Group proposes raising retirement age

Longer life expectancy and a declining birth rate mean the retirement age must be gradually increased to save old age pensions, a think tank said on Tuesday.

This content was published on October 13, 2009 - 10:28

Avenir Suisse, an independent group that promotes social and economic development, said current demographic trends are destabilising Switzerland's old-age pension fund.

By 2026, the retirement age should be 67 years old, up from the current 65, Avenir Suisse said. The group has proposed making the jump gradual by bumping the retirement age back by one to two months each year.

At the same time, Avenir Suisse says parliament needs to look seriously at a flexible retirement age. Quitting work before the official retirement age would mean reduced pension benefits, while for those who work longer benefits would increase.

How many years a person spends in the workforce would also be a factor in determining when they could begin receiving full pension benefits. Avenir Suisse suggests jobs held by workers 16 years and older should count. Currently the age is 20. and agencies

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