Sunday, September 20, 2009

Immigration not the only way to counter our ageing population


THE Rudd government should be wary about using high levels of immigration in coming decades as a means to counteract the decline in productivity resulting from an ageing population because more over-55s are staying on in their jobs, a population expert warns.

Monash University demographer Bob Birrell said Treasury's new population estimate for Australia -- 35 million by 2050 -- was based on immigration levels of about 180,000 a year, a rate that may not be necessary to keep the economy running and will be difficult to provide for in terms of urban infrastructure and services.

"The government seems to have bought the argument that business in Australia needs a high amount of labour force growth to keep it going in the future. The rest of us are going to have to bear the consequences of that," Professor Birrell said yesterday.

"The government doesn't seem prepared to explore how we need to make social adjustments; rather, they are relying on the prop of bringing in more people of younger ages to essentially put all the older people to bed."

See full Article.