Overview
The Complementarity Assessment Framework (COMPASS) is a points-based evaluation system introduced by Singapore’s Ministry of Manpower for Employment Pass applications. Effective from September 1, 2023, COMPASS is designed to assess how a prospective foreign EP candidate complements the local workforce, based on a holistic set of criteria beyond just salary and qualifications . Under COMPASS, each EP application earns points on various attributes of the candidate and the hiring firm, and a minimum total score is required to pass. This framework adds a structured, transparent way to encourage diversity and local workforce development while allowing foreign hires, ensuring that Employment Pass holders are good complements to Singapore’s talent landscape.
In simpler terms, even if a candidate meets the EP salary and education criteria, they must also score enough points under COMPASS to secure approval. This prevents over-reliance on any single factor and filters candidates in a more nuanced way.
COMPASS Criteria and Scoring
COMPASS evaluates EP applications on four core criteria (each worth up to 20 points), plus bonus criteria that can add extra points. The core criteria are split between individual attributes of the candidate and attributes of the hiring company :
1. Salary (Criterion 1 – Individual): Points are awarded based on the candidate’s salary relative to local PMET (Professionals, Managers, Executives, Technicians) salaries in the same sector. – If the candidate’s offered salary is significantly above the local median for similar age/sector, maximum 20 points; around median, 10 points; below a certain threshold, 0 points. Essentially, higher salaries indicate the candidate is likely higher-skilled or filling a senior role and gets more points.
2. Qualifications (Criterion 2 – Individual): This looks at the candidate’s education credentials. – Top-tier qualifications (e.g., degree from a renowned university or equivalent professional certifications) might get 20 points; a standard bachelor’s degree might get 10; not having a degree or equivalent might get 0. There’s also recognition that certain professional qualifications or skills could substitute for formal education in some cases (MOM has lists of accredited institutions and credential frameworks to guide this scoring). Technical roles may get points if the candidate has strong relevant skill certifications even if lacking a degree.
3. Diversity (Criterion 3 – Firm-related): This measures the nationality diversity in the hiring firm. – If the firm is not overly reliant on a single foreign nationality (especially the candidate’s nationality), it scores more points. For example, if a company’s PMET employees consist of a good mix of locals and various nationalities, it could get 10 or 20 points; but if a company already has a very high concentration of employees from the same country as the candidate (indicating a possible nationality bias in hiring), it may get 0 points. The aim is to encourage firms to have diverse teams and not mono-nationality enclaves.
4. Support for Local Employment (Criterion 4 – Firm-related): This looks at the company’s track record in hiring and developing locals. – It compares the firm’s local PMET employment share to industry benchmarks. Companies that employ a higher proportion of Singaporean PMETs relative to peers will score more points (20 for significantly above average, 10 for around average, 0 for significantly below average). This incentivizes firms to cultivate local talent and not rely excessively on EP holders. It’s essentially a measure of how “local-friendly” the firm’s hiring is.
Each of these core criteria yields a score (0, 10, or 20 points typically). The scores are then summed. The passing mark is 40 points (not including bonuses). So an application could, for instance, get 20 (Salary) + 20 (Qualifications) + 10 (Diversity) + 0 (Local employment) = 50 points, which passes. Or 10+10+10+10 = 40, passes exactly. If it sums to say 30, it fails unless bonus points elevate it.
Bonus Criteria: In addition to the core, there are bonus points which do not have negatives (they can only add points, not take away):
• Skills Bonus (Shortage Occupation List): If the EP job position is in an occupation listed on the official Shortage Occupation List (SOL), the application gets +20 bonus points . The SOL is a list of roles in acute shortage of local expertise (for example, certain tech or engineering roles might be listed if Singapore lacks enough such specialists). This bonus acknowledges the country needs foreign help in that area. However, the bonus is only awarded if the candidate meets a higher salary bar (at least 90th percentile of local PMET salary for that occupation) to ensure truly high-skilled candidates fill the gap.
• Strategic Economic Priorities Bonus: If the hiring company is engaged in innovative or significant economic activities aligned with government priorities (e.g., investing in frontier technology, contributing to critical sectors, or involved in partnerships with government on key projects), it can get +10 bonus points . This is administered via certain government agencies. Essentially, companies that are bringing strategic value (like R&D centers, or companies heavily investing in Singapore’s economy) get a slight edge in hiring EPs, as they are deemed beneficial to economic transformation.
No bonus is needed to pass if core points ≥40, but bonuses can help borderline cases. For instance, a candidate scoring 36 points on core criteria could still get approved if a 20-point SOL bonus applies, bringing it to 56.
To illustrate a COMPASS outcome: Suppose a fintech company in Singapore wants to hire a software engineer from overseas. The candidate has a master’s degree from a reputable university. The offered salary is slightly above the local median for software engineers. The company’s workforce is 50% local, 50% foreign, with foreigners from 10 different countries (no single nationality dominates), but their local PMET ratio is a bit below industry average because the field is niche. Also, software engineering is on the Shortage Occupation List. This application might score: Salary 10, Qualifications 20, Diversity 20, Support for locals 0, core total = 50 (pass). Plus SOL bonus 20 = 70. Well above pass. If, however, the company had most foreigners from the same country (Diversity 0) and very low local % (Support 0), the core might have been 30, then SOL +20 could boost to 50 to get it approved.
Rationale and Impact
COMPASS is intended to strike a balance in Singapore’s foreign workforce policy. It moves the EP framework from a relatively simple checkpoint (salary and qualifications) to a multi-factor assessment that aligns with Singapore’s objectives:
• It encourages employers to improve workforce diversity and local development – because doing so will help future EP applications. It nudges behavior: companies know if they hire too many of one nationality or too few locals, it will be harder to get EPs, so they adjust practices accordingly.
• It ensures quality of EP holders: requiring points on salary and qualifications means typically more qualified individuals are approved. Low-salary applications (which may indicate lower-skilled jobs that perhaps a local could do) won’t make the cut.
• It provides transparency and predictability. Employers can self-assess and understand why an application might fail or pass, and work on improving factors within their control (like raising an offer salary or hiring more locals in the team to improve the environment).
• It addresses local sentiments by showing that the government is evaluating foreign hires not just on company say-so, but via objective criteria that consider locals’ interests (like diversity and local employment rates).
Implementation: COMPASS applies to new EP applications from Sep 2023, and to EP renewal applications from Sep 2024 . This gave companies time to prepare.
Exceptions: Some EP applications are exempt from COMPASS – notably, if the applicant is earning at least $22,500/month (the bar for a special category called Personalised Employment Pass) or is applying as an overseas intra-company transferee meeting certain international trade agreement criteria, they bypass COMPASS. Also, fresh graduates from recognized institutions filling certain roles might have modified criteria.
From an HR perspective, COMPASS means EP hiring requires more foresight. HR needs to evaluate not just the candidate but also internal company metrics. It may influence decisions like: should we raise the offered salary to secure more points? Are we cultivating enough local talent in parallel? Are we over-hiring from one country (which could cost us diversity points)? It essentially formalizes what was an implicit expectation into a points checklist.In summary, the Complementarity Assessment Framework is a significant policy innovation in Singapore’s work pass framework. It ensures that foreign talent brought in through the Employment Pass route is complementary – bringing in needed skills and diversity, while employers continue to strengthen the local workforce. The overall goal is to maintain Singapore’s openness to talent without undermining local employment prospects, achieving a sustainable balance in the labor market .