More employees in Singapore working beyond retirement age
- Josephine Tan
- Topics: Compensation and Benefits, Compliance, DE&I, Home Page - News, News, Singapore
In 2022, a total of 207,300 Singapore residents aged 65 and above were employed, which translates to an employment rate of 31%. This figure, according to Tan See Leng, Singapore’s Minister of Manpower (MOM) is high when compared to other countries in the Organisation for Economic Cooperation and Development (OECD) and can be attributed to the high life expectancy of Singaporeans.
Of these, 81,900 (57.5%) were taking on full-time roles while a third were working part-time.
Where earning power is concerned, close to seven out of 10 elderly employees in Singapore earn less than $$2,500 (US$1,8885), according to figures provided by MOM. 68.7% earned a gross monthly income of less than $2,500, excluding employers’ Central Provident Fund (CPF) contributions. CPF is a compulsory comprehensive savings and pension plan for working Singaporeans and permanent residents primarily to fund their retirement, healthcare, and housing needs in Singapore.
About 27,000 elderly employees earned between $2,500 and $3,000 (US$2,262) while 37,800 of them earned at least $4,000 (US$3,016).
READ: Singapore seeks more flexibility in hiring of elderly employees
To encourage organisations to hire more senior employees, Singapore is extending a scheme that provides wage offsets for employers who hire Singaporeans aged 60 and above earning up to $4,000 per month, from 2023 to 2025.
Over the same period, the government will also provide grants to support employers offering flexible work arrangements and structured career planning for senior employees.
