For the past one week there is a news floating around about increasing retirement age of central government employees. When we contacted the higher officials, they remained tight lipped about this news. But Sources close to the Ministry of Personnel told that though the government denied this proposal officially, a study on financial implication of increasing retirement age of central government employees to 62 has been taken to decide over this issue. Many central government employees news websites are analyzing this issue on their own way. The bottom line of the content given below is taken from one of those sites.
Impact of increasing retirement age from 60 to 62
Medias and blogging sites abound with news that the cabinet would announce its decision regarding the retirement age. But it has not been finalized yet.
In India the retirement ages of most of the state government employees is range from 58 to 60 years. This is very low when it compared to government employees of other countries.
Let us see the pros and cons of increasing the retirement age of central government employees..
Advantages :
1. If the 7th pay commission is implemented in the year 2016, the central government employees those who are retiring from service in the year of 2014 to 2016 would be benefitted by extension of their service further two more years .
2. Economically the employees would be in better position due to this rise of the age of superannuation
3. The pensionary benefits would also increase alongside if there is any shortage of service to get full pension and gratuity
4. More over there is a chance of getting an additional MACP by the central govt employees if there is any short fall in the service by two years to get 2nd or 3rd MACP
2. Economically the employees would be in better position due to this rise of the age of superannuation
3. The pensionary benefits would also increase alongside if there is any shortage of service to get full pension and gratuity
4. More over there is a chance of getting an additional MACP by the central govt employees if there is any short fall in the service by two years to get 2nd or 3rd MACP
Disadvantages
1. Promotions will be affected due to no retirement up to two years
2. Unemployment problem will be continued due to the increase in retirement age.
3. The age criterion to get government job to be relaxed to two more years, otherwise those who are at the verge of crossing the age limit will be affected seriously
4. Efficiency will be affected if the retirement age of unhealthy employees increased.
2. Unemployment problem will be continued due to the increase in retirement age.
3. The age criterion to get government job to be relaxed to two more years, otherwise those who are at the verge of crossing the age limit will be affected seriously
4. Efficiency will be affected if the retirement age of unhealthy employees increased.
As this proposal is detested by majority, only those who are at the verge of retirement roll out red carpet for this.
with inputs from :www.Employees Order.com
Courtesy: http://www.gservants.com
The criteria for determining the age of retirement should also include general life expectancy. This angle should not be overlooked while taking a decision on the matter.
ReplyDeleteThis should be done at immediate effect. The increase in retirement age will really boost economy.
ReplyDeleteThe so call disadvantage are actually not disadvantages.
Central government employees retirement age enhanced to 62 from 60 years.
ReplyDeleteIf the announcement comes this month (June 2013), it will benefit maximum employees. The official date of birth for many employees is 1st July, though their actual DOB is different. This was done to avoid one academic year loss at entry to 1st standard of school admission.
When DOB is 01-07, they retire on 30-06, and if DOB is 2nd July, they retire in July. Losing one increment due in July, even after working for 365 days by superannuating in June is a sad thing. Justice can be done to some extent, if the 62 years order comes this month for those retiring in June.
I also feel, retirement can be made uniformly in July, irrespective of the month born and age can be 62. For example born any time in 1954, retirement can be July 2016 and born during June to December 1953, retirement can be July 2015 etc.
Nothing can be done probably for those who retired on or before 31-05-2013.