Proposal to Increase Retirement Age for Civil Servants in Nepal to 60 Years
In Nepal, there is currently a proposal to increase the mandatory retirement age for civil servants from 58 to 60 years. The Federal Civil Service Act is being reviewed to consider this change.
Pressure to Increase Retirement Age:
Various civil service organizations have been pressuring the government to increase the retirement age. The proposal to make the retirement age 60 years is based on the fact that the average life expectancy of Nepalis has increased, and early retirement is increasing the burden of pensions.
Drafting the Act:
The Ministry of Federal Affairs and General Administration is preparing the draft of the Act based on suggestions received from various parties. However, there is no consensus on whether to add a certain period of the employee to make it 60 years or to make it 60 years altogether.
Suggestions and Proposals:
The Civil Servants Association suggested raising the retirement age limit to 60 years from 58 years, in one lump sum. However, the government's proposal is to increase the mandatory retirement age by six months if one year is left, by one year if one and a half years are left, and only by two years if two years are left.
High-Level Administrative Reforms
Suggestion Committee had previously suggested making the age limit of employees 60 years. In order to maintain the retirement age limit of 60 years in all services, it has been suggested to make it 60 years in one go.
Importance of Increasing Retirement Age:
The retirement age of women who entered the civil service at the age of 40 years is 58 and the service period is only 18 years, so the mandatory retirement age limit is going to be maintained at 60 years. This change will also help to reduce the burden of pension payments and align with the retirement age limit of other services.
Overall, The Nepali government is reviewing the Federal Civil Service Act to increase the mandatory retirement age for civil servants to 60 years. While there is no consensus on whether to make it a lump sum or add a certain period, the proposal is to increase the retirement age limit to 60 years to reduce the burden of pension payments and align with other services' retirement age limit.
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