The Retirement and Re-employment Act took effect on Jan 1.

It is timely to ask: What does the concept of retirement mean today? Is it necessary for someone to "retire" at 62 or 65? Why must pay be cut at age 62 so that a person can be re-employed, if the job is the same as before?

In many industries, older workers tend to be more valuable, and there is no reason why they cannot continue in the same job.

The talk that this hampers prospects for younger workers is no longer valid. It is a matter of redesigning jobs and not whether someone reaches the "give way" age.

The Government is encouraging people to work longer; it is then a contradiction to say that as people work longer, it should be for less pay because they turn 62 or 65.

It is also a contradiction since the Government is worried about workers lacking enough money for retirement as they get older, and given the inflation rates today.

Hence, it is a double whammy that a worker is asked at age 62 or 65 to "retire" or continue working at less pay.

The Government has long refused to have a "welfare state" and I agree sometimes, especially looking at the euro zone crisis, triggered by governments that aim to please voters rather than think strategically for the long term.

In Singapore, many older workers today would like to continue working, whether it is to pass time (which I suspect is the lesser of the two) or in order to get by with a salary. Think of the cleaning "uncles" and "aunties" at foodcourts and hawker centres.

It is also sad when you look at it.

Hence, the concept of retirement may increasingly not be what was envisaged in the past: Taking life at a slower pace, looking after grandchildren or simply enjoying the fruits of your labour.

It is something of an irony to stay active and not be compensated correctly for the amount of work done.

Do I look forward to retirement? I hope I will continue to work for as long as I can. I am not convinced that we should have a mandatory retirement age in place. I believe that a fundamental mindset change is needed in Government and among employers.



The writer is 37 years old.