"Don't Trust National Pension"... 3 out of 10 in Their 20s Say "It Should Be Abolished"

Survey by Pension Reform Youth Action... Youth Favor Abolition
"Youth Have Serious Distrust in National Pension"

Nearly 30% of young people aged 20 and under responded that they distrust the National Pension and believe it should be abolished, according to a survey result.

The Pension Reform Youth Action, which includes youth organizations such as the Bareun Youth Union, announced this after commissioning ‘Public Opinion Survey Fairness’ to conduct a survey using an automated response system (ARS) from the 7th to 8th, targeting 1,001 citizens aged 18 and over.

In this survey, respondents were asked to choose one of the pension reform proposals: ▲ focusing on increasing pension payments for income security (Income Security Theory) ▲ focusing on reducing future generations’ debt for fiscal stability (Fiscal Stability Theory) ▲ resolving unfunded liabilities through the national treasury and abolishing the National Pension (National Pension Abolition Theory). 44.9% of respondents chose the Fiscal Stability Theory, 21.7% chose the Income Security Theory, and 20.7% supported the National Pension Abolition Theory.

By age group, 29.4% of those aged 18?29, 29.0% of those in their 30s, and 31.8% of those in their 40s chose the National Pension Abolition Theory. There was a significant difference compared to middle-aged and older groups: 17.1% in their 50s, 6.7% in their 60s, and 10.5% aged 70 and above.

[Image source=Yonhap News]

The Youth Action explained that “the distrust of the National Pension among young people is at a serious level.”

Regarding the increase in income security for elderly welfare, 48.6% responded negatively, while 31.7% were in favor. By age group, 54.5% of those aged 18?20 opposed it. The opposition rates were 49.5% for those in their 30s, 53.6% for those in their 40s, 44.2% for those in their 50s, 52.4% for those in their 60s, and 37.0% for those aged 70 and above.

Support for the Fiscal Stability Theory was generally high. However, opinions in favor of raising insurance premiums to strengthen fiscal stability stood at 44.2%, slightly higher than the 40.4% who opposed it.

The opposition was highest among those aged 18?20, with 51.0%. The rates were 44.4% for those in their 30s, 52.3% for those in their 40s, 42.5% for those in their 50s, 28.5% for those in their 60s, and 22.0% for those aged 70 and above.

Additionally, 68.1% of respondents said they were unaware that the National Pension’s unfunded liabilities (potential debt that future generations must cover if payments fall short) amount to about 1,800 trillion won. 31.6% also said they were unaware that the National Pension Fund is projected to be depleted around 2055, approximately 30 years from now.