KOTA BHARU: The government will study a proposal to increase the mandatory retirement age for civil servants to 65 during the 13th Malaysia Plan period.
Director-General of Public Service Tan Sri Wan Ahmad Dahlan Abdul Aziz stated that no definitive outcome can be provided at this stage as the study will only commence during the 13MP.
“However, PSD will begin initial assessment earlier, including benchmarking retirement ages in other countries,” he told reporters after visiting Siti Rubiah Mohammad, the widow of the late Kamal Ariffin Mohamed, a retired officer from the Kota Bharu Municipal Council, under the Santuni Pesara outreach programme here today.
Wan Ahmad Dahlan noted that several countries already have higher retirement ages than Malaysia, such as Singapore at 62, and Scandinavian nations, where it can go up to 70.
Malaysia currently has certain schemes with extended retirement, including judges who retire at 66.
“This is not an unusual consideration for the government,” he added.
“However, such a policy shift will require a long-term approach and will not be implemented in isolation.”
PSD will engage with various stakeholders, including retirees’ associations, the Congress of Unions of Employees in the Public and Civil Services, and youth associations, as they too will be affected by this policy.
Commenting on concerns that extending the retirement age may affect productivity, Wan Ahmad Dahlan stressed the need for a thorough and evidence-based study.
“We cannot draw premature conclusions,” he said.
“Some countries have successfully maintained productivity despite a higher retirement age.”
Prime Minister Datuk Seri Anwar Ibrahim announced when tabling the 13MP that the retirement age policy would be reviewed as part of Malaysia’s transition toward becoming an ageing nation.
This is outlined in 13MP’s Ninth Strategic Focus Area, which emphasises social justice and equal opportunity for all Malaysians.
The Prime Minister also noted that any decision must take into account various factors, including financial implications and the potential impact on employment opportunities for younger workers.
Minister in the Prime Minister’s Department Datuk Seri Azalina Othman Said had proposed in May 2025 that the government consider raising the mandatory retirement age from 60 to 65.
She stated that it is a loss to the nation if individuals are forced to retire at 60 despite still being healthy, energetic, and able to contribute meaningfully to the workforce.
Currently, the mandatory retirement age for public sector employees in Malaysia is 60.
This is also the minimum retirement age for private sector workers, as stipulated under the Minimum Retirement Age Act 2012. – Bernama
