Truce called in battle over Thailand’s retirement fund but ‘grey army’ growing fast

[webfact]

Thailand is now on the way to becoming a super-aged society. Experts warn that without significant changes, the Retirement Fund of the SSO risks collapse. (Photo by Josh Appel)

 

Millions of company workers can heave a sigh of relief after Labour Minister Suchart Chomklin applied the brakes on a plan to extend the retirement age from 55 to 60. But experts warn that without significant changes, the Retirement Fund of the Social Security Office (SSO) risks collapse.

 

The International Labour Organization (ILO) has long warned that the fund could run out of cash by 2054 if current rules are left untouched.

 

The problem is that the average life span of Thais has gradually increased since 1998, when the fund began offering retirement benefits to its members. The result is a growing elderly population that is taking a visible toll on the fund, despite the Bt1.98 trillion accumulated in its coffers.

 

Thailand is now on the way to becoming a super-aged society. In 2020 about 13 percent of Thais were already aged over 65 and forecasts indicate that figure will double to 26 percent by 2040.

 

Full story: https://www.thaipbsworld.com/truce-called-in-battle-over-thailands-retirement-fund-but-grey-army-growing-fast/

 

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[Old Croc]

Thai retirement age is 55 when other countries are pushing it up from 65 towards 70!

[BangkokReady]

7 minutes ago, webfact said:

Millions of company workers can heave a sigh of relief after Labour Minister Suchart Chomklin applied the brakes on a plan to extend the retirement age from 55 to 60.

55 seems an incredibly young age to retire.  Are many 55 year olds decrepit and needing to rest?  65 seems far more appropriate.  At 55 that could be almost half of a life spent retired for some.

 

I guess the whole populist, subsidising nature of the Thai economy has made people extremely complacent.  I'm not sure how having people retire at 55 is in any way sustainable or even desirable.

[realfunster]

1 hour ago, BangkokReady said:

55 seems an incredibly young age to retire.  Are many 55 year olds decrepit and needing to rest?  65 seems far more appropriate.  At 55 that could be almost half of a life spent retired for some.

 

I guess the whole populist, subsidising nature of the Thai economy has made people extremely complacent.  I'm not sure how having people retire at 55 is in any way sustainable or even desirable.

Be fair, most Thais work damn hard during their careers, well deserving of a break at 55…

 

Anyway, not sure to what exactly the article is referring to (appears to be only the state social security pension fund), but the Statutory retirement age is actually 60 in Thailand and private companies have the flexibility to shorten or lengthen this in their working policies manual. 

[hotchilli]

5 hours ago, Old Croc said:

Thai retirement age is 55 when other countries are pushing it up from 65 towards 70!

The only people you see working in Thailand over the age of 55 are the wives 

[Harveyboy]

On 1/12/2022 at 10:19 AM, Old Croc said:

Thai retirement age is 55 when other countries are pushing it up from 65 towards 70!

yep  one of the poor buggers..work em till they drop UK.