To The Moon

Higher EP Salaries Won’t Save Singaporean Jobs — Here’s Why

💸 Raising EP & S Pass Salaries to “Protect Singaporeans”? Let’s be real—it doesn’t.

PM Lawrence Wong just announced higher salary thresholds:

EP (Employment Pass): $5,600

S Pass: $3,300

The stated goal? “Protect Singaporean jobs” and ensure “quality” foreign workers.”

But let’s examine what actually happens.

If a company genuinely needs foreign talent, will a higher salary threshold stop them? No. They’ll just pay more.

Today, many firms are enjoying AI-driven cost savings. Automation, workflow tools, and digital systems reduce headcount and operational costs. The higher salary threshold becomes just another cost line — easily absorbed.

And what follows?

The cost of hiring more expensive foreign workers is passed down to consumers.

The foreign worker still comes — at a higher salary.

The Singaporean job seeker? Still competing in the same market.

The Bigger Issue: Skills Development Isn’t Working

We often hear that locals can upskill through SkillsFuture.

But let’s be honest — is it really developing deep, competitive capability?

A large portion of funded courses include:

Barbering

Massaging

Basic AI tools like ChatGPT usage

TikTok marketing

Image editing

Video editing

These are not high-barrier, high-value technical skills.

Learning to use ChatGPT or Canva is like learning Microsoft Excel — useful, yes. But it is basic digital literacy, not advanced AI engineering or machine learning capability.

Many Singaporeans are also confused about what constitutes real technical depth:

AI vs basic AI tools

Cloud computing vs simple SaaS usage

SQL database architecture vs running simple queries

Data science vs basic dashboard building

There is a dangerous illusion of upskilling — where people attend short courses, receive certificates, but gain little industry-grade expertise.

The Structural Gap

The real competitive skills needed today are:

Advanced software engineering

AI model development

Cybersecurity

Deep data infrastructure

Semiconductor and advanced manufacturing expertise

These require:

Years of technical foundation

Rigorous training

Real industry apprenticeship

Strong mathematics and systems thinking

Short courses on “AI content creation” or “TikTok monetisation” do not build national competitiveness.

Healthcare: Another Structural Example

Even with:

7% salary increases

PR pathways for foreign healthcare workers

We still see:

Rising MediShield premiums

Higher hospital bills

Long waiting times

Burnout among staff

Money is injected. Costs increase.

But manpower stress and systemic bottlenecks persist.

The Pattern

🚗 COE & ERP – Price congestion. Congestion remains.

🏠 ABSD – Price speculation. Housing pressure remains.

🌱 Carbon tax – Price emissions. Emissions also increased.

Imposing a carbon tax is supposed to help save the environment and encourage energy conservation. 

But when we keep importing a large population — while the US and other major economies are returning to expanding carbon-intensive activities — it feels like all our sacrifices go down the drain.

What do we actually see on the ground? Higher inflation, rising costs, and a tougher life for Singaporeans

It’s like asking your child to switch off the lights, off the fan to save electricity…

while you secretly leave all the air-cons running and invite 20 more guests to stay over.

The child sacrifices. The bill still goes up.

That’s how carbon tax feels sometimes — we’re told to conserve and tighten our belts, but if population keeps expanding and bigger economies keep burning fuel freely, it’s like trying to empty a bathtub with a spoon while the tap is still running.

In the end, the water rises… and we’re the ones paying for it.

💼 EP/S Pass – Price foreign labour. Labour market competition remains.

🎓 SkillsFuture – Fund courses. Real capability gap remains.

💡 The pattern is consistent:

Pricing mechanisms and funding programs create activity — but don’t always solve structural problems.

What Would Actually Work?

✅ Deep technical pipelines from school to industry

✅ Apprenticeship-style industry immersion

✅ Sector-specific workforce planning

✅ Raising standards of training, not just volume of courses

✅ Clear distinction between digital literacy and advanced technical mastery

Singaporeans don’t need more surface-level certificates.

We need real capability building.

Policies should solve root causes — not just raise prices, increase premiums, or fund low-impact courses.

Singaporeans deserve better than token fixes.