SKILLS DEVELOPMENT FUND

Mdm Claire Chiang See Ngoh asked the Minister for Manpower whether he will consider independent applications for financial support from the Skills Development Fund to encourage individuals recently retrenched from corporations to go for retraining within a stipulated time frame and for those skills identified by his Ministry.

Dr Lee Boon Yang: Two programmes are currently available to assist retrenched workers - the Skills Redevelopment Programme and the Back to Work Programme. Both are supported by the Skills Development Fund.

(a) Skills Redevelopment Programme (SRP)

Launched as a pilot programme in 1996 by the National Trades Union Congress (NTUC), the SRP aims to help workers to remain employable through a systematic upgrading and certification of skills.

Retrenched workers can participate in the SRP to acquire new skills and find alternative jobs. The SDF supports the course fees for pre-retrenchment training by the current employer or through employers who are taking in the retrenched workers. In the absence of employers able to take the retrenched workers, funding is provided through the NTUC and community self-help groups to defray the cost of retraining for new jobs.

The pilot-phase of the SRP has produced good results. Hence Government has committed $50 million to the next phase of the programme to defray the cost of absentee payroll and training for up to 20,000 workers. The SDF has also commited another $50 million to support the SRP.

(b) Back to Work Programme (BTWP)

The Back to Work Programme was started in 1996 to attract and assist housewives, retirees and retrenched workers to return to the workforce. Under the programme, the Ministry of Manpower provides job placement services to individuals. Training programmes for re-entry into the workforce are offered by the Productivity and Standards Board.

The SDF supports 100% of the course fees for the core skills training to prepare these individuals for re-employment, and 80% of subsequent job skills training. Trainees are also given a $100 allowance during the period of the core skills training.