If you've already entered the workforce, you'll know it's no bed of roses. Have you imagined going through the grind till you're 60 years old?
Will adding 5 years more to the retirement age spook you out?
Well, the Malaysian Trades Union Congress has proposed this.
They are worried that by the time Malaysians stop working at the age of 60, they wouldn't have earned enough yet to survive for the rest of their non-working lives.
However, Youth and Sports Minister Syed Saddiq disagrees. He says extending the retirement age to 65 is bad news for youths due to two reasons, namely:
1. allowing senior citizens to stay in the workforce longer means fewer job and promotion opportunities for youths,
2. Malaysia's youth unemployment rate is already high compared to developed countries.
The Malaysian Youth Council suggested that instead of raising the retirement age, a few steps can be taken to help Malaysia's senior citizens enjoy retirement.
1. Salary increment must match living costs and inflation rate
2. There needs to be greater awareness on saving and investing
3. In connection to point 2, Malaysians generally need to brush up on their financial literacy
For now, it looks like the debate has been shelved as PM Tun Dr Mahathir Mohamad put his foot down against the increased retirement age. But we will all turn 60 someday, and we may or may not have enough money to keep us going through retirement.
What are you doing now to prepare for the future? It's never too early to get educated on financial literacy!
By: Roshini Ravindran
