China Approves Retirement Age Reform to Combat Workforce Shrinkage

China's top legislative body has approved raising the country's retirement age to address the economic challenges of an aging population and shrinking workforce. The changes will take effect in 2025, increasing the retirement age for men to 63 and for women to 55-58 based on job type.

China's top legislative body has greenlit a proposal to hike the nation's retirement age, according to Xinhua news agency. This pivotal move targets economic pressures as the workforce dwindles and the elderly population grows.

With life expectancy rising from 44 years in 1960 to 78 years in 2021 and forecasts exceeding 80 years by 2050, the urgency for reform is apparent. The retirement age for men will climb to 63 from 60, while for women in white-collar jobs, it will jump to 58 from 55. Women in blue-collar roles will see an increase to 55 from 50.

Implementing this change on January 1, 2025, aims to alleviate pension budget strains. The decision, however, faces public dissent over job market impacts, as highlighted on social media. Experts, like Xiujian Peng from Victoria University, advocate the reform to sustain productivity and counteract population aging's adverse effects.

(With inputs from agencies.)