Importance Of Training For The Development Of SME Sector
Singapore’s small and medium enterprise (SME) sector is a major contributor in the nation’s economic development. The government actively supports SMEs and has introduced numerous programmes and schemes to further improve the sector’s performance. Focusing productivity improvement, training programmes have been launched to help employees acquire necessary skills to become more innovative and productive. Through these, employees become more equipped to perform exceptionally and contribute to the productivity of their respective employers in particular and to the overall productivity of the sector in general.
It is common knowledge that not all small and medium companies are capable of providing all their employees with the training needed to stay competitive. Hence, the government has allotted a significant funding to address this need. This encourages entrepreneurs who register a company in Singapore to continuously upgrade the level of productivity within an organization by ensuring all employees are skilled.
What is the Training Support Program?
The Singapore government has allocated necessary funding to train local business employees and enhance their skills to perform and accelerate the growth of the business.
Fee Funding. SMEs are provided with subsidies of up to 90% of the course fees paid for the training. The organisation can nominate an employee who will participate in the respective training and in turn, the company can enjoy subsidies.
Absentee Payroll Policy. The organisation can also claim for the funding of absentee payroll of 80% on an hourly salary basis at a cap of $7.50 which is higher than the normal cap of 4.50$ per hour. It is essential for the employees to meet the eligibility of Workers Training Support Scheme to avail of the said scheme.
Who can participate in the training program?
– The criteria for meeting the eligibility grounds for the participation in the training program:
– The organisation must be a Singapore registered company.
– The size of the employees must not be more than 200 and the annual sales turnover should not be more than 100$ million.
– The trainee must be employed under the terms and conditions of the Employment Act and completely sponsored for the training.
– There must be at least 30% local shareholding by Singapore citizens.
– The trainee should be a Singapore resident.
The training and development are covered under the scheme of Enhanced Training Support for the development of SMEs. The training programs improve the creative, management, technical, and decision-making skills of the employees that improves the performance of the enterprise.
The courses covered are:
– The courses are certified by WDA which gives the program an approved authentication.
– CET courses at Polytechnic and ITE
If any enterprise wants to claim higher funding support, they can apply at Skills Connect facility which handles the claims for SMEs. The funding would be given to those SME’s that meet the eligibility criteria for the higher funding. SME’s have to follow the guidelines to submit the application. The enterprise can submit the application before the training starts up to 30 days from the date. The training program would benefit the employees and increase the productivity of the organisation.