Work Permits for Foreign Workers in Singapore's Manufacturing Sector

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Work Permits for Foreign Workers in Manufacturing Sector

Singapore’s manufacturing sector is a cornerstone of its economy, and foreign workers on Work Permits play a vital role. The Ministry of Manpower (MOM) is continually updating its framework to create a more skilled, productive, and stable workforce.

Staying on top of these changes is crucial for compliance and business continuity. Here is a comprehensive overview of the latest Work Permit regulations from MOM.

Key Updates to the Manufacturing Work Permit Framework

These changes are designed to support businesses while ensuring a higher-quality, more resilient workforce.

1. Age Limits and Employment Duration A key change for 2025 is the removal of previous limits on how long a worker can be employed.

  • Maximum Employment Age: The maximum employment age for Work Permit holders has been raised to 63 years old. For new Work Permit applicants, the age limit is 61 years old.

  • No Maximum Duration: As of July 1, 2025, the maximum employment duration for all Work Permit holders has been removed. This allows employers to retain experienced and skilled workers for longer periods, providing greater workforce stability and reducing retraining costs.

2. Dependency Ratio Ceiling (DRC) and Levy The Dependency Ratio Ceiling (DRC) for the manufacturing sector remains at 60%. This means a company can hire up to 1.5 foreign workers for every local employee who earns the Local Qualifying Salary.

The foreign worker levy is tiered based on a worker’s skill level and the company’s dependency ratio. Employers pay a lower levy for “higher-skilled” (R1) workers, encouraging upskilling. The levy rates are designed to regulate the number of foreign workers and encourage companies to optimize their workforce.

3. Expanded Source Countries To provide employers with a larger talent pool, MOM has expanded the list of approved source countries. From June 1, 2025, companies can hire Work Permit holders from Bhutan, Cambodia, and Laos. These are in addition to the existing Non-Traditional Sources (NTS) and North Asian sources.

Mandatory Programmes and Requirements

All Work Permit holders in the manufacturing sector must adhere to specific mandatory requirements.

  • Settling-in Programme (SIP): All first-time non-Malaysian Work Permit holders in the manufacturing sector must attend the SIP within two weeks of their arrival in Singapore. This one-day programme helps them adjust to local practices, employment rights, and legal obligations.

  • Safety Training: Migrant workers who handle metals and machinery in the metalworking industry must complete the Metalworking Safety Orientation Course (MSOC) before their Work Permit can be issued.

  • Medical Insurance and Security Bond: Employers must purchase medical insurance with a minimum annual coverage of S$60,000 for each worker. Additionally, a S$5,000 security bond is required for each non-Malaysian Work Permit holder.

  • Qualifications: While the age limit has been raised, MOM is still focused on attracting skilled talent. New applicants must possess relevant educational or technical qualifications and verifiable work experience.

For the most accurate and up-to-date information, employers and foreign workers should always refer to the official Ministry of Manpower (MOM) website.