Norway proposes pension supplement for long-term workers

The Norwegian government has proposed a ‘slitertillegg’ (wear-and-tear supplement) for pensioners, intended to provide approximately 34,000 NOK annually. The proposal aims to allow individuals with long and physically demanding careers to retire up to five years earlier than the standard retirement age. To qualify, individuals must have worked for at least 35 years and earned less than 970,000 NOK per year.

Labor and Inclusion Minister Kjersti Stenseng stated that the supplement is designed to ensure financial security for those who cannot continue working until the standard retirement age. Unlike private pension schemes that expire at age 80, the government proposes that this supplement lasts for life to prevent a loss of purchasing power in later years.

While the Norwegian Pensioners' Association (Pensjonistforbundet) supports the concept of the supplement, its leader, Erna Ansnes, has warned of potential ‘pension traps.’ The association points out that if an individual's earned income exceeds 0.25 G (approximately 34,000 NOK) in a single calendar year, the supplement could be permanently lost. This could result in a lifetime loss of over 800,000 NOK for those who inadvertently exceed the income threshold.