Employment of Foreign Workers (Levy) Order

Employment of Foreign Workers Act

(CHAPTER 91A, Section 11(1))

O 1

G.N. No. S 476/1990

REVISED EDITION 1990

(25th March 1992)

[1st January 1991]

Citation

1. This Order may be cited as the Employment of Foreign Workers (Levy) Order.

Definitions

2. For the purposes of this Order —

“construction worker” means any person who is engaged in any occupation in the construction industry;

“domestic worker” means any person employed in or in connection with the domestic services of any private premises;

“foreign manufacturing worker” means any foreign worker who is engaged in any occupation in the manufacturing industry and includes any foreign manufacturing trainee undergoing training with an approved employer;

“harbour craft worker” means any person who is engaged in any capacity on board any harbour craft;

“harbour craft” has the same meaning as in the Port of Singapore Authority Act;

“marine worker” means any person who is engaged in any occupation in the marine industry;

“skilled construction worker” means a construction worker who holds a trade certificate issued or recognised by the Construction Industry Development Board;

“skilled harbour craft worker” means a harbour craft worker who holds a licence issued by the Maritime and Port Authority of Singapore or possesses such other qualifications or work experience as may be recognised by that Authority;

“skilled marine worker” means a marine worker who has passed a test in one of the approved marine-related skills conducted or recognised by the former Vocational and Industrial Training Board;

“unskilled construction worker” means a construction worker who does not hold a trade certificate issued or recognised by the Construction Industry Development Board;

“unskilled harbour craft worker” means a harbour craft worker who does not hold a licence issued by the Maritime and Port Authority of Singapore or does not possess such other qualifications or work experience as may be recognised by that Authority;

“unskilled marine worker” means a marine worker who has not passed a test in one of the approved marine-related skills conducted or recognised by the Vocational and Industrial Training Board.

Levy on every employer of foreign workers

3.—(1) Subject to this Order, there shall be imposed on every employer a levy at the appropriate rate specified in this paragraph in respect of each of his foreign workers.

Foreign workers other than those specified in this paragraph

(2) The levy payable in respect of any foreign worker (other than those mentioned in this paragraph) shall be at the rate of $330 for every calendar month, and where any foreign worker is employed for part of a month, the levy payable for that month shall be at the rate of $11 for each day during which the foreign worker is employed in that month.

Domestic workers

(3) The levy payable in respect of any domestic worker shall be at the rate of $330 for every calendar month, and where any domestic worker is employed for part of a month, the levy payable for that month shall be at the rate of $11 for each day during which the domestic worker is employed in that month.

Skilled construction workers

(4) The levy payable in respect of any skilled construction worker shall be at the rate of $200 for every calendar month, and where any skilled construction worker is employed for part of a month, the levy payable for that month shall be at the rate of $7 for each day during which the skilled construction worker is employed in that month subject to a maximum of $200 in the aggregate.

Unskilled construction workers

(5) The levy payable in respect of any unskilled construction worker shall be at the rate of $440 for every calendar month, and where any unskilled construction worker is employed for part of a month, the levy payable for that month shall be at the rate of $15 for each day during which the unskilled construction worker is employed in that month subject to a maximum of $440 in the aggregate.

Change in skill level of construction workers before 1st January 1991

(6) Where an unskilled construction worker for whom the higher levy of $440 is payable becomes a skilled construction worker before 1st January 1991, his employer may apply in the form required by the Controller to pay the lower levy of $200 in respect of that worker. The higher levy shall continue to be payable pending the approval of the Controller for the conversion from the higher levy to the lower levy up to the last day of the month in which the application for conversion is approved by the Controller. The lower levy of $200 shall be payable from the 1st day of the month following the month in which the application for conversion is approved by the Controller.

Change in skill level of construction workers after 1st January 1991

(7) Where an unskilled construction worker for whom the levy is payable becomes a skilled construction worker on or after 1st January 1991, the Construction Industry Development Board shall send a notification of the change in the skill level of the unskilled construction worker to the Controller. The higher levy of $440 shall be payable up to the last day of the month in which the notification from the Construction Industry Development Board is received by the Controller. The lower levy of $200 shall be payable from the 1st day of the month following the month in which the notification is received by the Controller.

Skilled marine workers

(8) The levy payable in respect of any skilled marine worker shall be at the rate of $200 for every calendar month, and where any skilled marine worker is employed for part of a month, the levy payable for that month shall be at the rate of $7 for each day during which the skilled marine worker is employed in that month subject to a maximum of $200 in the aggregate.

Unskilled marine workers

(9) The levy payable in respect of any unskilled marine worker shall be at the rate of $385 for every calendar month, and where any unskilled marine worker is employed for part of a month, the levy payable for that month shall be at the rate of $13 for each day during which the unskilled marine worker is employed in that month subject to a maximum of $385 in the aggregate.

Change in skill level of marine workers

(10) Where an unskilled marine worker for whom the higher levy of $385 is payable becomes a skilled marine worker, his employer may apply, in the form required by the Controller, to pay the lower levy of $200 in respect of that worker. The higher levy shall continue to be payable pending the approval of the Controller for the conversion from the higher levy to the lower levy up to the last day of the month in which the application for conversion is approved by the Controller. The lower levy of $200 shall be payable from the 1st day of the month following the month in which the application for conversion is approved by the Controller.

Levy payable by an employer where percentage of foreign manufacturing workers does not exceed 35% on or after 1st April 1995

(11) Where on or after 1st April 1995 an employer’s percentage of foreign manufacturing workers does not exceed 35% of his total number of workers, the levy payable in respect of each foreign manufacturing worker shall be at the rate of $330 for every calendar month, and where any foreign manufacturing worker is employed for part of a month, the levy payable for that month shall be at the rate of $11 for each day during which the foreign manufacturing worker is employed in that month.

Levy payable by an employer where percentage of foreign manufacturing workers exceeds 35% on or after 1st April 1995

(12) Subject to sub-paragraphs (13) and (15), where on or after 1st April 1995 an employer’s percentage of foreign manufacturing workers exceeds 35% of his total number of workers, the levy payable in respect of each foreign manufacturing worker in excess of the 35% shall be at the rate of $450 for every calendar month, and where any foreign manufacturing worker is employed for part of a month, the levy payable for that month shall be at the rate of $15 for each day during which the foreign manufacturing worker is employed in that month.

Where percentage of foreign manufacturing workers exceed 35% due to a reduction in number of local workers on or after 1st April 1995

(13) Where an employer’s percentage of foreign manufacturing workers exceeds 35% of his total number of workers on or after 1st April 1995 because of a reduction in the number of his local workers, the levy payable in respect of each foreign manufacturing worker in excess of the 35% shall continue to be at the rate of $330 for every calendar month, and where any foreign manufacturing worker is employed for part of a month, the levy payable for that month shall continue to be at the rate of $11 for each day during which the foreign manufacturing worker is employed in that month until the expiry or cancellation of the work permit.

Where percentage of foreign manufacturing workers is reduced to 35% and below on or after 1st April 1995

(14) Where an employer’s percentage of foreign manufacturing workers is reduced to 35% or below of his total number of workers on or after 1st April 1995, the employer may apply, in the form required by the Controller, to convert to the lower levy of $330 in respect of each foreign manufacturing worker for whom the higher levy of $450 is payable. The higher levy shall continue to be payable pending the approval of the Controller. On approval being granted by the Controller, the lower levy of $330 shall be payable from the 1st day of the month following the month in which the application for conversion is approved.

Levy payable by an employer for each foreign manufacturing trainee who is undergoing training with an approved employer on or after 1st April 1995

(15) (a) Where on or after 1st April 1995 an employer’s percentage of foreign manufacturing workers exceeds 35% of his total number of workers, the levy payable in respect of each foreign manufacturing trainee who is issued with a work permit for the purpose of undergoing training with an approved employer shall be at the rate of $330 for every calendar month, and where any such foreign manufacturing trainee is employed for part of a month, the levy payable for that month shall be at the rate of $11 for each day during which the foreign manufacturing trainee is employed in that month.

Approved employer

(b)

For the purposes of this sub-paragraph, “approved employer” means an employer approved by the Controller.

Levy payable upon renewal of work permits of manufacturing workers on or after 1st April 1995

(16) Where an employer renews the work permit of his foreign manufacturing workers on or after 1st April 1995, the appropriate rate of levy upon renewal shall be paid from the first day of the month following the month of the renewal of the work permits.

Skilled harbour craft workers

(17) The levy payable in respect of any skilled harbour craft worker shall be at the rate of $200 for every calendar month, and where any skilled harbour craft worker is employed for part of a month, the levy payable for that month shall be at the rate of $7 for each day during which the skilled harbour craft worker is employed in that month subject to a maximum of $200 in the aggregate.

Unskilled harbour craft workers

(17A) The levy payable in respect of any unskilled harbour craft worker shall be at the rate of $330 for every calendar month, and where any unskilled harbour craft worker is employed for part of a month, the levy payable for that month shall be at the rate of $11 for each day during which the unskilled harbour craft worker is employed in that month subject to a maximum of $330 in the aggregate.

Change in skill level of harbour craft workers

(17B) When an unskilled harbour craft worker for whom the higher levy of $330 is payable becomes a skilled harbour craft worker, his employer may apply, in the form required by the Controller, to pay the lower levy of $200 in respect of that worker. The higher levy shall continue to be payable pending the approval of the Controller for the conversion from the higher levy to the lower levy up to the last day of the month in which the application for conversion is approved by the Controller. The lower levy of $200 shall be payable from the 1st day of the month following the month in which the application for conversion is approved by the Controller.

Controller to determine percentage of foreign manufacturing workers

(18) For the purposes of sub-paragraphs (11) to (16), where any question arises as to whether an employer’s percentage of foreign manufacturing workers exceeds the amount referred to in those sub-paragraphs, the question shall be determined by the Controller.

Foreign worker with suitable academic qualifications or work experience

(19) Notwithstanding the preceding sub-paragraphs, the levy payable in respect of a foreign worker who has such academic qualifications, skills, capabilities, work experience or any combination thereof or who satisfies such other criteria, as the Minister may determine shall be at the rate of $200 for every calendar month, and where such worker is employed for part of a month, the levy payable for that month shall be at the rate of $7 for each day during which the worker is employed in that month.

(20) The rate of levy under sub-paragraph (19) shall apply with effect from the date of issue or first renewal of work permits on or after 1st May 1996.

Schedule

(21) Unless otherwise provided for in this paragraph, the levy shall be collected and paid with effect from the appropriate dates set out in the Schedule.

Permanent residents

4.—(1) Where a foreign worker who is on work permit and in respect of whom levy is payable becomes a permanent resident of Singapore, the levy payable shall cease on the day he becomes a permanent resident.

(2) Where a foreign worker who is a permanent resident of Singapore ceases to be a permanent resident of Singapore, the levy payable shall be charged from the day he is issued a work permit by the Controller.

(3) For the purposes of this paragraph, “permanent resident” includes the holder of a Singapore blue identity card and a person who holds an entry permit issued by the Controller of Immigration.

Time for payment of levy

5. The levy payable by any employer shall be paid not later than 14 days after the end of the month in respect of which the levy is payable.

Penalty

6. Any sum due by way of penalty under section 11(4) of the Act shall be paid within 14 days of a demand by any employment inspector.

Refund

7.—(1) Any employer who wishes to make a claim for a refund of any amount paid by him under this Order shall do so in writing to the Controller within one year after the end of the month in respect of which the levy has been paid.

(2) Where the Controller is satisfied that a refund is to be made to the employer for any amount which is not due from the employer or for any amount which ought to be waived in the circumstances of the case, the Controller may —

(a)	set off the amount against any amount of levy due and payable by the employer under this Order in respect of any worker; or
(b)	refund to the employer the amount.

(3) Notwithstanding sub-paragraphs (1) and (2), where the Controller is satisfied that —

(a)	an employer has paid an amount by way of levy which was not due from him under this Order; and
(b)	less than one year has passed since the end of the month in respect of which the levy has been paid,

the Controller may, on his own accord —

(i)	use the amount to set off any other levy that is due and payable by the employer under this Order in respect of any worker and any penalty imposed on such levy; or
(ii)	refund to the employer the amount.

Exemption

8. The Minister, or such other person as he may in writing authorise, may in his discretion exempt any person or class of persons from any or all of the provisions of this Order.

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