No rush, but decisions will be needed
Although there are currently no state plans to raise the retirement age, we asked politicians, economists, and trade union representatives whether it should be done, and opinions differed.
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Algirdas Sysas, a member of the Lithuanian Social Democratic Party, told 15min that maybe someday the retirement age will have to be extended in Lithuania, but for now he does not see any grounds for doing so in the near future. “Only this year the retirement age for men and women has equalized,” he said.
Asked when the retirement age could be increased in our country, the politician did not specify exact years but indicated that it is not a quick process.
“I participated in active discussions about the current extension and that discussion lasted for several years. It really took at least five years. I think if the next term of the Seimas started discussions on this issue, I don’t know if they would manage to finish,” said the parliamentarian.
According to him, everything will depend on immigration policy and re-emigration – the return of our compatriots who have left. Although the demographic situation in Lithuania is not good, he admitted that talk of an impending catastrophe is exaggerated.
“I heard such talk about a catastrophe thirty years ago as well, but it did not come true. I think the chosen gradual increase of the retirement age to, say, the European Union standard, has proven itself. If we looked at the limits set by other countries, we would see that in some it reaches 67 or 68, and in some even 70 years. We have already reached the 65-year limit. Secondly, if our labor productivity grows and wages increase, the ratio of pensioners to workers is not inherently some kind of catastrophe,” he said.
Conservative Mindaugas Lingė also did not give a definitive answer. According to him, decisions will be needed to improve the demographic situation in Lithuania, but extending the retirement age is certainly not the only possible solution.
“Our demographic situation is not enviable – the number of working people is decreasing, and the circle of retirement-age people is increasing. All this shows that some kind of decisions may be needed. However, I would not want to start a discussion about setting a new retirement age limit right now, at the stage when we have just entered the phase of equalizing the retirement age for men and women. Still, certain decisions will be needed,” he said.
The parliamentarian said that the sustainability of the pension system could be sought not only by extending the retirement age but also by considering higher contribution rates and broader funding from the state budget, although he admits that all these political choices are difficult.
