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MOM announcements in 2016 Budget Statement

This year’s Budget Statement was delivered by Minister for Finance, Mr Heng Swee Keat, in Parliament on Thursday, 24 March 2016.

Singapore Budget 2016

You can find the latest MOM-related announcements, as well as on our official MOM Facebook.

The 5 key MOM-related announcements are set out as below.

Enhancements to WorkfareShow

Workfare Income Supplement (WIS) scheme

Workfare will continue to help the bottom 20% of Singaporean workers, with some support also provided to those up to the 30th income percentile.

For work done from 1 January 2017 onwards, the qualifying income ceiling for WIS will be increased, and eligible employees may receive higher WIS payouts. To provide a more direct and timely reward for work effort, changes have also been made to how WIS is paid.

Workfare Training Support (WTS) scheme

From January 2017 onwards, the WTS criteria will be simplified to allow more workers to benefit from training incentives and funding.

You can find out more on the WIS and WTS enhancements in the factsheet on Workfare.

Silver Support SchemeShow

The Silver Support Scheme is part of a wider suite of measures (e.g. CPF enhancements, Active Ageing Masterplan, Silver Housing Bonus, and MediShield Life) that the Government has put in place over the past few years to support Singaporeans in their retirement years.

Silver Support provides retirement support for elderly who had low incomes over their lifetimes. It is targeted at the bottom 20% of Singaporeans aged 65 and above, with a smaller degree of support extended to cover up to 30% of elderly.

The first Silver Support payout will be made in July 2016. All elderly will be automatically assessed for Silver Support and those who qualify will be notified and receive their Silver Support payout in July 2016.

You can find out more in the factsheet on the Silver Support Scheme.

Extension of Special Employment CreditShow

The Special Employment Credit will be extended for three years from 1 January 2017 to 31 December 2019.

During this period, wage offsets will be provided to employers hiring Singaporean workers aged 55 and above, and earning up to $4,000 a month.

You can find out more in the factsheet on the Special Employment Credit.

Changes to Foreign Worker leviesShow

We will:

  • Defer levy increases for Work Permit holders in the Marine and Process sectors for one year. Manufacturing Work Permit levies will remain unchanged for another year.
  • Proceed with levy increases on 1 July 2016 for Services and Construction Work Permit holders, as well as S Pass holders in every sector.

You can find out more in the Budget Annex on changes to Foreign Worker levies.

Minimum experience requirement for MYE-waiver Construction Work Permit holdersShow

From 1 July 2017, the minimum experience requirement for these workers will be raised from 2 years to 3 years.

You can find out more in the Budget Annex on changes to Foreign Worker levies.

For the latest updates on the Budget, you may also like to check out Singapore Budget 2016 website and MOF Facebook.