Starting your first construction hire in Singapore can feel complex. From registrations to quotas and compliance, missing a step can delay your hiring plans.
This guide breaks down the key requirements after company incorporation to help you hire your first construction worker smoothly.
📌 1. Company Incorporation & Business Activity
After registering your company with Accounting and Corporate Regulatory Authority (ACRA), ensure:
Your SSIC code includes construction-related activities
You have a valid BizFile (business profile)
👉 This is the foundation before applying for construction-related approvals.
🏢 2. Register with BCA (If Applicable)
Register with the Building and Construction Authority (BCA) only if required based on your business activities.
Important Clarification:
A General Builder License (GB1/GB2) is required only if you are undertaking general building works for others
Not all construction-related companies need this license
If applicable:
Apply for General Builder License (GB1 or GB2)
Appoint a Technical Personnel (TP)
👷 Technical Personnel (TP):
Must have relevant qualifications/experience
Responsible for supervision & compliance
Mandatory only for licensed builders
🛠️ 3. SCAL Registration (Optional but Recommended)
Register with Singapore Contractors Association Limited (SCAL).
Note:
Not mandatory for hiring workers
But useful for:
Industry recognition
Training programs
Workforce-related support
👨💼 4. Hire a Local Employee (For Quota Eligibility)
Before hiring foreign workers, you must employ local workers.
Key points:
Must be a Singapore Citizen or PR
Paid at least the qualifying salary (commonly ≥ $1,600/month for quota counting)
CPF contributions must be made
👉 This affects your Dependency Ratio Ceiling (DRC) quota.
💰 5. CPF Contributions
Register and contribute via the Central Provident Fund Board.
Why it’s important:
Determines your foreign worker quota (DRC)
Non-compliance = cannot hire Work Permit holders
🌐 6. WP Online (WPOL) Registration
Register your company on WP Online under the Ministry of Manpower.
Through WPOL, you can:
Apply for Work Permits
Check quota availability
Issue IPA (In-Principle Approval)
📊 7. Understand Quota (DRC) & Levy
Construction sector hiring is regulated by DRC.
Key points:
Foreign worker quota depends on local workforce
Levy can go up to ~$950/month depending on skill level
👉 Plan hiring carefully to avoid quota issues.
🧱 8. First Worker Requirement (Important Update)
⚠️ Correction: This is commonly misunderstood
There is NO official rule that your first worker must be R1
However:
New companies are often encouraged to hire Higher-Skilled (R1) workers
In practice, approvals are easier with R1 workers
R1 Worker Benefits:
Lower levy
Better approval chances
Recognised skills (CoreTrade, SEC(K), etc.)
🪪 9. Worker Eligibility & Certifications
Ensure workers meet:
Valid trade skills (SEC(K), CoreTrade, etc.)
Required safety certifications (e.g., CSOC)
Work Permit eligibility criteria set by MOM
⚠️ 10. Common Mistakes to Avoid
❌ Not hiring local employees before applying
❌ Assuming BCA license is always required
❌ Not checking quota before application
❌ Relying only on low-skilled workers (R2)
❌ CPF non-compliance
🚀 Final Thoughts
Hiring in Singapore’s construction sector requires proper setup, compliance, and planning.
By following the correct steps—from ACRA registration to MOM WPOL setup—you can avoid delays and build a strong workforce for your projects.