Retirement Law and the Mandatory Retirement Age of 65 in Thailand: A Comparison with Japan Retirement Law and the Mandatory Retirement Age of 65 in Thailand: A Comparison with Japan

Abstract

Thailand and Japan are both facing rapid demographic change, declining birth rates, and increasing pressure on public pension systems. In Thailand, recent legal and policy discussions have focused on extending the mandatory retirement age of civil servants from 60 to 65. This reform has increasingly been considered a reasonable policy response to labor shortages and the need to retain experienced personnel in public administration. Japan, as one of the most aged societies in the world, has long developed a different approach that combines mandatory retirement, reemployment systems, and incentives for older workers to continue working. This article examines the legal framework of mandatory retirement in Thailand, with particular attention to the proposal to raise the retirement age to 65. It analyzes the historical development of retirement rules, current legal provisions, and the policy reasons behind retirement-age reform. The article also examines Japan’s retirement system, focusing on the Act on Employment Security of Elderly Persons and the reemployment, or shokutaku, system. Through comparative analysis, this article highlights key differences between the two countries in terms of legal structure, employment status after retirement, and the flexibility of labor policy. This article argues that Thailand should extend the retirement age to 65 in response to demographic aging and potential labor shortages in the public sector. Although such reform may raise certain concerns, demographic changes and developments in comparative legal systems suggest that this policy direction is reasonable. Nevertheless, the extension should be implemented together with appropriate supporting measures and a carefully designed legal framework in order to maintain a proper balance between administrative efficiency and the protection of public officials’ rights. In this respect, retirement age reform should also take into account the institutional and social context of Thailand. A carefully designed legal framework would help ensure that such reform contributes not only to administrative efficiency but also to the long-term sustainability of the public administration system and the further development of the legal structure governing public employment.