Kuala lumpur: The Public Service Department (PSD) will conduct a study on the proposal to raise the mandatory retirement age for civil servants from 60 to 65.

According to BERNAMA News Agency, Chief Secretary to the Government (KSN) Tan Sri Shamsul Azri Abu Bakar emphasized the necessity of an in-depth study before any decision can be made on the proposal. “There has been no study on the proposal so far. So, the PSD will conduct one first,” he stated to reporters following a lecture by renowned economist Prof Mariana Francesca Mazzucato.

The discussion on reviewing the retirement age policy emerged on July 31, when Prime Minister Datuk Seri Anwar Ibrahim presented the 13th Malaysia Plan (13MP) in Parliament. He highlighted the need for this review in response to Malaysia’s demographic shift towards an ageing nation. This initiative aligns with the ninth strategic thrust of the 13MP, which aims to promote social justice and equal opportunities for all citizens.

Anwar noted that various considerations, such as financial implications and job market dynamics, are crucial before reaching a final decision. Earlier, in May, Datuk Seri Azalina Othman Said, Minister in the Prime Minister’s Department (Law and Institutional Reform), suggested that the government evaluate the potential benefits of increasing the retirement age. She argued that many individuals remain active and productive at 60, and it would be a loss to retire them prematurely.

Currently, the mandatory retirement age for civil servants in Malaysia stands at 60, which is also the minimum retirement age for private sector workers under the Minimum Retirement Age Act 2012.