Budget statement is an annual event that is pivotal, as it outlines how Singapore’s revenue will be allocated across different ministries to sustain the nation’s operations.
But we won’t dive into all the details of Budget 2025—plenty of in-depth articles are available if you’re looking for a full breakdown of the benefits and who’s eligible for them.
Instead, let’s focus on what matters most to employed workers.
Here’s what you can expect in terms of support for workers, as announced by Prime Minister Lawrence Wong during his Budget 2025 speech on Tuesday (18 February 2025).
NTUC receives $200M top up to Company Training Committee (CTC) Grant
The Government answered NTUC’s call during their pre-budget media session for additional support to scale up the Company Training Committee (CTC) initiative, and therefore, more funds will be added to the NTUC’s CTC Grant.
You see, the CTC help companies conduct more employer-led training that leads to formal qualifications.
With over 2,700 CTCs formed, NTUC has helped over 7,400 workers secure better wages, career pathways, and skills allowances.
Nearly 200,000 workers have benefited from training, with wage increases averaging 5% above annual increments.
To scale up these efforts, the Government has progressively supported NTUC, including a $100 million CTC Grant in 2022 and a new $200 million boost in Budget 2025.
Now, what if you want to upskill yourself?
Allowance Support for Mid-Career Professionals
NTUC has consistently championed for more support for workers to upskill, and there’s good news if you’re looking to upskill.
The SkillsFuture Level Up scheme, which supports mid-career workers, provides a monthly training allowance for those undergoing full-time courses.
Under Budget 2024, Singaporean workers aged 40 and above were already eligible for up to $3,000 per month in training allowances for selected full-time courses, along with subsidies to pursue an additional full-time diploma at polytechnics, the Institute of Technical Education, and arts institutions starting from the 2025 academic year.
In Budget 2025, this scheme has been expanded to include part-time training, offering a $300 monthly allowance starting in 2026.
Yes, you can study part-time and get an allowance at the same time.
Prime Minister Wong stated that this extension aims to ease financial burdens for mid-career workers who prefer to continue working while upgrading their skills.
This update considers those who may not be able to commit to full-time education due to work or family obligations. By allowing part-time study under the SkillsFuture Level Up scheme, mid-career workers can now upskill in a way that fits their schedules.
There will be a lifetime cap of 24 months of support for both full-time and part-time training.
More Support for Lower-Wage Workers
While mid-career workers aged 40 and above can benefit from a monthly training allowance, they are not the only ones receiving support.
Lower-wage workers will also be eligible for a monthly training allowance from the age of 30.
Currently, the Workfare Skills Support (WSS) scheme provides allowances for short courses that can be completed in just a few days. However, Prime Minister Wong noted that lower-wage workers tend to benefit more from longer-term courses that offer deeper reskilling opportunities.
To address this, the Government will introduce an enhanced tier to the WSS scheme, extending allowances to selected part-time and full-time courses.
PM Wong emphasised that this change reflects the Government’s commitment to supporting the lifelong employability of Singaporean workers.
“We will invest in every worker and every Singaporean,” he said during the Budget speech.
Find Work Nearer to Your House
Like to work near your house?
Community Development Councils (CDCs) will expand their localized job-matching services nationwide, prioritizing roles within 5 km of residents’ homes so you can find jobs closer to your house (less commute!).
This initiative, operational from April 2025, integrates with the new SkillsFuture Jobseeker Support (JSS) platform to provide personalized career coaching and skills gap analysis.
Early trials in Ang Mo Kio and Jurong achieved a 68% placement rate for participants, significantly higher than the national average.
More Support for Vulnerable Worker Groups & Senior Workers
The Uplifting Employment Credit, which incentivizes hiring ex-offenders, has been extended to 2028.
In addition, for the lower-income workers, co-funding levels under the Progressive Wage Credit Scheme (PWCS) have been raised to 40% in 2025 (from 30%) and 20% in 2026 (from 15%) for firms increasing wages of employees earning below $4,000 monthly.
For the seniors, workers aged 55–65 will see their CPF contribution rates increase by 1.5 percentage points in 2026.
To mitigate employer cost concerns, the CPF Transition Offset will cover 50% of the increased contributions for 2026.
Additionally, the Senior Employment Credit (SEC) has been extended through 2026, providing wage offsets for businesses hiring workers aged 60+ earning under $4,000 monthly.
And later this year, MOM will bring together a Tripartite Workgroup on Senior Employment to conduct a comprehensive, long-term review of senior employment policies. The goal is to enhance job opportunities for seniors and ensure more roles align with their needs.
With these comprehensive new measures to support vulnerable workers and seniors, NTUC Deputy Secretary-General Heng Chee How thanked the government for responding to NTUC’s calls to support these workers:
This article is written in collaboration with NTUC.
