Finland, the European country with the most rapidly aging population, has succeeded in convincing its workers to delay retirement, setting an example for the rest of Europe.
Often called the "Japan of Europe" because its population is aging so fast, Finland introduced a pension reform in 2005 that initially appeared to be a bitter pill to swallow but that has in fact gone down easily.
Workers are encouraged to work longer in order to earn more, thereby easing pressure on the state pension system to support the growing number of retired people.
Last year 16 percent of Finns were aged 65 or older, a figure that is expected to soar to 26 percent by 2030.
Since the reform was introduced the average retirement age has increased by six months, from 60.1 years in 2004 to 60.7 years last year. The employment rate for workers aged 55 to 64 is now more than 50 percent, 10 points higher than the European average.
"We're on the right track," said Ismo Suksi, project manager at Finland's Social Affairs Ministry.
According to a poll published last month, 65 percent of people aged 50 years and older are in favor of the reform.
Up until 2005, the legal retirement age was set at 65 but early retirement was popular since the financial ramifications were minimal, with a significant part of a worker's pension based on the salary earned during the last 10 years of employment.
Finns can now take full retirement any time between the ages of 63 and 68, and early retirement is penalized with lower pensions.
Work-related pensions are based on contributions from both the employer and the employee, with the former contributing about 20 percent and the latter about 80 percent.
The Central Organization of Finnish Trade Unions said the reform has been well-accepted for the most part, though some compromises were necessary to get the bill passed including more flexible work schedules and work conditions for the oldest seniors.
At lock company Abloy, employees older than 55 are entitled to exercise on work time in the company gym. They can also choose to work part-time and enjoy extra paid vacation, starting with six days a year at age 58 and 20 days a year after the age of 63.
Oras, a plumbing fixtures manufacturer, is a forerunner when it comes to elderly workers.
"Experiences have been good and we have raised the average retirement age from approximately 59 to 63" since 2001, said Merja Helkelae, the head of Oras' human resources department.
Mobile phone maker Nokia has no special program for seniors but the company offers them special working conditions if they do choose to stay on.
"Part-time pension is an option, and employees can also, when possible, work in two shifts instead of three if they have health reasons," spokeswoman Paeivyt Tallqvist said.
Unions are quick to point out that not all Finnish companies have adopted special programs and senior citizens are the first to suffer when there are cutbacks in the social welfare system.
MAKING A MOVE: Starting on Monday, short-term business travelers can apply for shorter quarantine periods, while transits of up to eight hours would be allowed The Central Epidemic Command Center (CECC) yesterday announced an easing of restrictions that would from Monday next week allow foreigners to visit or make a transit flight in Taiwan. A policy allowing short-term business travelers from countries with low or medium risks of COVID-19 infections to apply for shorter quarantine periods is also to resume that day. Minister of Health and Welfare Chen Shih-chung (陳時中), who heads the center, said that while the autumn-winter COVID-19 prevention program is to be extended after the end of this month, special conditions for foreign nationals to enter Taiwan would be restored from Monday. Foreign nationals
CONTINUED VIGILANCE: People would still be required to wear masks at eight types of public spaces and border controls would continue, Chen Shih-chung told reporters The government’s autumn-winter COVID-19 prevention program is to continue beyond Sunday, but eating and drinking on high-speed trains would be allowed from Monday, the Central Epidemic Command Center (CECC) announced yesterday. Minister of Health and Welfare Chen Shih-chung (陳時中), who heads the center, said that while there were no new confirmed cases in Taiwan yesterday, the global COVID-19 situation remains serious, so the autumn-winter COVID-19 prevention program would be extended beyond its Sunday deadline. “Border control measures, including requiring a negative polymerase chain reaction test result obtained within three days of boarding a plane to Taiwan, and undergoing quarantine in a
‘UNFRIENDLY’: COA Minister Chen Chi-chung said that Beijing probably imposed the sanction because the pineapple production season is about to start in Taiwan More than 99 percent of pineapples sold to China passed inspections, the government said yesterday, after China earlier in the day abruptly suspended imports of pineapples from the nation, which Taipei called an “unfriendly” move. From Monday, China is to stop importing pineapples from Taiwan, the Chinese General Administration of Customs said. The regulation is a normal measure for ensuring biosafety, China’s Taiwan Affairs Office spokesman Ma Xiaoguang (馬曉光) said in a news release later yesterday. Since last year, Chinese customs officials have repeatedly seized pineapples imported from Taiwan that carried “perilous organisms,” Ma said. Were the organisms to spread in China, they would
MORE RISK? Three Taiwanese family members were found to have the Brazilian variant, which CDC Deputy Director-General Philip Lo said might be more infectious From Wednesday, all travelers who have been in Brazil in the past 14 days are required to be quarantined at a centralized facility after arriving in Taiwan and undergo a COVID-19 test upon ending quarantine, the Central Epidemic Command Center (CECC) announced yesterday. Minister of Health and Welfare Chen Shih-chung (陳時中), who heads the center, said that starting from 12am on Wednesday, all travelers arriving from Brazil, including those who have transited through the country in the past 14 days, would have to stay at a centralized quarantine facility. “They will be tested for COVID-19 upon completing the 14-day quarantine, and they
RSS