Netherlands: government to encourage work after 65

Piet Hein Donner, Christian Democrat Minister for Employment and Social Affairs, presented, on May 28, the details of his plan to encourage senior citizens to work after legal retirement age. The main incentive measure is a 5% increase of pension rights (AOW) per year worked after 65. (Ref. 080452)
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The Minister stressed the fact that working would by no means be mandatory. This is important, inasmuch as postponing retirement age from 65 to 67 is a recurring debate in Parliament. In addition to the incentive to work beyond 65 with the 5% increase on pension rights (AOW) for every year worked, the government also plans a system of partial payment of pensions which would operate like unemployment benefits to supplement the income of those who choose to work part-time.

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