Instead of Retiring, More Indonesian Seniors are Working

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Adi Ahdiat 10/09/2024 13:50 WIB

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According to BPS data, the percentage of working elderly people in Indonesia has increased over the past decade.

Percentage of Working Elderly Indonesians (2014-2023)

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Percentage of Working Elderly Indonesians (2014-2023)

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Article 146 of Law Number 4 of 2023 stipulates that the "normal retirement age" in Indonesia is at least 55 years old.

However, a significant number of people continue to work beyond this age.

According to data from the Central Bureau of Statistics (BPS), in 2023, 53.93% of the elderly population in Indonesia were still working.

The elderly population is defined as those aged 60 and above, exceeding the "normal retirement age".

The percentage of working elderly has tended to increase over the last decade, as shown in the graph.

According to BPS, this data reflects that some elderly people have the ability to continue working, while also indicating the existence of a population that is not yet prosperous in old age.

“[Elderly people who work] can also be interpreted as a low level of elderly welfare, so they are forced to continue working," wrote BPS in its 2023 Elderly Population Statistics report.

"There are many reasons why the elderly continue to work, one of which is the need to meet their living needs. The unavailability of non-labor income such as pension guarantees requires the elderly to continue working," it continued.

BPS also noted that of all Indonesian elderly people working in 2023, the majority, or 85.25%, worked in the informal sector.

"This illustrates that the informal sector, which is widely engaged in by elderly workers, does not require specific educational qualifications, which also reflects that most elderly people work as vulnerable workers, without employment protection, employment contracts, or decent benefits or compensation," said BPS.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."