Experts Suggest Flexi Route to Raising Retirement Age; Employers Want Tax Breaks
KUALA LUMPUR, Sept 3 — The proposal to raise the mandatory retirement age from 60 to 65 by the Malaysian Trade Unions Congress (MTUC) was timely but should be implemented in stages, said an economist.
Speaking to Malay Mail, Sunway University Business School economist Yeah Kim Leng supported the move for both the public and private sectors, and explained that a gradual increase would reduce any potential shocks to the workplace.
He then suggested for the retirement age be raised to 62 or 63 first, before increasing it to 65 within a five year period.
“One of the reasons is to ensure there is no disruption in the workplace particularly since those who have continued working or held key positions could have their services prolonged and affect the organisation’s accession plan.
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