The government has appointed several retired individuals to senior posts in state‑owned companies, and following public criticism, the President has announced that retirees appointed to such positions will no longer receive their retirement allowance while in office.
Speaking to residents of Hulhumale' Phase I on Sunday evening, the President said appointing retirees to key posts increases state expenditure.
He said retirees are often chosen because they are “morally upright, honest, managerial and capable,” but acknowledged that the financial burden is high when they receive both their pension allowance and a full salary after returning to public office.
“However, for retirees, the cost is high because they are getting the allowance they get and the salary they get when they come back to office,” he said.
President Dr @MMuizzu meets with Hulhumale Phase I residents, providing an opportunity for community members to raise concerns and share their views on local development. The engagement underscored the Administration’s focus on responsive governance and people-centred… pic.twitter.com/c7KN4d9biw
— The President's Office (@presidencymv) December 21, 2025
The President said he has now ordered changes to this arrangement, and the Civil Service Commission is working on implementing the new policy.
“If a retiree is appointed to a government‑appointed post, or if a retiree is elected to an elective post, the retirement allowance will be suspended during the period he serves in that post, so he will not receive double payments,” he said.
The government has recently appointed several retired officers to top positions, including MTCC Managing Director DCP (Retd.) Ahmed Saudi, HDC Managing Director Brigadier General (Retd.) Ali Zuhair, MPL CEO DCP (Retd.) Mohamed Rishwan, MIFCO CEO Farhath Shaheer, and Fenaka Managing Director Major (Retd.) Mohamed Najjah.
Public concern has been growing over the rising number of political appointments and the high operating costs of the government.
Government to suspend retirement allowance for retirees serving in appointed or elected posts
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