Job Growth Incentive (JGI)
The Job Growth Incentive is a support scheme established by the Singaporean government to increase the employment of local workers in Singapore. JGI was further extended in four phases to cover local employment in 2022.
These phases are;
- Phase 1 of the Job Growth Incentive: September 2020 to February 2021.
- Phase 2 of the Job Growth Incentive: March 2021 to September 2021.
- Phase 3 of the Job Growth Incentive: October 2021 to March 2022.
- Phase 4 of the Job Growth Incentive: April 2022 to September 2022.
The budget of 2022 allowed for the extension of the support scheme by six months and to end by September 2022. However, this extension covered a specific set of people only. These include matured workers over forty and have not been employed for about six months, non-mature hires, ex-convicts, and disabled persons.
The conditions have constantly been changing phase by phase. However, to be eligible for Job Growth Incentive, a person must meet the following criteria.
- To be eligible for the support scheme, such a person must either be a Singaporean Citizens or Singapore Permanent Resident (PRs).
- Employers must have made timely CPF contributions and must have been established on or before on or before 16 August 2020.
- There must be a substantial increment in the local workforce size.
- There must be an increment in the local workforce size that earns up to $1,400 per month.
Overview on the Salary Support for Jobs Growth Incentive (JGI)
- Employers would receive 50% salary support from all local workers aged at or above forty. This applies to their first $6,000 salary for a period of twelve months.
- Employers would receive 50% salary support on all local workers that consist ex-convicts and disabled persons, on their first $6,000 salary. This lasts up to twelve months as well.
- Employers would receive 15% salary support on all non-mature local workers. These are workers that are not up to forty years. The support scheme would be implemented upon their first $5,000 salary for the next six months.
It should be noted that this covers the worker’s compulsory CPF contributions and does not include the employer’s CPF contributions.
For this support scheme, there is no need for an application. Employers would be notified by post of the eligible amount to which such employer is entitled. However, employers can exempt themselves from the JGI payout. In other circumstances, the employer may return the JGI payout.