New $1b Jobs Growth Incentive to boost hiring of locals in expanding sectors: Heng Swee Keat

The new scheme will support hiring in growing sectors such as manufacturing. ST PHOTO: SHINTARO TAY

SINGAPORE - A new $1 billion scheme will be introduced to boost hiring of local workers in the coming months, including in growth sectors, with a special focus on helping older workers.

Firms that raise their headcount of local workers over the next six months will receive a subsidy for up to 25 per cent of their salaries for one year, subject to a cap, under the Jobs Growth Incentive announced by Deputy Prime Minister Heng Swee Keat on Monday (Aug 17). This applies to growth firms that meet the qualifying criteria.

The co-payment by the Government will be up to 50 per cent for workers aged 40 and above, said Mr Heng in a ministerial statement on further measures to support firms and workers amid the Covid-19 crisis.

"There are bright spots amidst the severe economic situation. Our biomedical sciences, financial services, and ICT sectors continue to need more workers," he said.

"The public healthcare and long-term care sectors are hiring. Some firms in the F&B and manufacturing sectors are growing and innovating."

The new scheme will support hiring in these growing sectors and comes as the Government ramps up efforts to create new jobs for workers, especially those who are older.

Remote video URL

The Ministry of Manpower will provide more details later this month, said Mr Heng, who is also Finance Minister and Coordinating Minister for Economic Policies.

He also highlighted the 24 SGUnited Jobs and Skills Centres which have been set up in all Housing Board towns to provide easier access to information on the 100,000 opportunities being created to help job seekers.

"I encourage job seekers to visit these centres and make the best of the resources available - to find a suitable job, traineeship, attachment or training. This way, you are better prepared when the job market recovers," he said.

Join ST's WhatsApp Channel and get the latest news and must-reads.