Written Answer to PQ on Further Support to Employers in the Progressive Wage Model Sectors Post-2028

NOTICE PAPER NO. 837 OF 2026 FOR THE SITTING ON OR AFTER 6 MAY 2026 QUESTION NO. 2222 FOR ORAL ANSWER
MP: Mr Melvin Yong Yik Chye

To ask the Minister for Manpower (a) whether the Government has plans to provide further support to employers in the Progressive Wage Model sectors when the Progressive Wage Credit Scheme ends in 2028; and (b) if not, why.

Answer:

The Progressive Wage Credit Scheme (PWCS) was introduced in 2022 as a transitionary support scheme to help businesses defray the costs of wage increases to support lower-wage workers, including those under the Progressive Wage Model (PWM) requirements. Employers are encouraged to use this period of transition support to invest in upskilling their employees, transforming their businesses and improving productivity so that wage increases are sustainable.

2. As we had just announced an increase in co-funding for wage increases given in 2026 and to extend support for two more years, it is premature to discuss plans beyond 2028. We will continue to monitor the global situation and review our policies, so that lower-wage workers are supported through sustainable wage increases.