Research On Provincial Pension Administration Reform In China

At present, the pension system in China is facing some challenges. The trend of population structure is aging. New pension policies are released frequently. The demands of advanced retirement benefits and more efficient public services offered by government are highly required. Meanwhile, the administration of pension system in China is at a low level caused by lacking of uniform and clear organizations’ responsibility and relationship, inefficient fund operation, disassembled information system without proper coordination. Under those social pressures, the running administration of pension becomes more unsuited and is forced to take some separate reforms, which even morphs itself into fragment. The administration of pension is generally set at the level of province in China which is determined by social security fund management, legislation qualification, adaptive range of policies along with some other factors. In the country’s administration structure, provinces are at the middle point. Restrained and guided by the state, provinces are responsible for arranging all provincial environment and resources as well as assigning detailed tasks to cities and counties. In this way, the provincial level is the nuclear and base of pension administration reform in China.This paper reveals that limited by the weak relationship of vertical management, provincial pension organizations have insufficient coordinative abilities within their region. They run a low-leveled fund reallocation and separated information system on network. Besides, the pension systems lack of comprehensive and effective supervision. This paper lists research achievements on legalization, socialization and modeling reforms and innovation examples in some districts and therefore issues pension administration reform solutions based on Jiangsu’s situation and development resources. Through vertical managed organizations system, Jiangsu Social Security Administration, as the system heart, takes charge of programming Jiangsu’s pension affairs including raising and paying pension fund, managing pension budget, operation and reallocation, establishing supervision system, constructing distributed pension information network and data control.The implementation of pension administration reform needs appropriate policies accordingly so this paper also offered suggestions on political subjects. Firstly, to form a vertical managerial system of organizations which helps managing social security registration, retirement benefit, pension relationship and additional service. Secondly, to form a balanced provincial pension budget and operation management which helps reasonably defining governments’financial responsibilities respectively as well as revenue and expenditure target of pension fund. Thirdly, to form provincial information system containing cooperative data uses which makes it more comprehensively and effectively. Cooperative data use enhances the management of interregional pension affairs.