Singapore Foreigner Curbs Target Professionals

Singapore’s unemployment rate is 2.1 percent, near full employment, according to economists, but that’s too high for some. The nation will set up a job bank and require companies to advertise jobs to Singaporeans before pursuing work visas for foreign professionals. Exempt are businesses with fewer than 25 employees and jobs that pay less than US$30,000 or more than $140,000. The move reflects growing concern in Singapore about competition for jobs, housing and education. The regulation could add to price pressures and inflation. “The move has led to a labor shortage and pushed up wages, prompting some companies to seek cheaper locations,” writes Sharon Chen for Bloomberg News. The plan, which goes into effect in 2014, is modeled after employment policies in Hong Kong, the United States and the United Kingdom. Banks and other large employers contend that Singapore, to maintain its reputation as an international financial center, should seek employees with expertise and a global perspective. – YaleGlobal