What Singapore SMEs Must Know About EFMA Compliance After Recent Enforcement Action
Employment agencies and employers engaging foreign workers in Singapore must ensure all work pass applications contain accurate, truthful declarations — a recent enforcement action underscores the consequences of non-compliance.
- Accurate declarations required — Employers and employment agency personnel must declare correct worker occupations, salaries, and deployment details in every work pass application submitted to the Controller of Work Passes. False declarations carry a fine of up to $20,000, imprisonment of up to two years, or both, per charge.
- No kickbacks permitted — Collecting or offering kickbacks as a condition for employment is a separate offence under the Employment of Foreign Manpower Act, punishable by a fine of up to $30,000, imprisonment of up to two years, or both. Convicted entities will also be barred from employing foreign workers.
SMEs deploying workers through non-traditional source schemes must ensure occupation and salary declarations match actual employment terms — misrepresenting a worker's role to qualify under different schemes is itself a false declaration.
Tip: Maintain a checklist of all work pass application fields and verify that declared occupations, salaries, and deployment locations match the signed employment contract before submission.
