Keynote Address By Ms Anne Hollonds Director, Australian Institute - - PowerPoint PPT Presentation

Keynote Address

By Ms Anne Hollonds Director, Australian Institute of Family Studies

Discovering what works for families

Challenges and Opportunities of Family Policy in an Ageing Society

Asian Families Conference 29 November 2017

Discovering what works for families Australian Institute of Family Studies

Acknowledgements

Acknowledgements to Dr Diana Warren and Dr Pilar Rioseco Lopez from AIFS for their assistance, including new analysis of data for this presentation.

The views expressed in this paper are those of the author and may not reflect the views of the Australian Institute of Family Studies or the Australian Government.

Discovering what works for families Australian Institute of Family Studies

World Health Organisation 2002

“The time to act is now”

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Demographic overview

32 44 31 43 34 33 38 22 27 33 21 63 52 62 52 59 60 57 68 65 59 63 5 4 8 6 7 7 6 11 8 7 16 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Age composition of population, 2000

0-14 15-59 60+

19 24 20 23 20 20 20 14 17 20 18 57 64 58 63 59 59 60 51 56 57 54 24 12 22 13 21 22 20 35 27 24 28 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Age composition of population, 2050

0-14 15-59 60+

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The ageing population: a challenge or opportunity?

• Proportion of Australians

aged 65 and over: currently 13% and expected 25% by 2056

• Population is ageing faster

in Asia

• Everywhere the number of

“working age” people is shrinking in comparison

• “How will we pay for all

these elderly people”?

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Perspectives on Family Policy and Ageing

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The Australian Retirement Income System

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The Australian Retirement Income System

Policy reform aims to:

• Increase mature age

labour force participation

• Provide higher levels of

savings and a better standard of living in retirement

• Reduce reliance on the

Age Pension as the main source of retirement income

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Gender gap in retirement savings

Three main causes of the gender gap in superannuation savings: 1. The gender–wage gap: On average, men earn more than women. In 2015, the full-time gender pay gap was 18%. 2. Time out of paid employment: Women are more likely to take time out of paid employment to care for children or other family members. 3. Differences in working hours: Women are also more likely to work part-time because of caring responsibilities. These factors combine to increase the gender difference in superannuation savings over time, due to the compounding effect of accumulating returns on superannuation.

Discovering what works for families Australian Institute of Family Studies 100000 200000 300000 400000 500000 600000 700000 800000 30 35 40 45 50 55 60 65

Expected Superannuation Balance ($)

Age

Man: Continuous full- time employment Woman: Continuous full-time employment Woman: 5 year career break, then full-time Woman: 1 year career break, then part-time Woman: 5 year career break, then part-time Woman: 1 year career break, then full-time

$425K

The superannuation gender gap

$751K $611K $326K $584K $487K $384K

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Trends in mature age labour force participation

Mature age labour force participation currently highest on record: more women participating and fewer men leaving the workforce

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Reasons why

• Those approaching retirement are healthier and better

educated

• Higher expectations about living standards
• Superannuation as incentive to delay retirement
• Increased demand for older workers
• Fewer children/more access to childcare and maternity

leave: women staying in workforce

• Pressure from inadequate retirement savings (after the

Global Financial Crisis)

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How to maintain good health at older ages?

• 1. Physical activity
• 2. Social engagement

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Physical activity and health

• Adults who are physically active have lower rates of all-cause

mortality, coronary heart disease, high blood pressure, stroke, type 2 diabetes, metabolic syndrome, colon and breast cancer, and depression

• Physical inactivity makes the second largest contribution to the cancer

burden in Australia (behind tobacco smoking)

• The total annual economic cost of physical inactivity in Australia has

been estimated at $13.8 billion However:

• Only one-third of children, and 1 in 10 young people meet the physical

activity recommendation for their age group

• 60% of adults did less than the recommended 30 minutes of moderate

intensity physical activity per day. (Aust Health Survey 2012)

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Adults who engage in regular physical activity are more likely to be in good health

17% 3% 2% 27% 19% 9% 33% 35% 31% 17% 36% 42% 6% 8% 16%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Not at all 1-2 times a week or less 3 times a week or more

Self-assessed health by level of physical activity adults aged 50-54

Excellent Very good Good Fair Poor

Source: Self-completed questionnaire HILDA Wave 1, adults aged 50-54, weighted.

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Adults physically active at younger ages more likely to be physically active later in life

Source: Self-completed questionnaire HILDA Waves 1 and 15, weighted.

36% 11% 6% 38% 50% 37% 26% 39% 57%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Not at all 1-2 times a week or less 3 times a week or more Physical activity at age 30-34

Physical activity at age 45-49 by level of physical activity at age 30-34

15 years later "3 times a week or more" 15 years later "1-2 times a week or less" 15 years later "Not at all"

48% 17% 8% 33% 48% 30% 18% 36% 62%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Not at all 1-2 times a week or less 3 times a week or more Physical activity at age 50-54

Physical activity at age 65-69 by level of physical activity at age 50-54

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Social engagement and health

• Strong social networks are

associated with survival in older Australians

• The effect of social relationships
• n survival is stronger than the

negative effects of drinking alcohol excessively and the lack

• f physical activity
• Older adults are at higher risk of

social isolation than other

• groups. Around 20% of older

Australians are socially isolated

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Females engage in social activities more regularly than males

55% 64% 63% 66% 68% 74% 33% 28% 27% 27% 25% 20% 12% 9% 10% 6% 7% 6% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

50-54 55-59 60-64 65-69 70-74 75+

Females

47% 49% 58% 51% 60% 47% 36% 33% 34% 37% 30% 36% 18% 18% 8% 12% 10% 17% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

50-54 55-59 60-64 65-69 70-74 75+

Males

Once/twice every 3 months or less 1 to 3 times a month Once a week

• r more

Frequency of social activities with family and friends who do not live with you, by age

Source: Self-completed questionnaire HILDA Wave 1, adults aged 50 or over, weighted.

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Adults who have been socially active in the past, are more likely to continue regular social activities later in life

Source: Self-completed questionnaire HILDA Waves 1 and 15, weighted.

51% 32% 17% 38% 45% 48% 11% 22% 35%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Once a week or more 2-3 times a month

• r less

Once/twice every 3 months or less Social acvities at age 30-34

Social activities at age 45-49 by level

• f social activity at age 30-34

15 years later "Once/twice every 3 months or less" 15 years later "2-3 times a month or less" 15 years later "Once a week or more"

69% 47% 36% 25% 45% 38% 6% 8% 27%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Once a week or more 2-3 times a month

• r less

Once/twice every 3 months or less Social acvities at age 50-54

Social activities at age 65-69 by level

• f social activity at age 50-54

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Adults who engage in regular social activities with family and friends are more likely to be in good health

6% 4% 12% 19% 24% 30% 36% 42% 34% 31% 23% 21% 7% 8% 3%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Once a week or more 1 to 3 times a month Once/twice every 3 months or less

Self-assessed health by frequency of social activities adults aged 65-69

Excellent Very good Good Fair Poor

Source: Self-completed questionnaire HILDA Wave 1, adults aged 65-69, weighted.

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Perspectives on Family Policy and Ageing

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Household type of older Australians

Source: HILDA Survey, Wave 15, 2015

31% 12% 5% 29% 10% 8% 41% 35% 11% 45% 33% 30% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 55-64 65-74 75+ 55-64 65-74 75+ 55-64 65-74 75+ 55-64 65-74 75+ People Born in Australia People Born in Mainly English Speaking Countries other than Australia People Born in Other Non-English Speaking Countries People Born in Asia

Household Type, by Age Group and Country of Birth

Couple, no others Couple with children or others Single parent household Other family, no children Lone Person Group Household Multi Family Household

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Who do your parents live with?

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% AUS MESB Asia NESB - Other AUS MESB Asia NESB - Other AUS MESB Asia NESB - Other Parents live together Mother Only (Separated or Widowed) Father Only (Separated or Widowed)

Parents' living situation, by country of birth (individuals aged 50+)

Live independently Supported livng Nursing Home With me With my sibling(s) With other relatives With someone else

Source: HILDA Survey, Wave 15, 2015

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Ageing in place

• Two in three people aged
• ver 50 intend to remain in

their current home

• Yet only 38% have plans in

place to prepare for getting

• lder and becoming frailer
• For those who intend to

remain in their own home:

– 36% have no design features in their home to assist frail people – 29% cannot afford such changes

Source: 2012 National Seniors Survey

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Ageing in place

• From age 65: 28% of males

46% of females will be admitted to residential care

• Affordability and suitability of

housing is a key concern:

– Only 25% believed they could afford costs of aged care – 40% of respondents did not know if they could afford their aged care costs in the future – underscoring the importance

• f retirement planning

Source: 2012 National Seniors Survey

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The new “young old”?

A new stage of life is emerging between the end of the conventional working age and the onset of old age

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What do we know about these “young old”?

• Relatively good health
• Often still working
• Money to spend
• Want financial security

and flexibility

• They will remain

productive for longer, not just because they must but because they can

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Inequalities

“Inequalities experienced in earlier life in access to education, employment and health care, as well as those based on gender and race, have a critical bearing on status and well being in older age”.

WHO 2002

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Grandparenting

• Children with a co-resident

grandparent - percentages are highest among the 0–1 year old children: 7%

• Non-resident grandparents are

providing a lot of support:

– 40% of kids under 3 years have grandparent care weekly,

• ften supplementing other

forms of childcare – Grandparent child care is also significant for school-age children

Source: LSAC; Baxter 2013

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Intergenerational relationships

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Perspectives on Family Policy and Ageing

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Multidisciplinary perspectives

Physical and mental health Housing and urban/rural planning; Technology Education and lifelong learning Employment Social security Aged Care services Family and relationship support services Justice

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“Active ageing” - WHO 2002

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Perspectives on Family Policy and Ageing

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Policy opportunities

• Change employment

practices to facilitate mature workers’ participation

• Facilitate lifelong learning
• Promote intergenerational

support and forward planning

• Facilitate “active ageing” by

making healthy behaviours and social participation easy to choose

• Culture change and

multidisciplinary action and collaboration required

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Policy opportunities

• Promote lifelong learning (and earning)
• Promote good interpersonal relationships
• Promote healthy behaviours (physical activity, no smoking, nutrition)
• Promote adaptive capabilities and socio-emotional skills (to deal with

change, stress and relationships)

• Structural measures to address disadvantage and barriers due to gender,

disability, race and poverty.

• Review employment policies, and workplace culture and practices
• Review housing policies; transport;
• Create safe neighbourhoods (good for young and old)

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Policy opportunities Designing “human-centred” policy and services means we are interested in the experience and aspirations

• f people, and what

requires change or adaptation in situations or circumstances.

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Understanding “what matters most”

Good for young and older

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What matters most to families in the 21st Century?

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Advance planning tools in the Australian context

• Advance planning tools (for eg., executing a will; enduring appointments):

➢ opportunity to exercise choice and control in decision-making into older age and in the event of loss of capacity in the future.

• Legislation in each state and territory provide for enduring appointments but

there are variations between the states and territories: ➢ ALRC 2017 recommendation: “national approach to enduring documents”.

• Benefits of advance planning include:

➢ Making arrangements for the management of financial, medical and other personal matters. ➢ Selecting trusted person/s to support or make decisions.

• However, advance planning cannot remove all risk of of abuse.

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Who cares for your parents?

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% AUS MESB Asia NESB - Other AUS MESB Asia NESB - Other Mother Father

Who spends most time meeting the needs of your parent(s)? (individuals aged 50+)

Spouse/partner Me My spouse/partner My sister My brother Friend/other relative In-home professional carers Staff members of the nursing home Other

Source: HILDA Survey, Wave 15, 2015