A MOTION filed by the Opposition Leader, Ro Teimumu Kepa, to extend the retirement age to 60 years was defeated in Parliament yesterday.
Ro Teimumu said other countries were making use of our experienced workers who had retired and this was a loss to Fiji.
“That in view of the long-term negative impacts of the mandatory 55-year retirement policy on future debt levels, labour force participation, social security and valuable skills that this house directs the relevant standing committee to review the 55-year retirement policy with a view to amending the policy to move the compulsory retirement age back to the original default age of 60 years and insert a provision for retirement to be optional to employees.”
Ro Teimumu added in some countries the normal retirement age was 65 years such as in Austria, Belgium and Denmark.
She added policy-makers usually considered demography, physical cost of ageing, health, life expectancy, nature of the profession and supplier of labour force while deciding the retirement age.
The State Service Decree of 2009, she said, had negative impacts on workers as some had not saved for their families.
“Many did not own their own homes and they have to move out and possibly into squatter settlements. The lucky ones have been thrown a life line in other Pacific Island countries have employed the highly skilled labour that were on the market in Fiji; many skilled with their expertise, their experience and qualification,” she said.
Some countries in the region such as Nauru had benefitted from the decree, taking advantage of the qualifications and skills of the Fijians.
Positions held by Fijians in Nauru include chief justice, chief registrar, director of public prosecutions to name a few.