​Raising the minimum retirement age from 60 to 65 years at this juncture would hamper efforts to reinvigorate Malaysia’s labour market and the overall economy.  

“MEF agrees with the government that the retirement age be maintained at 60 years as increasing it to 65 years would only compound the problems of unemployment and add to the high number of unemployed graduates,” said MEF President, Dato’ Dr Syed Hussain Syed Husman J.P.   

“Due to the Covid-19 situation, there have been higher number of retrenchments, and considering that many more new graduates are entering the job market next year – as their graduation had been delayed – increasing the retirement age would only make the already tight labour market even tighter.”  

Dato’ Dr Syed Hussain was responding to the statement of Minister of Human Resources, YB Datuk Seri M. Saravanan to the media in Johor Bahru on Dec 6, 2020, that the government did not intend to extend the retirement age to 65 years.  

“By keeping younger people employed we will be able to reduce the national and social stress that our younger generation is facing.”   

Dato’ Dr Syed Hussein said that the decision of YB Datuk Seri Saravanan is in the right direction.  

“The stakeholders need to find ways and means to keep employable people with jobs rather than to keep on extending the retirement age,” he added.  

For further information, contact the MEF Secretariat at 03-7955-7778 or fax 03-7955-9008 or email mef-hq@mef.org.my.   

7 DECEMBER 2020