Why Singaporeans Feel Outcompeted by Foreign PMETs

Medium | 01.02.2026 20:01

Walk into any office tower in Singapore and you’ll see the same quiet tension beneath the fluorescent calm: locals grinding relentlessly to hold their place, and a revolving door of foreign PMETs — consultants, managers, engineers — parachuted in with salaries that locals rarely touch.

Singaporeans feel outcompeted not because they are less capable, but because the system actively produces that outcome. The inequality between locals and foreign PMETs isn’t just incidental. It is structural, engineered, and quietly necessary for the model to function.

This isn’t xenophobia, nor is it a call for nationalism. It’s a hard look at the economics the government avoids explaining.

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1. Foreign PMETs Aren’t Just Workers — They Are “Imported Wage Floors”

Foreign professionals don’t simply fill gaps. They set a new price point for labour.

A multinational expanding into Asia looks at Singapore and sees:

Low corporate taxes

Safe regulations

English-speaking workforce

100% mobility for expatriates

So what happens?
They bring in foreign PMETs with international salaries, pegged to London, New York, or Sydney — not Singapore’s median income.

The result?

Local salaries stagnate.

Foreign early-career hires earn more than local mid-career staff.

HR bands rise only for expats, not locals.

Foreign PMETs become the benchmark, but only for the privileged slice — not the residents.

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2. “Same Job, Different Pay” Isn’t an Accident — It’s a Feature

Singapore’s labour strategy has always relied on a dual-pay model:

Foreign talent = imported skills and global legitimacy

Local workers = stable, compliant, politically quiet workforce

Foreign PMETs are paid premium wages because the companies need them.
Local workers are kept moderate because the government needs stability.

Higher wages for locals at scale trigger:

Inflation

Political pressure to raise taxes

Higher CPF contributions

Higher expectations for welfare

Higher bargaining power

Lower fear

Singapore’s political model requires the opposite:

Low public expectations

Low welfare obligations

A grateful middle class

A quiet working class

So local wages cannot be allowed to rise too quickly.

Foreign wages? That’s someone else’s budget.
Let it inflate — it doesn’t threaten the domestic political equation.

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3. Why Locals Always Lose the Competition: “Prove Yourself Forever” Culture

Foreign PMETs arrive with credentials that HR departments treat as gospel:

Top schools abroad

Global experience

Corporate mobility

Prestige signalling

Locals rarely get the same assumed legitimacy. They are seen as:

Replaceable

Abundant

Lower-cost alternatives

Less internationally mobile

The bias is systemic, not personal.

A local officer must prove competence.
A foreign managerial hire simply is presumed competent.

This is why locals climb slower and must play internal politics harder.
The expat flies; the local grinds.

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4. Why the Government Avoids Equalising Pay: Foreigners Are a Safety Valve

Here’s the part few Singaporeans realise:

Foreign PMETs are not just labour — they are a political buffer.

They absorb:

high-paying jobs

market wage inflation

corporate expectations

economic volatility

If companies had to raise salaries across all local workers to global levels, the domestic class structure would collapse:

Housing would inflate uncontrollably

CPI would surge

Singaporeans would demand EU-level welfare

SMEs would be wiped out

Older workers would be unemployable

Foreign PMETs absorb all the economic distortion so the PAP never has to restructure society.

That is why the government will not tax them more, restrict them sharply, or equalize wages.

They are useful precisely because they sit outside the social contract.

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5. Why Singaporeans Feel “Outcompeted” — It’s Not Competition, It’s Segregation

The local-vs-foreign labour market is not a fair race. It is a twin-track system:

Track A: Global expat economy

High pay, high mobility, global privileges, no long-term obligations.

Track B: Domestic Singaporean economy

Moderated wages, high cost of living, high long-term obligations (CPF, housing), and political vulnerability.

They overlap in workplaces — but not in outcomes.

Singaporeans feel outcompeted because they were never placed in the same race to begin with.

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6. The Social Consequence: A Generation That Feels Betrayed, Not Protected

When locals see foreigners earning $20k–$50k while they fight to reach $6k–$8k after years of grinding…

When they realise expats enter management roles already paid more than locals will earn in their lifetime…

When they see local engineers replaced by cheaper temporary visa holders…

When they see their own career ceilings defined by nationality, not talent…

They don’t just feel “outcompeted.”
They feel unprotected.

The silent message for 20 years has been:

> You are responsible for your own stagnation — not the system that engineered it.

This is why resentment grows not from racism, but from betrayal.

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7. The Untold Truth: Singapore Chose Competitiveness Over Citizens

The PAP made a rational, strategic decision 25 years ago:

To be globally competitive, Singapore must compete with cities — not countries.

To attract global capital, Singapore must offer:

global salaries for foreigners

local salaries for residents

no unions

no wage floors

no social obligations

This is the economic model.

But every model has a cost.

The cost here is the dignity and bargaining power of the local worker.

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8. What Happens Next? The System Is Hitting Its Limits

The foreign-PMET model is now running into problems:

Locals resent the pay gap

Housing is priced to expat expectations

Food inflation pegs to a higher-income class

Birth rates collapse

Social trust erodes

Middle-class anxiety skyrockets

Singapore built a two-tier economy so well that the lower tier — its own citizens — are now suffocating under the upper one.

And everyone feels it.

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Final Thought

Singaporeans are not losing to foreigners.
They are losing to a system designed around them, but not for them.

The real competition is not between worker and worker.
It is between citizen protection and economic obsession.

And for decades, the government has chosen the latter.

Until Singapore confronts this structural truth, “foreign competition” will remain the polite label for what is, in reality…

A system where locals were never meant to win — only to hold the line while others are allowed to soar.