Key Measures for Recruitment and Workforce Resilience in Singapore Budget 2025
Good news for employees, as key initiatives are being introduced in Singapore’s Budget 2025 to support recruitment, workforce resilience, and employee training.
These measures are expected to be a game changer, as they aim to help businesses access talent at a lower cost while fostering an inclusive workplace.
Support for the Older Workforce and Ex-Offenders
As part of these new initiatives, the older workforce and ex-offenders will receive enhanced employment support. For example, wage support will include the extension of the Senior Employment Credit (SEC) until the end of 2026. This will offer wage offsets for hiring Singaporeans aged 60 and above who are earning under S$4,000. The highest wage support tier now applies to workers aged 69 and above.
In addition, CPF contribution rates for employees aged 55 to 65 will increase by 1.5% from January 2026. Similarly, Singaporeans aged 40 and above can receive a S$300 monthly allowance for upskilling while working.
The Uplifting Employment Credit for hiring ex-offenders has also been extended until 2028. Last year, nearly 700 employers hired over 1,500 ex-offenders. Additionally, a Tripartite Workgroup on Senior Employment will review policies to improve job opportunities for seniors.
Another piece of good news is that the Employment Credit, which is available to hire persons with disabilities earning under S$4,000, has been extended to 2028.
The SkillsFuture Level-Up Programme
Come March, the SkillsFuture Level-Up Programme will offer a training allowance of up to S$3,000 per month for full-time courses, claimable for up to 24 months. As part of the initiatives, the SkillsFuture Workforce Development Grant will fund up to 70% of job redesign activities.
The SkillsFuture Enterprise Credit will soon be revamped into an online wallet, offering S$10,000 in fresh credits from mid-2026. These credits will be valid for three years. Existing credits will be extended until the new system is ready.
