The Assessment Of Occupational Pension Market Development In China

According to the statistics, in2000year, the proportion of the total population aged65and over had reached7%, and gradually increased to9.4%in2012. At the same time, elderly dependency ratio rose by9.9%to12.7%. This means that China had already entered the aging society in2000year, and the phenomenon is exacerbating. Under this circumstance, the government has faced increasing pension burden. So, people began to explore the solutions. After2012,"Housing Endowment" and "Postponed Retirement" get public attention. But, most people opposed to these suggestions. So, the government is still hard to release the financial burden in the short term. Learning from foreign experiences, improving the multi-pillar pension system and developing the occupational pension market will be significant solutions.However, the occupational pension market in China started relatively late. In1991, the state council firstly mentioned "enterprise supplementary pension ". In2004, China began to build occupational pension system. So, the occupational pension market in China is still not fully developed, especially for the SMEs. Fortunately, more and more people begin to concern occupational pension. Against this background, this paper begins to analyze the development of occupational pension market in China.First, the chapter1introduces the background, purpose, framework, innovation and shortcomings of this paper, as well as the previous studies about the related subject.Then, the chapter2introduces the theoretical basis of the occupational pension market, including "multi-level old-age security system","welfare pluralism","human resources management incentive theory" and "Long-term capital theory of pension assets".The chapter3begins to introduce the current situation of the occupational pension market in China. Based on the latest data, this chapter introduces the type and quantity of occupational pension, as well as the coverage, payment and collection. Additionally, it introduces the accumulation, investment returns, management and operation methods of occupational pension funds.Based on the chapter3, the chapter4begins to analyze the problems existing in Chinese occupational pension market, such as the imbalanced development in different industry and regions, the low coverage, the fierce competition of management agencies and the large fluctuations in investment returns.Based on the previous analysis, the chapter5explores the factors which restrict the development of occupational pension market in China. First, there are many institutional factors, such as tax policy, the public pension system, laws and regulations, and so on. Second, the industrial structure is also important. In combination with the figures of industrial contribution rates, the enterprise survival time and some other figures, this section analyzes the intrinsic links between Chinese industrial structure and the occupational pension market. Third, the income distribution system cannot be ignored, too. Compared with other countries, the income of Chinese employees is much lower. Even only in China, the gap between the rich and the poor is also very large. So, it influences the economic capacity and desire of the staff to participate in the occupational pension system. Fourth, the capital market is not yet mature, which leads to the unreasonable pension funds investment structure and low investment rate. Last, the cultural background is also significant. Not only the family culture but also the corporate culture have an important impact on the occupational pension market in China.Finally, to solve the problems above, the chapter6puts forward some recommendations accordingly, such as improving policies, optimizing industrial structure, improving the wages of staff, promoting market conditions and developing appropriate culture.However, the undeveloped occupational pension market was caused by many factors, which cannot be analyzed completely in this paper. Additionally, there is no empirical model to testify the judgment in the paper. So, many problems still need further exploration in the future.