Hiring can solve an immediate skills gap. Upskilling closes the ones you haven’t hit yet, and for Singapore employers, the cost of building that internal capability is heavily subsidised. Most companies just aren’t using what they’re already entitled to. Close to 40,000 enterprises have tapped their SkillsFuture Enterprise Credit so far, which still leaves roughly half of eligible companies sitting on funding they haven’t touched.
The Main Schemes Employers Should Know
SkillsFuture is not a single programme. It’s an umbrella of funding mechanisms, each aimed at a different part of workforce development:
- SkillsFuture Enterprise Credit (SFEC). A one-off S$10,000 credit for eligible employers, offsetting up to 90% of out-of-pocket costs for approved training and business improvement. Eligibility was determined by Enterprise Singapore based on employment records from qualifying periods between 2019 and 2021, and eligible employers were already notified directly. If you haven’t checked whether your company has a balance sitting in the portal, it’s worth logging in to find out. No separate application is needed.
- Enhanced Training Support for SMEs (ETSS). Direct subsidies that reduce the fees for SSG-approved courses, with higher subsidy rates specifically for smaller companies (up to 200 employees or S$100 million annual turnover at group level).
- Absentee Payroll (AP). Offsets a portion of an employee’s salary while they’re away from work attending approved training, reducing the productivity cost of sending staff for upskilling.
- SkillsFuture Credit (individual). A personal credit for Singapore Citizens that employees can use themselves toward approved courses. Worth mentioning to staff who want to co-invest in their own development.
A Timing Note Worth Flagging Now
The existing SFEC structure is set to expire on 30 November 2026, with unused credit not carried forward. From 1 December 2026, eligible employers will move to a redesigned SFEC administered by the Skills and Workforce Development Agency (SWDA), with further details on the new structure to be announced. If your company has an unused SFEC balance, this year is the window to actually use it, not next year.
How Employers Can Make Practical Use of the Support
You can start by identifying the skills gaps. Look at where your organisation may be lacking capability today or where new skills will be required over the next 12 to 24 months.
You can begin by logging in
- Log into the SkillsFuture for Business portal with CorpPass to check your SFEC balance. Many companies have credit sitting unused without realising it.
- Identify 2 to 3 skills gaps in your team (data analysis, AI tools, digital marketing, and similar areas are commonly funded) and search the SkillsFuture or GoBusiness course directory for aligned programmes.
- Submit the base course application first, then open the SFEC claim once the invoice and payment are in. All final claims must reach the relevant agency by 30 November 2026, so it’s worth submitting well ahead of the deadline rather than waiting until the last week.
- Stack Absentee Payroll on top of course subsidies if the training will take staff away from billable or operational hours.
Why Upskiling Is Worth Considering
Recruitment and upskilling should not necessarily be viewed as alternatives.
Some capability gaps require new talent and experience from outside the organisation. Others can be addressed more effectively by developing employees who already understand the company’s operations, customers and culture.
The better question may therefore be:
Do we need to hire this skill, develop it internally, or use a combination of both?
For employers, reviewing available SkillsFuture support can make that decision easier by reducing the financial cost of developing existing employees.
If you’re weighing whether to hire for a skill or build it internally, Celecti’s customised training needs services may also help identify workforce gaps and determine the appropriate development approach.