CPF rates for older workers need to be increased: PM

Employers' contribution rates to the Central Provident Fund (CPF) for older workers have to go up, but any increases will have to be gradual, said Prime Minister Lee Hsien Loong.

Currently, CPF contribution rates are cut when workers reach 50 years old, and cut further when they turn 65. The National Trades Union Congress (NTUC) has been calling for this to be reviewed.

The Government is discussing the matter with unions and employers.

"So 50 is the new 40, but this cost question doesn't go away so quickly. So... we do need to push the CPF rates up for the people in their 50s," said Mr Lee.

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