Foreign worker quota
Dependency ratio ceiling
Just Tell Me
A foreign worker quota limits how many workers a Singapore company can employ under certain work passes, based on its workforce and sector.
Also called: Dependency ratio ceiling, DRC, Foreign-worker quota
Explain Like I’m Five
A company may have a vacancy without having room under its foreign worker quota. For the Work Permit and S Pass workforce covered by these rules, the limit relates to the company’s sector and its counted local workforce. It is a hiring headcount limit, separate from the money paid as a levy.
Where You’ll Run Into It
In a Singapore employer’s discussion about hiring migrant workers or in MOM manpower information. The term “dependency ratio ceiling” describes the maximum permitted share of a company’s workforce under the relevant foreign-worker rules; S Pass hiring also has its own cap within the overall limit.
MOM uses the company’s CPF account information to determine its counted local workforce.
Example
“The restaurant has a vacancy, but the manager says there is no quota for another Work Permit holder.”
The manager is describing a workforce limit, rather than saying there is no job to fill. This illustrates the phrase, without establishing that restaurant’s actual quota.
The Part People Get Wrong
A levy is a recurring charge to the employer, not extra headcount bought beyond the quota. Work Permit and S Pass rules should not be carried over to the Employment Pass: MOM lists EP as having no foreign worker quota or levy requirement.
Sources
Related
- workEmployment Pass (EP)Updated
An Employment Pass is a Singapore work pass for foreign professionals, managers and executives who meet its requirements; it is distinct from permanent residence.
- moneyCPFUpdated
CPF is Singapore’s Central Provident Fund, a social security savings system supporting retirement, housing and healthcare for citizens and permanent residents.
- workMOM (Ministry of Manpower)Updated
MOM is Singapore’s Ministry of Manpower, responsible for workforce and workplace policies, including employment conditions, workplace safety and foreign manpower.