Employees in Singapore intend to work longer
Three in four older workers in Singapore do not intend to retire before 65, a study commissioned by The Sunday Times has found.
From July 1, the retirement age for Singapore workers was raised from 62 to 63, and the re-employment age from 67 to 68. This is part of a gradual increase to address an ageing workforce, with the retirement age set at 65 and the re-employment age at 70 by 2030.
Observers said raising the retirement and re-employment ages will push more employers to tap the older talent pool amid a rising global talent shortage.
In Singapore, employers have to offer to re-employ eligible workers when they hit retirement age. This re-employment model has worked well for businesses and senior workers, the Ministry of Manpower (MOM) said.
Since the model was introduced in 2012, more than 90% of eligible resident employees who wished to continue working have been offered re-employment at age 62. “We expect this trend to continue, given the tight labour market,” said the ministry.
MOM encourages firms to adopt higher retirement and re-employment ages than the statutory requirements via efforts such as the Senior Worker Early Adopter Grant that offers funding support.