Select vs Comprehensive Licenses for Singapore Employment Agencies

Choosing the right licence is crucial for employment agencies in Singapore to ensure compliance and effective operation. The Select Licence and the Comprehensive Licence cater to different recruitment needs and come with specific requirements. Here’s a concise comparison to help you decide which licence best suits your agency.

1. Select Licence: Key Characteristics

1.1 Target Group

• Purpose: The Select Licence is designed for agencies that recruit employees earning more than SGD 4,500 per month. It targets high-income positions, making it suitable for agencies that specialise in placing high-salaried roles.

1.2 Security Deposit

• Amount: Requires a fixed deposit of SGD 20,000. This amount is standard across all agencies holding this licence, simplifying financial planning.

1.3 Scope of Recruitment

• Focus: The Select Licence has a narrower scope, focusing specifically on high-salaried positions. It is ideal for agencies with a focus on top executive or specialist roles.

1.4 Validity

• Duration: Valid for three years, after which it must be renewed. This provides stability and consistency for agencies that handle high-salaried recruitment.

Example: An agency specialising in recruiting senior executives with salaries above SGD 4,500 would find the Select Licence appropriate. The fixed deposit simplifies budgeting, and the three-year validity ensures long-term stability for high-income placements.

2. Comprehensive Licence: Key Characteristics

2.1 Target Group

• Purpose: The Comprehensive Licence is for agencies that recruit a wide range of employees, including local and foreign workers, across various salary levels. This licence supports diverse recruitment needs.

2.2 Security Deposit

• Amount: The deposit varies from SGD 20,000 to SGD 60,000, depending on the volume of placements made by the agency. This variable deposit reflects the scale and scope of recruitment activities.

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2.3 Scope of Recruitment

• Focus: The Comprehensive Licence covers a broad range of recruitment activities, including different types of positions and salary levels. It is suitable for agencies with diverse recruitment portfolios.

2.4 Validity

• Duration: Also valid for three years, with a requirement for renewal. This licence offers flexibility and support for agencies with varied recruitment needs.

Example: An agency that handles recruitment across various industries, including both local and international candidates, would benefit from the Comprehensive Licence. The variable deposit accommodates different recruitment volumes, and the three-year term supports a wide range of recruitment activities.

3. Comparing Select and Comprehensive Licences

3.1 Scope and Flexibility

3.1.1 Select Licence

• Scope: Focuses on high-salaried positions.

Example: Ideal for agencies specialising in placing high-level executives where a fixed deposit and targeted focus are required.

3.1.2 Comprehensive Licence

• Scope: Encompasses a broad range of roles and salary levels.

Example: Suitable for agencies managing diverse recruitment needs across multiple sectors and salary ranges.

3.2 Deposit Requirements

3.2.1 Select Licence

• Deposit: Fixed at SGD 20,000.

Example: Beneficial for agencies focused on high-salaried roles with a predictable financial requirement.

3.2.1 Comprehensive Licence:

• Deposit: SGD 20,000 to SGD 60,000, based on placement volume.

Example: Reflects the needs of larger agencies with varying recruitment volumes, offering flexibility in deposit amounts.

3.3 Validity and Renewal

• Both Licences: Valid for three years, with renewal required.

Example: Both licences provide a consistent operational period with periodic renewal to ensure ongoing compliance.

Summary

The choice between the Select Licence and the Comprehensive Licence depends on your agency’s recruitment focus and operational scale. The Select Licence is suited for high-salaried positions with a fixed deposit, while the Comprehensive Licence offers broader coverage and a variable deposit based on recruitment activity. Assessing your specific needs will help you select the most suitable licence.

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