Budget 2026-2027

NTPC levy restructured to boost training and workforce skills

June 29, 2026 7:48 am

Finance Minister Esrom Immanuel. [Photo: FILE]

The government has announced significant changes to the National Training and Productivity Centre levy distribution as part of efforts to strengthen training and upskilling of workers in the country.

Finance Minister Esrom Immanuel says under the current arrangement, 50 percent of the NTPC levy is allocated to the GP medical scheme, 40 percent to the Accident Compensation Commission of Fiji and 10 percent to training and skills development.

However, from 1 January 2027, the allocation will be restructured to place greater emphasis on training.

“50 percent of the levy will be redirected towards training and skills development, 10 percent will be allocated for public sector training through the Fiji Learning Institute for Public Service, and 40 percent will continue to support the workers’ compensation from the ACCF and Ministry of Employment.”

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Immanuel says the government has also introduced a 200 percent tax deduction for eligible training and upskilling expenditures for employers.

He says these changes reflect the urgent need to invest more heavily in workforce development and upskilling.

The Minister says the private GP scheme, which was introduced as a temporary response during the COVID-19 period, will now be funded from the remaining balance in the GP Trust Fund.

He adds that there has been considerable discussion about increasing the minimum wage further.

Immanuel says any increase must be carefully aligned with productivity improvements and take into account the impact on businesses, particularly micro, small and medium enterprises.

A total of $100,000 has been allocated to review the minimum wage next fiscal year.

Meanwhile, the Ministry has been allocated $14.9 million in the 2026/2027 budget.