Pension Reform Demands Urgent Action Amidst Rising Retirement Ages

Italy’s social security system faces crucial challenges as retirement ages climb and unions push for change. The current trajectory, with citizens potentially retiring in their early seventies, necessitates immediate intervention and flexible solutions for workers.

Union Proposals for Pension Flexibility

Discussions between the government and unions have stalled. However, labor unions are voicing crucial data, proposing modifications to the current system. These include introducing flexible pensions at 62 and reinstating retirement for women at 58, eliminating present constraints.

“Flexible pensions at 62 years old with the Restoration of retirement for women at 58 years old eliminating the constraints currently in force. A combination that could give new life to the social security system.”

—Person Name, Title

Recent data highlights that Italy’s retirement age is among the highest in the European Union. The average retirement age is projected to hit 67 years and 3 months by 2027, potentially exceeding 71 by 2060 (Eurostat 2024).

Challenges and Rising Retirement Ages

The current rise in life expectancy is a key factor in the increasing retirement age, which affects workers, especially those in difficult jobs. The current system, based on life expectancy, means that the requirements will keep growing.

Proposed Solutions and Urgent Action

The focus should be on a flexible exit mechanism. This could start at 62 years old, especially for those with heavy or demanding roles. Person Name, the general secretary, insists on returning to the political agenda the reform of the social security system.

The UIL proposes flexible pensions for everyone at 62, with a return of the older “women’s option.” This option allowed exit at 58 for employees and 59 for the self-employed, provided they had contributed for at least 35 years.