People in their 60s emerge as a new leader in the job market... Acceleration of discussions on extending retirement age

 

[GLOBAL ECONOMIC TIMES]  The landscape of our country’s labor market is changing. Last month, the number of employed people over 60 surpassed those in their 50s for the first time, showing a noticeable increase in active economic activity among the elderly.

According to data released by the Ministry of SMEs and Startups and the National Statistical Office on the 22nd, the number of employed people aged 60 or older last month was 6.749 million, the highest ever. This is an increase of 272,000 people compared to the same period last year, and it is the first time since statistics were compiled that the number of employed people in their 50s (6.72 million people) has been exceeded.

The proportion of employed people aged 60 or older also reached an all-time high of 23.4%, making up the highest proportion of all age groups. It has been steadily increasing since first exceeding 20% ​​in May 2021.

This phenomenon does not end with just numbers. The number of entrepreneurs in their 60s or older is also steadily increasing, and in particular, in July of last year, the proportion of startups with people in their 60s or older exceeded 14%, hitting an all-time high.

 

Why do people in their 60s continue to work?

As life expectancy increases and anxiety about life after retirement grows, more and more people want to continue working for financial stability. There is a great desire to contribute to society by utilizing the experience and know-how accumulated through a long social life. Regular social activities help maintain health and maintain social networks. These reasons are the main factors that encourage people in their 60s and older to work.

As the participation of the elderly in economic activities increases, discussions on extending the retirement age are becoming more active. Some public institutions, including the Ministry of Public Administration and Security, have already extended the retirement age to 65, and the Korea Senior Citizens Association is even proposing to raise the standard age for seniors to 75.

Jeong Sun-dul, a professor of social welfare at Ewha Womans University, said, “Employing the elderly is an important solution that can compensate for the decline in the working-age population.” He added, “Using the method of re-employment through a flexible work system after retirement can lower the employment burden on companies and enable the elderly to participate in economic activities.” “It can induce this,” he said.

It is expected that the participation of the elderly in economic activities will further expand in the future. Accordingly, the government and companies must create a senior-friendly job environment and increase the competitiveness of senior citizens through job redesign and provision of training programs. In addition, we need to resolve stereotypes about the elderly by improving social awareness and provide support so that the elderly can play a leading role in society.

As people in their 60s emerge as a new leader in labor, our society is facing major changes. In order to prepare for an aging society and achieve sustainable growth, it is necessary to actively support the participation of the elderly in economic activities and make changes throughout the social system.