A Comparative Analysis on China's Urban Employees' Pension Level before and after Reform

Different payment wage and contributing years of urban employees are the main reasons of the difference in pension. Based on the theory of life actuarial, this paper makes actuarial analysis on relative income of urban employees under some assumption and thereby makes comparative research on the difference of pension before and after the reform of China's endowment insurance system. The results show that the reform increased the life stress on the employees in lower level of payment wage, enlarged the gap of pension level of employees in different retirement age and in different gender because the reform reinforced the connection not only between pension and individual payment wage but also between pension and contributing years. Improving the retirement living level of employees in low income and female is an urgent problem to be solved.