The Supreme Court has ruled that the maximum age people are physically able to work will be set as 65, breaking a nearly 30-year precedent that will significantly impact the country’s labor and insurance markets. 

The 13-member bench on Thursday reversed an appellate court ruling that ordered the family of a drowning accident victim to be compensated based on the maximum working age of 60, which was recognized by the Supreme Court in 1989.

The court said that the situation at the time of the 1989 ruling is different than today due to the country’s developing social and economic structure as well as revisions to the legal system. 

After losing their son in a swimming accident in 2015, the victim's family identified by the surname Park sued the swimming pool operator.

While the family argued the compensation should have been based on the assumption that their son would have been able to work until the age of 65, the lower courts set the maximum age at 60 based on the 1989 ruling. 

Last November, the Supreme Court heard opinions from related experts before making their decision.