China considers raising retirement age amid aging population

According to Xinhua News Agency, on September 10 in Beijing, senior members of the National People's Congress (the Chinese National Assembly ) discussed raising the retirement age amid concerns about labor and employment issues.

"It is inevitable for China to adapt to a new normal of population development," Mo Rong, director of the Chinese Academy of Labor and Social Sciences , told the People's Daily.

Illustration photo: Reuters

A draft amendment to the law regulating retirement ages is expected to be published for public feedback in the coming weeks.

Earlier in July, the Chinese government announced it would gradually raise the country’s retirement age. The current retirement age is 60 for men, about six years lower than in most developed economies , while it is 55 for women in office jobs and 50 for women in factories.

Keeping people working longer would ease some of the pressure on pension budgets as many Chinese provinces grapple with large deficits.

The reform is seen as urgent as average life expectancy in China rose to 78 in 2021 from around 44 in 1960, and is expected to exceed 80 by 2050.

National health authorities expect the number of people aged 60 and over in China to increase from 280 million to more than 400 million by 2035, equal to the entire current populations of the UK and US combined. Each retiree in China is currently supported by the contributions of five workers.

Data from China's Ministry of Finance shows that 11 of China's 31 provincial-level regions are running pension budget deficits. The Chinese Academy of Sciences expects the pension system to run out of money by 2035.

Ngoc Anh (according to Xinhua News Agency, Reuters)

Source: https://www.congluan.vn/trung-quoc-xem-xet-tang-tuoi-nghi-huu-trong-boi-canh-gia-hoa-dan-so-post311835.html