Re-employment eligibility criteria
7.—(1) For the purposes of this Act, an employee is eligible for re‑employment in accordance with section 7A if —(a)
the employee is born on or after 1 July 1952; and
(b)
the employer assesses the employee as —(i)
having at least satisfactory work performance; and
(ii)
being medically fit to continue working.[5/2017]
(2) For the purpose of subsection (1)(b)(ii), an employee is presumed to be medically fit to continue working, unless the employer of the employee proves, on a balance of probabilities, that the employee is not medically fit.
(3) Where an employer does not intend to re‑employ an employee because the employee does not meet the criteria in subsection (1)(b), then as far as it is reasonably practicable, the employer must give the employee written notice of that intention within a reasonable period before terminating the employee’s employment.[5/2017]
Employer to re-employ eligible employee
7A.—(1) Subject to section 7C, an employer must, before an employee of the employer (being an eligible employee) attains the specified age, offer re‑employment to that employee and the employer’s obligation to re‑employ that employee begins from the time that employee attains the specified age, until that employee attains the employee’s prescribed re-employment age.[5/2017]
[Act 38 of 2021 wef 01/07/2022]
(2) Where —(a)
an employee mentioned in section 7(1)(a) continues, after attaining the specified age, to work for his or her employer; and
(b)
the employer does not, upon that employee attaining the specified age —(i)
re-employ that employee; or
(ii)
terminate the employment of that employee,
then any right, privilege, obligation or liability acquired, accrued or incurred by the employee under the contract of service between the employee and his or her employer before the employee attains the specified age is not affected.
[5/2017]
(3) Where subsection (2) applies, the employer referred to in that subsection —(a)
may, at any time after the employee referred to in that subsection has attained the specified age —(i)
re-employ the employee; or
(ii)
terminate the employment of the employee if the employee does not satisfy the eligibility criteria set out in section 7(1)(b); and
(b)
is deemed to have complied with the requirement under subsection (1) for the period between —(i)
the time the employee attains the specified age; and
(ii)
the time the employer re-employs the employee or terminates the employment of the employee under paragraph (a).[5/2017]
(4) For the purposes of re-employment under subsection (1) or (3)(a)(i), a re‑employment contract must be entered into by the employee and his or her employer, in which the job scope and the terms and conditions may vary from those in the previous contract of service between them.[5/2017]
(5) Any variation referred to in subsection (4) must be based on reasonable factors such as, but not limited to, the employee’s productivity, performance, duties and responsibilities, and the wage system such as the seniority system applicable to the employee.
(6) Unless otherwise agreed by the parties to a re‑employment contract, the period of employment stipulated in the contract must not be less than one year at any one time.[5/2017]
(7) Despite subsection (6), where the period between —(a)
the start of re‑employment under a re‑employment contract for an employee; and
(b)
the date on which the employee attains the employee’s prescribed re-employment age,
is less than one year, the period of employment under the re‑employment contract may be for that shorter period.
[5/2017]
[Act 38 of 2021 wef 01/07/2022]
(8) [Deleted by Act 5 of 2017]
(9) Despite any of the provisions of this Act, an eligible employee may retire or be retired, if he or she does not wish to be employed by his or her employer on or after the date the employee attains the specified age.
(10) An eligible employee who intends to retire must, insofar as is reasonably practicable, give written notice to his or her employer, within a reasonable period before the employee retires, stating his or her intention to do so.
(11) The Minister may, by notification in the Gazette, specify the prescribed re-employment age applicable to any class of employees, which must be at least 67 years but not more than 70 years.[Act 38 of 2021 wef 01/07/2022]
Period of service under previous contract of service and under re-employment contract
7B.—(1) Unless otherwise agreed by the parties to a contract of service, and subject to subsections (2) and (3), when a re‑employment contract is entered into between an employer and an employee of the employer pursuant to section 7A(4), then for the purposes of determining any right, privilege, obligation or liability to be acquired, accrued or incurred by the employee under the employee’s re‑employment contract, any period for which the employee has served under his or her employer under the previous contract of service before the employee commences his or her service under the re‑employment contract is disregarded.[5/2017]
(2) Any period for which an employee has served under his or her employer before the employee commences his or her service under the re‑employment contract entered into pursuant to section 7A(4) is to be reckoned for the purposes of —(a)
computing the minimum period of 3 months for entitlement to annual leave under section 88A(1) of the Employment Act 1968; and
(b)
determining the period of service of an employee for entitlement to paid sick leave under section 89(1) and (2) of the Employment Act 1968.[5/2017; 55/2018]
(3) An employee’s continuity of employment under re‑employment is not broken if his or her employer re‑employs or renews the re‑employment of the employee in accordance with section 7A(4).[5/2017]
Employment assistance payment or alternative employment
7C.—(1) Section 7A does not apply if an employer (called in this section E1) is unable to re‑employ an eligible employee in accordance with section 7A because E1 is unable to find a vacancy in E1’s establishment that is suitable for the eligible employee, despite making reasonable attempts to do so in accordance with the tripartite guidelines, and —(a)
E1 offers an employment assistance payment to the eligible employee; or
(b)
during the eligible employee’s employment with E1 —(i)
another employer (called in this section E2) offers to employ the eligible employee in lieu of E1; and
(ii)
the eligible employee accepts the offer.[5/2017]
(2) Subject to any modifications as may be prescribed, where subsection (1)(b) applies —(a)
E1’s re‑employment obligations to the eligible employee are discharged immediately before the agreed date;
(b)
any reference to an employer in section 7A or 7B(3), or to E1 in subsection (1), includes a reference to E2 from that agreed date; and
(c)
E1’s re‑employment obligations towards the eligible employee survive any unlawful dismissal by E1 of the eligible employee before the agreed date, but to the extent provided in paragraphs (a) and (b).[5/2017]
(3) Despite subsection (1)(a), an employer is not required to offer any employment assistance payment to an eligible employee who informs his or her employer of the employee’s decision not to continue to be employed by that employer on or after the date the employee attains the specified age.[5/2017]
(4) Subject to subsection (5), the employment assistance payment is —(a)
a single lump sum payment paid by an employer by the last day of employment of the eligible employee; or
(b)
other mutually agreed arrangements.
(5) In determining the amount of employment assistance payment to be paid under this section, an employer must take into account the tripartite guidelines.
(6) Without affecting section 7B, where E2 enters into a contract of service with an eligible employee in lieu of E1, any period for which the eligible employee has served under E1 before he or she commences his or her service with E2 is to be reckoned only for the purposes of —(a)
computing the minimum period of 3 months for entitlement to annual leave under section 88A(1) of the Employment Act 1968; and
(b)
determining the period of service of an employee for entitlement to paid sick leave under section 89(1) and (2) of the Employment Act 1968.[5/2017; 55/2018]
(7) A consent form signified by E1, E2 and the eligible employee in the prescribed form and manner is prima facie proof of the matters mentioned in subsection (1)(b).[5/2017]
(8) To avoid doubt, the references to an eligible employee’s employer in Parts 4 and 5 include references to E2, where applicable.[5/2017]
Source: Singapore Statutes Online (Attorney-General's Chambers), © Government of Singapore.
