While spending in 2018 was 13.3 percent of GDP, it will rise to 15 percent by 2035. Thereafter, pension expenditure fluctuates around this value, and in 2060 the peak will be reached at 15.2 percent of GDP. The main reason for the significant increase in statutory pension insurance until 2035 is the increase in the number of retirees from the baby boom generation with high birth rates, according to the budget report.
On the other hand, the retirement pay of civil servants will decrease: from 3.2 percent of GDP to 0.8 percent. The reason: In the public service, too, more and more contract employees insured by the ASVG are employed instead of civil servants. The longer calculation period in the pension account has a dampening effect on pension expenditure. The pension entitlements of men will be around ten percent lower than in 2018 by 2060, and those of women by around seven percent.
Neos: “Pensionsloch”
Neos social spokesman Gerald Loacker sees an “explosion in pension expenditure and the pension hole” on the basis of the 2020 federal accounts. There would be a shortfall of around 1,310 million euros in contributions by 2050, which would have to be offset with tax revenues.
The SP Pensioners’ Association opposes this. Despite the expected increase in the number of recipients, there is a “stable and reliable pension scheme in Austria”, said General Secretary Andreas Wohlmuth.
