Singapore is extending a multi-million dollar subsidy programme aimed at keeping its ageing population in the workforce through part-time and flexible work.
The Ministry of Manpower announced that the Part-Time Re-employment Grant (PTRG) will now run until the end of 2027, providing a crucial lifeline as the city-state tackles one of the world’s fastest-ageing societies.
The scheme, which was originally due to expire, offers companies financial incentives to retain or hire staff aged 60 and above in redesigned roles rather than nudging them into retirement.
Incentives for ‘flexible’ retirement
Under the extended programme, employers can receive up to S$2,500 ($1,893; £1,490) for each eligible senior worker, with total funding capped at S$125,000 per company.
The grant is designed to modernise the traditional “fixed” retirement date, encouraging what officials call a “gradual transition” for older staff.
“The PTRG supports more flexible pathways into retirement,” the ministry said in a statement. “It ensures that work, for older Singaporeans, can be sustainable and meaningful.”
High demand amid demographic shift
Since its launch in 2020, the scheme has seen significant take-up:
- 7,500 employers have accessed the funding so far.
- 65,000 senior workers have benefited from adjusted roles or shorter hours.
- $92 million (£53.4m) has been disbursed by the government as of November 2025.
Economists say the move is a pragmatic response to Singapore’s shrinking pool of working-age residents. By facilitating later-life employment, the government hopes to offset rising healthcare costs and a tightening labour market.
A ‘suite’ of support
The grant extension is part of a broader government push to make workplaces more “age-friendly.” Other measures currently in place include:
- Senior Employment Credit: Offering wage offsets of up to 7% for firms hiring those over 60.
- Mid-career subsidies: Funding retraining for workers over 40 through the SkillsFuture programme.
- Tripartite Workgroup: A joint effort between unions and businesses to restructure workloads for an older workforce.
Residency rules tightened
The support for domestic workers comes as Singapore also tightens its immigration framework.
As of December 2025, Permanent Residents (PRs) face stricter accountability regarding their residency status. Those living or working abroad now have a 180-day window to renew their re-entry permits or risk losing their permanent residency entirely.
Advocates say that for older workers, the grant extension offers something increasingly rare: choice. By encouraging part-time arrangements, the government is providing a longer runway for citizens to exit the workforce on their own terms.
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