Minister Discusses Balance Between Training and Job Searching Incentives
In a recent discussion, Indranee Rajah, Singapore’s Second Minister for Finance, emphasized that the newly introduced SkillsFuture Mid-Career Training Allowance should not act as a substitute for a worker’s salary. The allowance, aimed at Singaporeans aged 40 and above, provides financial support for those enrolling in full-time training courses. The monthly allowance is capped at S$3,000, reflecting the average income of the individual over the previous 12 months.
Rajah noted that the allowance’s goal is not to become a long-term source of income for workers, but to encourage upskilling without leading individuals to become overly reliant on it instead of seeking new job opportunities. She explained that while the cap is set with household expenses in mind, it is still considered a significant help, particularly for single individuals or households with only one working member.
The SkillsFuture Mid-Career Training Allowance is part of a broader initiative introduced under the SkillsFuture Level-Up Programme, aimed at assisting workers in advancing their careers amid rapid changes in the job market. Rajah addressed concerns over why younger workers (aged 25-39) were excluded from this scheme, clarifying that they are still in the process of acquiring skills and are more likely to receive on-the-job training.
The discussion also touched on challenges faced by older workers in reskilling, particularly those in industries at risk of decline. Panelists noted that mid-career professionals may face greater financial pressures and may be hesitant to take time off for training. However, Rajah emphasized that retraining could lead to new career opportunities, enhancing the value of existing skills for emerging industries.
Finally, the issue of ageism in hiring practices was raised, with industry leaders arguing that experience is often prioritized over age, and companies are generally willing to hire candidates with relevant expertise. Rajah concluded that employers should adopt a culture of continuous learning, ensuring that workers have the opportunity to grow and adapt in their careers.
