One-third of today's Filipino workers expect to get no retirement benefits of any kind when they retire, according to a retirement survey carried out in 10 economies in Asia.
Filipino workers face a bleaker future when they retire compared to their counterparts in other Asian nations because they are the least financially literate and do not save enough for their retirement, reported the Manila Times citing the report, “From Challenge to Opportunity: Wave 2 of the East Asia Retirement Survey” , published by The Global Aging Institute (GAI), in partnership with Prudential Corporation Asia.
The findings show that 68% of today’s Filipino workers expect to receive pension benefits from the Social Security System or the Government Service Insurance System when they retire. A mere 8% expect income from insurance or annuity products or mutual funds when in retirement.
Also, the survey reveals that Filipinos are anxious about their retirement security. The main concerns of workers are being poor in retirement, exhausting their savings, being poor in health and having no one to care for them and being a burden to their children.
Among those who expect to receive a state pension benefit, 87% worry that the government will reduce it, a larger share than in any other country surveyed.
“One would hope that the high level of anxiety expressed by today’s workers about their future retirement security would spur them to take steps to improve it. Yet just 12% report that they are saving more for retirement now than they were three years ago, fewer than in any other country surveyed,” the report said.
The other economies surveyed were China, Hong Kong, Indonesia, Malaysia, Singapore, South Korea, Taiwan, Thailand and Vietnam.