The Ministry of Labor has reaffirmed the stability of the Social Security Fund, following concerns from several academic sectors about its financial liquidity and possible collapse within the next three decades.
According to Boonsong Thapchaiyuth, Secretary-General of the Social Security Office, the concerns stemmed from the structural deficit and pension payments exceeding the fund’s contributions.
Boonsong clarified that the Social Security Fund still holds an adequate reserve ratio in accordance with principles of actuarial science. The fund’s status has been regularly evaluated in collaboration with international labor organization experts.
There are currently about 571,000 pension recipients, with the number of cumulative pension recipients projected to rapidly increase to 2 million by 2030, 5 million by 2040, and 8 million by 2050.
In response, the Social Security Office has taken measures to amend laws related to old-age benefits in order to match the needs of the insured. These measures are currently under consideration by the House of Representatives.
In terms of long-term policy, discussions will be held with stakeholders, including the insured, employers, and the government, to jointly find solutions for ensuring the sustainability of pension rights. The aim is to provide a secure safety net for insured individuals in their retirement years. (NNT)