In 2026, Singapore is set to raise the retirement age to 64 and the re-employment age to 69, as part of a gradual progression towards the eventual goal of a retirement age of 65 and a re-employment age of 70 by 2030. Minister of State for Manpower Gan Siow Huang announced this in parliament on Monday (Mar 4).
Starting in 2026, employees in Singapore can only be required to retire at the age of 64. Concurrently, the re-employment age will be increased to 69. This means employers are obligated to offer re-employment opportunities to their employees until they reach the age of 69. The plan is to further elevate the re-employment age to 70 by 2030.
Eligibility for re-employment is contingent upon satisfactory work performance and medical fitness for continued employment. Singaporean citizens and permanent residents meeting these criteria are eligible for re-employment. Additionally, employees who joined a company after turning 55 must have served their current employer for at least two years before reaching retirement age to be eligible.
Retirement age for Singapore workers to go up from 63 to 64 on 1 July 2026, re-employment age to also rise from 68 to 69
— Yahoo Singapore (@YahooSG) March 4, 2024
Rise in retirement and re-employment ages is due to longer life expectancy, and can also help to address lack of manpower.https://t.co/PLXy4VGmv5
Re-employment contracts are required to be at least one year in duration and renewable annually. The decision to raise retirement and re-employment ages was initially announced in 2019, with the first increase taking place in July 2022. Minister Gan encouraged employers to plan early to ensure a smooth implementation of the upcoming age adjustments.
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In addressing the rationale behind these changes, the Ministry of Manpower (MOM) cited longer life expectancy and the need to address manpower shortages. Notably, these adjustments do not impact the Central Provident Fund (CPF) withdrawal and payout ages.
Simultaneously, MOM revealed an increase in salary support caps for Workforce Singapore’s Career Conversion Programmes, effective April 1. The cap for mature or long-term unemployed workers will rise to S$7,500 (US$5,600) per month, up from S$6,000. Funding for other workers will increase to S$5,000 per month, compared to the current S$4,000.
The funding rates remain at up to 70% of the worker’s monthly salary for citizens and permanent residents below the age of 40, and 90% for mature and long-term unemployed workers. Minister for Manpower Tan See Leng emphasized an expansion of the Career Conversion Programme for existing workers, encouraging employers to proactively reskill workers for new growth job roles. He urged employers to collaborate with Workforce Singapore to leverage the program for meeting their talent needs.
Content Contributor: Rehana Sengupta
