FINLAND - About a quarter of Finns who now have the possibility for early retirement under the new flexible retirement age are still working, according to Elaketurvakeskus, the Finnish Centre for Pensions.
Under reforms introduced in January this year, Finns can retire on an old-age pension between the ages of 63 and 68. But the centre said some 40,000 people born between 1940 and 1942, making them eligible under the new legislation, are still in working life.
Mikko Pellinen, head of department, commented: “Those born in 1940 are perhaps not in a hurry to retire earlier than planned, as they will anyhow reach the retirement age some time this year.
“Especially those who now reach the age of 63 are clearly not in a hurry. They taste what it feels like to work voluntarily and in this new situation they want to ponder different alternatives without hurrying.”
The centre said the number of applications for an old-age pension had increased “moderately” since the reform took effect.
The number of applications for an old-age pension which had become pending by the end of January this year increased by less than 4000 applications compared to the same date the previous year. Less than every fifth person entitled to make use of the flexible retirement age has so far taken the statutory old-age pension earlier.
Some 2000 Finns have retired this year in accordance with the new legislation. The centre said it was too early to estimate the number of people who had postponed their retirement.
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