(ECNS) – A new report shows that state-owned enterprises have the most pension reserves, while private ones have the least.
The report was based on one year of research on a sample of 5,400 employees in 36 cities. It was jointly released on Nov. 29 by the China Insurance Association, the Social Security Institute, the China Social Security Research Center (Chinese Academy of Social Sciences), the China Financial Information Center, and Pingan Insurance Company.
Industry wise, finance and mining have the biggest and most stable pension reserves, while the lodging and restaurant industries have the least.
Corporate annuities and commercial insurance, which should be important components of pension reserves, have insufficient coverage. Only 33.5 percent of the surveyed said they are in corporate annuity plans, and 41.3 percent said they are covered by old age insurance.
Also, 38.3 percent said their employers haven't provided any critical disease insurance, commercial accident insurance, commercial supplementary medical insurance, and long-term care insurance.
Although the report reveals that city employees own an average of 1.06 units of property, housing values will be insufficient for old age, as the housing supply will be larger than demand in the long run.
The country should encourage employees to save and invest now, such as deferring tax and boosting commercial insurance, according to the report.
