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Keeping employees’ skills relevant has become an important business priority in Singapore. New technologies, changing customer expectations and evolving job requirements mean that many roles now require capabilities that were not necessary several years ago.
SkillsFuture helps employers address this challenge by providing access to approved training programmes, course fee subsidies and workforce transformation support.
However, employers may find it difficult to understand which SkillsFuture schemes apply to their organisation, how much funding they may receive and how to select courses that produce meaningful business results.
This guide explains how SkillsFuture works for employers, the main funding options available and how businesses can build a practical employee training plan.
SkillsFuture is Singapore’s national movement for lifelong learning and workforce development.
For employers, SkillsFuture provides programmes and funding that can support employee training, job redesign and business transformation. Companies can use these resources to strengthen workforce capabilities, prepare employees for changing roles and address skills gaps that may limit business growth.
SkillsFuture support for employers generally covers areas such as:
Employers can explore the SkillsFuture for Employers portal to find training support suited to different stages of workforce development.
Employee development should not only be treated as an employee benefit. When training is connected to business priorities, it can improve productivity, strengthen retention and help organisations adapt to market changes.
SkillsFuture programmes can help employers:
Employers can train employees in areas such as artificial intelligence, data analytics, digital marketing, cybersecurity, sustainability, leadership and process improvement.
Some roles are changing as routine tasks become automated. Training allows employees to take on new responsibilities rather than leaving the organisation to recruit every new capability externally.
Employees are more likely to see a future with the organisation when they have access to clear learning and career development opportunities.
Training can prepare employees to use new systems, adopt improved processes or work effectively within redesigned roles.
Eligible employers may receive course fee subsidies and other forms of support, reducing the amount the company needs to pay directly.
Several SkillsFuture schemes may be available depending on the organisation, employee profile, course and training provider.
Employers should always confirm current eligibility and funding rates before enrolling employees because programme terms may change.
Employers that sponsor eligible employees for approved courses may receive subsidies on the course fees.
The subsidy is generally applied to the course fee before the employer pays the remaining amount. The exact support level depends on factors such as:
Employers should check the course listing carefully because not every training programme qualifies for the same level of support.
The MySkillsFuture course directory allows users to browse approved courses by industry, skill area and available funding support.
Eligible small and medium enterprises may receive enhanced subsidies when they sponsor employees for supported training.
Under Enhanced Training Support for SMEs, qualifying Singapore registered or incorporated SMEs may receive subsidies of up to 90 per cent for eligible courses.
This can make structured employee development more affordable for smaller businesses that may not have large learning and development budgets.
Eligibility may depend on requirements relating to company registration, ownership, employment and the employee attending the course. Employers should confirm their eligibility with the training provider before registering.
Sending an employee for training creates a cost beyond the course fee. The employee may spend several hours or days away from their usual responsibilities while still receiving their salary.
Absentee Payroll Funding helps eligible employers offset part of the manpower cost incurred when employees attend approved training during working hours.
The availability and amount of support depend on the course, employer, trainee and prevailing funding rules.
Before enrolling employees, employers should ask the training provider:
Training employees involves more than course registration. Your team still needs to manage payroll, leave, attendance, statutory contributions and HR administration while employees are away from their usual responsibilities.
Glints TalentHub’s PEO solution helps you manage these ongoing workforce processes through one coordinated system, giving your HR team more time to focus on employee development and business priorities.
SkillsFuture Enterprise Credit, commonly known as SFEC, was introduced to encourage eligible employers to invest in business transformation and employee capabilities.
Eligible employers under the existing scheme may receive S$10,000 in credit to offset up to 90 per cent of out of pocket costs for supported programmes and courses.
The existing SFEC support is scheduled to expire on 30 November 2026. A redesigned scheme is expected to take effect from 1 December 2026, with further programme details to be announced by the relevant authority.
Employers with unused SFEC should review their balance and eligible programmes early. Waiting until close to the expiry date could limit course availability, application processing time and the organisation’s ability to use the credit effectively.
SFEC is not the same as an employee’s individual SkillsFuture Credit. SFEC belongs to an eligible business and applies to supported enterprise programmes. Individual SkillsFuture Credit belongs to the eligible individual and is intended for personal learning.
Eligible businesses may also benefit from the Enterprise Innovation Scheme when they incur expenditure on qualifying training.
The scheme provides enhanced tax deductions for eligible SkillsFuture Singapore funded training courses that are aligned with the Skills Framework. Eligible expenditure may qualify for a 400 per cent tax deduction, subject to the scheme’s limits and conditions.
Employers should consult their finance or tax adviser to determine whether the training expenditure qualifies and what supporting records must be maintained.
SkillsFuture Work Study Programmes allow employers to build talent pipelines while helping participants combine structured learning with workplace experience.
Depending on the programme, participants may receive:
These programmes may be useful for employers that need to develop specialised talent but face a limited supply of job ready candidates.
Work Study Programmes include facilitated learning, workplace training and work based projects designed to develop skills valued by the industry.
Eligibility varies by programme, but funding commonly depends on the employee and employer meeting specific conditions.
Employers may need to confirm:
Foreign employees may attend SkillsFuture courses, but the same subsidies available to Singapore Citizens or Permanent Residents may not apply.
Employers should request a written funding breakdown from the training provider before confirming enrolment.
An employee’s individual SkillsFuture Credit is intended to support the individual’s learning.
Employers should not assume that employees must use their personal credit to pay for compulsory company training. Where training is required by the employer, the company should establish a clear sponsorship policy and determine whether employer funding is available.
Employees may voluntarily use their SkillsFuture Credit for eligible courses they choose to attend, subject to the prevailing terms of the programme.
A clear policy helps prevent confusion over who pays for the course, whether the employee must complete it outside working hours and whether any repayment conditions apply.
Training fees paid by an employer for staff development are generally not treated as a taxable employee benefit when the training forms part of an employer provided programme and the benefit is available to employees under an open and consistent policy.
Training support that is provided as a reward for services or only offered to selected individuals without a genuine staff development purpose may receive different tax treatment.
Employers should maintain clear training policies and accurate records showing:
GST registered businesses may also be able to claim input tax on relevant employee education and training expenses when the necessary conditions are met and the training is connected to the employee’s role or career progression in the business.
A heavily subsidised course can still be a poor investment when it is not relevant to the employee’s role or the organisation’s needs.
Funding may vary according to the employer, employee and course. Confirm the final payable amount before registering.
Funding may be affected when an employee does not meet attendance, assessment or completion requirements.
Employees need opportunities to practise and apply new skills. Without follow up support, much of the training may not translate into workplace improvement.
Managers should understand the purpose of the training and support the employee in applying the learning.
The number of courses completed is an activity metric. The more important question is whether employees are performing their roles more effectively after training.
Training is only one part of building a capable workforce. Employers expanding across Singapore and other markets must also manage employment contracts, payroll, statutory requirements, onboarding and ongoing employee administration.
Glints TalentHub helps companies employ and manage professionals across different markets through one coordinated talent operations solution. This gives your team a clearer way to support workforce growth while staying focused on employee development and business performance.
Speak with Glints TalentHub to explore a more consistent way to onboard, pay and manage your regional workforce.
Can employers use SkillsFuture Credit?
Employers cannot use an employee’s personal SkillsFuture Credit as though it were company funding. Eligible businesses may instead receive support through employer focused schemes such as course fee subsidies, Absentee Payroll Funding and SkillsFuture Enterprise Credit.
How much SkillsFuture funding can an employer receive?
The amount depends on the course, employer and employee. Eligible SMEs may receive course fee subsidies of up to 90 per cent for supported training, while other subsidy rates may apply to different employers and courses.
Is SkillsFuture available to large companies?
Yes. SkillsFuture programmes are not limited to SMEs. However, enhanced funding may be available specifically to qualifying SMEs, and different support levels may apply to larger organisations.
Can foreign employees receive SkillsFuture funding?
Foreign employees may attend training programmes, but they may not qualify for the same subsidies as Singapore Citizens or Permanent Residents. Employers should confirm the applicable course fee directly with the training provider.
Can employees attend SkillsFuture courses during working hours?
Yes. Employers may sponsor employees for courses held during working hours. Eligible employers may also receive Absentee Payroll Funding for certain approved courses.
Must an employer pay employees while they attend training?
Where employees attend employer sponsored training during their normal working hours, employers should continue handling salary and working time according to the employment arrangement and applicable requirements. Funding support does not replace the employer’s responsibility to administer pay correctly.
Can an employer require an employee to repay training costs after resigning?
Employers may include reasonable training repayment terms in an employment contract or separate sponsorship agreement. The terms should clearly state the sponsored amount, repayment period and how the repayment reduces over time.
Repayment clauses should be proportionate to the actual training investment and should not operate as an unreasonable penalty.
How can employers check their SFEC balance?
Eligible employers can check SFEC information through the relevant SkillsFuture employer service portal. Employers should review available credit and supported programmes before the existing scheme expires on 30 November 2026.
What records should employers keep?
Employers should retain course invoices, payment records, enrolment confirmations, attendance records, assessment results, employment information and any documents required under the relevant funding scheme.
SkillsFuture gives Singapore employers more than access to subsidised courses. Used strategically, it can help organisations redesign roles, develop stronger internal capabilities and prepare employees for changing business needs.
The most effective approach is to begin with a clear business objective, identify the skills required and select training that employees can apply directly in the workplace.
Employers should also verify the latest eligibility rules, subsidy levels and claim requirements before committing to a course. With proper planning and follow up, SkillsFuture can become an important part of a long term workforce development strategy rather than simply a source of training subsidies.
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