Singapore to Progressively Increase Retirement Age and Re-Employment Age

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Starting in 2026, Singapore is set to raise its retirement age to 64, gradually moving towards a retirement age of 65 by 2030. Additionally, the re-employment age will be lifted to 69 in 2026 and further increased to 70 by 2030, as announced by Minister of State for Manpower Gan Siow Huang in parliament on Monday.

Under these new regulations, employers must offer re-employment to eligible Singapore citizens and permanent residents who demonstrate satisfactory work performance and are medically fit to continue working. Those who joined a company after turning 55 must have served their current employer for at least two years before retirement age to qualify for re-employment.

Re-employment contracts must be for a minimum of one year and renewable annually. These changes were initially announced in 2019, when the retirement age was 62, with the first increase implemented in July 2022.

Ms. Gan highlighted that over 90% of eligible senior workers who desired to continue working were offered re-employment in 2023, emphasizing employers' importance in planning ahead for the upcoming changes. Adjustments to manpower and upskilling strategies may be necessary for some companies to retain senior workers.

Notably, these adjustments to retirement and re-employment ages do not affect CPF withdrawal and payout ages. The government's proactive approach aims to ensure a smooth transition and allow older workers to remain active in the workforce.