Retirees keep working for the extra cash and fulfillment

Some retirees continue to work past the age of 60 for the extra income to fight inflation and to keep themselves occupied. – 123rf.com

THERE are no plans to extend our minimum retirement age yet, but that’s not stopping some retirees from getting their hands into extra work.

Some are working past the retirement age of 60 to help them cope with the higher cost of living while others do it to fill their time with meaningful activities.

Former administrative and diplomatic officer Cheong BS, 70, believes retiring at 60 is too young these days.

“The retirement age should be around 63 to 65 since we are expected to live longer compared to the past.

“It’s better to keep ourselves occupied if we are capable of it.

“For me, I don’t want to stay idle and I choose to keep myself busy,” says Cheong, who currently works as an executive secretary, doing administrative work.

His work also gives him an extra cushion to deal with the inflation and higher prices of goods these days.

“I also believe that if we occupy our time with activities, we won’t age so easily.

“Once you work, you keep yourself mentally and physically active,” he adds.

However, he admits that working past retirement is not for everyone.

“It’s only good if you are physically and mentally able.

As long as you are able and willing, we should be given the opportunity to work,” he says.

Former lecturer Prof Dr Ahmad Ismail, who retired seven years ago, says he still continues to work by offering his expertise in wildlife and ecotoxicology.

At times, he is a moderator and presenter at education forums and workshops related to science.

“Sometimes, people pay for my services but mostly it is free as part of my contribution to the society,” he reveals, adding that he continues his work due to his passion for the job.

Dr Ahmad feels that the retirement age can be raised for certain professions since they may require experience and specific skills.

“Such professions are like lawyers, judges, some lecturers, teachers and high-level managers,” he says.

Dr Ahmad believes it is not practical for retirees to rely on their children for support as they themselves may be struggling with small salaries and the higher cost of living.

“As long as I am able to, I will continue to serve and work. We need to stay active,” he adds.

Meanwhile, a teacher who wishes to be known only as Wong, 60, says she may consider giving tuition classes after she retires this year.

“With things getting more expensive these days, I feel better if I have some additional income.

“My children are all working but my husband and I have both decided to cut down on our expenditure by choosing less pricey food, for example,” she adds.

Aside from that, Wong also has plans to invest her savings to generate some interest.

The question on whether Malaysians should retire later came into light in view of Malaysia’s higher life expectancy, coupled with the higher cost of living.

According to a United Nations projection, the current life expectancy for Malaysia in 2023 is 76.65 years.

As many are still fit to work, the National Council of Senior Citizens Organisations Malaysia (Nacscom) is suggesting that the retirement age of 60 should be adjusted to 62, and then gradually to 65.

“Nacscom is in favour of extending the retirement age as our life expectancy has increased and we are healthier than before,” says its president Datuk Dr Soon Ting Kueh.

He also proposes that the government consider providing a social pension to those who need it.

“I believe it is the responsibility of an elected government to take care of the aged poor,” he says.

Dr Soon points out that many Malaysians in their 60s still have the mental and physical capability to carry on with work.

“While working from 60 and above, we will still be able to contribute to economic productivity and lessen the pension burden of the government,” he adds.

He also notes that most retirees do not have sufficient funds to cover their retirement years.

As such, Dr Soon says many retirees now have to either continue to work, depend on family or other welfare support.

Last year, it was also reported that about 52% of Employees Provident Fund (EPF) members have less than RM10,000 in their accounts while about 27% have less than RM1,000.

Before the Covid-19 pandemic, about 22% members met the basic requirement saving but the numbers fell to 14% after several rounds of special withdrawal schemes namely i-Sinar, i-Lestari, i-Citra and most recently the special withdrawal facility of RM10,000.

Similar to Nacscom, the Malaysian Trades Union Congress (MTUC) also suggests that a pension scheme be created for private sector workers.

"The government should also introduce a Cost-of-Living Allowance and private sector pensions, which are more beneficial than increasing the retirement age," says MTUC president Mohd Effendy Abdul Ghani.

To ensure a comfortable retirement, especially for private sector workers, it is essential for them to have sufficient savings.

"Therefore, it is now time to move towards Progressive Wages, which must reflect the living wages (wages that is enough to support a normal standard of living)," he adds.