Before being your online health insurance beloved provider, UEX is an SME like you, and like you we face every day some administrative constraints.
SME TIPS by UEX partners is a new serie of articles broadcast by UEX and shared by some of our best SME servicing partners, which have found great solutions to help you gain time on administrative tasks. In that way you can focus on what you are meant to do: MORE BUSINESS!
One of the services that Sleek offer, is to help your future employees get an EP on a daily basis and understand the rules and regulations that lead to MOM approvals and rejections. In this article, you will find some excerpts from Sleek’s advices about different aspect as paid-up capital, job banks and other factors to a higher likelihood of success.
Information below comes from this Sleek original article!
What is an EP?
An Employment Pass or EP issued by the Ministry of Manpower is a common work visa for professionals, managers, executives and technicians wanting to settle in this city-state. This visa allows your employees to live and work in Singapore, as well as travel in and out of the country without having to apply for entry visas.
Companies that have been in operation for several years often have an easier time getting EPs approved than startups. However, newer companies can also get their EPs approved where they can demonstrate a large amount of paid-up capital to demonstrate to MOM that they have enough liquidity to pay salaries.
Business owners looking to incorporate a company in Singapore and obtain an EP are advised to have a minimum of S$50,000 paid-up capital for a higher chance of a successful application. This is a guideline – MOM perceives companies that have a higher amount of capital to be more credible. Your paid-up capital can be made in any major currency.
Once you have decided the amount, you will be required to inject your chosen amount into the company. This money does not have to be put away in a bank account for a specific period of time. Do remember that the paid-up capital cannot be used for non-business purposes.
Under the Fair Consideration Framework (FCF), a company applying for Employment Passes must post an advertisement on Jobs Bank 2 weeks prior to sending their EP application. This framework has been put in place to strengthen the Singaporean core in the working world.
All companies in Singapore need to adhere to the Tripartite Guidelines of Fair Employment Practices. This step can only be skipped if MOM has exempted the company/job from this requirement. Posting an advertisement on Jobs Bank has to be done by the company and not the applicant personally.
What should your job advertisement include?
After posting your ad, you need to include the job posting ID in your application. If the requirements are not met, your application will be rejected. When filling out the ‘salary range’ section, we recommend that the proposed range is not too far apart. The maximum salary should not be more than 1.5-2 times of the minimum salary range.
Example: If $4,000 is your minimum amount, means your salary range should be from $4,000 to $8,000 (maximum).
You are allowed to edit your advertisement after posting it. If you make major changes to it, you will then need to keep the edited advertisement open for another 14 days.
How can you be exempted from posting an ad on Jobs Bank?
Even if you are exempted, it is strongly advised to post your job vacancies on Jobs Bank.
All of the above critical factors are important and must be followed when it comes to applying for an Employment Pass in Singapore but other factors do play a part as well:
Having an EP is not that difficult if you follow Sleek’s advices. Still need more help? Increase your chances of approval and let them handle your employee’s visa needs, contact them!
Sleek is a cloud based corporate services platform aimed at busy founders.
They incorporate companies in Singapore, and help them manage their corporate governance, accounting and tax operations using clever technology.
Launched in May 2017 by founders who were frustrated at how slow and paper-based the incorporation process was, Sleek is the first smart corporate services platform in Singapore. Since their commercial roll out in September 2017, they have incorporated hundreds of happy companies. Offering 100% digital incorporation, company secretary services, and accounting & tax compliance, they’re just getting started….
To find out more about topics about insurance for your company and your employees in Singapore, you can check out our articles.
To understand how your employees health insurance plans cover their healthcare, costs and how you can cover your business, feel free to contact the UEX team by email or by phone. We will provide you with more information and guidance – and the good news is that they are super nice!