Singapore: Lowered ceilings on foreign staff and higher levies

Measure #3196 | Published 19 Apr 2012 ▲

Description

On 17 February 2012, the government of Singapore announced wide-ranging restrictions to the employment of foreign staff.
 
Effective 1 July 2012, the "Dependency Ratio Ceilings" (DRCs) has been lowered for both services and manufacturing. Under the new regime, a maximum of 45 resp. 60 percent of total staff may be of foreign nationality.
 
Companies have been granted two years to adjust to these ceilings. However, from 1 July 2012 new work permits are only issued to companies operating below the stated ceilings.
 
In a measure tailored to the construction sector, levies on foreign workers with "basic" skills are increased from $550 to $650 in January 2013, and raised once more to $750 in July 2013. Furthermore, the maximum work-load carried out by foreign staff in a construction project (so-called "Man-Year-Entitlements") has been reduced by 5 percent from 1 July 2012.
 
 

Any Evidence-Based Deliberation:

Question Result
Is there anything in the public record to suggest that evidence of the effectiveness of the proposed measure was considered during official deliberations?
Is there any evidence that alternatives to the proposed measure were considered?
Is there anything in the public record that suggests that empirical evidence informed the comparison across the alternatives available to government?
Was such evidence identified?
Is such evidence publicly available?
Did the official decision-maker in question provide an explanation as to why a chosen measure was favoured over alternatives?
Is there any evidence to suggest that potentially affected trading partners were consulted before the measures were taken?
Is there any evidence that safeguards have been put in place to ensure that implementation of the initiative is transparent and non-discriminatory?
Did the government state its intention to review the measure within one year of implementation?

Implementing Jurisdiction:

Affected Trading Partners:

Measure type:

Affected Sectors:

Affected Tariff Lines:

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Date Discovered:

Implemented: Yes

Date of inception: 1 Jul 2012

GTA Evaluation: Red

Source:

Ministry of Manpower. (17 February 2012). Further Moderating Demand for Foreign Manpower. Available at http://www.mom.gov.sg/newsroom/Pages/PressReleasesDetail.aspx?listid=409

Government Response:

Glossary of trade terms