Q: How has the “retirement age” changed?

With the implementation of the flexible retirement system, the retirement age has shifted from a fixed cutoff point to a flexible range. Workers can choose to retire at any age within this range based on their individual circumstances. However, the benchmark remains the “statutory retirement age.”

What Is the Statutory Retirement Age?

■ According to relevant national regulations, the statutory retirement age for male employees was previously 60 years old, while for female employees it was 50 or 55 years old.

■ The “Decision on the Gradual Delay of the Statutory Retirement Age” stipulates that, effective January 1, 2025:

• For male employees and female employees whose original statutory retirement age was 55, the retirement age will be delayed by one month every four months, gradually increasing to 63 and 58, respectively;

• For female employees whose original statutory retirement age was 50, the retirement age will be delayed by one month every two months, gradually increasing to 55.Q: How Does “Flexible Retirement” Work?

According to regulations, when an employee reaches the statutory retirement age, if the employer and the employee mutually agree, the employee may opt for flexible retirement, with the deferral period not exceeding three years.

■ Example: How Does “Deferring” Work?

• A male employee has a statutory retirement age of 62. Upon reaching the statutory retirement age, if his employer and he mutually agree to continue working, he may defer retirement flexibly between the ages of 62 and 65.

• A female employee with a statutory retirement age of 56. Upon reaching the statutory retirement age, if her employer and she mutually agree to continue working, she may flexibly postpone her retirement between the ages of 56 and 59.

Zhang Yi, a professor at the School of Public Economics and Management at Shanghai University of Finance and Economics, noted that during this period, employees still enjoy relatively comprehensive labor rights protection compared to informal employment arrangements such as rehiring.

According to regulations, after the implementation of the delayed statutory retirement age, employees who have met the minimum contribution period required by the state for receiving a monthly basic pension may voluntarily choose to take flexible early retirement. The early retirement date may be no more than three years earlier than the statutory retirement age, and must not be earlier than the original statutory retirement age of 50 or 55 for female employees and 60 for male employees.

■ Example: How does “flexible early retirement” work?

• A male employee born in January 1970 has a statutory retirement age of 61 years and 4 months after the reform. According to policy provisions, he may choose to retire as early as age 60.

• A female employee born in January 1982 originally had a statutory retirement age of 55. After the reform, her statutory retirement age is 58, and she may choose to take flexible early retirement between the ages of 55 and 58.

• A female employee born in January 1979: Her original statutory retirement age was 50; after the reform, it is 52 years and 1 month. In the future, she may choose to take early retirement flexibly between the ages of 50 and 52 years and 1 month.

Q: How do I apply for flexible retirement?

• Employees who voluntarily choose to take early retirement under the flexible retirement scheme must notify their employer in writing at least three months prior to their chosen retirement date. Employees opting for early retirement must have met the minimum contribution period required for the basic pension corresponding to the year of their chosen retirement date.

• If an employee reaches the statutory retirement age and both the employer and the employee mutually agree to postpone retirement under the flexible retirement scheme, the employer and the employee must specify the postponement period and other details in writing one month in advance. Employees opting for flexible deferred retirement must meet the minimum contribution period for the basic pension corresponding to the year they reach their statutory retirement age.

■ Example

A male employee reaches the statutory retirement age under the reform in 2031, and the minimum contribution period for that year is 16 years ↓↓

• If he chooses to take flexible early retirement in 2029, he only needs to meet the minimum contribution period of 15 years.

• If the employee opts for flexible deferred retirement until 2034, they will only need to meet the minimum contribution period of 16 years—which applies to the year 2031 when they reach the statutory retirement age—when they begin receiving their basic pension in 2034.

Lu Quan, Secretary-General of the China Social Security Association, pointed out that, overall, this follows the principle of “taking the lower of the two,” which benefits both insured individuals and pension recipients by helping them meet the minimum statutory contribution period.