National Pension System Facing Challenges
Taiwan's national pension program is the sole source of income for some people. But the meager payments it offers certainly aren't enough to meet the needs of the people that depend on them.
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00:00 Mr. Tsun is in his 70s and battling cancer.
00:03 He not only has to shoulder hefty medical expenses,
00:06 but he's on the hook for his day-to-day spending.
00:09 For him, basic human needs like safety are a luxury.
00:12 There's a gas canister right in the middle of his living room,
00:15 which doubles as a kitchen.
00:17 When I was in Taiwan, I didn't have a place to stay.
00:22 I had to work.
00:23 I had to work until late at night.
00:27 Mr. Tsun is one of 45,000 low-income elderly people in Taiwan
00:32 who depend solely on the country's national pension for survival.
00:36 Every month, the government pays out roughly $150 U.S. dollars to him,
00:40 which isn't even enough to cover his monthly rent.
00:43 Mr. Tsun constantly needs to look for roommates
00:46 to make his living expenses more manageable.
00:49 If I don't have enough money, I feel really bad.
00:56 I feel worse than dying.
00:58 Over in northern Taiwan's Taoyuan City,
01:00 Ms. Chou lives in similar circumstances.
01:03 Though she has family, she can't bring herself to ask for help.
01:07 Often, she has to rely on the kindness of others.
01:10 My son himself doesn't have a good life.
01:13 So I don't dare to help him.
01:16 We'll just let it go.
01:18 Like Mr. Tsun, Ms. Chou depends completely on Taiwan's national pension for income.
01:24 Though it helps, it certainly isn't enough.
01:27 And she's grown disheartened with the program
01:29 that was once supposed to be her social safety net.
01:32 I don't dare to ask for help.
01:35 In 2008, Taiwan passed a law establishing the national pension.
01:40 This program offers unemployed people who are at least 25 years old
01:44 to buy into a policy that guarantees them payments after they hit age 65.
01:49 The program was originally established with people
01:52 who do not benefit off Taiwan's other public sector or labor insurance programs in mind.
01:57 But the program faces several issues.
02:00 In 2023, nearly 3 million people were part of the national pension.
02:04 But less than half of people it covered could pay the premium.
02:08 Some of those covered are low-income households who are barely scraping by
02:13 and can't afford to shell out for the program.
02:15 Social workers like Ling Wanzhen, who works for the pension program,
02:19 are all too familiar with this issue.
02:21 Generally, it's mostly the unemployed who pay the premium.
02:25 Others are concerned that the pension just isn't a good use of government resources in the current economy.
02:31 The economy is so bad right now.
02:34 You pay here and there, and the pressure is greater.
02:37 But if you pay now, the money will depreciate.
02:40 And if you pay back, it will be a lot of money.
02:44 It might not be possible.
02:46 With money not flowing into the national pension system
02:49 and payments barely covering the expenses of those who need the help,
02:52 reform is badly needed.
02:54 Otherwise, the program's dependents, Taiwan's taxpayers, and government
02:58 will continue to bear the brunt.
03:00 Klein Wong and Leslie Liao for Taiwan Plus.
03:03 Plus.
03:03 [BLANK_AUDIO]