Many Swiss over 50 years old retire early or are deterred from working past the retirement age because of a lack of financial incentives and part-time job opportunities.
This content was published on
2 minutes
Keystone-SDA/jdp
This is according to the latest study on the ageing workforceExternal link in Switzerland by the consulting firm Deloitte. It found that 66% of the 1,000 respondents who are already retired were unable to continue working. Of this group, 46% would have liked to do so – equivalent to almost one third (30%) of all people already receiving their pension.
Many Swiss also retire early. The Swiss Federal Statistical Office indicates that 12% of employed men aged 60 take early retirement, rising to 29% of 63-year-olds and more than 40% of 64-year-olds.
Not surprisingly labour market participation among the 60+ age group is considerably lower in Switzerland (23%) than in other countries (OECD average 27%).
Engaging older workers, who would like to work longer, could help fill the labour shortfall, which Swiss bank UBS estimates could reach 500,000 workers by 2030.
“Our study shows that a good part of the 50+ age group is clearly willing to continue work beyond the statutory retirement age,” says Michael Grampp, chief economist at Deloitte Switzerland and co-author of the study.
“This is good news for the Swiss economy. If this potential were fully tapped, it could substantially correct the worsening imbalance between those entering and leaving the labour market and relieve pressure on the social security system.”
Lack of incentives
Older employees often stop working voluntarily but some feel forced into early retirement. Overall, 25% of those taking early retirement report that their decision was not entirely voluntary. Many survey respondents indicated that they want to work part-time but often don’t find job opportunities.
The study notes other obstacles to engaging older workers including employees’ mindsets and incentives. For example, employees that work beyond retirement age continue to pay contributions to the state old-age pension scheme (AHV/AVS) but gain no benefit in terms of a larger pension when they do retire.
The findings are based primarily on a survey carried out in June of 1,000 individuals aged between 50 and 70 living in Switzerland. More than 20 face-to-face interviews were also conducted with managers from large Swiss companies and experts from cantonal and national agencies and associations.
More
More
Switzerland at risk of skilled labour shortage
This content was published on
The record-low unemployment rate of 2.4% is expected to lead to a shortage of skilled professionals.
What do you think Switzerland’s Alain Berset can bring to the Council of Europe?
The former interior minister is to become the first Swiss Secretary General of the Council of Europe – which issues should his five-year term focus on?
How is your country dealing with the return of stolen artifacts?
Western nations like Switzerland often have to deal with the process of recovering or returning looted artifacts which have been illegally imported. What’s the situation like in your country?
Swiss cinemas report drop in admissions in first half of 2024
This content was published on
The decline in cinema-goers has continued so far this year. Swiss films and smaller cinemas are holding up better than big US productions and multiplex.
Spread of Japanese beetle leads to lawn-watering bans in Basel
This content was published on
Basel City authorities have extended an infestation zone with strict guidelines to a good third of the canton’s territory.
Bad weather forces closure of many Swiss hiking trails
This content was published on
Some 620 trails are still closed due to the extreme weather this summer, with the canton of Valais particularly hard hit.
This content was published on
The two cities have beaten off Zurich and Bern to make it onto the shortlist to host the Europe-wide singing extravaganza next May.
This content was published on
Construction expenditure rose by 0.3% last year in nominal terms, but the price-adjusted situation reveals a 2.5% drop, statistics show.
Another body found in southern Switzerland after June storms
This content was published on
The body found in the Maggia river in Ticino on Thursday is “likely” to be the sixth victim of storms last month, police said.
Swiss helicopter rescue pioneers safe autopilot approach system
This content was published on
Swiss air rescue company Rega has received approval for a new kind of instrument flight system for approaching a hospital.
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Well-educated older people report better health
This content was published on
The latest federal health survey of people 55 and older reveals that social factors such as education influence health into old age.
This content was published on
Since 2001, the Swiss Council for the Elderly has given this growing sector of the population a means of being heard. But challenges still lie ahead.
This content was published on
Sprightly seniors assist the elderly who are less able than they are. In return the hours they invest are credited to their accounts.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.