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  • Essay / Raising the retirement age - 1608

    Many workers are afraid when it comes to planning for their retirement day, and some of them are confident to face their rest years. These people who fear retirement age are those who lack financial knowledge and will therefore ignore their retirement planning for as long as they can. The effect is that they will try to continue working as long as they can. Recently, the Ministry of Human Resources of Malaysia increased the retirement age to 60 years for government sectors. As Hunt (2009) points out, Malaysians' confidence in their retirement has been rapidly declining in one way or another. According to Lai Cheng Tung and Jean Dennis Comeau (2012), people who agree with the new retirement age because they say they need more retirement savings, increasing the retirement age will increase expectancy of life, which will make it possible to retain talents or improve skills. especially in expert professions which require longer years of experience to master it. To support greater acceptance of the increase in retirement age, according to the Life Insurance Association of Malaysia (LIAM), 5% and below of this percentage are fully prepared for retirement (Habib, 2007). All the statements showed that Malaysians are still good enough to continue working, although most of them recently turned around 60 years old, as a preparation period before retirement. PROBLEM STATEMENT The conflict triggered by some retirees complaining and showing their disagreement with the new retirement age since they are not really interested in continuing their career due to the cost of living at their place. Some retirees work in urban or rural areas but receive the same salary. Even some of them do not agree but they struggle to do so...... middle of paper ......organization until the age of 60 and it will show the best of retirement age plan which will affect as soon as Career advancement results from high performance work system. According to the researcher, different age groups have different results on the retirement age and among those aged 21 to 34, it was shown that 32 percent agreed on this retirement age, the group d age 35-54 years being the result. The highest results, 64 percent, agreed on this new retirement age and the over 55 group had a low percentage of agreement, just 4 percent. (Lai Cheng Tung, Jean Dennis Comeau. 2012). This study found that different types of age groups resulted in different opinions on the new retirement age, as it is at the middle age that the percentages agree the most, which is due to the awareness of these new advantages linked to retirement age..