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FULLY PENSIONED EARLY RETIREMENT

There is no just reason in a sustainable economy that our elders should grow old without security, comfort and dignity. To deny them peace, care and a much needed sense of belonging is nothing short of negligence and cruelty of the highest order!

POLICY AGENDA
* Everyone to have the option to retire at 55.
* Pensions are set at an amount considered to be a comfortable living income.

POLICY CONDITIONS
* Retirement means leaving the private sector job market, with an option to participate in part-time supplementary community employment.
* Supplementary community employment must never overlap the activities of the private sector or public service, and can be paid for at no more than the equivalent minimum wage hourly rate.
* Imports and exports with other trading nations must remain balanced, so that trade imbalances never occur.
* Pensions will be paid only to nationals of the country in which payments are made.
* For expat retirees living abroad, pensions can only be transferred to those in countries that agree to consider these payments as an export credit.

POLICY IMPLEMENTATON
1. There is no reason for anyone not to enjoy dignified retirement in a caring, civilised society.

2. The current pension's funding crisis suffered across the western world is the result of gross incompetence and negligence at the highest levels of government. There is no justifiable economic or moral reason why we should inflict so much pain and hardship on our elder citizens.

3. In a civilised, sustainable economy, everyone should have the opportunity to choose early retirement at 55 years young.

4. At the age of 55, everyone can have the choice to either continue with their work in the free-market or retire from the private sector or public service and draw a pension. Individuals who choose to retire would be paid 120% of a country's 'living wage' - irrespective of whether you are single or married. For those who retire and want to supplement their pension and participate in community service, they can take part-time employment as Community Employees - see section 'key reforms | FULL EMPLOYMENT'.

5. Community Employment schemes would offer retired people the possibility to participate in improving community infrastructure and services - work that in no way competes with or undermines the dynamics of the private sector. This measure guards against deflationary pressures on private sector labour costs. This is very important since the possibility for retirees claiming pension to earn supplementary income should not compete and undermine the younger person employed in the free-market.

6. Pensions can only be claimed by those who can prove they are living in the local economy, by registering each week at any state welfare office in the country, or forfeit the pension payment for each week they fail to register. Individuals can have 8 'no show' weeks a year to allow for foreign holidays.

7. This is a non-contributory system, so pension payments are not in any way dependent on prior contributions. However, pensions must only be paid to those who can show proof of being a national of the country in which payments are made. So for example, a 55 year old returning to their country for which they hold a valid passport, after many years living/working abroad, could return and immediately start receiving full pension payments.

8. Pensions would be funded from general tax revenues. Until an affordable home building program is in place and the resulting low-cost economy has reached equilibrium, additional funds can be 'printed' by a nation's central bank if necessary. Inflation I hear you say! This is NOT borrowed money so would add nothing to a nations' debt mountain. Inflation would only be a problem if this money simply financed a spending spree on imports. National accounts that strictly maintain balanced books on imports and exports are therefore of critical importance.

9. This raises an issue relating to pensioners choosing to retire overseas since money transferred abroad is money lost to the local economy in the country where the pension funds were raised. Therefore pensions must only be transferred to countries that agree to consider such payments as an export credit. This means for example, that for every 100,000 transferred to a country in pension payments, that country must import an equivalent amount of goods/services to balance the books.

10. So, to recap. Pensions can be funded from taxation with the following strict conditions. a) Supplementary community employment must never overlap the activities of the free-market or public service. b) Imports and exports with other trading nations must remain balanced, so that trade imbalances never occur. c). Pensions can only be transferred to countries that agree to consider such payments as an export credit. d). Pensions are paid only to nationals of the country in which payments are made.

11. With these four major controls adhered to, payments can be safely made to finance pensions. Paying pensions means extra cash injected into the real economy, where it is needed most. In this way, retired persons have the means to afford the essentials of civilised, dignified life - food on the table and a roof over their heads.

12. Paying decent pensions is a much better way to inject money into an economy than the current preferred method using the central banks - via Quantitative Easing. QE merely 'prints' and injects cash at the top of the economy, into the hands of the banks... where it stops! This serves only to recapitalise bad debts of bad banks. A healthy economy needs money to circulate and the best way to stimulate an economy is to circulate money from the bottom up by paying the unemployed and retired people in society, who generally need to spend rather than save.

13. With all this extra cash injected into the economy, the increasing circulation of money stimulates the economy and drives the creation of new free-market goods and services, thereby significantly increasing the number of better-paid, free-market employment opportunities for the young.

14. Since pensions would be typically spent rather than saved, pensions funding would generate public purse tax revenues of 20% VAT on each of the subsequent transactions this additional money creates in the real economy.

The most important reforms are described with full details of policy and financing in the section [ principles of change | A MANIFESTO FOR CHANGE ]. These reforms are absolutely necessary to initiate positive reform of our political systems. Policy in all areas of state involvement needs urgent attention but must be part of an ongoing process of consensual change through a system of direct democracy and consultative referendum.

We are NOT a political party but a movement for social economic reform. We want to help restore democracy in Europe and put public money and political power back in the hands of all citizens. We want an economy that works for the people and not for the ruling elite. Simply spread the word to become part of the movement and together we can be the catalyst for change.

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live 2b3 ...and help build a better world. A social economic model for sustainable living in a people and resource based society - it's time for change. Written by: Michael Livingston Seagull
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