What has changed
The Ministry of Manpower (MOM) has formalized the process for entities or companies in Singapore to appoint an Employment Pass holder of a related company to their board of directors. Companies who wish to appoint an Employment Pass holder to their board of directors must apply for a Letter of Consent (LOC) before being able to appoint the director.
Previously, MOM had indicated that companies should write in to request the appointment of a director holding an Employment Pass with another company. MOM has now formalized this process by providing a specific form to be completed to request a formal LOC in such scenarios.
Who is affected?
- Companies that have a board of director currently containing Employment Pass holders whose Employment Passes are sponsored by another related company.
- Companies that may look to appoint an Employment Pass holder of a related company on their board of directors.
What to expect
MOM will generally grant an LOC only if the company is related by shareholding to the Employment Pass holder’s employer, and the Employment Pass holder is assuming the directorship for purposes related to his or her primary employment.
This process is effective immediately and applies retroactively for companies with an Employment Pass holder from another related company already appointed as a director.
What you need to do
- Emigra worldwide can assist by submitting the LOC application on behalf of employers.
- Contact your Emigra Worldwide representative for further details on how these updates may impact you or your client.
The information above was provided by Emigra Worldwide, our global network partners, and relevant government authorities. The information herein is for general purposes only and not intended as advice for a particular matter. If you have any questions, please do not hesitate to contact the global immigration professional with whom you work.