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Pensions at a Glance 2023

OECD and G20 Indicators

image of Pensions at a Glance 2023

The 2023 edition of Pensions at a Glance highlights the pension reforms undertaken by OECD countries over the last two years. It includes a special chapter focusing on pension provisions for hazardous or arduous work. It describes existing rules, characterises recent policy trends and assesses the design and functioning of early-retirement rules for hazardous or arduous jobs given changing working conditions and ageing pressure on pension systems.

This edition also updates information on the key features of pension provision in OECD and G20 countries and provides projections of retirement income for today’s workers. It offers indicators covering the design of pension systems, pension entitlements, the demographic and economic context in which pension systems operate, incomes and poverty of older people, the finances of retirement income systems and private pensions.

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Sensitivity of replacement rates to changes in the economic assumptions

Full career male workers at the average wage throughout their career will have, on average, a gross replacement rate of 50.7%, when they start working at age 22. These estimates are based on the standard economic parameters described in Chapter 4. As an alternative these standard parameters have been lowered to account for the possibility of a low economic growth and low interest rates scenario over the long term, which might be partly related to population ageing (Table 5.3). In addition, as the discount rate and the rate of return have changed within this edition, replacement rates are also reported based on the old values (OECD, 2021) of economic assumptions.

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