FORGING AHEAD: THE FORWARD SINGAPORE MOVEMENT

In anticipation of Budget 2024, a substantial sum of S$5 billion has been earmarked this year to fortify social safety nets as part of the initial set of measures under the Forward Singapore initiative.

The government aims to catalyze the transformation of Forward Singapore into a movement, seeking to invigorate Singaporean society. Deputy Prime Minister and Finance Minister Lawrence Wong, disclosed that by the end of this decade, an estimated S$40 billion will be allocated for seven identified policy shifts to ensure the social compact remains relevant and effective.

The announcement on supporting involuntarily unemployed individuals through “re-employment support” had been eagerly awaited since January 2023. However, the government is taking a cautious approach to avoid pitfalls observed in other countries with the introduction of unemployment benefits. Mr. Wong indicated that details of the scheme would be unveiled later in the year.

Meanwhile, to enhance “employment resilience” amid a dynamically evolving workplace influenced by technology and competition, Singaporeans will receive a top-up to their SkillsFuture accounts. A S$4,000 SkillsFuture Credit will be provided for Singaporean mid-career workers aged 40 and above, who last completed formal education nearly two decades ago. This credit can be utilized for selected industry-oriented courses as well as part-time and full-time tertiary programs, with specifics to be announced at the Ministry of Education Committee of Supply.

Furthermore, mid-career workers opting for full-time education will receive an allowance. The SkillsFuture Mid-Career training allowance, equivalent to 50 per cent of their average income in the last 12 months and capped at S$3,000 a month, will enable them to enroll in selected full-time courses, receiving the training allowance for up to 24 months in their lifetime. This addresses the dilemma faced by displaced workers who need new skills but have family obligations preventing them from pursuing training while unemployed.

The training allowance is expected to encourage more individuals to undergo reskilling and upskilling, rather than settling for the first available job that may lead to further displacement.

ENHANCING SKILLS, TRAINING, AND SOCIAL MOBILITY

Budget 2024 marks a crucial initial stride in strengthening the skills and training ecosystem by providing enhanced support for Singapore’s workforce to access more training opportunities. Beyond funding, the success of the SkillsFuture Level-Up Programme hinges on instilling a lifelong commitment to continual learning. This commitment aligns with the Forward Singapore policy shifts of “respect and reward for every job” and “learning beyond grades.”

In a similar vein, the Budget aims to narrow wage gaps by increasing the qualifying income threshold for the Workfare Income Supplement scheme from S$2,500 to S$3,000, with maximum annual payouts raised from S$4,200 to S$4,900.

Graduates from the Institute of Technical Education (ITE) receive support for their upskilling journey, with a S$5,000 top-up to their Post-Secondary Education Account when enrolling in a local diploma program. Upon earning their diploma, they receive an additional top-up of S$10,000 to their Central Provident Fund (CPF) Ordinary Account.

Provisions are also made for the ComLink+ Progress Packages to assist eligible lower-income families with young children in endeavors such as preschool education, employment, financial stability, and saving for homeownership. This concerted effort aims to advance social mobility by supporting those seeking to break out of the cycle of poverty.

With Singapore approaching the status of a super-aged society, the Budget addresses healthcare affordability and accessibility, retirement adequacy, and family support at every stage. This includes making preschools more affordable, reducing out-of-pocket expenses for the education and care of students with special needs, and promoting employment opportunities and community integration for adults with disabilities.

The culmination of these budgetary allocations is a vision of a stronger, more united nation—one characterized by high trust, safety, energy security, a culture of giving, and a sense of solidarity fostered through shared experiences in arts and sports.