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Training provider FirstCom Academy has been suspended for three months due to its failure to comply with the guidelines set by SkillsFuture Singapore (SSG). This suspension comes amid layoffs at the company, which specializes in short Workforce Skills Qualifications (WSQ) courses such as digital content creation and social media marketing.

SSG announced on Wednesday that it had been investigating FirstCom Academy’s marketing practices and course quality since early 2024, following public complaints. The suspension will begin on January 1, 2025, and end on March 31, 2025, due to concerns regarding the use of a referral program in marketing, which violated SSG’s terms for training providers.

During the suspension, FirstCom Academy, which operates training centers in Paya Lebar, Woodlands, Chinatown, and Tiong Bahru, will not be able to offer WSQ courses. SSG will also suspend government funding subsidies for courses starting within this period, meaning those courses will not be eligible for government course fee subsidies or SkillsFuture Credit use. Additionally, two of FirstCom Academy’s WSQ courses will be terminated due to lapses in course quality.

SSG clarified that learners whose courses start before the suspension will not be affected, even if they finish during the suspension period. However, students whose courses are set to begin during the suspension may choose to contact the company for alternative arrangements or approach SSG for similar courses from other registered providers. It is the responsibility of FirstCom Academy to inform learners that they will not receive course funding subsidies, and they will not be awarded the WSQ Statement of Attainment upon completion.

SSG emphasized that FirstCom Academy should use this period to improve its marketing practices and course delivery. The agency also stated it would take further action against training providers found to engage in marketing misconduct.

Following the suspension, FirstCom Academy posted a notice on its website indicating that its WSQ course curriculum would undergo improvements in the first quarter of 2025. The notice also clarified that no WSQ courses or course funding would be available during the suspension period.

A recent report from a CNA reader, Mr. Tan, revealed that FirstCom Academy had been offering incentives such as NTUC vouchers or umbrellas in exchange for Google reviews. Other participants also reported that referrals could earn S$80 incentives. This referral program was deemed non-compliant with SSG’s guidelines, which prohibit such incentives, as companies are not allowed to use gifts, vouchers, or rewards to encourage course sign-ups.

In response to CNA’s inquiry, SSG confirmed that FirstCom Academy’s referral program involved incentives for referrers who successfully signed up new participants. SSG noted that two other training providers had also faced similar actions for non-compliance with marketing guidelines in 2024.

On the employee front, several staff members were laid off following the suspension announcement. An unnamed former employee disclosed that the layoffs affected multiple departments, including corporate sales, HR, and marketing. One employee, known as Adam, revealed that the corporate sales department was particularly hard-hit, with the team shrinking from 65 people to just 10. Harry Lee, president of the Education Services Union (ESU), noted that while FirstCom Academy is not unionized, affected employees who are union members would receive support from NTUC-affiliated unions. Employees could also access career support services such as coaching from NTUC’s Employment and Employability Institute (e2i).

CNA has reached out to the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) and FirstCom Academy for further information on the layoffs.

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This article has been first read on https://www.channelnewsasia.com/singapore/first-com-academy-layoffs-retrenchment-skillsfuture-credit-wsq-courses-suspension-4774001