Some information on the increase in foreign worker levy for the manufacturing industry in Singapore and how to reduce the costs associated with it.

1. Increase in Foreign Worker Levy
Foreign Worker Levy have been increasing on a yearly basis since 2013.
The Ministry of Manpower (MOM) released a schedule of levy changes
which will take effect each July until 2015.

2. Schedule for foreign worker levy changes
Work Permit - Manufacturing
1 July 2013 1 July 2014 1 July 2015
DR Levy ($)
Skilled/Unskilled
DR Levy ($)
Skilled/Unskilled
DR Levy ($)
Skilled/Unskilled
≤ 25% 250/350 ≤ 25% 250/370 ≤ 25% 250/400
25-50% 350/450 25-50% 350/470 25-50% 350/500
50-60% 550 50-60% 550/650 50-60% 550/700

3. 350
450
550
370
470
650
400
500
700
0
100
200
300
400
500
600
700
800
Basic Tier Tier 2 Tier 3
Foreign Worker Levy for Unskilled
WP holders in manufacturing
Jul-13 Jul-14 Jul-15

4. 3000
4200
6600
4800
6000
8400
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
Tier 1 Tier 2 Tier 3
Skilled Unskilled
Skilled vs Unskilled Levy wef July 2015

5. What does this mean for you?
Foreign Worker levies remains the same for skilled workers while levies
for unskilled workers are increasing on a yearly basis since 2013.
Levy rates are so high, they can be half or more than half of a foreign
worker’s wages.
MOM has made a clear bias towards skilled workers.
Consider sending workers to the Certificate in General Manufacturing
course for lower levy conversion.

6. WSQ Certificate in Generic Manufacturing Skills –
Integrated Assessment Pathway (CGM-IAP)
• 2 day programme
• Training on first day, assessment on second day
• For manufacturing workers in manufacturing industry.
• Eg. Precision Engineering & Aerospace sectors
• 5 areas of training and assessment
• WSQ Teamwork in the Workplace
• WSQ Apply 5S Techniques in Manufacturing
• WSQ Apply Quality System
• WSQ Use Hand Tools
• WSQ Operate Basic Measuring Devices

7. Where can you find CGM-IAP training?
NTUC LearningHub is a quality training provider with 10 years of experience in providing
quality training.
With training at $342.40 w/GST per worker, the Return On Investment (ROI) is less than 3
months. Once trained, your company will be saving $1800 per year, for each worker.
Call 6665 1321 or visit www.ntuclearninghub.com for more information.