KUALA LUMPUR, Sat. - The Government has agreed in principle to extend the retirement age for civil servants from 55 to 56 while a Cuepacs proposal to extend it to 58 is being studied.
The retirement age of 56 will be on a indefinite trial basis to ascertain whether an extended retirement would disrupt administration.
The new ruling will affect all 800,000 civil servants.
Cuepacs had, in April 1998, asked for an extension of the retirement age to 58 but the Government tuned it down in January 2000.
Prime Minister Datuk Seri Dr Mahathir Mohamad said the Cabinet had reasons for its decision but did not elaborate.
However, he said civil servants whose …