From the memory lane: Plans to increase retirement age in Japan and many European countries
October 13, 2017 12:39pm CST
I remembered this news, which I had watched on a TV channel(AlJazeera) an year back. Coutries like Japan and many countries in Europe have increasing life expectancy. Many people are living beyond 80 now, much more than average number of such people earlier. The working population as a % of whole has been shrinking. In some countries, the absolute numbers too are decreasing in the working age population. So, countries like Japan, Germany, Sweden, Finland etc are providing support in various terms to people beyond 55 years of age in terms of means to support their work. Also, many have now made plans to ask the people to work beyond 60- 65 years. For e.g- Germany is planning to increase the retirement age to 70, Japan to 67 or 68 and a few countries more are expected to do so. Increasing pension burdens on the Governments is a big factor. Also, Governments have to think as to how the Pension Funds can give more return without investing all of them in equities and Mutual funds. What do you say?
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@LadyDuck OMG, that is so funny and cruel! I never thought of it that way, since I simply didn't know much about the pension business. THAT makes me want to find a corner and cry, seriously! (Think of all the years those people work and pay tax, and now they get to that age of retiring, they find out that there is no money for their pension!)
• United States
In the USA, I do know more and more people are working past the usual retirement age. The problem is that the jobs they hold are not available to the young ones who enter the job market, thus making it very difficult for young workers to get a good start in life.
They are doing that because of the longer life expectancy of the people in their country. In our country, the government employee has the option to retire early by the age of 55. Now this issue on retirement to lengthen it because of pension issue and the retirees' age.