When do we retire?

Workers are confused over their retirement age due to Human Resources Ministry's decision to delay implementing the Minimum Retirement Age Bill.

PETALING JAYA: Workers in the private sector are confused over when will be effective date of their retirement. Some believe it is Jan 1 while others say it is July 1.

The confusion arose over the intepretation of the effective date of retirement following the passing of the Minimum Retirement Age 2012 Bill on June 27. It was gazetted on Aug 16.

A union council, Union Network International-Malaysian Liaison Council (UNI-MLC), which is affiliated to 74 unions representing about 300,00 workers in the private sector, brought this matter to light.

Its president Shafie BP Mammal said: “The government’s decision to shift the effective date [of implementation of the Act] from Jan 1, 2013 to July 1, 2013 has affected thousands of private sector workers who retire at the age of 55 in 2013.”

“The matter has been aggravated with the decision of the Human Resources Ministry to postpone implementing the minimum retirement age until Dec 31. This is to allow employers needing more time to comply with the Act,” Shafie said in a press statement.

He said that the ministry’s statement (on shifting the implementation date to July 1) is misleading as the unions are interpreting the shift to mean that the law would take effect from Jan 1 and not July 1.

Shafie hopes that Prime Minister Najib Tun Razak would resolve the confusion within the next 10 days.

In the event that Najib fails to do so, UNI-MLC and its 74- affiliated unions would submit a protest memorandum to Najib next month.