Singapore brings forward higher retirement and re-employment ages to 2029

Singapore’s statutory retirement age will reach 65 from Jan 1, 2029, with the re-employment threshold rising to 70 on the same date. The changes will take effect a year earlier than originally targeted, the Tripartite Workgroup on Senior Employment announced on Oct 26.

The Government accepted all six recommendations put forward by the workgroup following consultations involving more than 1,000 stakeholders. The age limits had increased in July to 64 for retirement and 69 for re-employment.

One proposal would introduce a flexi-load programme, allowing older employees to vary their workloads and have their pay adjusted accordingly. It would take over from the part-time employment grant, under which about 68,500 seniors and 7,800 employers have received support.

A dedicated office under the Skills and Workforce Development Agency would work with unions and employers to support these arrangements, including helping companies with development and implementation costs. The workgroup noted that businesses organised around full-time positions may need extra resources to redesign roles, systems and policies.

Other proposals include greater earned income tax relief for seniors staying employed beyond the statutory age thresholds, and revised minimum and maximum Employment Assistance Payment amounts reflecting wage growth. That payment provides assistance to eligible older workers when employers cannot offer a suitable re-employment role.

The workgroup also proposed a Re-Employment Credit starting in 2028 to succeed the Senior Employment Credit, which ends in 2027. Changes to the Workfare Income Supplement and Progressive Wage Credit Scheme would provide further support for lower-wage seniors and employers increasing pay.

Implementation arrangements and grant parameters are to be outlined during the Ministry of Manpower’s Committee of Supply budget presentation in the first half of 2027.