As a trusted Singapore recruitment firm, we understand the importance of staying ahead of regulatory updates that directly affect your workforce strategy. A key change coming into effect on 1 July 2024 is the revised Local Qualifying Salary (LQS), which influences your company’s foreign worker quota and eligibility for employment passes.
🧾 What is the Local Qualifying Salary (LQS)?
The Local Qualifying Salary is a salary benchmark used by the Ministry of Manpower (MOM) to determine whether a Singaporean or Permanent Resident employee can be counted towards the company’s local workforce when calculating the quota for foreign hiring.
Starting 1 July 2024, the updated LQS requirements are:
| Employment Type | Current LQS | New LQS (Effective 1 July 2024) |
| Full-Time | At least $1,400/mo | At least $1,600/mo |
| Part-Time | At least $9.00/hr | At least $10.50/hr |
👥 Foreign Worker Quota Impact
This update directly affects your manpower planning and foreign workforce allocation:
| Salary Bracket | Before 1 July 2024 | After 1 July 2024 |
| ≥ $1,400 | Counts as 1 local employee | ≥ $1,600 = 1 local employee |
| $700 – $1,399 | Counts as 0.5 employee | $800 – $1,599 = 0.5 employee |
To maximise your foreign worker quota, it’s essential to ensure your local employees meet the updated salary benchmarks.
📌 How Employers Should Respond
This policy shift is a timely reminder to audit your workforce structure. Whether you’re relying on contract staff, work pass holders, or permanent hires, ensuring compliance is key.
✅ Key Steps to Take:
- Review and adjust your local employees’ salaries
- Plan for employment pass and work permit renewals
- Reassess your workforce mix and budget
- Seek guidance from a licensed recruitment agency in Singapore
💼 How We Can Support You
At Kanry, we specialise in end-to-end manpower solutions:
- Recruitment Services: Access a pipeline of screened and qualified local and foreign candidates
- Work Pass & Employment Pass Applications: Let us manage the compliance so you can focus on growth
- Payroll Outsourcing: Save time and ensure accuracy with our tailored payroll solutions
- Contract & Temporary Staffing: Quickly fill urgent roles while staying within quota guidelines
- Manpower Planning: Get expert advice to optimise your local-to-foreign workforce ratio
With a proven track record and over 150 Google reviews, Kanry is the go-to manpower company for businesses navigating Singapore’s dynamic employment regulations.
Click here to access MOM’s official guide
https://www.mom.gov.sg/employment-practices/progressive-wage-model/local-qualifying-salary
