Retirement age to rise to help pension fund
China will gradually raise the official retirement age because the country’s pension fund will come under tremendous pressure to break even, a top official said.
Yin Weimin, minister of human resources and social security, did not say when retirement age will be raised. He said any policy changes will be phased in over five years. The retirement age is as low as 50 for some female workers.
“The pension fund
faces tremendous pressure in terms of breaking even in future,” he told reporters at a briefing on the sidelines of the annual meeting of China’s parliament.
The fund’s income stood at 2.3 trillion yuan ($367.3 billion) in 2014, exceeding its expenditure of 2 trillion yuan for the year, he said. In coming years, the proportion of Chinese over the age of 60 will rise to 39 percent of the population, from 15 percent now, Yin said.