SMU School of Economics Associate Dean (Faculty, Research) and Professor of Economics Hoon Hian Teck commented on the recent trend toward later retirement, as more people are remaining in the workforce beyond the official retirement age of 62, and the recontract age of 65. Government policies, a tight job market and a rise in life expectancy and healthy years are among the factors for the increase. Professor Hoon said that many people realise that working even part-time keeps them socially and mentally engaged. He also highlighted that the Government has made it more affordable for companies to hire older workers. Government subsidies for companies that hire workers aged 65 and above "send the message that companies can productively hire (seniors) in an increasingly labour-scarce economy,” he added.