Ageing boomers will be asset not burden: PM

Q: Why does the article say today’s seniors are different from earlier generations?

The article notes the current younger senior generation is the healthiest, best resourced and best educated ever to stop full-time work, implying they will approach retirement and care differently than past cohorts.

Older Australians deserve greater choice and control over their care arrangements, Prime Minister Julia Gillard says, as she opens a new front in her ''decision and delivery'' agenda.

By InvestSMART · 4 Aug 2011

By InvestSMART ·
4 Aug 2011

Comments

Older Australians deserve greater choice and control over their care arrangements, Prime Minister Julia Gillard says, as she opens a new front in her ''decision and delivery'' agenda.

OLDER Australians deserve greater choice and control over their care arrangements, Prime Minister Julia Gillard says, as she opens a new front in her ''decision and delivery'' agenda.

Ms Gillard today will call for a new way of looking at the ageing issue and say baby boomers will make different retirement demands than past retirees.

Speaking in Melbourne ahead of Monday's release of a Productivity Commission report on aged care, she will reject the ''burden'' theory of ageing.

Older Australians need to be looked at ''as an asset to be valued, rather than a problem to be solved'', she will tell a function organised by the left-leaning Per Capita think tank.

In the next 40 years, over-65s will go from one in six to one in four. Over-85s will increase from one in 200 to one in 20.

''For now, those two senior generations in practice are the parents of the baby boomers, and the boomers themselves. Think of the 90-year-old woman with the 65-year-old son'', Ms Gillard will say.

The present younger senior generation ''is the healthiest, best resourced and best educated ever to stop full-time work'', she will say.

She will point out that ''for the first time, there'll be more part-pensioners than pensioners by 2030.

''That private wealth will create new choices - while the state will retain a vital role in guaranteeing income and security.''

Baby boomers ''changed what it meant to be young and they changed what it meant to form families and adult relationships and they'll change what it means to be old''.

Ms Gillard will set out the government's values going into the coming debate about the implications of the two generations of seniors and in judging the Productivity Commission findings.

''First, older Australians have earned the right to be able to access the care and support that is appropriate to their needs, when they need it,'' she will say.

Go to Google News, then click "Follow" button to add us.

Share this article and show your support

Frequently Asked Questions about this Article…

What did Prime Minister Julia Gillard say about baby boomers and ageing Australians?

The article reports Prime Minister Julia Gillard rejected the idea that an ageing population is a "burden," saying older Australians should be seen "as an asset to be valued." She urged greater choice and control over care arrangements and said baby boomers will make different retirement demands than past retirees.

How will Australia's ageing population change over the next 40 years?

According to the article, over the next 40 years the share of Australians aged over 65 will rise from about one in six to one in four, and those over 85 will increase from about one in 200 to one in 20.

What does the article mean by "more part-pensioners than pensioners by 2030"?

The article says that for the first time there will be more part-pensioners than full pensioners by 2030, reflecting greater private wealth among retirees. It notes private wealth will create new choices while the state will still play a vital role in guaranteeing income and security.

How might baby boomers' changing retirement preferences affect demand for aged care?

The article suggests baby boomers will demand different types of retirement and care, and that older Australians deserve greater choice and control over care arrangements. It highlights an upcoming Productivity Commission report on aged care that will feed into a public debate on those changing demands.

What role will government policy play in aged care and retirement income?

The article states the government intends to retain a vital role in guaranteeing income and security for older Australians, even as private wealth creates more options. Julia Gillard framed government values ahead of assessing the Productivity Commission's findings on aged care.

Why does the article say today’s seniors are different from earlier generations?

The article notes the current younger senior generation is "the healthiest, best resourced and best educated ever to stop full-time work," implying they will approach retirement and care differently than past cohorts.

What should everyday investors watch for in the upcoming aged care debate?

The article highlights the imminent release of a Productivity Commission report on aged care and says the government will use its values to judge the findings. Everyday investors should watch policy responses around aged care funding, choice of services, and any shifts in pension arrangements that could affect demand and financial planning for retirees.

How could private wealth among retirees create opportunities for investors?

While the article does not give investment advice, it says private wealth among baby boomers "will create new choices." For everyday investors, that suggests potential shifts in demand for services and products tailored to wealthier, more active retirees — though any investment decisions should be based on further research and policy developments.