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System structure

Educational reform has been encouraged by the Saudi government as part of their Saudization employment initiative. Public education is free to all Saudi citizens through school (administered by the Ministry of Education) and university (the Ministry of Higher Education). The state school system is not usually accessible to foreign nationals, leading many parents to place their children at private international schools.

Academic year

The school year in Saudi Arabia typically runs from September through to June and consists of either two or three terms depending on the type of school. The day usually begins early and ends early, so working parents may need to make childcare arrangements for the afternoons.

Higher education

As the standards of education in Saudi schools have increased, so has the demand for university places and in response the Saudi Arabian government has opened a number of new establishments in recent years. The creation of private universities has also been encouraged to take some of the pressure off government universities. International students are welcome at Saudi universities, but it is fairly rare for the children of expats to continue into higher education in the country, particularly given that when boys turn 18 they are no longer covered by their father’s Iqama.

Funding

While Saudis are funded through university, foreign nationals must pay their way. The government does offer some scholarships to non-Saudis, although some of these offers may be subject to the student passing an Arabic exam.

Courses

Universities in Saudi Arabia typically offer associate degrees, bachelor’s degrees, master’s degrees and doctorates. Courses last for different lengths of time depending on the qualification level and subject. Undergraduate courses usually last four years, but some subjects may take up to six years. Although many institutions are segregated and there are some limitations on the types of course that women can take, enrolment rates for females are high and there are now some mixed universities.

Research

Research is a growing area for Saudi universities and is attracting considerable investment. For most information, consult the relevant university directly.

School education

State primary education begins at the age of 6 and lasts for six years, before three years of intermediate education and three years at secondary school. The curriculum is religious with teaching almost entirely conducted in Arabic and schools are segregated by gender. Exams are taken every two years to monitor progress. At secondary level, children have the option to go down a general educational route or to attend a more technical or vocational establishment. International schools tend to follow the structure of their home curriculum and offer qualifications to the same framework.

Preschool and childcare options

Preschool education is not compulsory in Saudi Arabia, but it is popular with Saudi families and expats alike and is increasingly viewed as an important period in a child’s development. Some employers provide dedicated pre-schools or crèches for the children of their employees as private enrolment can be very expensive. Alternatively, some families chose to hire a full-time nanny as labour rates are low and this can sometimes be the most cost-effective form of childcare.

Geographical variation

Typically the cost of living in Saudi Arabia is more expensive in the cities and suburbs. Although the country is reputed to have a low cost of living, prices for most goods are not really as low as they seem (with fuel being the notable exception). While locally-sourced produce is cheap, imported goods can be quite expensive. However, with low taxes, less entertainment facilities to spend money on and employers often subsidising housing or living costs, foreign nationals typically find their spending power goes up considerably compared to home.

Accommodation

The majority of foreigners in Saudi Arabia live in expat compounds, but this is not compulsory. Although foreign nationals are no longer banned from buying property in Saudi Arabia, it is not common practice as various permits are required and renting is usually a more cost-efficient option. Because most foreign workers are sponsored by their employer, many companies will arrange accommodation as part of the employment package, at least on a short-term basis. If not, a relocation allowance or the services of a relocation consultant may be offered instead. The transient nature of the expat population means some landlords will only deal with a local contact, so speak to your sponsor before searching for your own accommodation.

Rental deposit

A deposit of one month’s rent is usually requested as security in addition to the first monthly payment. However, some landlords will ask for advance payment of six months’ or even a year’s rent. In these situations, employers will normally cover the cost and enable you to pay monthly rent back to them.

Property tax

In some regions there is a local tax imposed on property. The baladiya covers the cost of local services like road maintenance and refuse collection. Some landlords include it in the rent while others leave it to the tenant, so make sure you ask ahead of signing a contract.

Utilities

In Saudi Arabia, utility costs are subsidised by the regional authorities through state-owned suppliers. Water is provided through the National Water Company and electricity through the Saudi Electricity Company. There is no mains gas supply, but bottled gas can be purchased fairly cheaply. Watch the electricity bill in summer though – air-conditioning costs can really add to your expenditure. The telephone, mobile phone, internet and TV service markets are more competitive, with state provider Saudi Telecom Company aiming to keep prices low and encourage investment.

TV licence

Saudi Arabia does not have a TV licensing system, but the state broadcaster only runs one English-language channel. However, paid and free-to-air services are available through companies like Nilesat and Arabsat, offering a greater choice of language services for expats.

Healthcare and medical costs

A good standard of healthcare is provided to Saudi citizens free of charge by the Ministry of Health. While expats are allowed to access the same healthcare facilities, they must pay for treatment which can be very expensive. As a result it is now compulsory for foreign nationals living in Saudi Arabia to have health insurance, but many employers will provide this as part of their proposition.

Shopping

Shopping choice is extensive in Saudi Arabia, with everything from the bargains of local souqs to practical supermarkets and high-end designer stores. Grocery shopping can be fairly cheap, as can white goods which have fairly low import duties. However, clothing can be expensive, and while they have a great choice, the top malls are not the place to go if you are looking for value for money.

VAT

In line with its low-tax policies, Saudi Arabia does not charge value-added tax (VAT) on goods and services.

Price guide

• Rent on 1-bedroom apartment in city centre – SAR3,674.73 (≈£761.77) per month
• Rent on 1-bedroom apartment outside city centre – SAR2,359.68 (≈£489.16) per month
• Loaf of bread – SAR3.49 (≈£0.72)
• Milk (1 litre) – SAR6.61 (≈£1.37)
• Bottled water (1.5 litre) – SAR2.18 (≈£0.45)
• Draught beer (0.5 litre) – SAR22.00 (≈£4.56)
• Packet of cigarettes – SAR28.00 (≈£5.80)
• Petrol (1 litre) – SAR2.27 (≈£0.47)
• Cinema ticket – SAR65.00 (≈£13.47)

Source: www.numbeo.com (accessed July 2023)

Driving

With extraordinarily low fuel prices, road transport is the primary form of travel in Saudi Arabia and the country has an extensive road network. Most is relatively new and well-maintained, although in more remote areas of the desert the road quality drops significantly. Road signs are usually in both Arabic and English, although again this is less common in remote areas. However, the country has notoriously high accident rates and many expats avoid driving altogether.

Should you choose to take to the road, the minimum age to drive in Saudi Arabia is 18 and cars are driven on the right. It remains illegal for women to drive, although there are plans to relax this law over the next few years. Depending on their nationality, some expats may be allowed to drive in Saudi Arabia on their home licence or on an international driving permit for up to three months. Once an expat has obtained an Iqama (residence permit), they must hold a Saudi licence to drive, so most long-term residents opt to switch shortly after arrival in Saudi Arabia.

Driving laws are strict in Saudi Arabia and you must carry your licence, Iqama, insurance documents, registration documents and proof of vehicle ownership at all times. Cars must have a first aid kit, fire extinguisher, spare tyre kit and a warning triangle. As alcohol is illegal in Saudi Arabia, there is no maximum blood-alcohol limit. Driving under the influence of drink or drugs carries heavy penalties.

Taxis

Taxis are a popular means of transport, particularly for women who are unable to drive in Saudi Arabia. Fares are based on distance travelled and should be agreed before the journey commences. As of 2012 you are not allowed to hail a cab in the street – everything must be prebooked. As a result, taxi booking apps are very popular in Saudi Arabia, so use these to compare prices.

Buses and coaches

The low fuel prices in Saudi Arabia mean that buses are cheap and therefore an important part of the transport infrastructure. Commuter services make regular trips to city locations while tourist-orientated buses run regularly between airports and city centres. Some hotels and residence compounds run private bus services. For intercity travel, coach services are available through companies like the Saudi Public Transport Company(SAPTCO). Although they take longer, they are significantly cheaper than domestic flights. Be aware that men and women must sit in separate areas of buses or coaches, and some services may be restricted to men only.

Trains

The railway network in Saudi Arabia is run by the Saudi Railways Organisation, but it is not as extensive as might be expected. The only operational line runs from Riyadh to Dammam, but there are plans for new railways lines, including a high-speed link from Jeddah to Mecca and Medina. To travel on the trains, you need to show your passport or Iqama when you buy your ticket.

Metro

Although there are no operational metro lines in Saudi Arabia, the Riyadh has begun construction of one and other major cities look set to follow suit.

Air travel

Saudi Arabia has a number of international airports, with King Abdul Aziz International Airport in Jeddah and King Khalid International Airport in Riyadh the two busiest hubs. Despite this capacity, Saudi Arabia’s tight immigration controls mean it handles less transfer traffic than the neighbouring United Arab Emirates. However, there is also a growing market for domestic flights as people are willing to spend more to save time compared to a lengthy bus trip. The national carrier, Saudi Airlines, has the largest share of this market, but budget carriers like Flynas are also starting to emerge.

Other ways to get around

Saudi Arabia’s Red Sea ports of Jeddah and Duba offer ferry services to other major harbours including Suez and Sharm El-Sheikh in Egypt and Aqaba in Jordan. There are also ferries to southern destinations, but the unstable maritime situation in the region means these are rarely used by international travellers.

Working hours

The typical working week in Saudi Arabia is five or six working days and hours range from 40 to a maximum of 48 per week, although this is reduced during Ramadan. With Friday being the Muslim day of rest, the weekend is officially Friday and Saturday, although some private or international businesses and schools take Thursday as a day off instead of Saturday. Working hours can vary immensely, but government offices and banks tend to open early and close early.

Holidays

Saudi labour law grants a minimum paid leave entitlement of 21 days a year, rising to 30 days a year after five years of service. However, many employers will offer discretionary increases on this minimum, particularly when trying to attract employees from overseas. After two years of service, employees are also entitled to additional paid leave to perform the Hajj pilgrimage.

Public holidays

Apart from Saudi National Day, which always falls on 23rd September, public holidays in Saudi Arabia are taken according to the major festivals of the Islamic calendar. Dates are announced by the government according to lunar observances, and public sector workers generally receive more leave for these festivals than those in the private sector, so ensure you check with your employer before making plans around them.

Public holiday dates 

• Eid al-Fitr: 10-13th June
• Saudi National Day: 23rd September
• Eid al-Adha: 16-18th June

Visas and eligibility to work

Although foreign workers are usually welcomed by businesses in Saudi Arabia, the Interior Ministry imposes strict controls on the movement of foreign nationals and the Saudization policy actively promotes the employment of Saudis over foreigners. All visitors to Saudi Arabia, even those just passing through on connecting flights, require a visa to enter and exit permits to leave. Fines are imposed for even minor infringements so documentation must be vigilantly kept up to date. In some circumstances, business visas or other forms of visa may be available. These are simpler to obtain for short visits to the country and can also cover multiple entries.

It is very rare for foreigners to be granted Saudi citizenship, so many expats work there on a long-term temporary basis. To work in Saudi Arabia, you need a work visa and a residence permit (Iqama). To obtain these, a sponsor (usually your employer) must apply for a work visa on your behalf, so it is vital to find work and agree a contract before moving. Your employer will send you a contract of employment and an authorisation number for you to take to the Saudi Embassy in your home country when you make your visa application. You will also be asked for several other documents including various forms of identification, medical certificates and security clearances. Once you have travelled to Saudi Arabia, your residence permit provides a form of photographic identification and must be carried at all times.

Tax

Saudi Arabia is a famously low-tax country, and foreign nationals can live and work in the country paying little or no tax to the government. There is no employment tax and no social security deductions from wages, but those who are self-employed may be taxed on their income. Foreign nationals working in the country should always check the tax relationship between Saudi Arabia and their home country as some may require you to pay tax on foreign income.

Pensions

Saudi Arabia does not currently have a state pension scheme which is accessible to expats. Most foreign nationals living in the country either choose to continue paying into a state pension fund in their home country or take up a personal pension plan. Some employers will offer access to a pension scheme as part of their employment package, while other expats make their own pension arrangements, with many companies offering schemes to help foreign nationals maximise their low-tax salaries.

Benefits

The relatively small population and high GDP in Saudi Arabia enable the government to operate a number of welfare schemes without the need to tax workers in the country. However, like pensions, social security in Saudi Arabia is largely restricted to Saudi nationals, so expats will need to pay for any services used. It is compulsory for foreign nationals to have medical insurance. Be aware that the trade unions are illegal in Saudi Arabia.

Disability

Historically Saudi Arabia had very little legal provision to protect the rights of disabled workers. Recently there have been new initiatives to end discrimination on the basis of disability, including employer incentive schemes, but their impact is yet to be fully realised. Foreign nationals are not entitled to any kind of disability benefits in Saudi Arabia.

Organisational structure

Although some of the multinational corporations in Saudi Arabia may have a more international culture to them, business operations are usually very conservative and hierarchical. Showing respect for family and elders is paramount, so you will need to maintain the correct degree of formality. Older people and those in senior positions are treated with the utmost respect and their decisions are rarely questioned. The decision-making process can be very prolonged as Saudis like to take time to weigh up options and get to know people before accepting a proposition.

Management style

In Saudi Arabia there tends to be some distance between managers and subordinate staff. Managers reach decisions after lengthy discussions with major stakeholders, but once that decision is made, junior employees are expected to implement it without question. In general, Saudis tend to be quite risk averse and changes may take a long time to implement. Failure is seen as a reflection on both the individual and the group, which goes some way towards explaining the frequently lengthy deliberations.

Formality

Civility and manners are important in Saudi Arabia, so adopt a formal approach to make the right impression. Avoid abbreviating people’s names without invitation as this may cause offence. Before meeting a new contact, try to find out the correct form of address for them, particularly if they hold a title such as ‘Sheikh’, meaning ‘chief’. If in doubt, the usual form of generic address is ‘Sayyed’, meaning ‘Sir’ for a man or ‘Sayeeda’, meaning ‘madame’ for a woman, followed by their full name.

Relationships

Business in Saudi Arabia is a very personal affair. Face-to-face meetings are essential to developing the relationships you need to succeed there. Your sponsor may be able to help with introductions, but patience will be your best friend. Put aside plenty of time for meetings and social occasions as both are frequently interrupted. That said, Saudis enjoy taking the time to get to know you, and even though you may need to make several visits to achieve positive outcomes the effort will be appreciated.

Dress code

There is a tendency amongst Saudis to judge people on appearances, so it’s important to look the part. Wearing good-quality, conservative clothes will make a good impression. Most Saudi businessmen wear variants on the traditional thobe and keffiyeh for both business and leisure, although some choose Western attire. Male visitors are not expected to wear traditional Saudi business attire, but it’s important to respect the conservative nature of society, so men should wear long trousers and a long-sleeved shirt if not a suit and tie. Saudi women wear the abaya in public, although many now choose Western clothing at home. Women visiting the country must dress modestly, covering their shoulders, arms and legs at all times. They should also wear a headscarf in public as the police may stop women whose hair is not covered.

Greetings

The typical business greeting between two men in Saudi Arabia is a handshake. Two women may hug, but men and women who are not acquainted must not greet each other in public. Social situations will most likely be single-sex or segregated, however, don’t be surprised if people stand very close to you as the concept of personal space is different in the region.

Punctuality

Appointment times are usually considered guides in Saudi Arabia as the culture is very fluid in timings. That said, you will most likely be expected to arrive on time even if your contacts are not! If you are working to strict deadlines, you will need to continually reiterate the timescales to have any chance of sticking to them.

Meetings

Small talk is common prior to meetings but you should always avoid personal questions such as enquiring about wives or children. Saudis are tough negotiators and will often start with an excessively low or high price in their own favour. Everything is considered negotiable, but high-pressure tactics are not welcome. Instead, repeat your main points as this will signify that they are true. There is a tendency for Saudis to avoid giving negative answers, so a verbal ‘yes’ may in fact only mean ‘maybe’ and decisions are easily overturned.

Cultural sensitivity

The Islamic faith is culturally bound to the Saudi nation and religion has a great impact on day-to-day life. Friday is the Muslim holy day and no business activities take place then. Muslims also pray five times a day, so be considerate of this when scheduling appointments. Although Western visitors are not expected to fast during Ramadan, be respectful and avoid eating or drinking in public places during this holy month. Also, be aware that Saudi society places numerous restrictions on the rights of women, so it is essential to understand the expectations of your hosts.

Business language

Arabic is the official language of Saudi Arabia, but English is widely spoken, particularly in a business environment. As it is a compulsory second language in schools, many Saudis have at least a basic knowledge of English, but it’s still worth getting presentation materials professionally translated. Business cards are usually exchanged during meetings, so it’s useful to have one side of yours printed in Arabic.

System structure

The education system in Singapore is managed by the Ministry of Education, which controls state schools and supervises the development of private schools. Private and international schools are regulated by the Council for Private Education. All children must attend six years of compulsory education at primary school between the ages of 7 and 12. Classes are taught in English, although most children are also required to learn a ‘mother tongue’ such as Malay, Tamil or Mandarin. After primary school children may enter different types of secondary school for four or five years depending on the type of studies, then go on to post-secondary and higher education.

Academic year

Term dates for most schools in Singapore are set centrally by the Ministry of Education. State schools follow a two-semester structure, with the academic year running from January to November. Many private institutions also stick to this system, but some international schools may take their term dates from their parent country’s education system instead. Extracurricular activities are heavily encouraged and in secondary school, all children must take at least one, so the school day is usually structured to accommodate this.

Higher education

Although there are only a small number of autonomous public universities in Singapore, the number is growing as the government continues to invest in education. There are also large numbers of private universities and international campuses of foreign universities based in Singapore. Admission to university usually requires a minimum of 12 years of full-time education and a Singaporean High School Diploma or equivalent qualification. Other options for post-secondary education in Singapore include polytechnics, junior colleges and the Institute of Technical Education.

Funding

Almost all students in Singapore have to pay tuition fees at some level, but the costs for foreign students are significantly higher than those charged to Singaporean citizens and permanent residents. Some publicly funded universities offer reduced fees to selected applicants, but not all institutions will make such offers to international students. Private universities are usually more expensive but also have more flexibility to support foreigners wishing to study there. There are several scholarships for university students too, but again many are not available to foreign nationals.

Courses

Universities in Singapore offer a complete range of undergraduate and postgraduate courses. Undergraduate degrees typically last three or four years while postgraduate degrees range from a single year of studies through to five or six years. Although courses cover a large spectrum of subject areas, there is a strong emphasis on economic value in education planning in Singapore, so there tend to be more options on offer for science and business-orientated courses.

Research

While the older universities in Singapore are better established for research, there are more opportunities developing as the government continues to grow the higher education sector. For information about current research and potential grants, contact the National Research Foundation.

Primary and secondary education

Schools in Singapore are characterised by streaming and frequent assessments, but standards of education are considered very high. Although the state school system is not free, fees are heavily subsidised by the government for Singaporean children and permanent residents. Unlike some countries in the surrounding region, Singapore’s state schools do allow the children of foreign nationals to attend, but the cost of tuition is much higher and the application process can be complicated.

Preschool and childcare options

Although not compulsory, preschool education is considered increasingly important in Singapore, and the Ministry of Education has created a Nurturing Early Learners (NEL) curriculum to supplement the central education system. As well as the new Early Childhood Development Agency, several kindergartens have been created as part of the scheme, but they are currently only accessible to citizens and permanent residents. There are plenty of private preschool and childcare options in Singapore though, most of which are willing to accept the children of foreign nationals.

Geographical variation

By reputation, the cost of living in Singapore is much higher than in many Asian countries, and the city-state regularly features in the list of most expensive cities to live in. With land at a premium, accommodation is particularly expensive compared to neighbouring Malaysia. The priciest places to live are in the Central Area, however, there are some cheaper regions where larger or more affordable properties can be found. The costs of education and running a vehicle can also be high for expats, but the day-to-day shopping may be less expensive than you first anticipate.

Accommodation

The cost of accommodation in Singapore depends largely on the type of property and its location. Many expats choose to live in private condos because of the attached amenities, although these are usually more expensive to rent or buy than regular apartments. The cheapest housing available in Singapore is usually Housing and Development Board (HDB) property, but access to this scheme is restricted for foreign nationals so most properties of this type are occupied by Singaporeans.

Similarly, there are restrictions on foreigners purchasing property in Singapore, although these were relaxed in 2005. Non-Singaporeans can now purchase apartments or condos with few obstacles, but must still seek permission from the Singapore Land Authority to buy land or most types of detached housing.

Rental deposits

In Singapore, there are several upfront costs associated with renting a property. The security deposit can be up to three months’ rent, while a ‘good faith’ fee is also payable, although this may become the first monthly rental payment after completion of the let. Tenants are also liable for stamp fees on a property.

Local taxes

Local and town councils usually charge Service and Conservancy Charges (S&CC) to cover the cost of amenities in the area. Rates vary across the country and also depend on property type and the residency status of the occupiers. Contact your local council for further details.

Utilities

Water supply in Singapore is regulated by the Public Utility Board (PUB), but billing is managed through Singapore Power (SP), which is the main provider for all other utilities in Singapore. This means that most of your utilities can be set up and managed through a single online application. Be aware that connection charges may apply and you will also need to pay a deposit, which varies according to the size of the property. For internet and telephone services, there is slightly more choice, so shop around for the best prices through providers like SingTel, StarHub and M1.

TV licence

The television licence was abolished in Singapore in 2011 and the public broadcaster MediaCorp provides a range of free-to-air channels, although paid cable and satellite TV services are also popular.

Healthcare and medical costs

Singapore has an excellent standard of medical care, although very few services are offered free of charge. Instead, the system is funded by insurance, with Singaporean citizens and permanent residents paying their share through their Central Provident Fund (CPF) contributions. Non-resident foreign nationals are often insured privately by their employer, but if not then it is advisable to take out a private health insurance scheme as although the costs of care are comparatively low, medical bills can mount up very quickly.

Shopping

As a self-confessed nation of shoppers, you will find no shortage of places to purchase essentials, while less essential items can also be bought at the impressive array of malls and shopping destinations around Singapore. For grocery bargains, try your local ‘wet market’ for fresh meat, fish and vegetables at very reasonable prices – you’ll need to get up early in the morning for the best choice though!

GST

Goods and Services Tax (GST) is a value-added tax charged on the majority of goods and services in Singapore. For more information on GST, including rates and exemptions, visit the Inland Revenue Authority website.

Price guide

• Rent on 1-bedroom apartment in city centre – SG$4,667.11   (≈£2,733.06) per month
• Rent on 1-bedroom apartment outside city centre – SG$2,967.54 (≈£1,737.79) per month
• Price of apartment in city centre – SG$27,836.77  (≈£16,301.21) per square metre
• Price of apartment outside city centre – SG$15,626.09 (≈£9,150.64) per square metre
• Loaf of bread – SG$2.96 (≈£1.73)
• Milk (1 litre) – SG$4.16 (≈£2.44)
• Bottled water (1.5 litre) – SG$2.09 (≈£1.22)
• Draught beer (0.5 litre) – SG$5.37 (≈£3.14)
• Packet of cigarettes – SG$15.00(≈£8.78)
• Petrol (1 litre) – SG$2.88 (≈£1.69)
• Cinema ticket – SG$15.00 (≈£8.78)

Source: www.numbeo.com (accessed August 2023)

Driving

Singapore has a modern road network which is linked to Malaysia via the Johor-Singapore Causeway. To cut congestion, Singapore has a toll system called the Electronic Road Pricing (ERP) scheme, which charges motorists for access to busier areas. The system uses a unit inside the vehicle to register charges, and it is illegal for vehicles not to be equipped with one. Short-term visitors to Singapore may drive on a foreign driving licence provided that they have an English language copy, but anyone entering the country on a pass or intending staying for more than 12 months must convert to a Singaporean licence, usually by passing a theory test.

In a nod to its British colonial past, vehicles in Singapore are driven on the left and most road signs are in English. Drivers must be aged 18 or over, and all vehicles must be taxed and insured to be road-legal. It is important to note that seatbelts are compulsory for everyone in a vehicle and headlights must be switched on between the hours of 7 pm and 7 am. For more information on driving in Singapore, visit the Land Transport Authority website.

Taxis

Taxis are readily available across Singapore, with over 26,000 vehicles run by a variety of operators. Most are metered and the fares are relatively inexpensive, although buses and other forms of public transport are usually cheaper. Although you can usually either book or hail a taxi, there are some restrictions preventing pickups on major bus routes.

Buses

A modern, air-conditioned bus fleet provides a cheap and efficient way of travelling in Singapore. Routes are operated by SBS Transit and SMRT Corporation, and you can plan your journey and calculate the correct fare using the TransitLink Bus eGuide.

Trains

Singapore has two major national railway systems: Mass Rapid Transit (MRT) and Light Rail Transit (LRT). Services are operated by SBS Transit and SMRT Corporation, and a map of both systems is available through the PublicTransportSG website along with a fare calculator. Rail services to Malaysia are also available via the Johor-Singapore Causeway, and a monorail service called the Sentosa Express provides a link to the southern resort island of Sentosa.

Air travel

Despite the country’s small size, Singapore is home to one of the busiest airports in the world. The impressively modern-looking Changi International Airport actually opened in 1981 but has been continually developed since to remain a key facility for flights across Asia. Over 50 million passengers pass through the airport each year en route to destinations in over 60 countries. The national carrier, Singapore Airlines, is one of many airlines to operate out of Changi as its central hub. Domestic flights are largely unnecessary, but some private services do operate out of Changi and the smaller Seletar Airport.

Ferries

Because of its convenient location and the country’s relative lack of natural resources, the Port of Singapore is among the world’s busiest in terms of shipping tonnage handled each year. Not so much a single port in the traditional sense as a collection of coastal shipping facilities, the Port of Singapore operates ferries to neighbouring islands as well as destinations in Malaysia and Indonesia.

Planning a journey

There are several season tickets and concessions available for both tourists and permanent residents in Singapore. For more information on getting around the main island, visit the TransitLink website.

Working hours

The normal working hours in Singapore are Monday to Friday from 9 am to 5 pm, although some companies also work a half day on Saturdays. The majority of workers in Singapore are covered by the Employment Act, which sets a maximum number of contractual working hours of nine hours per day or 44 hours per week. Overtime is permitted but must be paid, and every employee is entitled to at least one day of complete rest each week.

Holidays

In Singapore, statutory holiday entitlement is linked to length of service. Under the Employment Act, employees with over three months of service are entitled to annual leave. During your first year, the entitlement will be pro-rated according to a government-defined formula. At one year’s service, your minimum entitlement is seven days of leave, which rises by a day each year up to a maximum of 14 days for eight years of service. Sick leave and maternity leave are also paid, but some other forms of leave such as paternity or adoption leave may only be available to Singaporean citizens, unless covered by your employer.

Public holidays

Public holidays in Singapore reflect the country’s ethnic makeup, with major festivals from several cultures represented in the calendar. All employees who are covered by the Employment Act are entitled to 11 public holidays as paid leave. If an employer asks staff to work on a public holiday, they must either give a day off in lieu or pay an additional day’s wages to the employee or employees concerned.

Public holiday dates

• New Year’s Day 1st January
• Chinese New Year 10-12th February
• Good Friday 29th March
• Hari Raya Puasa 10th April
• Labour Day in Singapore 1st May
• Vesak Day (Birth of Buddha) 22nd May
• Hari Raya Haji (Feast of Sacrifice) 17th June
• National Day Singapore  9th August
• Deepavali 31st October
• Christmas Day December 25

Visas and eligibility to work

Depending on your nationality, you may need a visa to enter Singapore. For a full list of countries requiring entry visas, consult the Immigration and Checkpoints Authority website. The government in Singapore is keen to monitor the number of foreign workers in the country and operates a system of levies and quotas for their employment. As a result, all foreign nationals working in Singapore must hold a valid Employment Pass appropriate to their circumstances. To find out which pass you should apply for, use the Pass Navigator tool on the Ministry of Manpower website. If you are planning to remain in Singapore for the long term, you may wish to consider applying for permanent residency or citizenship, in which case you will be issued with a National Registration Identity Card.

Tax

Singapore has very low-income tax rates, with the highest earners paying tax at around 20%. For foreign nationals, the rates paid depend on both earnings and tax status. Your residency status for tax purposes depends on the duration of your stay:

• 60 days or less – you are non-resident for tax purposes and employment income is exempt from tax
• Between 61 and 182 days a year – you are non-resident for tax purposes and will be taxed at the higher of the progressive resident rates or 15%
• 183 days a year or more – you are a resident for tax purposes and all your income will be taxed at progressive resident rates, although you may be entitled to claim tax relief

The tax year in Singapore runs from 1st January to 31st December. For more information on tax rates for foreigners, visit the Inland Revenue Authority of Singapore website.

Pensions and benefits

Retirement pensions and other social security schemes including healthcare and family benefits are paid for through the Central Provident Fund (CPF). The CPF is funded by a combination of employer and employee contributions. Contributions are mandatory for Singaporean citizens and permanent residents. Foreign workers who are employed in the country on an Employment Pass are not required to contribute but are not ordinarily able to access benefits as a result.

Disability

Although Singapore has guidelines for respecting the rights of disabled workers under the Tripartite Alliance for Fair and Progressive Employment Practices, they are not legally binding. However, most companies are more than happy to make reasonable adjustments for disabled workers, so speak to your employer about your individual needs before accepting a position.

Organisational structure

Singapore’s multiculturalism means that business dealings are influenced by Malay, Chinese and Indian values, as well as the many other cultures represented in the community. Singaporean businesses are generally hierarchical, although some international companies based in the country may have a flatter organisational structure. Although managers try to be egalitarian, senior figures command a lot of respect and so decisions are usually made at the top. However at the boardroom level, a consensus is usually required before progress can be made, so decisions take time.

Management style

As in many Asian countries, the concept of ‘face’ – effectively your personal honour and dignity – is very important in Singapore. Within the hierarchical culture, this means that employees rarely ask questions of their managers as this would imply that their superior had failed to explain effectively. Managers may spend time writing detailed instructions to ensure everyone knows what is required. Lower down the ranks, employees at the same sort of level will work together to reach a successful conclusion. Many smaller businesses in Singapore are run much like a family, with the eldest and wisest typically managing the group. In general, the best managers are regarded as those who can create a harmonious, collaborative environment.

Formality

Politeness is valued very highly in Singapore, so take a formal approach when you meet new people. Use titles and surnames unless invited to do otherwise. Many Singaporean people who have a lot of international business dealings will adopt a Western name and invite you to use that. First impressions count for a lot in Singaporean culture, so always try to make a good one.

Relationships

Business relationships with Singaporean contacts take time to develop. Always try to be patient, as rushing people into making business decisions may imply that you are out for short-term gains only and spoil your chances of building long-term relationships. Networking is important, and there are always several business events going on in Singapore.

Dress code

Business clothing is an important part of making a good first impression, although the exact dress code will depend on the event. It is generally better to err on the side of formal, so long-sleeved shirts with ties and dark trousers are appropriate for men. Women usually wear smart trousers or skirts with a blouse or smart top.

Greetings

A light handshake is the normal business greeting in Singapore, but be aware that this may vary for people from different cultural backgrounds. If you are not sure what the appropriate greeting will be, follow the lead of the eldest or most senior person in the room. Sometimes women in Singapore will be reluctant to shake hands with men, so if a woman crosses her hands in front of her body during greetings, do not offer your hand – the protocol is a slight shake of the head in acknowledgement.

Punctuality

Unlike some countries, such as neighbouring Malaysia, it is very important to be punctual in Singapore. Deadlines are taken quite seriously and nobody appreciates having their time wasted so always try to deliver on time.

Meetings

Meetings in Singapore are typically quite well-organised and structured, but the communication within them can be quite nuanced. People will typically save face rather than speak their minds, so you may need to read between the lines a little. Many Singaporeans will avoid confrontation and often won’t give a direct ‘yes’ or ‘no’ answer for fear of offending the person who asked the question. As a result, negotiations can be quite slow, but it is important to remain calm and patient throughout. Be sure to take time to consider a question before answering it as rushing into an answer can be viewed as dismissive. Similarly, if you are offered a business card, take time to look at it before putting it away, as again moving too quickly can appear disrespectful.

Cultural sensitivity

Maintaining face is hugely important in Singapore both for you and your contacts. Expressions and body language are therefore vital – you should make an effort to appear interested at all times and not dismiss anyone’s opinions or ideas out of hand.

Business language

Although Singapore has four official languages, English is the most commonly used in a business environment. Most people in Singapore speak English fluently and many are also proficient in Malay, Mandarin or Tamil too, so the language barrier is rarely an issue for business dealings.

System structure

Education is of great importance in South Korea. With the growth in industrialisation, the need for highly qualified employees emerged as an important factor to cope with scarce capital and resources.

Children’s education is considered a top priority for many families and this has resulted in a large number of well-educated people. This has helped South Korea succeed in its aim of rapid economic growth.

Standard school education includes kindergarten (1 to 3 years), elementary school (6 years), middle school (3 years), high school (3 years), and university. There are also junior colleges (2 or 3 years) and graduate schools (for masters and Ph.D. degrees).

Academic year

In most schools, the academic year lasts for approximately six months. The fall semester typically runs from September to December and the Spring semester begins in January and ends in April.

Higher education

The 370 official higher education providers in Korea include six top-20 entries and 57 representatives in total among Asian Universities, and 29 included in the QS World University Rankings 2019.

South Korean universities produce many highly educated people specialising in disciplines seen as essential for economic growth and prosperity, namely physics, electronics, mechanical engineering, business management, economics, and accounting.

English is a relatively common language among educated adults, with some also speaking a further foreign language.

Funding

The cost of courses can vary depending on the university. Private universities are generally more expensive and one semester for an undergraduate degree can range from £2100 to £4300 and £2600 to £5000 per semester for graduate degrees.

Public and national universities in South Korea are less expensive than private universities. An undergraduate degree at these types of institutions usually ranges from £1400 to £3200 per semester, and postgraduate degrees can cost anywhere from £1700 to £3600 per semester.

Courses

South Korean higher education is divided into 2-to 3 years, a junior college program, 4-year universities program and graduate schools.

The development of information and communication technologies has led to an increase in online universities that deliver e-learning courses. Master’s and doctoral degree programs are normally provided as university courses, however, separate ‘graduate schools’ are also being established to offer exclusively graduate programs with no affiliations to universities.

South Korean universities are divided into 3 tiers, national universities, which are those established and operated by the central government, public universities, which those established by local governments and private universities which are founded by private non-profit educational foundations.

Primary and secondary education

South Korean education is a single-track system with six years of elementary school, three years of middle school, three years of high school, and four years at the undergraduate university level. Nine years of education is a compulsory minimum, including six years of elementary school and three years of middle school.

Each academic year has two semesters, the first semester is from March to August and the second from September to February. School vacations in summer run from July to August and in winter from December to February.

Preschool and childcare options

Korean is the most common language in preschool although English-taught curriculums are offered in some private kindergartens. The programs are classified by age groups (from three to five).

The approximate cost of public kindergarten is around £38 per month while private and English kindergartens approximately require between £300 and £550. This fee normally includes the tuition fee, studying materials, food and transportation to and from kindergarten.

Accommodation

If accommodation is not arranged by your employer, there are a few options available to explore. For renting from a landlord, there are two types of property rental contracts. The most common contract is a “jeonsei” which requires the tenant to pay a specified sum to the landlord (usually 30-80% of the cost to rent the property).

The ‘jeonsei’ contract is also abided by short-term tenants.

The second type of contract is called “wolsei”, where the tenant pays a monthly fee to the owner.

There is a third option available where the two rental contracts are combined. The tenant is required to pay a large sum upfront and continue with small monthly payments.

Most rental contracts last for an average of 2 years and the tenant is responsible for seeking the landlord’s consent to renew the contract.

Other accommodation options include hotels, which are more expensive but safe and comfortable, or hostels, which are cheaper dependent on quality.

Local taxes

The income, corporation and value-added taxes contribute to the majority of the South Korean tax revenue. In addition, revenue is also collected towards government programmes through transportation, education and rural development tax.

Utilities

It is important the rental contract is checked for information on utilities (including extras such as the internet and phone). The majority of apartment complexes and villas have utilities set up in advance, where the bill is split among the residents.

If the information is unclear in the contract, you will need to contact utility companies and arrange the service on the day before you arrive.

TV licence

In South Korea, the TV licence fee is collected by the Korean Broadcasting System and Educational Broadcasting System.

Also, if particular services require more time for installation, please consider and plan accordingly.

Extras such as cable TV and the Internet will not automatically be provided by your landlord. English teachers or tutors living in a pre-arranged residence should already have the basics set up by their employer.

Healthcare and medical costs

Generally, medical and dental care in South Korea is of a high standard. Hospitals have advanced medical equipment and facilities readily available. Staff may not always speak English however, and the treatment can be relatively expensive.

Throughout the year, especially during spring months, air pollution, including yellow dust pollution, is common in South Korea, this mostly affects the elderly and those with respiratory problems. Please follow local media reporting and the Korean Meteorological Service website for the latest advice.

Shopping

South Korea is one of the world leaders in credit card usage. By law, all merchants have to accept them. You can pay for an amount as low as 2,000 won  (equivalent to £1.50) at convenience stores using a credit card.

One of the main benefits of using credit cards is that you will receive a tax refund for usage, so you will find most people use credit cards for nearly 100% of their purchases. However, many merchants (especially Dongdaemun clothing retailers) can offer a discount of up to 10% if you pay in cash.

This does not apply to major department stores like Lotte and Shinsegae.

Sales tax

The standard VAT rate is 10%. Except where a specific exemption is provided, VAT is levied on the importation and supply of all goods and services into South Korea.

Price guide

• Rent 1-bedroom apartment in the city centre –  ₩653,079.01  (£397.07)
• Rent 1-bedroom apartment outside the city centre – ₩471,539.53 (£286.70)
• Price of apartment per square metre in the city centre – ₩15,904,962.42 (£9,670.22)
• Price of apartment per square metre outside the city centre – ₩10,532,244.47  (£6,403.60)
• Loaf of bread – ₩3,731.00 (£2.77)
• Milk (1 litre) – ₩2,939.98 (£1.79)
• Bottled water (1.5 litre) – ₩1,402.24 (£0.85)
• Domestic Beer (0.5 litre bottle) – ₩2,857.55 (£1.74)
• Packet of cigarettes – ₩4,500.00 (£2.74)
• Petrol (1 litre) – ₩1,866.08 (£1.14)
• Cinema ticket – ₩15,000.00 (£9.13)

Source: www.numbeo.com (accessed August 2023)

Driving

To drive legally in South Korea an International Driving Permit is required. Driving licenses may be attained at age 16 for cars and motorcycles. Traffic can be relatively intense in the cities. There could also be serious penalties or even criminal charges when accidents result in injury, even if guilt is not proven.

Taxis

English speaking taxi drivers are not very common. Ilban (regular taxis) can cost about ₩3300 (£2.5) for the first 2km with a 20% surcharge from midnight to 4am, while the pricier mobeom (deluxe taxis; black with a yellow top) that exist in some cities cost around ₩5500 (£4) for the first 3km with no late-night surcharge.

Buses

The buses in the cities are well-developed and not expensive – from ₩1200 (less than £1) a trip. However, rural buses generally run on an hourly or half-hourly schedule.

All timetables, bus-stop names and destination signs are usually in Korean. Sometimes the best way to find the right route is to ask in a local tourist information centre, generally, these will have a member of staff that speaks English, or use a smartphone app, such as Naver Map, which is available in English.

T-Money Cards

For the most common categories of public transport, it is handy to have T-Money or Cash Bee card. Buses, taxis, subways and trains accept both of the cards, however, T-Money is more common. An added bonus of the card is it provides a ₩100 discount per trip. The basic card can be bought for a nonrefundable ₩3000 (£2) at any subway station booth, bus kiosk or convenience store displaying the T-Money logo, which is widely available across the country.

Cards can also be used to buy goods in vending machines and convenience stores.

Train

The South Korean railway system is well-developed and easy to travel. There are two main train operators in South Korea: the more expensive Korea Train Express (KTX) and Saemaul. However, KTX regularly offers a wide range of discounts and special offers, for example, reduced costs if buying the tickets from 30 to 7 days before the journey, or half-price on the tickets for children.

Air travel

South Korea has 8 international and 6 domestic airports. The national carrier is Korean Air. Generally, airports are modern and well-connected.

Incheon International Airport (ICN) near Seoul is the largest airport in South Korea. Other large airports are Gimpo Airport (GMP) in Seoul and Jeju International Airport (CJU) in Jeju Province.

Ferries

The Republic of Korea includes many small islands alongside the southern and western coasts of the country which are served by ferries. In addition, the larger offshore Jeju and Ulleung Islands are also served by ferry. The main centers for ferry service are Incheon, Mokpo, Pohang and Busan, as well as China and Japan.

Working hours

South Korea has recently introduced a 52-hour maximum working week. The change was introduced to improve employee’s work-life balance. Overall, South Koreans are allowed 40 hours of regular work, as well as 12 hours of overtime.

National Holidays

The following five national holidays are the most popular in South Korea:

• Independence Declaration Day (Samiljeol), which commemorates the March First Movement
• Liberation Day (Gwangbokjeol) is celebrated on 15 August. It marks the national liberation from Imperial Japan in 1945
• National Foundation Day, marks the foundation of Gojoseon, the first state of the Korean nation, on the 3^rd day of the 10^th lunar month, 2333 BCE
• Hangeul Day (Hangeullal) 9th October, commemorates the invention and proclamation of the Korean writing system

Public holidays 

• New Year’s Day: 1st January
• Seollal: 9-12th February
• Movement Day: 1st March
• Children’s Day: 5th May
• Buddha’s Birthday: 15th May
• Memorial Day: 6th June
• Liberation Day: 15th August
• Chuseok: 16-18th September
• National Foundation Day: 3rd October
• Hangeul Day: 9th October
• Christmas Day: 25th December

Visas and eligibility to work

South Korea requires a visa to visit the country, to study or to work there. In the education sector, the most common are E-5: Visa for professionals, E-1: Visa for Academics and E-3: Visa for conducting a research project.

As the requirements can vary for different citizenship holders, it is worth visiting the official resource Hi Korea. This is the main site of the electronic government for foreigners, created by the Ministry of Justice, the Ministry of Knowledge Economy and the Ministry of Labor.

Tax

The tax year in South Korea runs from Jan 1^st to Dec 31^st.  The level of tax paid on earned income depends on the individual resident classification, with all residents, including foreigners, having to pay a resident surtax of 10% of their taxable income.

Foreign employees, who choose the flat rate option for their individual income tax, would then pay 18.5% when the resident surtax is added. Those who choose the progressive rate would pay 6%, 16.5%, 26.4%, 35% or 41.8% when the resident surtax is added.

Employers are required to deduct withholding tax from each employee’s salary each month. Employers must withhold the taxes for each employee to NTS by the tenth day of the following month.

Employers who have less than 20 employees can, with the permission of the tax office, pay the taxes withheld twice a year instead of every month – although the tax will still be deducted from each pay.

Pensions and benefits

The pension in South Korea is an earnings-related scheme with benefits based on both individual earnings and the average earnings of the insured individual as a whole. Currently, the pension age is 61 with at least ten years of contributions, although this is gradually increasing and will reach 65 by 2033.  The early retirement age is also gradually increasing from 56 to 60 years.

Disability

The rights of disabled workers in South Korea are defined under the Anti-Discrimination Against and Remedies for Persons with Disabilities Act 2007, with employers legally obliged to promote access to the workplace for disabled people.

Organisational structure

Companies in South Korea traditionally have a high degree of both centralisation and vertical hierarchy. Most large businesses are family affairs with the founder’s family being the main executive authority. This has resulted in a system where decisions are made at the top and delegated downwards.

However, this approach to business has started to be challenged by the introduction of modern, western management theories frequently from American-educated Koreans.

Management style

The management style is predominately hierarchical and paternalistic and is significantly influenced by Confucianism.

Confucianism stresses the importance of obedience and loyalty and this is present in manager/subordinate relationships. Managers are very helpful and supportive as long as they are treated with loyalty, respect and obedience and employees are expected to work hard and be prepared to make the necessary sacrifices to succeed in their jobs.

There are frequently team-building exercises to promote harmony in the team and to build staff loyalty.

The paternalistic management style here results in strong emotional ties between managers and subordinates. Organisations are often seen as an extension of the family and, therefore, relationships within an organisation are similar to those within a family.

Titles are very important among South Koreans and therefore it is very important to use professional and honorific titles when addressing someone in business. It is also important to bear in mind that Korean names are written as Surname and then their Given Name.

Relationships

Building relationships is an essential part of conducting business in South Korea. Relationships are often developed through informal social gatherings at bars and restaurants. Gatherings like this present a good opportunity for both sides to discuss business matters in a more relaxed and friendly surrounding.

If you are invited out for dinner or drinks it is advisable that you accept this as these occasions are often used to determine whether they would like to do business with you.

Dress code

The dress code is very important in South Korea and therefore it is important that you look smart at all times. Business attire is quite conservative and dark suits and white shirts are common for both men and women.

Smart business dresses are often favoured by women.

The winters are very cold in Korea and it is therefore essential that you also take a smart coat, scarves and gloves. On the other end of the spectrum, the summers are hot and you will also need a lightweight suit.

Greetings

The bow is the traditional way to greet people in South Korea. Handshakes also often accompany bows but this is much more common for men than for women.

If you would like to offer a business card then this should be handed over with both hands and face up so that it is easier to read. When you receive a business card, you should take a moment to examine it and then store it neatly.

It is considered very rude to put a card away without looking at it.

Punctuality

Punctuality is very important, and observing correct meeting times is a sign of respect.  You should never be late for meetings, however, if it is unavoidable, always call the person you are meeting with to let them know, even if it is just a few minutes.

Korean executives may arrive a little late due to being extremely busy and this is acceptable.

Meetings

All meetings should be booked well in advance with the date, time and location confirmed by email. Generally, communication in meetings is formal but friendly.

Keeping in mind the top-down style of management in South Korea, it is important that the most senior person in the team enter the room first and leaders should sit opposite each other around the table.

The exchanging of gifts is also common when conducting business in Korea, and helps build relationships. The host will present a gift first, which must be received using both hands, and then gifts are given in order of seniority.

Cultural sensitivity

When shaking hands, or passing out business cards, use two hands, or support your right arm with your left.

It is worth keeping in mind that in a South Korean business setting, saying ‘no’, or declining directly can be considered as poor etiquette.  South Koreans avoid confrontation and strive for harmony in all relationships, business or personal.

In order to ‘save face’ they will opt for a less defining answer, such as ‘I’ll try’ when unsure if they can fulfil requests.

It is worth remembering that Korea should be acknowledged for its distinctiveness and difference from other East Asian cultures, so avoid drawing parallels between the Korean culture and language with Japan.

Business language

Above all Korean is the official language, English is widely used in business settings, so it is not unusual to meet people who are fluent in English.

Depending on the region and the nature of your business, you could also encounter Chinese or Japanese speaking people, so check ahead to find out if translation will be required.