In foreign countries, older workers look forward to retiring when the time is due. In Singapore, older workers dread retirement. With practically no social security system, Singapore’s older workers have to keep on working even beyond the official retirement age. Just look around the food courts in malls and coffee shops, there are many uncles and aunties in their 60s still working, clearing tables, cleaning dishes. Should they retire in dignity or still keep working fearing that the next meal will never come. Its sad. My dad is 67 and he is still working! This tripartiate comittee….i dunno is there for what, some told me its a facade to rationalise (to the people of singapore) that singapore will never have a social security system. No work = No $ = No meals. I dunno, i am politically ignorant. I can only say “Cheesebun!!!!”
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Law to make companies employ older workers beyond retirement age
This is one of the key recommendations by a tripartite committee which has been acccepted by the government to enable older workers to remain in the workforce.
May 17, 2007
AsiaOne
The Singapore government today accepted an extensive package of recommendations by a tripartite committee to enhance the employability of older workers, and this include a key proposal to change the law to allow workers to continue working beyond the retirement age of 62.
The Tripartite Committee on the Employability of Older Workers recommends that the legislative changes be introduced within five years to enable the older workers to remain the in the workforce.
It suggests that one approach is to implement law to “obligate companies to re-employ workers when they reach retirement age”, noting that this is being practised in Japan.
“Legislation can be a powerful signal and tool to shape behaviour and drive corporate practices,” said press statement from the committee, which is chaired by the Minister of State for the Manpower Ministry.
Recognising that that legislation, in itself, is not a panacea for dealing with the multiple challenges faced by older workers, the committee says: “Legislation must therefore be complemented by commensurate efforts to ensure that the ground is suitably prepared and businesses can adjust appropriately to new legislation to achieve a higher effective retirement age.”
In deciding on the final form of law, it says the government should assess the progress made over the next five years, as well as the prevailing economic environment.
“The actual form of legislative changes should be decided after assessing the progress of efforts and the response from companies and workers… But we should remain open to other ideas which may be better suited to Singapore’s economic needs and industrial climate,” says the committee.
“In the meantime, within the next 5 years, the Committee will take a tripartite approach to encourage as many employers as possible to voluntarily implement policies and processes that will facilitate older workers to continue working beyond age 62.”
The Committee was appointed by the Minister for Manpower in March 2005 to recommend measures to enhance the employability of older workers. On Jan 26, 2006, the committee presented its interim report to the government.
The committee’s recommendations are grouped into four key strategic thrusts:
- Expand employment opportunities for older workers
- Enhance the cost competitiveness of older workers
- Raise skills and value of older workers
- Shape positive perceptions towards older workers
The other key recommendations include enhancing the Work Development Agency’s Advantage Scheme; expanding the employment opportunities of older women and enhancing their employability; a higher Workfare Income Supplement (WIS) payout to low income workers above the age of 55; and expanding the promotion of fair employment practices through a Tripartite Centre for Fair Employment .
The Committee also wants the funding to be increased to $400,000 per company, up from $300,000 previously, under the enhanced Advantage scheme, which focuses on the recruiting, retaining and re-employment of workers beyond the age of 62.
The scheme will also be streamlined to support companies’ efforts on three broad front – recruiting more older workers, retaining older workers, and a greater emphasis on facilitating the re-employment of workers beyond age 62.
Companies would be given funding to support the implementation of HR policies and systems to facilitate the recruitment, retention and re-employment of older workers.
The Committee also recommends that the Advantage scheme run for three more years up to end 2010.
On expanding employment opportunities and enhancing the employability of older women, the Committee recognises that targeted assistance to encourage women to return to the workforce is needed to raise female employment rates.
“To give a sharper focus to enhancing the employability of women, the Committee recommends that current efforts be consolidated into a national programme,” says the statement .
“The Committee therefore proposes that NTUC’s “Women Back to Work” Committee be elevated to a Tripartite Workgroup, led by NTUC and with participation and support of employers and the Government.”
It also calls for higher Workfare Income Supplement (WIS) payout to low income workers above 55.
It notes that currently, older full time workers above 45 years who earn $1,000 or less are the principal target group of the WIS and receive higher WIS benefits.
“The Committee recommends giving older low wage workers above the age of 55 years a higher WIS payout when the scheme is reviewed in 3 years’ time. This would provide this group with an even greater incentive to work, more take-home income and further build up their retirement adequacy,” says the committee.
The tripartite centre to drive fair employment practices will expand its activities in promoting fair employment practices and reaching out to more companies and workers. Its efforts will be coordinated under a Tripartite Centre for Fair Employment.
The centre will serve as a focal point to promote awareness of fair employment practices, receive public feedback and give advice on fair employment practices, as well as provide assistance to employers who are keen to adopt good employment practices. The centre will also look into instituting a national award to recognise companies with the most progressive and fair employment practices.
To co-ordinate and oversee the implementation of its recommendations, the committee will continue its work for another five years.
“It will work towards raising the employment rate for residents aged 55 to 64 to the medium-term target of 65%,” says the statement.
The Committee will also work closely with the Ministerial Committee on Ageing to tackle the issues of an ageing population in a holistic manner.
To co-ordinate and oversee the implementation of its recommendations, the Committee will continue its work for another five years. It will work towards raising the employment rate for residents aged 55 to 64 to the medium-term target of 65%.
The Committee will also work closely with the Ministerial Committee on Ageing, led by Minister in the Prime Minister’s Office, Mr Lim Boon Heng, “to tackle the issues of an ageing population in a holistic manner.”
- AsiaOne News
There is something terribly wrong with this country.
People shouldn’t be working past their retirement. But they are. Why because most of them do not make enough money to retire comfortably.
And the government instead of giving people pensions and welfare is basically telling our elderly to keep on working.
I find this rather amusing. Many years ago when questioned about why there is no social welfare program in Singapore for the elderly our government said it would cost them a lot of money and the people might get lazy and won’t be productive.
But the same government then takes the people’s money invests heavily in china and suffers massive losses, gives money to Indonesia for god knows what reasons, legalizes every form of gambling which our teachers told us not to participate in, gives the military a massive amount of money to waste yearly and finally splashes 600 million dollars on a durian that hardly gives you the thrill of riding a rollercoaster.
The truth is the only people in Singapore who can retire are our ministers. All the working class people in Singapore are being manipulated to work well past their retirement because they government FEELS the people might get lazy.
The last time I checked the government should be working for the people and the other way round.
CheeseBun.