THE government will study the proposal to raise the mandatory retirement age of civil servants to 65 years during the 13th Malaysia Plan (RMK13), said Public Service Department (PSD) Director-General Tan Sri Wan Ahmad Dahlan Abdul Aziz.
He said this was as stated by Prime Minister Datuk Seri Anwar Ibrahim in his speech when tabling the RMK13 in Parliament, but the study will only begin after the plan is implemented.
“At the moment, I cannot give any results because the study will start in the RMK13 and is expected to be completed after the plan ends.
“However, the PSD will start its initial findings earlier by comparing the retirement age in other countries as a benchmark,” he said in Pengkalan Chepa today as reported by Bernama.
Wan Ahmad Dahlan said several countries have set a higher retirement age than Malaysia, including Singapore (62 years) and Scandinavian countries up to 70 years.
In fact, Malaysia itself has certain schemes with a longer retirement age, such as judges who retire at the age of 66.
“Therefore, this is not an unusual thing for the government to consider. However, it will take some time and will not be implemented on its own.
“The PSD will hold engagement sessions with stakeholders including pensioners’ associations, Cuepacs and youth associations, as they will also be involved in this policy,” he said.
On views that increasing the retirement age could affect productivity, he said a comprehensive study needs to be conducted before any decision is finalised.
“We cannot draw premature conclusions because there are other countries that have managed to maintain productivity despite their longer retirement ages,” he said.
The Prime Minister, during the tabling of the RMK13 on July 31, announced that the mandatory retirement age limit would be reviewed in line with Malaysia’s transition towards an elderly nation.
This is contained in the Ninth Initiative of RMK13, which emphasises social justice and equal opportunities for all citizens.
The Prime Minister also stated that various aspects including financial implications and the impact on employment opportunities need to be considered before any final decision is made.
In May, Minister in the Prime Minister's Department (Law and Institutional Reform) Datuk Seri Azalina Othman Said proposed that the government consider a proposal to increase the mandatory retirement age from 60 to 65 years.
According to Azalina, it would be a loss if individuals were required to retire at the age of 60, while they are still healthy, energetic and able to contribute productively to the country's workforce.
Currently, the mandatory retirement age for civil servants in Malaysia is set at 60 years, which is also the minimum retirement age for the private sector under the Minimum Retirement Age Act 2012. - August 21, 2025
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