The LQS stipulates the amount of monthly salary an employer must pay local workers if they want to hire foreigners on work permits and S Passes, which allow mid-level skilled staff to work in Singapore. Singaporean nationals employed under a contract of employment count as one local employee if they earn the LQS of SG$1,300 or more per month, and as 0.5 of a local employee if they earn half of the LQS (between SG$650 and SG$1,300 per month). From 1 July 2020, the LQS will increase from SG$1,300 to SG$1,400, and the LQS for a 0.5 local employee will increase from SG$650 to SG$700.
The Employment Pass is a type of work permit for foreign professionals who have a job offer; work in managerial, executive or specialized jobs; and who have acceptable academic or professional qualifications. From 1 May 2020, the minimum monthly qualifying salary for the Employment Pass will increase from SG$3,600 to SG$3,900 for new applications, and the increased rate will apply to renewal applications from 1 May 2021. The salary criteria for older, more experienced candidates also will increase.