GoM to Review Proposal Raising Retirement Age of Andhra PSU Employees to 62

Fast summary

• The Andhra Pradesh government has formed a Group of Ministers (GoM) to study the feasibility of increasing the retirement age for regular employees of State PSUs, corporations, and societies included in Schedules IX and X of the Andhra Pradesh Bifurcation act, 2014.
• The proposed enhancement is from 60 years to 62 years.
• Members of the GoM include Ministers P. Narayana (Municipal Governance & Urban Progress), Nara Lokesh (IT & Human Resources Development), and Payyavula Keshav (finance).
• The Principal Secretary (Finance) will act as the convener for this group.
• Chief Secretary K. vijayanand issued G.O. Rt.No.1545 directing the GoM to provide recommendations at an early date for further government action.

Indian Opinion Analysis
The move by Andhra Pradesh to consider raising the superannuation age signals an effort to retain experienced employees longer within critical state institutions such as PSUs and societies governed under Schedules IX and X post-bifurcation. This development could have economic implications, including easing pension burdens or addressing skill shortages in state-run bodies by leveraging experienced personnel for additional years of service.

However, this must also be balanced against concerns such as creating fewer opportunities for younger candidates entering these roles or slowing generational change within leadership positions in public institutions. By calling upon senior ministers across key portfolios like finance,IT,human resource development,and urban governance as part of this GoM panel’s deliberation process,it reflects a extensive approach towards understanding both short-term administrative requirements and long-term workforce transitions.

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