Review of SkillsFuture Framework and Costs of Courses to Better Support Upskilling and Reskilling

Mr Christopher de Souza asked the Minister for Education whether the Ministry will consider reviewing the SkillsFuture framework to better support professionals, managers, executives and technicians (PMETs) given feedback that some upskilling and reskilling programmes may cost more than existing SkillsFuture credits.

Sir, SkillsFuture Singapore (SSG) provides significant financial support for all Singaporeans to upskill and reskill. This includes course fee subsidies of up to 70%, as well as an opening SkillsFuture Credit of $500 at the age of 25. These Credits can be used to offset the remaining out-of-pocket costs for a range of training programmes, such as shorter standalone courses, SkillsFuture Career Transition Programmes, as well as full qualifications and stackable micro-credentials delivered by the Institutes of Higher Learning (IHLs).

Additional support is given to mid-career Singaporeans aged 40 and above, as we recognise that they may require a substantive skills reboot, having completed their work-ready qualifications many years ago. Hence, Singaporeans aged 40 and above enjoy the Mid-Career Enhanced Subsidy, which increases the course fee subsidy to up to 90%. They also receive a $4,000 SkillsFuture Credit (Mid-Career) top-up, which can be used for a curated set of substantive training courses that have better employability outcomes. This $4,000 SkillsFuture Credit (Mid-Career) is generally sufficient to offset the out-of-pocket course fees for a part-time or post-diploma and most SkillsFuture Career Transition Programmes. A training allowance, computed at 50% of one's average income over the most recent 12 months and capped at $3,000 per month, is also given to partially offset income loss when they undergo long-form training.

We will continue to review and if necessary calibrate our support, so that all Singaporeans can upskill and reskill throughout life.

Yes. The view is that they need this extra support beyond what the fees allow them, or the subsidies allow them to retrain. So, can there be some flexibility injected into the review mechanism, for how much uplift they can get in terms of their subsidies?

Sir, I thank Mr de Souza for his question. Indeed, we are regularly reviewing the courses and the way in which we support both the training providers, the employers and trainees to reskill and upskill. The short answer is yes. We are always looking at how we will review these mechanisms of support.

And I would say that the overall intent of what we are trying to do with SkillsFuture as a movement, is very much aligned with what Mr de Souza identified for this particular set of PMETs who have had very specialised skills which have been disrupted. Actually, we want the same type of ability to reboot one's career, to reinvent one's skillset and career opportunities, to be available to all Singaporeans.

So, the overall structure of SkillsFuture, the way in which we support and subsidise the training providers, as well as the trainees, the Singaporeans, through the credits and subsidies, is very much along the lines that he described, not just for those with very specialised skills, but for all Singaporeans. And if this means that for some certain situations we have to look at the courses that are available, the training processes that we deliver in partnership with employers, as well as the IHLs and training providers, we are certainly open to reviewing how we do so.