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Stacking Success: Innovative tripartite approach set to improve the lives of over 22,500 logistics workers

Like many industries, the logistics sector has not been spared from the rise of Industry 4.0 technologies. Amid the e-commerce boom, Singapore’s tripartite partners have embarked on an innovative strategy to upskill SME workers in the sector.
By Nicolette Yeo 14 Aug 2025
ST Logs preferred.jpeg Representatives from ST Logistics, SkillsFuture Singapore and NTUC inked a tripartite partnership to give 15,000 logistics SME workers a substantial skills boost to thrive in the fast-growing logistics industry.
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An innovative cluster approach helmed by Singapore’s tripartite partners has been introduced to boost the lives of SME logistics and supply chain workers.

 

The approach involves appointing an industry leader within a sector to help their SME suppliers enhance workforce capabilities and drive business transformation in the sector. The tripartite partners will leverage their respective capabilities to equip the industry leader, or SkillsFuture Queen Bee, with the necessary resources, knowledge, and expertise to support this endeavour.

 

Two separate tripartite agreements were inked in August 2025 between SkillsFuture Singapore and NTUC to appoint leading logistics firms YCH Group and ST Logistics as SkillsFuture Queen Bees for the next three years.

 

These partnerships aim to equip over 22,500 employees in 260 SMEs with future-ready skills and capabilities. The Manpower Ministry estimated that the transportation and storage workforce exceeded 256,000 in 2024.

 

The value in this approach lies in the collaboration among the Government, NTUC, and employers to support SMEs, which often lack the resources for technology adoption.

 

“The ecosystem is not just one-to-one. With NTUC’s relationship with SMEs, we are broadening it to a sector where we hope to scale at a faster speed to meet the challenges of today, overcome them and seize opportunities for all.

 

“We will continue to drive productivity, build a robust and resilient logistics ecosystem, and ensure that our workers, including PMEs and fresh graduates stepping into this sector, can thrive in their careers,” said NTUC Secretary-General Ng Chee Meng at the tripartite partnership agreement signing event for YCH Group, a new SkillsFuture Queen Bee.

 

As a key pillar of the economy, the country’s freight and logistics market is projected to grow to nearly S$152 billion by 2033, according to global market research firm IMARC Group.

 

Like many sectors, Industry 4.0 technologies like AI and robotics are revolutionising job roles within logistics. The Logistics Jobs Transformation Map indicates that significant transformations are in store for several professionals, including warehouse operations executives, depot/hub operations supervisors, forklift operators, traffic/dispatch coordinators, customer service managers, and brokerage/freight supervisors.

 

As jobs evolve, some 20 roles may be redesigned or displaced. Whatever the outcome, it is clear is that workers will require new skills to meet tomorrow’s challenges.

 

The cluster tripartite approach is timely as it effectively enables the upskilling of more workers simultaneously and accelerates the transformation process to meet new and emerging demands.

 

Creating a buzz in logistics

 

As a new Queen Bee, the YCH Group plans to upgrade its ‘hive’ of over 110 suppliers by equipping their 7,500 workers with Industry 4.0 and sustainability skills. The group will also team up with its supply chain management IT solutions partner Y3 Technologies, the Supply Chain and Logistics Academy, and institutes of higher learning (IHLs) to roll out technology and training programmes for 40 suppliers and their workforce of 1,200 workers.

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NTUC Assistant Secretary-General Melvin Yong represented NTUC to sign the agreement with YCH Group and SkillsFuture Singapore to support 110 SMEs with over 7,500 workers.

 

“The tripartite partnership allows us to deepen this support for SMEs and their workers, reinforcing our belief that resilience in the supply chain and logistics sector comes from investing in people, strengthening collaboration, and driving innovation,” said YCH Group’s Executive Chairman Robert Yap.

 

Meanwhile, returning SkillsFuture Queen Bee ST Logistics plans to upskill at least 15,000 staff from 150 SMEs with Industry 4.0, sustainability and workplace safety skills. During its first tenure from 2023 to 2024, the company enabled 80 SMEs to adopt automation, AI and autonomous technologies.

 

ST Logistics also collaborates with IHLs and other training providers, such as NTUC LearningHub (NTUC LHUB), NACE Led by Nanyang Polytechnic, and NUS, to make learning more accessible to SME employees. For example, NTUC LHUB’s Learning eXperience Platform delivers role-based learning in bite-sized courses, so workers can learn anytime, anyplace.

 

“From digital workflows to AI-powered tools, greener practices to safer workplaces, we’ve seen how progress takes root when innovation is made accessible and people are empowered to act. This next chapter deepens that mission,” shared the firm’s CEO Loganathan Ramasamy.

 

SkillsFuture Singapore’s Chief Executive Tan Kok Yam is heartened to have both companies onboard the SkillsFuture Queen Bee programme. He noted that their inclusion into the Queen Bee ecosystem strengthens the reach of the national learning movement while building the capabilities of the logistics workforce.

 

The NTUC difference

 

With the tripartite collaboration, ST Logistics and the YCH Group will have the support of NTUC’s cluster Company Training Committee (CTC) initiative. Both companies are unionised under the Supply Chain Employees’ Union (SCEU).

 

Through this approach, the YCH Group and its SME suppliers can leverage the CTC Grant funding of up to 70 per cent for transformation projects that aim to raise workers’ productivity and redesign jobs. Workers can also benefit from higher wages and enhanced career progression. Additionally, the companies in the network can harness the expertise of NTUC’s Operation and Technology Roadmap to identify challenges, exchange ideas and co-develop solutions.

 

CTC Grant funding has helped YCH Group’s employees level up. An early adopter, the group worked with SCEU and NTUC to introduce an Automated Guided Vehicle system to refresh its e-commerce operations in 2024. The project will raise the average wage of 32 workers by five per cent in addition to their annual increment. Additionally, the unionised company’s upcoming partnership with training solutions provider NTUC LHUB will offer its SME partners access to relevant training programmes.

 

NTUC’s suite of resources will also be extended to ST Logistics, with the addition of the Environmental, Social, and Governance (ESG) Diagnostics Assessment and AI Transformation Blueprint. The company’s Skills Managers can simply plug NTUC’s services and resources into their overall strategy to develop transformation plans and identify solutions to address common challenges across its supplier network.

 

Success story: Putting people first

 

One of ST Logistics’ suppliers has digitalised several manual processes under the first phase of the Queen Bee initiative. MFI Logistics CEO Wellington Foo shared that these transformations include a new GPS truck tracking system to efficiently monitor and mobilise transport operations and an upgraded pallet system leading to higher productivity, efficiency and cost savings.

 

He is also grateful for being introduced to NTUC and SCEU. With their support, MFI Logistics became a unionised company, receiving assistance to enhance its HR practices, and is now providing better service to ST Logistics.

 

“We are in a service industry, and people are the core of our success. NTUC guided us on how to go about putting in proper policies and welfare to look after our employees. When we have happy, productive employees, it serves our business very well,” Mr Foo shared.

 

Want your company to apply for a CTC Grantto support salary and career progression? Visit NTUC’s CTC portal to find out more.