The Workforce Is Ageing but for Good Reasons
The productive workforce of a nation is what makes up the economic situation. Generally, a productive workforce is made up of the age group between 20 – 40 year-olds. But, as the birth rate in Singapore drops, there are more senior employees in the workplace. With more senior employees at the workplace, the companies that still employ them will face a dilemma. Among the challenges companies have to face are employees health condition. As we age, our health will start to go downhill. Fast-paced lifestyle and stressful jobs will be among the contributors towards determining our health condition. Yet, the government will raise the Singapore retirement age to accommodate retirees’ stable economy when they retire.
What a Dilemma
Traditionally, we associate retirement with freedom from work. Finally, we get the break we have been looking forward to ever since we begin work. We aspire to live in blissful retirement with all the savings we have accumulated throughout the working years. As Singapore retirement age rises, companies may have to rethink their strategies with having senior employees. Senior employees usually have comprehensive knowledge of the companies practices, policies, and better business relationship. Naturally, they have accumulated these jewels throughout their employment in the respective company. When they finally retire, the companies will also lose valuable skills, knowledge and personalities. But then again, senior employees’ health conditions may take a different turn. Because of that, senior employees may need to take more sick leaves to tend back to health. Then, the productivity of the individual will be in question. Nevertheless, a company cannot ask any senior employees to retire before the minimum retirement age.
Time to Retire
The current Singapore retirement age is 62. But, senior citizens have generally spoken about that having a job makes them feel productive and useful. Thus, the Singapore government highlights that the Singapore company must offer re-employment to every retiring individual. However, this is subject to the criteria of re-employment. For those who may have persisting health issues, retirement is probably what they look forward to. But, many may still have a lot of vigour in themselves even at 62. These senior, if they meet the criteria of re-employment, they could happily continue working until 67. Globally, the average lifespan of men and women have extended to 72 and 79, respectively. Hence, seniors may or may not have many financial commitments by the time they retire. Still, the living cost and financial independence may be the reason for seniors to look for jobs to sustain at least ten years of retirement.
For the Senior Employees
Hence, the Singapore government encourages private sectors to retain relevant senior employees and provide jobs to those seeking employment. Among the benefits that senior employees could look forward to, is the increase in the CPF contributions. Besides that, companies could simply ask their senior employees what can the company do to accommodate to increase or stabilise their productivity at work. Most companies will be surprised by their senior employees’ ideas, as they would know what is best for them and the company.