New EP Point Based System 2023 onwards. Thoughts?

[wakingmoon]

Wondering what do people think about the new EP point based system to be implement Sep-2023 onwards:

https://www.channelnewsasia.com/singapo ... nt-2538966

HOW COMPASS WORKS
Points under COMPASS will be awarded based on four attributes and two bonus criteria.

The EP application can score up to 20 points for each attribute – the applicant’s salary, his or her qualifications, the nationality diversity of the hiring firm and the firm’s support for local employment.

An individual and/or firm that meet the expectations for each attribute or criteria will score 10 points and if it exceeds expectations, it scores 20 points.

[smoulder]

Let's see what the incels over at EDMW think

https://forums.hardwarezone.com.sg/thre ... 3.6709071/

[wakingmoon]

Let's see what the incels over at EDMW think

https://forums.hardwarezone.com.sg/thre ... 3.6709071/

Haha, this thread reminds of the youtube-comment section of any video discussing Singapore immigration policy; devoid of logic, and with minimal understanding of the nuances and effects of policy-making.

Hoping to have a more subtle and sensible discussion in this thread

[PNGMK]

Like all things it will take time to "calibrate"

[sundaymorningstaple]

Like all things it will take time to "calibrate"

And we know how that goes. Covid for the past 24 months is a good example.

[mr.green]

People from my country of origin are hard to come by in Singapore companies; so I personally am welcoming of the change Gives us chance to compete.

However one thing worth nothing here: this won't probably apply to Malaysians. They are safe as always, I'd like to think of them as good neighbors.

However, EP salary requirement could have an interesting implication. I've already seen many big tech companies hiring remote in South Asia or South East Asia. They're paid local wages of their country instead of the Singapore market standard. This may boost the remote rate?

[Wd40]

I feel this is a bit like the musical chairs. They take away 1 chair at a time. So the weakest firms and employees below 10k salary will the 1st to be affected. But like musical chairs, if you manage to get a hike every year and you are in a decent MNC, you should be able to survive this for atleast the next 5 years.

The key is to be ambitious and grow and ask for hikes year after year. That is the only way to measure how important you are. So dont be shy and no figure is too big. Infact if you are gunning too low, then it is warning sign.

[malcontent]

Anyone who has lived here long enough knows… the screws only go one direction: tighter.

[truthhurts1]

Let's see what the incels over at EDMW think

https://forums.hardwarezone.com.sg/thre ... 3.6709071/

Lmfao those threads on Ang moh are pure comedy

[rajagainstthemachine]

However, EP salary requirement could have an interesting implication. I've already seen many big tech companies hiring remote in South Asia or South East Asia. They're paid local wages of their country instead of the Singapore market standard. This may boost the remote rate?

Very likely this is going to be the case,for most of the IT Industry at least, as nearly every aspect of the IT jobs can be done remotely
One does not need to be in Singapore to get things done.
Hypothetically speaking, one could be based in Bangalore or Bali or Brisbane covering the Singapore market as just another country as part of asean or apac roles and responsibilities.
For the odd face to face meetings people can always fly in.

Literally every IT Company in Singapore is moving or has moved to the cloud, which means all the design, build, maintain are functions for which no physical presence is needed in singapore or a need to go a data center to replace hardware.

[rajagainstthemachine]

Heres another consideration, Assume job holder makes it through all the hoops mom throw at them and they land a job of 10k
4500 is just the rental for a 2 bed condo these days
Another 4000 grand in living expense assuming a family of 2 or 3 considering inflation, eating out,etc
The balance savings is 1500, hardly worth the effort to move here. I could be wrong but idk just throwing out povs for discussion

[raisins99]

Heres another consideration, Assume job holder makes it through all the hoops mom throw at them and they land a job of 10k
4500 is just the rental for a 2 bed condo these days
Another 4000 grand in living expense assuming a family of 2 or 3 considering inflation, eating out,etc
The balance savings is 1500, hardly worth the effort to move here. I could be wrong but idk just throwing out povs for discussion

Agree with you. I know 2 families who have packed bags this academic year after their children school. Interestingly they all worked in the same company and did not job hop to keep their salary competitive

[Wd40]

Heres another consideration, Assume job holder makes it through all the hoops mom throw at them and they land a job of 10k
4500 is just the rental for a 2 bed condo these days
Another 4000 grand in living expense assuming a family of 2 or 3 considering inflation, eating out,etc
The balance savings is 1500, hardly worth the effort to move here. I could be wrong but idk just throwing out povs for discussion

The 10k of today is the 6k of 10 years ago. Nobody said you are entitled to a 2 bed condo and a great lifestyle and then great savings too for the salary of 10k. So if you need to save, suck it up and put yourself up in a HDB. Thats what I have been doing. My salary is 10k and then bonus and exployer pension another 2k. So 12k monthly. I spend 2.3k on a 3 bedder HDB, 1k for daughter's school and yet my monthly expense is less than 6k and I save 6k.

I am sure rents will go up next renewal but so will our salaries. I was saving 3k out of 6k 10 years ago and now I am saving 6k out of 12k.

This is just normal inflation jump conditions it works in SG. Rents remain stable for a long time and then suddenly jump. People who have been here very long, like SMS and Malcontent, will know this. In around 2005-06 condos used to rent for 1.5k whole condos! HDBs were not even available for foreigners to rent. Then they suddenly shot up and I know when I came here in 2009, the old timers were complaining how everything is more expensive. But hey, thats how it works. The lower people in the expat value chain get pushed out and higher people move in.

If you see Hong Kong, it is already much more expensive than Singapore and there is no reason why Singapore should lag behind.

Also it is not like rentals are going up only here. They are going up everywhere. We have just had a pandemic and insane amount of money printing and now crazy inflation in most countries, in the US and Europe close to double digits. Europe is not going to have gas for their winter heating! The whole world is in a major crisis.

So hold on there, this will eventually get solved, like it always does. Salaries will go up along with inflation and we will find an equilibrium and then rents will again be stable for a long time.

[nelyanne]

Heres another consideration, Assume job holder makes it through all the hoops mom throw at them and they land a job of 10k
4500 is just the rental for a 2 bed condo these days
Another 4000 grand in living expense assuming a family of 2 or 3 considering inflation, eating out,etc
The balance savings is 1500, hardly worth the effort to move here. I could be wrong but idk just throwing out povs for discussion

It's all about the opportunity cost: "how much am I able to save in my home country? how does working in Singapore contribute to my career goals?". In your considerations, you also assume that only one person is working. In many countries, it's hard to survive without a double income.

Maybe the same job can be done by a single person, who can rent a smaller apartment for 3k, and doesn't have school fees to pay. Then, this person can still enjoy a happy life for 10k. Lack of expat packages is giving an advantage to single people and childless couples where both persons can work. That's what I've seen in my previous company. Most of the people transferred to Singapore had no kids. Some people decided to come back to home country after they became parents.

[malcontent]

It normally does not make economic sense for an EP holder to stay here long-term without financial support. Even many locals are unable to afford living here without financial support from their parents initially and the government via HDB eventually.

At my employer, hiring an EP locally almost never happens anymore. The vast majority of EP holders are brought in from overseas offices and given some sort of expat package. In the rare instances where we hire an EP locally, it is usually a trailing spouse who came on a DP, and their EP holding spouse already has support.

I think this reduction in locally hired EP holders is at least partly driven by other key policy changes. The ABSD policies signal that EP holders are expected to rent rather than buy. The local school fee policies and availability of seats signal that EP holders are expected to put their kids in International School.