Time is forced, the bill is simple and brutal, says Uniqa -boss Andreas Brandstetter on the occasion of the current debate on the subject of longer work: without radical reforms in the pension system, Austria is directly in the disaster. Brandster increases the alarm and requires a radical reconsideration, even with the companies.
“Because of the aging population, we will miss our hands in the coming decades,” warns the insurance boss. Whether it concerns construction, tourism, health care or insurance sector – collapse threatens everywhere. But Brandstetter makes it clear: “No insurance manager has ever said that we are going to the 1st column. Nobody speaks about pension loss.”
But the figures speak a clear language: in 1950 six employees were fined a retired person (see graphic). Today there are three – and in just 15 years the ratio will shrink to 2: 1. “Already in 2023 there were more people older than 65 than children and adolescents under 20,” explains Brandstetter. The number of seniors will explode by 43 percent in 2040.
Companies must keep the elderly in operation for longer
The solution for the Uniqa boss? Older people have to work longer – and the economy must finally take responsibility and keep older employees in the companies longer longer. “It has been too easy for us to separate us from adult colleagues in recent years,” Brentterter admits openly. But now a shortage of employees – and companies should reconsider: “We have abandoned the Uniqa for five years to separate ourselves with social plans from employees older than 60.”
Because experience is priceless: “Everyone who has been in industry for 30 years works a factory fire in Carinthia faster than a young lawyer in the first job.” The Uniqa boss confesses mistakes self-critical: “We also dismantled older employees years ago. Now we are looking for a targeted look!”
If you start working later, you must also retire later
But Brandstetter does not want a solution for unit: if you have worked hard physically, you must retire earlier. And: 45 years of contributions must always be sufficient. Increasing retirement age for everyone up to 70 is wrong. “But someone like me could study can also work longer.”
Otherwise, a financial disaster Austria threatens. “The exploding pension costs make us the opportunity to invest in schools or research,” warns the Uniqa boss. His drastic comparison: “It’s like I would take 5000 euros with ATM every day without ever seeing if the account is being treated.”
His conclusion is a wake -up call: “The country drives against the wall. It can still be good for five to seven years. We have to act quickly, jump over our shadow and change something. The sooner we start with it!”
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
