The PWCS provide transitional wage support for employers to adjust to the Progressive Wages moves from Calendar Year (CY) 2022 to CY 2026, as well as encourage employers to raise wages of lower-wage workers. To strengthen support for employers to uplift the wages of lower-wage employees, the PWCS co-funding support will be enhanced for wage increases given in the qualifying years 2025 and 2026. This is shown in Table 1 below.
Table 1: Increase in PWCS Co-Funding Levels for Eligible Wage Increases from 2025 to 2026
| Qualifying Year (i.e. Year that wage increase was given) | Payout Period | Current | New |
|---|---|---|---|
| 2025 | First quarter of 2026 | 30% | 40% (+10%-pt) |
| 2026 | First quarter of 2027 | 15% | 20% (+5%-pt) |
The SEC provides wage offsets to employers that hire Singaporean workers aged 60 and above, and earning up to $4,000 a month. The SEC is scheduled to lapse after 31 December 2025.
The Government will extend the SEC till 31 December 2026. In line with the increase in the re-employment age to 69 years old in 2026, the Government will also raise the qualifying age for the highest SEC wage support tier to 69 years old, from 68 years old. As such, companies will receive 7% of the wages that they pay to workers aged 69 and above (see Table 2).
Table 2: SEC Wage Support
| Wage Support in 2025 | Wage Support in 2026 | ||
|---|---|---|---|
| Age | Wage Support | Age | Wage Support |
| 60-64 | Up to 2% | 60-64 | Up to 2% |
| 65-67 | Up to 4% | 65-68 | Up to 4% |
| 68 and above | Up to 7% | 69 and above | Up to 7% |
More details about the extension of the SEC will be announced at the Ministry of Manpower’s Committee of Supply.
The UEC provides wage offsets to employers hiring local ex-offenders earning below $4,000, and released within 3 years prior to employment. The UEC is scheduled to lapse after 31 December 2025.
The Government will extend the UEC till 31 December 2028. The extended UEC will continue providing employers with a wage offset of up to 20% of local ex-offenders’ wages for the first 9 months of employment, capped at $600 per month per employee.
More details about the extension of the UEC will be announced at the Ministry of Manpower’s Committee of Supply.
The EEC provides wage offsets to employers hiring local employees with disabilities aged 13 and above, and earning below $4,000 a month. The EEC is scheduled to lapse after 31 December 2025.
The Government will extend the EEC till 31 December 2028. The current parameters will continue to apply from 2026 to 2028. Refer to Table 3 for more details.
Table 3: EEC Wage Support
| Wage Support from 2026 to 2028 | |
|---|---|
| Permanent wage offset | Up to 20% of wages, capped at $400 per month per employee. |
| Additional time-limited wage offset for persons with disabilities who have not been in work for at least 6 months | Up to 20% of wages for the first 9 months, capped at $400 per month per employee. |
More details about the extension of the EEC will be announced at the Ministry of Manpower’s Committee of Supply.
The EFS enables Singapore enterprises to access financing more readily across all stages of growth. There will be 2 enhancements to the EFS.
First, the maximum loan quantum under the EFS – Trade Loan will be permanently enhanced from $5 million to $10 million. This will help businesses to meet their increased trade financing needs, especially amid elevated costs, and support their internationalisation efforts.
Second, the scope of the EFS – Mergers and Acquisitions Loan will be enhanced beyond equity acquisitions to support targeted asset acquisitions from 1 April 2025 till 31 March 2030. This will provide more flexible and holistic financing support for Singapore enterprises pursuing inorganic growth opportunities.
The MRA grant helps companies to expand into new markets overseas by defraying the costs of overseas market promotion, business development, and market set-up.
The enhanced grant cap of $100,000 per new market is scheduled to lapse after 31 March 2025. To continue supporting local small and medium sized enterprises in expanding into new markets overseas, the enhanced cap will be extended till 31 March 2026.
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