Maintaining Ratio of Six Workers to Support One Elderly Person

24 Mr Gan Thiam Poh asked the Prime Minister what have been the solutions implemented to maintain the current ratio of six workers to support one elderly person given that the total fertility rate remains low and one out of four Singaporeans will be aged 65 and above by 2030.

Mr Teo Chee Hean (for the Prime Minister): Singapore's resident old-age support ratio, which measures the number of residents aged between 20 and 64 to each resident aged 65 and above, is currently five is to one. As is the case in many countries with ageing populations, this ratio will likely decline over time.

To sustain a healthy working population, we provide strong support to Singaporeans who have children and maintain a calibrated pace of immigration. We have also supplemented the local workforce with foreigners in Singapore on time-limited work passes. Our policies are regularly reviewed and adjusted.

While the old-age support ratio uses the age threshold of 65, many seniors now stay active beyond the age of 65. In 2016, 43% of residents aged between 65 and 69 were in the labour force. They may also be contributing in other important ways, such as providing care to their family members.

Each successive cohort of seniors will be healthier, more educated and live longer. We should enable them to contribute for as long as they are willing and able. Since 1 July this year, the re-employment age has been raised from 65 to 67. We have also extended the Additional Special Employment Credit to encourage continued employment of older workers and enhanced WorkPro grant support for employers to redesign jobs to be more age-friendly. These initiatives help older Singaporeans to contribute actively in the community and economy well into their silver years.