Retirement Age Is Now 64 and Re-employment Age 69: An Employer Checklist
From 1 July 2026, Singapore's minimum retirement age increased to 64 and its re-employment age increased to 69. The change gives eligible older employees the opportunity to continue working while requiring employers to review policies, workforce plans and individual re-employment timelines.
The rule is not simply a change to the number shown in an employee handbook. Employers need a process for identifying covered employees, assessing eligibility, discussing options early and issuing fair re-employment offers on time.
What Changed on 1 July 2026?
Under the Retirement and Re-employment Act:
Employers cannot dismiss an employee because of age before the applicable retirement age. They must offer re-employment to eligible employees who reach their retirement age, allowing them to continue working up to the re-employment age.
The applicable retirement age can depend on the employee's date of birth because earlier statutory ages may apply to older cohorts. Employers should use MOM's official age table when checking individual cases.
Which Employees Are Eligible for Re-employment?
MOM states that an employee is eligible when the employee:
Employers should apply performance and medical criteria consistently and retain objective records. A decision should not be based on assumptions about age.
When Should Employers Start the Conversation?
According to MOM's Tripartite Guidelines on the Re-employment of Older Employees, employers should:
Early discussion helps both sides consider job scope, hours, responsibilities, training, salary and medical benefits. It also gives the employer time to explore job redesign instead of concluding too quickly that no suitable role exists.
What Should the Re-employment Contract Include?
The re-employment contract should generally last at least one year and be renewable each year until the employee reaches the maximum re-employment age.
The initial contract should start on the same day the employee reaches the applicable retirement age. Avoid creating a break in service simply because the employment arrangement is moving into re-employment.
The written terms should cover:
Can Salary and Benefits Change?
Salary may be adjusted based on reasonable factors, such as a change in duties, responsibilities, workload or working hours. The employer and employee should discuss and agree on the revised terms.
Age alone is not a reasonable basis for an arbitrary pay cut. If the employee continues in substantially the same role with the same responsibilities, the employer should be able to explain and support any change.
Medical and flexible benefits should also be reviewed. MOM encourages employers to consider arrangements that manage healthcare costs while supporting the employee's needs, including additional MediSave contributions or flexible benefits where appropriate.
What If the Employer Cannot Offer a Suitable Role?
The employer should first consider available re-employment options, including redesigned duties, part-time arrangements and other suitable vacancies. If no suitable role can be found, the employer must either:
MOM states that the EAP is generally equivalent to 3.5 months of salary, subject to a minimum of S$6,250 and a maximum of S$14,750.
For an employee who has already been re-employed for at least 30 months since age 64, a lower EAP of two months of salary may be considered, subject to a minimum of S$4,000 and a maximum of S$8,500.
Part-time employee EAP limits may be pro-rated based on weekly hours relative to a full-time employee.
Employer Checklist
Six to twelve months before retirement age
At least three months before retirement age
Before the contract starts
During re-employment
Common Employer Mistakes
Starting discussions too late
A last-minute offer limits meaningful consultation and can create operational pressure. Build age-based reminders into the HR calendar.
Treating age as evidence of poor performance
Use actual performance and job evidence. Avoid assumptions about physical ability, learning capacity or commitment.
Offering an unreasonably short contract
The re-employment contract should generally be for at least one year and renewable up to the re-employment age.
Reducing salary without linking it to the role
Any adjustment should be based on reasonable factors and discussed with the employee.
Using EAP as the first option
EAP is a last resort after the employer has thoroughly reviewed suitable re-employment options.
Forgetting the payroll effect
Re-employment can change salary, hours, benefits and CPF calculations. HR and payroll records must match the new contract.
Frequently Asked Questions
Must every employee be re-employed until age 69?
Eligible employees must be offered re-employment. The outcome depends on the statutory conditions and whether suitable arrangements are available.
Can re-employment be part-time?
Yes. Part-time re-employment can be agreed, with wages and benefits adjusted appropriately.
Can the obligation be transferred to another employer?
Yes, but both the new employer and the employee must agree. If the employee declines the external offer, the present employer may still need to provide EAP.
What if there is a dispute?
MOM provides avenues through the Commissioner for Labour and TADM, with different time limits depending on the type of dispute.
Make Re-employment Part of Workforce Planning
Re-employment works best when it is integrated into career planning, job design and payroll preparation. A consistent process helps retain experience while reducing the risk of rushed or unfair decisions.
JWC Accounts & HR can support your business with bookkeeping, payroll records, CPF reconciliation and corporate tax reporting, helping you keep the information behind the grant accurate and organised.