Jan 12, 2011

Work option for retiring staff starts next year

FROM next January, workers who turn 62 must be offered an option to work for another three years, if they want to.

That is official, after Parliament on Tuesday passed the Retirement and Re-employment Act.

Singapore is now the second country in the world - after Japan - to legislate re-employment, and the first to spell out eligibility criteria, a dispute-resolution mechanism and penalties for errant employers.

To qualify for re-employment, workers must be medically fit and have at least satisfactory work performance. The onus is on employers to prove that a worker is not eligible for re-employment.

In Parliament on Tuesday, Manpower Minister Gan Kim Yong urged employers to put in place systems to provide fair evaluation of workers' performance and medical fitness.

But employers can offer workers different jobs and employment terms, provided these are reasonable.

- The Straits Times

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