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Singapore citizens can apply for S$6,000 unemployment benefit scheme from Apr 15

LaksaNews

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SINGAPORE: Singaporeans can apply for a scheme that provides temporary financial support to lower- and middle-income involuntarily unemployed workers from Tuesday (Apr 15).

Those who successfully apply for help under the SkillsFuture Jobseeker Support scheme will receive payouts capped at a maximum of S$6,000 (US$4,500) over six months. They will need to complete job search-related activities each month and meet a minimum number of points to qualify for the payouts.

The scheme was first announced by Prime Minister Lawrence Wong, in his first National Day Rally speech in 2024, about a year after the idea of supporting the involuntarily unemployed in Singapore was first mooted.

“We understand that bouncing back from involuntary job loss can be very challenging for many jobseekers,” said Ms Lynn Ng, assistant chief executive of WSG’s Careers Connect Group.

“We hope that the financial assistance provided under the Jobseeker Support scheme can provide low- to middle-income jobseekers with some kind of relief, especially during the period when they’re looking for jobs.”

As a one-off concession, applicants who lost their jobs involuntarily on or after Apr 1, 2024 who do not meet this criteria can still qualify for the scheme if they meet all the other rules. They must submit their applications by Jun 15 to qualify for this concession, said Workforce Singapore (WSG) in a media factsheet on Tuesday.

There are 13 job search activities that participants can take part in, including going for job interviews or career coaching, registering with an employment agency, or networking with industry professionals.

“The whole idea of a points-based system is to encourage them to undergo and select job search activities that will help them to deepen and strengthen their job search skills, thereby increasing their competitiveness as a jobseeker,” said Ms Ng.

The system has been designed to encourage individuals to take ownership of their job search and provide flexibility, she said.

Noting that individuals can decide which activities suit them best, Ms Ng stressed that the system is not meant to be restrictive.

“The points-based system, in a way, recognises the proactiveness of jobseekers in their job search,” she added. “We would rather have a points-based system that gives them the flexibility than to insist that jobseekers must do five things to qualify for the support.”

Manpower Minister Tan See Leng previously said that an estimated 60,000 Singapore residents will be eligible for the scheme per year, which will account for more than 60 per cent of involuntarily unemployed persons.

The government has set aside over S$200 million per year to fund this scheme, he said in August 2024.

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HOW TO QUALIFY FOR THE SCHEME​


Only those aged 21 and above who previously earned up to S$5,000 a month on average will qualify. The scheme will be extended to Permanent Residents aged 21 and above from the first quarter of 2026, said WSG.

Applicants must have become unemployed due to involuntary reasons such as retrenchment, cessation of business, dismissals or termination due to illness, injury or accident.

They must reside in properties with an annual value of S$31,000 or less, and have been employed in Singapore for at least six months in the past 12 months before their application for support, WSG said.

They also must not have received a payout from the same scheme in the past three years, and have been unemployed for at least one month from the last date of employment before receiving the payouts.

To apply for the scheme, individuals need to submit an official letter or notification of termination or dismissal from their former employer, said WSG in the media factsheet, adding that it may take up to 10 days to process applications.

If they were terminated due to medical reasons, jobseekers will need to provide a medical certificate or an official letter from their doctor.

Participants can start earning points from the moment that they apply for the scheme, and their first month – or activity period – begins the day their application is approved.

HOW THE SYSTEM WORKS​


To qualify for the payouts each month, individuals will need to complete enough job search-related activities to meet a target number of points.

For example, the maximum payout an individual can receive in the first month is S$1,500 – and they will have to complete activities worth a total of 10 points to qualify.

The support will be doled out across six months. Each individual can receive a maximum of S$1,500, S$1,250 and S$1,000 for the first three months respectively, and then S$750 each for the fourth to sixth months.

If the individual’s past average gross monthly income is lower than the amount listed, they will receive that sum instead. For example, an individual with a past average gross monthly income of S$900 will not receive more than that in the first three months of the scheme.

The participants will need to upload proof of them completing the activities on an online portal tracking their progress, WSG confirmed.

For example, this could include screenshots or basic details about who they met, said Ms Ng, adding that WSG plans to conduct randomised checks.

Of the 13 activities available, some of them have a cap on the number of times individuals can gain points from them each month, including updating their resume online and attending a training course listed on the SkillsFuture portal.

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When participants do not meet the minimum point requirements that month, they will not receive the corresponding sum but their points will carry over to the next month, said WSG.

For instance, if an individual in their third month of the programme earns only eight points, falling short of the required 10, they will not receive a payout and instead start their fourth month with eight points. They will be subject to the same 10-point target in the fourth month, and will receive S$1,000 if they meet it, since it will be their third payout.

Since the scheme concludes after six months, this individual will miss out on the last S$750.

Alternatively, if participants exceed the point targets, their extra points will also be carried over. For example, if an individual earns 16 points in their first month, they will start their second month with six points.

Participants will receive their payouts three to four weeks after they hit their monthly point targets through their PayNow-NRIC linked bank accounts, or through GIRO or GovCash.

To receive the payouts each month, individuals will also have to declare that they are still unemployed, WSG said.

When asked about what would happen if an individual who is very proactive in the first few months of the scheme accumulates many points to be carried over, and is then inactive for the next few months, the agency acknowledged that such cases could exist.

If an individual is very active in their job search, the chances that they will secure a job earlier are much higher, said a WSG spokesperson.

“We also do not want to penalise people who are very very proactive in the first few months by telling them … all the activities that you do in the first two months don’t count anymore in your third and fourth month,” they added.

The S$6,000 payout is not meant to cover the financial needs of an entire household, they noted. “So it is in their interest to get a job as soon as possible.”

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