Our View: Rolling back on early retirement penalty the height of irresponsibility

Akel’s latest pre-election populist cause is so transparently irrational that for them to even utter it out loud is nothing short of shameless.

The same party that in 2012 introduced a 12 per cent pensions penalty on those who retire at 63 instead of 65 now wants it reversed.

The party was quick to jump on this two days after its affiliated union Peo raised the idea. But despite the government immediately pointing out why it couldn’t happen, Akel leader Andros Kyprianou raised it again on Sunday, calling it “a priority”.

No matter how Peo tried to couch the proposal as a singular issue affecting a specific group, it is very clear it would effectively roll back the retirement age from 65 to 63 and render the social insurance fund unviable.

But it’s an election period and who better to exploit than pensioners, many of whom, it can’t be denied, are badly-off.

Laying aside the obvious danger to the economy, the selfishness of the demand beggars belief. Peo and Akel want to take money from future generations to satisfy those who might be suffering from buyer’s remorse by retiring two years earlier.

It would be forcing younger generations to continue working until they are 70, or worse, until they die. Just because Peo says the pension fund is currently robust, does not mean it will remain so especially in uncertain times.

People who take early retirement at 63 have made a choice to take the 12 per cent hit and cannot come back now and say they don’t like it. Did they not work it out beforehand to see if they could manage? If not, that was very foolish. Sixty-three, relatively speaking, is not old anymore, and while it might be nice to retire at that age, it should not be at the expense of others down the road.

That is not to say that pensioners do not have a rough time in many respects, but this applies, just as much if not more, to those who waited until 65 to retire and receive their full pension, which does not amount to much for anyone who is not a public servant.

Pensioners are facing various problems such as their Gesy contributions and the cost of medicines, which was pointed out last week by a representative group.

But this group does not have as much clout as those who make demands with the backing of organisations like Peo and Akel. Those who shout the loudest are usually not the most needy but they are the ones most often heard, and these would be the ones to benefit most from this absurd proposal.

Luckily it is a clear non-starter. If Akel thinks anyone is going to feel sorry for those who jumped the gun on retirement without thinking ahead, they are definitely backing the wrong election horse.