NTUC and ASME launch programme to help SMEs adopt AI and uplift workers

• NTUC and ASME expect about 120 SMEs across three sectors to benefit from a new programme to adopt AI and transform their businesses.

• At least 480 workers are expected to benefit from wage increases and/or skills allowances through job redesign and reskilling.

• NTUC SME Partners has expanded its network to more than 2,200 SMEs, benefiting over 93,000 workers, including professionals, managers and executives (PMEs).

NTUC and the Association of Small and Medium Enterprises (ASME) launched on 14 October 2026 a new programme to help SMEs adopt AI, improve productivity and create better career prospects for workers.

The SME Transformation Accelerator programme will bring SMEs together to address common business challenges and implement AI-enabled solutions.

NTUC Deputy Secretary-General Desmond Tan announced the initiative at the SME Partners Members' Night.

He noted that SMEs must first understand their business challenges before investing in AI solutions that sustainably transform their operations and job roles.

“Through the SME Transformation Accelerator programme, NTUC is committed to supporting SMEs in their AI adoption and business transformation journey, while equipping workers with the skills and confidence to thrive in an AI-enabled workplace,” said Mr Tan.

Benefiting workers amid tight labour market

About 120 SMEs across retail, professional services and logistics are expected to participate in the programme, with at least 480 workers set to benefit from wage increases and skills allowances.

The initiative comes amid rising business costs and a tight labour market, which have added pressure on SMEs to improve productivity while remaining competitive.

While AI can help businesses streamline operations and unlock new growth opportunities, many SMEs lack the time, resources or expertise to undertake transformation on their own, said xx.

Through the programme, ASME will identify SMEs facing similar challenges and help them develop solutions collectively.

Participating companies can also tap on the NTUC Company Training Committee (CTC) Grant to support their transformation projects.

Helping SMEs turn AI adoption into better jobs

For starters, the programme will focus on retail, professional services and logistics, where businesses often face challenges such as time-consuming manual processes, difficulties tracking customer enquiries and sales leads, and inefficiencies in fulfilment and delivery coordination.

AI-enabled solutions in areas like customer relationship management, operations and logistics can help businesses streamline these processes and improve productivity.

To support the adoption of these solutions, companies can receive up to 70 per cent co-funding of qualifying transformation costs through the NTUC CTC Grant. This is provided they commit to delivering better worker outcomes through higher wages and/or skills allowances.

The programme will also pair technology adoption with job redesign and reskilling, so that workers can move from manual processes into higher-value work.

The first group of 40 retail SMEs is expected to embark on the programme by November 2026, with at least 160 workers set to benefit.

Growing support for SMEs and their workers

The new programme builds on NTUC SME Partners' efforts to help SMEs strengthen their businesses while improving outcomes for their workers.

Over the past five years, the network has tripled in size, growing from about 700 SME partners in 2021 to more than 2,200 in 2026. The number of workers who have benefited from its programmes has also doubled, from 46,000 to more than 93,000.

More SMEs have also taken steps towards unionisation, with the number of unionised SME partners increasing from 84 to 182 over the same period.

Unionisation provides a structured platform for employers and workers to discuss workplace issues and navigate business changes together.

With union support, companies can engage workers early, address their concerns and strengthen workplace practices, including grievance management.

ASME President Ang Yuit noted that micro and small enterprises employ about 45 per cent of Singapore’s workforce but are often overlooked for support, as individual businesses may lack the scale to undertake transformation or access assistance on their own.

He said: “Group-based upgradings change that, giving them access to the funding, expertise and implementation support that larger firms can secure on their own.

“Working with NTUC means workers share in the gains.”

Building a stronger network of workplace champions

To strengthen support for workers across its growing SME network, NTUC SME Partners also plans to expand its People Champions Programme from 285 participants in 2026 to 500 by 2027.

The programme supports workplace engagement, well-being and communication. Workers, nominated by their companies and NTUC, receive fully subsidised training in industrial relations, leadership and membership knowledge from NTUC's Ong Teng Cheong Labour Leadership Institute (OTCi).

As SMEs navigate technological change and new business demands, the programme aims to strengthen the links between employers and workers, ensuring that business transformation goes hand in hand with workforce development.

Through the SME Transformation Accelerator and its wider SME Partners network, NTUC and ASME will work to help businesses become more productive and competitive while enabling workers to gain relevant skills, improve their employability and share in the benefits of transformation.

Still not part of the NTUC SME Partners network? Find out how we can help empower your workers and grow your company.