The gradual pushing back of the retirement age that has begun in most European countries is still ongoing, with a resultant increase in the employment rate of employees over 55, though to varying degrees depending on the country. For most of these, the target age is 65 in 2031. Denmark, whose statutory retirement age is currently 67, is setting the bar even higher, with plans to push it back to 69. Only Greece (with 40 insurance years) and Norway (on condition of being able to claim a certain pension level) will maintain the possibility of retirement at 62, excluding early retirement. The objective of raising the retirement age is the same everywhere: to meet the challenge of demographic change in order to ensure the financial viability of pension systems.
Direct impact on the employment rate of older people
“Increasing the retirement age or the number of years you have to work to qualify for the full pension rate is the number one factor in increasing the employment rate of older people. This is particularly true in France, following the 2010 reform that raised the statutory retirement age from 60 to 62,” explains economist Stéphane Carcillo, head of the jobs and income division at the OECD. This shift is leading to changes in the behaviour of people aged 55 and over, who are “putting themselves in a position to remain in employment“, but it is also encouraging employers to keep older people in work, he adds.
