Retirement Age Hike Update: The retirement age in India is usually 58 to 60 years and there has been a demand from the government to increase it. There is currently no proposal to increase it in India, but many countries of the world, including Europe, are increasing the retirement age. However, the reason for this is the pressure on his pension fund.
There is a proposal to increase the retirement age in France from 62 to 64 years. The government is going to do this but the employees are opposing it. Against this move of the government, on Thursday i.e. January 19, all the major employees organizations of France are going to protest. These pension reforms are being opposed in the whole country.
French President Emmanuel Macron’s government has argued that it wants to save the pension system by raising the age limit. Under the new plan, the government wants to do this work from 2030. Then it will increase the current retirement age from 62 to 64.
By the way, many countries are going to do this kind of work and some have already done it. Right now the age of retirement at the highest age is in America, where this age is 66 years. But he can also extend this age by one more year. In fact, this exercise is going on all over the world regarding pension only.
In France, the idea is to increase the minimum period of job to get full pension. This is happening only so that France can reduce its budget deficit. In the coming years, a large number of people are going to retire in France. This number may increase further around 2030. But as much dissatisfaction has spread there on this step of the government, it will definitely become a headache for the Macron government.
Employees’ organizations believe that the government’s
The move will increase the burden on the middle class. They will have to work for more years to get full pension. Till then he will continue to pay heavy taxes from his salary. These days inflation is increasing tremendously in France.
In fact, giving pension in the changing economies around the world is not only difficult for every government, but they are either trying to end it or change it in such a way that it does not put too much burden on them. To avoid this, the way governments are increasing the retirement age all over Europe. She is surprised.
What did britain and ireland do
Britain and Ireland have increased the future retirement age to 68, which is very high, not only this, these governments have also indicated that they can increase this age further, which means that the future Don’t be surprised if the retirement age reaches 70 years in other countries.
In other European countries, which have proposed to increase the retirement age the most, there are countries like Denmark, Estonia and Italy. Denmark wants to increase it from 65.5 to 74 years, Estonia from 63.8 to 71 years and Italy from 67 to 71 years.
The aging population is also increasing in Germany
According to a report published in Germany’s official website in August last year, an aging population, a shrinking workforce and a shrinking pension fund are creating an explosive situation in Germany. Can this be resolved by raising the retirement age to 70 years?
In Germany, in the first quarter of the year 2022, the number of vacant posts has increased to 1.74 lakh in an unprecedented manner. This is the first time since the unification of Germany 30 years ago that such a large number of government job posts are vacant.
Along with this, the youth population in Germany is also at a record low. According to the Federal Statistics Office, only 10 percent of Germany’s total population is between the ages of 15 and 24 in July. In contrast, the number of people above 65 years of age is more than 20 percent. The birth rate of children in the country is much less than the change in age. One of this means that there is a lot of pressure on the pension fund as well. One solution to this is to increase the retirement age to 70 years. At present, Germany is slowly increasing the retirement age of those people from 65 years to 67 years.
Increased pressure on pension fund
However, in most of the developed countries, people start working at the age of 18 to 21 and continue till the age of 60-65. But after people retire, the pressure on the pension fund is increasing and it is becoming difficult for the governments to provide it.
Life expectancy increased and birth rate decreased
Life expectancy of people has increased. A World Bank report says that in the last 30 years, the age of people in Britain has increased from 75 to 82 years. But due to this, the problem of the governments is increasing that the number of retired people has started increasing in comparison to the working workers. Along with this, the birth rate is also decreasing in most of the European countries.
Western countries need 2.1 children per woman, while 35 countries, including Japan, Germany and Spain, have a birthrate or children per woman of 1.5 or less.
Another report says that in the last 50 years life expectancy has increased by 40 percent while the fertility rate has decreased by 50 percent.
Position in india
Generally the retirement age of people in India is 58-60 years. There is no proposal to increase it. However, such a demand was made to the government in the past that it should increase the retirement age of the people by two years. The old pension scheme in India was discontinued on 1 April 2004. It was replaced by the National Pension Scheme. A national movement is being run across the country for the restoration of the old pension scheme.
The old pension scheme was abolished in December 2003 by the late Atal Bihari Vajpayee government. In the old pension scheme, the employee used to get 50 percent of the last salary as pension. The government used to pay this entire amount. On this, the allowances also used to increase from time to time.
Retirement age in India was increased from 58 to 60 in the year 1998.
The retirement age of a Supreme Court judge in India is 65 years, while it is 62 years for teachers in universities. In the 60s, the retirement age in India was reduced to 58 years, but then in May 1998, the government increased the retirement age of central employees from 58 to 60. Even in the private sector, the retirement age is 58-60 years.
Retires happen at 65 in Nepal, at 60 in other Asian countries
The retirement age in Israel is 67 years, while the retirement age in Asian countries is generally 60 years. Azerbaijan, 65 years in Hong Kong. 60-60 years in China, Malaysia, South Korea and Uzbekistan. The retirement age is the same in Sri Lanka and Pakistan. It is 59 years in Bangladesh and 65 years in Nepal. Even in Asian countries, now people remain active at least 10 years ahead of this age of retirement and are generally fit too. They also feel the need of money more financially after retirement.
