What is the Senior Worker Early Adopter Grant and Part-Time Re-employment Grant?
As part of efforts to strengthen support for senior workers who wish to continue working, the Ministry of Manpower launched the Senior Worker Support Package to help businesses adjust to the increase in Retirement Age (RA), Re-employment Age (REA) and CPF contribution rates, including creating more age-friendly workplaces.
The Senior Worker Early Adopter Grant and the Part-Time Re-employment Grant are two of the measures rolled out under the Senior Worker Support Package.
To support progressive employers that are willing and able to implement a higher internal retirement age and re-employment age ahead of time, MOM has introduced the Senior Worker Early Adopter Grant.
To support employers that commit to providing part-time re-employment opportunities to Senior Workers upon their request, MOM introduced the Part-time Re-employment Grant.
These two grants will be available from 1 July 2020 onwards.
From 1 July 2022, the Retirement Age (RA) will increase from 62 to 63, and the Re-employment Age (REA) will increase from 67 to 68.
To support progressive employers that are willing and able to implement a higher internal retirement age and re-employment age ahead of time, MOM has introduced the Senior Worker Early Adopter Grant from 1 July 2020 onwards.
The Senior Worker Early Adopter Grant (SWEAG) provides support of up to $250,000 for employers to increase their own retirement and re-employment ages ahead of legislative schedule.
Senior workers increasingly prefer to reduce their work intensity gradually as they approach retirement. They are prepared to remain in the workforce if they could undertake part-time work arrangements during the re-employment phase.
As employers need time to restructure their work structures and processes to accommodate more part-time employees, the Part-time Re-employment Grant has been introduced from 1 July 2020 onwards to support employers that commit to providing part-time re-employment opportunities to senior workers upon their request.
The Part-time Re-employment Grant provides funding support of up to $125,000 to employers that commit to a part-time re-employment policy for its eligible senior workers.
All companies/employers can apply for SWEAG and/or PTRG if they are legally registered or incorporated in Singapore. This includes societies and non-profit organisations such as charities and voluntary welfare organisations. Governmental agencies, statutory boards and other organs-of-state are not eligible. Employer must have at least one senior worker aged 60 and above (based on birth year), either Singapore citizen or permanent resident employed on a permanent basis or on employment contract (s) that are at least 12 months in duration.
Employers have to complete the following deliverables before claiming:
- Furnish sail-through/updated HR policy on:
i. SWEAG: internal retirement and re-employment ages showing the respective increases from current policy
ii. PTRG: the part-time re-employment policy for senior workers*
- Communicate the new policy to all employees (e.g. employer’s staff website, circular/ memo, employee handbook issued).
- Submit duly completed claim form that provides information on all senior workers.
- Issue addendums (specific clauses will be provided) to employment contracts documenting the policy change to all employees: i. For senior workers, the addendums will need to be individually addressed to and signed by the senior workers. ii. For all other workers, the addendums can be standardised without having to be individually addressed nor acknowledged.
- Submit CPF Form 90 for all senior workers being claimed.
- Prepare NRICs of senior workers for sighting by the programme partner (either physically, virtually or via photocopies).
*Senior Worker refers to workers in employment who are aged 60 and above.