1. Job Growth Incentive
The Job Growth Incentive (JGI) is the latest scheme announced, and it aims to further promote local hires over the next six months, from September 2020 to March 2022. More than 50,000 local job seekers were hired in the first month of the implementation of the Jobs Growth Incentive (JGI). In the month of September 2020 alone, around 14,000 eligible companies collectively hired over 50,000 local job seekers and 50% of these new hires were mature local aged 40 and above.
JGI alleviates some costs by providing salary support funding for SMEs that are thinking of hiring as the economy gradually picks up. SMEs that increase their local workforce between the stated timeline will receive one year of salary support from the Government for each new local hire. There must be an increase in overall local workforce size, and increase in local workforce size earning S$1,400 or more per month, compared to August 2020 local workforce.
The government will co-fund up to 50% of the first S$5,000 of gross monthly wages for all new local hires aged 40 and above and for local workers that is 1) a Person with disabilities or 2) an ex-offender. For those below age 40, there will be a co-fund of 15% of the first S$5,000 of gross monthly wages. These numbers are last updated in Sep 2021.
The first JGI payout will commence in March 2021, computed on a monthly basis based on employer’s mandatory CPF contributions. Eligible companies will be automatically included, and notified by IRAS by post. SMEs will also receive JGI payout on top of the existing JSS payout.
However, please note that the JGI payout will be adjusted downwards if any existing local employee leaves after August 2020.
Eligible employers will automatically receive their JGI payouts, which will be computed on a monthly basis based on the employer’s mandatory CPF contributions. However, some employers may receive review letters from IRAS which require them to further substantiate their eligibility.
The support for JGI is summarised below.
The payout schedule for JGI is as below.
Lastly, please note that any abuse of the JGI scheme will result in companies being denied their JGI payouts, as well as face up to 10 years of imprisonment and fine. Companies registered from Feb 2021 or being dormant for the past 3-6 months will not be eligible
***Update on 24 Sept 2021*** To aid recovery amidst an improving labour market and support employers in expanding their local hiring, the JGI has been extended to March 2022. However, support levels will be tapered down in line with improving conditions.
From October 2021, eligible employers will receive wage support of 15% of the first $5,000 for up to six months, up to $4,500 per hire aged below 40.For mature hires aged 40 and above, persons with disabilities and ex-offenders, the wage support will go up to 50% of the first $6,000 for up to 12 months, up to $36,000 per hire.
2. Career conversion programmes
Career conversion programmes (CCPs) are conversion programmes targeted at mid-career switches, to undergo skills conversion and move into new occuptions or sectors that have good prospects and opportunities for progression. Types of CCP:
- Place-and-Train (PnT): Mid-career individual is hired by a participating employer before undergoing training to take on a new job role
- Attach-and-Train (AnT): Mid-career individual is provided with training and work attachments, prior to job placement, through industry partners in growth sectors with good future job opportunities
- Redeployment / Job Redesign (JR) Reskilling: Targeted at companies that are undergoing business transfomation, and where their existing workers are at risk of redundancy or in vulnerable jobs due to the transformation. These workers will be provided with training to take on new job roles or redesigned job roles within the same company.
WSG funding support are provided directly to Employers. Employers will co-found the remaining salary and course fees.
3. Career trial Programme
The Career Trial Programme, previously known as the Work Trial Scheme, provides job seekers with training allowance for up to three months when they take up one of the applicable jobs on a trial basis.
This will help to address the concern that most employers have regarding whether the applicants are the ‘right fit’ for the company. As much as possible, companies will want to reduce any additional costs incurred if they are unsure of the employee's ability, hence the Career Trial Programme will help job seekers and employers to get to know each other better before signing on the dotted line.
The Career Trial Programme targets full time jobs of paying at least S$1,500/month and part time jobs paying at least S$750/month, with salary support funding up to 30% for up to 6 months.
4. SG United Mid-career pathways programme
The SGUnited Mid-Career Pathways Programme aims to provide attachments and full-time training courses for mid-career job seekers, at the same time to widen their professional networks and gain new skills for the future.
Mid-career job seekers have the opportunity to apply for industry-relevant attachment programmes, ranging from four to nine months, to gain meaningful and relevant experience while receiving a training allowance. This will also help them to develop new skills while boosting their employability for more permanent jobs in the future.
Under this scheme, 80% of the training allowance will be funded by the Government, while the host organization funds the remaining 20% for the 4 to 9 months durations.
Organisations interested to be host organisations to take on mid-career individuals on attachments can fill up this Interest Form. Host organizations are required to provide clear attachment descriptions and development plans that would provide mid-career individuals with meaningful developmental opportunities during the attachment period, subject to approval by the appointed programme manager.
The appointed Programme Manager, Singapore Business Federation (SBF), will get in touch with organisations on the application process thereafter.
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