With the ongoing pandemic, the Singapore government has implemented more grants to aid SMEs and to stimulate the economy. This is a list of 4 grants that every Singapore SME should know about.
1 Productivity Solutions Grant (PSG)
PSG was launched in 2018 to support businesses in adopting IT solutions and purchasing equipment that would optimise their productivity. This grant aims to encourage companies to automate existing processes and increase their efficiency on a whole.
It was announced at Budget 2021 that the maximum funding support level will be raised to 80% from 30 September 2021 to 31 March 2022 to encourage enterprises to continue their digitalisation and productivity upgrading efforts.
SMEs can refer to the PSG Application Checklist put together by Enterprise Singapore for some tips on how to prepare for your PSG application process.
2 SGUnited Traineeships Programme
This programme aims to provide opportunities for fresh graduates or students graduating between 2019 and 2021 to gain real-world work experience. Learning in school and working as a trainee offers different experiences, and this program will help them develop industry-relevant skills and allow them a higher chance to be employed when the economy recovers. Host companies who take part in this programme would be able to get fresh talents and recruit these experienced, well-trained trainees as part of their permanent staff later.
The government will support the host company during the programme period by co-funding 80% of the training allowance. This also helps in defraying costs associated with manpower, which can be seen as helpful in times like these!
3 Job Support Scheme (JSS)
JSS provides wage support for employers to retain their local employees during this pandemic. All active employers except for government organisations and representative offices are eligible.
The government will co-fund a proportion of the first $4600 of gross monthly wages paid to each employee up for firms in Tiers 1 and 2 sectors, covering wages until September 2021. The level and duration of support depends on the sector of business. This would be especially helpful especially during the Covid-19 pandemic!
Subsidies are calculated on a percentage basis but subsidies can be allocated flexibly by the employees to help them continue their business and retain their employees.
4 Enhanced Job Support Scheme
This is only for the following sectors during Phase 2 (Heightened Alert), unless employers put their employees on mandatory no-pay leave (NPL) or retrenched them:
50% for sectors where the tightened measures require them to be suspended, includes Food and Beverage (F&B), Sports and Performing Arts & Arts Education.
30% for sectors that are not required to suspend operations but are significantly affected, such as (note that supermarkets and online retailers will not be eligible!):
Indoor family playgrounds
Cinemas and movie theatres
To check your company’s eligibility, refer to the Eligibility check for Jobs Support Scheme payouts.
That concludes the 4 grants that every SME owner should know about, as discussed in the budget previously. We hope that all businesses pull through this tough time until the economy recovers again! While saving up on costs during this period, don’t forget to check out swapie.co - a cost-saving platform specially made for SMEs like you!