Minimum Retirement Age Act 2012

Assalamualaikum...

Last week sy attended Community of Practice or famously known in Petronas as COP, the COP was related to my job la ofcourse. Among many papers presented, 1 of it was about Minimum Retirement Age Act 2012 (MRA 2012).

To me, topic ni menarik sebab its new and ramai yang selalu bertanya. So let me share in brief la wht this act is all about. DISCLAIMER - apa yg sy share has nothing to do with what Petronas management is going to decide. This is just a glance on MRA itself, the impact and the implication in general.

Rasanya semua aware tht the bill was passed in August this year. Since then takde lagi clear direction actually for us on how and when to implement it (biasala). Neverthless, for sure it will be implemented soon by next year and certainly will affect us the "employee" as a whole.

Sebab MRA 2012 kata, semua "employee" who has entered into and work under a contract of service with an employer irrespective of his wages after the act effective date is applicable to it. Bahasa mudah, yang bakal bekerja atau yg sedang bekerja...semua tertakluk pd akta ni. Bear in mind this act covers only for PRIVATE sector ek.

Those yg tidak apply to the act adalah:

1. Government servant. Diorang bersara ikut had umur yg ditentukan olh kerajaan bg kakitangan kerajaan.
2. Staff on a probationary term. So kalo maseh probatian then company minta retire before 60 maka boleh je.
3. Apprentice....OJT etc
4. non citizen employee
5. domestic servant (housemaid)
6. Part timer
7. Pekerja contract which less than 2 tahun contarct

When the act come into effect soon, those like me yg already in the contract of services (yg sedang bekerja) or yang bakal bekerja...automatically akan memasuki contract of service yg baru utk bersara pada usia 60 tahun. In other word like for my case, last 6 years masa mula kerja, sy sign kontrak nk retire umur 55 kan...so that one is deemed to be void!

However, employer is given some flexibility where by they can offer optional retirement to employee. Contohnya, minimum 60...so employer boleh bagi option pd kita to retire by 55 , 58 , 60 or even 65...note that 60 is minimum...no restriction to go beyond 60 as long as it is agreed by both party in the contract.

Normal concern from all is about, 1st EPF. Okay, no worry.....we can withdraw our EPF like current practice. 30% at the age of 53 and full at 55. Apepeun still kena continue carum untill 60.....untung jugak. To those yg nk kluakan full at 60 pun boleh, no problem.

2nd SOCSO, this 1 lagi untung. Bcoz currently employee below 55 je yg SOCSO cover, but with the act in the house.....SOCSO cover sampai 60, best kan??

Rasanya ini je yg saya boleh share at the moment....kalo rajin, google and have a read by yourself. Pada majikan, sweet reminder to obey the act or you can be fined RM 10K.

Lambat lagila bersara......................