Demystifying Work Permit Requirements in Singapore's Process Sector: A Comprehensive Guide
Compliance regulations in the process sector require specific
steps beyond just completing safety courses and adhering to quotas. There are
additional specific steps your business must take to ensure that you are hiring
legally. An HRMS Singapore
solution streamlines new hire onboarding and tracks payroll, attendance,
rostering, and leave management to eliminate the guesswork. Adaptive Pay can help you navigate these
complexities.
Our HRMS
solution in Singapore
will streamline your workflows and productivity by automating crucial HR
processes, including tax filings and payroll processing. With our platform, you
can focus on other important matters, such as fulfilling the work permit
requirements to hire qualified migrant workers.
This blog explores the work permit
requirements in Singapore's process sector, specifically focusing on Process
Construction and Maintenance (PCM) services. In addition to the general
guidelines, there are specific regulations for your business activity, the
worker's nationality, quotas, and mandatory safety training.
What business activities fall under the
process sector?
The process sector encompasses factories that
manufacture essential products like petroleum, petrochemicals, pharmaceuticals,
and speciality chemicals. Production in these industries relies heavily on specialised
machinery and equipment.
Maintaining and building these production
units (PCM works) requires a unique skill set that is handled by PCM
contractors. These contractors collaborate with plant owners, engineering
firms, and construction companies to ensure the safe and efficient construction
and maintenance of these units.
What are the company requirements for PCM
services?
Your business must be a registered member of
the Association of the Process Industry (ASPRI). To hire foreign PCM workers,
you also need ASPRI endorsement as a PCM contractor and inclusion on the PCM
Controlled List.
Go to ASPRI's website for more information on
membership and registration.
What are the worker requirements and
limitations in the process sector?
Migrant workers with PCM work permits can
only perform activities related to construction, equipment breakdown, and
preventive maintenance. They're not allowed to participate in plant
operations like operating equipment, warehousing, or packing. Similarly, tasks
like grass cutting, office cleaning, or waste disposal fall outside their
permitted duties.
Who can you hire?
Your business can only employ migrant workers
who satisfy specific requirements in terms of source region or country, age at
the time of application, and maximum employment periods. Here’s the breakdown:
1. Source regions
and countries
·
Malaysia
·
People's Republic of China (PRC)
·
Non-traditional sources (NTS) like
India, Thailand, and the Philippines
·
North Asian sources (NAS) like
Hong Kong and South Korea
2. Age requirements
All non-domestic migrant workers must be at
least 18 years old.
Malaysian workers can hold work permits until
they are 58, while non-Malaysian workers have a stricter age limit of 50 for
work permit applications.
3. Maximum
employment period
Migrant workers on work permits in
Singapore's process sector can stay for varying lengths depending on their
skill level and source country.
Workers from NTS and the PRC can hold a work
permit for a maximum of 14 years if they're classified as basic-skilled (R2).
This goes up to 26 years for higher-skilled (R1) workers.
Those coming from NAS and Malaysia are not
subject to a maximum employment period. That said, note that all workers are
only allowed to work until they are 60 years old.
Important note: This information provides a
general overview. Consult with relevant authorities for the latest regulations
on work permits in the process sector.
What are the quotas and levies?
Hiring migrant workers in
Singapore follows a quota system called the dependency ratio ceiling. This
means the number of foreign workers you can hire depends on the number of local
employees earning a specific minimum salary (Local Qualifying Salary).
Additionally, there's a
government levy charged on top of the salary for each foreign worker. The levy
amount varies based on the worker's skill level (tier) and their source
country.
Confused by the regulations? Our HRMS software in Singapore
simplifies the process by automating calculations related to quotas and levies
specifically for the process sector.
What safety courses are required?
All process sector workers are required to take these safety
courses before they start working:
·
OPSOC (Oil
Petroleum Safety Orientation Course)
·
CSOC
(Construction Safety Orientation Course)
Keep your workers happy.
Use Adaptive Pay as your HRMS
in Singapore to create a
better workplace. Our all-in-one cloud-based HR solution will simplify how you
manage your business for a fixed price every year without hidden costs. Request
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