WHEN it came to getting around laws on employing foreign workers, the boss of a local manufacturing firm was just too clever by half.

Lau Hwa Ngee claimed a certain worker was earning $2,510 a month when he tried to renew the man's work pass, yet he was really paying the design engineer less than half that amount.

Lau, the owner of Sin Tech Precision, claimed the higher figure as his firm had probably met its limit for S-Pass holders - 15 per cent of a company's workforce, according to new rules. So by passing the man off as a higher-paid worker, he had hoped to get him in on an Employment Pass (EP) instead - meant for those with recognised qualifications.

He also may have wanted to dodge the $50 levy that applies to S-Pass holders but not those on EPs.

Whatever his reason, Lau, like increasing numbers of cheating bosses, failed. The Ministry of Manpower (MOM) uncovered the ruse and slapped him with a $3,000 fine.

Last year, 27 employers were caught cheating but that rose to 52 in the first nine months of this year.

Just last week, publishing firm Starprint was found to have lied about the pay of six foreign workers on pass applications.

It claimed they were earning $1,800 a month - the minimum pay to get an S-Pass, granted to foreigners who hold 'acceptable educational qualifications' - yet they were earning only $800. General manager Lim Meng Eng was fined $15,000 - the maximum amount. Convictions can also bring up to a year in jail.

Singapore National Employers Federation executive director Koh Juan Kiat said the rise in such cases usually coincides with a tightening labour market.

When bosses need more foreign workers but have hit the quota for S-Pass and Work Permit holders, they try the trick that Lau of Sin Tech Precision pulled.

There is no cap on the number of EP holders a company can hire. They should have recognised qualifications with a fixed monthly salary of more than $2,500.

MOM said it was mainly the food and beverage, and manufacturing industries that have been abusing the work-pass system.

Foreigners are, of course, not the only source of labour for these firms.

Mr Koh suggested that firms could turn to the elderly and back-to-work mums - a 'more sustainable way to resolve the labour shortage', he said.

Meanwhile Madam Joyce Low, administrative manager for Jack's Place Holdings, advises F&B outlets to turn to hospitality trainees studying here.

Madam Low said every year, 20 to 30 trainees do six-month attachments with her company.

But employees are not totally blameless.

In the first nine months of this year, 230 EP holders and 183 S-Pass holders were investigated by MOM for offences related to false declaration of salary, submission of forged documents or illegal employment.

There are 110,000 EP and S-Pass holders here.

Mr Koh said employees should know what passes they are on and report their employers if their pay is not within the right bracket.

If any employer, foreign employee or self-employed foreigner knows of false information being submitted on an application but fails to tell MOM, he could be fined up to $5,000 and jailed for six months.

'On one hand, the onus is on employees to raise the issue with MOM,' said Mr Koh.

'On the other hand, owners must be prepared to pay a person for his skills, not just go for more and cheaper workers.'

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