고령화와 임금피크제에 대한 연구

Abstract

ABSTRACTS

A Study on Population Aging and Peak Wage System

Lee, Young Geun Advisor : Prof, Chi, Kwang Soo, Ph.D. Department of Economics, Graduate School Chosun University

Korean society is aging fast. Researches forecast that Korea, currently categorized as an aging society in which people over the age of 65 account for 7 percent of the population, will take about 20 years to become an aged society in which they account for 14 percent. The problem of a rapidly aging population along with low birthrate has emerged as Korea`s top national concerns, with its far-reaching and profound implications in social and economic situations. The increasing rank of elderly people is becoming a heavy burden on the shrinking working-age population. As the rate of children and elders over 65 compared with the people of a working age rises, it becomes harder to maintain living standards for the dependent population because the workforce is put under strain. Population aging in a context of stagnant or declining labor supply can affect economic growth. Higher taxes are needed to fund pension and health systems, to the detriment of productive investment and work effort. The expansion of the elderly population will directly raise the question of how to guarantee the living standards of the elderly who often have insufficient or almost no source of income. Korea should strive to tackle the problems of an aging population and low birthrate that could threaten the country`s productivity and economic growth in the long run. The government authorities should draft and carry out a comprehensive plan that centers on providing social support for nurturing children and establishing the infrastructure for a secure and healthy elderly life. In order to curb the decreasing birthrate, the government should increase financial benefit for raising children ranging from tax exemptions and advantages in buying apartments, The wages paid to female employees during the three-month maternity leave should be fully covered by the government, relieving the burden from employers and consequently easing the job security concerns of pregnant workers. It is necessary to reform the employment system by adopting flextime or telecommuting systems in order to relieve women`s burden of housework and raising children, and difficulty in balancing work and family. The government authorities should build and expand educational facilities such as public or private nurseries and preschools. The patriarchal cultures and men`s behaviors should be changed, and housework should be divided fairly between husband and wife. The government should set up long-run care insurance for senior citizens in order to address the welfare needs brought on by the growing elderly population. The new social scheme should be introduced to cover age-related healthcare costs - such as dementia and palsy treatments at recuperation centers - separately from existing health insurance, relieving financial burden of the aged from individual families. The government should expand public health and medical facilities as the demand for medicine services by the aged is expected to rise. Equally important is how to improve job opportunities for the aged who can and wish to work. It is vital from an economic point of view to utilize the aged group in the labor market. The demographic shift will require the people to work a few more years after the retirement age and even lead to the age-based retirement concept being discarded. The government should cultivate industries to care for elderly people, which includes health, treatment and food services, medical equipment, housing and finance. The rigid seniority-based wage system should be changed to the flexible productivity-based wage system, and the peak wage system and the retirement pension system should be introduced to guarantee income for a secure and healthy elderly life. The government and enterprises should offer more opportunities of job training and life-long learning for the aged to enhance their employability, and expand the services supporting turnover to suitable jobs and thus cut the cost of employment adjustment. The reemployment system should be enforced in order to make the best of the aged who have diverse experiences and wish to take part in economic activity. The government and enterprises should make every effort to develop and reorganize types of occupation and jobs which are suitable for the aged. The government should establish the employment stabilization infrastructure and expand network system which help to improve the function of the aged labor market by serving the elderly workers with information, education & training, and consultation for jobs.