Transforming Pensions and Healthcare in a Rapidly Ageing World: Opportunities and Collaborative Strategies
The ageing of society demands action as the window of opportunity to adequately prepare for this shift is closing fast. While immediate concerns about rising healthcare costs and pension structures require attention, fundamental longterm questions should not be neglected. Although the current global economic turmoil has put further pressure on already stretched resources, heightening the urgency of addressing demographic shifts, it is also presenting a once-in-a-generation opportunity for transformational change. Times of uncertainty create space for radical and creative thinking, and now may be an ideal time to attempt reform while people are more open than ever to new ideas.
This report is important for three main reasons. First, it addresses the question of ageing societies from a perspective that integrates implications and solutions for both healthcare and pensions, whereas most reports look separately at one or the other. In taking this integrated approach, which emphasizes multistakeholder collaboration, the World Economic Forum is reacting to the strong interest expressed by financial services and healthcare companies, employers, governments and civil society. However, no single stakeholder can hope to tackle the associated challenges or make the most of the abundant opportunities; success will require diverse, multistakeholder collaboration and innovative approaches.
Second, the report focuses on opportunities, whereas most previous ones have focused primarily on risks. The risks of ageing societies are widely apparent: systems’ adequacy may be called into question, stakeholders often seek to shift cost burdens onto each other, and there is a prospect of significant social tension. However, there are positive sides to ageing as well. More people can expect to enjoy better health later in life, enabling a greater level of activity in old age that can, in turn, improve the quality of life and social outcomes. There is ample room for the prevailing culture of youth to better integrate, learn from and appreciate the skills and experiences of older generations.
Third, the report provides an overview of a broad set of practical solutions, ranging from the existing, but underappreciated, to the highly innovative. The strategic options it presents are not drawn with broad brush strokes, but rather are explored with sufficient specificity to enable their potential to be meaningfully evaluated. Ideas exist on how to tackle demographic change, but in pockets. This report brings together the most promising solutions and shares them with decision-makers who can assess which ones best suit their particular contexts. This report thereby challenges all stakeholders to collaborate in new ways and consider connections they have not considered before.