BEIJING (Reuters) – China will extend licence age limits for drivers of medium-sized and large buses as well as trucks, as part of broader efforts to address the challenges posed by an aging population, falling birth rate and a shrinking labour pool.
Keeping older transportation workers on the payroll will be key to helping maintain stability across China’s vast transportation system in the medium-term as the sector plans to adopt more autonomous vehicles.
Just over a decade ago, the capital Beijing allowed male bus drivers to retire five years earlier – at the age of 55 – for health reasons, as it was concerned about operational safety.
China has since reversed course due to its declining work force.
From next year, the maximum age that a person can apply for a licence to drive and operate a medium-sized or large buses, as well as trucks will be raised to 63 from 60, the Public Security Ministry said in a statement on Friday.
Drivers over 63 can also apply for a licence extension of up to three years, provided they pass medical exams and tests on memory, situational judgment and reaction time.
Earlier this year, China’s top legislative body passed a proposal to raise the national retirement age in a historic move.
Men will retire at 63 instead of 60, while women in white collar work will retire at 58 instead of 55. For women in blue collar work, the retirement age will be increased to 55 from 50.
China’s retirement age is currently among the lowest globally.
The changes, due to take effect on Jan. 1 and be implemented over a 15 year period, will bring China more in line with regional peers such as Japan and South Korea, which are also grappling with falling fertility rates and aging workers.