Part-time pension means working part-time
An ageing employee or entrepreneur can reduce his/her workload by transferring to part-time work and applying for part-time pension in addition to working. The entitlement to part-time pension varies to an extent between the private and public sectors.
Private-sector employees can retire on part-time pension if:
- You are 58-67 years old. If you were born in 1953 or later, the lower age limit is 60 years.
- You have been in full-time employment for 12 months during the past 18 months (the review period may be prolonged by a maximum of six months if, during this time, you have received sickness allowance, sick pay, income compensation or daily allowance under the Motor Liability Insurance Act or the Workers' Compensation Insurance Act).
- You have accrued earnings-related pension for at least five years during the past 15 years.
- You do not draw any other pension in your own right, nor equivalent benefit from abroad.
Other terms and conditions of part-time pension:
- When you transfer to part-time work on your part-time pension, your earnings must decrease and amount to 35–70 per cent of your standard earnings in full-time work.
- The decrease in earnings must correspond to the reduction in working hours.
- Any breaks in your part-time work may not exceed six weeks. Annual holiday or sick leave periods do not constitute such breaks while lay-offs do.