The increase in retirement age has many benefits for both workers and society, especially in the context of aging population and labor shortage. First, the late retirement workers will help the government pay more slowly, reduce the burden of social security fund. Currently, when the aging and unemployment rate is increasing, the elderly with deep skills and professional knowledge can still work effectively in many industries such as education and administration. In addition, working helps maintain mental health, avoid loneliness and disorientation after retirement. For example, in Germany, the policy of increasing retirement age to 67 has helped reduce financial pressure from the retirement system, while allowing older workers to continue contributing to the economy.
However, working age can also cause negative consequences for workers’ health and career opportunities of the younger generation. First, many work requires physical such as construction, health and production, the elderly is difficult to meet and increase the risk of chronic diseases. Secondly, the elderly may not catch up with new technology or modern work processes due to memory loss, slow reflexes that affect the quality of work, especially in industries that require high accuracy such as health and technical. In addition, young labor force often has new and creative thinking, so the elderly occupies many positions, which can limit the innovation at work. For example, in some technology companies in Korea, although the law allows retirement age, older employees often have difficulty keeping up with the speed of software changes and market trends, causing stagnation in the work progress.
In conclusion, increasing retirement age can cause some inadequacies, especially in heavy professions. However, with the population growing quickly, this policy still brings many outstanding benefits if applied flexibly, suitable for each field and physical condition of workers.