Rising Retirement Age Could Help

Because of the losses, Estonia might soon change the retirement age getting in line with other industrialized countries

The pension system in Estonia has no perspectives and as the economic expert of the Development Fund Hiedo Vitsur has said, no political force has had the courage to raise the retirement age.

The birth rate decreased from the 90′s, which has caused that the number of new people coming into the labor market is low and, at the same time, the average age of the population is growing. According to Vitsur everyone is aware of this but nobody wants to bear the consequences.

The results of these consequences are that the Estonian pension system, the sick-fund, education, science and the system of national administration are suffering big losses.

While in Estonia the retirement age is 63 for men and 60 for women, in the most European countries is of 65 years, although, some of them may seek the early retirement.

The European country with the lowest retirement age is France where is at 60 years old and the early retirement age is at 57.

Moreover, in some countries there are still people older than 70 working. In England and Switzerland this group is the 2% while in the U.S. is 5%.