Employment of Foreign Workers (Levy) (Amendment No. 2) Order 2005

No. S 433

Employment of Foreign Workers Act

(Chapter 91A)

Employment of Foreign Workers (Levy) (Amendment No. 2) Order 2005

In exercise of the powers conferred by section 11(1) of the Employment of Foreign Workers Act, the Minister for Manpower hereby makes the following Order:

Citation and commencement

1. This Order may be cited as the Employment of Foreign Workers (Levy) (Amendment No. 2) Order 2005 and shall come into operation on 1st July 2005.

Amendment of paragraph 2

2. Paragraph 2 of the Employment of Foreign Workers (Levy) Order (O 1) (referred to in this Order as the principal Order) is amended by inserting, immediately after the definition of “skilled process construction and maintenance worker”, the following definitions:

“ “S Pass” means any work permit designated by the Controller as an S Pass;

“threshold percentage”, in relation to an employer’s foreign workers, means —

(a)	in the case of foreign workers referred to in paragraphs 4 to 4C, 30% of the employer’s total number of workers;
(b)	in the case of foreign manufacturing workers, 40% of the employer’s total number of workers; or
(c)	in the case of conservancy workers, 40% of the employer’s total number of workers;”.

Deletion and substitution of paragraph 4 and new paragraphs 4A, 4B and 4C

3. Paragraph 4 of the principal Order is deleted and the following paragraphs substituted therefor:

“Levy payable by employer where percentage of foreign workers other than those specified in other paragraphs does not exceed 30%

4. Subject to paragraph 4B, where at any time on or after 1st July 2005, the number of an employer’s foreign workers (other than those specified in the other paragraphs) expressed as a percentage of his total number of workers does not exceed the threshold percentage for those foreign workers, the levy payable in respect of each foreign worker shall be —

(a)	at the rate of $240 for every calendar month; and
(b)	where the foreign worker is employed for part of a month, at the rate of $8 for every day during which the foreign worker is employed in that month, subject to a maximum of $240 in the aggregate.

Levy payable by employer where percentage of foreign workers exceeds 30%

4A.—(1) Subject to paragraph 4C, where at any time on or after 1st July 2005, the number of an employer’s foreign workers (other than those specified in the other paragraphs) expressed as a percentage of his total number of workers exceeds the threshold percentage for those foreign workers —

(a)

the levy payable in respect of each foreign worker not exceeding the threshold percentage shall be at the rate specified in paragraph 4; and

(b)

unless the Controller otherwise allows under sub-paragraph (2), the levy payable in respect of each foreign worker exceeding the threshold percentage shall be —

(i)	at the rate of $500 for every calendar month; and
(ii)	where the foreign worker is employed for part of a month, at the rate of $17 for every day during which the foreign worker is employed in that month, subject to a maximum of $500 in the aggregate.

(2) The Controller may, in his discretion, allow an employer to pay the levy at the rate specified in paragraph 4 regardless of the number of the employer’s foreign workers when expressed as a percentage of his total number of workers.

Where percentage of foreign workers is reduced to 30% or below

4B.—(1) The levy payable by an employer under paragraph 4A(1)(b) in respect of any of his foreign worker shall continue unchanged in respect of that foreign worker even though the number of his foreign workers (other than those specified in the other paragraphs) expressed as a percentage of his total number of workers subsequently falls below or is reduced to the threshold percentage for those foreign workers, unless the Controller —

(a)	renews the work permit of that foreign worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 4 or 26 in respect of that foreign worker.

(2) Any change in the rate of levy permitted under sub-paragraph (1)(a) or (b) shall take effect only from the first day of the month following the month in which the work permit is renewed or the application to the Controller is approved, whichever first occurs.

Where percentage of foreign workers exceeds 30% due to reduction in number of local workers

4C.—(1) The levy payable by an employer under paragraph 4 in respect of any of his foreign worker shall continue unchanged in respect of that foreign worker even though the number of his foreign workers expressed as a percentage of his total number of workers exceeds the threshold percentage for those foreign workers because of a subsequent reduction in the number of his local workers, unless the Controller —

(a)	renews the work permit of that foreign worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 4 or 26 in respect of that foreign worker.

(2) Any change in the rate of levy permitted under sub-paragraph (1)(a) or (b) shall only take effect from the first day of the month following the month in which the work permit is renewed or the application to the Controller is approved, whichever first occurs.”.

Amendment of paragraph 5

4. Paragraph 5 (1) of the principal Order is amended —

(a)	by inserting, immediately after the words “in that month” in sub-paragraph (a)(ii), the words “, subject to a maximum of $200 in the aggregate”; and
(b)	by inserting, immediately after the words “in that month” in sub-paragraph (b)(ii), the words “, subject to a maximum of $295 in the aggregate”.

Amendment of paragraph 6

5. Paragraph 6 of the principal Order is amended —

(a)	by deleting “$50” in sub-paragraphs (a) and (b) and substituting in each case “$80”; and
(b)	by deleting “$2” in sub-paragraph (b) and substituting “$3”.

Amendment of paragraph 9

6. Paragraph 9 of the principal Order is amended —

(a)	by deleting “$50” in sub-paragraphs (a) and (b) and substituting in each case “$80”; and
(b)	by deleting “$2” in sub-paragraph (b) and substituting “$3”.

Deletion and substitution of paragraphs 12 to 15 and new paragraphs 15A and 15B

7. Paragraphs 12 to 15 of the principal Order are deleted and the following paragraphs substituted therefor:

“Levy payable by employer where percentage of foreign manufacturing workers does not exceed 40%

12. Subject to paragraph 15, where at any time on or after 1st July 2005, the number of an employer’s foreign manufacturing workers expressed as a percentage of his total number of workers does not exceed the threshold percentage for those foreign manufacturing workers, the levy payable in respect of each foreign manufacturing worker shall be —

(a)	at the rate of $240 for every calendar month; and
(b)	where the foreign manufacturing worker is employed for part of a month, at the rate of $8 for every day during which the foreign manufacturing worker is employed in that month, subject to a maximum of $240 in the aggregate.

Levy payable by employer where percentage of foreign manufacturing workers exceeds 40% but does not exceed 50%

13. Subject to paragraphs 15A and 15B, where at any time on or after 1st July 2005, the number of an employer’s foreign manufacturing workers expressed as a percentage of his total number of workers exceeds the threshold percentage for those workers but does not exceed 50% —

(a)

the levy payable in respect of each foreign manufacturing worker not exceeding the threshold percentage shall be at the rate specified in paragraph 12; and

(b)

the levy payable in respect of each foreign manufacturing worker exceeding the threshold percentage shall be —

(i)	at the rate of $310 for every calendar month; and
(ii)	where the foreign manufacturing worker is employed for part of a month, at the rate of $11 for every day during which the foreign manufacturing worker is employed in that month, subject to a maximum of $310 in the aggregate.

Levy payable by employer where percentage of foreign manufacturing workers exceeds 50%

14.—(1) Subject to paragraph 15B, where at any time on or after 1st July 2005, the number of an employer’s foreign manufacturing workers expressed as a percentage of his total number of workers exceeds 50% —

(a)

the levy payable in respect of each foreign manufacturing worker not exceeding the threshold percentage shall be at the rate specified in paragraph 12;

(b)

the levy payable in respect of each foreign manufacturing worker exceeding the threshold percentage but not exceeding 50% of the employer’s total number of workers shall be at the rate specified in paragraph 13; and

(c)

unless the Controller otherwise allows under sub-paragraph (2), the levy payable in respect of each foreign manufacturing worker exceeding 50% of the employer’s total number of workers shall be —

(i)	at the rate of $500 for every calendar month; and
(ii)	where the foreign manufacturing worker is employed for part of a month, at the rate of $17 for every day during which the foreign manufacturing worker is employed in that month, subject to a maximum of $500 in the aggregate.

(2) The Controller may, in his discretion, allow an employer to pay the levy at the rate specified in paragraph 12 or 13(b) regardless of the number of the employer’s foreign manufacturing workers when expressed as a percentage of his total number of workers.

Where percentage of foreign manufacturing workers is reduced to 40% or below

15.—(1) The levy payable by an employer under paragraph 13(b) in respect of any of his foreign manufacturing worker shall continue unchanged in respect of that foreign manufacturing worker even though the number of his foreign manufacturing workers expressed as a percentage of his total number of workers subsequently falls below or is reduced to the threshold percentage for those foreign manufacturing workers, unless the Controller —

(a)	renews the work permit of that foreign manufacturing worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 12 or 26 in respect of that foreign manufacturing worker.

Where percentage of foreign manufacturing workers is reduced to 50% or below

15A.—(1) The levy payable by an employer under paragraph 14(1)(c) in respect of any of his foreign manufacturing worker shall continue unchanged in respect of that foreign manufacturing worker even though the number of his foreign manufacturing workers expressed as a percentage of his total number of workers subsequently falls below or is reduced to 50% of his total number of workers, unless the Controller —

(a)	renews the work permit of that foreign manufacturing worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 12, 13(b) or 26 in respect of that foreign manufacturing worker.

Where percentage of foreign manufacturing workers exceeds 40% or 50% due to reduction in number of local workers

15B.—(1) The levy payable by an employer under paragraph 12 or 13(b) in respect of any foreign manufacturing worker of his shall continue unchanged in respect of that foreign manufacturing worker even though the number of his foreign manufacturing workers expressed as a percentage of his total number of workers exceeds the threshold percentage or, as the case may be, 50% of his total number of workers because of a subsequent reduction in the number of his local workers, unless the Controller —

(a)	renews the work permit of that foreign manufacturing worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 12, 13(b) or 26, as the case may be, in respect of that foreign manufacturing worker.

Amendment of paragraph 16

8. Paragraph 16 of the principal Order is amended —

(a)	by deleting the words “, on or after 1st June 1997,”;
(b)	by inserting, immediately after the words “in that month” in sub-paragraph (b), the words “, subject to a maximum of $240 in the aggregate”; and
(c)	by deleting the words “on or after 1st June 1997” in the paragraph heading.

Deletion and substitution of paragraph 17

9. Paragraph 17 of the principal Order is deleted and the following paragraph substituted therefor:

“Levy payable by employer of S Pass holder

17. The levy payable by the employer of an S Pass holder shall be —

(a)	at the rate of $50 for every calendar month; and
(b)	where the S Pass holder is employed for part of a month, at the rate of $2 for every day during which the S Pass holder is employed in that month, subject to a maximum of $50 in the aggregate.”.

Amendment of paragraph 18

10. Paragraph 18 of the principal Order is amended —

(a)	by deleting the words “The levy” and substituting the words “Subject to paragraph 20, the levy”;
(b)	by deleting “$50” in sub-paragraphs (a) and (b) and substituting in each case “$80”; and
(c)	by deleting “$2” in sub-paragraph (b) and substituting “$3”.

Deletion and substitution of paragraphs 20, 21 and 22 and new paragraphs 22A to 22C

11. Paragraphs 20, 21 and 22 of the principal Order are deleted and the following paragraphs substituted therefor:

“Change in skill level of harbour craft workers

20.—(1) Where at any time on or after 1st July 2005, an unskilled harbour craft worker becomes a skilled harbour craft worker, the levy payable under paragraph 19 in respect of that harbour craft worker shall remain unchanged unless the Controller —

(a)	renews the work permit of that harbour craft worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 18 in respect of that harbour craft worker.

Levy payable by employer where percentage of conservancy workers does not exceed 30%

21. Subject to paragraph 22A, where at any time on or after 1st July 2005, the number of an employer’s conservancy workers expressed as a percentage of his total number of workers does not exceed the threshold percentage for those conservancy workers, the levy payable in respect of each conservancy worker shall be —

(a)	at the rate of $350 for every calendar month; and
(b)	where the conservancy worker is employed for part of a month, at the rate of $12 for every day during which the conservancy worker is employed in that month, subject to a maximum of $350 in the aggregate.

Levy payable by employer where percentage of conservancy workers exceeds 30%

22.—(1) Subject to paragraph 22B, where at any time on or after 1st July 2005, the number of an employer’s conservancy workers expressed as a percentage of his total number of workers exceeds the threshold percentage —

(a)

the levy payable in respect of each conservancy worker not exceeding the threshold percentage shall be at the rate specified in paragraph 21; and

(b)

unless the Controller otherwise allows under sub-paragraph (2), the levy payable in respect of each conservancy worker exceeding the threshold percentage shall be —

(i)	at the rate of $500 for every calendar month; and
(ii)	where the conservancy worker is employed for part of a month, at the rate of $17 for every day during which the conservancy worker is employed in that month, subject to a maximum of $500 in the aggregate.

(2) The Controller may, in his discretion, allow an employer to pay the levy at the rate specified in paragraph 21 regardless of the number of the employer’s conservancy workers when expressed as a percentage of his total number of workers.

Where percentage of conservancy workers is reduced to 30% or below

22A.—(1) The levy payable by an employer under paragraph 22(1)(b) in respect of any of his conservancy worker shall continue unchanged in respect of that conservancy worker even though the number of his conservancy workers (other than those specified in other paragraphs) subsequently falls below or is reduced to the threshold percentage for those conservancy workers, unless the Controller —

(a)	renews the work permit of that conservancy worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 21 or 26 in respect of that conservancy worker.

Where percentage of foreign workers exceeds 30% due to reduction in number of local workers

22B.—(1) The levy payable by an employer under paragraph 21 in respect of any of his conservancy worker shall continue unchanged in respect of that conservancy worker even though the number of his conservancy workers exceeds the threshold percentage for those conservancy workers because of a subsequent reduction in the number of his local workers, unless the Controller —

(a)	renews the work permit of that conservancy worker; or
(b)	approves an application by the employer to pay the levy at the rate specified in paragraph 21 or 26 in respect of that conservancy worker.

Controller to determine percentage of foreign workers

22C. For the purposes of paragraphs 4 to 4C, 12 to 16 and 21 to 22B, where any question arises as to whether or not the number of an employer’s foreign workers expressed as a percentage of his total number of workers exceeds the threshold percentage or other percentage referred to in any of those paragraphs, the question shall be determined by the Controller.”.

Amendment of paragraph 23

12. Paragraph 23 of the principal Order is amended —

(a)	by deleting “$50” in sub-paragraphs (a) and (b) and substituting in each case “$80”; and
(b)	by deleting “$2” in sub-paragraph (b) and substituting “$3”.

Deletion and substitution of paragraphs 26 and 27

13. Paragraphs 26 and 27 of the principal Order are deleted and the following paragraphs substituted therefor:

“Foreign workers who meet special criteria

26.—(1) Notwithstanding paragraphs 4 to 25 (other than paragraph 17), the levy payable in respect of any foreign worker who has such academic qualifications, skills, capabilities, work experience, remuneration or any combination thereof, or who satisfies such other criteria, as the Minister may determine shall be —

(a)	at the rate of $80 for every calendar month; and
(b)	where the foreign worker is employed for part of a month, at the rate of $3 for every day during which the foreign worker is employed in that month, subject to a maximum of $80 in the aggregate.

(2) Where any question arises as to whether the levy payable in respect of any foreign worker is at the rate specified in sub-paragraph (1), the question shall be determined by the Controller.

Effective date of levy for foreign workers who meet special criteria

27. The levy payable at the rate specified in paragraph 26(1) shall apply from any of the following dates as may be specified by the Controller:

(a)	the date on which the work permit of the foreign worker is issued;
(b)	the first day of the month following the month in which the work permit of the foreign worker is renewed;
(c)	the first day of the month following the month in which the Controller approves an application by the employer to pay a different rate of levy in respect of the foreign worker; or
(d)	the first day of the month following the month in which the Controller receives a notification of the change in the skill level of a foreign worker by the Institute of Technical Education, Singapore or the institution which conducted the relevant test.”.

[G.N. Nos. S 231/2003; S 689/2003; S 382/2004; S 510/2004; S 809/2004; S 118/2005]

Made this 29th day of June 2005.

YONG YING-I

Permanent Secretary,
Ministry of Manpower,
Singapore.

[MMS 11.5E.1/65 V19; AG/LEG/SL/91A/2003/1 Vol. 1]

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