I hate the two words "old age" put in front of "pension", I know people who have retired in their 40s,my husband's cousin,and one of my friends retired at 55.
The 'Old Age Pension' is/was generally used for the State Pension and, when introduced, the recipients were classed as old and most didn't live much beyond 70.
Most over 60s are capable of continuing to work in some capacity, if not in their original job. We hear about bed blocking in hospitals but very little about job blocking. There is a finite number of jobs available at any time. If a person continues to work well into old age, what chance do the young have of joining the job market? If there isn't enough work for everyone, somebody will need to be on benefits/ pension. Why not the older person?
'Job blocking' was the first "unintended consequence" I thought of when firstly the retirement age for women and then the general increase in retirement age was announced. It should be obvious that if you suddenly have a situation where people have to work longer, vacancies at the entry level are effectively being blocked. Unless government has a magic wand to instantly create the x thousand jobs which are affected there was bound to be a major problem. That's nothing to do with people continuing to work beyond the 'normal' retirement age. Many people who have reached 66 simply can't afford to retire if all the income they have is State Pension plus the meagre topups available.
We all know the issues with an ageing population with regard healthcare - but it's a double whammy isn't it? - actually using more NHS resource, and taking a pension for longer. I will have to go back to work, after my son completes his Uni stuff, just as I can't now afford to live of the State Pension and my personal pension. We would have been fine had my wife still been alive - as we would have received two tax free pensions and a to top up (if needed) a taxable personal pension or two.
Obviously, as the population has aged, any annuity pension reflects the changing lifespans - and the SE has one of best records for life expectancy. So now my personal pension doesn't go quite as far as expected when I started paying in in the 70s (from 70+ to 80+)! . This chart brings the differnces home as life expectancy has changed over the decades.
I think we can all see why the Gov is forcing people into their own personal pensions - you can see that the State Pension just won't work for everyone in future and the majority of that burden has to be taken off the State (or why they couldn't have just had people paying into a central pension fund that was still Gov run loses me a bit - ie leave the burden with the State but contribute more. I bet that's just a popularity thing - no Gov wants to be seen to be taking more money off the workforce - so by farming it out pulled a smoke and mirrors trick). I doubt the people who thought up final salary schemes (which Gov organizations were heavily into) ever thought medicine and the NHS would have such a dramatic effect in a few decades and the country would be a victim of healthcare success. Be interesting to know what the effect is on the budget as the final salaried Gov funded pensions slowly filter their way out of the system. Also imagine how much pension anyone will need if the life expectancy continues to rise...Want £30k p.a if you're living to 90? 100? What will a Shaun's working life be? 25-70? 45 years to save (and accrue) what? - £1m+? I think you'll see more and more older people working longer.
But,but, but, by the time we get autonomous cars and they actually prove AI is real 'intelligence' that is capable of learning anything, rather than just a series of 'ifs', then what will Shaun be working at anyway? How will wealth be distributed, when fewer and fewer people work? (Do you recall seeing those 60s/70s shots of car plants with those people working on assembly lines?- and have you seen the same now?). Personally, I'd wanted more from the Gov and AI's potential effect than what we'd been currently getting - this is great to get the UK at the forefront of tech, but what about the far reaching ramifications once it's implemented and widespread? And, scarily, like autonomous taxis, once there every company owner will only be able to compete if they have the same as the human cost is eliminated.
So my pot full of lovely white pansies has finally gone over, helped by the constant shredding and petal removal of a bunch of comical sparrows. I wondered if the entertainment was over, but no.
I have been using cut up strips of yoghurt pots as labels and the sparrows have discovered they can be pulled out and tossed about Maybe it won't be so comical when I try to identify the contents of the trays but at the moment it is very funny.
"The trouble with having an open mind, of course, is that people will insist on coming along and trying to put things in it." Sir Terry Pratchett
@B3 young people are better able to take advantage of training and apprenticeships to develop new skills for modern jobs and technology - not something a government or employer is going to invest in for older employees nearer retirement age. The current UK government is al about moving to a high skill, high tech economy - ideal for young people to get on the jobs ladder.
There are also huge shortages of some skills - HGV drivers, nurses, midwives, computer programmers, hospitality industry..... and that means better pay rates and conditions will follow to attract good staff. Time to re-train then.
Vendée - 20kms from Atlantic coast.
"The price good men (and women) pay for indifference to public affairs is to be ruled by evil men (and women)."
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The 'Old Age Pension' is/was generally used for the State Pension and, when introduced, the recipients were classed as old and most didn't live much beyond 70.
If there isn't enough work for everyone, somebody will need to be on benefits/ pension. Why not the older person?
I have been using cut up strips of yoghurt pots as labels and the sparrows have discovered they can be pulled out and tossed about
There are also huge shortages of some skills - HGV drivers, nurses, midwives, computer programmers, hospitality industry..... and that means better pay rates and conditions will follow to attract good staff. Time to re-train then.