Labor Minister Kim Younger-hoon referred to as for legislative efforts Thursday to lift the statutory age of retirement by the top of this yr, whereas emphasizing that each corporations and labor teams ought to attain a compromise amid the nation’s quickly growing older inhabitants.
Talking to reporters on the authorities complicated within the central metropolis of Sejong, Kim emphasised that extending the retirement age is “a path that should be taken,” whereas acknowledging challenges in narrowing variations between the 2 sides.
“Elevating the authorized retirement age may result in clashes on the subject of jobs at massive corporations and public establishments, that are strongly favored by the youth,” he stated. “If the retirement age is prolonged in these areas, corporations may have no alternative however to chop again on hiring the youth, so we have to discover a center floor the place each generations can coexist.”
Labor teams have been pushing for the laws to be handed inside this yr, citing the quickly growing older inhabitants and monetary burden on retirees throughout the five-year hole earlier than nationwide pension advantages start at 65.
Enterprise teams, nevertheless, warn that elevating the retirement age with out ample discussions or assist measures may threat shrinking funding and job alternatives for the youth, and have proposed options, together with reemployment after retirement.
When requested if he nonetheless believes the laws needs to be handed by the year-end, Kim stated his stance stays unchanged.
“I consider the federal government’s position is to bridge the variations between the labor and administration as a lot as attainable to assist attain an settlement,” he added, noting that the federal government at the moment has no plans to provide you with its personal proposal.
In 2016, Korea prolonged the authorized retirement age of its staff to 60. Beforehand, the retirement age of 60 was solely a suggestion.
