Payout age for CPF Life won’t be raised, says Lim Swee Say
PAP candidate for East Coast GRC Lim Swee Say poses for a photo with a member of the public at a walkabout at Bedok South on Sept 6, 2015. Photo: Jason Quah/TODAY
SINGAPORE — Manpower Minister Lim Swee Say yesterday (Sept 6) assured Singaporeans that the payout age for the Central Provident Fund (CPF) Life scheme will not be raised even after the re-employment age is raised to 67 by 2017, and urged voters to consider the People’s Action Party’s (PAP) positive track record of serving the interest of workers when they go to the polls on Friday.
The payout age for the CPF Life scheme, which provides lifelong monthly payouts in retirement, starts at 65.
Mr Lim, the PAP’s anchor minister for East Coast Group Representation Constituency (GRC), was addressing concerns about senior workers and their retirement adequacy — issues taken up by various parties in this General Election.
During his National Day Rally speech last month, when Mr Lee Hsien Loong announced that the re-employment age will be raised from 65 to 67, he had noted that from the workers’ point of view, 65 may be too early an age to stop working, as many people in their 60s want to work longer.
Speaking to reporters yesterday after a walkabout at Bedok South Road, Mr Lim allayed fears that the payout eligibility age for CPF would be raised in tandem with the re-employment age, and argued that the new re-employment age would give Singaporeans a chance to work longer.
He also outlined new CPF plans that would give senior workers the option to decide when they can choose to start withdrawing their CPF.
“In time to come, (senior workers) can decide… at what age each person wants to start to withdraw his CPF. The eligible withdrawal age will still be at 65, but they will have the flexibility of withdrawing later if they want to. But for each year of (the) so-called ‘delay’ in withdrawal, they will be entitled to a higher payout,” said Mr Lim.
Mr Lim, Senior Minister of State Lee Yi Shyan, Minister of State Mohamad Maliki Osman and two-term Member of Parliament Jessica Tan, make up the four-member PAP team standing in East Coast GRC.
They are up against a Workers’ Party team helmed by Non-constituency Member of Parliament Gerald Giam,
in what is shaping up to be a close contest. The Workers’ Party (WP) has proposed a minimum wage, and outlined plans for accelerated workplace and job redesign for senior workers.
Mr Lim emphasised that in order to maintain Singapore’s exceptionalism, which stands in contrast to the high unemployment rates and stagnating wages recently seen in other countries, the PAP is committed to a continual process of refining the country’s economic and manpower policies to ensure that Singaporeans who wish to work will be able to find jobs regardless of age.
“We hope that we will be able to create better career opportunities for (Singaporeans), so that not only can they earn higher incomes, but more importantly, they will be able to pursue the career (that they are interested in),” Mr Lim said.
“If the WP feels that they have a better idea (or) proposal … I’m sure the residents welcome their proposal, too … The residents (of East Coast GRC) will decide which one is more credible and more implementable,” he added.
Mr Lim stressed that voters should consider whether the PAP or the WP teams contesting in East Coast GRC would best serve the electorate’s labour interests. “In the case of the workers’ interest, I would say that the PAP government has done one of the best jobs in the world, compared to any government,” said Mr Lim.
He added that Singapore’s current labour situation was in an exceptional position compared to the high unemployment rates and stagnating wages recently seen in other countries.
“Where else in the world can you find a country where, firstly, unemployment is low; secondly, (the) employment rate — meaning those who want to work (can get a job) — is one of the highest in the world? ... More importantly, our wages continue to go up.”
