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Page 1: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build
Page 2: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Policy for Population Aging

Current Status of Population Aging

Expected Influences on Korea

2

Page 3: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Current Status of Population Aging

3

Page 4: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

’05 ’35 ’40 ’45 ’50

600

800

1,000

1,200

1,400

1,600

1,800

65∼74 yrsOver 75 yrs

SeniorPopulation

(10K)

481

1,181

1,5041,616

770

0

200

400

’10 ’15

0.0

40.0

Portion of Senior Population

(%)

5.0

10.0

35.0

25.0

30.0

15.0

20.0

’25 ’30’20

11.0%11.0% 12.9%12.9%15.6%15.6%

19.9%19.9%24.3%24.3%

32.5%32.5%28.4%28.4%

35.5%35.5%38.2%38.2%

9.9%9.9%

Population over 65 (Aging rate)

Population over 75

6.5%6.5% 7.7%7.7% 9.6%9.6%

16.4%16.4% 19.4%19.4%22.3%22.3%

13.0%13.0%

3.3%3.3% 4.1%4.1% 5.3%5.3%

Aging PopulationAging Population

The number of elderly has been growing. Senior citizens : 11.0% (2010) → 38.2% (2050)

Page 5: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

WorldWorld’’s Fastests Fastest--aging Countryaging Country

Year of Entering Aging, Aged and SuperYear of Entering Aging, Aged and Super--aged Societiesaged Societies

Page 6: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

WorldWorld’’s Fastests Fastest--aging Countryaging Country

Aging In Certain CountriesAging In Certain Countries

CountryYear entered Years spent to enter

Aging Society (7%) Aged Society (14%) Super-aged society(20%)

Aged Society Super-aged Society

KoreaJapan

GermanyUSA

France

20001970193219421864

20181994197220141979

20262006201020302019

18244072

115

812381640

Portion of Senior Population in OECD member countriesPortion of Senior Population in OECD member countries

2005

Korea (38.2)Japan Spain

Germany Sweden

France

20502020 2030 2040

9.3

(%) 4035302520151050

US

Page 7: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Total population to decrease after peak of 52 million in 2030

20302012 20501980 2000

65 years

15 years

TotalPopulation

(in thousand)

WomenMen

48,12132,241 49,410 50,004 52,160

Demographic ForecastDemographic Forecast

Page 8: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Demographic ForecastDemographic Forecast

2010

15-64 yrs

65+yrs

37.2%

Aged Dependency Ratio

2050

8

Workingage population 2017

A reverse trendin population

Page 9: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Expected Influences on Korea

9

Page 10: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

EconomyEconomy

2000s

2040s

In case TFR 1.08(’05) continues,5.08

2010s2020s

2030s

4.6%

2.7

1.8

1.4%

Estimated potential growth rate (%)

Page 11: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

PopulationPopulation Aging Aging && National PensionNational Pension

The Number of National Pension Plan Holders& System dependency Ratio

Page 12: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

A PopulationPopulation Aging Aging && Medical CostMedical Cost

[The percentage of the elderly in the whole population & the ratioof care cost to total medical bills in the National Health Insurance]

Page 13: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

PopulationPopulation Aging Aging && EducationEducation

[Outlook on the number of school-aged population]

Page 14: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

PopulationPopulation Aging Aging && Housing Housing

Page 15: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

PopulationPopulation Aging Aging && FinanceFinance

Page 16: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Policy for Population Aging

16

Page 17: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Active Reaction to Population AgingActive ReactionActive Reaction to Population Agingto Population Aging

「Aging Society and Population Act」(’05.5.)

「Presidential Committee on Aging Society andPopulation Policy」launched (’05.9.)

「The 1st Basic Plan on Aging Society and Population(2006~2010)」announced (’06.8.)

「The 1st Basic Plan on Aging Society and Population(2006~2010) : Revised Edition」announced (’08.12.)

「The 2nd Basic Plan on Aging Society and Population(20011~2015) announced (’10.10.)

Page 18: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

The Second Basic Plan (2011~2015)The Second Basic Plan (2011~2015)

Gradually restore the fertility rate, and establish a response system the aging society Raise the fertility rate to the OECD average, and effectively address the aging society issue

18

To become an energetic advanced country by successfully

responding to low fertility and aging society

Create Childbirth & Childcare-friendly

Environment

Lay the Groundwork for Improving the Quality of Life in the Aging Society

Secure the Growth Engine and Improve Polices Area by Area

Ensure the balance of work and family on a daily basis

Reduce the burden of marriage, childbirth, and childcare

Create sound and safe environment for children & teenager

Build a response employ -ment opportunities

Ensure stable & energetic post-retirement lives

Create the elderly-friendly environment

Lay the groundwork for utilizing untapped human resources & raise their competitiveness

Improve socioeconomic systems in response to demographic changes

Promote the elderly-friendly industries

Page 19: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

[Area #1] Addressing Low Fertility[Area #1] Addressing Low Fertility

19

Create Childbirth & ChildcareCreate Childbirth & Childcare--friendly Environmentfriendly Environment

Enhance maternity leavesystem

Expand flexible workschedule system

Create the family-friendlywork environment

Create ideal conditions tostart a familyImprove supportfor pregnancy & childbirthIncrease the financial support for childcareExpand the infrastructurefor childcare support

Support vulnerablechildren

Establish safetyprotection system

Lay the groundworkfor children policies

Page 20: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

[Area #1] Addressing Low Fertility[Area #1] Addressing Low Fertility

20

Areas Priority Tasks Dept. in charge

Ensurethe balanceof workandfamilyon a dailybasis

Enhance maternityleave system

Introduce fixed allowance for maternityleave & incentives for returning back to work

MOEL

Introduce the rights to request reduced working hours during childcare MOEL

Allow to take maternity leave cumulatively or separately MOEL

Expand flexible workschedule system

Improve the criteria to calculate the number of full-time workers MOEL

Introduce and expand smart work centers Ministry of Public Administration and Security (MOPAS)

Create the family friendly Work environment

Make the installation of in-company daycare centers mandatory MOHW, MOEL

Expand family-friendly certification system for public agencies Ministry of Gender Equality and Family (MOGEF) & MOSF

Reducethe burdenof marriage,childbirth,andchildcare

Create ideal conditionsto start a family

Ease income qualification for the newlyweds to apply for housing loans MLTM

Transfer active military servicemen with kids to full-time reserved forces Ministry of National Defense

Improve support forPregnancy & childbirth

Support regions with insufficient medical infrastructure for childbirth MOHW

Expand support for infertile couples MOHW

Increase the financialsupport for childcare

Provide full financial support for childcare & educational expenses MOHW, MEST

Rehire the head of family with multiple children after retirement in the case of public officials

MOPAS

Provide tax incentives, support for housing, and educational expenses for families with multiple children

MOSF, MLTM, MEST

Expand theinfrastructure forchildcare support

Enhance certification system of childcare facilities MOHW

Introduce public and self-governing daycare centers MOHW

Extend the opening hours of childcare facilities MOHW

Institutionalize baby sitter market(create baby sitter market) MOGEF

Build the infrastructure for after-school care services MOHW, MEST, MOGEF

Createsound andsafeenvironmentfor childrenandteenagers

Support vulnerablechildren

Promote Dream Start program MOHW

Establish safetyprotection system

Reinforce the support for sexually assaulted children MOGEF

Increase the number of specialized children-protection centers(preventchild abuse)

MOHW

Wee Project (prevent school violence & protect victims) MEST

Lay the groundworkfor children policies

Establish mid-to-long term basic plans for children policies MOHW

Page 21: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

[Area #2] Addressing Aging Society[Area #2] Addressing Aging Society

21

Provide diverseemployment opportunitiesEstablish multi-pillarincome security systemfor post-retirement yearsEstablish preventivemedical care systemSupport to prepare forpost-retirement years

Enhance job programsSecure income forseniors to prevent elderlypovertyEnsure healthypost-retirement life andstabilize medical costProvide more opportunitiesto participate in social and leisure activities

Create the elderly-friendlyhousing and transportationenvironment

Improve the elderly'srights and create theatmosphere for seniorcitizens to be respected

Lay the Groundwork for 2 Improving the Quality of Life in the AgLay the Groundwork for 2 Improving the Quality of Life in the Aging Societying Society

Page 22: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

[Area #2] Addressing Aging Society[Area #2] Addressing Aging Society

22

Areas Priority Tasks Dept. in charge

Build aresponsesystem tobabyboomer'saging

Establish multi-pillarincome security system for post-retirement years

Promote senior-friendly wage peak system Ministry of Employmentand Labor (MOEL)

Help senior citizens to start their own business Small and MediumBusiness Administration

Establish multi-pillarincome security system for post-retirement years

Promote retirement pension system and ensure that the system takes hold

MOEL and Ministry ofStrategy & Finance (MOSF)

Establish preventivemedical care system

Reinforce follow-up care after regular checkups and increase the rates of undergoing medical examinations

Ministry of Health andWelfare (MOHW)

Build comprehensive health care systemled by public health centers

MOHW

Introduce chronic disease care programs MOHW

Support to prepare forpost-retirement years

Develop and standardize programs to planfor post-retirement life

MOHW

Ensurestable andenergeticpostretirementlives

Enhance job programs Expand job opportunities for the elderly MOHW

Revise job support system and reinforce its role MOHW

Secure income for seniors to prevent elderly poverty

Introduce farmland pension system Ministry of Food, Agriculture,Forestry and Fisheries

Ensure healthy postretirementlife andstabilize medical cost

Expand health insurance coverage basedon the characteristics of senior diseases

MOHW

Secure fiscal soundness through efficienthealth insurance spending

MOHW

Provide quality elderly-care services MOHW

Provide moreopportunities toparticipate in socialand leisure activities

Specialize volunteer work programs for seniors MOHW, Ministry ofEducation, Science andTechnology (MEST)

Develop and distribute leisure activity programs for the elderly

MOHW,Ministry of Culture,Sports and Tourism

Create theElderly friendlyenvironment

Create the elderly friendlyhousing and transportationenvironment

Continuously provide rental housings for seniors Ministry of Land,Transport and MaritimeAffairs (MLTM)

Improve the elderly'srights and create theatmosphere for seniorcitizens to be respected

Reinforce the protection of senior citizensliving alone (Expand elderly-care services)

MOHW

Page 23: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Provide diverse employment opportunities

Promote senior-friendly wage peak systemHelp senior citizens to start their own business

Establish multi-pillar income security systemfor post-retirement yearsPromote retirement pension system andensure that the system takes hold

A. Build a response system to baby boomer's agingA. Build a response system to baby boomer's aging

Reinforce follow-up care after regular checkups and increasethe rates of undergoing medical examinationsBuild comprehensive health care system led bypublic health centersIntroduce chronic disease care programs

Establish preventive medical care system

23

Support to prepare for post-retirement yearsDevelop and standardize programs to planfor post-retirement life

Page 24: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Enhance job programsExpand job opportunities for the elderlyRevise job support system and reinforce its role

Introduce farmland pension system

B. Ensure stable and energetic post retirement livesB. Ensure stable and energetic post retirement lives

Expand health insurance coverage basedon the characteristics of senior diseasesSecure fiscal soundness through efficienthealth insurance spendingProvide quality elderly-care services

Specialize volunteer work programs for seniorsDevelop and distribute leisure activity programs for the elderly

Provide more opportunities toparticipate in social and leisure activities

24

Secure income for seniors to prevent elderly poverty

Ensure healthy post retirement life and stabilize medical cost

Page 25: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Continuously provide rental housings for seniors

Reinforce the protection of senior citizensliving alone (Expand elderly-care services)

C. Create the elderlyC. Create the elderly--friendly environmentfriendly environment

Create the elderly friendly housing andtransportation environment

Improve the elderly's rights and create theatmosphere for senior citizens to be respected

25

Page 26: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

[Area #3] Growth Engine[Area #3] Growth Engine

26

Secure the Growth Engine and 3 Improve Polices Area by AreaSecure the Growth Engine and 3 Improve Polices Area by Area

Encourage more womento participate in economicactivities

Fully utilize ethnicKoreans living overseasand foreign workforce

Establish job skilldevelopment system

Improve educationalpolicies

Enhance policies inhousing and financialsectors

Improve fiscal policies

Secure industrialcompetitiveness

Promote domestic &international marketsfor senior-friendlyindustries

Page 27: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

[Area #3] Growth Engine[Area #3] Growth Engine

27

Areas Priority Tasks Dept. in charge

Lay thegroundworkfor utilizinguntappedhumanresources& raise theircompetitiveness

Encourage morewomen toparticipate ineconomic activities

Reinforce the effectiveness of employment enhancement measures

MOEL

Improve conditions for women withcareer-interruption to be reemployed

MOEL, MOGEF

Fully utilize ethnicKoreans livingoverseas andforeign workforce

Attract talented human resources overseas by allowing immigration

Ministry of Justice(MOJ)

Ensure that work permit systemtakes root and secure skilled workforce

MOJ, MOEL

Establish job skillDevelopment system

Reinforce the roles of schools in helping students find jobs MOEL

Establish the system that enablespeople to juggle work and study

MEST

Improvesocioeconomicsystems inresponse todemographicchanges

Improve educationalpolicies

Train teachers and reestablish supply &demand plan for teaching staff

MEST

Put in place policies to improve school facilities MEST

Enhance policiesin housing andfinancial sectors

Establish mid-to-long-term supply & demand plan for housing

MLTM

Promote long-term financial market MOSF

Improve fiscalpolicies

Introduce financial regulations on mandatory spending MOSF

Enhance fiscal health management system MOSF

Promote theelderly-friendlyindustries

Secure industrialcompetitiveness

Develop usage evaluation system of elderly-friendly products

MOHW

Promote domestic& internationalmarkets forsenior-friendlyindustries

Hold community-based exhibitions and experiential promotion for senior-friendly industries

MOHW

Expand the industrial infrastructure to enjoy a first-mover advantage in overseas market

MOHW

Page 28: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

A. Lay the groundwork for utilizing untapped A. Lay the groundwork for utilizing untapped humanhuman

resources & raise their competitivenessresources & raise their competitiveness

Establish job skill development systemReinforce the roles of schools in helpingstudents find jobsEstablish the system that enablespeople to juggle work and study 28

Encourage more women to participate in economic activitiesReinforce the effectiveness of employmentenhancement measuresImprove conditions for women with career-interruption to bereemployed

Attract talented human resourcesoverseas by allowing immigrationEnsure that work permit systemtakes root and secure skilled workforce

Fully utilize ethnic Koreans living overseas and foreign workforce

Page 29: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Improve educational policiesTrain teachers and reestablish supply &demand plan for teaching staff

Put in place policies to improve school facilities

B. Improve socioeconomic systems in response toB. Improve socioeconomic systems in response todemographic changesdemographic changes

Establish mid-to-long-term supply& demand plan for housing

Promote long-term financial market

Enhance policies in housing and financial sec

Improve fiscal policiesIntroduce financial regulationson mandatory spending

Enhance fiscal health management system29

Page 30: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Hold community-based exhibitions and experiential promotion for senior-friendly industries

C. Promote the elderlyC. Promote the elderly--friendly industriesfriendly industries

Promote domestic & internationalmarkets for senior-friendly industries

Secure industrial competitiveness

Develop usage evaluation system ofelderly-friendly products

Expand the industrial infrastructure to enjoy a first-mover advantage in overseas market

30

Page 31: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Creating the Social AtmosphereCreating the Social Atmosphere

CollaborationCollaboration EducationEducation

CampaignCampaign Population DayPopulation Day

• Fully utilize the government's promotion measures• Collaborate with private sectors

l Implementing

life-cycle-based

education

l Designating July 11

as "Population Day”

l Promoting "Childbirth-friendly

Society Campaign"

Page 32: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build

Ensuring the Stable Supply of ResourcesEnsuring the Stable Supply of Resources

20102011

2012

20142015

2013

12.4trillon14.1trillon

14.6trillon15.2trillon

15.7trillon16.2trillon

32

75.8Trillion KRW

First Basic Plan Second Basic Plan

42.2 Trillion KRW

Total amount of investment

79%

Page 33: Policy for Population Agingwork and family on a daily basis Reduce the burden of marriage, childbirth, and childcare Create sound and safe environment for children & teenager Build