SkillsFuture Programmes

Budget 2025 continues to reinforce Singapore’s commitment to keeping workforce transformation central to supporting the growth of the nation as a dynamic global economic hub with a thriving, future-ready workforce.

The Government’s responsiveness to feedback from the business community on cost pressures and administrative ease is impressive. For example, redesign of the SkillsFuture Enterprise Credit which enables the move to a wallet-based system from a reimbursement model will further encourage organisations, especially SMEs to utilise skill development opportunities. The consolidation of systems and simplification of application processes under the new SkillsFuture Workforce Development Grant which brings together existing schemes administered by Workforce Singapore and SkillsFuture Singapore will further remove any friction in the process that may keep companies away from enrolling their staff, especially for smaller organisations that have limited human resources (HR) support.

Ensuring eligibility of part-time programmes under the SkillsFuture Level-Up Programme and the credentialising of company-led programmes through additional funding to the NTUC Company Training Committee (CTC) Grant have increased the types of upskilling channels available and allows for greater flexibility based on individual needs and organisational priorities. The message to Singaporeans is clear- lifelong learning is crucial to growth and self-renewal and that the Government is supportive of whatever path you take to it.

The Government’s proactive support- both financial and technical- on job redesign is crucial to maintaining Singapore’s competitiveness and the ability of Singaporeans to leverage the significant opportunities emerging from technology disruption. Businesses need to consider their workforce transformation initiatives in tandem with their enterprise transformation efforts as a basis for job redesign. PwC’s 2024 Global AI Jobs Barometer found Singapore as one of the top countries for job impact from AI, given the fertile innovation environment and advanced technology ecosystem. To fully realise the productivity benefits of AI though, organisations will need to relook at workflows, breakdown existing roles and tasks and redesign their workforce. Businesses are encouraged to tap on initiatives like the Productivity Solutions Grant to support their adoption of AI-powered technology. The higher funding support of up to 70% for job redesign activities as part of the new SkillsFuture Workforce Development Grant is a step in the right direction.

An inclusive budget, the measures to encourage re-employment of seniors through the Senior Employment Credit (SEC) and an enhanced tier of support under the Workfare Skills Support for lower-wage workers are noteworthy.

In summary, Budget 2025 underscores Singapore’s dedication to the themes of employability, inclusivity and growth. The Government's proactive measures and financial support foster an inclusive, dynamic economic environment, enabling businesses and individuals to thrive amidst technological advancements and global competition. This commitment is pivotal for sustained national growth and competitiveness.