Friday, January 13, 2012

Cuepacs: Allow civil servants to change their mind on retirement age

PETALING JAYA: Cuepacs is asking the Government to allow civil servants who have chosen not to retire at age 60 to be allowed to change their minds although the deadline to sign up has expired.

It is claiming that their failure to do so was because they were not properly briefed on the matter.

Its president Datuk Omar Osman said many did not want to extend their retirement age as they were afraid that should they decide to stop working early, they would only be eligible to draw pension upon reaching 60.

Omar said according to a circular dated April 12 1991, those employed after the said date and had signed to retire upon reaching 58 years old but later opted to do so earlier, would be given their gratuity but would only receive pension when they reach the age.

“Meaning, if a civil servant retire at the age of 56, he will have to wait till he reaches 58 before he can draw his pension.

“However, this regulation has been abolished with the introduction of the Civil Service New Remuneration Scheme (SPBA) which was not explained to them,” he said.

“After we briefed them on the new ruling, they want to sign up for the option but the deadline has passed,” he said.

“They are hoping the Government can give some leeway on this,” he added.

The closing date for the 60 years retirement option was Dec 30 while civil servants have till Sunday to sign the SPBA option.

THE STAR ONLINE

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