Government expands support to help seniors work longer and strengthen CPF savings
Singapore is taking another step toward longer working lives, with the government announcing higher retirement and re-employment ages alongside new measures to strengthen retirement savings and career longevity.
Retirement and Re-Employment Age to Increase
Singapore’s retirement age will rise to 64 on July 1, while the re-employment age will increase to 69 on the same date. Manpower Minister Tan See Leng announced the change during the Ministry of Manpower’s budget debate on March 3.
The move keeps Singapore on track to reach a retirement age of 65 and a re-employment age of 70 by 2030, giving older workers more opportunities to remain active in the workforce.
Rising Workforce Participation Among Seniors
Senior Minister of State for Manpower Koh Poh Koon said the policy does more than set legal limits. It also shapes social norms around ageing and employment, giving seniors confidence to continue working while helping employers retain experienced staff.
Data shows that more than 90 percent of employees who wish to continue working are offered re-employment. Over the past five years, labour force participation among residents in their 60s has increased from about 58 percent to nearly 60 percent.
Government Support for Employers
To help businesses adapt, the Senior Employment Credit will be extended until December 2027. The program provides wage offsets to employers who hire older workers, with higher support for the oldest age groups.
The Part-Time Re-Employment Grant will also be extended to December 2027, encouraging companies to offer flexible and part-time work arrangements for senior employees.
CPF Changes and Financial Support
The government will raise CPF contribution rates for older workers beginning in 2027. Contributions for employees aged above 55 to 60 will increase by 1.5 percentage points, while rates for those aged above 60 to 65 will rise by 1 percentage point.
Eligible individuals aged 50 and above with lower CPF balances will also receive a CPF top-up of up to $1,500 in December, depending on their savings and the annual value of their property.
New CPF Investment Option and Career Support
A new CPF investment scheme will be launched in the first half of 2028 to offer simplified, low-cost investment products for long-term retirement planning. The scheme will gradually reduce exposure to riskier assets as investors age.
Meanwhile, Workforce Singapore will expand career guidance programs for mid-career workers and seniors, while the Tripartite Workgroup on Senior Employment is studying broader policies to support longer, multi-stage careers.
Singapore’s latest retirement and workforce reforms reflect a broader strategy to adapt to an ageing population while maintaining economic resilience. By combining policy changes, financial support, and career development programs, the government aims to ensure that older workers remain productive and financially secure. These developments may also influence regional labor discussions, especially in neighboring countries such as Indonesia that face similar demographic shifts.
Sources: Straits Times (2026) , Asia One (2026)
Keywords: Singapore Retirement Age, Tan See Leng, CPF Contribution Changes, Senior Employment Credit, Re Employment Age Singapore
