The Malaysian Trades Union Congress (MTUC) today called on the government to legislate the retirement benefits for private sector employees.

At present, there were no such benefits stipulated in the country’s labour laws, said its Selangor chairman, N Gopal Krishnam.

“Private sector retirees only have their EPF savings and no other benefits, unlike their counterparts in the civil service who enjoy gratuity and free medical benefits upon retirement.”

He said that while MTUC welcomed the extension of retirement age from 55 years to 65 years, it was surprised that no one was talking about the benefits for these retirees.

NONE Gopal was commenting on the recent statement by Human Resources Minister Dr S Subramaniam (right) that the government was proposing to extend the retirement age of private sector employees which received the wide support of both workers and employers.

He said Selangor MTUC, having met and discussed the proposed extension, suggested that the following benefits be considered: For those with less than two years of service be paid 10 days’ salary for every year of service as gratuity, or those between two and five years of service be given 15 days’ salary, and for those with five years and more, 20 days’ salary.

He hoped the newly set-up wage council would study this proposal and make appropriate recommendations.

- Bernama