Industry or Service Sector Employing Most Number of Senior Workers
Ministry of ManpowerSpeakers
Summary
This question concerns the industry employing the most senior workers and measures to encourage their retention, as raised by Mr Gan Thiam Poh. Minister for Manpower Josephine Teo identified Wholesale Trade as the leading sector, with 54,500 residents aged 55 and over making up 23% of its workforce. To support seniors, the Minister highlighted the Special Employment Credit, WorkPro Job Redesign Grant, and Adapt and Grow initiative, which helped increase senior employment rates to 67% in 2018. Foreign worker Dependency Ratio Ceilings in the Services sector are also being tightened to ensure senior workers continue to access good jobs and opportunities. Additionally, the Minister noted that a Tripartite Workgroup on Older Workers is finalizing recommendations regarding the review of retirement and re-employment ages.
Transcript
22 Mr Gan Thiam Poh asked the Minister for Manpower (a) which is the industry or service sector that currently employs the most number of senior workers and what is their ratio against the total number of employees; and (b) what are the additional measures that the Ministry will adopt to encourage companies to retain their older workers before they consider applying for foreign workers.
Mrs Josephine Teo: In 2018, the sector that employed the most number of residents aged 55 and over was Wholesale Trade (54,500), which includes businesses, such as brand owners, distributors of other companies' brands, trading arms of manufacturers and retailers, and large commodities trading houses. These workers accounted for 23% of all employed residents within the sector, which is similar to the overall proportion of employed residents of this age group (24%) in Singapore.
To enhance the employability of senior workers, the Ministry of Manpower (MOM) has in place a number of measures, and these are also regularly reviewed. For instance, the Special Employment Credit (SEC), which has been extended till end 2020, provides wage offsets of up to 11% to employers that hire older Singaporeans aged 55 and above, earning up to $4,000 per month. Employers can also receive support of up to $300,000 per company under the WorkPro Job Redesign Grant to redesign jobs and workplaces to make them easier, safer and smarter for senior workers. Under the Adapt and Grow initiative, the Professional Conversion Programme and Career Support Programme provide higher levels of training and salary support to encourage employers to hire mature Singaporeans aged 40 and above.
These pro-senior measures have encouraged and supported companies in hiring older Singaporeans. Over the years, our employment rates of senior workers or residents aged 55 to 64 years have improved significantly. It grew from 57% in 2008 to 67% in 2018, and ranks favourably compared to OECD countries.
In addition, we are continuing to calibrate the foreign workforce policy to keep our labour market tight so as to ensure that Singaporeans, especially senior workers, continue to access good jobs and opportunities. We have cut the foreign worker Dependency Ratio Ceiling (DRC) and S Pass sub-DRC in the Services sector to 35% and 10% respectively by 2021. Last year, MOM also convened the Tripartite Workgroup on Older Workers to review retirement and re-employment ages. The Workgroup is finalising its recommendations; more details would be announced by September.