Budget 2024: ITE graduates to get S$10,000 in CPF if they obtain a diploma

SINGAPORE: Graduates from the Institutes of Technical Education (ITE) will get financial incentives to further their education, announced Deputy Prime Minister Lawrence Wong on Friday (Feb 16).

Under the new ITE Progression Award, graduates aged 30 and below who choose to pursue a diploma will be eligible for two government top-ups. 

The first is S$5,000 (US$3,700) in their post-secondary education accounts when they enrol in a diploma programme. The second, given when they attain a diploma, is S$10,000 in their Central Provident Fund (CPF) Ordinary Account. 

“We want to encourage and support more young ITE graduates in their upskilling efforts, so they can excel in a profession they have trained in, and get themselves on a better career and wage trajectory,” said Mr Wong, who is also the Finance Minister, during his Budget 2024 speech.

The wages and career prospects of ITE graduates should not be too far below those who went to polytechnics or universities, he added.

“There will always be differences in wages in any society. But too large a gap creates unhealthy levels of anxiety and stress.

“Parents and children may get caught up in an education arms race, or may feel pressured to prioritise careers only in a few traditional fields, instead of focusing on their individual strengths and talents.”

In last year’s Forward Singapore exercise, most Singaporeans welcomed a broader definition of success, said Mr Wong.

With more diverse pathways, every individual can “strive to be the best possible version of themselves”, he added.

“This also means we must accord greater value to those who are skilled in technical hands-on abilities, as well as those with the social and empathetic traits to excel in service jobs.”