China announced on Friday its plans to gradually increase the statutory retirement age, as reported by the state news agency Xinhua. The decision is part of the government’s effort to address the country’s growing demographic challenges, including an aging population and shrinking workforce.
According to the report, the retirement age for male workers will be progressively raised from the current 60 years to 63 years. Similarly, for female workers, the retirement age will be extended based on the nature of their jobs. Women currently required to retire at 50 or 55 years of age, depending on their profession, will see their retirement age increased to 55 and 58 years, respectively.
These changes will be implemented over a 15-year period starting in 2025. The gradual increase is intended to ease the transition and manage the impact on the workforce and social security system.
Additionally, Xinhua reported that from 2030, the minimum number of years workers must contribute to their basic pension in order to qualify for monthly benefits will be increased. The current requirement of 15 years of contributions will rise to 20 years, with an incremental increase of six months each year.
The new regulations will also provide flexibility for workers who wish to continue working beyond the statutory retirement age. Employees will have the option to negotiate with their employers to delay retirement, allowing them to remain in the workforce if mutually agreed upon.
The retirement age adjustments are part of China’s broader strategy to cope with the pressures of an aging society, ensuring that the pension system remains sustainable as the country’s population ages and the birth rate declines.
