At a glance

• The Central Provident Fund (CPF) ordinary wage ceiling rose to SGD8,000 in January 2026, requiring updates to payroll systems and contribution calculations.
• Shared parental leave increased from six to ten weeks in April 2026, strengthening support for working parents.
• Statutory retirement and re-employment ages will increase to 64 and 69 respectively from 1 July 2026.
• Work pass reforms include a new ONE Pass track for AI and technology talent and higher Employment Pass salary thresholds from 2027.
• A major review of the Employment Act is underway, with details of the proposed reforms expected in the second half of 2026.

Key developments are on the horizon for employers operating in Singapore. While some reflect incremental changes to existing frameworks, others indicate more significant reforms ahead. Employers should consider the implications for workforce planning and compliance.

CPF contribution changes

The government has continued its approach of incrementally raising the CPF contribution ceiling on a year-on-year basis. The current Ordinary Wage ceiling, which has been applicable since 1 January 2026, is SGD8,000 per month. The CPF annual salary ceiling remains at SGD102,000, and the formula Additional Wage ceiling (SGD102,000 – Total Ordinary Wage subject to CPF for the year) remains. Employers should ensure that payroll systems are updated to reflect the revised ceiling and that both employer and employee contributions are calculated accordingly.

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