In Budget 2022, the coverage of SFEC was expanded through a one-off adjustment to the eligibility criteria. For the expansion, the requirement of a minimum employer contribution to Skills Development Levy (SDL) over the qualifying period was removed, thus allowing more employers to benefit from the $10,000 SFEC per firm*. In addition, the deadline to claim the credit for all employers (including those which were qualified previously) will be extended from 30 June 2023 to 30 June 2024. *For the earlier qualifying periods, employers had to fulfill a requirement of contributing at least $750 in SDL over a qualifying period.

There is one qualifying period for the SFEC Expansion, which is 1 January 2021 - 31 December 2021. Employers must meet the following conditions over the qualifying period: A. Have employed at least three Singapore Citizens (SCs) or Permanent Residents (PRs) every month over the qualifying period; and B. Have not been previously qualified for SFEC; and C. Are not in default of their SDL contributions during the qualifying period and do not have an inactive ACRA status during the qualification process.

To encourage employers to embark on both enterprise and workforce transformation programmes in tandem, $3,000 of SFEC was ringfenced for workforce transformation programmes only