Employment Status of Singapore

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Date Submitted: 09/24/2012 02:12 AM

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Report on employment relations issues relating to aged workers

The Singapore’s population will be ageing in a rapid pace over the next 30 -40 years. In 1998, it is calculated that approximately 14% of the population or 451,900 numbers of people in the age group of 55 years and above. In early 2002, it is again calculated that around 7% of its population were soon to be aged 65 years and above. Upon reaching the year 2020, it is believed to rise gradually to 27% of the population which is estimated to impact 1,124,200 older and mature workers. In the next 10 years to 2030, there will be an increase of 19%.This trend greatly challenges and impedes the country in the areas of economic growth and healthcare consideration and so Singapore government has to convince employers and unions to extend the retirement age beyond the age of 67 in order to deal with the challenge. (Productivity and Standards Board, 1999-2002)

As such, with more and more workers nearing the age of retirement and retiring, there will be a shortage of labour. In order to address this shortage of labour, the government has decided to draw in young foreign talents from other countries such as China , Malaysia and Indonesia. This created a diverse pool of human resource, consisting of both local and foreign talents. This may led to a greater exchange of ideas but causes an even more competitive environment, in which local Singaporeans may be severely disadvantaged of. Therefore, the government has also decided to reduce the influx of foreign talents by extending the employability age of local experienced and mature worker.

Legislation to protect aged workers

In Singapore, there passed a bill of requiring the employers to rehire the employees after they reach 62 years old. Employees would be given one good option to remain on the same job if they are fit medically and showed that they have given an exemplary performance. However, employers also have to right to change workers job scope or give...