AttachmentA

GUIDELINES
ONTHEIMPLEMENTATIONOF
MINIMUMRETIREMENTAGEACT2012

[ThistranslationisdonebyMalaysianEmployersFederation(MEF)
andnotanofficialtranslationfromtheMinistryofHumanResources]

1.

INTRODUCTION

1.1

Section4oftheMinimumRetirementAgeAct2012(Act753)provided
thattheminimumretirementageofanemployeeshallbeuponthe
employeeattainingtheageofsixty(60)years.

1.2

Employermayatanytimefixahigherretirementagethan60yearsfor
theiremployees.

2.

COMMENCEMENTOFTHEACT

MinimumRetirementAgeAct2012comesintoforceon1July2013basedon
thegazettenotificationPU(B)422dated26December2012onallemployers
inMalaysiawhoemployemployeesregardlessoftheamountofsalarypaid,
exceptforthecategoriesofemployeesasstipulatedintheScheduletosection
2oftheAct.

3.

OPTIONALRETIRMENT

Section6ofAct753

EarlyRetirementAgebeforetheminimumretirementagecanbefixedbythe
employerwiththeconsentoftheemployeeasagreedinthecontractofservice
orcollectiveagreement.Anemployeemaychoosetoretirewhenheattains
thesaidoptionalretirementage.

4.

INVALIDITY OF TERMS ON RETIREMENT AGE IN THE EXISTING

CONTRACTOFSERVICEANDCOLLECTIVEAGREEMENT
Section7ofAct753

Employers need to amend the retirement age in the contract of service or

collectiveagreementtotheminimumretirementageof60yearsiftheexisting
retirementageislower.

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5.
NONAPPLICATIONOFTHEACT

The minimum retirement age does not apply to employees who are

listedintheScheduletosection2ofAct753asfollows:

(a)
apersonwhoisemployedonapermanent,temporaryorcontractual
basis and is paid emoluments by the Federal Government, the
GovernmentofanyState,anystatutorybodyoranylocalauthorities;

(b)

a person whoworksona probationarycontract;

(c)

anapprenticewhoisemployedunderanapprenticeshipcontract;

(d)

anoncitizenemployee;

(e)

domesticservant;

(f)

apersonwhoisemployedinanyemploymentwithaveragehoursof
worknotexceedingseventypercentofthenormalhoursofworkofa
fulltimeemployee;

(g)

a student who is employed in any contract for a temporary term of

employment but does not include employee on study leave and
employeestudyingonparttimebasis;

(h)

apersonwhoisemployedonafixedtermcontractofserviceinclusive
ofanyextension,ofnotmorethantwentyfourmonths;and;

(i)

apersonwhobefore1July2013hasretiredattheageoffiftyfiveyears
ormoreandissubsequentlyreemployedafterhishasretired.

6.

APPLICATIONFORDEFERMENTOFIMPLEMENTATIONOF
MINIMUMRETIREMENTAGE2012

6.1

6.2

Employers who require an extension of time to make the necessary

preparationmayapplyforadefermentofthecommencementofthe
implementationofthisActtotheMinistryofHumanResources.
TheApplicationEvaluationCommitteechairedbytherepresentativeof
the Government and comprising representatives of employers,
employeesandrepresentativesoftheMinistryofHumanResources,
willevaluateandconsidertheapplicationfordefermentofthedateof
implementation by the employer, before recommendation for the
approvaloftheHonourableMinisterofHumanResources.

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MethodsofApplicationforDefermentofImplementation

6.3 Applicationmustbeaccompaniedwithstrongbasisandjustifications
in writing and addressed to the Ministry of Human Resources as
follows:

6.4

Setiausaha
BahagianDasar
KementerianSumberManusia
Aras7,BlokD3,KompleksD
PusatPentadbiranKerajaanPersekutuan
62530PUTRAJAYA

Tel.No:0388865355
Fax:0388892377

Thefollowingdocumentsshallbesubmittedwiththeapplicationfor
deferment to the Ministry of Human Resources for appropriate
consideration:

TheCompanysProfileasissuedbyCompaniesCommissionof
Malaysia(SSM);
Alistofemployeeswithidentificationnumberasat28February
2013whowillattaintheageof55yearsbetween:

1July2013to31December2013;

1January2014to31December2014,and

Anyotherinformationwhicharedeemednecessarytosupport
theapplicationoftheemployer.

6.5

Applicationsmustbe receivedbythe MinistryofHumanResources not

laterthan 30April2013.

6.6

Any application received by MoHR after that date shall NOT be

considered.

6.7

If the employers application is to be considered, deferment may be

granted until 31 December 2013 in the form of a conditional
exemption from the application of the Act to the employer and in
pursuant tosection18oftheAct753.

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Disclaimer

6.8

Applicationsubmittedbyanyemployershallnotbedeemedasastay
of implementation of this Act but only as an administrative
consideration by the Honourable Minister in exercising the powers
providedundersection18oftheAct.Therefore,anydecisionmadeby
theHonourableMinisterisfinalandanyrejectioncannotbeappealable
inCourt.

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