Scrap fixed retirement age, says uni professor

Scrap fixed retirement age, says uni professor

Scrap fixed retirement age, says uni professor

First published in News

A STUDY led by a University of Southampton expert has recommended the worldwide abolition of a fixed retirement age.

The report, headed up by Professor Yehuda Baruch, from the Southampton Management School, found that, on a global scale, current pension systems are unsustainable.

As a result it recommends the fixed or default retirement age be removed worldwide.

The UK abolished the default retirement age in 2011, although a small number of organisations can fix their own if they can justify it.

However, other countries still have fixed retirement ages.

Experts looked at the UK as a case study to examine the benefits and pitfalls of this more flexible approach to retirement.The results of researchers' financial analysis suggested that where a fixed retirement was in place the pensions system was not sustainable in the long-term.

It recommends other countries follow the UK's example.

Professor Baruch led the project working with Dr Susan Sayce from the University of East Anglia and Professor Andros Gregoriou from the University of Hull.

Professor Baruch said there was a global problem funding pensions, which assume people will retire in their mid 60s.

“Young people are tending to start work later and in-turn start paying tax and pension contributions later.

“Older people are living longer, often in to their 90s, creating, in some cases, up to 30 years of retirement to provide for with their cover.

“This creates a funding gap.The study, titled 'Retirement in a global labour market: A call for abolishing the fixed retirement age', said the abolition of the fixed retirement age would allow people to consider a range of options on how and when they retire and a more flexible pension, easing funding difficulties.

Professor Baruch said those behind the report would like to see people have more control of when they retire, so that if they want to work into their 70s and 80s, but change the type or amount of work they do, they can.

In order for this to happen, researchers said cultural attitudes towards older workers and the perception of their value and productivity would have to change to get older people into jobs.

“Our study suggests that old age can be seen as holding the prospect of long-term stable contributions to society, rather than a decline or preparation for giving up work altogether - which can lead to pressure on the public purse,” he added.

Comments (4)

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5:52pm Mon 10 Feb 14

sass says...

This is ridiculous ! Old ferts need to get out of the way so youngsters can have a chance. I don't want a doddering old fool flying my plane, thank you.
Most people don't live as long as they think they might.
This is ridiculous ! Old ferts need to get out of the way so youngsters can have a chance. I don't want a doddering old fool flying my plane, thank you. Most people don't live as long as they think they might. sass
  • Score: 2

6:26pm Mon 10 Feb 14

george h says...

Perhaps Southampton University should look closer to home.

Until recently they themselves had a compulsory retirement age for academic staff. Three years ago when a long-serving professor with an international reputation in academia and as an adviser to governments and the UN reached retirement age he had to go. The businessmen that now run universities are only interested in money and then seized their opportunity to close down the world-renowned Mountbatten School of International Studies at Southampton University. History departments around the UK are closing for similar reasons; they don't make enough money when compared to media studies, or beach tourism studies.

Compulsory retirement of people at the peak of their intellectual powers makes about as much sense as compulsory retirement would have in the case of Albert Einstein.

The irony is though, that the enforced retirement brought an offer of a visiting professorship from another world-class university not a million miles away in London. Southampton's loss is London's gain.
Perhaps Southampton University should look closer to home. Until recently they themselves had a compulsory retirement age for academic staff. Three years ago when a long-serving professor with an international reputation in academia and as an adviser to governments and the UN reached retirement age he had to go. The businessmen that now run universities are only interested in money and then seized their opportunity to close down the world-renowned Mountbatten School of International Studies at Southampton University. History departments around the UK are closing for similar reasons; they don't make enough money when compared to media studies, or beach tourism studies. Compulsory retirement of people at the peak of their intellectual powers makes about as much sense as compulsory retirement would have in the case of Albert Einstein. The irony is though, that the enforced retirement brought an offer of a visiting professorship from another world-class university not a million miles away in London. Southampton's loss is London's gain. george h
  • Score: 1

8:11pm Mon 10 Feb 14

jackois says...

There isn't one, as far as I'm concerned.

I retired at 58... after working for 41 years...
There isn't one, as far as I'm concerned. I retired at 58... after working for 41 years... jackois
  • Score: 0

10:32pm Mon 10 Feb 14

Inform Al says...

So paying the pensions of us old pharts costs more than the unemployment benefits of younger, possibly family people. Unfortunately this stupid government is liable to fall for it.
So paying the pensions of us old pharts costs more than the unemployment benefits of younger, possibly family people. Unfortunately this stupid government is liable to fall for it. Inform Al
  • Score: 0

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