Singapore Extends Part-Time Re-employment Grant to Deepen Support for an Ageing Workforce

Singapore has extended its Part-Time Re-employment Grant until the end of 2027, reinforcing a broader strategy to keep senior workers economically active as the labour market adjusts to demographic change. The extension, announced by the Ministry of Manpower, comes amid steady employer demand and growing recognition that flexible work arrangements are essential to sustaining productivity in an ageing society. Applications for the grant reopened on December 18, 2025, allowing employers to continue accessing financial support when they offer part-time re-employment, flexible work options, and structured career planning for workers aged 60 and above. The decision to extend the scheme by two years reflects both its popularity and its role in helping companies retain experienced staff who might otherwise exit the workforce.

 

How the Grant Supports Employers and Senior Workers?

 

Under the scheme, employers can receive up to S$2,500 for each eligible senior worker they hire or retain through part-time re-employment, with total support capped at S$125,000 per employer. The incentive is designed to offset the costs associated with job redesign, flexible scheduling, and career planning, which are often needed to accommodate older employees. For businesses, the grant provides a practical way to retain institutional knowledge and reduce turnover in a tight labour market. For senior workers, it offers continued income, engagement, and purpose without the demands of full-time roles, making longer working lives more sustainable.

 

Strong Uptake Signals Structural Demand

 

Since its introduction in 2020, the Part-Time Re-employment Grant has seen consistent uptake. As of November 2025, more than 7,500 employers had participated in the programme, supporting the employment or retention of over 65,000 senior workers. Total disbursements under the scheme have exceeded S$92 million, underscoring its scale within Singapore’s labour market policies. The Singapore National Employers Federation continues to serve as the programme partner, working with employers to implement the scheme and share best practices. Application details are available through the government’s official portal, making access relatively straightforward for firms of different sizes.

 

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Part of a Broader Senior Employment Strategy

 

The extension of the grant sits within a wider policy framework aimed at strengthening senior employment outcomes. Alongside the Part-Time Re-employment Grant, employers can tap the Senior Employment Credit, which provides wage support of up to seven percent for hiring workers aged 60 and above. This combination of measures is intended to address both the cost and design aspects of employing older workers. On the supply side, senior workers are encouraged to upskill and adapt to changing job requirements. SkillsFuture programmes remain a central pillar, including the SkillsFuture Level-Up Programme for individuals aged 40 and above, which focuses on improving long-term employability as careers extend into later life.

 

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Supporting Mid-Career Transitions and Job Redesign

 

For those seeking to move into new roles, enhanced support is available through the Career Conversion Programme run by Workforce Singapore. Recent enhancements have expanded coverage and increased funding for mature workers pursuing mid-career switches, recognising that longer working lives may involve multiple career phases rather than linear progression. In parallel, efforts are underway to make workplaces more age friendly. In July 2025, the ministry and its tripartite partners formed the Tripartite Workgroup on Senior Employment. The group focuses on improving productivity and employability among senior workers while promoting workplace practices that support flexibility, health, and continuous learning. An alliance involving 32 organisations has also been launched under this initiative to develop solutions related to training, career guidance, job redesign, and flexible work options. These collaborative efforts signal a shift from isolated programmes toward a more integrated ecosystem for senior employment.

 

Extending Working Lives as an Economic Imperative

 

Singapore’s decision to extend the Part-Time Re-employment Grant reflects a broader economic reality. With an ageing population and a tight labour market, retaining experienced workers is becoming less a social policy choice and more an economic necessity. Flexible re-employment schemes allow companies to adapt roles to changing capabilities while enabling older workers to remain active contributors. By continuing to invest in incentives, skills development, and workplace redesign, Singapore is positioning senior employment as a core component of workforce resilience. The extension of the grant through 2027 suggests that policies supporting longer, more flexible careers are likely to remain central to the country’s labour strategy in the years ahead.

 

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