The large gap between men and women in Israel is prominent, and it raises a question regarding women’s ability to save sufficiently for retirement. The longer a decision to raise the retirement age for women further is delayed, the more necessary it will be later on to do so more rapidly, and with greater problems.
The effect of the trends on the replacement ratio: In view of the trends I have so far presented, a most interesting question arises: What will happen to the level of pension payments at retirement? The variable that we customarily look at in this context is the replacement rate – what will the retiree’s income be, compared to his pre-retirement wage?