The CMF Quarterly Forum on "Policy Paths to Return Price Levels to Reasonable Ranges During the 15th Five-Year Plan Period" was held on September 21st. Mao Zhenhua, Co-Director and Professor at the Institute of Economics of Renmin University of China, Co-founder and Co-Chairman of China Macro Economy Forum (CMF), and Chief Economist at China Chengxin International, pointed out that current retirement pensions are relatively high compared to working wages, which represents a significant problem.

"When we compare our retirement pensions with the wages of current workers, aren't they a bit too high? This is a major issue," Mao Zhenhua said. While everyone hopes for higher benefits, the money still needs to come from the wealth created by current workers, meaning "those who are working have much lower wages."

Mao Zhenhua provided an example, saying, "I recently returned to my hometown, where elementary school teachers who are still working only earn around 4,000 yuan, but retired teachers receive 8,000 to 9,000 yuan."

In Mao Zhenhua's view, the retirement system should guarantee people's basic living standards, not ensure they live elegant lifestyles. "Elegant living should still depend on personal savings and individual wealth arrangements," he said. "If everything relies on national pensions, and retirees enjoy better income and living standards than working people, I believe this situation may be difficult to sustain."

The forum focused on examining sustainable approaches to pension policy within China's broader economic framework, addressing concerns about intergenerational equity and fiscal sustainability in the retirement system.