Differences Between PEP and EP

Historical content: The original text below is not current application guidance. Use the dated update above.

When it comes to work passes in Singapore, two options available to foreigners are the Employment Pass (EP) and the Personalised Employment Pass (PEP). Let’s explore the key differences between these two passes:

Employment Pass (EP):

• Designed for foreign professionals, managers, and executives earning a minimum of S$5,000 per month, with higher salary requirements for older and more experienced candidates (up to S$10,500 for those in their mid-40s).
• Financial services sector candidates must earn at least S$5,500 per month, with higher salary requirements for older candidates (up to S$11,500 for mid-40s).
• The validity of the EP is typically 2 years for new applications and 3 years for renewals.
• EP holders need to apply for a new EP if they plan to change employers.
• No foreign worker levy or quota is required.
• EP holders can hold directorship and/or shareholding positions in a company.
• The EP application process takes approximately 3 weeks.
• EP holders meeting specific salary thresholds can apply for long-term passes for their spouse, children, and parents.

Personalised Employment Pass (PEP):

• Targeted at overseas foreign professionals earning over S$18,000 per month and EP holders earning at least S$12,000 per month (rising to S$22,500 from 1 Sep 2023).
• Unlike the EP, the PEP is not tied to a specific employer and offers greater flexibility. PEP holders can switch employers within the validity period without needing a new PEP.
• PEP holders can remain without a job for up to 6 months while searching for new employment.
• The PEP is valid for 3 years and is not renewable upon expiry.
• PEP is a one-time issued pass, and holders cannot obtain another PEP once it expires or is cancelled.
• No foreign worker levy or quota is required.
• PEP holders are restricted from being directors and/or sole shareholders of a company.
• The PEP application process takes approximately 8 weeks.
• PEP holders meeting specific salary thresholds are eligible to apply for long-term passes for their spouse, children, and parents.

In conclusion, EP and PEP are distinct work passes catering to different types of candidates. It is essential to thoroughly understand the differences and requirements associated with each pass before proceeding with your application.

If you have any company-related queries, you may email us at [email protected]. When in doubt, seek legal advice or consult an experienced licensed Employment Agency with the Ministry of Manpower.

Yours Sincerely,
The editorial team at Singapore Employment Agency

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Little Big Employment Agency Pte Ltd is a licensed Employment Agency with the Ministry of Manpower with license number 19C9790.