Sat, 30 Nov 1996

Government may extend mandatory retirement age

JAKARTA (JP): The government is currently exploring the possibility of extending the mandatory retirement age for civil servants from 55 to 65 years old, Antara reported yesterday.

State Minister for Administrative Reforms T.B. Silalahi said the plan is being discussed jointly by his office, the Civil Service Administration Agency, the State Secretariat and the Ministry of Home Affairs.

The plan will be submitted to President Soeharto next year, and a ruling is expect soon after, Silalahi said.

"We're exploring this possibility on the assumption that at 55, a person is still productive, is more mature and professional.

"It would be a pity to send them into retirement," he said.

Under the present system, all civil servants must retire when they turn 55. The service of first echelon officials however can be extended until they turn 60.

Government researchers can be retained until they are 65.

Silalahi disclosed that under the plan, the service of government researchers may be extended until they are 70.

The minister denied suggestions that the extension was planned by current officials so that they could stay in office.

"Don't interpret this as the wish of officials bent on keeping their positions for as long as they can," he said.

This is being done to anticipate the country's future needs for more mature and professional people, Silalahi said.

He also said average life expectancy in Indonesia has improved significantly in the last few decades.

Responding to questions, Silalahi said the government is not likely to increase the salaries of civil servants next year.

Ideally, the government should give at least a 10 percent hike, he said. "But, after the finance minister calculated government's resources, it looked like we couldn't give the pay increase," he said. (emb)