Reforms to work visa policies have seen Singapore’s Ministry of Manpower overhaul its program in 2025, all for the betterment of stability in the workforce and inadequate labor supply. The following detailed guide brings out the major areas of change with eligibility under that.
Dropped Employment Time Limits for Work Permit Holders
Effective from July 1, 2025, Singapore stopped having a maximum period of employment for Work Permit holders. This time previously lasted from 14 to 26 years based on the sector, skill level, and country of origin the Work Permit holder has come from; however, now a Work Permit holder can continue to work for the company until continued compliance with eligibility requirements, as well as requirements for services by the employer. This is expected to benefit both employee and employer through reduced employee turnover and training costs.
Increase in Maximum Employment Age
As part of the elimination of employment duration limits, increased maximum length of employment for Work Permit holders-which used to be 60 years-is raised to 63 years-old, such as the official retirement age in Singapore.
Increased age limit for the application of new Work Permit applicants at 61 years now, up from 50 and 58 years for a non-Malaysian and Malaysian, respectively, was this. This was for the purpose of strengthening continuity of workforce and improving long-term employment prospects for foreign workers.
Extension of Source Countries and Occupations
Another measure to alleviate the labor constraints within the country was the increase in approved source countries under which Singapore will accept Work Permit holders. Beginning June 1, 2025, employers would be able to recruit from Bhutan, Cambodia, and Laos, adding to the pool that includes countries like Bangladesh, India, and Myanmar.
Starting September 1, 2025, the updated NTS Occupation List includes a greater variety of roles, including heavy vehicle drivers, a selection of manufacturing occupations, and cooks with experience in all different types of cuisine. Businesses will have increased applicability in contracting for those roles with wider access to talent potential.
Amending S Pass Salary Thresholds
The same pays well for S Pass because it is that, even upon revisions in salaries from December 31, 2025, the least minimum qualifying salary from the existing S$3,150 would be S$3,300 for all the sectors, except those under the financial services, where the bar is set at a minimum of S$3,800. All these realignments set S-Pass salaries in line with the highest third of local Associate Professionals and Technicians (APT) salaries and kept firms competitive in terms of quality recruitment for their businesses.
Amended S Pass Levy Rates
As of September 1, 2025, the S Pass levy has been standardized across all S Pass holders at S$650, which also ties in with the revised salary requirements for the S Pass. The objective of this measure is to compel employers to review their workforce strategies while being cognizant of the increased expenses they incur with regard to S Pass employment.
The Extension of M-SEP Scheme
The M-SEP scheme that was promised to industries in 2022 lets firms apply for extra foreign manpower beyond standard S Pass and Work Permit limits. This is also included in the new M-SEP approvals that allow firms to retain approved M-SEP individuals from May 1, 2025, for a period of three years rather than two years. More programs are also included in the eligibility count, such as local send-off commitments to leadership programs abroad: these were designed to assist businesses in their transformation journeys.
New Enterprise Workforce Transformation Package
As part of the redesigned jobs and development of stronger workforce capabilities, the government introduced the S$400 million Enterprise Workforce Transformation Package to businesses. Succeeding in 2026 will, therefore, have the SkillsFuture Workforce Development Grant-which consolidates many workforce transformation initiatives into one application-with advisory support in terms of “program partners” to further support private sectors in their workforce transformation journey with extra funding to redesign jobs.
Implications for the Employers and the Foreign Workers
The reforms are intended to be holistic because they represent the constellation of Singapore’s strategy towards achieving economic growth while ensuring stability in the labor market. The government would have by this, effectively lifted Work Permit employment caps, allowed even more countries to be included to source workers, and refined the salary and levy structures of S Pass.
As such, Singapore is expected to keep the foreign skilled labor it wants, while hiring is still competitively open. Both employers and foreign workers would need to take proactive measures in preparing for and adapting to the new regulations. In addition, they should review existing workforce strategies in order to be compliant and remain competitive.