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Ministry of Labor Releases Guidelines on Negotiated Delayed Retirement, Encouraging Senior Talent to Remain in the Workforce

The Ministry of Labor releases the “Reference Guidelines for Negotiation Between Employers and Employees on Delaying Retirement Age and Post-Retirement Reemployment,” helping enterprises and workers establish flexible negotiation mechanisms. (Photo courtesy of the Ministry of Labor)
The Ministry of Labor releases the “Reference Guidelines for Negotiation Between Employers and Employees on Delaying Retirement Age and Post-Retirement Reemployment,” helping enterprises and workers establish flexible negotiation mechanisms. (Photo courtesy of the Ministry of Labor)

In response to an aging society and changes in workplace structures, the Ministry of Labor recently announced the “Reference Guidelines for Negotiation Between Employers and Employees on Delaying Retirement Age and Post-Retirement Reemployment.” The guidelines aim to help enterprises and workers establish more flexible negotiation mechanisms regarding retirement age and reemployment arrangements, enabling senior workers who are willing to continue working to remain in the workforce and pass on their professional expertise and experience.

The Ministry of Labor noted that Article 54 of the Labor Standards Act has been amended to clearly stipulate that employers and employees may negotiate the postponement of the retirement age. The guidelines provide detailed explanations on the timing for initiating negotiations, preparatory matters, principles to be observed during the negotiation process, and supporting resources available to employers. A sample negotiation record form is also included to facilitate smoother practical implementation for both parties.

At the time of the release, enterprises were also invited to share their experiences. Representatives from the manufacturing sector pointed out that, in the face of labor shortages and the need for technical succession, diversified approaches such as delayed retirement and rehiring retired employees help stabilize workforce structures and accelerate the training of new staff. Union representatives added that employees have differing views on retirement timing and life planning, and only through rational negotiation and adjustments to job content or work arrangements can both industry needs and individual career choices be balanced.

The Ministry of Labor reminded that if delayed retirement is adopted through negotiation, the original nature of the labor contract remains unchanged. In cases of post-retirement reemployment, a fixed-term contract may be separately agreed upon to define working hours and days. The Ministry will continue to promote subsidies for senior employment and job redesign measures, working with enterprises to build a friendly and sustainable employment environment for older workers.

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