South Korea Debates Raising Retirement Age Amid Generational Tensions (Image supported by ChatGPT)
SEOUL, May 14 (Korea Bizwire) — South Korea’s political and labor circles are locked in heated debate over a proposal to raise the legal retirement age from 60 to 65, reflecting growing tensions between an aging population and youth employment concerns.
The issue, reignited during Labor Day remarks by Democratic Party leader Lee Jae-myung, has polarized public opinion. Supporters argue that extending the retirement age is inevitable in a rapidly aging society, while critics warn it could further limit opportunities for younger workers in a sluggish job market.
Online platforms show the split vividly. One user on Naver called the extension “urgent in an era of 100-year life spans,” while another countered that “older workers should step aside so the young can have proper jobs.”
On December 3 of last year, members of the Korean Confederation of Trade Unions held a press conference on the steps in front of the National Assembly in Yeouido, Seoul, urging lawmakers to pass legislation extending the legal retirement age to 65. (Yonhap)
Government Shifts Focus to Reemployment, Not Extension
In a move that signaled caution, the Economic, Social and Labor Council — a presidential advisory body — stopped short of endorsing the legal age increase. Instead, it proposed a “continued employment obligation,” requiring employers to offer reemployment after age 60, rather than extending retirement itself.
The debate comes amid stark demographic forecasts. According to the Presidential Committee on Aging and Low Fertility, by 2045, four out of ten South Koreans will be over 65, and one in four will be over 75.
Job seekers examine job postings at the 2025 Mid-Sized Enterprise Job Fair held last month at COEX in Gangnam District, Seoul. (Yonhap)
Workers Skeptical: “Retirement Age Means Little in the Real World”
Despite the policy focus, many workers express cynicism. “Retirement age is a myth — only public servants reach it,” said Choi Woo-jung, a 42-year-old office worker. “In most private companies, people are pushed out in their 40s or 50s under names like early or voluntary retirement.”
Others say the proposed extension is political theater. “I’ve never met a single person who actually retired at 60,” said a 53-year-old former employee who was recently let go. “Talking about 65 feels like a numbers game.”
A university research professor echoed the sentiment: “This isn’t a meaningful policy — it’s populism. Even reemployment is unrealistic when firms are already shedding existing staff.”
Over 9.5 million individuals born between 1964 and 1974 will reach the legal retirement age of 60 over the next 11 years. (Image courtesy of Korea Bizwire)
Experts Divided: Necessary Reform or Youth Job Killer?
Scholars are similarly split. Kim Sung-hee, a professor at Korea University’s Graduate School of Labor Studies, argues the extension is “unavoidable” due to the mismatch between the retirement age and pension eligibility. He contends that older and younger workers often seek different roles and that fears over job displacement are exaggerated.
Kim also challenged the notion that only large corporations benefit, noting that the majority of small and midsize firms already have some form of retirement age policy in place.
However, Kim Dong-bae, a professor at Incheon National University, warned that the reality is more skewed. “Young people overwhelmingly want jobs at large firms and the public sector — the very sectors that will benefit most from the extension,” he said. He pointed out that only 20% of Korean companies currently operate with formal retirement age policies, meaning many small businesses are unaffected by the debate.
He also emphasized the economic trade-off: “A senior worker with triple the salary of a new hire costs as much as three entry-level employees. Extending the retirement age inevitably reduces hiring capacity.”
From 60 to 65? Retirement Reform Faces Fierce Opposition and Support (Image courtesy of Yonhap)
A National Dilemma with No Easy Answers
As South Korea navigates a future of demographic imbalance and economic uncertainty, the debate over retirement age touches on core national anxieties — aging, inequality, and generational fairness. Whether the country will choose to raise the age limit or redefine retirement altogether remains a central question in the lead-up to 2026 policy reform efforts.
M. H. Lee (mhlee@koreabizwire.com)
