Kirsty Mckenzie
A REPORT for the government has raised the possibility that millions of people in Spain may have to work longer to qualify for a state pension.
The reform package, which could be signed off next week, has suggested that workers under the age of 61 may not get a pension until the age of 67.
The document states that Spain’s retirement age, which is currently 65, could be pushed back to 67 in six years time.
Ministers could also sign off a law that would prohibit the forced retirement of those under 68.
The government is set to make a decision on the proposals next week.
Ministers are under pressure to address the expected rise in the cost of pensions, which stems from longer life expectancy and the increasing ratio of pensioners to workers.
The state payment is paid to anyone who has made at least 15 years’ worth of social security contributions during their working lifetime.
The average payment is around €900 a month, but how much you get depends on how many years you contributed for.
The contributory retirement pension (Pension por Jubilacion Ordinaria) represents the main source of retirement income for approximately 8.75 million pensioners in Spain.
The move to increase the retirement age reflects the country’s growing life expectancy – with the young people in Spain now predicted to comfortably reach their 80s.
Life expectancy at birth in Spain increased from 72.26 years in 1971 to 83.69 years in 2020 – growing at an average annual rate of 0.30%.
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