CPF adds 17% to every salary you pay a Singapore Citizen or PR. That’s your first number to know. The second: if you’re hiring a foreign national, the work pass is tied to your EOR’s MOM-registered entity — not yours. If that entity isn’t approved as a sponsor, your hire doesn’t happen. Get both facts straight before you make an offer.
Singapore Employment at a Glance
| Detail | Value |
|---|---|
| Currency | Singapore Dollar (SGD) |
| Official language | English (primary) |
| Employment law | Employment Act (Cap. 91) |
| Payroll frequency | Monthly |
| Social security | CPF (Central Provident Fund) |
| Tax authority | Inland Revenue Authority of Singapore (IRAS) |
| Minimum wage | S$1,600/month (Progressive Wage) |
| Standard working hours | 44 hours/week |
| Annual leave (minimum) | 7–14 days (based on years of service) |
| Public holidays | 11 per year |
CPF: Rates, Scope, and What Your EOR Handles
CPF applies to Singapore Citizens and Permanent Residents only. Foreigners on EP, S Pass, or Work Permit are exempt — but they require a work pass instead (see below).
CPF contribution rates (2025) for employees below age 55:
| CPF Rate | Employer | Employee | Total |
|---|---|---|---|
| Ordinary Wage (up to S$6,000/mo) | 17% | 20% | 37% |
Your EOR handles CPF Board registration, monthly contributions, and all CPF Board submissions. Missing a monthly filing isn’t theoretical — CPF Board levies late payment interest at 1.5% per month.
Employment Act — What It Covers and What It Doesn’t
The Employment Act covers all employees earning up to S$4,500/month for non-workman provisions. Above that threshold, core protections on termination, public holidays, and annual leave still apply — but overtime and rest day entitlements do not.
Key entitlements regardless of salary:
- Annual leave: 7 days after 1 year, adding 1 day per year of service up to 14 days maximum
- Sick leave: 14 days outpatient, 60 days hospitalisation per year (after 3 months’ service)
- Maternity leave: 16 weeks for Singapore Citizens and PRs; 8 weeks for others
- Paternity leave: 2 weeks for Singapore Citizens
- Overtime pay: 1.5x regular hourly rate for eligible employees
Work Passes: EP, S Pass, Work Permit
Every foreign national you hire through an EOR in Singapore needs a work pass. The three main categories:
| Pass | Who it’s for | Min. Monthly Salary (2025) |
|---|---|---|
| Employment Pass (EP) | Professionals, managers, executives | S$5,000 (S$5,500 in financial services) |
| S Pass | Mid-skilled workers | S$3,150 |
| Work Permit | Semi-skilled workers (construction, manufacturing) | No fixed minimum |
The pass is sponsored by and tied to the EOR’s entity — not yours. Confirm your EOR is MOM-registered as a pass sponsor before you proceed. MOM approval is discretionary; EP processing typically takes 3–5 weeks and is outside the EOR’s control.
How Long Does EOR Onboarding Take in Singapore?
Singapore is the fastest EOR market in Asia:
- Employee already has right to work: 1–2 business days to first payroll
- New Employment Pass application required: 3–5 weeks (MOM processing)
- S Pass application: 3–5 weeks
Top EOR Providers for Singapore
All five providers reviewed on eor.asia cover Singapore:
- Deel — Fastest onboarding (1–2 days for eligible workers), owned entity
- Multiplier — Singapore HQ, deep local knowledge, competitive pricing
- Remote — Strong compliance tooling, transparent pricing
- Rippling — Good for teams already using Rippling for HR
- Papaya Global — Best for enterprise with multi-country Asia teams
See the Best EOR for Singapore comparison for full provider rankings.
Frequently Asked Questions About EOR in Singapore
Can an EOR guarantee my Employment Pass application gets approved? No. MOM approval is discretionary. The EOR submits the application and provides the employment relationship, but the decision is MOM’s. EP criteria are stricter in financial services (S$5,500 minimum) and MOM scrutinises qualifications and company legitimacy. Plan for a possible rejection before committing to a start date.
What happens if I terminate a Singapore employee without giving notice? You owe salary in lieu of the required notice period. Statutory minimums under the Employment Act: 1 day (under 26 weeks’ service), 1 week (26 weeks to under 2 years), 2 weeks (2–5 years), 4 weeks (over 5 years). Employment contracts often specify longer periods — the higher of the two applies.
My employee is on an EP — do I pay CPF for them? No. CPF applies only to Singapore Citizens and PRs. EP, S Pass, and Work Permit holders are not subject to CPF contributions from either party.
What is the Progressive Wage Model and does it affect my hire? The PWM mandates wages above the S$1,600 statutory floor for specific sectors: cleaning, security, retail, food services, and others. If you’re hiring in any of these sectors, your EOR must apply PWM rates. The standard minimum wage floor does not satisfy PWM obligations.
Can I hire someone on a fixed-term contract in Singapore? Yes. Fixed-term contracts are permissible and Employment Act entitlements apply from day one regardless of contract type. There is no automatic conversion to permanent employment after a set number of renewals, unlike in some other Asian jurisdictions.
Does my EOR handle the EP application or do I? The EOR handles the application as the MOM-registered employer. You provide the candidate’s credentials and any supporting business documentation MOM requests. Processing timelines are MOM’s.
