Living Longer, Working Longer

Singapore has one of the world's fastest ageing populations. Yet, today only 53.7% of Singaporeans aged 55-64 work. To encourage older Singaporeans to stay employed or rejoin the workforce, the Ministry of Manpower (MOM) and its tripartite partners have introduced several initiatives, including:

• Chaired by Minister of State for Education and Manpower, Mr Gan Kim Yong
• Looks into ways to make older workers more employable and stay employed longer
• Focus areas
  - Expand employment opportunities for older workers;
  - Enhance cost competitiveness of older workers;
  - Raise skills and value of older workers;
  - Shape positive perception towards older workers.

See Final Report of the Tripartite Committee on Employability of Older Workers

By 1 January 2012, employers will be required to offer re-employment to their workers when they reach 62.  They can then work until age 65, and this will eventually be raised to 67.  But it may not be in the same job or at the same pay.

A Tripartite Implementation Workgroup (TIWG) has been set up to work on the implementation issues including helping companies establish a re-employment system.

To encourage older workers to continue working, the Government introduced the Workfare Income Supplement (WIS) which provides older, low-wage workers with higher take-home pay and also more CPF contributions. Those aged above 55 and above 60 will be given higher WIS, up to a maximum of $200 a month.

•   From 1 January 2008, Singapore citizens aged 35 and above with an average monthly income of less than $1,500 will receive the WIS up to the following cap:
- Workers aged 60 and above: max of $200/month
- Workers aged 55-60: max of $150/month
- Workers aged 46 to 54: max of $100/month

•   Self-employed persons and informal workers will get two-thirds the rate for employees.

Support is available for companies to start early in their re-employment and retention of older workers with the introduction of the Singapore Workforce Development Agency (WDA)'s ADVANTAGE! scheme in partnership with the National Trades Union Congress (NTUC) and the Singapore National Employers Federation (SNEF).  ADVANTAGE! may be used to fund efforts to recruit, retain and re-employ mature workers, including the development and/or implementation of re-employment systems.

• Developed by WDA, in partnership with NTUC and SNEF.

• Provides up to $400,000 per company to:
- Recruit workers aged 40 and above;
- Retain workers aged 55 to 61;
- Re-employ workers beyond 62; and
- Scheme has been extended to 2010.

See more information on the ADVANTAGE! Scheme.

Companies looking to recruit local part-time workers or workers on a flexible work arrangement can tap on the Flexi-Works! programme. Flexi-Works! aims to bring those aged 35 and above who have been economically inactive, such as housewives and mature workers, back to the workforce. The grant can be used to fund the company's implementation of part-time work and flexible work arrangements – such as job re-design, consultancy, recruitment, training, equipment and absentee payroll.

• Developed by MOM and WDA for companies to hire new workers on part-time or flexible work arrangements

• Workers must fulfil 2 requirements:
- Not have been in the workforce for at least the past 6 months; and
- Aged 35 and above.

• Provides up to $100,000 per company for costs incurred for job redesign, recruitment, training, absentee payroll and equipment.

Companies interested in applying for grants under Flexi-Works! may contact NTUC at (65) 6213 8573 or email ntucwc@ntuc.org.sg for more details.