Employees, this is big news! According to a recent report, the retirement age for employees will be extended by 5 years, with benefits included.
In France, there is a proposal to increase the retirement age from 62 to 64 years. Although the government aims to save the pension system by increasing the age limit, major employee organizations are planning to protest against these pension reforms on January 19. This move is being opposed throughout the country.
Many countries have either increased or are planning to increase the retirement age. For instance, the highest retirement age in the United States is 66 years, but it could be extended by another year. Pension reforms are taking place worldwide due to the challenges of providing pensions in changing economies.
In Germany, an aging population, declining birth rate, and a decrease in the number of workers are creating a challenging situation for pension funds. The number of vacant government job posts is at an all-time high, and the youth population is at a record low. Consequently, Germany is gradually increasing the retirement age from 65 years to 67 years.
Life expectancy has increased while birth rates are decreasing, leading to an aging population and increased pressure on pension funds. Western countries require 2.1 children per woman, but many countries, including Japan, Germany, and Spain, have a birth rate of 1.5 or less.
In India, the retirement age is generally 58-60 years, and there is currently no proposal to increase it. However, there was a demand in the past to increase the retirement age by two years. The old pension scheme was discontinued and replaced with the National Pension Scheme.
In Nepal, people retire at the age of 65, and in other Asian countries, the retirement age is usually 60 years. Azerbaijan has a retirement age of 65 years, while Hong Kong has 65 years of age. In China, Malaysia, South Korea, and Uzbekistan, the retirement age is 60-65 years, while in Sri Lanka and Pakistan, it is the same. In Bangladesh, the retirement age is 59 years. In Israel, the retirement age is 67 years, and people in Asian countries tend to remain active at least 10 years beyond retirement age.