Singapore Announces Expanded Support for Training and Workforce Development

In a strategic move to bolster its workforce amidst global economic uncertainties, Singapore has unveiled a series of funding measures aimed at enhancing worker skills and supporting businesses. Prime Minister and Finance Minister Lawrence Wong, during his Budget 2025 address, emphasised the nation’s commitment to equipping its workforce for future challenges.

Central to the new initiatives is the enhancement of the SkillsFuture program:

  • SkillsFuture Level-Up Programme: Starting early 2026, mid-career workers aged 40 and above enrolled in part-time training courses will receive a monthly allowance of S$300. This is in addition to the existing support for full-time training, which offers up to S$3,000 per month, capped at 24 months.
  • Workfare Skills Support Scheme: Aimed at lower-wage workers aged 30 and above, this enhanced scheme will provide a training allowance of up to 50% of their average monthly income for full-time courses and S$300 per month for part-time training.

Empowering Businesses for Transformation

Recognising the pivotal role of employers in workforce development, the government has introduced measures to support business-led training and transformation:

  • SkillsFuture Workforce Development Grant: This new grant consolidates existing workforce transformation schemes, offering up to 70% funding for job redesign activities.
  • Company Training Committee (CTC) Grant: An additional S$200 million will be allocated to this grant, assisting businesses in upgrading their workforce. The expanded scope now includes employer-led training that leads to formal qualifications for workers.

Navigating Global Economic Challenges

Prime Minister Wong highlighted the impact of escalating global tensions, particularly the intensified competition between the United States and China, on Singapore’s open economy. To mitigate these challenges, the Budget includes corporate tax rebates, wage support for low-income employees, and significant investments in technology and innovation, such as a S$1 billion semiconductor R&D facility.

A Forward-Looking Approach

These comprehensive measures underscore Singapore’s proactive stance in addressing both immediate economic concerns and long-term workforce development. By investing in skills enhancement and business transformation, the nation aims to navigate global uncertainties and ensure sustained economic growth.

Written by Julian Fenwick, CEO and Founder, GRC Solutions