May 2023 / Singapore

The new Part-Time re-employment grant (PTRG) is part of the Government Assistance programs outlined in Singapore's FY2023 Budget Statement. These initiatives encompass grants, loans and tax incentives. For a deeper understanding of Singapore's budget statement, please refer to Overview of Tax Changes – Singapore Budget 2023.

Specifically, among the various grant types established by the Singaporean government, the first program is the Part-Time Re-employment Grant (PTRG). The PTRG aims to assist companies in implementing part-time re-employment flexible work arrangements (FWA), and structured career planning (SCP) for senior workers.

Companies that have been approved for the New Part-Time Re-employment Grant (PTRG) are required to provide their employees with the opportunity to reduce their work intensity and transition into part-time work arrangements during the re-employment phase. In cases where a suitable part-time position cannot be identified, eligible employees will be entitled to receive an Employment Assistance Payment as a form of support.

Companies of all types registered or incorporated in Singapore, including societies, non-profit organizations such as charities and voluntary welfare organizations, are eligible to register for the New PTRG.

In order to qualify for the grant, companies must meet certain criteria:

1. Have at least one senior worker aged 60 years and above at the time of application and claim.
2. Provide part-time re-employment opportunities to eligible senior workers upon their request.
3. Adopt the Tripartite Standard on Age-Friendly Workplace Practices.
4. Adopt the Tripartite Standard on Flexible Work Arrangements.
5. Offer Flexible Work Arrangements (FWAs) and implement Structured Career Planning (SCP) as part of their formal HR policy.
6. Commit to providing SCP to mature employees aged 45 and above in their HR policy.
7. Send one senior management representative and one HR practitioner to attend a fully funded SCP workshop for senior management and HR practitioners, respectively, conducted by Singapore National Employers Federation (SNEF).

Should you require further information, do not hesitate to contact us at info@diacrongroup.com 

Singapore's allure derives not only from its promising business prospects but also from the wealth of talent it possesses. Ranked 2nd globally and 1st in the regional group in the esteemed Global Talent Competitiveness Index (GTCI)(*), the country boasts a highly educated and skilled workforce, in fact over 30 percent of Singapore's workforce possesses a university degree, while an additional 15 percent have earned a diploma or professional qualification(**).

In line with Singapore's commitment to attract the best and most competitive talent, the Ministry of Manpower (MOM) will update its foreign work policies and implement changes to the Employment Pass Eligibility framework (EP) to strengthen the quality of EP holders and their ability to complement the local workforce effectively.

MOM's forthcoming adjustments encompass two key aspects:

• raising the qualifying salary for Employment Pass (EP) renewals
• introducing a points-based Complementarity Assessment Framework (COMPASS) for EP applications.

These changes apply progressively as per below table:

EP applications undergo evaluation based on four fundamental criteria, categorized into individual attributes and firm-related attributes. In terms of individual attributes, points are assigned based on salary relative to local PMET (Professionals, Managers, Executives and Technicians) norms for the sector and qualifications. Likewise, points are allocated for the firm's attributes, encompassing diversity (contributing to national diversity within the organization) and support for local employment (compared to industry peers in terms of local PMET representation).

These criteria are scored as follows:

• 20 points for exceeding expectations,
• 10 points for meeting expectations,
• 0 points for not meeting expectations.

To pass the COMPASS assessment, an application must achieve a total of 40 points while meeting the required expectations.

Should an application fall short, there are opportunities to earn additional points. This can be accomplished by exceeding expectations in other foundational criteria or by attaining bonus points through the Skills Bonus (applicable to candidates in roles with skills shortages) or the Strategic Economic Priorities Bonus (pertaining to partnerships with the government for ambitious innovation or internationalization initiatives).

Some exemption from COMPASS will apply to your candidate if any of the following conditions are met:

• Earning a fixed monthly salary of at least $22,500, which aligns with the prevailing Fair Consideration Framework job advertising exemption starting from 1 September 2023.
• Applying as an overseas intra-corporate transferee under the World Trade Organisation’s General Agreement on Trade in Services or an applicable Free Trade Agreement that Singapore is party to.
• Occupying a short-term role lasting one month or less.

 

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(*)the Global Talent Competitiveness Index (GTCI) 2022 is a report that provides a comprehensive annual benchmarking which measures how countries and cities grow, attract and retain talent, Singapore ranks second overall and first in the regional group (i.e. Eastern, Southeastern Asia and Oceania). (**)Economic Development Board: Business, Innovation & Talent | Singapore EDB