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4,000 jobseekers placed on unemployment benefits scheme last year, out of 10,000 applications

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SINGAPORE: More than 4,000 unemployed Singaporeans were placed on the SkillsFuture Jobseeker Support scheme in 2025, out of 10,000 applications received.

Over 80 per cent of those on the scheme received at least one payout by the end of 2025, said Mr Nicholas Kong, acting director in Workforce Singapore's (WSG) planning and design division.

The agency was responding to CNA's queries about the first-of-its-kind unemployment benefits scheme, which reached one year of implementation in April.

The scheme started for Singaporeans in April 2025, and opened to permanent residents from the first quarter of 2026.

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Successful applicants said the payouts allowed them to focus on their job hunts and training for new industries, gave them the financial buffer to wait for more suitable offers, and helped them to persevere through silence from recruiters.

Mr Rahmat Mohamad, 53, was laid off from his job in media production at the end of 2024. Before that, he had worked in the logistics industry for over 15 years.

"The financial burden of not having a job is very hard for me," said the father of three school-going children. One of his children has autism, and his wife, a kidney transplant patient, cannot work.

After losing his job, he joined a SkillsFuture-sponsored desktop support engineering course. He was able to receive the jobseeker payouts and a monthly training allowance, as well as ComCare assistance.

The financial assistance has helped to "eliminate the worry of financing out of the equation, so that I actually just concentrate on finding jobs", he said.

"It really pushed me. I have to persevere, even though a lot of the HR from the companies (were) ghosting, (staying) dead silent."

But contract workers and the long-term unemployed raised questions about support for these groups, given that they are not target recipients of the Jobseeker Support scheme.

The Manpower Ministry (MOM) has said it expects around 60,000 Singaporeans and permanent residents to be eligible for the scheme every year, accounting for more than 60 per cent of those involuntarily unemployed.

REJECTED AND UNSURE JOBSEEKERS​


Involuntarily unemployed people who qualify for the scheme receive up to S$6,000 (US$4,600) over six months if they earn enough points by completing job search activities, such as attending a career fair and meeting a career coach.

WSG's Mr Kong said the most common reason for rejection was when applicants were assessed as not being involuntarily unemployed, such as those who resigned voluntarily.

The other requirements are an average monthly income below S$5,000 when the applicant was employed, working for at least six months out of the past year, and living in a property with an annual value that does not exceed S$31,000.

A jobseeker who receives payouts from the scheme can only apply again after three years.

During recent Budget debates, the labour movement urged the government to raise the scheme's salary cap to S$7,600, in line with the monthly median income of professionals, managers, executives and technicians.

MOM said in response that it would conduct a review – including key parameters such as the qualifying income – when it has accrued more experience running the scheme.

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Mediacorp's Career Forward 2026 event in March 2025. (Photo: Facebook/Workforce Singapore - WSG)

WSG did not provide the requested figures on the number of appeals by rejected applicants and the success rate. Authorities have said that appeals for jobseeker support are considered on a case-by-case basis.

A 66-year-old jobseeker who only wanted to be known as KY was rejected from the scheme within a month of applying in April 2025.

He was previously an information technology contractor at a school. When his request to change schools was denied, he let his contract lapse in 2025 so he could apply directly to another school. However, he did not get the new position.

Given these circumstances, KY surmised that he might not have met the criterion of losing his job involuntarily.

He added that being employed on a contract basis with yearly renewal is common for workers like himself who have passed the retirement age of 63.

Mr Tan Jun Qi, 33, completed his one-year probation as a facilities manager and was not retained by his employer. He was told he was not suitable for the position.

Although he was aware of the Jobseeker Support Scheme and interested in it, he did not apply as he was unsure if he met the criteria.

When CNA spoke to Mr Tan at a career fair in February, he had been job hunting unsuccessfully for 10 months.

The Jobseeker Support Scheme is not targeted at contract workers whose services are not renewed.

Manpower Minister Tan See Leng previously said in a parliamentary reply that this is because "the independent contractor can decide whether to accept the contract, and there is no guarantee of renewals".

"Therefore, we do not cover them under the Jobseeker Support Scheme, which is meant for involuntarily unemployed jobseekers," he said.

WSG's Mr Kong said that contract workers who can show proof that they lost their jobs involuntarily, such as through premature termination of their contracts, can qualify for the scheme if they meet all the other criteria.

This includes employees on probation who can show proof that they lost their jobs involuntarily, he told CNA.

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Economist Walter Theseira said there is evidence to show that some workers prefer contract, flexible or gig work, and others prefer permanent employment.

"The relevant question is whether it is possible and necessary to distinguish between contract workers who have chosen to not seek further contracts or extensions, and contract workers who are unemployed for reasons beyond their control," he said.

It was generally not possible to distinguish clearly, said the associate professor at the Singapore University of Social Sciences.

"It comes down to whether we accept the risk that some Jobseeker Support scheme payments go to workers who are not involuntarily unemployed," he said.

On raising the scheme's salary cap, Dr Theseira said the notion that only lower-income workers need payouts while higher-income workers have enough savings to tide them over unemployment is “a moving target”.

"Incomes go up regularly. And the group of workers who are earning a decent amount, but not enough after expenses to comfortably have a long support runway, is likely quite large," he said.

"The only issue is that Jobseeker Support scheme support is not very meaningful for that group, so extensions would also have to consider raising the payout limit, which in turn means financing the system has to be considered."

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LONG-TERM UNEMPLOYED​


The scheme's requirement to have worked for at least six months in the past year effectively rules out the long-term unemployed, defined as those who have been out of work for 25 weeks or more.

In 2025, Singapore had about 14,600 long-term unemployed residents who previously held jobs.

There is strong evidence that long-term unemployment is self-reinforcing, said economist Kim Seonghoon.

Employers may use unemployment duration as a signal of worker quality and discriminate against long-term unemployed candidates, said the Singapore Management University associate professor.

Longer unemployment spells are also linked to stronger feelings of being discouraged from seeking work. Singapore had 7,400 discouraged workers – those not looking for work because they feel they will not see results – in 2025. The majority were aged 50 and above.

"These mechanisms are particularly salient for older workers, who face additional barriers such as age discrimination and shorter expected career horizons that reduce the incentive for both employers and workers to invest in retraining," said Assoc Prof Kim.

The jobseeker payouts are likely to be most helpful earlier in an unemployment spell, when immediate income support and active job search assistance matter most, he said.

But the long-term unemployed face different barriers to re-employment, including employer reluctance, eroded professional networks, and deteriorating confidence and mental health.

"Temporary cash transfers alone are unlikely to resolve these deeper issues on their own," he said.

"More intensive interventions are likely needed, such as targeted reskilling aligned with in-demand occupations, structured job matching services, wage subsidies that offset the perceived risk of hiring the long-term unemployed, and career coaching that addresses psychological barriers."

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Visitors at a Career Forward event at Sands Expo & Convention Centre on Mar 23, 2024. (File photo: TODAY)

WSG's Mr Kong said the rule of having worked for at least six months in the past year is meant to encourage involuntarily unemployed people to take immediate steps and not delay their job search.

When the scheme was launched in April 2025, there was a one-off, time-limited concession on this rule offered to people who had been out of a job since April 2024, he pointed out.

WSG and the National Trades Union Congress' Employment and Employability Institute (e2i) remain committed to supporting the long-term unemployed, who can approach career coaches or tap career conversion programmes, he added.

WSG senior career coach Patrick See, 62, said that he sees jobseekers who come in for sessions with anxiety and low confidence after experiencing multiple rejections.

He works with jobseekers to set timelines and "achievable and incremental goals", such as preparing for interview rounds as they progress through the recruitment process.

He said that this does not mean setting a target number of applications to submit, as it is not the coach's place to take over ownership of the process from the jobseeker.

"They have to set their own target, and we work with them. So it's not about mass application, but more about selective and targeted applications," he said.

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"AM I NOT WORTHY OF BEING EMPLOYED?"​


Jobseekers on the scheme described how it buoyed them during a period of uncertainty, while pointing out areas they felt could be improved.

Mr Rahmat, who used to work in logistics and media production, said the toughest part of his search for a new job in the IT industry was networking – he did not know where to start.

He said it would have been helpful if there were a pool of professionals who are willing to network with jobseekers, akin to a directory that jobseekers can refer to.

Fellow jobseeker Mr Abdul Malik, 43, was a chemical production technician in the pharmaceutical industry for about 16 years.

He was medically boarded out of his job in April 2025 due to health issues and applied for the Jobseeker Support scheme. He has since received the full S$6,000 payout.

He took the same course in desktop support engineering as Mr Rahmat and received a monthly training allowance of about S$2,000, pegged at half of his previous average monthly income, during the course.

Mr Malik felt confident and motivated going into his job search, given his years of work experience. It was also not his first time dealing with job loss.

But the offers did not come as readily as he expected. "It was discouraging because as time went by, then it was like nobody was replying," he said.

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The jobseeker payouts freed him up to focus on his job search and his course amid these setbacks. There was no need to take on a part-time job to pay for expenses, said the father of five, whose eldest child is 21.

"You're not so pressed to just take the first offer that comes, because usually the first offer is not that good," he added. This allowed him to wait for a better job offer more commensurate with his experience.

The scheme's activity points system incentivised Mr Malik to network more with professionals in the IT industry.

He also found other job search activities useful, such as working with his career coach to build his resume and use artificial intelligence to optimise it for screening.

But other activities were less helpful, he said, pointing to a lack of relevant job-matching by his career coach and career fairs that did not result in any offers.

After graduating from his course, he was hired in the construction industry but was let go again after three months.

He decided to go back to school and is now studying for a diploma in global supply chain management at a private educational institution.

It takes a lot of mental fortitude to get past the disappointment and "push aside the feeling of am I not worthy of being employed", Mr Malik said.

What has helped him is focusing on the present and what he can do now to leverage his past work experience.

"Move forward with a purpose because you know that as bad as this economy is going to be in the next maybe one, two, three years … it will still go up one day."

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