Czech government mulling changes to retirement ages

Retirement ages in Czechia may be changing, though a government spokesman says so far it is just a proposal.

People now in their 50s would retire at 66, those in their 40s at 67, and people younger than 34 at 68, Czech Television reported, citing a Labor Ministry document that the government parties discussed last week.

Government spokesman Václav Smolka said on Twitter that the government has not approved the change, and it is just a proposal made by economists. The Czech Television report misrepresented the situation by saying the document had been approved, he added.

He added that the public would be informed about the final changes in time and there will also be a debate with the opposition on them.

In 2030, the raising of the retirement age will stop at 65. The changes will not affect those who are at least 57 years old now.

If the retirement age is increased by another two years by 2060, the state would save 1 percent of GDP or CZK 73 billion per year, and if it is increased by three years, the state would save 1.5 percent of GDP or CZK 109.5 billion per year.

Finance Minister Zbyněk Stanjura told Czech Television that raising the retirement age must be discussed to maintain a decent level of pensions, he said.

Labor Minister Marian Jurečka proposes in the document that the retirement age increase gradually even after 2030, by two months every year.

Jurečka said people from demanding professions could retire sooner without sanctions. These professions concern about half a million people.

The opposition ANO movement is ready to negotiate about the pension reform, while Freedom and Direct Democracy (SPD) does not support the proposal.