China Extends Retirement Age Amid Rapid Aging
Workers Voice Complaints
"More Jobs Should Be Created for the Younger Generation"
China is pushing for retirement age extension, but it is reported that there is rather a large voice of dissatisfaction among local workers.
On the 20th (local time), Hong Kong's South China Morning Post (SCMP) reported on China's retirement age extension news, saying, "Unlike other countries, there are no protests triggered by pension reforms, but the movement to extend the retirement age does not seem popular among Chinese workers." It added, "Those born after the 1980s, who will face the full impact of the policy change, appear to be the most frustrated."
Earlier, the Standing Committee of the 14th National People's Congress (NPC) of China passed the retirement age extension plan at the 11th meeting, which concluded on the 13th. Accordingly, the statutory retirement age for male workers will be gradually extended from the current 60 to 63 over 15 years starting January 1 next year. For female workers, the retirement age will increase from the current 50 and 55 to 55 and 58, respectively. In China, the retirement age has been maintained at one of the lowest levels in the world for about 70 years: 60 for men, 55 for female white-collar workers, and 50 for female blue-collar workers.
A political scientist in Beijing who requested anonymity told SCMP, "Basically, everyone is suffering from this retirement age extension and no one is happy," adding, "If this sentiment is not properly addressed, it could lead to unexpected consequences. Even in Vladimir Putin's Russia, pension cuts triggered unusual protests." He continued, "However, similar events are unlikely to occur in China because both the propaganda agencies and security authorities are prepared to censor opposition and nip any unrest in the bud while explaining the necessity of the policy change."
Associate Professor Alfred Wu of the Lee Kuan Yew School of Public Policy at the National University of Singapore pointed out that the Chinese government missed the "golden time" to extend the retirement age before the COVID-19 pandemic, saying, "At that time, there were many job opportunities, the economy was on the rise, and everyone was happy." Also, Zhao Mo (26), a marketing consultant in Beijing who strongly opposes the retirement age extension, said, "What needs to be solved is not letting older officials enjoy power and easier jobs for 10 more years, but creating more jobs for young people."
SCMP also reported that civil servants and employees of state-owned enterprises have enjoyed much more generous pension benefits than private sector workers, and this inequality is especially keenly felt by young people. Clayti Chen (26), who worked in an automobile manufacturer and became unemployed in July, lamented, "My father, who is a civil servant, receives a pension every month that is much higher than what I earn after tremendous effort."
Meanwhile, China's move to extend the retirement age is based on the judgment that it will help pension finances and secure labor amid a sharp decline in birth rates and accelerating population aging. It is predicted that by around 2035, the elderly population aged 60 and over in China will exceed 400 million, accounting for more than 30% of the total population, entering a serious aging phase. Additionally, last year, the average life expectancy of Chinese people reached 78.6 years, and the development of science and technology and changes in the economic structure have greatly reduced physical labor and increased knowledge- and technology-based jobs, which also contributed to the push for retirement age extension.
However, the younger generation is strongly opposed to the retirement age extension. The British daily Financial Times reported in July that anxiety is spreading among young people that finding jobs, which is already difficult, will become even harder if the retirement age is extended.
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