SGTech calls for workforce upskilling, SME tech support in Budget 2025

These recommendations will sustain Singapore’s edge in the tech sector.

With rapid technological disruption on the horizon, tech association SGTech is urging Singapore to include programmes in its 2025 budget that will empower workers and businesses to adapt.

Amongst its recommendations is accelerating workforce upskilling by driving adoption of artificial intelligence (AI) solutions, which can be done through stronger partnerships between government agencies and industry associations.

“Whilst existing government initiatives have made progress in reskilling workers, there is a need for a more coordinated and proactive approach to integrating AI skills into the workplace,” SGTech said.

SGTech proposes the introduction of structured, workplace-based training workshops to help companies better integrate AI solutions. Existing programmes such as the Career Conversion Programme should be expanded to support workers transitioning into AI-driven roles, whilst industry-driven curriculum development should ensure that training remains aligned with evolving business needs, it added.

The group also said more financial support should be allocated for overseas placements, secondments, and inter-company exchanges to help Singaporean professionals gain international experience.

“SMEs [small and medium enterprises], which often lack the resources to facilitate such mobility, should be supported through co-funded global talent exchange programmes that enable them to send employees abroad and bring in expertise from overseas,” it said.

Furthermore, immigration policies should prioritise skills over academic qualifications and salary thresholds to address skill gaps in growth sectors, including those in the Ministry of Manpower’s Shortage Occupation List.

Immigration laws can also be coupled with local talent development programmes to back transfer of skills through internships, apprenticeships and career conversion programmes.

Sharon Teo, co-chair of SGTech’s Talent Steering Committee, said “SMEs offer a unique learning environment where professionals have opportunities to accelerate their professional development, by utilising hands-on skills and taking on end-to-end responsibilities.”

“By incentivising SME-led training and adopting a skills-first hiring approach, we can build a more agile, competitive workforce,” she added.

SGTech is also pushing for a multi-pronged approach for tech talent to view SMEs as potential employers. This can be supported by expanding on-the-job training initiatives, and introducing co-funded SME scholarship schemes for polytechnic and Institute of Technical Education graduates for apprenticeship-style programmes.