Migrants in the early retirement boom: Denmark sounds the alarm!

Migrants in the early retirement boom: Denmark sounds the alarm!

In Denmark, a surprising development is causing heated debates: numerous non-Western migrants are retiring early! Is migration really the savior for demographic change in the world of work? A study by the Danish Employers' Association (DA) shows worrying figures: Migrants from Afghanistan, Iraq and the former Yugoslav states in particular are withdrawing from working life at an above-average age between the ages of 50 and 67. More than half of them decide to retire early, while only eleven percent of Danes dare to take this step. This is a real eye opener! These spectacular numbers were in Young freedom revealed.

The question that arises is: Why do so many migrants withdraw early? The employers' association cites physically tough jobs and health problems caused by “escape experiences” as possible reasons. But these explanations are controversial. Erik Simonsen, the DA's labor market director, emphasizes the urgency of tightening access regulations to early retirement and better integrating migrants into the labor market. Could this be the solution to mitigate the stark differences?

A look at Germany

The situation in Germany presents a slightly different picture, as the local pension system has different requirements. In order to take early retirement here, at least five years of employment subject to social security contributions are required. Nevertheless, the figures from the German Pension Insurance (DRV) reveal discrepancies: of 50 to 65-year-old Germans, 13 percent are in retirement, many of them prematurely or due to illness. The proportion of foreign early retirees is slightly lower at eleven percent, but here too there are differences between the groups of origin: 20 percent of Turks, but only five percent of Iraqis, six percent of Afghans and only four percent of Kosovars are in early retirement.

Similar to Denmark, German pensioners of other origins are affected to varying degrees by early retirement. However, it should be noted that in Germany - like World reported – the structure of the pension system offers various special features. While the system in Denmark generously allows early retirement without long insurance periods, in Germany the focus is on the contribution period. This could explain why the proportion in Germany is lower than in Denmark.

Demands and perspectives

The call for change is getting louder, both in Denmark and in Germany. The integration of migrants into the labor market must be increased in order to relieve the burden on pension systems and create fairer conditions. Better access and working conditions could help make early retirement less attractive and reduce health burdens. Only through such reforms can migration be seen as a lasting answer to demographic challenges.