Age as an asset: Being more inclusive of Singapore’s senior workers

In Singapore, the demographic challenge is clear: the proportion of seniors aged 65 and above is rising rapidly, from 12.4% in 2014 to 19.9% in 2024. By 2030, this group is expected to comprise 24.1% of the population. This shift is mirrored in the workforce, with seniors aged 55 and above making up a growing proportion, currently 27% of the labour force – up from 19% in 2012.

As the government announces measures to further support senior employment in Budget 2025, it’s clear that the matter of seniors in the workforce is a priority for Singapore's future economic stability.

But, how can companies fully harness the potential of an ageing workforce while balancing other business objectives? The government’s recent initiatives – including wage offsets for employers hiring seniors and the extension of re-employment support – are timely steps, but there are still challenges ahead.

An underexplored talent pool

The employment rate for seniors in Singapore has steadily increased, with 31.7% of seniors aged 65 and above working in 2024. Despite this progress, seniors remain an underutilised resource in many sectors. The unemployment rate for seniors is low at 5%, yet disparities remain across different professional categories, with older workers in lower-paying and more physically demanding jobs, while their peers in leadership roles remain less represented. Much of this disparity stems from workplace challenges – whether physical demands or the need for retraining in technology-driven sectors like digital and finance.

Also Read: Support for senior workers in Singapore

Despite these barriers, the senior demographic offers a wealth of untapped skills and experience. Seniors bring invaluable institutional knowledge, problem-solving skills, and a sense of discipline that many younger workers lack. With Singapore facing talent shortages across key industries, especially in areas like AI and digital transformation, companies that tap into this experienced workforce can gain a competitive edge.

The question is not whether seniors want to work, but whether companies are ready to adjust their practices to fully integrate them into their workforces.

'OK Boomer'

In Singapore, as elsewhere, seniors face significant misconceptions in the workplace. While they are often seen as more disciplined and loyal compared to younger workers, there remains a strong preference for younger profiles — especially in tech-heavy industries, where the average age of workers tends to be much lower. This age bias is reinforced by stereotypes, such as the perception that seniors are less tech-savvy or more costly to employ.

With the rapid acceleration of AI and automation, businesses are already grappling with reskilling their existing workforce – an effort that should extend to senior employees as well. By investing in upskilling and reskilling programs, companies can bridge the digital gap and empower seniors to contribute meaningfully in evolving industries. This is an issue that needs to be addressed, particularly as Singapore continues to position itself as a global hub for talent, including AI and tech professionals.

Also Read: How NTUC assists seniors and retirees

Moving beyond stereotypes

In the workplace of tomorrow, it is essential to foster diversity and inclusion – not just by hiring younger workers but by fully integrating senior employees. This includes redesigning job roles and career progression opportunities for seniors. As companies embrace flexible work arrangements and re-employment options, the focus must shift from seeing seniors as a short-term solution to a long-term investment in a more diverse, inclusive workforce.

The government’s ongoing support, through schemes like the Senior Employment Credit and initiatives like the Senior Worker Support Package, is a step in the right direction. However, true workforce transformation requires businesses to take the lead – embedding senior employment strategies into their talent pipelines and leveraging tools that enable seamless workforce integration. But to ensure that seniors remain a valuable part of the workforce, companies need to rethink their approach – not just in terms of age, but in terms of opportunity. It is not only about reducing unemployment but ensuring seniors have a chance to thrive in roles that suit their strengths.

As we look to the future of work, the challenge is clear: It’s not enough to merely offer seniors a seat at the table. They need to be fully integrated into the workforce, with roles that provide meaningful work, respect, and opportunities to contribute. Companies, supported by tools like Deel's comprehensive global workforce management solutions, can make this a reality – helping businesses across Singapore tap into the wealth of talent that seniors offer, while supporting their journey through an increasingly digital economy.