Hiring a foreign professional is often the quickest way to fill a skilled role, but in Singapore it comes with a legal expectation that local candidates are considered first. Understanding Fair Consideration Framework requirements when hiring foreigners is essential for any employer who plans to apply for an Employment Pass or S Pass. Getting this wrong can lead to rejected applications, reputational damage and, in serious cases, restrictions on your ability to hire foreign workers.
Raffles Corporate Services works with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice. This article is general information only and is not legal advice.
This guide explains how the framework operates, what employers must do before submitting a work pass application, and where businesses commonly slip up.
Who this applies to
The Fair Consideration Framework (FCF) is administered by the Ministry of Manpower (MOM) and applies to employers in Singapore that wish to hire foreign professionals, managers, executives and technicians. In practice, this means companies applying for an Employment Pass (EP) or an S Pass.
The framework does not apply to every pass type in the same way. Work Permit applications for lower-skilled workers follow a different set of rules, including quotas and levies. Within the FCF itself, certain employers and roles are exempt from the job advertising step, which we cover below.
Employers that are typically expected to comply
- Companies registered with ACRA that employ, or intend to employ, EP or S Pass holders.
- Employers with eleven or more local and foreign employees, where the job advertising requirement applies.
- Employers whose proposed hire falls below the salary level at which MOM waives the advertising requirement.
Key rules and requirements in Singapore
The framework rests on a simple principle: employers should consider all candidates fairly, and should not discriminate on the basis of nationality, age, gender, race, religion or similar factors. Several obligations follow from this.
Advertise the job on MyCareersFuture
Before submitting an EP or S Pass application, an eligible employer must advertise the vacancy on the MyCareersFuture portal, which is run by Workforce Singapore. The advertisement must run for at least 14 calendar days, and the application must be submitted within a set period after the advertisement closes. The advertisement should include the job title, a clear description of duties, the minimum qualifications and experience required, and the salary range.
Consider candidates fairly
Advertising alone is not enough. Employers are expected to assess applicants objectively against the stated job requirements. If Singaporean applicants meet those requirements, they should be given a fair chance at interview. Requirements must be genuinely tied to the role. Setting criteria that quietly favour one nationality can attract scrutiny from MOM.
Avoid discriminatory wording
Advertisements that specify a preferred nationality, race, age or gender are not acceptable. The Tripartite Guidelines on Fair Employment Practices set out the standards employers are expected to follow.
Exemptions
MOM exempts certain cases from the advertising step. These generally include small firms with ten or fewer employees, jobs paying a fixed monthly salary at or above a threshold set by MOM, intra-corporate transferees who meet the relevant criteria, and very short-term roles. Because these thresholds are reviewed from time to time, confirm the current position on the MOM website before relying on any exemption.
Link to other pass criteria
The FCF sits alongside, not in place of, the other eligibility tests. For an Employment Pass, this includes the minimum qualifying salary and the Complementarity Assessment Framework (COMPASS) points system. For an S Pass, it includes the qualifying salary and the quota on the proportion of S Pass holders in your workforce. Meeting the FCF does not guarantee approval.
Step-by-step process
- Define the role. Write a clear job description with realistic qualifications, experience and salary range. Avoid requirements that exist only to exclude local candidates.
- Check your exemption status. Count your employees and compare the proposed salary with the current MOM threshold to confirm whether the advertisement is required.
- Post on MyCareersFuture. Publish the advertisement and keep a record of the posting dates and content.
- Wait out the 14 days. The advertisement must run for the full period before you can submit the pass application.
- Review all applicants. Document how each applicant was assessed, including the reasons Singaporean candidates were not shortlisted, if that was the outcome.
- Submit the application. File the EP or S Pass application through the MOM portal within the allowed window, declaring the advertisement details.
- Keep your records. Retain the advertisement, applicant lists and assessment notes in case MOM asks questions later.
Common mistakes to avoid
- Shortening the advertising period or counting working days instead of calendar days.
- Submitting the pass application after the permitted window has lapsed, which forces the employer to re-advertise.
- Writing a job description that is clearly tailored to one named foreign candidate.
- Listing qualifications that are unnecessarily narrow or unrelated to the actual duties.
- Failing to keep records of how local applicants were assessed.
- Assuming that an exemption applies without checking the current salary threshold or headcount rule.
- Treating FCF compliance as the only hurdle and overlooking COMPASS scoring or S Pass quotas.
Practical examples
Example 1: A growing IT services company
A company with 25 employees wants to hire a software architect on a monthly salary below the exemption threshold. It posts the role on MyCareersFuture for 14 days, interviews three Singaporean applicants and records why none met the technical requirements. It then submits the EP application within the permitted window. The paper trail supports its case if MOM raises questions.
Example 2: A small start-up
A start-up with eight employees is hiring its first senior engineer from overseas. Because it has ten or fewer employees, it may fall within the small-firm exemption from advertising. It still has to meet the EP salary and COMPASS requirements, and it should still avoid discriminatory hiring practices.
Example 3: A rejected application
An employer posts a role requesting a specific nationality and offers no salary range. MOM may view the advertisement as non-compliant, and the employer may need to re-advertise before it can proceed.
How a corporate secretary can help
A corporate secretary in Singapore is not a recruiter, but the role often overlaps with the compliance work behind a foreign hire. Raffles Corporate Services can help you check whether your company meets the basic eligibility conditions, keep ACRA records such as the register of officers up to date when a foreign director or manager joins, and coordinate the filings that follow a new hire. Our team also supports accounting, tax and payroll processing, including CPF contributions and foreign worker levy considerations, so that onboarding is handled consistently from the first payslip.
Frequently Asked Questions
Does the FCF apply to Work Permit holders?
The advertising requirement is aimed at Employment Pass and S Pass applications. Work Permits are governed by separate rules on quotas, levies and eligible nationalities and sectors.
How long must the job advertisement run?
The advertisement on MyCareersFuture must run for at least 14 calendar days before the pass application is submitted.
Can a foreign candidate already in Singapore be hired without advertising?
Being in Singapore does not by itself create an exemption. Whether you must advertise depends on your headcount, the salary offered and the type of pass.
What happens if an employer breaches fair hiring expectations?
MOM may investigate and, depending on the findings, can reject pass applications, curtail work pass privileges, or require corrective action. Employers with repeated concerns may be placed on a watchlist.
Does passing the FCF mean the pass will be approved?
No. The FCF is one component. MOM also assesses salary, qualifications, COMPASS points for Employment Passes and quotas for S Passes.
Key takeaways
- Employers that apply for Employment Passes or S Passes generally need to advertise on MyCareersFuture for at least 14 calendar days first, unless an exemption applies.
- Fair hiring means assessing all candidates objectively and avoiding discriminatory advertisements.
- Exemptions exist for small firms, high-salary roles and certain intra-corporate transferees, but the thresholds change, so verify them each time.
- Meeting the FCF is only one part of the pass assessment, alongside salary criteria, COMPASS and quotas.
- Keep proper records of the advertisement and your assessment of applicants.
Requirements may change, so always check the latest guidance from ACRA, IRAS or MOM, or consult a professional adviser.
If you would like to find out more about how Raffles Corporate Services can assist with your company’s compliance and corporate secretarial requirements, please get in touch with the team at [email protected].
Yours sincerely,
The editorial team at Raffles Corporate Services
Disclaimer: This does not constitute legal advice. If you require legal advice, please contact a lawyer.