Finnish officials propose raising minimum pension age to 70

Finland’s Ministry of Finance officials have proposed raising the minimum retirement age to 70 from 2032, with the threshold increasing by six months for each age cohort, Yle reports.

More than half of Finns aged 65 to 74 say they are fully fit for work, according to the Finnish Institute for Health and Welfare’s Terve Suomi study. But physical ability varies widely among people of the same age: some have difficulty walking, while others can run.

The institute’s special researcher Katri Sääksjärvi said longer life expectancy does not mean everyone will be in good health at 70. People are exercising less and obesity is increasing, she said, although older people report being able to live independently at home for longer.

The study also indicates that hundreds of thousands of people of retirement age consider themselves fit to work but are not employed. Sääksjärvi said this suggests a significant amount of potential in the labour market is going unused.

The Finance Ministry estimates that raising the retirement age could add between 50,000 and 120,000 people to employment in Finland. The proposal has drawn strong opposition, including from the Social Democratic Party.

Jari Kannisto, development director at the Finnish Centre for Pensions, said a retirement age of 70 could be possible in the future, but described the ministry’s proposed timetable as very tight. He noted that the current increase in the retirement age has been progressing at half the proposed pace.

In 2024, 180,000 people worked while receiving an old-age pension, a slight decrease from the previous year. The work is especially attractive to retired people with higher education and incomes. Denmark has decided to raise the retirement age to 70 for people born after 1970.