EOR Singapore: Employer of Record Services to Hire Without a Local Entity

An Employer of Record in Singapore is a locally incorporated Pte Ltd that legally employs your workers on your behalf. You direct the work, set the salary, and manage the team day-to-day. The EOR handles the Singapore employment contract, monthly payroll, Central Provident Fund (CPF) contributions for citizens and Permanent Residents, the Skills Development Levy (SDL) on every employee (including foreigners), annual IRAS Auto-Inclusion Scheme (AIS) reporting, work pass sponsorship through MOM — Employment Pass, S Pass, Work Permit, ONE Pass and Tech.Pass — and full compliance with the Employment Act (1968), the upcoming Workplace Fairness Act, and the Tripartite Guidelines on Fair Employment Practices. You hire in Singapore in days, without the resident director, ACRA filing or audit obligations of incorporating your own Pte Ltd.

What’s New in 2026

The CPF Ordinary Wage ceiling rose from SGD 7,400 to SGD 8,000 per month from 1 January 2026 — the final phase of a multi-year reform. The Annual Ordinary Wage ceiling rose correspondingly to SGD 96,000. Paid Paternity Leave doubled to 4 weeks for Singapore Citizen children from April 2025. Shared Parental Leave is rising to 10 weeks combined by April 2026 (up from 4 weeks). The Workplace Fairness Act passed January 2025, with phased implementation through 2026 and 2027. Platform workers continue to be phased into CPF coverage. An Employer of Record applies all five changes automatically.

Hire in Singapore in 60 Seconds

• Hire without an entity: An EOR holds the Pte Ltd so you don’t need a Singapore-resident director, ACRA filings or annual audit
• Statutory load: Up to 17% CPF + 0.25% SDL for citizens/PRs aged 55 and below. Foreigners on EP/S Pass/ONE Pass: 0.25% SDL only — no CPF
• No PAYE: Income tax is not withheld monthly. Employer files annual IRAS AIS return; employee pays Singapore tax directly
• Standard work week: 44 hours under Part IV of the Employment Act for covered employees
• Work passes: EP (SGD 5,600+), S Pass (SGD 3,150+), ONE Pass (SGD 30,000 fixed), Tech.Pass — all sponsorable by an EOR

Quick Facts: Hiring in Singapore (2026)

Who Uses an EOR in Singapore?

Companies using an Employer of Record in Singapore typically fall into three groups. The first is overseas teams (US, UK, Australia, India) hiring their first APAC head, sales lead or regional country manager in Singapore. The second is regional teams already in Asia who want to add a Singapore presence — for example a Hong Kong fund moving to Singapore for regulatory reasons, or a Malaysia-based tech firm opening a Singapore sales office. The third is founders and scaleups testing the Singapore market for 12–24 months before incorporating their own Pte Ltd. Many companies pair EOR Singapore with EOR Malaysia, EOR Vietnam or EOR Indonesia under the same AYP contract to cover the wider ASEAN region.

EOR Singapore vs. Setting Up a Local Entity: Which Is Right for You?

The short version: if you are hiring fewer than thirty people in Singapore, or you don’t have a Singapore-resident director ready, an EOR is the route. If you are committing to Singapore as a customer-facing entity with local invoicing or applying for EDB, GTI or IHQ tax incentives, a Pte Ltd is the right long-term move. Many of our clients start with EOR and transition once headcount and revenue justify their own entity. See our Professional Employer Organisation (PEO) services for the in-between option where you have your own Pte Ltd but want us to run HR and payroll.

Key Industries Hiring Through EOR Singapore in 2026

• Financial services and asset management — Banks, asset managers, hedge funds, family offices and crypto firms hiring relationship managers, portfolio managers, traders and compliance leads under MAS supervision. Singapore is the dominant Asia-Pacific finance hub.Technology and SaaS
• Technology and SaaS — Tech multinationals and scaleups hiring engineers, product managers, sales leads and country managers. The Tech.Pass and ONE Pass routes are designed for this segment, and the EDB incentive structure supports regional HQ moves.Pharma, biotech and medical devices
• Pharma, biotech and medical devices — Global pharma and medtech firms hiring regulatory, commercial and clinical leads for the ASEAN market from One-North and Biopolis.‍
• Manufacturing and supply chain HQ — Singapore as regional headquarters for manufacturers operating across ASEAN, hiring supply-chain, procurement and operations leads.
• Energy, ESG and trading — Commodity traders, renewable energy firms and ESG advisors hiring sustainability leads, traders and project managers.

Singapore employment is governed primarily by the Employment Act (1968), with separate provisions for managerial employees, foreign employees and platform workers. Statutory savings sit under the Central Provident Fund Act. Workplace fairness sits under the Tripartite Guidelines on Fair Employment Practices and the upcoming Workplace Fairness Act. Tax administration runs through the Income Tax Act, enforced by the Inland Revenue Authority of Singapore (IRAS). Labour policy is set by the Ministry of Manpower (MOM), with immigration and work passes administered by MOM and the Immigration & Checkpoints Authority (ICA). Corporate matters sit with the Accounting and Corporate Regulatory Authority (ACRA).

Critical Compliance Framework (2026)

Common Mistakes Foreign Employers Make in Singapore

• Assuming foreign employees pay CPF — They don’t. CPF applies only to Singapore Citizens and Permanent Residents. Foreign employees on Employment Pass, S Pass, Work Permit or ONE Pass do not contribute to CPF, and the employer doesn’t contribute either. Many overseas employers over-budget by 17% on this misunderstanding.
• Missing the resident director requirement — A Singapore Pte Ltd needs at least one director who is “ordinarily resident in Singapore.” Companies that incorporate without resolving this get blocked at ACRA filing. Most use a nominee director or simply use EOR Singapore for the first 18–24 months.
• Not preparing for IR21 tax clearance — When a foreign employee leaves Singapore or changes employers, the employer must file an IR21 with IRAS and withhold the final salary until IRAS issues clearance. Missing this exposes the employer to the employee’s unpaid tax liability.
• Treating the SGD 8,000 CPF ceiling as a 2025 change — It took effect on 1 January 2026. Payroll software that wasn’t updated may still calculate at SGD 7,400. EOR Singapore applies the new ceiling automatically.

What an EOR Singapore Partner is Legally Responsible For

When an Employer of Record is the legal employer in Singapore, the EOR carries direct responsibility for the Singapore employment contract, monthly CPF and SDL contributions, annual IRAS Auto-Inclusion Scheme reporting, IR8A and IR21 (tax clearance for foreign employees) filings, work pass sponsorship and renewal via MOM, statutory leave administration, payslip issuance under the Employment Act, retention of employment records for the statutory period, response to any MOM or TAFEP inquiry, and conduct of any termination in line with the Employment Act and Tripartite Guidelines. Your company directs the work and pays the EOR a fee.

Working hours, overtime, leave entitlements and public holidays in Singapore are set by the Employment Act (1968). Part IV of the Act (working hours, overtime, rest days) applies to non-managerial workmen earning up to SGD 4,500 and non-workmen earning up to SGD 2,600 — managerial and higher-paid employees are largely outside Part IV. The Ministry of Manpower publishes the annual public holiday list and enforces minimum standards.

Working Hours and Overtime (2026)

The Employment Act standard work week is 44 hours for employees covered by Part IV. Daily working hours are capped at 8 hours, extendable to 9 hours over a 5-day week. Maximum overtime is 72 hours per month. Overtime pay is at 1.5× the hourly basic rate. Employees outside Part IV (managers, executives, employees above the salary threshold) are not entitled to statutory overtime — overtime arrangements are by contract.

Leave Entitlements

Public Holidays 2026

Singapore observes 11 paid public holidays in 2026: New Year’s Day, Chinese New Year (two days), Good Friday, Hari Raya Puasa, Labour Day, Vesak Day, Hari Raya Haji, National Day (9 August), Deepavali, and Christmas Day. Where a holiday falls on a Sunday, the following Monday is a substitute holiday.

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To hire a foreign national in Singapore, the employer sponsors a work pass through the Ministry of Manpower (MOM). The four main routes are the Employment Pass (EP) for managerial, executive and specialist roles, the S Pass for mid-skilled technical and supervisory roles, the Work Permit for semi-skilled foreign workers, and the Overseas Networks & Expertise (ONE) Pass for top-tier global talent. There is also the Tech.Pass for tech founders and senior executives. When you use an Employer of Record in Singapore, the EOR is the registered sponsor — your overseas company does not apply directly. See our Asia Mobility service for standalone work visa support in markets where AYP is not your EOR.

How EOR Singapore Handles Work Pass Sponsorship

The EOR is the registered employer with MOM, prepares and submits the work pass application via myMOM Portal, supplies the employer documents (ACRA Bizfile, audited accounts where required), and renews the pass on schedule. For S Pass and Work Permit holders, the EOR also pays the monthly Foreign Worker Levy. If the employee brings dependants, the EOR coordinates Dependant Pass and Long Term Visit Pass applications with ICA.

Work Pass Categories

The Local Qualifying Salary thresholds are reviewed by MOM annually and should be verified against the MOM website before any specific salary discussion. The COMPASS points framework applies to EP applications and considers salary, qualifications, diversity contribution, local employment support, and bonus criteria.

Termination in Singapore is more flexible than in most APAC markets but still requires adherence to notice periods and the Tripartite Guidelines on Fair Employment Practices. Disputes go through the Tripartite Alliance for Dispute Management (TADM) and the Employment Claims Tribunal. Notice periods are set by the Employment Act where the contract is silent. The Ministry of Manpower (MOM) and TAFEP enforce fair employment practices. An Employer of Record absorbs this legal exposure on your behalf, manages the notice period, calculates final pay correctly, and documents the exit in line with the law.

Notice Period Requirements

If the contract specifies a notice period, that applies. If silent, the Employment Act statutory minimums apply.

In practice, most employment contracts specify 1 month notice as the standard. Either party may pay salary in lieu of notice.

Severance / Retrenchment Pay

Singapore has no statutory severance pay under the Employment Act for employees with less than 2 years of service. For employees with 2 or more years, retrenchment benefit norms apply per the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment. The norm is 2 weeks to 1 month of salary per year of service, with the actual figure subject to negotiation, industry custom, and any retrenchment policy in place. Employers must notify MOM of any retrenchment exercise affecting 5 or more employees.

Legitimate Grounds for Termination

Singapore law allows summary dismissal (without notice or pay in lieu) for serious misconduct following a due-inquiry process. For all other dismissals, the employer must give the contractual or statutory notice period (or pay in lieu). The Tripartite Guidelines require fair reason and process, and the upcoming Workplace Fairness Act will codify protected attributes against discriminatory dismissal. An Employer of Record manages the documentation, the warning process, and the final-pay calculation end to end.

AYP Group is the Employer of Record partner of choice for companies hiring across Asia-Pacific. Our Singapore advantage rests on three things our clients tell us they don’t get elsewhere.

• Transparent, predictable pricing. EOR Singapore with a clear monthly fee per employee, no hidden setup fees and no surprise compliance charges. You see the full cost before you sign. Full details on our pricing page.
• One partner, one contract, all of APAC. Our Singapore office is the regional hub. If you hire in Singapore today and Malaysia, Vietnam, Indonesia, Thailand, Hong Kong or the Philippines next quarter, it’s the same contract, the same account team, and the same monthly invoice.
• Ready for the 2026 changes. We applied the SGD 8,000 CPF Ordinary Wage ceiling on day one of January 2026, file IRAS Auto-Inclusion Scheme returns on every employee, are fully registered with the CPF Board and MOM for all current work pass categories including ONE Pass, and are tracking the phased implementation of the Workplace Fairness Act through 2026 and 2027. Compliance is not a feature — it’s the whole product. See About AYP for our company background.

Glossary of Singapore Employment Terms

• CPF (Central Provident Fund) — Compulsory savings for retirement, healthcare and housing. Applies to Singapore Citizens and PRs only.
• OW / AW (Ordinary Wage / Additional Wage) — Two CPF contribution categories. OW ceiling rose to SGD 8,000/month from January 2026.
• SDL (Skills Development Levy) — 0.25% of wages, capped at SGD 11.25/month, applied to all employees including foreigners.
• AIS (Auto-Inclusion Scheme) — IRAS reporting program. Employer files annual income data; IRAS pre-fills the employee’s tax return.
• EP (Employment Pass) — Work pass for managers, executives and specialists. From SGD 5,600/month (general) or SGD 6,200/month (financial services).
• S Pass — Mid-skilled work pass. From SGD 3,150/month.
• ONE Pass — Overseas Networks & Expertise Pass. SGD 30,000/month or outstanding-achievement criteria.
• Pte Ltd (Private Limited Company) — Standard Singapore corporate structure. Requires a resident director.
• MOM (Ministry of Manpower) — Singapore’s labour and immigration authority.
• IRAS (Inland Revenue Authority of Singapore) — Singapore tax authority.
• TAFEP — Tripartite Alliance for Fair and Progressive Employment Practices.
• ACRA — Accounting and Corporate Regulatory Authority. Singapore’s corporate regulator.

Legal Disclaimer: This guide provides general information about Singapore employment regulations and EOR services. Specific legal advice should be obtained from qualified professionals. Employment laws and regulations are subject to change.

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