Budget 2026: Singapore faces stiff competition for talent, despite draws of new AI and tech-focused One Pass

[SINGAPORE] Recruiters and professional advisers said the new artificial intelligence (AI) and technology track under the Overseas Networks and Expertise (One) Pass could strengthen Singapore’s ability to attract top AI talent, although the Republic will still face stiff competition from larger global technology hubs.

Their comments came after the Ministry of Manpower announced on Tuesday (Mar 3) in Parliament that the track will be introduced in January 2027, replacing the existing Tech.Pass.

Manpower Minister Tan See Leng said the One Pass (AI and Tech) aims to attract “movers and shakers, rainmakers and network brokers” who can build companies and strengthen Singapore’s ecosystem by transferring cutting-edge expertise to the local workforce.

To qualify, applicants must earn at least S$30,000 a month in the past year, in line with the broader One Pass scheme, which allows holders to start, operate and work for multiple companies concurrently.

However, unlike the broader One Pass, the AI and Tech track allows applicants to meet the threshold through a mix of fixed salary and vested non-cash components such as employee stock options or share ownership, provided they earn a base salary of at least S$22,500 a month.

The ministry said that it does not expect a large number of applicants, given the high qualifying threshold.

Key draw

ManpowerGroup Singapore country manager Linda Teo said the new scheme enhances Singapore’s appeal by reflecting how senior AI professionals typically work today.

“Many of these individuals hold multi‑portfolio roles. They may lead research in one institution, advise startups, or build their own ventures at the same time,” she said.

Teo added that being able to do all of this without needing to reapply for a new pass each time they switch roles removes a significant structural constraint.

“This flexibility is especially valuable in fast‑moving fields like AI, where career paths are often non‑linear and project-based rather than tied to a single employer.”

While the current Tech.Pass similarly offers such flexibility, it is valid for two years and can be renewed only once for a further two years.

In contrast, the One Pass is valid for five years and can be renewed multiple times for further five-year terms, subject to eligibility. For comparison, an Employment Pass is valid for up to two years, with renewals of up to three years.

Murray Sarelius, KPMG in Singapore’s partner and head of personal tax and global mobility services, said this longer runway makes the One Pass (AI and Tech) a key draw.

“For many professionals, this can make it easier to plan careers, move families and commit to building deeper, longer‑term ties in Singapore,” he noted.

On the use of a mix of salary and equity to meet the S$30,000 threshold, the recruiters and professional advisers said that this reflects how senior AI professionals are typically compensated.

Teo said: “From a business standpoint, this structure is also practical, especially for startups that may operate with tighter cash flow, particularly in the early stages when capital is being channelled into compute resources, product development or market expansion.”

However, Vialto partner and Asia-Pacific immigration leader Li Yang noted that the policy currently counts only vested equity awards towards the income threshold.

“This may serve as a limiting factor (in terms of who qualifies), as remuneration in this sector is often heavily skewed towards equity incentives for retention,” she said.

Such incentives typically vest over time, meaning equity that has yet to vest would not be included in the qualifying income calculation.

Even so, Deloitte Singapore’s global employer services partner Sandip Kaur Bhandal said that the One Pass (AI and Tech) is not intended to be a mass-market work pass. 

“The high income and company thresholds mean it is purposefully designed to attract individuals with the right skill sets and experience who are already operating at the top of the AI ecosystem,” she added.

Broader appeal

That said, Eugenia Tay, a personal tax and global-mobility services partner at KPMG, pointed out that beyond visa policies, senior AI talents typically look at a mix of factors.

This includes access to capital, the depth of research and commercial opportunities, the strength of local talent pools, and overall quality of life. 

Recruiters and professional advisers said Singapore performs strongly across many of these areas.

An area where the government has made significant commitments is capital, with more than S$1 billion pledged recently for AI research and development over five years from 2025 to 2030.

“Where Singapore tends to resonate strongly with many professionals is in its reputation for trust, stability and transparency, which the government has consistently highlighted,” said ManpowerGroup’s Teo, adding that this is particularly important in today’s uncertain geopolitical climate.

These attributes matter because the work of senior AI practitioners and subject-matter experts often involve sensitive data, long-term research commitments and cross-border collaboration, she noted.

However, Vialto’s Li highlighted that Singapore is competing in a very dynamic global market for AI talent. 

Li said: “The United States still leads in terms of scale of research ecosystems and venture capital, while other countries are increasingly offering aggressive incentive packages and investments in AI development.” 

KPMG’s Sarelius added that aside from being a smaller market compared with major tech ecosystems abroad, the cost of living in Singapore is relatively high.

He said: “These considerations can influence decision‑making for some candidates, particularly when they are weighing offers across multiple global hubs.”

On whether a small number of top-tier tech professionals can make a difference in Singapore, Li noted that many successful companies, venture funds and talent networks in technology clusters can be traced back to a relatively small group of early founders, researchers or investors who catalysed broader ecosystem growth.

Deloitte’s Bhandal agreed, adding that the success of the new work pass should not be measured by the number of applications.

Rather, it should be assessed by whether it attracts high-calibre talent with the right skill sets and experience who can “generate multiplier effects and sustained, strong and meaningful impact across Singapore’s AI ecosystem”.