The cap, which ranges from 14 to 26 years based on skill level, sector and country of origin, will be removed starting July, The Straits Times reported.
The maximum employment age for these foreign workers will be raised from 60 to 63, matching Singapore’s retirement age.
Meanwhile, the age limit for new work permit applicants will increase to 61, up from 58 for Malaysians and 50 for workers from other sources.
Migrant domestic workers are unaffected and will remain subject to existing regulations.
“With these changes, employers can retain experienced workers who are still able to contribute,” Manpower Minister Tan See Leng said at his ministry’s budget debate on Thursday.
Other updates to Singapore’s work permit framework include adding Bhutan, Cambodia, and Laos to the list of non-traditional sources for work permit holders starting in June, according to CNA.
Currently, firms in the manufacturing and services sectors can hire workers from these sources for specific occupations, including five manufacturing roles, cooks in Indian restaurants, food processing workers, hotel housekeepers, and hotel porters.
From September, the range of eligible jobs will expand to include heavy vehicle drivers, manufacturing operators, and cooks, replacing the previous category of “cooks in Indian restaurants.”
These changes come as the number of work permit holders in the city-state, excluding domestic workers, hit a record high of 843,400 as of last June.
“We are actively reviewing our work permit framework to drive transformation, while nuancing it to support different needs as our workforce changes, and updates will be shared in due course,” Tan said.