“Working Until 70”: Austria’s Coalition Splits Over Pension Age

Austria

A new week has brought another round in Austria’s simmering fight over the retirement age. This time, Tyrol’s governor has waded into the debate, the liberal NEOS party feels vindicated in its long-standing stance, and one voice remains firmly opposed: the Social Democrats, the SPÖ.

Few issues divide Austria’s three way coalition the conservative ÖVP, the SPÖ, and NEOS as sharply as when people should be allowed to retire. NEOS has long pushed to tie retirement age to life expectancy, and the ÖVP appears to be warming to alternative approaches, according to 5 Minuten. Even Ingrid Korosec, head of the ÖVP’s Senior Citizens’ League, has suggested retirement should depend on years worked rather than years lived alone.

Speaking on Austrian public radio, Tyrol’s governor Anton Mattle (ÖVP) argued the earliest anyone should retire is 65 and only after 45 years in the workforce. Fall short, and you work longer. Parents would get credit for time spent raising children.

NEOS renewed its call for urgent reform. “Working people need clarity and predictability, especially with pensions,” said social affairs spokesman Johannes Gasser. “We need to discuss this now, not in ten or twenty years.”

Not everyone agrees. The Austrian Pensioners’ Association (PVÖ) dismissed the push outright, saying it “solves not a single problem.” The SPÖ was equally blunt. Federal general secretary Klaus Seltenheim rejected the proposals flatly: “A secure pension is a matter of respect for the life’s work of working people. There will be no ‘working until 70’ with the SPÖ.”

Seltenheim also warned that linking retirement to years worked would disadvantage university graduates and raise unemployment among older workers. Instead, the SPÖ and PVÖ argue employers should face pressure through a bonus malus system rewarding companies that keep older staff on.

Vice Chancellor and SPÖ leader Andreas Babler echoed the resistance, framing the entire debate as, ultimately, a question of respect.