Austria: AMS head Johannes Kopf calls for higher retirement age

Johannes Kopf, head of the Austrian Public Employment Service (AMS), has stated that raising the legal retirement age in Austria is inevitable due to demographic and economic realities. Speaking on ORF, Kopf noted that ‘mathematics eventually triumphs over ideology,’ suggesting that political decisions must prioritize necessity over popularity.

Kopf highlighted that the demographic profile of the electorate, where many voters are over 50 and focused on pension benefits, often slows such reforms. He also addressed labor shortages, suggesting that companies complaining of a lack of workers must consider hiring older employees.

Austria is currently undergoing a significant pension reform, gradually raising the retirement age for women from 60 to 65 by 2033. While this transition has integrated 58,000 women over the age of 60 into the workforce, it has also coincided with an increase in unemployment within this age group by approximately 7,500 people.