No to retirement age hike.

Setting aside all the burning problems, Kerala is in a new phase of debate on the hike of retirement age. In tune with the routine of the neo-liberalists in the Kerala CPM to overthrow all the decisions of the Chief Minister V S Achuthanandan, soon after his statement in the Assembly that no policy decision has been taken on increasing the retirement age of government employees, the Finance Minister announced in his ‘election gimmick’ budget a hike in the retirement age of some employees about one year. The reason suggested by him for this is unjustifiable as the proposal is quite ludicrous when there are thousands of unemployed youths in the state.

Sensing that election time is much suited for all unjustifiable demands several employees' organisations have demanded that the retirement age be increased from the present 55 years. The report of the Assembly Expenditure Committee recommending raising of the pension age has enthused these organisations. The expenditure panel is worried over the share of the State’s revenues was being allocated for distributing the salaries and pensions of the employees. More interesting is the suggestion for bringing down the upper age limit for applying for Government jobs by three years. Kerala’s high life expectancy in contrast to that in other states has worried the Expenditure committee. If so it would have been better for the committee to place a proposal to decapitate all pensioners in the state so that no pension need be paid henceforth. The Expenditure committee has received its inspiration from Thirteenth Finance Commission’s finding that State’s revenue receipts was being spent on pensions. Both the Finance Commission and Expenditure Committee subsist in the fools’ paradise.

It is to be pointed that any move to raise the pension age of employees would have serious repercussion in a State where the number of thousands educated youth are waiting for employment. An online survey has found strong opposition to the proposal to raise the mandatory retirement age in order to address the huge deficit in the pension fund. When most people believe that the proposal for rise in retirement age will worsen the unemployment situation in that State it is a ploy of a few bureaucrats and crafty politicians to hoodwink the unemployed youths. If retirement age is hiked the unemployment situation will worsen further because increase in new jobs mainly relies on vacancies provided by retirees. The Gulf and European countries returnees on economic recession will also worsen the unemployment condition. Official statistics show that when 100 residents enter the job market each year, there are less than 50 new openings. It is to be categorically pointed that unemployment is more an urgent problem than the social security fund deficit.
So it should be opposed by all especially by the youths the LDF Government's move to raise the retirement age. Government should also announce its policy towards the youth. Though the Government claims a lot, none in the Cabinet has thought of a long-term programme to tackle the problem of the unemployed youths. What is in need is to evolve such a programme instead of treating over the skin. A hike in the retirement age would badly affect the chances of young and qualified unemployed in getting jobs elsewhere.

K A Solaman