In Support of Increasing the Pension Age to 70.
When the Federal Government introduced the aged and invalid pension over 100 years ago, life expectancy for men was 55.2 and women was 58.2, and the retirement age was set at 65. According to last week’s Intergeneration Report, over the next 40 years the life expectancy is expected to increase to 95.1 for men and 96.6 for women.
Admittedly one reason for the increase in the average life expectancy is the substantial decline in mortality rates of children. Nevertheless, if many people live to the age of 95, we surely should not be paying out the aged pension at 65.
There certainly will be a challenge in caring for increasing numbers of people over 85 but what happens to people who are aged 65 – 85 who are fit and well?
People with lots of savings can of course please themselves, but the ordinary worker should be given the opportunity to earn an income during this time.
We hear too much of the problem of an aging society where there will be too few tax payers of working age.
People who are fit and well at 65 should continue in the workforce and the Federal Government should use this increase in tax revenue to ensure that we return to the policy of full employment in Australia for all those able to work.