Singapore to raise retirement age to 65 in 2029 — Channel NewsAsia

Singapore will legally raise the retirement age from 64 to 65 and the re-employment age ceiling from 69 to 70 starting in 2029. The decision will take effect one year earlier than the previous schedule had envisaged, Channel NewsAsia reports.

Following the rule changes, employers will not be able to dismiss employees because of their age before they reach 65. They will also be required to offer re-employment to workers who meet the established requirements until they reach the age of 70.

Flexible employment for older workers

The government has fully accepted the recommendations of the Tripartite Workgroup on Senior Employment. The measures include support for flexible work arrangements, continued support for employers that hire or retain older workers, and stronger assistance for people with lower incomes.

The new Flexi-Load programme will replace the current Part-Time Re-employment Grant, which will end after 2027. It will cover workers aged 50 and above and is intended to encourage employers to create additional flexible-load positions, including part-time or reduced-workload roles.

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Since 2020, the previous programme has supported around 68,500 older workers and approximately 7,800 employers. Under it, companies could receive S$2,500 for every resident employee aged 60 and above who was offered re-employment on a part-time basis or under other flexible arrangements.

Tax relief and payments

The authorities also plan to increase earned income relief for people who work beyond the retirement and re-employment ages. Currently, workers aged 55 and above can qualify for relief of up to S$8,000, depending on their age.

Starting in 2028, employers will receive a new re-employment credit that will offset part of the costs of retaining older workers. It will replace the existing Senior Employment Credit. The government is also expected to raise the recommended amount of the one-off payment for workers to whom an employer cannot offer re-employment. It currently equals three and a half months' salary, but is no less than S$6,250 and no more than S$14,750.

According to the workgroup, people aged 50 and above accounted for about 40% of Singapore's workforce in 2025, compared with approximately 34% in 2015. By 2030, one in four Singaporeans will be aged 65 or above.