China |
The retirement policy shift stirs deep and new expectations | |
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Ma Rusong, a retired teacher in Taizhou, Jiangsu Province, gives free lessons to local children whose parents work outside their hometown on August 1(XINHUA)
Just before the Mid-Autumn Festival, which fell on September 17 this year, a bombshell announcement rocked China's online sphere: The long-debated raising of the country's statutory retirement age had finally arrived, stirring a wave of reactions. Shortly after the official announcement, the topic surged to the top of the trending list on China's popular microblogging platform Weibo, igniting widespread public discussion about the policy shift. After more than one decade of deliberation, Chinese lawmakers on September 13 voted to adopt a decision to gradually raise the statutory retirement age, marking the first adjustment since the 1950s. According to this decision, adopted at the 11th session of the Standing Committee of the 14th National People's Congress, the country's top legislature, the retirement age for men will be extended from 60 to 63, while for women, depending on their occupation, it will increase from 50 to 55 and 55 to 58, respectively. The policy will take effect on January 1, 2025. China has adopted a gradual approach for these adjustments. The retirement age is being increased by a few months each year until the desired age is reached. As Mo Rong, head of the Chinese Academy of Labor and Social Security, explained, "For those close to retirement, their retirement will be delayed by just one or a few months, not several years at once." For instance, male employees born between January and April 1965 will have their statutory retirement age increased by one month, to 60 and one month. Those born between May and August 1965 will have it extended by two months, to 60 and two months, and so on. Reactions to this policy shift vary widely. Chinese Gen Zs often tend to make light of serious societal news, turning it into a source of humor, as retirement feels like a distant concern for this generation. Those in their prime, such as individuals born in the 1980s and now aged 35 to 44, are expressing genuine distress over the looming changes. "It feels like this policy has been a long time coming," Fu Haiyun, a programmer from Beijing born in the 1980s, told Beijing Review. "I've read expert interpretations and feel that the overall adjustment is more moderate than expected, and somewhat acceptable," Fu, who recently quit her job to start her own business, said. Even with the official announcement publicized, misunderstandings remain rife. For instance, a report claiming that "everyone born after 1990, regardless of gender, will have their retirement age adjusted to 65" quickly went viral across several Chinese social media platforms. Although soon debunked, its social impact lingered. "Some 'emotional comments' appearing online is likely because many people don't have a good understanding of the retirement policy," Fu noted. "I believe we shouldn't worry too much about the future," Fu added. "I, for one, don't want to presume anything. This type of thinking will undoubtedly amplify the anxiety surrounding the new policy." It is understandable that many young people feel pressured and concerned about the raising of the retirement age, with the availability of suitable job opportunities being the primary concern. "As times change, we should embrace and adapt rather than resist," Fu added. An installer of navigation markers in Yingkou, Liaoning Province, replaces his final marker before retiring on April 19 (XINHUA)
Times have changed China's current statutory retirement age has been in place since 1951. However, over the years, the country has experienced significant improvement in life expectancy, health conditions, demographics, education levels and the balance between labor supply and demand. When considering both the current socioeconomic situation and international standards, China's retirement age now appears to be relatively early. Moreover, China's aging population continues to grow. According to the Ministry of Civil Affairs, by around 2035, the number of people aged 60 and above is expected to exceed 400 million, accounting for more than 30 percent of the total population. "The raised retirement age will help promote the development and utilization of human resources, better leveraging the demographic dividend," Wang Xiaoping, Minister of Human Resources and Social Security, said at a press conference on September 13. Aging is a global issue, not something unique to China. Many countries are adjusting their pension and retirement policies to tackle the challenges generated by this trend, with one of the most common approaches being to increase the retirement age and extend the number of working years. More flexible When it comes to the adjustment targets, flexibility in implementation and voluntary choice are key, ensuring that changes align with people's personal preferences. The raised retirement age affects different groups differently, given each group has its own needs. Jin Weigang, Deputy Director of Zhejiang University's Institute of State System Research, explained to Xinhua News Agency, "The decision respects individual preferences. It doesn't force everyone to retire at the new statutory age, but instead offers a flexible range, allowing individuals to retire up to three years before or after the set age based on their own circumstances." Additionally, the minimum number of years required for pension eligibility will only gradually increase from 15 to 20 years starting in 2030. "This adjustment will be gradually implemented starting from 2030. This means that for those retiring between 2025 and 2029, the requirement for the minimum number of years of basic pension contribution remains unchanged at the current 15 years," Dong Keyong, a professor of the School of Public Administration and Policy at Renmin University of China, said. The decision also includes provisions for specialized professions. For employees in labor-intensive jobs or working in difficult environments such as high temperatures or high altitudes, they can apply for earlier retirement. Yuan Xin, a professor at the School of Economics, Nankai University in Tianjin, told Xinhua that this is a continuation of the existing policy and he believes that as the policy continues to evolve, employees' rights and interests will be better protected. Printed edition title: A New Era ForChina's Workforce Copyedited by Elsbeth van Paridon Comments to taozihui@cicgamericas.com |
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