MAS, MOM to raise minimum qualifying salary for EP holders in finance

They are expecting job creation to be slower in H2.

The Ministry of Manpower (MOM) and the Monetary Authority of Singapore (MAS) will increase the minimum qualifying salary (MQS) for entry-level employment pass (EP) holders in the financial services sector to $5,000, an announcement revealed.

MAS worked closely with MOM to determine the new MQS for the financial services sector, which is higher than that for the rest of the economy. This takes into account the higher local salary levels in the financial services sector, the press release added.

The MQS increase is expected to further support hiring of Singaporeans in the financial services sector. The media statement said that the sector continued to create jobs, albeit with a smaller net increase of about 1,500 jobs in H1. Four out of five positions are given to Singaporeans.

Whilst job creation will be slower in H2 and could remain muted next year, MAS assures that the financial sector is well positioned to be an important source of job opportunities for Singaporeans in the years ahead.

“A high quality workforce, with a strong Singaporean core complemented by EP holders with specialised skills, will best enable our financial services sector to compete internationally, and seize new growth opportunities as the Asian and global economies recover,” said Jacqueline Loh, deputy managing director (markets & development) at MAS.

The calibrated increase in the MQS will continue to allow financial institutions to complement their local workforce by tapping on a global talent pool for the specialised skill sets that the financial sector needs. These include deep capabilities in areas like cyber security, machine learning, and full stack development, as well as expertise in new growth segments like green finance, pandemic risk insurance, and family offices.