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Irish workers could face the prospect of staying in their jobs until the age of 75 due to the crisis in private sector pensions.
James Forbes, the new head of investments in Bloxham Stockbrokers, said the current pension crisis is being overshadowed by the meltdown of the banks and public finance.
Forbes told the “Evening Herald” that the Irish people need to save for their retirement.
The Irish Government has signed up to cut the tax relief on pensions for higher rate taxpayers as part of the €85 billion IMF/ECB bailout.
The problem is exacerbated by the fact the people are generally living longer and not saving enough money.
He said, "You don't have to be an actuary to know that we are all living longer but we are not saving enough either."
Today, the average person who retires can expect to spend half of their life in retirement.
Forbes said, "If this keeps going, to try to avoid a pension pot meltdown, employees -- that's you and me -- will just have to work longer and 75 could be the new 65 when it comes to retirement age."
This theory has also not taken into consideration the fact that people may not be able to get jobs in their 70s or be able physically to work.
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