UK Government move to increase retirement age is ‘quick fix’ that will not directly address underlying issues warns Exaxe
Exaxe, the specialist IT solutions provider for the Life and Pensions industry today warned that UK government plans to bring forward an increase in the state pension age to 67 is nothing but a short term measure. The plans to prolong the working life of millions of people under 50 will not directly address the underlying implications of a widening skills gap, youth unemployment and an increasingly ageing workforce.
Tom Murray, Head of Product Strategy at Exaxe says:
‘The challenges this presents for overall UK productivity need to be examined urgently. The government’s move to speed up the increase in the retirement age is being undertaken without really examining the issues. For instance, keeping older people working longer is not going to help society if it results in a later start into the workforce for those leaving schools and universities. Therefore without examining whether the actual workforce can expand, the government risks increasing the youth unemployment issue that is already causing major strains on society.’
‘Certainly the situation is serious and change is required. But, before the government rush in with possibly over-simplified solutions, the whole nature of the workforce and its productivity – a key factor for supporting those outside it – needs to be addressed so that an optimal solution can be produced. The government needs to beware of quick – fixes. They generally cause more problems than they solve.’
Exaxe®, www.exaxe.com is a specialist solution provider for the Life & Pensions industry.
Established in 1997, it has implemented products and has client reference sites in Ireland the UK and the Netherlands. Exaxe markets best-in-class solutions in the areas of Illustrations, agency and commission management and policy administration. Its Service Oriented Architecture and component based design has been key to its success.