
At a Glance
- Starting October 1, 2020, advertisements posted during the labor market testing period must remain up for 28 days, up from the current 14-day requirement.
- Additionally, employers of S Pass applicants will be required to fulfill the advertising requirement, where they are currently not required to undergo labor market testing. This will create more of an administratively burdensome S Pass application process since the labor market testing process can take up to a month.
The situation
Due to a change in policy, beginning October 1, 2020, employers with foreign workers in Singapore will be subject to stricter requirements during the labor market testing process.
A closer look
- Longer job posting requirement. Employers of any foreign worker in Singapore will need to post a job advertisement for 28 days during the labor market testing period, up from the current 14-day requirement. This includes a thorough process that allows the employer to prove impartial hiring practices between foreign and local workers.
- Impact. The longer posting period will prolong the work permit process by at least two weeks. Employers should amend start date plans based on this change once it is effective.
- Advertising for S Passes. Additionally, S Pass applications will be required fulfill the advertising requirement, where they are currently not required to undergo labor market testing.
- Impact. This requirement will create more of an administratively burdensome S Pass application process since the labor market testing process can take up to a month.
Background
- Development of workforce. The advertising requirement is meant to encourage employers to enhance and develop the Singaporean workforce.
- Be aware of harsher penalties. In January 2020, the Ministry of Manpower started applying harsher penalties for employers with foreign workers in Singapore who fail to comply with the requirement to consider Singaporean applicants fairly, especially when it comes to advertising requirements for certain job openings. In light of such increased penalties, which can include longer bans of up to 24 months on work pass and renewal sponsorship during the period of the ban, it is important for employers to comply with the new requirement in effect October 1.
Looking ahead
The adjustments are part of the government’s continuing effort to protect the local labor market given the weakness in the job market and its uncertain growth outlook. It is likely that market testing requirements will continue to increase on a regular basis as the government deems necessary.
This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].
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