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For Your Information
  1. What is a Work Permit?
  2. What is a temporary work permit?
  3. What is a Prior Approval (PA)?
  4. Which industries need to apply for PA?
  5. What is Man Year Entitlements (MYE)?
  6. What is a man year?
  7. Who is a main contractor?
  8. Who can apply for the MYE?
  9. Which are the Non-Traditional Sources (NTS) countries?
  10. Which are the North Asian Source (NAS) countries?
  11. Which industries are NTS workers allowed to work in?
  12. What is the duration of a work permit?
  13. What is the minimum age for a work permit applicant?
  14. Can foreign partners/directors of a company apply for a work permit?
  15. What is a levy?
  16. How and where can I pay the foreign worker levy?
  17. My construction worker's work permit has expired, but I have just applied for my Prior Approval. Can my worker get a short extension of stay pending the outcome of my prior approval application, so that his work permit can be renewed when it is approved?
  18. What is the validity period of the Prior Approval?
  19. How does the Work Permit Department classify a company's business activities?
  20. How are skilled foreign workers defined for conversion to a lower levy?
  21. Can I deploy my workers working in Company A to work in my subsidiary, Company B?
  22. Can NTS workers whose work permits are approved under a MYE be re-deployed to work on other projects?
  23. As a main contractor, how do I allocate my MYE?
  24. Can I extend the validity period of my MYE?
  25. Can I request for an increase in MYE if the value of my contract is subsequently increased?
  26. Can I request for additional MYE if I have prematurely used up all my allocated MYE?
  27. If my PA expires and I still have unused man-years, will the balance MYE be returned to me?
  28. If I prematurely terminate my contract with my sub-contractor, can I request for the return of the MYE that I have previously allocated to the sub-contractor?
  29. If I prematurely terminate my contract with my sub-contractor, can I request for those work permits under my MYE to be cancelled?
  30. What happens to the MYE if the main contractor's contract is terminated prematurely by the developer?
  31. If I've been allocated more MYEs than required for a project, can I allocate the remaining MYE to another contractor for another project?
  32. What are the industries in the manufacturing sector?
  33. How can I upgrade my workers' skills to qualify for a low levy?
  34. Can companies in the manufacturing sector recruit NTS workers?
  35. How can companies apply for NTS workers for the above business activities?
  36. I am opening a new branch office. Can I deploy my foreign workers from one branch to the new branch?
  37. My company has expanded and a new subsidiary company has been formed. Can my company deploy the existing foreign workers to work in the subsidiary?
  38. Are NTS workers in the approved manufacturing sector allowed to change employers?
  39. What are the industries in the Service sector?
  40. Can I recruit foreign workers from NTS countries for the service sector?
  41. I am paying the ENV licence of $12. Can I apply for a foreign worker to work in my food stall?
  42. Which are the NTS countries from which I can recruit foreign workers if my company has contracts with Town Councils?
  43. What is the levy rate for the Town Council Conservancy scheme for NTS workers?
  44. What is Dependency Ceiling?
  45. Other Useful Links

1. What is a Work Permit?
A work permit is issued to a foreigner drawing a monthly salary of up to $2,000 to work in Singapore. The work permit states the name of the employer and the occupation of the foreign worker. 

2. What is a temporary work permit?
It is a permit that allows a Malaysian worker to start work for the employer pending the outcome of the application and collection of the work permit. For an NTS/NAS worker, the In-Principle Approval serves as the temporary work permit to allow the worker to start work on the day after his/her arrival, pending the submission of documents for verification. After the submission of documents, the acknowledgement letter serves as a temporary work permit pending the receipt of the work permit.

3. What is a Prior Approval (PA)?
A Prior Approval reflects the number of NTS workers that a company can employ based on the company's eligibility at the point of application.

4. Which industries need to apply for PA?
Construction, Shipbuilding, Hot & Dirty Works, Grasscutting and Conservancy Works need to apply for PA.

Construction, Shipbuilding, Hot & Dirty Works, Grasscutting and Conservancy Works need to apply for PA.

5. What is Man Year Entitlements (MYE)?
MYE is a work permit allocation system pertaining to construction workers from Non-Traditional Sources (NTS) and the People's Republic of China (PRC). It is the total number of foreign workers a main contractor is entitled to employ based on the value of projects/contracts awarded by developers/owners. It is allocated in the form of the number of "man years" required to complete a project. 

MYE is a work permit allocation system pertaining to construction workers from Non-Traditional Sources (NTS) and the People's Republic of China (PRC). It is the total number of foreign workers a main contractor is entitled to employ based on the value of projects/contracts awarded by developers/owners. It is allocated in the form of the number of "man years" required to complete a project. 

6. What is a man year?
One man year is equivalent to 1 year of employment under a work permit.

7. Who is a main contractor?
The main contractor is defined as the company, which contracts a project directly from the developer or owner.

8. Who can apply for the MYE?
Only the main contractor can apply for a MYE. All levels of sub-contractors and nominated sub-contractors are required to obtain the MYE allocation from the main contractor.

9. Which are the Non-Traditional Sources (NTS) countries?
These include Bangladesh, India, Myanmar, Pakistan, People's Republic of China, the Philippines, Sri Lanka and Thailand.

10. Which are the North Asian Source (NAS) countries?
These include Hong Kong, Taiwan, Macau and South Korean.

11. Which industries are NTS workers allowed to work in?
The construction, shipbuilding and harbour craft industries.

12. What is the duration of a work permit?
In general, two years, or one month before the expiry of the passport, or two months before the expiry of the security deposit for NTS workers/Personal Accident Insurance for foreign domestic workers, whichever is earlier.

13. What is the minimum age for a work permit applicant?
All workers must be at least 16 years old at the time of application. 

14. Can foreign partners/directors of a company apply for a work permit?
No, they should apply for an Employment Pass instead.

15. What is a levy?
A levy is a payment by an employer on his foreign employee to the CPF Board. The amount to be paid depends on whether the foreign worker is skilled or unskilled.

16. How and where can I pay the foreign worker levy?
The levy can be paid in cash or via cheque, through money orders, postal orders or GIRO. All cheques should be made payable to "CPF Board". Cash payments can be made at any post office. Levy payments for foreign domestic workers must be made through GIRO deductions.

17. My construction worker's work permit has expired, but I have just applied for my Prior Approval. Can my worker get a short extension of stay pending the outcome of my prior approval application, so that his work permit can be renewed when it is approved?
No short extension will be granted. It is advisable that all applications for Prior Approval be made at least one month before the expiry of the work permit.

18. What is the validity period of the Prior Approval?
Prior Approvals for the construction industry are valid for 5 months. In general, Prior Approvals for all other sectors are valid for 3 months.

19. How does the Work Permit Department classify a company's business activities?
Based on the company's principal activities as stated on the Registry of Companies and Business (RCB) instant business profile.

20. How are skilled foreign workers defined for conversion to a lower levy?
Foreign workers who possess an NTC-3 (practical) Trade Certificate relevant to their occupation may apply for a lower levy.

21. Can I deploy my workers working in Company A to work in my subsidiary, Company B?
No, Company A and Company B are separate legal entities.

22. Can NTS workers whose work permits are approved under a MYE be re-deployed to work on other projects?
The NTS workers may be re-deployed to other projects provided that they are (a) working in the occupation and (b) for the company as stated in the work permit card.

23. As a main contractor, how do I allocate my MYE?
For your own PA application, your MYE will be deducted according to the number of workers and the type of work permits that you have applied for, and I have been approved by the Work Permit Department.

For your sub-contractor's PA application, you may indicate your MYE allocation through Form 1B of the Application For Prior Approval (PA) To Recruit Foreign Worker. The MYE will be deducted accordingly upon the approval of the PA application.

24. Can I extend the validity period of my MYE?
Yes. You may request to extend the MYE if your developer/architect grants your project an extension of time (EOT).

You can submit your request for extension at the Construction Permit Section, Level 5, Ministry of Manpower, with the following documents:

  • A written request from your company for the extension
  • The original and photocopy of the letter from the developer/architect granting the EOT (both the project description and the extension period must be clearly indicated)
  • The original MYE certificate
  • If the extension is granted the extended date will be indicated in the original MYE certificate and returned to you within 14 days in writing.


25. Can I request for an increase in MYE if the value of my contract is subsequently increased?
Yes. You may request for an increase in MYE if your project value has been increased due to additional works or variation orders.

To apply for the additional MYE, the following documents have to be submitted at the Construction Permit Section, Level 4, Ministry of Manpower:

  • The standard Form P for variation order/additional works, duly signed and completed (this form can be obtained from the counters located at Level 4, Ministry of Manpower).
  • A company letter requesting for the MYE increase.
  • A letter from the developer/owner/professional engineer stating the:
  • Description & location of the additional works/variation order
  • Sum/value of the additional works/variation order
  • Commencement and completion date of the additional works/variation order
  • The original MYE certificate
  • The Bill of Quantities for the additional works/variation order upon request

26. Can I request for additional MYE if I have prematurely used up all my allocated MYE?
As the MYE is given based on the project's value, additional MYE will only be given if there is additional work or a variation order awarded by the developer.

27. If my PA expires and I still have unused man-years, will the balance MYE be returned to me?
Yes. The unused PA will be returned to the MYE when the PA expires.

28. If I prematurely terminate my contract with my sub-contractor, can I request for the return of the MYE that I have previously allocated to the sub-contractor?
The MYE will only be returned when the PA expires or when the PA is successfully withdrawn. Only the unused portion of the PA will be returned to the MYE. Thus, if your sub-contractor has already used the PA to apply for NTS workers, the MYE will not be returned to you.

29. If I prematurely terminate my contract with my sub-contractor, can I request for those work permits under my MYE to be cancelled?
The premature termination of a contract is defined as the termination of a contract before its completion. 

In general, if you have terminated your contract with your sub-contractor under the above circumstance, you may write to the Work permit Department to cancel those work permits under your MYE provided that arrangements have been made for the affected workers to be re-employed under another employer.

However, in some cases, the Work Permit Department may decide to allow the sub-contractor to retain the NTS workers under another main contractor's MYE. Such cases are decided on a case-by-case basis.

30. What happens to the MYE if the main contractor's contract is terminated prematurely by the developer?
Such situations will be assessed on a case-by-case basis. The MYE and all the PA granted may be withdrawn.

31. If I've been allocated more MYEs than required for a project, can I allocate the remaining MYE to another contractor for another project?
Main contractors are not allowed to allocate or sell surplus MYEs to other contractors who are not involved in the project. Main contractors found to have engaged in such malpractices will not be allowed to apply for a new work permits in future.

32. What are the industries in the manufacturing sector?
They are following these business activities:

  • Manufacturing of basic industrial acids and alkalis
  • Mechanical engineering works
  • Manufacturing and repair of oilfield and gasfield machinery 
  • Manufacturing of waxes, polishes and deodorants
  • Electroplating, hot-tip galvanising, die-casting and heat treatment
  • Wafer fabrication plants
  • Food manufacturing

33. How can I upgrade my workers' skills to qualify for a low levy?
The company can send its workers to the Institute of Technical Education (ITE) to attend courses relevant to their occupations. Upon obtaining trade certificates (NTC-3 level and above), the workers may be considered for a low levy.

34. Can companies in the manufacturing sector recruit NTS workers?
Companies with the following business activities are allowed to recruit NTS workers:

  • Electroplating
  • Die-casting
  • Heat treatment
  • Hot-tip galvanising

35. How can companies apply for NTS workers for the above business activities?
The company needs to submit the Prior Approval (PA) application form, which is to be signed by a Director (whose name appears in the RCB) or the General Manager/Chief Executive Officer/Managing Director of a private limited company.

36. I am opening a new branch office. Can I deploy my foreign workers from one branch to the new branch?
You can deploy your foreign workers to work in the new branch of the company provided that the new branch:

  • Carries the same company name 
  • Is under the same employer's CPF account
  • Has the same business activities

The foreign workers must be working in the same occupation and in the same company as stated in the work permit cards.

37. My company has expanded and a new subsidiary company has been formed. Can my company deploy the existing foreign workers to work in the subsidiary?
The company and the subsidiary company are two separate legal entities. Hence, such an arrangement is not allowed. The subsidiary company has to make fresh applications for those foreign workers who intend to join them.

38. Are NTS workers in the approved manufacturing sector allowed to change employers?
NTS workers are not allowed to change employers. The current employer must first repatriate the workers to their home country, after which the prospective employer may submit applications to employ them.

39. What are the industries in the Service sector?
They are following these business activities:

  • Financial, insurance, real estate and business services
  • Transport, storage and communications services
  • Commerce (retail & wholesale trade)
  • Community, social and personal services (excluding those involving domestic workers)
  • Hotels, restaurants, coffee shops, and other food establishments
  • Despatch and delivery services
  • Hair dressing and beauty shops

40. Can I recruit foreign workers from NTS countries for the service sector?
Service sector companies are not allowed to recruit NTS workers, the exception being Town Council contracts can recruit NTS workers. Those without Town Council contracts can recruit foreign workers from the Approved Source countries.

41. I am paying the ENV licence of $12. Can I apply for a foreign worker to work in my food stall?
Food stall licensees paying an annual licence of $12 normally operate small stalls which can be operated by the licensees alone or with family assistance. It is therefore not feasible to allow theses small stalls to recruit foreign workers.

42. Which are the NTS countries from which I can recruit foreign workers if my company has contracts with Town Councils?
The NTS countries include Thailand, Philippines, India, Sri Lanka, Pakistan, Bangladesh and Myanmar.

43. What is the levy rate for the Town Council Conservancy scheme for NTS workers?
As at 1 January 1999, the levy rate for each NTS cleaner is $350 per month.

44. What is Dependency Ceiling?
The average local workforce is based on the company's CPF contribution for full-time local employees over the most recent past 3 months. 

45. Other Useful Links

The above information is abstracted from the MOM FAQ booklet. We are not responsible for any mistake or error or wrong information. It is for the viewer's conveniences only.

 

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