Abuse of Criteria for Approval of EP Applications
Ministry of ManpowerSpeakers
Summary
This question concerns the criteria and safeguards for Employment Pass (EP) applications following false salary declarations by an employee of Harry’s International Pte Ltd. Mr Zaqy Mohamad asked about the specific criteria met for these approvals and the measures preventing abuse of the system. Minister Lim Swee Say explained that MOM verifies qualifications and conducts audits, with 58 employers convicted for false declarations since 2014. He noted that under the Employment of Foreign Manpower Act, offenders face fines, imprisonment, and debarment from hiring foreign workers. Finally, he highlighted that companies with unfair hiring practices face closer scrutiny and possible suspension of work pass privileges on TAFEP’s recommendation.
Transcript
5 Mr Zaqy Mohamad asked the Minister for Manpower with regard to the case where an employee of Harry's International Pte Ltd was caught with falsely declaring information on hiring 20 Employment Pass (EP) holders (a) what are the criteria which the company met to get approval for 20 EP applications; and (b) what safeguards are in place to ensure that lack of quota for EP holders in the firm is not abused.
Mr Lim Swee Say: Employment Pass (EP) applications are assessed based on a combination of factors, including educational qualifications, work experience and salary. The 20 EP applications for Harry's International Pte Ltd were approved as they met the criteria. However, their employee was subsequently found to have falsely declared the salaries in the EP applications. She was convicted in Court and fined $40,000.
The Ministry of Manpower (MOM) safeguards the integrity of our work pass framework by conducting the necessary verification on doubtful EP applications. These include checks on qualifications by overseas screening agencies or with the issuing education institutions. Employers may also be asked to show proof that the submitted qualifications are genuine and that they have the financial ability to pay the declared salaries. Audits may be conducted to ascertain if EP holders were, indeed, paid the salaries as declared.
EP applications found with doubtful qualifications will be rejected. EP applicants found to have submitted forged qualifications will also be barred from employment in Singapore. Applications with a declared salary suspected to have been inflated will also be rejected.
Strong action is taken against those who make false declarations in work pass applications. If convicted, the offender can be fined up to $20,000 and/or jailed for up to two years under the Employment of Foreign Manpower Act (EFMA). They will also be barred from hiring new or renewing work passes of their foreign workers. Members of the public who know of such offences should report the matter to MOM. Since 2014, a total of 58 employers have been convicted for making false declarations of salary in work pass applications.
While there is no EP quota, employers must consider Singaporeans fairly in hiring and career development. MOM subjects EP applications from companies which have signs of unfair employment practices to closer scrutiny. Processing of their EP applications will take longer. Where such companies do not take corrective action, MOM may, on the recommendation of Tripartite Alliance for Fair Employment Practices (TAFEP), suspend their work pass privileges.