The number of officers who are recruited at age 40 years and above has risen from 13 per cent of annual recruitment (or 728 officers) in 2007 to 16 per cent (or 1,000 officers) in 2008, he told Parliament during the debate on the Prime Minister's Office budget.

On efforts to re-employ older workers in the public service, Mr Teo, who is Defence Minister, said the trend has been steadily increasing.

In 2006, the number of officers who were re-employed at age 62 years was 96, or about 53 per cent of the number of officers who retired at age 62. This rose to 57 per cent (or 103 officers) in 2007, and 64 per cent (or 189 officers) in 2008.

For the statutory boards, 65 per cent of the officers (or 234 officers) who retired at age 62 years were re-employed last year.

'The public sector will continue to press on with its efforts in the re-employment of older workers,' said Mr Teo.

He added that in January, the Public Service Division issued an Advisory to public sector agencies on the best practices for re-employing retiring officers.

For example, public agencies are encouraged to offer a re-employment contract of at least one year, where possible, he said.

Re-employment job arrangements may also include part-time or short-term project work. In terms of wages and benefits, agencies may consider appropriate adjustments to wages, but will offer re-employed officers the same leave and medical benefits as a fresh recruit, said the minister.

He also pointed out that three agencies - the Ministry of Education, the Singapore Police Force and the Ministry of Manpower - are piloting the implementation of the re-employment policy, and will help fine tune the best practices.

Several other public sector agencies have also shown commitment to the re-employment efforts by signing Memorandums of Understanding with their respective unions, he added.

The public sector currently employs about 110,000 people, which is about four per cent of the total labour force in Singapore.

Mr Teo said that while the Public Service will be recruiting to fill vacancies in education, healthcare and other essential services to help absorb some of the job seekers, it 'cannot be the solution to all those who are looking for a job'.

'Our recruitment policy in the Public Service is based on merit. We look for candidates who have the relevant skills, competencies and traits that best fit the requirements of the jobs, regardless of age.

'We believe this approach will better meet the needs of the Public Service,' said the minister.