China 's Long Walk For Retirement Reforms

Every five years starting in 1953, the Chinese government issued an outline of the countries economic outline for the next five years. The First Five-Year Plan followed the Soviet model, which focused on stimulating economic growth by developing heavy industry such as mining and iron/steel manufacturing. The plan was effective, but because of China's late start it caused them to fall back behind other industrial nations. Mao mobilized the Chinese people to speed up the process of industrialization in order to catch up with the other nations. Mao needed to change direction but he faced disapproval with the Chinese Communist Party because of his massive failing for the Great Leap Forward. Mao became concerned that China was moving away from socialist ideals to capitalism.

For example, the first plan, which ran from 1953 to 1957 concentrated on the construction of 694 industrial projects. This would help lay the primary foundations for China’s socialist industrialisation. It also focused on developing agricultural producer’s cooperatives to help in the transformation occurring in the agriculture and handicraft industries.

The first social security program did not form until 1935. After 1935 the civil war had ended but had left hundreds and thousands of widows and orphans as well as disabled veterans. Right after the war the rate of disabled veterans increased. Many people that were once bread winners had lost it all, which brought upon a generous pension plan. This pension plan had close similarities to the development of social security (Armstrong, 1932).

The worker at the age of 60 or 70 and some politicians who can worker until their eighties, the age up to 60 years are the age for the worker to pension from their work because the old ones should have problem in health and the decrease of performance. The worker of the age of 80 mostly work as politicion that enjoying power well, because they are not need to work harder, there are a lot of labor and guardian that can help their work, some politicians used their glory to handle their job without work. The old ones should not be encouraged to remain in paid employment.

China economy started at 1978, the first economic growth reforms in 1979, the average annual Gross Domestic Product or for short GDP growth rate in China was about 5.3% from 1960-1978. China 's economy was mainly widespread of poverty, very low-income inequalities.The average national life expectancy has more than triple, rising thirty-two years in 1949 to sixty-nine years in 1985.

As you may know there are two types of pension plans that are most commonly used: a defined contribution plan and a defined benefit plan. “A defined contribution plan sets forth a certain amount that the employer is to contribute to the plan each period (Schroeder, Clark, & Cathey, "Pensions and Other Postretirement Benefits," 2011). “A defined benefit plan specifies the amount of pension benefits to be paid out to plan recipients in the future. Companies that use this plan must make sufficient contributions to the funding agency in order to meet benefit requirements

These concerns were reinforced by the fact that many elderly Canadians were applying for public relief.” However, it was not until several provinces began complaining about the amounting cost of relief that lead to the federal old age pension scheme. “Guest (as sited in Chappell, 2006) the federal government made a commitment to assist the elderly and the old age pensions act was established in 1927.” All Canadians were entitled once they reach the age of seventy or older in contrast to today, one can retire at the age of 60-65. The Canadian government eventually shared the cost of relief with the provincial government. The old age pension act has been criticized because of the inadequate in benefit pay outs. According to Guest (as sited in Chappell, 2006) in 1951, the old age pension was replaced by two pension plans, Old Age Security and Old Age Assistance.” The Old Age Security provides universal benefits and was funded by the federal government while the Old Age Assistance was funded by the federal and provincial government and managed by the province. As Guest (1997) pointed out, The Canadian Pension plan and Quebec Pension Plan was introduced in 1965 which individuals could collect once they retired, however they had to have made contribution between the ages of eighteen to seventy years of their working life.

The program was intended to provide pensions for most retired commercial and industrial workers aged 65 years or more.

The records provided from the Army reviewed an estimation of the actual impact on the rates of retirement in the past. The level pensions replaced approximately 30 percent of the unskilled laborer for today’s income or previous wage. It is very interesting to realize the difference in the adjustment for income on just a regular pension or one of

A review on pensions may postpone the retirement until citizens are in their 70’s in the UK. The review is most likely to affect those under the age of 55. The review, would needto follow current legislation, and “ ‘make sure that the state pension is sustainable and affordable for future generations.’ ”. The question of if the state pension system will go hand and hand with a rising life expectancy rate in the long run. The review will also take in consideration that should the retirement age still increase of life expectancy slows. The pension age currently in the UK is 67 as of 2008 for both male and female citizens. Pensions minister Baroness Roz Altmann states that “ ‘ It’s not just about raising it [state pension age],

In the late 1980s, after a prolonged period of inflation and economic stagnation, the government began to see the pension system as costly and started to levy a special tax called “recovery tax” on OAS pensions to reduce and ultimately eliminate the OAS pension for people whose annual income exceeded a certain level.

Despite extensive criticism, proponents of the measure feel that it has improved life in China. The policy, implemented in 1979, “was created by the Chinese government to alleviate social, economic and environmental problems in China” (Cabrera). Supporters of the policy claim that is has been successful. One measurement of a country’s success is its financial growth and China has seen an improvement in that respect. “With that rapid GDP growth, has come better nutrition, rising levels of education, longer life expectancies, and higher living standards for the vast majority of Chinese people.” (Azubel 2). Unfortunately, that financial growth has had little impact on the isolated farms and villages.

In 2017, the world population is at 7.5 billion people. China is the most populated country in whole world. It has “1.379 billion” (Google) people making it the largest populated country. China is also the most largest aging population making it have a high life expectancy and the high accelerating aging rate in the world (Zheng, 2012). China has advanced with technology and also with age. Only “three decades ago, only 5 percent of the populations was over 65; today, 123 million people, or 9 percent of the population, are over this age which a report released by the government states that China will be the world's’ most aged society in 2030” (Huang, 2013). Since, China is the most largest aging population this means that less people are dying and more are living. Since, more people are living this means that need of long-term care, health insurance, adjustment of policies and how to make everyone comfortable living. China is the only country that has an older population exceeding 100 million and annually increases at a rate of 3.2. A dependent territory of China is Hong kong that has “7.347 million people” (Google). Hong kong also has a fast growing aged population. Hong kong is also trying to adjust their long-term care system, pensions system and policies to accommodate everyone living situation.

Modern governments promise old age security, which ensures that their citizens can fend for themselves during old age. The approaches, however, may vary from society to society. In some like The United Kingdom and Canada, government pensions are distributed to the elderly. In some others such as Singapore, the people are compelled to provide in advance for their old age dependency. Some societies have laws in place to enforce children to take care of elderly parents. For example, in Singapore, elderly parents may file in to the court if their children do not provide for them. However, there are various financial concerns about these methods. In the case of government pensions, the heavy spending of public fund on the old aged may take a toll on other areas of the nation’s development. Thus a method that works in a society may not work in another and sometimes, multiple approaches have to be taken.

From post-1976 onwards, Deng Xiaoping and his conservative pragmatist government would bring great reform to China, which would allow her to tide over the troubles caused by the crisis in communism. Indeed, it would seem that his economic reforms were the main reason for China's survival, as opposed to political reform. Under Deng Xiaoping, action was taken to move China from a Soviet-style command economy to a more capitalist market economy. On the other hand, political reform was not as pronounced as Deng wished to retain the traditional communist style of party dictatorship.