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PEP - Difference in salary

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PEP - Difference in salary

Postby gcool_here » Thu, 28 Jul 2011 1:05 pm

Hi,
I am on P1 EP & an Indian software engineer. I was working in UK for 4 years & AU for 1 year before coming to singapore very recently (2 months back). I got married around 1 1/2 years back & I am here because i feel singapore is a better place for family life, compared to other countries. And my job in singapore is a contract one & is for only one year. Since it is only for one year, i felt bit insecure about my job and thought it will be better to get PEP to boost my next job oppurtunities. I understand that the possiblities of P1 EP holder to get a PEP are high. Now my issue is,

I got P1 EP some three months back when they had 7000 SGD as the minimum limit. But now since they have changed it to 8000 SGD, i will not come under that category.The ICA/MOM website says, you can apply if you have P1. (Though it doesnot talk about my scenario). So my worry/question is, whether this will be a big factor when they consider my PEP application eventhough i have P1. And I don't think i can wait for some more months before applying for PEP. Any advices/suggestions pls?

And just to add, my long term intention is to get settled here in singapore. But i will wait for some more years, before applying for PR so that it will not get rejected. And my wife has also got a P2 EP job offer & will be joining soon.

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Re: PEP - Difference in salary

Postby singaporeflyer » Thu, 28 Jul 2011 1:26 pm

gcool_here wrote:Hi,
I am on P1 EP & an Indian software engineer. I was working in UK for 4 years & AU for 1 year before coming to singapore very recently (2 months back). I got married around 1 1/2 years back & I am here because i feel singapore is a better place for family life, compared to other countries. And my job in singapore is a contract one & is for only one year. Since it is only for one year, i felt bit insecure about my job and thought it will be better to get PEP to boost my next job oppurtunities. I understand that the possiblities of P1 EP holder to get a PEP are high. Now my issue is,

I got P1 EP some three months back when they had 7000 SGD as the minimum limit. But now since they have changed it to 8000 SGD, i will not come under that category.The ICA/MOM website says, you can apply if you have P1. (Though it doesnot talk about my scenario). So my worry/question is, whether this will be a big factor when they consider my PEP application eventhough i have P1. And I don't think i can wait for some more months before applying for PEP. Any advices/suggestions pls?

And just to add, my long term intention is to get settled here in singapore. But i will wait for some more years, before applying for PR so that it will not get rejected. And my wife has also got a P2 EP job offer & will be joining soon.


PEP is purely based on your EP Type if you are working in Singapore already. So, since you earn less than the amount for P1 (8K SGD), you will be able to get PEP only after working in SG for 2 years unless you get a P1 with a salary greater than 8K..

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Postby gcool_here » Thu, 28 Jul 2011 1:46 pm

Thanks for your reply singaporeflyer.

So it doesnot matter eventhough i have P1 now. They will consider my salary level again for PEP though the criteria (just) says, P1 is enough.

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Re: PEP - Difference in salary

Postby Saint » Thu, 28 Jul 2011 2:54 pm

singaporeflyer wrote:PEP is purely based on your EP Type if you are working in Singapore already. So, since you earn less than the amount for P1 (8K SGD), you will be able to get PEP only after working in SG for 2 years unless you get a P1 with a salary greater than 8K..


Not quite true, if you are a P1 holder there's actually no salary level nor do you have to wait for 2 years. Still doesn't mean you will automatically get PEP approval.

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Re: PEP - Difference in salary

Postby singaporeflyer » Thu, 28 Jul 2011 3:56 pm

Saint wrote:
singaporeflyer wrote:PEP is purely based on your EP Type if you are working in Singapore already. So, since you earn less than the amount for P1 (8K SGD), you will be able to get PEP only after working in SG for 2 years unless you get a P1 with a salary greater than 8K..


Not quite true, if you are a P1 holder there's actually no salary level nor do you have to wait for 2 years. Still doesn't mean you will automatically get PEP approval.


Yes, But his current salary is <8k and so would not qualify for P1 right? His P1 was granted based on the older criteria 3 Months ago.

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Postby nakatago » Thu, 28 Jul 2011 4:30 pm


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Postby revhappy » Thu, 28 Jul 2011 5:09 pm

I think I agree with Saint. The rule of 8k is only for overseas professionals. But then again it doesn't mean PEP will be granted easily under the current environment.

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Postby sundaymorningstaple » Thu, 28 Jul 2011 5:30 pm

Afraid I have to disagree with both you and Saint. On the link that Nak provided on the PEP, under P1 there is nothing written but the P1 is a link to the qualifications for P1. It is 8K/mo minimum. Therefore there is a salary level for P1 when trying to qualify for PEP.

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Postby Saint » Thu, 28 Jul 2011 5:39 pm

sundaymorningstaple wrote:Afraid I have to disagree with both you and Saint. On the link that Nak provided on the PEP, under P1 there is nothing written but the P1 is a link to the qualifications for P1. It is 8K/mo minimum. Therefore there is a salary level for P1 when trying to qualify for PEP.


The MOM are basically say that if you are a P1 holder you should automatically be above the salary threshold. However even though the P1 threshold has been raised there are still many who are current P1 holders who are below $8K.

MOM :wave: I think you need to amend the PEP P1 section to say "P1 Holders - greater than $8k"

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Postby nakatago » Thu, 28 Jul 2011 5:39 pm

sundaymorningstaple wrote:Afraid I have to disagree with both you and Saint. On the link that Nak provided on the PEP, under P1 there is nothing written but the P1 is a link to the qualifications for P1. It is 8K/mo minimum. Therefore there is a salary level for P1 when trying to qualify for PEP.


That said, since OP is on P1, he qualifies for PEP (approval not guaranteed)? Because P2 holders can apply for PEP if they were on P2 for the last two years made 34k the preceding year. 34k a year is less than 4k x 12 (new threshold) or 3.5k x 12 (old threshold).

So if OP applies for PEP and gets rejected, what would be the consequences for him?

Just throwing around some ideas.

EDIT: just saw Saint's post. Yeah, I think MOM's got some explainin' to do. :P

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Postby x9200 » Fri, 29 Jul 2011 8:12 am

If to get PEP within < 2 years would required P1 to have 8k plus salary than the whole eligibility criteria (in that published form) makes not much sense. Everything could be simply defined by this:

Foreign professional whose last drawn fixed monthly salary was at least $8,000.

Unless MOM wants to say that they value more 8k earned abroad than in Singapore.

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Postby sundaymorningstaple » Fri, 29 Jul 2011 10:13 am

Really doesn't make much difference how we split the hairs. At the end of the day, MOM doesn't need to give explanations for rejections. I already know for a fact that they were rejecting PEP and P1 at 7K before the 8K took effect as they were already internally using the 8K figure a month before the official date. Again, this is their prerogative. Additionally, I can almost guarantee that any P1 that comes up for renewal at a figure of less than 8K will be bounced back to a P2 as well (if not sent home due to not qualifying for the P2 because of no degree). So, all they have to do is delay decisions on P1 applications until they come up for renewal and then bounce them as not qualifying. Depending on whether they have had two full years here when that happens will govern whether they can be considered for PEP under the P2 criteria. Again, a lot are getting bounced purely because the government wants to now restrict that classification to those who really have something of value that the government would like to have. Otherwise, it's easier to keep 'em on the P1 and then, if no longer neeed, just not renew them.

Remember, we are here primarily to fill up gaps and when no longer needed the hired guns are sent home. The rest they cherry-pick at their leisure.

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Salary difference

Postby gcool_here » Mon, 01 Aug 2011 1:38 pm

Thanks all for your reply.

Just one observation. I was going thorugh MOM FAQs.

http://ifaq.mom.gov.sg/ExploreFaq.aspx? ... gory=29020

One of the interesting (atleast to me :) ) question is,

Q: Can a former P1 Employment Pass holder who is currently living overseas and drawing a salary equivalent to S$5,000 be eligible for the Personalised Employment Pass (PEP)?

A: You will be eligible for the Personalised Employment Pass if you were a former P1 Employment Pass holder, regardless of the pay you are drawing overseas now. However, you should not be unemployed for longer than a continuous period of six months at the point of application.

So it tells us (I assume), all former P1 pass holders are eligible, even the current salary is less than the fixed limit. Though it says, if you are living overseas, i assume it should be applicable for me as well. Otherwise, it will become like, i will be eligible if I leave singapore now and not eligible if continue living in singapore.

Anyway.. just trying to understand whether there is anything positive for me there. And I am planning to apply for it & see how it goes.. will let you know the update (if interested).

Just wondering, anybody got any ideas about the consequences if it gets rejected as Nak mentioned in his reply.

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Re: Salary difference

Postby sundaymorningstaple » Mon, 01 Aug 2011 2:06 pm

gcool_here wrote:Thanks all for your reply.

Just one observation. I was going thorugh MOM FAQs.

http://ifaq.mom.gov.sg/ExploreFaq.aspx? ... gory=29020

One of the interesting (atleast to me :) ) question is,

Q: Can a former P1 Employment Pass holder who is currently living overseas and drawing a salary equivalent to S$5,000 be eligible for the Personalised Employment Pass (PEP)?

A: You will be eligible for the Personalised Employment Pass if you were a former P1 Employment Pass holder, regardless of the pay you are drawing overseas now. However, you should not be unemployed for longer than a continuous period of six months at the point of application.

So it tells us (I assume), all former P1 pass holders are eligible, even the current salary is less than the fixed limit. Though it says, if you are living overseas, i assume it should be applicable for me as well. Otherwise, it will become like, i will be eligible if I leave singapore now and not eligible if continue living in singapore.

I'm not sure why you are trying to twist what are reasonably clear facts? Yes, Former P1 holders are eligible IF overseas. Even it they are only earning the equivalent of $5000 overseas, due to their previous qualification in Singapore they will be eligible for a PEP. Provided which, they HAVE NOT BEEN UNEMPLOYED for the Previous 6 months up to the point of application. Pretty simple and easy to understand right? If you are living in Singapore, it doesn't apply to you. The operative words here are "IF overseas".

Now, before you go and do something stupid like quitting your job, at the moment, as an Indian, trying to pull a fast one is not a good idea as the gahmen already have targeted your countrymen as the biggest abusers of the system at the moment any are going out of their way to find way to eliminate large numbers of them. Gamble if you must, but don't cry if/when it blows up in your face.


Anyway.. just trying to understand whether there is anything positive for me there. And I am planning to apply for it & see how it goes.. will let you know the update (if interested).

Just wondering, anybody got any ideas about the consequences if it gets rejected as Nak mentioned in his reply.


If it gets rejected, life just goes on. You continue to work on your EP until your contract is over, or until your EP is no longer renewed. Losing your bid on the PEP is not the end of the world. Until a couple of years ago, none of us had that option at all......

sms

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Postby SarahSingapore » Fri, 05 Aug 2011 11:56 pm

Hi All,

I have a question based on something sort of related to this thread.

I am hoping to be offered a job on a basic salary of 8k sgd to relocate from London to Singapore. However after three months the company are saying that my salary may drop below this to allow me to earn a higher % commission - not great, but not a terrrible practice in the UK as I can earn more. However, if i go with that option do I lose my EP? As I understand the P1 (which I will initially qualify for) must have the 8k threshold, so what happens once I am out here and have my job and P1 EP?

Thank you so much - advice needed urgently - Final interview Monday.


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