MBA (IT) / Research Proposal Form Details Student Name Hamed Said Hamed Al Hasani Course Dissertation phase 1 Email [email protected] First Supervisor Vijayakumar Srinivasan 2nd Assessor Project Details Project Title: Impacts and Trends of early retirement in pension funds: A case study of the Omani Ministry of Defence pension fund Abstract/ Summary: Summary: The pension systems in the Sultanate of Oman are modern systems compared to other countries such as Sudan, Tunisia and Morocco. It represents the idea of insurance coverage of the employee as a strategy taken to secure the life of the employee and his family after retirement or the completion of the number of years of service. The main objective is to create a monthly income that supports the employee to manage retirement age or retirement (Jutting, 2000). In general, the legislation began in the insurance protection project in the Sultanate in the early eighties, and took a different path from the previous countries in this project, where the number of funds in the Sultanate Reached more than 13 funds, which raises some questions about this number! About MOD Pension Fund: The Pension fund of the Ministry of Defence is one of the largest funds in Oman after the civil service pension fund, which includes more than 33,000 thousand retirees according to the general statistics. The vision and policies have contributed significantly to the advancement of services provided to all segments and related parties, in addition to active participation in the economic development movement of the Sultanate through the companies that contribute to the Muscat Securities Market. This is done through the establishment of direct projects and the entry of companies with the specialized agencies to strengthen the financial capabilities of the Pension Fund and to add quality and added value to the homeland and citizens alike (www.modpf.gov.om, 2017). The general budget of the Fund depends on the income from the contributions deducted from the employee and the general revenues of the investment, where the financial position of the Fund stabilizes whether there is a balance in the amount of revenues and expenses. After the pension funds completed 25 years they started to face imbalances and Challenges, Therefore, it is necessary to reformulate the legislations and to confirm the imbalance in the actuarial studies that indicate a budget deficit in the coming years. (“World Bank. 2000, 2017). Statistics indicate that the early retirement rate during the five year (2012-2016) is more than 50% of the total retirees after the completion of 20 years of service and the average age of this category ranges from 40 years to 43 years .Indicating their ability to continue working. Problem of research: Early retirement is a problem that threatens pension systems, and some do not believe retirement age is a challenge to pension funds (Benedetta Frassi, 2017) because this is inability to understand the real problem facing the pension system. This problem has emerged after the proportions stated in some funds. Most pensioners retire early for several reasons, including stagnation of staff, lack of promotion, lack of incentives and training courses, all of which lead to early retirement. I will examine the factors of early retirement and the reasons for it, as well as the satisfaction of retirees about the benefits of the fund, as well as consolidate the real concept of early retirement and how it affects the individual and society, the state in general (Law, 2017). Importance of research: The importance of this study is to explore the trends of retirees towards early retirement and to consolidate social insurance goals that are not recognized by many employees and retirees and which lead to poor career planning and hence deterioration of their health’s and life (Bazzoli, 1985), psychological and financially, Also, some social influences are emphasized by many studies such as in (Saudi Arabia and Qatar). References “World Bank. 2000. (2017, 4 12). Retrieved from openknowledge.worldbank.org: https://openknowledge.worldbank.org/handle/10986/11444 www.modpf.gov.om. (2017, 04 16). Retrieved from modpf.gov.om: https://www.modpf.gov.om Bazzoli, G. J. (1985). The Early Retirement Decision: New Empirical Evidence on the Influence of Health. The Journal of Human Resources, 214-234. Benedetta Frassi, F. P. (2017). The potential costs of Longevity Risk on Public Pensions Evidence from Italian data. Economics and institutional change. Jutting, J (2000). Social Security Systems in Low-Income Countries: Concepts, Constraints and the Need for Cooperation. International Social Security Review, 3-24. Law, J. I. (2017, 4 10). Jordan Insurance Law - Law No. 1 of 2014. Published in Official Gazette No. 5267, pp. 130-133. Objectives 1. Identify the causes of and motivations for early retirement. 2. Identify the possible social, financial, psychological and economic influences of early retirement. 3. Evaluate the attitudes of retirees towards the services and benefits provided by MOD Pension Fund. 4. Establish whether retirement presents a beginning or an end of struggle. 5. Determine retirement trends for pension. Project Outcomes: 1. Establish some indicators for what causes and motivates early retirement. 2. Some relevant factors that influence early retirement will be identified. 3. Obtain indicators of the level of satisfaction among early retirees. 4. Gain Indicator if the pensioners had proper planning for retirement in general. 5. Pick up an understanding the patterns of retirements and how early retirees know about it. Interested in the project? My previous experience motivates my interest to investigate this particular issue. I have been working for the retirement fund for years now and I have encountered several issues regarding retirees’ knowledge, problems and needs in relation to retirement. I faced some situations through my work with the pensioners, prompted me to focus on this problem. From there the idea came to study early retirement because it is a major concern for both parties the pension funds and the retirees. The key questions: 1. What reasons push retirees towards early retirement? 2. What factors influence early retirement? 3. Are the benefits and services provided by the Pension Fund satisfactory or not? 4. What are the relation between job satisfaction and early retirement? 5. Does early retirement represent the best career alternative? 6. Are retirees aware of the advantages and disadvantages of early retirement? Research methods: This research will lean towards qualitative methods, which aim to reveal more personal and private perspectives that are otherwise inaccessible to quantitative methods. To reveal the personal stories and narratives of participants, a data collection tool in the form of a questionnaire will be used at the first phase of the study, where more general aspects can be investigated. The second part of the study will make use of a more detailed data collection tool by way of one-on-one interviews with a purposeful and selective sample. This sample of participants will be used to reveal more private and personal dimensions, worries and concerns to this investigation, in a friendlier and open manner. This is hoped to generate a more personal narrative that will help give us an deeper insight into the personal worlds and social, psychological, and emotional realities of these early retirees, which otherwise will not be accessible using a survey tool. Primary/secondary data sources: Primary: 1. Questionnaire 2. Interviews Secondary: 1. Published journal articles Previous literature/studies on early retirement Chapter 1: The general framework of the research: Problem of research Objectives of research Importance of research Questions of research Concepts of research Chapter 2: Literature Review: First: Theoretical trends and previous studies: Theoretical Trends in Study of Retirement Issues Studies interested in pension systems in general Studies interested in situations of pensioners socially and economy Second: intellectual background of retirement: Definition of retirement The importance of retirement Objectives of Retirement The emergence of the pension fund Types and characteristics of retirement Pattern of retires and retirement Problems of retirement Retirement in Islamic view and modern view Overview of some Western, Arab and Gulf retirement schemes Experiences of some countries in reforming public pension systems Third: Overview of pension funds in Oman: Civil Service Pension Fund Public Authority for Social Insurance Diwan of Royal Court Pension Fund Petroleum Development Oman (PDO) Pension Fund Fourth: Ministry of Defence Pension Fund: Introduction Types of retirement Law on pensions and service gratuity Pension and service gratuity benefits Mission and vision Financial resources of the Pension Fund Overview of the Fund's investments Fifth: study approach: Concept of early retirement Advantage and disadvantage of early retirement Factors Affecting Early Retirement Chapter 3: Research Methodology Methodology and type of research Fields of research The research sample Difficulties of research Data collection tools The tool is reliable and stable Statistical processing Chapter 4: View and Analysis of research Demographic characteristics of sample selected Trend of samples towards factors influence early retirement Trends of sample selected towards pension benefits Conditions of social, financial and psychological Chapter 5: Results and Recommendations: Results Recommendations References Appendixes Or Attachments Gantt chart 01 AUG – 21 SEP 01 JUN -31 JUL 08 MAR - 25 MAY Month Task SN 7 6 5 4 3 2 1 8 7 6 5 4 3 2 1 7 6 5 4 3 2 1 Week 1 week Draft Title 1 4 weeks Work Proposal 2 1 week Proposal Submission 3 1 week Proposal Presentation 4 4 weeks Data Collection 5 2 weeks Writing Chapter 6 1 – General framework of research 4 weeks Writing Chapter 7 2 - Literature Review 2 weeks Writing Chapter 8 3 - Research Methodology 3 weeks Writing Chapter 9 4 - View and analyses of research 1 week Writing Chapter 10 5 – Results and recommendations 1 week Final Submission 11 1 week Presentation 12 Reviewed First Supervisor Date 2nd Assessor signature Date Student Date Return of form to University Thank you for completing the form. 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