South Africa: Bullets Fly at Pension Pay Point (December 14, 2005)
On the morning of December 14th, six gunmen started shooting as soon as security officers handed over the pension money to the All Pay officers. Two robbers grabbed several trunks of checks before fleeing in their vehicles. During the shooting, a 61-year old woman was injured. Officers worry about the risk that pensioners face as they come to claim their monthly pension checks. One robber was caught and arrested while the others fled on foot after their vehicles came to a stop. A manhunt for these men is underway. All pensioners unable to receive their checks due to the incident will receive replacement checks.

Mali: Social Security Budget Increases With the Number of Pensioners (December 2, 2005)
(Article in French)
The budget for Social Security in Mali is increasing at a 2% rate in 2006 to match the increasing number of pensioners. The directors of the Social Security Fund have also decided to continue improving the pension system by converting to computerization.

Africa: Be Wary of the Generation Trap (November 21, 2005)
Middle aged adults in their 50’s are often referred to as the “sandwich generation” because they are stuck between their elderly parents and their not yet fully dependent children. It is difficult for them emotionally and financially. While adults have made efforts for their own retirement, many find that their pension is not sufficient. But recent research shows that this “investment-repayment cycle” is well worth it. Financially supporting your children through their educational process has proved to be more advantageous than any type of savings or investment. Caring for aged parents is also admirable also. One just needs to know where to set the boundaries for the children and aged parents so as not to jeopardize one’s own retirement. 

South Africa: Special Pensions Bill Passed (November 11, 2005)
The South African National Assembly recently approved a law that expands pension and survivor benefits to those who worked in previously restricted political organizations. The Special Pensions Amendment Bill builds upon the original legislation passed in 1996 that provided lump sum benefits to individuals and their dependents who were previously prohibited from participating in a traditional pension scheme due to working full time in a banned political organization. The Amendment Bill aims to create further benefit equity between those who had the ability to pay into pensions and those who were barred from doing so because of their previously controversial work situation. 

Uganda: NIC Furious Over Shs14b Makerere Pension Scheme (November 8, 2005)
Current and future retirees from a Ugandan university stand to lose their pension and life insurance benefits. Makerere University officials say they will terminate the pension and life insurance benefits because of controversy surrounding the plans and a possible inability to pay 10% interest on employee-paid premiums. 

Congo-Brazzaville: French Retirees Ignored by the Congo State (November 5, 2005)
(Article in French) 
A group of ten French retirees who worked in Congo for several years and paid into the Congo’s national pension fund have never received any pension payment from the government. The group is going to start a judicial procedure to claim about 1,579 thousand euros in unpaid pensions. 

The Republic of the Congo: Every Fifth Pensioner in the Republic of Congo is a Cheater (October 26, 2005)
(Article in Russian)
Zhilber Ondongo, the minister of labor in the Republic of Congo, reports that about 11 thousand people illegally received pensions in two pension funds simultaneously. After the national census, officials spotted this situation. Upon the demands of International Monetary Fund and other donors, the local government is trying to take the control of the central budget spending in the country.

Botswana: The Breakdown of Social Support Systems (October 19, 2005) 
The HIV/AIDS epidemic has required many grandparents to take over the task of raising children orphaned by the disease. A recent study by UNICEF shows that 34% of children orphaned by HIV/AIDS in Botswana live with grandparents, even when one parent is alive. It is common for grandparents to use their limited pension resources to support several family members. Botswana experts believe it is necessary to increase access to financial and social support to grandparents throughout the region who face the mounting challenges of raising children today. 

Ethiopia: Pensions of Former State Employees Doubled, Move Widely Welcomed (October 3, 2005)
The government of Ethiopia has decided to double the state pension so that former government employees can meet the rising cost of living. International Aid Organization says that this new law only benefits those people who have been working all their lives and have money. What about the elderly that live in the rural areas who have not worked, have no money, are sick, and have the responsibility to take care of grandchildren? The head of HelpAge International Peter Bofin proposed giving cash to the elderly poor instead of food, so that they might invest in something (like an ox) to work, make a living and hence find ways to feed the grandchildren that they care for.

Angola: African Investment Bank Unveils Workers Pension Fund (August 11, 2005)
Employees of the African Investment Bank will now have a defined benefit pension package provided for them by their employers. The new pension plan will include death benefits, early retirement benefits and 90 percent coverage of the retiree’s work salary. Pensions plans such as this one, protect workers and their families from poverty in retirement and gives retirees the means to a decent living in retirement. 

South Africa: Long Wait for Pension Funds to Get Their Surplus Payouts in Order (August 11, 2005)
There is currently 80 billion rands in surplus money in South Africa . The money comes from forgotten bank accounts and unclaimed insurance policies, among other places. If the beneficiaries of the money are not found, the money will eventually go to the state. Companies seeking to avoid the huge financial burden of dividing their surplus are attempting to claim that they do not fall under the Pension Fund Act. Are companies and the government trying hard enough to find the beneficiaries, or are they waiting for the money to fall into their laps?

Ghana: Don’t Use Pension Benefits on Lotto and Alcohol (August 3, 2005)
Educator Stephen Opuni, headteacher of Kwanwoma Presbyterian Primary School and chairman of the Bosomtwe-Atwima-Kwanwoma Association of Heads of Basic Schools, has argued that pensioners should not invest their pension in alcohol and the lottery, which has become a common practice that leads to old-age poverty. Instead he suggests that pensioners invest in their children’s education and other things that produce gains high in intrinsic value. A head teacher in the Bosomtwe-Atwima-Kwanwoma District of Ashanti, for example, can receive a 1 million cedi pension benefit package, the equivalent to 109 American dollars, upon retirement.

Nigeria: We’re Being Starved to Death, Pensioners Cry Out (July 16, 2005) 
Nigerian pensioners are dying of hunger because they are not receiving their monthly pensions. There have even been stories of the elderly risking their health while waiting on lines to verify documents to receive their pensions – pensions that sometimes never come! Senior citizens often linger around pension offices, carrying the “burden of poverty with pains and agonies.” Whatever happened to the motto “Rest is Sweet After Labor”?

Tanzania: Bank Seeking Reforms in Tanzania Pension Funds (July 4, 2005)
Tanzanian pension funds may soon undergo changes. Pension reforms seek to stop gambling with workers’ money on risky and specialized investments. There have also been accusations that Tanzania ’s pension agencies have loaned workers' pension funds to well-heeled businessmen and political parties. Compounding the problem is the fact that there are no regulatory agencies to oversee Tanzania ’s pensions, leading to disorganization, confusion, and deception. Tanzanian citizens need and deserve a pension plan that they can trust, and pension reform can help.

South Africa: Apla, MK Veterans Set to Get Special Pensions (July 4, 2005) 
The Special Pension Act will be amended to ensure that it covers all veterans and that the age limit for qualification will be lowered. Currently, only liberation struggle veterans who were over 35 in 1996 are eligible to receive the grant in terms of the Special Pension Act of 1996. But some of those who were under the age of 35, have grown older now and should qualify to receive the grant, said the Veterans Foundation chairman Papi Kubu. Most veterans were unskilled and unemployed at that time and having a source of income would help their families considerably. "It was also unfair to have some veterans receiving the money while some were not," stressed the chairman of the Veterans Foundation.

Nigeria: Increase Our Pension By 142 Percent (June 30, 2005)
Hundreds of pensioners protested at the secretariat in Ibadan to claim pension payments promised to them by the federal government. The federal government, however, has pledged pensioners money that has not been backed by actual funds. Despite the lack of funds, the government has pledged to meet the protestors' demands in due time. The Ministry of Finance is currently working out the details.

Africa: AU Eyes Pension Funds for Infrastructure Development (June 21, 2005)
The Chairman of the African Union has called on African leaders to support a plan to use “dormant” pension funds for Africa ’s infrastructural development. He argues that Africa needs to raise funds from various sources to help build the Pan African infrastructural fund. While the intentions for this plan are noble, the means are not. Taking supposedly “dormant” pensions funds could put elder people across the African continent in jeopardy. What if the investments are lost? What if governments change? What are the guarantees that the governments will produce the interest and principal for the retirement monies when African seniors need those pension funds? Is it appropriate to gamble on the future of seniors’ income—or leave them destitute— in the name of rebuilding Africa ? Rebuilding for whom? On the backs of whom?

East Africa, Nairobi: Workers' Savings Not Secure, Yet (June 15, 2005)
Who will protect East African pensioners and retirees? According to the author, pension corruption and abuse characterizes Uganda , Tanzania and Kenya . The "heads” in the three countries treat the state-run pension funds like their personal bank. In Uganda , the Office of the Inspector of Government, the equivalent of Kenya ’s Anti-Corruption Commission has launched an investigation into the circumstances under which the Vice-President, acquired a house belonging to the National Social Security Fund (NSSF). In Tanzania , the Parastatal Pensions Fund (PPF) has been made to operate more or less as a venture capital company. Incidentally, all the three East African countries have a National Social Security Fund (NSSF). But Uganda and Tanzania would still appear to be at the stage Kenya was during the Nyayo era. In that period, government leaders manipulated the NSSF to buy irregularly acquired public land from politically well-connected individuals at inflated prices. 

Zambia: Retirees and Retrenches Will be Paid, a Relief to Many (June 10, 2005)
The time has come for Government and the Pensions Insurance Authority (PIA) to review the entire social security scheme in Zambia . The announcement that retirees and retrenched persons will be paid before the end of the year relieves elderly, some of whom have waited for years to get hard earned pensions. Hopefully the payment of retirees and retrenched will bring to an end the long years of misery that now mark life after leaving employment. The Zambian pensioners hope that the decision to pay off outstanding dues before the end of the year will begin to end the suffering for the workers who have served the country. Being retired is synonymous with isolation and destitution as it takes years before terminal benefits are paid.  

Nigeria: The Pension Reform Act 2004: The Need for Amendment (January 21, 2005)
Pension and gratuity payments to pensioners in Nigeria, especially those in the public service, has become a contentious issue to the government and its workforce. The author says that the Pension Reform Act 2004 did not involve workers' input and gives far too much power to the government. Presently, less than 5% of the workers know even a few important details of this Act that was claimed to respond to all Nigerian citizens' needs. The author exposes many unfair sections of the new law.

Ghana: Pension Goes Up (January 6, 2005) 
The Social Security and National Insurance Trust (SSNIT) has increased pension payments: "The minimum monthly pension for new pensioners joining the pension roll from January 2005 is now ¢125,000," said the Public Affairs Director of SSNIT, Mr Kweku Osei-Bimpong. But some pensioners are not satisfied, saying that it's necessary to break the monopoly of the SSNIT: they want a "realistic pension." Apparently Ghanaian employers regularly under-report salaries to the government to avoid paying higher pensions. Not a good situation!

Return to Top of Page

Americas & Caribbean

Trinidad & Tobago: Illiterate Granny Must Repay $10,000 (December 19, 2005)  
A 70 year old women in Trinidad and Tobago started receiving two pension checks a month last February. The old woman, who can neither read nor write, thought this double check came because the government had increased the pension. In December the Social Service Division urged her to return the $ 10,000. Unable to pay the entire sum, she offered to re-pay little by little each month. Interestingly, the investigating officers wanted her to repay the funds in cash to them.  Now that the Social Service Division is alerted, it says it will take her $1,000 per month pension and leave her with only $50 to survive.  Surely there is a better way.

Chile: Chile’s Private Pension Plan System Fails to Protect Elderly (November 30, 2005)
The presidential candidates for the upcoming election agree that the privatization program adopted 25 years ago has produced average payments to retirees that are far below the amount necessary to financially support them. In short, it failed. They also question why the average pension has not increased while the average contributions have increased. The candidates want to examine how much profit the fund managers are making. A former deputy of the Christian Democratic (DC) Party, Sergio Férnandez Aguayo states, “the changes to the current system that the government is pretending to introduce will not benefit the interest of Chilean workers… it would seem that the system is trying to fortify private economic concentration instead of creating dynamic social benefits.”

Trinidad and Tobago: Pension Fraud Unlikely at Banks, Says Howai (November 30, 2005)
Pension fraud allegations run rampant in Trinidad and Tobago. Government officials were shocked to learn that people were cashing pension checks who were not the true recipients of the benefit. The president of the Trinidad and Tobago Banker’s Association says he will encourage a full investigation of the fraud allegations


Bermuda: Majority of Seniors Living in Poverty (November 29, 2005)
The number of people over the age of 65 is rapidly increasing. The Department of Statistics found that majority of elderly live on $36,000 a year which would classify them in the poor category. About one third of them rely on government pension which is their main source of income. The main concern is that although most senior citizen’s medical bills are covered by health insurance the working population will still be affected by the increased medical expenses as a result of longer life expectancies. The Department states that the island is in need of more “purpose-built facilities with trained staff to care for the aged.”

The Bahamas: Can Pension Reform Save Our Retirement Savings? (November 8, 2005)
Officials in The Bahamas debate pension reform by weighing the costs of defined benefit and defined contribution pension plans. Experts recognize the positive economic impact that strong pension earnings have on older persons during their retirement years as well as the residual effect on increased consumer spending. 

El Salvador: World Bank Approves $21 Million for Social Protection (October 27, 2005)
The World Bank recently approved a $21 million loan to El Salvador to implement a social protection program to reduce poverty and increase the standard of living for low- income families. The Salvadorian plan, known as Red Solidaria, is aimed at increasing productivity and income for many who have been left behind. The program sets out to help many families afford health care and educational opportunities as well as enhance the existing social service structure. The World Bank and the Salvadorian government are confidant that a full scale social protection plan will help reduce poverty, especially in rural areas. Seniors in El Salvador stand to benefit substantially from the Red Solidaria program. 

Canada: Getting Old in Canada, Growing Inequalities. (October 24, 2005)
(Article in French)
Twenty-five percent of the retired population own more than 84% of the private pension funds. On the other hand, 3 families out of 10 have no private pension. The unequal income distribution of income will grow in the next few years. Indeed, in the next decade, the contributory employer based pensions will develop more than ever in the past. It also means that inequalities among workers and as a matter of fact, among retired people will increase. The gap between the income of men and women will widen too, impacting the retirement income of men and women. Where did social protection in old age go?


Mexico: Government Grants Money to Thousands of Elderly Persons to Pay for Food (October 7, 2005)
(Article in Spanish)
More than three thousand elderly adults in Chihuahua, Mexico, will soon receive government monetary benefits that they may use to pay for food, clothing, and other necessities. Of the approximately 3,500 elderly residents of Chihuahua set to receive these benefits, over 90% of them already possess the official card that they need to access the money to which the State Government has entitled them. To qualify for the benefits, a person must be at least 70 years old and present a birth certificate and some form of photo identification. This monetary benefits program reflects the efforts of Chihuahua’s government to provide the city’s elderly with the money they need to lead a comfortable and healthy lifestyle, which, without some form of government support, becomes elusive once age has forced them out of the work force.

Mexico: The World Bank Reports a 38% Poverty Rate Among Mexico’s Elderly (September 15, 2005)
(Article in Spanish)
According to the World Bank, 38 % of Mexico ’s elderly population lives below the poverty rate, which is a greater percentage than that of other sections of the population. This rate, higher than that of countries with statistically lower per capita incomes, is greater than the rate reported in Brazil , Chile , and Colombia . Although more than 20 % of the urban population aged 65 and over receives pension benefits, only seven percent of elderly adults in urban areas, and less than one percent in rural areas, have access to pension benefits. Recently the World Bank has suggested a social pension in countries where the poverty among elderly is so great that there is no other recourse. Already Mexico City has a social pension for older persons. 

Antigua: Pensioners Call for MBS List to be Extended (September 8, 2005)
Antigua and Barbuda Pensioners Association have asked the Medical Benefits Scheme to expand the list of illnesses that it covers. Because older people are subject to many illnesses that lie outside the list, they cannot afford medications and need MBS assistance for these additional medical conditions. Not only do the pensioners ask for the extension of the list, but also they ask MBS to carry a greater variety of medications for a wider range of illnesses at various pharmacy locations so that the drugs are more easily accessible. An ideal program would cover the costs of the medications for the sick and be available at local pharmacies. These pharmacies could then bill MBS monthly for reimbursement.

Latin America: Social Security in Latin America Generates Exclusion (September 7, 2005)
(Article in Spanish)
Jorge Bernedo, consultant to the United Nations Program for Development, claims that vast sections of the population in Argentina, Brazil, Colombia, Chile, Ecuador and Uruguay suffer from a lack of healthcare and social security benefits resulting from corruption and lack of transparency in the governments of these countries. This deprivation of basic health and economic support services is especially intense in the Andean countries marred by severe poverty, demographic problems, and weak, unstable economies. Social security exclusion affects not only Latin America ’s poor, but also, and especially, its elderly.  

Report: Latin America: Intergenerational Transfers and Social Protection in Latin America (August-September 2005)
This paper from the UN Experts Group Meeting on Social and Economic Implications of Changing Population Age Structures scrutinizes the social and economic impacts of intergenerational transfers in Latin America. It also gives readers tips to understand how crucial these transfers have become in Latin America in family-based social protection. Some Latin American governments have not given attention to these transfers while they tended to economic crises. However, intergenerational transfers, both public and private, are key to avoiding future crises.

Ecuador: Ecuador Palacio Partially Vetoes Pension Bill (July 21, 2005)
The President of Ecuador has partially vetoed a social security plan that would give workers back the money they paid into the pension reserve fund. The plan called for the immediate return of the funds within 90 days, but the president wants the return to be more gradual. Congress has one month to decide whether or not they want to override the President’s veto and put the social security bill into law. Will there be a pension program for Equadorians after these withdrawals? 

Ecuador: Ecuador Congress Sends Social Security Bill to President (July 11, 2005)
This controversial Social Security bill demands the withdrawal of $734 million in savings from the Ecuadorean Institute for Social Security, or IESS, to be paid to Ecuadorean workers. Many Ecuadoreans who have paid into the IESS retirement fund are insisting on payment now. Some Ecuadorean Congressmen agree with the workers but the President is expected to veto the bill.

Mexico: Urgent Pension Reforms (July 11, 2005)
(Article in Spanish)
The System of Pensions in Durango , Mexico , recently announced its plan for an immediate annual increase of 60 million pesos (5.5 million USD). Under the direction of Jose Torres, the pensionary system of the state would collect 180 million pesos (around 17 million USD) from income figures, acquiring 17.5% of pension payrolls, which would benefit expected retirees. Created in the 1960s, the System of Pensions was designed to give state officials and workers economic certainty after they decide to leave the workforce. However, due to changing times and longer life expectancies, the System of Pensions has been negatively affected such that retirees receive pensions for twice the number of years than those in the 1960s. Unfortunately, as the number of years has doubled, there has been little or no financial modifications made in order to support that large increase until now.

Mexico: Help for the Aging (June 24, 2005)
(Article in Spanish)
In Tijuana, Mexico, the majority of elders are looking forward to the new pension plan proposed by their local government. As part of the new plan, the Regulation of the Rights of Older Persons promises many beneficial improvements such as monthly financial assistance, medical services, economic protection and the right to suitable public transportation.  

Chile: Tierney Again Misleadingly Touted Chilean Retirement System (June 15, 2005)
Like many Republicans who want to convince people that privatization is a good idea, New York times columnist John Tierney offered the Chilean system as a work-promoting alternative. Once again, Chile is used as a good example of the ownership society. But let’s take a look of what is really happening there: many Chileans continue working into their 60s because they are too poor to retire. Dictator Pinochet’s plan to introduce private accounts into the pension system never enabled Chileans to “accumulate enough money in the account to finance a pension that pays at least half their salary.” 

Colombia: Colombian Senate Prepares Final Vote on Bill Curbing Pensions (June 14, 2005) 
With the International Monetary Fund breathing down their necks, Colombia's legislators will likely approve changes to the country's social security law, aiming to reduce the government's budget deficit by more than 990 billion pesos a year ($423 million) for the next 50 years. The formula includes a “privatization” feature. The proposed changes in the social security system are part of an eighteen-month, $613 million loan agreement reached with the International Monetary Fund in April. IMF, based in Washington DC , said in its annual economic assessment of the South American country in May, that controlling social security expenditures is key to Colombia 's gaining control of its budget. The government expects to cover about 4 trillion pesos of the 6 trillion pesos owed to pensioners this year because the social security system lacks adequate funding. Furthermore, Colombians can choose to accept fixed payments from the social security system or have their retirement funds managed by one of six private pension companies. The new law will affect only social security's guaranteed payments.

Canada: Elderly Get the Boot? (June 2, 2005)
Aging Chinese pensioners living in a social housing project in Chinatown face eviction. The majority of tenants are seniors in their 70s, 80s and 90s. On May 6, the Court of Quebec upheld a 2002 Régie du Logement Decision allowing their landlord, the Montreal Chinese Community United Centre/Housing Corporation, to cancel the leases of 16 tenants if they don't settle unpaid rent by June 30. Tenants say at least 30 residents involved in the dispute have received such eviction notices. Initially, all of the poorest residents paid 25 per cent of their household incomes in rent but in 2000, the housing project's board of directors raised rents for low-income residents to 35 per cent of their household, which is far more than pensioners can afford. The elderly tenants only remaining hope focuses on replacing the project’s board removed, so the dispute and the court battle can end.

Panama: Costly Pension Reforms (June 10, 2005)
Panamanian President Martin Torrijos acknowledges that the Social Security Fund reforms that his government has proposed will unfortunately cause huge financial strain. Some reforms include increasing the retirement ages for men and women as well as requiring a higher contribution to social security in order for workers to qualify for a pension. The President claims that these new laws are the only way to pull the Social Security Fund out of its enormous deficit of almost $4.5 billion.

Chile: Chile Con Economy? (May 9, 2005)
This Latin American country privatized pensions 24 years ago. Bernard Wasow examines a late 2004 World Bank publication that now critiques the Chilean privatization model that the Bank forced on most of Latin America in the 1990’s. US citizens can learn a lot from Chileans about how private accounts neither helped government finances nor did they give adequate financial support to older persons.

Mexico: A Slow Flow for Mexico Pension Plan (April 21, 2005)
Mexico's attempt to get pension fund managers to invest in the stock market is getting off to a sluggish start.

Return to Top of Page

Asia Pacific

China: New Pension Policy Will Not Increase Individual Contribution (December 15, 2005)
On Dec. 14, the National People’s Congress held a news conference on the latest changes in pension policy. Individual contributions will decrease from 11% of the wage rate to 8%, effective Jan. 1, 2006. Officials from Ministry of Labor and Social Security also gave an authoritative interpretation on the policy changes. They confirmed that the new policy will not increase individual contributions.

South Korea: Government and Economists Call for Increase in Pension Contribution and Cut in Benefits to Avert Crisis (December 9, 2005)
The South Korean government has delayed pension reform due to a wide range of different opinions among politicians. The government wants to increase pension contributions to the nation’s pension fund and to cut current benefits. The Korean Development Institute warns that there will be nothing left in the pension fund in 30 years if no changes are made. A Korean Association of Retired People survey said that 7 out of 10 pensioners feel that the current national pension is insufficient and does not assure a secure retirement. Clearly, Korean elders mistrust this “reform” process.

China: Chinese Feel Insecure About Pensions (December 7, 2005)
According to a survey conducted by the China Youth Daily and Soho.com, many Chinese elderly that are living solely on pensions feel insecure about their future. They are worried that their living standards will gradually deteriorate and believe that getting additional money from the government is the solution to their worries. The World Bank has suggested that China raise its retirement age as other countries are doing. China also faces a difficult challenge of supporting the peasant agricultural workers who currently have no pension program.

Taiwan: Teachers, Veterans Protest Pension Cuts (December 2, 2005)
The National Retirement Teacher Alliance and the National Teachers’ Association & Veteran Association are accusing President Chen Shui-bian of making changes to the pension system for an ulterior motive. They believe that the President demonized civil servants, teachers, and military personnel in order to boost his ratings for the upcoming election. In response, they plan a large-scale protest scheduled for December 10, International Human Rights Day. They feel that the President is splitting the people of Taiwan to increase his votes. In some cases, retired civil servants, teachers and military personnel are receiving higher pension payments than current worker’s salaries. Protesters argue that this reform should have had a proper public hearing with the teachers, civil servants, and military personnel in advance. They feel they deserve to know the facts since the issue affects them directly. The Taiwan government bans unionization of public employees.

China: Social Survey on Pension Reform: 50.8% are concerned about life after retirement (December 1, 2005)
(Article in Chinese)
Starting from Jan. 1, 2006, individuals will deposit 8% instead of 11% of their wage into their retirement accounts. Employers will no longer make direct deposit, but cede their share of the  retirement contribution to the relevant oversight government agency. Experts point out this rate adjustment allows elderly to live relatively comfortably on current, but future elderly will get much lower retirement benefits. The latest social survey in Beijing, Shanghai and Guangzhou suggests about 50.8% people are concerned about financial viability in their retirement life.

South Korea: Urgent Pension Reform (November 29, 2005)
On Tuesday, a parliamentary panel pledged to try to find a compromised pension reform plan by February. If they do not decide upon a solution, the pension reform will be delayed another three years causing a heavier burden on current the adult children of old persons. Korea’s low-premium and high payout schemes are expected to run out in the year 2040. The problem, according to the article, is that both the ruling and oppositional parties are only looking at their short-term political gains. This irresponsibility is what is interfering with the parties achieving their ultimate goal of securing fiscal stability, spreading benefits as wide as possible and ensuring substantive benefits according to contributions.

China: 140 Million Elderly Need Social Help (November 22, 2005)
(Article in French)
“About” 140 million Chinese elderly need social help, said Mr. Li Xueju, minister for civil affairs in a conference Sunday in Beijing. He also said that the government itself was not able to provide such help and underlined the importance of the role of charities and social organizations.  He urged local institutions to recognize such groups in order to encourage a real collaboration.

China: Pension System Covers Only 15% of Population (November 9, 2005)
Xiang Huaicheng, the chairman of China’s National Council for Social Security Fund is concerned that only 12 % of society is covered by a pension system. The International Labor Organization considers 20% to be the minimum standard. China is considering adjustments to offer pension schemes to people living in rural areas that have lost their farmland to industrial development and construction projects as well as migrant workers in rural areas.

India: New, Improved Pension Bill Set for House Debut (November 7, 2005) 
India is poised to pass a pension reform bill after being stalled for several weeks. The Pension Fund Regulatory Development Authority (PFRDA) calls for a change from a defined benefit system to a defined contribution plan. Defined benefits provide set payments per month throughout retirement while a defined contribution system would result in varying payment amounts depending on how much one contributes to the plan. India is one of many countries throughout the world confronted by the debate over pension structures as it becomes more difficult to fund pension obligations for a growing retirement population. 

Fiji: Work Starts on Pension Bill (November 7, 2005)
The Fiji government has proposed a bill to deregulate the pension fund industry. The Superannuation Supervision Bill would establish companies that would be able to set up and manage pension and retirement funds in the island nation. This legislation would bring competition to the Fiji National Provident Fund as early as 2007. Fiji’s retirees will have to weigh in on the merits of a policy shift that will inevitably impact the financial security of generations to come. 

Australia: Boomers Lack Good Planning (November 3, 2005)
Accountants warn baby boomers to get some professional advice before retiring. Too many over-estimate their retirement savings and do not realize that what they have may not be sufficient to support them after retirement. Others rely too much on the social security system.

Korea: Korea’s Baby Boomers Face Retirement (November 1, 2005)
Korean Baby Boomers face uncertainty in their coming retirement years. Unlike their Japanese or American counterparts who benefited from strong economies during their peak work years, Korean Baby Boomers came of age during less robust economic conditions. In addition, Koreans are more likely to take care of aging parents while it is unlikely their children’s generation will do the same for them. There is some good news for the Baby Boom generation of Korea. By and large, they are healthy, well educated and hold a lot of political influence that could carry into their older years. 

India: Bottom-up Evaluation of Non-Contributory Social Protection Policy for Rural Labourers in India (October 2005)
The Chronic Poverty Research Centre based in the UK recently released a report evaluating the effectiveness of non-contributory social protection programs on the poverty levels of workers in rural India. The study points out differences between effective implementation strategies and program outcome. In the case of rural Indian workers, the study shows the implementation of non-contributory social protection schemes increase the power of local powerbrokers over rural workers. At the same time, social protection plans tend to help reduce poverty levels of rural Indians. Experts caution that government officials may try to influence outcome indicators. 

China: DPP Lawmakers Oppose Pension Raise for Elderly Farmers (October 29, 2005)
Lawmaker Wang Jung-Chang has raised opposition to the motion to raise monthly pensions for elder farmers because it will put a heavier financial burden on the government. The original plan intended to assist elderly farmers with a pension hike of NT $1,000 monthly. With China’s budget deficit close to NT $300 billion, this motion is still up for debate.

South Korea: Pension Corporation Asked for More Than It Could Spend (October 28, 2005) 
Reports show that the Government Employees Pension Corporation has been requesting much more money than it needed. The Corporation has only spent 22.5% of the money given to them. When asked for an explanation, the Corporation replied saying that since the government employees were being let go, it drove up the retirement allowances and their action were preventive. But since there have been fewer employees let go than predicted, a much smaller amount of the budget was used leaving a large sum of money in the Corporation’s vault.

Korea: New Retirement Pension Plans Improve Stability Expectations (October 28, 2005)
South Korea has begun implementing its new pension system. Now people will have two choices: the first choice will be to receive their pension as an annuity or to stick with the traditional system of receiving a lump-sum. Because Korea’s social security is still not very reliable, many feel that this new pension system gives middle aged and elderly some security about their financial needs after retirement. The new plan is called the defined benefit type. However the new plan has no history and no regulatory framework to guide it. Corporate Korea is not fully prepared to set aside the large amount of money. We will have to wait and see how the system works out. 

Taiwan: Pension Reform May Be Put On Hold (October 28, 2005)
Pension reform is at the heart of this year’s political campaigns in Taiwan. Current proposals aim to cap pension funds put in a special savings account that earns 18% interest annually. Several government officials have suggested plans to reform the state pension system be put off until after the December elections to stop the issues from becoming overly politicized. Members of the opposition party are calling for cuts to government pensions that would benefit the nation’s political leaders. 

China: Prospect on Pension System Reform (October 27, 2005)
(Article in Chinese)
A social security pension fund, corporation-sponsored retiree pension and individual retirement accounts are the three pillars for the Chinese pension system. As a result, it is economically imperative to grant foreign investment capital limited access, experts point out. In particular, precautionary measures are especially necessary when opening up the social security pension fund since it has the biggest impact among the three on the pension system and on current and future older persons in China.

China: Challenges and Suggestions for China’s Pension Reform (October 27, 2005)
(Article in Chinese)
A recent World Bank report noted that the Chinese population aged at a much faster rate than did its economic development. While the pension reform has been in place for more than ten years and the nation has made significant improvement, China continues to face challenges and unsolved issues as the home to the largest number of old people in the world.

South Korea: Pension Plan Key to Happy Retirement (October 25, 2005)
Japan will implement a new pension system that will begin on December 1st. The purpose is to provide more secure post-retirement benefit program because current retirement benefits are not 100% reliable. The new pension system will have two new options: the defined benefit plan and the defined contribution plan. Service providers and staff will be provided with the appropriate training to make sure the new pension system is carried out properly. This new plan also allows citizens to have an individual retirement account for those who change jobs and still receive benefits from their previous employer. As more workplaces adopt this new plan and more employees decide to contribute to their post retirement funds, we can expect to see Japan’s funds steadily increase. 

South Korea: MetLife Targets Korea’s Retirement Pension Plans (October 20, 2005)
In the Asia-Pacific region, Korea is MetLife’s number one market. They will introduce a retirement plan this coming December. To show their commitment to Korea, they set up the Children’s Welfare Foundation with a starting contribution of 3.55 billion won ($3.4 million). This MetLife Korea Foundation will support 17 institutions with disabled children programs.

China: Pension Reform Expected to Implement in Parts of Northeastern Provinces (October 20, 2005)
(Article in Chinese)
Prime Minister Mr. Jiabao Wen hosted the Oct 19 State Council Conference approved measures on implementing pension changes in parts of the Northeastern Provinces, where many State-owned factories predominate. 

China: China Frets Over Graying Population (October 11, 2005)
After years of focusing on ways to increase the country’s economic growth, the Communist Party leaders are now expected to start revising the social service system. Experts claim that China faces a $300 billion dollars shortfall in accommodating its elderly. Immediate revisions must be made with the aging population growing rapidly while the proportion of the working population is shrinking.

Australia: Retirees to Benefit from Pension Rule Changes (September 28, 2005)
The Australian government will put into affect a revised pension plan for new pensions starting this upcoming January. The change takes into consideration longer life expectancies and tries to accommodate this situation with more flexible pension payments. This policy will alleviate the stress that many elderly have, especially those elderly whose only source of income is their pension checks.

China: Review on Pension System Reform (September 23, 2005)
Despite significant improvement on pension change over the past two decades, China ’s pension system fails to provide an all-inclusive plan. First, pension funds system financed by government and state- owned corporations is in the development and testing phase.  Many pension assistance programs are still waiting to be setup. Second, current pension plan will be facing great financial challenges as the population ages. Third, the pension system in the countryside hasn’t really started yet.  

Korea: What Should I Rely on for Living After Retirement? (September 21, 2005) 
Korean workers in their 30’s and 40’s are financially worried for their retirement life. These workers have families to support and bills to pay, including house payments. The Korean government wants to improve pension system but it this policy will push up property taxes. Many Koreans bought their homes thinking that it would be a wise investment for their retired life. Now housing prices are dropping. In December Korea will put into effect a three-tier pension system: one that includes public pension, retiree pension, and private pension. The country plans to increase the pension benefits and sustain low interest rates.

New Zealand: Anger Grows Over Foreign Pension Law (September 14, 2005) 
In New Zealand, great animosity among pensioners is emerging because of the legislation’s reduction of their superannuation entitlement. The Work and Income government office reduces the super entitlement of the New Zealanders who have worked overseas because they receive a separate pension from them as well. Pensioners are upset because they believe it is unfair that the law makes no distinction between the taxpayer-funded schemes and contributory pension schemes. Chris Arnesen, who is a spokesman for the pensioners, says that the government has taken no action to correct this problem over the last past four years. 

India: Pension Bill’s Fate Rests on Left’s Consent (September 13, 2005) 
The government is waiting upon the Left’s approval of the provisions on the pension regulatory bill before bringing it to Parliament. The Left has stated numerous objections to the bill. The Party says that this pension effort imitates Chile; pension fund managers found the Chilean plan to be detrimental because they could not pay the employees the minimum payments. Importantly, the Left fears that that MNC pension funds may be invested in offshore funds rather than with Indian investments. As of now, the pension bill is on hold.

China: Nation to Join EU in Pension Project (September 7, 2005)
On September 5, 2005, China joined the European Union in the first ever co-operation in a social security “mobile pension” project. At issue is how to calculate pensions when a worker may change countries or states during his or her working life, each with slightly different pension arrangements. Although not much detail is yet available, it is definite that the EU and China will hold a series of meetings to discuss topics social protection, social cohesion, labor legislation, and labor relations in multiple jurisdictions. 



China: Three Obstacles Prevent Farmer Workers from Participating Pension System (August 29, 2005)
(Article in Chinese)
Many believe that every farm worker dreams of a reliable pension plan. However, reports show more and more farm workers choose to opt out of the pension system and the trend continues. Why do they choose to go without coverage?

Taiwan: Nearly 1 Million Workers Will Not Have Retirement Pension (August 23, 2005)
As a result of the regulation in the Labor Standards Act, there are an estimated 1 million Taiwanese citizens who qualify for neither the state run New Pension Scheme, nor Labor Insurance. According to the Labor Standards Act, accountants, athletes, coaches, doctors, lawyers, referees, the self-employed and those working in companies with less that four employees do not qualify for state pension benefits. For working people for which the Labor Standards Act does not apply, they must save for retirement individually and be diligent to maintain enough finances to last them throughout their retirement.

China: Pension Reform Urged to Better Care For Elderly (August 19, 2005)
The province of Guangdong has a rapidly ageing population, with more than 70 percent of the aged living in poor mountain communities. The Guangdong Provincial Committee of Aged People’s Affairs is calling on the government to quickly reform the pension system and provide more care for the elderly. Guangdong is an aging society whose financial development is far behind that of the Pearl River Delta Region, partially due to the province’s decreasing birth rates. The committee is seeking to pass reform for elder person’s best legal, financial, and health interests.

India: Early Pension Withdrawals Unlikely (August 18, 2005)
The standing committee on finance has recommended that employees be allowed to make premature withdrawals on their pension accounts under the new pension scheme (or NPS). Although NPS will probably not go into effect for about a year, it is doubtful that the government will adopt the recommendation. The government has stated that it thinks that early pension withdrawals would “defeat the purpose of accumulating a corpus large enough to generate a reasonable pension.” They believe that early withdrawals would, in effect, defeat the whole purpose of the new pension scheme.

India: Pension Payouts Reach a Dead End (August 18, 2005)
The social welfare department of the Delhi government has been paying pensions to over 10,000 people who are already deceased. Taxpayer’s money is, therefore, lying dormant in many bank accounts and post offices. Although the government has tried to get the unused money back from banks and post offices, the process has been very time consuming. They still have yet to get all the money back. The money in these accounts could be used for social welfare programs for senior citizens, if only they could get all the money back.

Taiwan: Politicians and Academics Call for More Privatized Pension Scheme (August 8, 2005)
Taiwan has launched a massive campaign to help its citizens think more seriously about saving for retirement. The National Council of Labor Affairs is offering Taiwanese workers the choice between the old pension scheme and a new one. The new scheme promises investors a fixed minimum return over two years and calculates that the rate of return on investments will reach 6 percent. This enticing offer has lured twice of many people to choose the new scheme over the old one. However, Chiu Shean-Bii, the Chairman of the Pension Fund Association, argues that the new pension scheme can only replace 30 to 40 percent of worker’s income in retirement.

Thailand: Pension Plans Misunderstood (August 8, 2005)
The director-general of the Fiscal Policy Office has said that if the people do not understand what the mandatory savings program is all about, they will think that it is just another tax. The legislation in consideration right now, calls for employee contributions of 3 percent. However, pension authorities claim that in order for future retirees to retain comparable living standards, they will need pension benefits that are at least 50 percent of their salary, much more than the current level of 13 percent, therefore the contribution rate should be 6 percent. The authorities fear, however, that if they implement high contribution rates, many companies will be eager to terminate their retirement benefit plans instead of providing them in conjunction with government benefits.

China: Ping An Annuity Insurance Company of China Approved Rights to Manage Corporate Annuity Fund (August 4, 2005)
(Article in Chinese)
Yesterday, Ministry of Labor and Social Security (MLSS) granted a total of 37 firms the rights to manage corporate annuity funds. Ping An Annuity Insurance Company of China , claimed to be the first institution specialized in annuity fund management in China , is quoted to operate very soon. Many believe corporate annuity fund will promote the development of capital market once the entry begins.

China: China Grants 37 Firms Right to Manage Corporate Annuity Fund (August 4, 2005)
China's Ministry of Labor and Social Security (MLSS) announced Tuesday that 37 firms have obtained right to manage corporate annuity funds, which is part of the country's insurance system for retirees. It is believed that the government has finally found "reliable" finance handling companies for the corporate annuity funds and entry into the capital market is likely to start soon.

Singapore: Few Know How Much to Save for Retirement (August 3, 2005)
According to Singapore 's National Financial Literacy Survey, the citizens of Singapore know how to save. Almost 90 percent of the population has money saved for a rainy day. On the other hand, very few Singaporeans know how much to save for retirement. The survey also shows that many Singaporeans do not know about general financial aids such as insurance and trusts. In order for retiring Singaporeans to lead happy lives in their golden years, Singapore has to take steps to teach them techniques for building a nest egg for retirement.

China: More Than 10 Institutional Investors Approved Eligible in Initial Pension Management Eligibility Evaluation (July 28, 2005)
According to China Business News, more than ten institutional investors, of which two specialized in pension management, were approved as eligible for the pension management business in the initial eligibility evaluation. Prior to approval, the pension management business in China was heavily monopolized by regional or industry oriented pension management centers. Although the result is not final, the deregulation is expected to bring positive changes to the pension market in China .

India: Retirement Blues: Indians Expect Children to Take Care (July 26, 2005)
Deeply engrained attitudes of family values, respect for one’s elders and unity have placed the elderly in the hands of their children for support and care in their later years. A recent study showed that roughly nine in ten Indian seniors (about 94 percent) expect their children to cover the majority of their retirement costs. The study also revealed that half of the Indian elderly persons believe that money does not equate to happiness in old age. Would seniors in the West be happier in their last years by embracing this view?

Northern Mariana Islands: Pension Obligation Bonds Eyed to Fix Government's 80 Million Dollar Debt (July 19, 2005)
The Northern Mariana Islands Retirement Fund is seeking permission to float pension obligation bonds. The CNMI government owes the Northern Mariana Islands Retirement Fund 80 million dollars in unpaid contributions. The government offers a very liberal 24 percent of employer contributions to the pension scheme while employees only pay between 6 and 9 percent. But because various crises have hit the Pacific area, the government has fallen behind on payments to the Fund.
   
India: India's Old-Age Crisis (July 18, 2005)
With a population of over 1 billion people, barely one-sixth of Indians are covered by pensions when they retire. Yet, government workers, who comprise just 5-6 percent of the working population, take 55 percent of India ’s GDP in the form of pension benefits. This means that a very small percentage of the Indian population is using more than half of the country’s GDP. Indian politicians need to formulate and implement a new pension scheme whereby everyone has some form of retirement coverage that doesn’t completely eat away at the country’s GDP. India has a pension problem that needs reform now, not later.

Bashkiria: The Implementation of the Law Regarding the Benefits in Bashkiria Is Happening (July 14, 2005) 
(Article in Russian) 
The Bashkiria Republic extends towards the western parts from the Southern Ural Mountains to the rivers of Belaya and Kama . The cost of benefits payments in Bashkiria during the last six months reached the amount of 485,728 thousand rubles. According to the official sources, the mechanism for implementation of the Federal law 122 (the benefits for the socially vulnerable people), is functioning without major disruptions or problems. The pensioners, veterans, disabled persons and other part of the population eligible for receiving help from the Bashkiria government are receiving free public transportation passes, additional medical care, medical resorts tickets and other type of benefits. For more information on the statistics of the benefits expenditures for the pensioners and veterans in Bashkiria , read further. 

China: Retirement Life! Are You Ready? (July 9, 2005)
China is the country that currently hosts the most older persons. Young couples provide for four parents and one child, a situation that is very difficult. Generally speaking, every adult should secure their retirement livelihood using three methods—social (government-based) pensions (30%), employer pensions (30%), and investments or savings that they have purchased for themselves (40%). To prepare better for retirement has become an important new topic for the new working class.

Asia Pacific: Economic and Social Survey of Asia and the Pacific 2005
This comprehensive document cites some of the problems that come along with demographic shifts in Asia and the Pacific. The aging rate of the population in this region is quickly outpacing the number of workers to support them. With less people in the work force to contribute to pensions plans, large budget deficits will develop without some necessary adjustments. Consequently, the pay-as-you-go public pension system will need to be augmented as the increase in pension payments to the aging population puts greater demand on government reserves.  This Economic and Social Survey suggests several policy options available to those governments in Asia and the Pacific.

Taiwan: President Hails New Retirement Pension Scheme (July 1, 2005)
The Taiwanese government has implemented a new pension scheme; it is the first of its kind in the small country. Despite protests from businesses concerning the extra personnel costs associated with the new pension scheme, it is meant to be a progressive step toward helping workers and their families live more contentedly during their retirement years.

India: Taking Pensions to the Hinterland: No Longer Should It Be Seen As the Salariat's Preserve (June 27, 2005)
A tiny elite of 11 per cent of the total population of India is covered by a formal pension scheme. Many people think that the National Pension System (NPS) could not cover the vast number of people who are outside today's pension schemes. The recently released Indian Retirement Earnings and Savings (IRES) database, produced information on 42,000 randomly sampled households in India . The trends that emerge from this database shatter many myths. It is a myth to believe that the uncovered sector works till death and, therefore, does not require "old-age income security." On average, people in the uncovered sector expect to withdraw from the labor market when they turn 62; they tend to live for an average of 15 years after retirement. This highlights the importance of building up savings in the working years, so as to finance their old age.

Australia: Australia Faces Ageing Work Population Crisis (June 23, 2005)
According to an Organization for Economic Development and Co-operation report, Australia must expand the number of older people in the Australian work force. Failure to do so, the study claims, will result in labor shortages and a stagnant economy. The OEDC suggests that less tax incentives for retiring early and more coordination on aging strategies within the government can help alleviate the shortages. However, many people dream of retiring early. Should Australians who can afford to give up that dream to help their government? Or are there other approaches, such as more immigration? Better organized work situations? More equal distribution of wages? Who will these policies really benefit in the society? 

China: Reform of Pension System: Group Community” Employees Can Also Get Their Pensions! (June 22, 2005)
Beginning in March, the city of HaErBin has broadened its coverage of participants in the pension system. Employees in companies of small cities or towns, which are called “Group Community” employees, can also be included in the pension system! According to the new policy, as long as you are a worker in these companies, you have records on file, and you did not retire before June 30, 2004, then you have the right to receive pension benefits.

Japan: Baby Boomers Poised to Turn Pensioners en Masse (June 21, 2005)
Like many countries, Japan is wondering about the impact of mass retirements that will begin to happen soon. Some view the situation as an opportunity, especially for business thanks to the emergence of a consumer group with a lot of free time and retirement bonuses to spend. However, the experience of seniors will disappear and firms will only have younger workers. As the workers leave the work force, they will begin to draw down their savings and the household savings rates will decline. What is sure is that the coming mass retirement is a big issue for Japanese and will change the face of their society.

Japan: Fast-Aging Japan Keeps Its Elders On the Job Longer (June 15, 2005) 
Many Japanese workers are enthusiastic about working longer, even though the official retirement age remains a relatively young sixty. Keeping the elderly at work could help to maintain the size of Japan 's work force. Japan 's government hopes that people working longer will make its pension benefits available later and later. With Japan 's birth rate declining fast for decades, the pool of young workers is shrinking. Unlike the U.S. , Japan is reluctant to rely on large-scale immigration to support the work force. Instead, it is trying another strategy: attract the elderly to work longer before receiving retirement benefits, effectively dealing with old age by making it start later.

India, New Delhi: Pensions May Increase Fiscal Pressure (June 8, 2005)
In India, Asia's fourth-largest economy, retirement benefits are available to about eleven percent of the working population, about 3.4 million federal government employees. Starting January 1, 2005, India made it mandatory for new federal employees to contribute ten percent of their salary to a new pensions scheme, to be matched by the government. The remaining eighty nine percent of the workforce is engaged cash-in-hand with no formal pension scheme. The government wants to cut the pension burden since the pension liability has gone up 21 percent per year on average since the 1990s. Today, together with interest payments, pension payments make up half of India 's federal spending. While the government believes the new policy will ease the pension portion of its finances, it could take decades before the benefits of the contributory scheme roll out.

Malaysia: Social Pension for the Elderly (June 1, 2005) 
Retirees are asking for a social pension in Malaysia. Some developing countries already have a social pension so the much richer Malaysia has the capacity to institute an old age security income for women, family and every older person who needs it. “No one at old age should be deprived of food and shelter as enshrined in the United Nations Declaration of Human Rights,” says Lum Kin Tuck, president of the National Council of Senior Citizens Organisations of Malaysia (Nacscom).

Japan: What Japanese “Enterprise Pension” Can Inspire Us? (June 1, 2005)

(Article in Chinese)

An “Enterprise Pension” is a pension from a firm or employer intended for its own workers at retirement. In Japan , these pensions have been developed with government supervision and the provisions vary from company to company depending on their material conditions. At retirement, employees receive the “Enterprise Pension” in monthly or annual payments. Compared to the government’s universal social pension system, employers view the enterprise pension as part of their employees’ welfare and as an incentive for workers to stay with a firm. Enterprise Pensions differ from firm to firm and among countries. This article focuses on Japan ’s programs as a possible model for other countries.

China: Trial Run in Canton Province to Strengthen Pension System in Individual Part is Facing 10.4 Millions of Historical Shortage (May 26, 2005)
(Article in Chinese)
In China, the exchequer in pension system is mixed. There is no clear line for the money used for the whole system and to the individuals. This means the new participating employees have to defray the pensions give to those now retirees; meanwhile, they have to accumulate money for the pensions they will get when they are retired. Canton province is going to run a trial to strengthen this system in individual part. The main focus will be, “separate the exchequer for the whole and for the individual, making the individual accounts be substantial.” However, the biggest problem is, there is still a 10.4 billions of historical money shortage need to be filled.

South Korea: Government Pushes New Social Security System for Elderly (May 24, 2005)
The South Korean Government and ruling Uri Party officials have decided to set up long-term care insurance for senior citizens as early as 2007 in order to address the welfare needs brought on by the growing elderly population. 

China: 800 Millions of Old Debt for Late Pension Distribution Has Been Paid-off in HeBei (May 24, 2005)
(Article in Chinese)
On April 25, 2005, less than one week prior to the “May First” golden week, 92 companies in ChunDe, the capital city of HeBei, placed late pension monies into the bank accounts of some 7,941 retirees. The delinquent money had been paid off! This is an important date to remember. The problematic history of late pension distribution in HeBei province was solved on this day. The 840 million from the government arrived on time and more than a hundred thousand retirees got back their “living money.” This project took 16 months to plan and complete and ended these elders’ sadness over having no pension for more than ten years. 

Korea: Low-Income Seniors to Receive W100,000 in Pension Benefits (May 8, 2005) 
The Ministry of Health and Welfare said Sunday it plans to increase the nation’s pension for low-income seniors in order to offer more financial support for the increased number of elderly beneficiaries. Since many seniors voted for the political party now in power, the party has had to come up with a plan to increase pensions which were unconscionably low.

China: It’s Always Better for Individuals to Have a Retirement Plan Earlier (April 30, 2005)
Financial specialists point out that the aged population will be very large in China and it is not possible for individuals to depend on the social pension system to give them enough money. Therefore, it’s always better for individuals to have a retirement plan earlier, even in their 20s or 30s. The financial plan for people close to retirement age should focus on stable, safer investment tools, which can keep their original money from losing. Younger people could choose more profitable investment tools, which can secure them against inflation. 

China: Three Challenges and Six Transformations in China Pension System (April 21, 2005)
(Article in Chinese)
Liu Yong-Fu, the minister of MLSS (Ministry of Labour and Social Security), announced in Beijing that the social pension system is very important in the field of social security. The people and money involved are huge. To build up the system and to raise the needed capital will take a long time. Now, China can only distribute pensions normally. There are still lots of problems that need to be solved. He notes three challenges and six transformations in the near future that China must address.

China: Social Pension System in China is Facing Harsh Challenges (April 21, 2005)
(Article in Chinese)
Huaicheng Xiang, the president of the China Social Protection Budget Committee, announced in Hong Kong that the social pension system in China faces two difficult challenges. Firstly, China ’s aging population is increasing very swiftly. In the year 2000, the population of the 60-year-old’s and above was about 10% of the national population, equivalent to the world average. By 2030, the world average will be 16%, while the percentage in China will hit 24.5%. China will age faster than the world average. Secondly, the social pension system is not healthy. The pension insurance covers less than 15% of the work force. And there is a historical deficiency between the new system and the old one in place before 1990. Under these circumstances, the Government must act more efficiently. 

China: Pension System for Farmers is on Operation (April 13, 2005)
In ShanXi province, there are 3,750,000 country town employees will be recruited in the pension system, including 3 million farmers. The number of China’s country town employees is 138 millions, however, less than 5% of them have pensions. This large scale, new provincial new pension system could solve the difficulties when the employees change their working places (in cities or in country towns). It could ensure a stable pension system within ShanXi province. It is also an innovative approach in China.

Australia: An Increase of the Age of Retirement? (April 12, 2005)
(Article in French)
The number of retired Australians is going to double in 40 years according to a new study. The demographic facts has pushed the Australian government to ask employees to work longer to help the country  face the aging of its population.

China: More Capital to Tackle Pension Deficit (March 28, 2005)
The Chinese government is trying to resolve the problem of the national pension deficit. Indeed, the “4-2-1 phenomenon” is putting the country's only-children under huge financial pressure: they now have four grandparents and two parents to support. But increasing the retirement age would make the available jobs situation worse. Now the government is considering expanding the social security network and using “more capital tied up in State-owned assets” to support the plan.

China: Problems Facing the Pension Systems in the Rural Areas (March 9, 2005)
(Article in Chinese)
The Chinese government intended to use the social pension system in the rural areas to combine the pension with family caretaking. The pension system in the rural areas is called the “caretaking money for elders.” In recent years researchers found problems as they looked at the rural area pension system. If those problems are not handled now, it is likely that farmers will lose all of their money, a situation that will endanger the stability of the society.

China: The Financial Experts Commented on the Three Hotspots in Pension System (March 9, 2005)
(Article in Chinese)
During the Two Meetings this year, SiLin Zheng, the minister for the Department of Labor Protection, told the journalists that the pension systems should be reformed, including GuDong Province. 

NanJing: Many Companies Avoided to Pay for the Pension for Their Employees (March 7, 2005)
(Article in Chinese)
During the year of 2004, the Department of Labor and Social Protection in NanJing investigated the pensions in the companies and got RMB 106 million. More than 600 companies have never reported the amount of pensions for their employees. There are more than 10,000 companies that did not report the real amount or avoided reporting.

China: “Where Should I Go to Get my Pension?” (March 7, 2005)
(Article in Chinese)
An elders who is more than 60 years old told the journalist, “I retired in Februry of 2001. But I received the pension in June of 2003. Where should I go to get my pension?”  

India: Budget Likely to Retain Sops on Housing, Pension (February 14, 2005) 
The budget for 2005-06 is unlikely to toe the Kelkar Panel's line of doing away with tax incentives on long term savings and housing, but Finance Minister P Chidambaram will have a 'hard look' at all other sops, i.e., a concession, in a bid to widen tax base. 

Hong Kong: It Will Be Approved That the First RMB 100 Million of the Social Protection Budget Will Be Invested in Hong Kong (January 29, 2005)
(Article in Chinese)
Recently in Shanghai Huaicheng Xiang, the president of China Social Protection Budget Committee, said that there is only paper work left to invest the social protection budget to the abroad market. He is positive about the plan and the budget will be around $50 million to $100 million. Based on the analysis of the market experts, the social protection budget to be invested in Hong Kong will be approved after Chinese New Year's Day.

China: For the First Time the Social Protection Budget Exceeds the Expected Amount; There Is No Problem Over Distributing Pensions on Time (January 27, 2005)
(Article in Chinese)
Yongfu Liu, the vice director of Chinese Labor and Social Protection Dept., said that the social protection budget for pension, unemployment, medicine, and labor in the last year exceeds the expected amount. This development will build a more stable foundation for China 's social protection system.

China: A Company Pension Will Become Part of Workers' Financial Support for Elderly Chinese (January 15, 2005)
(Article in Chinese)
On January 14, in Shenyang, Liaoning Province, Bin Jiang, the vice president of the Liaoning Labor and Social Protection Dept., told the media that Liaoning Province is expediting  construction of a second leg of financial support for  elders:  a company pension system. Liaoning Province is one of the first provinces in China to try to change its the social protection system. So far there are 1,124 companies in Liaoning Province that have a company pension systems. The accumulated company pension is RMB140 million, which supports 60,000 persons. The personal average support is RMB2,333.  

India: Government to Set Up Regulator For Pension Sector (January 6, 2005)
Favouring financial sector reforms to foster high 8 per cent growth, the government said on Thursday it would shortly set up a regulator for the pension sector and announced the roadmap for banking reforms, which includes allowing 74 per cent FDI (Foreign Direct investment) in private banks. Doesn't this open India to runs on its currency and other risks of high return speculation? Why should national pensions depend on high risks?