Singapore is setting the tone for 2025 with a powerful initiative focused on uplifting low-income workers. In response to rising living costs and the growing need for inclusive economic progress, several government schemes have been enhanced or introduced.
These support measures aim to provide better wages, financial stability, and long-term security to vulnerable segments of the workforce.
Enhanced Progressive Wage Credit Scheme (PWCS)
A major component of this 2025 support initiative is the Progressive Wage Credit Scheme (PWCS), which incentivizes employers to raise wages for lower-income employees.
- Government Co-Funding Increased: In 2025, the government is providing up to 40% co-funding for wage increases.
- Eligibility: Employees earning $3,000 or less per month before wage hikes are eligible, provided their wages do not exceed $4,000 after the increase.
- Conditions: The wage increase must be at least $100 and sustained over two years.
This initiative reduces the burden on employers while directly benefiting lower-wage workers with sustained income growth.
Workfare Income Supplement (WIS) Updates
The Workfare Income Supplement (WIS) has been significantly upgraded to better serve Singapore’s low-income workforce.
- Monthly Disbursement: Unlike previous annual payouts, WIS payments will now be made monthly, offering timely financial support.
- Higher Income Ceiling: The income threshold for eligibility has been raised to $3,000/month, allowing more workers to qualify.
This change improves the regularity of income support and provides greater encouragement for continued employment.
Workfare Skills Support (WSS) Scheme Expansion
To promote lifelong learning, the Workfare Skills Support (WSS) scheme has expanded to reward skill upgrades and training participation.
- Training Allowances: Eligible workers aged 30 and above can receive monthly training support when enrolled in approved programs.
- Completion Incentives: Upon hitting key training milestones, workers are awarded cash rewards.
This initiative is designed to enhance employability and future earning potential while providing financial help during the training period.
New Healthcare Support – Matched MediSave Scheme (MMSS)
Looking beyond employment, Singapore is launching the Matched MediSave Scheme (MMSS) to help seniors grow their healthcare savings.
- Dollar-for-Dollar Matching: Eligible individuals will receive up to $1,000 annually in matching contributions for MediSave top-ups.
- Who Qualifies:
- Aged between 55 and 70
- Monthly income not exceeding $4,000
- Own one property with an annual value below $21,000
- MediSave balance below 50% of the prevailing Basic Healthcare Sum
This scheme provides peace of mind for lower-income seniors by boosting medical fund reserves, ensuring access to healthcare in later years.
Overview of 2025 Support Measures
Here’s a quick look at the enhanced benefits and their key details:
| Support Scheme | Key Details |
|---|---|
| PWCS | 40% co-funding for wage increases (for workers under $4,000/month) |
| WIS | Monthly payouts; income ceiling raised to $3,000/month |
| WSS | Training allowances and milestone cash rewards for workers aged 30+ |
| MMSS | Up to $1,000 matched annually for MediSave top-ups (seniors aged 55–70) |
Benefits for Workers and Employers
These initiatives are designed with both workers and employers in mind:
- Workers benefit from increased income, financial security, and long-term healthcare savings.
- Employers receive government incentives for raising wages and supporting skills development.
The combined impact ensures a more equitable economy where lower-income groups are not left behind.
Singapore’s 2025 support package represents a bold and inclusive step forward for low-income workers. With upgrades to the PWCS, WIS, WSS, and the introduction of the MMSS, the government is ensuring no one is left behind in the nation’s progress.
These schemes promote not only income growth but also healthcare stability and long-term resilience. Workers are encouraged to take full advantage of these programs and prepare for a more secure and empowered future.
FAQs
Who can receive the new monthly Workfare Income Supplement in 2025?
Singapore citizens aged 35 and above (or 30+ with disabilities) earning up to $3,000 per month are eligible.
How does the Progressive Wage Credit Scheme support employers?
Employers who raise wages for eligible workers receive up to 40% wage cost support from the government.
When will the Matched MediSave Scheme (MMSS) start?
The scheme is set to begin in 2026 and will run until 2030, supporting eligible seniors annually.