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China will raise the retirement age next year, a move aimed at addressing the demographic challenges in a country where the current age for workers to retire is one of the lowest in the world, the BBC reported.

Under current laws, Chinese men can retire at the age of 60, while women could stop working as early as 50.

But the new regulations will raise the statutory retirement age to 63 for men and 55 for women in blue-collar jobs. The retirement age for women in white-collar jobs will increase from 55 to 58.

Starting in January 2025, the changes will affect millions of workers, with the respective retirement ages raised every few months over the next 15 years.

The plan will require younger generations to work even longer: By 2039, workers will need to contribute to the pension system for 20 years to be eligible for benefits, up from the current 15 years, according to the Wall Street Journal.

The reform comes amid concerns regarding the sustainability of China’s pension system in the face of a rapidly aging population. China’s pension fund may run out of funds by 2035, according to a 2019 report from the Chinese Academy of Social Sciences.

At the same time, the country is grappling with a demographic decline as a result of low birth rates, an aging population and the effects of the decades-long one-child policy – the latter was scrapped in 2016. It has moved to promote marriage and children, recently tightening rules on abortion access and divorce.

The upcoming changes sparked criticism from Chinese workers, both young and middle-aged. Some netizens also complained about older generations still occupying jobs, while many younger workers struggle to find employment.

Youth unemployment reached more than 17 percent in July 2023.

Even so, others viewed the changes as inevitable, noting higher retirement ages in other major economies, such as the United States and those in Western Europe, where male workers typically retire around the ages of 65 to 67.

Analysts said the reform is necessary to maintain productivity because it would allow educated and skilled workers to continue contributing to the workforce. But others warned that the gradual approach to increasing the retirement age is too slow, postponing the political and economic burden on future generations.