Korea (South) | Melbourne Mercer Global Pension Index : Melbourne Mercer Global Pension Index


Korea (South)


MMGPI SouthKorea flag 145x145 Korea (South)

Korea’s retirement income system comprises a modest basic pension and a public earnings-related pension scheme with a progressive formula, based on both individual earnings and the average earnings of the insured as a whole.

The overall index value for the Korean system could be increased by:

  • improving the adoption of ERSA scheme plans
  • improving the level of support provided to the poorest pensioners
  • introducing a requirement that part of the retirement benefit from private pension arrangements must be taken as an income stream
  • increasing the level of funded contributions thereby increasing the level of assets over time
  • improving the governance requirements for the private pension system, including the need for an audit
  • improving the level of communication required to members from pension plans.

RRF19921 MMGPI Report 0616 Chart WEB 1000x950 17 KOREA Korea (South)

Progressive Results:

Year

Overall

Adequacy

Sustainability

Integrity

2016 46.0 46.5 43.9 48.1
The Korean index value increased from 43.8 in 2015 to 46.0 in 2016 due to a number of small increases in all three sub-indexes.
2015 43.8 43.9 41.6 46.8

The Korean index value increased slightly from 43.6 in 2014 to 43.8 in 2015 due to a number of small changes.

2014  43.6  42.6  42.5  46.7

The Korean index value decreased slightly from 43.8 in 2013 to 43.6 in 2014 primarily due to a reduction of the net replacement rate and the net household saving rate.

2013

43.8

43.7

41.0

47.9

The Korean index value fell from 44.7 in 2012 to 43.8 in 2013 primarily due a correction in one answer and a significant increase in life expectancy, as measured by the United Nations.
2012

44.7

45.1

42.3

47.5

 

Media 2014:

한국 퇴직 후 연금, 25개국 중 24위

[단신] 한국 연금체계평가 25개국 중 24위로 D등급

한국 연금체계평가 25개국 중 24위로 D등급

 


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