Courageous Burton deserves support
FOR the past decade and more, the world pensions crisis has consistently worsened, to the point where it poses as great a threat to global prosperity as the debt crisis.
At the heart of the problem are the huge increase in human longevity and the falling birthrate in the developed world. According to the Organisation for Economic Co-operation and Development (OECD) the "support ratio" – earners to pensioners – was 7.2 in 1950. In 2010 it was 4.1, and the projection for 2050 is 2.1.
The situation in Ireland is particularly acute. Only 700,000 people in the private sector, and 300,000 in the public sector, have any provision for their old age apart from the state pension.