Baghdad – In a new development of events, the issue of the retirement age has emerged as one of the most prominent issues that has sparked widespread controversy, as the Iraqi Council of Representatives seeks, in its current electoral session, to reconsider the decision to reduce the retirement age to 60 years, and put forward a proposal to return the retirement age to 63 years as it was. It was previously mentioned.
This proposal comes in light of the growing voices opposing the reduction decision, which they see as a threat to the stability of government institutions and a loss of the experiences that employees have acquired over long years of service, especially in vital sectors such as health and education.
After Iraq witnessed in October 2019 a broad popular movement that carried the hopes of young people to change reality and provide them with job opportunities, the decision was then made to reduce the retirement age to 60 years as part of a series of reforms demanded by the street. However, this decision soon raised eyebrows. Widespread controversy.
Bridging the gap between experiences and youth
Member of the Parliament’s Finance Committee, Mustafa Al-Karawi, confirmed that the proposed amendments to the retirement law will not target a specific number of employees, but rather will include all those who have reached the age of sixty, explaining that there is a proposal to raise the retirement age to 63 years, which will affect a wide segment of employees.
Al-Karaawi pointed out, in an interview with Al Jazeera Net, that the Iraqi workforce suffers from a scarcity of expertise, especially after the cessation of government appointments in recent years, noting that many of the employees who have reached retirement age are qualified people who have gained extensive experience during their long period of work, Therefore, early retirement for this group will increase the gap between accumulated experience and young people who lack practical experience.
He explained that this amendment would be beneficial to the Retirement Fund, as postponing workers’ retirement would benefit the Fund given their contributions.
From an economic and social perspective, Al-Karaawi believes that Iraq is in dire need of the expertise possessed by older employees, as they can transfer their expertise to the new generation of employees. Their continued service will contribute to the stability of government institutions.
As for young people, Al-Karaawi believes that the best solution to providing job opportunities for them lies in activating the private sector, and not relying on continuous government appointments, in order to reduce the pressure on the state’s general budget.
Employee rights and youth aspirations
Financial and banking expert Mustafa Hantoush ruled out the possibility of implementing the decision to increase the retirement age from 60 to 63 years, as is the practice in many countries.
In his interview with Al Jazeera Net, Hantoush attributed this exclusion to several overlapping factors, noting that the continuation of an employee who is able to work in his job is a legitimate right, but this right directly collides with the aspirations of Iraqi youth who seek to obtain job opportunities, as Iraq witnesses annually approximately More than 500,000 young people are looking for work among graduates and other segments, which increases the severity of unemployment among young people.
He pointed out that the decision to reduce the retirement age to 60 years in the past was aimed at providing new job opportunities for young people, such that approximately 200,000 jobs were created, but experience has proven the inefficiency of this measure in radically solving the problem of unemployment, indicating that Iraq is still suffering from A large deficit in providing job opportunities, especially in vital sectors such as industry, agriculture and tourism.
Jantoush stressed that solving the unemployment problem is not limited to raising the retirement age, but rather requires integrated efforts to revitalize the economy and provide an attractive environment for investment, stressing that Iraq has great potential to achieve sustainable economic development, but this potential requires real investment through combating corruption and developing infrastructure. And support the private sector.
He believed that increasing the retirement age may exacerbate the problem of unemployment, especially since there is a moral and legal obligation on the part of the state to provide job opportunities for young people, adding that the retired employee receives a pension that guarantees him a decent living, while the unemployed person does not find any source of income.
Hantoush proposed flexible solutions for some special cases, such as employees who have not completed 15 years of service, by extending their service period, or granting the minister the authority to extend the service of indispensable employees for an additional two years, noting that “annually between 50 and 60 thousand employees are referred to… Retirement, and if the retirement age is amended, between 100 and 150 thousand employees will continue in their jobs.”
Achieve balance
Community activist Ali Al-Habib stressed that the issue of raising the retirement age requires careful study of the comprehensive economic and social dimensions, in order to ensure achieving a balance between the needs of different generations.
He said, in an interview with Al Jazeera Net, that raising the retirement age may lead to increased pressure on the job opportunities available to young people, which limits their integration into the labor market. On the other hand, it may contribute to increasing pressure on the state’s financial resources, especially in light of the high average age. Expected and improved health conditions that may prompt employees to remain in service for longer periods.
Al-Habib added that there are some exceptions that may require keeping some employees in their jobs, such as doctors, highly experienced engineers, and academics, given the importance of their role in advancing development, adding, “However, this must be within a specific framework and according to clear mechanisms so that it is not… “At the expense of young people’s rights to obtain job opportunities.”
He pointed out the need for a balance between employment policies and retirement age by adopting training programs for young people to enable them to fill vacant jobs, and motivating employees to enter early retirement by providing financial and moral incentives.
Al-Habib suggested adopting a mechanism to exchange experiences between retired employees and young people in order to ensure the continuity of knowledge and its transfer to future generations.
Al-Habib stressed the importance of focusing on raising the retirement age in specialties that suffer from a shortage of competencies, such as rare specializations or that require high experience, instead of applying this policy in general to all employees.
He warned that “depriving young people of job opportunities as a result of arbitrarily raising the retirement age is unacceptable, and must be avoided as much as possible.”
