Greece sees rise in pending pension applications and recalculations

Greece is experiencing a significant rise in pending pension applications, with approximately 120,000 requests currently awaiting processing according to EFKA data and the Parliament Budget Office. During the first half of this year alone, retirement applications exceeded 110,000. This trend persists despite declining pension amounts; the average new private sector pension is approximately €776, which is below the minimum wage.

Factors driving early retirement include labor market insecurity, fears of rising retirement ages, and the impact of previous austerity-era calculation methods. Many workers choose to secure their pension income and then continue working to supplement their earnings, leading to a surge in the number of employed retirees, which has reached roughly 300,000.

Simultaneously, a new cycle of pension recalculations is underway via e-EFKA, affecting about 37,000 retirees. This process primarily benefits those with over 30 years of insurance contributions who are entitled to improved replacement rates under Law 4670/2020. These adjustments, effective from October 1, 2019, could result in monthly increases of up to €240 and retroactive payments reaching €19,643 in certain cases. The largest number of pending recalculations involves the OAEE-TEVE fund, followed by IKA and the Public Sector.