New increase set on 1 January 2029
Singapore is raising its retirement age to 65 and its re-employment age to 70 one year ahead of schedule amid the growing number of senior workers who wish to remain active in the country's workforce.
The Ministry of Manpower (MOM) announced on Monday that the government accepted the recommendation of the Tripartite Workgroup on Senior Employment (TWG-SE) to bring forward the increase to 1 January 2029.
The increase was initially scheduled for 2030, as part of the government's phased approach to raising the retirement and re-employment ages to give employers sufficient time to adjust.
But the tripartite group said it was bringing forward the increase schedule following positive employment outcomes after the previous increases, and the growing number of seniors who wish to remain economically active.
"This reflects the reality that many workers today remain healthy, productive and keen to contribute well beyond traditional retirement ages, and that many employers are open to employing senior workers at older ages, as reflected in NTUC and SNEF's surveys," the tripartite group's recommendation said.
"Raising the Retirement and Re-employment Ages will further support multistage careers and help Singapore fully realise the benefits of an ageing workforce."
The TWG-SE was established in July 2025 to review and refresh Singapore's senior employment strategy. It comprises representatives from the National Trades Union Congress (NTUC), the Singapore National Employers Federation (SNEF), and the government.
Its final report, submitted this month, also recommended an Enhanced Earned Income Relief (EIR) for senior workers in a bid to hike their take-home pay and encourage them to continue working.
It also pushed for higher minimum and maximum Employment Assistance Payment (EAP) amounts to account for the wage growth in recent years.
"This will provide more meaningful financial support to workers who are not re-employed, helping them tide over as they search for new employment opportunities," MOM said.
Changes to employer support
Meanwhile, the TWG-SE also recommended a new Re-Employment Credit (REC) starting in 2028 to replace the Senior Employment Credit (SEC), which will expire in 2027.
"The new REC will provide wage support to employers who hire senior workers above the statutory Retirement Age," the tripartite group's recommendation said.
The group will also introduce a new Flexi-Load Programme (FLP) to support employers in creating and scaling up flexi-load opportunities for senior workers.
It will replace the Part-Time Re-employment Grant (PTRG) when it expires at the end of 2027.
"The FLP will help employers defray transitional costs of implementing flexi-load arrangements, such as redesigning jobs, systems, and policies that are traditionally structured around full-time work," the tripartite group said.
"Unlike the PTRG which is scoped to employees aged 60 and above and funds employers who make changes to their HR policies, the new programme will be available to employees aged 50 and above and funds employers to demonstrate the outcome of creating additional flexi-load roles."
The Singapore government said it "fully accepts" the tripartite group's recommendations, with further details on the new measures to be released in the first half of 2027.
