INCREASE OF RETIREMENT AGE IN THE EUROPEAN UNION AND SOCIAL ECONOMIC IMPLICATIONS Cover Image

L’AUGMENTATION D’ÂGE DE LA RETRAITE DANS L’UNION EUROPÉENNE, IMPLICATIONS SOCIALES ET ECONOMIQUES
INCREASE OF RETIREMENT AGE IN THE EUROPEAN UNION AND SOCIAL ECONOMIC IMPLICATIONS

Author(s): Dan Ţop
Subject(s): Law, Constitution, Jurisprudence
Published by: Editura Bibliotheca
Keywords: the retirement age; labor market; solidarity between the generations; older workers; the public pension system

Summary/Abstract: Rising the retirement age is an act a bit cynical. Currently, the average retirement age, are citizens of the EU to more than 60 years after the calculations. Is well below the OECD average, where average turnover is 63.5 years for males and 62.3 years for women. The debate on raising the retirement age goes to Europe. Some member states have already taken a decision to this effect. For example, in France, Nicolas Sarkozy has proposed that the retirement age to rise to 67 years for women and men because the budget deficit of retirement to 100 billion euro in 2050. The bill would increase the retirement age from 60 to 62 until 2018, to add revenue to the state budget. Women working in public institutions in Italy hoping to retire at age 65 as men by 2012. Also at age 65 will retire and women in Austria, like men, the retirement age will gradually increase in 2030, also as in Romania. Germany, Greece, Finland, Luxembourg, Netherlands, Sweden and Spain, the retirement age are 65. In Norway, will retire at age 67. In Romania, the situation is disastrous retreat, there is a budget deficit of around 3.7 billion euro and the Ministry of Labor, Family and Social Welfare think equalize retirement age under a new law as the main solution to correct imbalances in the public pension system and ensure the financial sustainability of its medium and long term. At the same time equalizing the retirement age for men and women is necessary to ensure equal opportunities between women and men, is also regulated in the European directives. In this context, when life expectancy in Romania is lower than the EU, 68 years for men and 75 for women, people will not have time to enjoy retirement. Data provided by the department over the past nine years, have retired more than 1.3 million people. Social contributions of those who are currently pursuing their professional status feed the social insurance budget is used to provide pensions to those already retired and cannot provide for contributors their future pensions. The design of the public pension system is founded on the principle of solidarity between generations. Solidarity between the generations is the sharing of benefits and burdens among generations. This European social model is based on a variety of designs and ideas to create national solidarity between generations, but lacks a concise definition. In the nearest future, the labor market and the economy will undergo significant structural changes. There will be more older workers, retirees and many more people aged 80 and over and while fewer children, young adults and older workers. There is a need for a model based on realistic solutions. One is to increase the employment rate for workers over 50 years with over 55%, and elimination of early retirement, improve education and training for all generations and incentives for workers over 60 years to encourage them to keep the labor market.

  • Issue Year: 2010
  • Issue No: 3 (08)
  • Page Range: 22-29
  • Page Count: 6