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IMPACT – MEDIUM
What is the change? Under the new Fair Consideration Framework, employers who sponsor foreign workers for Employment Passes will be asked several questions about why Singaporeans were not hired for those jobs.
What does the change mean? Employment Pass (EP) applications will inquire whether the employer made efforts to interview Singaporeans and, if so, to indicate the reasons why Singaporeans were not hired.
Background: The Fair Consideration Framework that takes effect Aug. 1 is intended to strengthen the Singaporean workforce by requiring employers to take steps to ensure that they are fairly considering Singaporeans for job vacancies.
Until now, the Ministry of Manpower (MOM) has said only that employers had to advertise job positions for 14 days and did not have to justify their decision to hire a foreigner. However, the new Employment Pass application asks employers to check “yes” or “no” as to whether they have made efforts to interview Singaporeans for the position. In addition, the application asks the sponsoring employer to check up to three reasons why a Singaporean was not hired. The examples of reasons included on the list are:
The application says that the questions are intended to help MOM identify skills gaps and assess the profile of the local workforce.
BAL Analysis: These additional questions indicate MOM will begin looking more closely at employers’ job interviewing and selection processes.
This alert has been provided by the BAL Global Practice group in Singapore. For additional information, please contact singapore@bal.com.
Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.
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