The Ministry of Manpower (MOM) has released the latest C1 Salary Benchmarks by Sector which will apply to new Employment Pass (EP) applications from 1 January 2027 and EP renewals from 1 July 2027. While benchmark updates are routine under the COMPASS framework, the latest changes vary significantly by sector and may affect workforce planning, remuneration strategies and future EP eligibility.
Employers should note differing implementation timelines. New EP applications from 1 January 2027 will be assessed against both the revised salary benchmarks and the updated EP qualifying salary framework, whilst EP renewals expiring from 1 July 2027 will be assessed against the new C1 benchmarks before the next EP qualifying salary increase takes effect for passes expiring from 1 January 2028. As a result, employers should assess renewal populations and future hires separately when evaluating impact.
Under the C1 Salary criterion, the salary benchmarks are used to award points based on how a candidate’s salary compares against local PMET salaries within the same sector and age group. The benchmarks reflect the latest labour market data from MOM’s annual Comprehensive Labour Force Survey. This forms part of the 2-stage eligibility framework that applicants must pass to qualify for the EP:
Stage 1: Meet the EP qualifying salary; and
Stage 2: Earn at least 40 points under the COMPASS framework comprising of Foundational (C1-C4) and Bonus Criteria (C5 and C6).
Overall, the C1 Salary benchmark movements in this year’s release are more mixed than in previous updates. While many sectors recorded increases across both the 65th percentile (10-point threshold) and 90th percentile (20-point threshold), some sectors experienced declines in certain benchmark categories. This reinforces that COMPASS outcomes are increasingly sector-specific and should not be assessed using broad assumptions about labour market movements.
Key observations
Salary expectations for experienced talent continue to diverge
The latest benchmark release indicates that salary expectations for experienced professionals are rising faster than for entry and mid-career talent across many sectors, with steeper age-based benchmark progression becoming more common. Across several industries, the salary differences required to move from the 10-point threshold (65th percentile) to the 20-point threshold (90th percentile) have narrowed compared with previous years.
Employers with sizeable experienced foreign workforce populations should factor this into EP renewal forecasting, compensation budgeting and assessing the long-term cost of talent retention.
Sector volatility remains significant
The latest release continues to demonstrate that salary benchmark movements are not consistently upward across all sectors. Several industries have experienced benchmark decreases in recent cycles despite broader wage growth trends, while others have seen substantial swings from year to year.
This is particularly evident within segments of the financial services industry, where benchmark movements have varied significantly across recent releases. Employers should avoid relying on straight-line growth assumptions when forecasting future COMPASS outcomes and instead refresh workforce analytics as new benchmark data becomes available. Fund Management remains one of the highest benchmarked sectors.
The latest benchmark update provides employers with an opportunity to assess the resilience of their workforce strategy ahead of implementation.
Organisations should consider:
As COMPASS benchmark updates become an established annual exercise, proactive planning will be increasingly important. Employers should use the lead time before implementation to conduct impact assessments on both their existing EP population and planned hires.
To discuss how the updated benchmarks may affect your workforce, please reach out to your Vialto Partners contact.
For a deeper discussion on the above, please reach out to your Vialto Partners point of contact, or alternatively:
Yang Li
Partner
Irin Ou
Director
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