Singapore is sitting on a demographic time bomb. According
to UN projections, nearly half (47%) of the country's
population will be 65 years or older by 2050 and the median age is
expected to grow from 40 years old in 2015 to 52.8 years old by
2050. Singapore's aging workforce, coupled with the
ultra-low birth rate of 1.2 child per woman, means that an
increasing number of employers now need to keep their senior
employees around for longer. To combat this
"profound" problem, as described by the country's
Prime Minister Lee Hsien Loong, the government enacted the Retirement and Re-employment Act
("RRA") in 2012 and revised it in 2017 to expand the
covered group.
Under the RRA, once an employee reaches retirement age, an
employer has the following three options:
