Denmark’s parliament has voted to raise the retirement age to 70. The bill passed with 81 votes in favour and 21 against. The new law will apply to people born after December 31, 1970. Currently, the average retirement age is 67, but it can rise to 69 for those born on or after January 1, 1967.
Government Cites Welfare Sustainability
Employment Minister Ane Halsboe-Jørgensen said the increase is necessary to afford proper welfare for future generations. Denmark has nearly 6 million people, with approximately 713,000 aged between 60 and 69, and around 580,000 between 70 and 79, according to official statistics.
More Danes Working Beyond Pension Age
The Danish trade association for insurance companies and pension funds, F&P, noted a clear increase in people working beyond the state pension age. Around 80,000 people over the pension age remain in work. F&P attributed this rise to good economic conditions, flexible employers, better financial incentives, and a greater desire to work longer.
Jan V. Hansen, F&P’s director of pensions, stated many Danes have the health and desire to continue working even after retirement age. He acknowledged that while the new age of 70 may seem daunting, figures show more people remain employed longer.
Opposition Voices Criticism
The socialist Red-Green Alliance criticised the government and right-wing parties for the “unreasonably high” retirement age. They condemned the decision given that many ministers can retire at 60 with substantial pension benefits. Pelle Dragsted, a party member, called the policy incomprehensible and indefensible. He highlighted concerns from workers in physically demanding jobs, such as teachers and scaffolders, who struggle to work longer.
Denmark Leads Europe in Retirement Age
Denmark is the first European country to set retirement beyond the 60s, aligning with Libya as one of the highest globally. This contrasts with recent moves elsewhere, such as France, where protests erupted over raising the retirement age to 64. China recently increased retirement ages for men and women, but their ages remain lower than Denmark’s new target.
The UK plans to raise its state pension age to 67 between 2026 and 2028, with possible future increases to 68. The US has a similar retirement age but allows some Social Security benefits from 62. Americans often work longer due to financial needs despite better health and remote work options.
Link to Life Expectancy and Previous Policies
Since 2006, Denmark’s retirement age linked directly to life expectancy, currently 81.7 years. The age rises gradually, with plans for 68 in 2030 and 69 in 2035. The new law pushes this further, setting age 70 by 2040.
The bill’s passage prompted public anger, as many hoped the retirement age would not hit this symbolic milestone. Many Danes fear being forced to work into their late seventies.
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Prime Minister’s Caution on Future Raises
Prime Minister Mette Frederiksen said the policy is unsustainable long-term. She argued that increasing retirement age automatically is no longer viable. Frederiksen warned that it is unreasonable to expect people to work longer indefinitely.
Concerns from Workers and Public
Public reaction includes fear and frustration, especially from those in manual jobs. Roofer Tommas Jensen described the policy as “unrealistic and unreasonable.” He stressed that physically demanding work is harder to sustain with age. Jensen said he paid taxes all his life and deserves time with family.
Survey Shows Mixed Attitudes
Surveys reveal that over half of Danes wish to continue working beyond pension age. Many prefer a gradual retirement process during their 60s rather than stopping work suddenly.
Jesper Ettrup Rasmussen, chair of the Danish trade union confederation, called the change “completely unfair.” He noted Denmark’s healthy economy yet highest EU retirement age. Rasmussen warned that higher retirement ages reduce the chance of a dignified senior life.
Political Pensions Draw Criticism
Some Danes have criticised politicians who retire at 60 with generous parliamentary pensions. Prime Minister Frederiksen and 26 MPs elected before 2007 qualify for such pensions after one year in office. This disparity fuels public dissatisfaction with the new retirement law.
