

I think the above and underlined is the critical part so probably the real impact on an average company will be rather limited. I see it more as the PR thing. Besides, it's a fair move.

This was exactly my thought when I 1st read it. Usually MoM rules are very unambiguous and easily measurable by hard numbers. This rule is very very subjective. How do we know what is considered the benchmark?

Lets take IT, if 1) 10% companies have more than 50% Singaporeans and 2)80% of the companies have atleast 10% Singaporeans and 3)10% of the companies have 0% Singaporeans, does it mean the cat 3) are in trouble or does it mean some of the people from cat 2) also in trouble? Where and how do they draw a line?

Also how do handle situations where lots of people are on 3rd party agency payrolls? Say company HP has 20% internal staff and out of that more than 50% are Singaporeans, which is great, but out of the 80% staff on 3rd party agency payrolls 90% are EP or S Pass holders. Will you then scrutinize the individual 3rd party agency and look at their staff ratios who inturn may be working with different clients or will you treat them as HP's staff and reprimand HP?

Just too much scope for interpretation. We wont know until atleast couple of years its real impact.

[Strong Eagle]

You said...

Reducing the inflow of foreigners seems to be raising real wages among resident workers, at least for now.

This implies causation. There is no evidence of causation. There may be a correlation... then again, it is just as possible that the correlation is meaningless.

So... where's the evidence for causation?

[PNGMK]

Singapore seems bound and determined to kill any entrepreneurial talent in Singapore that is not native.

And what of Singapore "entrepreneurs"? For the most of them, it seems its about opening one retail store, one more hair salon, right next to the other 50 "entrepreneurs" in the same building.

Singapore is going to end up with a few big MNC's who can maintain that "core" and a bunch of mom and pop businesses. Gone will be the SME's that provide services to the MNC's. Gone will be contributions of money and vitality to the economy. Short sighted thinking.

No - not even Mom and Pop's.... nothing but money laundering "spas".... I kid you not I run out of fingers when I count the number of bird/flower/normal shops in the Balestier/Lavender area that have become spas in the last 12 months. The MP Heng Chee How has to be on the take along with the town council for all those approvals for spas to have happened.