Planned to raise the retirement age to 70 years

People in Europe are now living longer, according to statistical data  4-5 years more than in 1971. And it is prognosticated that we will live even longer –  in 2050 3 years longer than now. That is the reason why retirement age should be risen -it should be 70 years in 2040.

According to ‘The Economist’ the idea about living longer and going to retire in the same age is good, but there also is some sad fact that with this model there will be a lack of working people.  There is need to take into account that  birth rates are declining. In this situation, there is tension, as pensions are paid from the money that employees pay in taxes. So, if demographic reasons, will reduce the number of workers, it also reduces the amount of money that is intended to pay pensions. By contrast, the retirement age increases can be achieved in the balance: those who do not fall over the category of pensioners will be able to move on to the categories of workers. In 2050  in Germany  there will be only 1,6 worker to a pensioner and in Italy – 1,5. ASV, where are 2,6 workers to a pensioner,  is willing to increase retirement age to 67 years. Europe has bigger problem in this field so idea is about increasing retirement age to 70 years.

Experts see a double positive benefits of human life extension work, namely, higher quality of life and sustainable pensions.

http://bnn-news.com/2011/04/09/world/the-economist-retirement-age-europe-raised-70-years

http://www.eubusiness.com/news-eu/finance-economy.5fw/

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4 thoughts on “Planned to raise the retirement age to 70 years

  1. I feel the working population is definately getting older! I am seeing this in Glasgow, in clothing shops where the main employees where students there is now increasingly older workers! I think rising the retirement age is a good idea in an economical sense to save money but on the humanity side…if someone has been working all their years surely they deserve a long leisurely retirement?!

    Reply
  2. Personally I think that unfortunately increasing the retirement age is something that is going to have to happen. For the reasons mentioned above, such as the aging population and increased life expectancy, there doesn’t seem anyway we can avoid not increasing the age of retirement, despite the fact that it would be nice not to. The economies will just not be able to cope with an increased number of pensions required and a decrease in the working population. Unfortunately it looks like it won’t be long before we will all be working longer.

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  3. But according to my experiences, older people have problem to find job because of their age. MOstly people above 50years despite their skills, knowledges have this problem. They want to increase retirement age but also is necessary support knowledge management in companies, where could be knowledges of older employees exploit.

    Reply
  4. It is an unfortunate situation that someone has worked for so long and so hard needs to work that extra bit longer but with the decreasing birth rates it is just something that needs to be done in order to keep the balance.

    Reply

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