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  • Category: Miscellaneous

    Why do some people opt for voluntary retirement?

    In many organisations and companies there is a provision of early voluntary retirement. Under these schemes generally a person gets some additional amount along with his funds etc accumulated so far.

    Some people opt for these schemes and take retirement. I have always been thinking what are those compulsions under which people are opting for such early withdrawal from work place.

    If we analyse this issue then it is well known that the people can work very well even unto an age of 65-70 years depending upon their health conditions and most of them will welcome an increase in their service tenure if that is being offered to them. In addition to this the job situation is such that after taking retirement from one place it is not easy to get a good job elsewhere. So it does not make sense to go for voluntary retirement.

    I seek opinion of the members on this - why do some people opt for early retirement?
  • #649564
    From my experience, I can say that employees in Government/PSUs opt for voluntary retirement on the following grounds:-

    (a) If they are medically incapable to perform a hazardous/laborious duty.
    (b) If both husband and wife are working, and one of them has been transferred to /is working at a faraway location.
    (c) If they get better opportunities in private organization.

    Beware! I question everything and everybody.

  • #649565
    There are many reasons for opting for voluntary retirements. I have seen my known friends seeking VRS on the grounds of ill health, some applied for voluntary retirement to avail special benefits or hand shake benefits as they are popularly called. And some are having family business run by their children and thus want to concentrate on the same they opt for voluntary retirement. But one thing is sure, though they have taken retirement premature, they are often disturbed and called for clarification and knowing about files and how to go about on orders and other issues to which the retired employees suggestions are solicited for some price.
    K Mohan
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #649572
    Many reasons will be there for this particular aspect.
    1. A person who is a specialist in a particular field can help many companies and earn more instead of being with one company. In such a case, he will opt for voluntary retirement, which will give him good additional money and he will never lose his earning capacity.
    2. Many employees after working for many years in government establishments will try for private jobs where they may be offered high salaries. In such case, the employees will apply for Voluntary retirement scheme and try to get additional money without having any dip in his earnings.
    3. Some organisations give VRS scheme to its employees to reduce the burden of salaries to experienced workers. They will employ contract people and piece rated people so that their outflow of money will be less. In such case, people who are interested and liked the benefits offered by the management may opt for VRS.
    4. People who are having the interest to start their own business or organisation will also take VRS and use the funds obtained for starting their business or organisation.

    drrao
    always confident


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