Thailand must urgently reform its pension system as population ages, new study finds

[Chomper Higgot]

15 hours ago, PETERTHEEATER said:

And a majority don't pay any form of national insurance contributions on which to base a pension.

Neither did people in the UK before pensions were introduced.

 

 

[jacko45k]

5 minutes ago, Chomper Higgot said:

Neither did people in the UK before pensions were introduced.

 

 

Well going back to 1908, Thailand is well behind then.

[Chomper Higgot]

1 hour ago, jacko45k said:

Well going back to 1908, Thailand is well behind then.

Stating the obvious 

[jacko45k]

Just now, Chomper Higgot said:

Stating the obvious 

You knew it was 1908.....clever boy.

[Chomper Higgot]

1 minute ago, jacko45k said:

You knew it was 1908.....clever boy.

Yes a time of extreme wealth amongst a tiny fraction and extreme poverty amongst the masses.

 

Many parallels to Thailand 2021.

[Capella]

On 2/11/2022 at 2:57 PM, edwinchester said:

Thai mother in law's state pension is 600 bht a month which is less than pitiful.

When I were a lad, all we had to eat for a whole year was a bag of gravel. Worked 200 hours a week down the mill, so we did.

[mran66]

"... which according to the ILO, must now urgently be addressed." 

 

From perspective of an unbiased international organisation operated by international standards, this is an obvious statement.

 

Comparable statements could be said about almost any system applicable to broader population of the country if look objectively based on modern standards. Say education system, law enforcement, corruption, just to name couple of examples; it's a long list. Just change the name of applicable UN entity in the statement. 

 

 

However, all mute points unless the primary issue of the society is addressed first. Unfortunately, no changes visible in foreseeable future. 

[rickudon]

The pension system is in need of a complete overhaul. As said, the state pension system is 600 baht a month at 60 rising to 800 baht a month at 80. My in-laws are on it. They still work to survive, although all household bills are paid by me. They could just collapse in front of the TV all day and depend on me for food as well, but fortunately they also grow some and do other odd jobs. But if i died and wife got nothing, she would be trying to support 4 people (M-in-L, F-in-L and our daughter) on the income from her village shop and their pensions. It would be bloody hard - Electricity consumption would have to plummet, and food bill halved.

Disability pension is also 600 baht a month - if they decide you qualify. I have a 100% disabled nephew who requires 24 hour care (cannot do anything for himself) - that pension pays for his needs for about 4 days, his parents have to work AND look after him so they work in shifts. 

 

My wife will get some pension - but maybe only the lump sum which wouldn't even last her a year. Have to remember that half of all people in Thailand work in the informal economy, which comes with no pension. My wife does pay into the social fund - but is limited to 100 baht a month! As you can imagine, that isn't going to add up to much when she stops work.

 

Yes, most people pay no income tax - but VAT is on everything you buy, except for maybe fresh food at the local market. My wife has to have licences for her shop - one just for running a shop, one for selling beer, one for selling spirits and one for selling tobacco - so she does provide revenue to the government, And 75% of what she sells is bought from wholesalers so she is paying VAT on what she buys.

 

State pension should be a minimum of 3,000 baht a month. Anything less than that and you would end up eventually  depending on others to survive.

[Puwa]

This is one reason why it was important for Thailand to try to escape the Middle Income Country trap over the last 25 years.

 

https://knowledge.wharton.upenn.edu/article/can-thailand-escape-middle-income-trap/